Doing Good Is Not Enough, You Should Have Been Authentic: Organizational Identification, Authentic Leadership and CSR

Byung-Jik Kim, Mohammad Nurunnabi, Tae-Hyun Kim and Taejoong Kim
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Byung-Jik Kim: Sogang Business School, Sogang University, Seoul 04107, Korea
Mohammad Nurunnabi: Department of Accounting, Prince Sultan University, PO Box 66833, Riyadh 11586, Saudi Arabia
Tae-Hyun Kim: College of Business, Korea Advanced Institute of Science and Technology, Seoul 02455, Korea
Taejoong Kim: College of Economics and Management, Chungnam National University, Daejeon 34134, Korea

Sustainability, 2018, vol. 10, issue 6, 1-16

Abstract: Previous studies on the relationship between corporate social responsibility (CSR) and organizational performance have emphasized how CSR influences the external stakeholders such as shareholders, customers, and local communities to explain the association. Thus, it is relatively less studied how CSR influences internal stakeholders, which ultimately accrue to organizational performance. Grounded on institutional theory which proposes that institutional enablers such as CSR activities affect macro-level outcomes (i.e., organizational performance) through micro-level mechanisms (i.e., attitudes or behaviors of members), we argue that internal processes are critical to explaining the CSR–performance link. Using 2-wave time-lagged survey data of 301 employees from various companies in South Korea, we first investigate how organizational identification (OI) mediates the CSR–performance link. In addition, we also investigate how authentic leadership moderates the link between CSR and OI. The results showed that OI is an important internal process that CSR enhances for organizational performance. In addition, authentic leadership positively moderated the effect of CSR on OI. Our results suggest that we need to understand “internal” intermediating mechanisms as well as critical contextual factors to elaborately explain the relationship.

Keywords: corporate social responsibility; organizational performance; micro-foundation; organizational identification; authentic leadership; moderated mediation model (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9)

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