Performance and Corporate Social Responsibility

in the Information Technology Industry, To appear in Journal of Information Systems Applied Research; EDSIG, the Education Special Interest Group of AITP

Project details

There are trade-offs between short-term and long-term effects of spending decisions. This is certainly the case when considering the implementation of Corporate Social Responsibility measures. The purpose of our research is to explore the relationships among corporate social responsibility (CSR) and financial success measures in the Information Technology and Telecommunications industry. More specifically, we examine the relationships between employee relations, an aspect of social responsibility, and accounting measures of efficiency and profitability. In addition, we investigate the relationship of these CSR aspects with Tobin’s Q, a measure of market success. Our findings suggest that positive relationships exist between employee relations and accounting and market measures of success. However, we find no evidence that a negative relationship exists between poor employee relations and our success measures.

– Cowan, A., Parzinger, M., Welch, O., Welch, S. (in press).

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