The Effect of Corporate Social Responsibility Transformation on Companies’ Development in the Construction Industry

Running head: THE EFFECT OF CORPORATE SOCIAL RESPONSIBILITY
TRANSFORMATION ON COMPANIES’ DEVELOPMENT IN THE CONSTRUCTION
INDUSTRY
The effect of Corporate Social Responsibility transformation
on companies’ development in the Construction Industry
Name of the Student:
Name of the University:
Author’s Note:

1THE EFFECT OF CORPORATE SOCIAL RESPONSIBILITY TRANSFORMATION ON
COMPANIES’ DEVELOPMENT IN THE CONSTRUCTION INDUSTRY
Acknowledgement
I am indebted to all the populace who have assisted me a lot to carry out and
complete the research as this one of my most incredible experiences. I would like to
state my gratefulness to my adviser for his support and guidance. I would also like to
express appreciation to my supervisor because exclusive of his help it would not be
possible for me to conquer all the difficulties those I have faced while implementing the
research. I am pleased to my parents for their love and support. I am also thankful to my
classmates who helped me in collecting the data. Finally, I would like to thank all the
contributors of the research who afforded me their valuable time and belief to complete
the research well.

2THE EFFECT OF CORPORATE SOCIAL RESPONSIBILITY TRANSFORMATION ON
COMPANIES’ DEVELOPMENT IN THE CONSTRUCTION INDUSTRY
Abstract:
The key aim of this research is to reassess the present scenario of CSR activities
and documenting made by the construction companies globally, in order to have an
effective understanding of the areas of CSR that are most precise for this industry and
how the agenda of CSR is having an influence on the activities of the organizations
within this industry. This knowledge will be helpful in creating the secondary aim of
create probable suggestions in order to explain the CSR issues to the construction
industry in a better way so that the construction industries can improve their business
activities. The key scope for affecting a host of various areas doubled with the generally
restricted availability of information related to CSR within the construction industry gives
an effective justification for the current research that is being undertaken.

3THE EFFECT OF CORPORATE SOCIAL RESPONSIBILITY TRANSFORMATION ON
COMPANIES’ DEVELOPMENT IN THE CONSTRUCTION INDUSTRY
Table of Contents
Abstract:........................................................................................................................... 2
Chapter 1: Introduction.....................................................................................................8
1.1 Background of the Study........................................................................................8
1.2 Rationale of the Project..........................................................................................9
1.3 Research Aims and Objectives.............................................................................10
1.4 Research Questions.............................................................................................11
1.5 Structure of the thesis...........................................................................................11
Chapter 2: Literature Review......................................................................................... 13
2.1 Overview:..............................................................................................................13
2.2 Defining corporate social responsibility:...............................................................13
2.3 Classification of CSR:...........................................................................................14
2.3.1 Economic/ Instrumental Stakeholder Theory:................................................14
2.3.2 Political/ Legal Theory:...................................................................................15
2.3.3 Integrative/ Philanthropic Theory:..................................................................16
2.3.4 Ethical Theory:...............................................................................................16
2.4 Evolution of the CSR concept and social practices:.............................................17
2.5 CSR in the construction industry:.........................................................................18
2.6 Key Performance Indicators:................................................................................19

4THE EFFECT OF CORPORATE SOCIAL RESPONSIBILITY TRANSFORMATION ON
COMPANIES’ DEVELOPMENT IN THE CONSTRUCTION INDUSTRY
2.6.1 The Brundtland Report:..................................................................................19
2.6.2 Global reporting initiative:...............................................................................21
2.7 Impact of the construction industry:......................................................................21
Chapter 3: Research Methodology.................................................................................23
3.1 Overview:..............................................................................................................23
3.2 Research Design:.................................................................................................23
3.3 Research Type:.................................................................................................... 25
3.4 Research Approaches:.........................................................................................26
3.5 Research techniques and ethics:..........................................................................26
3.6 Study Population:................................................................................................. 27
3.7 Sample Population:.............................................................................................. 28
3.8 Data Collection Instruments, sources and administration method:.......................28
3.9 Primary Data:........................................................................................................29
3.10 Design of questionnaire:.....................................................................................29
3.11 The method of data analysis:..............................................................................30
3.12 Research Limitations:.........................................................................................31
Chapter 4: Data Analysis............................................................................................... 32
4.1 Quantitative Approach:.........................................................................................32
4.2 Qualitative Research:...........................................................................................47
Chapter 5: Conclusion....................................................................................................53

5THE EFFECT OF CORPORATE SOCIAL RESPONSIBILITY TRANSFORMATION ON
COMPANIES’ DEVELOPMENT IN THE CONSTRUCTION INDUSTRY
5.1 Overview of results:..............................................................................................53
5.2 Limitations:........................................................................................................... 53
5.3 Scope for further research:...................................................................................54
Reference List................................................................................................................55
Appendix:....................................................................................................................... 59

6THE EFFECT OF CORPORATE SOCIAL RESPONSIBILITY TRANSFORMATION ON
COMPANIES’ DEVELOPMENT IN THE CONSTRUCTION INDUSTRY
List Of tables
Table 1: Construction companies provides healthcare for the employees along with
health assistance........................................................................................................... 31
Table 2 : The construction companies offer subsidized or free lunch and refreshments to its
employees....................................................................................................................... 33
Table 3: The construction organizations provide credit for housing, car and education purposes
....................................................................................................................................... 34
Table 4: The construction companies provide bonus and rewards to their employees. .35
Table 5: The construction companies have policies for training and development for
their employees..............................................................................................................36
Table 6: membership to their employees.......................................................................38
Table 7: The construction companies have the right to freedom of association, collective
bargaining and complaint procedure for their employees..............................................39
Table 8: The construction companies have promotional policies and regulations for their
women and minority employees.....................................................................................40
Table 9: The companies have policies for formal worker representation on in the
process of decision making within the organization.......................................................41
Table 10: percentage of responses................................................................................43

7THE EFFECT OF CORPORATE SOCIAL RESPONSIBILITY TRANSFORMATION ON
COMPANIES’ DEVELOPMENT IN THE CONSTRUCTION INDUSTRY
List of Figures:
Figure 1 : Construction industry providing healthcare for the employees and also health
assistance...................................................................................................................... 32
Figure 2: The construction companies offer subsidized or free lunch and refreshments
to its employees............................................................................................................. 33
Figure 3: provision of different purposes by the organisation.........................................34
Figure 4: the provision of bonus and rewards................................................................35
Figure 5: Policies for training and development of employees.......................................37
Figure 6: recreational facilities....................................................................................... 38
Figure 7: employee assignment and bargaining procedures.........................................39
Figure 8: Facilities from women and minority employees..............................................41
Figure 9: worker representation.....................................................................................42
Figure 10: percentage of responses...............................................................................43