STRATEGIC CORPORATE SOCIAL RESPONSIBILITY PRACTICES AND ORGANIZATIONAL SUSTAINABILITY: EVIDENCE FROM THE BANGALORE BANKING SECTOR
Keywords:
Strategic Corporate Social Responsibility, Organizational Sustainability, Sustainable Banking, Stakeholder Theory, Green Banking, Employee Welfare, Bangalore Banking Sector, Triple Bottom Line.,,Abstract
Purpose
Corporate Social Responsibility (CSR) has evolved from a charitable project to a strategic
business initiative designed by firms that contribute to the creation of sustainable value and the
establishment of new value to all stakeholders. Business in the banking sector has increasingly
needed CSR strategic activities in view of the increasing stakeholder requirements, strong
regulatory expectations, ecological considerations and sustainable development objectives.
This paper investigates the impact of strategic CSR activities for sustainability of an
organization on the banking sector of Bangalore. More specifically, the study explores the role
of employee welfare initiatives, environmental consciousness, ethical governance practices,
and community development in the economic, environmental and social facets of the
sustainability of organizations.
Design/Methodology/Approach
The study is based on a quantitative, cross-sectional research design, with the philosophy of
the positivist research approach. The primary data are gathered by a structured questionnaire,
which is applied to 300 employees employed in publicly and privately owned banks in
Bangalore by stratified random sampling. The responses were evaluated with a 5-point Likert
scale. Statistical data was analyzed using IBM SPSS Statistics 29, with descriptive statistics,
reliability analysis, KMO and Bartlett’s tests, Pearson correlation and multiple regression
analysis to test our hypotheses.
Findings
The empirical results reveal a significant positive correlation between the strategic CSR
practices and companies' sustainability. Employee-centric CSR, environmental efforts, ethical
governance, and community-based development programs have a positive and significant
relationship with sustainability. The largest predictor of organizational sustainability was
environmental responsibility followed by employee welfare and ethical governance. The
findings lend themselves to Stakeholder Theory and the framework of the Triple Bottom Line
by validating how organizations embedding CSR strategies in strategic decisions benefit
significantly from sustainability performance.
Practical Implications
The findings yield practical implications for banking executives,
policymakers, and stakeholders through the implication that a proper integration and
implementation into strategic planning mechanisms will ensure the continuity and viability of
sustainability within a diverse banking ecosystem, where CSR is best developed in alignment
with institutional goals, rather than performing a compliance exercise. Implementing programs
for employee development, green banking, ethical governance, and community interaction
programs will establish stakeholder trust and enhance organizational reputation in the long
term.
Originality/Value
In addition, this study adds to the emerging literature about sustainable banking through
empirical data from a new financial hub in India — the Bangalore banking sector. It combines
the dimensions of strategic CSR with organizational sustainability and adds to the research
concerning the sustainable practices in developing countries.
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