CSR sensemaking – a process defined by leadership: A case study of an oil company on how the CSR character of the organization evolves and how leadership matters

Abstract

The research of this paper focuses on identifying a relatively new organizational process, namely CSR sensemaking in a company. Although the practice of corporate social responsibility in large companies has had an increasing significance, the focus on studying and evaluating CSR initiatives has primarily been on the CSR itself in the form of voluntary sustainability reporting. Paradoxes have been previously pointed out stating that companies with immaculate sustainability reports experience major setbacks or end up in a socially irresponsible deed. Such paradoxes usually show in content-based analyses, i.e. when CSR initiatives are evaluated based on reporting and actual philanthropic engagements. The current study, however, takes the less beaten path of understanding the sensemaking in an organization regarding CSR. Through a discourse analysis, we can find out how the company perceives itself with regards to its stakeholders and its own purpose in business and as a result, define its CSR character. Three periods with three different executive managements give the framework as to how and why the CSR character of the company changes and what are the implications stemming from these changes. Further, the research proposes interdependence between the CSR sensemaking and the leadership of the organization.