THE INFLUENCE OF CSR PROGRAM TOWARDS CORPORATE PERFORMANCE (CASE STUDY OF COMPANY XYZ)

Abstract

Performance of the company is an important thing that has to be achieved by any company anywhere, because performance is a reflection of the company's ability to manage and allocate its resources. It can be concluded that the performance of the company is a part or all of an action or activity by a company within a certain period with reference to the standards that have been set previously. The purpose of this research is to analyze the influence of CSR programs which is components that consist of economic, legal, ethical, and philanthropic toward corporate performance (case study of Company XYZ). To know any significant relationship among those components. This research is design using quantitative and qualitative method (Mixed method). The questionnaire is design and validate, then spread to 80 employees at Company XYZ. The data analyzed and processed using multiple regression model. The qualitative conducted within in-depth interview with EA department. The data is processed using case study analaysis method. The result of this research shows that variable Economic has the most sigificance relationship towards Corporate Performance, where F > α = 5%. According to the partial test statistics (t-Test) result, variable Economic has positive relationship to corporate performance. If economic is increasing, the corporate performance is increasing too. From the research findings, it is suggested for the company to be profitable (Economic) to support the CSR in project sites area (Sorong, West Papua), since the company is multinational corporation specializes in oil and gas. For improvement in future research, it is suggested to make and develop research period to obtain more result that is comprehensive. The future researcher also can use other components which influence corporate performance with different respondents and methodology.