Abstract:
The relationship between Corporate Social Responsibility (CSR) and organizational performance
is a prominent focus in academic research, yielding diverse findings. This study aims to
investigate the impact of CSR on the organizational performance of the Industrial Parks
Development Corporation (IPDC). Employing a mixed-methods approach, both qualitative and
quantitative data were collected through interviews, questionnaires, and secondary sources like
annual reports. Key informants (11 interviewees) were purposively selected, and 289 samples
were randomly chosen from IPDC, resulting in 260 returned and properly filled questionnaires.
Descriptive and inferential statistics were employed for analysis. Findings reveal that legal,
ethical, and philanthropic responsibilities scored mean values of 4.3050, 2.9923, and 2.8038,
respectively, with legal responsibility emerging as the dominant CSR activity. The overall mean
CSR score is moderate (3.0), suggesting room for improvement. Pearson correlation indicates a
positive correlation between all CSR dimensions and organizational performance, notably with
ethical responsibility (correlation coefficient of 0.58). Regression analysis yields an Adjusted R-
square of 0.554, indicating that 55.4% of organizational performance variation can be attributed
to CSR practice. Multiple regression identifies economic responsibility as the most dominant CSR
practice affecting organizational performance, followed by ethical responsibility (beta values of
0.67 and 4.27, respectively). The study underscores the need for IPDC to enhance CSR practices
across dimensions, emphasizing economic and ethical responsibilities, to elevate organizational
performance. Active engagement from all stakeholders is crucial, and governmental recognition
and incentives for CSR practices are recommended.
