Creating Shared Value in Upstream Oil and Gas Company and Community: A Case Study of CSR Implementation in PT Pertamina EP Tarakan Field



Abstract Views
311

Downloads
327

Citations

Share

##plugins.themes.bootstrap3.article.sidebar##

Submitted Jul 12, 2023
Published Aug 29, 2023
10.24018/ejbmr.2023.8.4.2091

Abstract viewed = 311 times

Table of Contents

##plugins.themes.bootstrap3.article.main##

This research examines the practice of Creating Shared Value (CSV) through CSR implementation in upstream oil and gas companies and how it relates to sustainability. In 2020, there was a notable natural decline in energy resources, resulting from the Tarakan Field production performance. This situation presented numerous economic and social challenges, including the responsibility to support the holding company’s commitment to managing energy resilience and contributing to SDGs. The research, which incorporates information from literature analysis, in-depth interviews, and company reports, demonstrates that Tarakan Field’s CSR implementations were a useful strategy for generating shared value for businesses, stakeholders, and communities in alignment with sustainability goals. The research argues for the relationship between CSR implementation and sustainability, as well as the implementation plan and CSV measurement through CSR implementation in Tarakan Field. These concerns are particularly evident in the vague CSV measurement, which rendered it inefficient for the company to fulfill its commitment through unintegrated CSR and operational activities, despite the company’s strategy.

Keywords: Creating Shared Value corporate social responsibility sustainability Upstream Oil and Gas Company

Downloads

Download data is not yet available.

References

  1. Boulouta, I., & Pitelis, C. N. (2014). Who needs CSR? The impact of corporate social responsibility on national competitiveness. Journal of Business Ethic, 119(3), 349-364.
     Google Scholar
  2. Carroll, A. B. (2016). Carroll's pyramid of CSR: Taking another look. Journal of Corporate Social Responsibility, 1(3), 1-8.
     Google Scholar
  3. Dale, L. (2018). Case study method. In B. B. Frey (Ed.), The SAGE encyclopedia of educational research, measurement and evaluation (pp. 1339 - 1345). SAGE Publication.
     Google Scholar
  4. Du, S., & Vieira Jr., E. T. (2012). Striving for legitimacy through corporate social responsibility: Insight from oil companies. Journal of Business Ethic, 110(4), 413-427.
     Google Scholar
  5. Elkington, J. (1998). Enter the triple bottom line. In A. Henriques, & J. Richardson (Eds.), The triple bottom line: Does it all add up? (pp. 1 - 16). Earthscan.
     Google Scholar
  6. Green, J. L. (2018). Triangulation. In B. B. Frey (Ed.), The SAGE encyclopedia of educational research, measurement and evaluation (pp. 1339 - 1345). SAGE Publication.
     Google Scholar
  7. Husted, B. W., Allen, D. B., & Kock, N. (2012). Value creation through social strategy. Sage Business and Society, 54(2), 147-186.
     Google Scholar
  8. IPIECA. (2021, April). Supporting the SDGs. https://www.ipieca.org/resources/accelerating-action-an-sdg-roadmap-for-the-oil-and-gas-sector.
     Google Scholar
  9. Pertamina EP. (2018). Tata kelola organisasi [Corporate social responsibility] (Report No. B-003/A4/EP0500/2018-S0). Pertamina EP.
     Google Scholar
  10. Pertamina EP. (2021). Sustainability in harmony. Pertamina EP.
     Google Scholar
  11. Porter, M. E., & Kramer, M. R. (2019). Creating shared value. Springer Science+Business Media.
     Google Scholar
  12. Siltaoja, M. E. (2006). Value priorities as combining core factors between csr and reputation - A qualitative study. Journal of Business Ethic, 68, 91-111.
     Google Scholar
  13. SODEC UGM. (2022). Social return of investment report in PT Pertamina EP Tarakan field. SODEC PSdK FISIPOL UGM.
     Google Scholar
  14. United Nations. (n.d.). Transforming our world: The 2030 agenda for sustainable development. https://sdgs.un.org.
     Google Scholar
  15. Woolfson, C., & Beck, M. (2005). Corporate social responsibility failures in the oil industry. Routledge.
     Google Scholar