Corporate Social Responsibility and its Potential Role for Employer Branding. An Empirical Study

Master's Thesis , 2018 , 140 Pages , Grade: 1,3

Business economics - Business Ethics, Corporate Ethics

Human capital becomes more and more important for enterprises and actions have to be taken to become employer of choice for potential candidates. This can happen as a result of an employer brand transmitting a positive image of a themselves to potential candidates. At the same time, Corporate Social Responsibility can have on impact on motivating, retaining and finding employees. The present master the-sis combines these two aspects with the intention to find establish which role CSR plays in employer branding. Based on a literature review and current research, a survey was developed. Criteria defining CSR was determined before an online survey including these aspects was published.

Table of Contents

List of Figures

List of Abbreviations

1. Introduction
1.1 Problem Description
1.2 Aim of the Thesis
1.3 Thesis Design

2. Background and Theory - CSR
2.1 Defining CSR
2.2 CSR and Sustainable Development
2.3 CSR in Enterprises
2.3.1 Reasons for CSR in Enterprises
2.3.2 Integrating CSR in Enterprises
2.3.3 Factors of Success

3. Employer Branding
3.1 Defining Employer Brand
3.1.1 The Employer Brand as Part of the Corporate Brand
3.1.2 Employer Brand’s Functions
3.2 Representing the Employer Brand: Employer Branding
3.2.1 Employer Branding versus Human Resource Marketing
3.2.2 Objectives of Employer Branding
3.2.3 Process of Employer Branding
3.2.4 Factors of Success

4. CSR and Employer Branding
4.1 Current Research
4.1.1 Role of CSR to Attract and Retain Employees
4.1.2 Role of HR in CSR
4.2 Sustainable Brand as Connection of Employer Brand and CSR

5. Interim Conclusion: Research Question and Aim of the Study

6. Methodology
6.1 Defining and Operationalising CSR Aspects
6.1.1 Analysing International Standards to Define CSR Aspects
6.1.2 The ERG-Theory as Basis for Ranking
6.2 The Questionnaire as Research Method
6.2.1 Target Group and Sample Size
6.2.2 Questionnaire Design
6.2.3 Pretest

7. Empirical Results
7.1 Demographic Characteristics of Respondents
7.2 Results Analysed by Category
7.3 Results Analysed by Age Group
7.4 Results Analysed by Work Experience
7.5 Results Analysed by Gender
7.6 Results Analysed by ERG-Theory

8. Discussion
8.1 Answering the Research Questions
8.2 Implications for Employers
8.3 Limitations of the Work and Suggestions for Future Research

9. Summary

Appendix

References

Online References

Abstract

Human capital becomes more and more important for enterprises and actions have to be taken to become employer of choice for potential candidates. This can hap- pen as a result of an employer brand transmitting a positive image of a themselves to potential candidates. At the same time, Corporate Social Responsibility can have on impact on motivating, retaining and finding employees. The present master the- sis combines these two aspects with the intention to find establish which role CSR plays in employer branding.

Based on a literature review and current research, a survey was developed. Criteria defining CSR was determined before an online survey including these aspects was published. Students from FOM’s Dortmund, Essen and Munich locations were asked to fill in the survey online survey. The results show that CSR is an important aspect for candidates. The importance is dependent on the life phase of the candi- date and criteria currently being evaluated. The results can be used by employers to develop their employer branding further. Enterprises should focus on aspects regarding personal fulfilment, followed by social aspects along their supply chain and finally ecological aspects. The importance of the different aspects is dependent on the employee’s phase of life, gender and work experience level. That’s why em- ployers should examine the composition of their staff group. A targeted, group- oriented, communication is a key factor for a successful enterprise which binds employees. The integration of CSR should happen as the vision of the enterprise combines the strategy. It then affects the corporate brand, influencing the employer brand.

List of Figures

Figure 1: Carrol's CSR Pyramid

Figure 2: Triangle of Sustainability

Figure 3: Sustainability Stakeholder Framework

Figure 4: The Four Stages of Development

Figure 5: Stakeholder Cosmos

Figure 6: Functions of an Employer Brand

Figure 7: Sphere of Employer Branding

Figure 8: Process of Employer Branding

Figure 9: Synthesis of a Sustainable Brand

Figure 10: Approach of Data Collection

Figure 11: Alderfer’s ERG-theory

Figure 12: Methods to Collect Primary Data

Figure 13: Types of Questionnaires

Figure 14: Sampling Techniques

Figure 15: Participant’s Age

Figure 16: Participant's Degree

Figure 17: Participant's Work Experience

Figure 18: Participant's General Importance of Criteria

Figure 19: Participant's Importance of Criteria Choosing an Employer

Figure 20: Participant’s Importance Choosing an Employer

Figure 21: Consideration of Criteria by Participant’s Employers

Figure 22: Participant’s Willingness to Change the Employer by Criteria

Figure 23: Participant's Top Criteria Leaving an Employer

Figure 24: Participant's Importance of Criteria by Age Group

Figure 25: Participant’s Top Criteria Choosing an Employer by Age Group

Figure 26: Participant's Willingness to Change the Employer by Age Group

Figure 27: Participant's Top Criteria Leaving an Employer by Age Group

Figure 28: Participant’s Importance Choosing an Employer by Work Experience

Figure 29: Participant’s Top Criteria Choosing an Employer by Work Experience

Figure 30: Participant's Willingness to Change the Employer by Work Experience

Figure 31: Participant's Top Criteria leaving an Employer by Work Experience

Figure 32: Participant’s Importance Choosing an Employer by Gender

Figure 33: Participant’s Top Criteria Choosing an Employer by Gender

Figure 34: Participant's Willingness to Change the Employer by Gender

Figure 35: Participant's Top Criteria leaving an Employer by Gender

Figure 36: Participant's General Importance of Criteria Categorized by ERG-Theory . 75

Figure 37: Participant's Importance of Criteria Choosing an Employer Categorized by ERG-Theory

Figure 38: Participant’s Top Criteria Choosing an Employer

Figure 39: Consideration of Criteria by Participant’s Employers

Figure 40: Participant’s Top Criteria Choosing an Employer

Figure 41: CSR Requirements of Candidates

List of Tables

Table 1: Effects of CSR on Corporate Success

Table 2: Effects on Brand Value

Table 3: CSR Criteria per Category

Table 4: Criteria Categorized by ERG-theory

List of Abbreviations

Abbildung in dieser Leseprobe nicht enthalten

1. Introduction

First appearing in the 1990’s, the concept of Corporate Social Responsibility, based on discussions about climate change, scarcity of resources and demographic change, has become a more and more important issue (see Carroll, 1991, p. 40; BMU, 2008, p. 3). Current developments, such as the passing of the Sustainable Development Goals (SDG’s) or the approval of the Paris Agreement 2015, under- line the present relevance of this topic (see BMZ 2018). At the same time, society, with its different stakeholders, requires responsible business from enterprises as social entities linked to its environment (see Hoogervorst, 2009, p. 80; BMU et al., 2 007, p. 3). The so-called Corporate Social Responsibility (CSR) becomes a signif- icant topic in enterprises, representing an economic enterprise taking social re- sponsibility and acting reflecting ecological aspects (see Schmidpeter 2014, p. 95f.; BMU et al, 2007, p. 3). Concurrently, CSR is an opportunity for enterprises to in- crease their reputation and differ from external competitors. As a result, CSR can be an important factor in influencing the success of an enterprise (see Rauch, 2012, p. 47).

Another important factor for the success of enterprises are the employees, who make are integral within a company. They possess the necessary skills and compe- tences needed for a successful business. As a result of this, employees are assets which are hard to replace (see Stotz, Wedel-Klein, 2016, p. 1). They form the cor- porate culture and represent the enterprise - no enterprise can exist without them (see Schuhmacher, Geschwill, 2014, p. 1). This demonstrates why human capital can be seen as the differentiating resource, which will have deciding influence on the future success of an enterprise (see Stotz, Wedel-Klein, 2016, p. 1).

1.1 Problem Description

Human capital becomes more and more important for enterprises and can be seen as a source of competitive. It becomes more and more difficult to find and bind skilled employees to businesses. The so-called war for talents has already begun. This war will increase in the future, intensified by emigration of high qualified employees which reflects the demographic change seen by western cultures (see Stotz, Wedel-Klein, 2016, p. 1f.).

Enterprises have to face this war by developing a strategy to find and bind employees that fit the company. Steps have to be taken to ensure that the organisation is the preferred employer for potential candidates who reflect the values of the enterprise (see Brast, 2017, p. 36). Only then can they differentiate themselves on the market and become the employer of choice. To differentiate on the market, a brand can be used focussing on (potential) employees. The so-called employer brand transmits a positive image of themselves to potential candidates and thus becomes an employer of choice (see Kanning, 2017, p. 132).

There is emerging evidence that an effective CSR management has an impact on motivating, retaining and developing employees. Employers taking responsibility have high employee retention and satisfaction (see Loew, Clausen, 2010, p. 21). Moreover, they are more successful in recruiting new employees (see Bolla, 2016, p. 47).

1.2 Aim of the Thesis

The increasing responsibility of enterprises is used as starting point for the present master thesis. There are no doubts that CSR has an effect on choosing an employ- er. But how important it is, isn’t clear currently. Furthermore, what candidates un- derstand and expect from employers fulfilling their responsibility isn’t explored. Ex- ploring the role CSR plays in choosing an employer and how it can be used for em- ployer branding is the aim of the present thesis. To reach this objective, the con- cept of CSR and employer branding will be analysed, with regard to the differences and similarities. Therefore, the background of the concepts will be examined and the differences and similarities will be explored. Moreover, the current research situation will be discovered. Based on the theoretical background, an empirical study will be developed to answer the research question: What role does CSR has in choosing an employer? To answer this question, the following key questions will be answered:

1. Is CSR important for potential candidates?

2. Which aspects are relevant for potential candidates?

3. Is the importance of CSR dependant on age, gender and job experience?

4. Is responsible behaviour of employers a precondition for employees today?

5. Which CSR aspects, that aren’t considered by an employer, encourage an employee to change their employer?

1.3 Thesis Design

To reach the aim of the study, the ground works of CSR are described in chapter two and the term is defined, including a differentiation from other terms. A descrip- tion of CSR in enterprises including reasons for CSR and the process of integrating CSR in the enterprise is given. Additionally, factors of success are described. The third chapter focusses on employer branding. The employer brand, as part of the corporate brand, is defined and the process of developing an employer brand is described, ending with factors of success implementing an employer branding. The fourth chapter connects CSR and employer branding by giving an overview of the current research status, before in chapter five an interim conclusion is given based on the findings of the previous chapters, defining the research question and aim of the survey. In the sixth chapter the methodology of the study is described including the definition and operationalization of relevant CSR criteria. The questionnaire as a research method is represented, target group and sample size are defined. The survey includes a pretest, also described in chapter six. The seventh chapter gives an overview of the results, before the results are discussed in chapter 8. Conclu- sions regarding the research question are given in chapter nine, also including im- plications for employers and further need of investigation.

2. Background and Theory - CSR

In the following paragraphs, the background of CSR including the development and definition of the term is given as basis for further exploration. An overview regarding CSR in enterprises is also given, including the process of integrating CSR in companies. Furthermore, factors of success are described.

2.1 Defining CSR

The term CSR originally appeared decades. Howard R. Bowen was the first per- son, who used the term CSR. In his book ‘Social Responsibilities of the Business- man’, published in 1953, Bowen asked for responsibility of entrepreneurs for their business practices. Bowen explained that managers should consider the social consequences of their business and should reflect these effects in their business strategy (see Carroll, 1979, p. 497). After this book was published, further defini- tions of CSR were developed. Richard Eells and Clarence C. Walton for example stated in 1961 that CSR means to reflect the ethical principles of a society within an enterprise (see Eells, Walton, 1961, p. 457f.). Jean B. McGuire was the first in 1963, who stated CSR as central theme in enterprises. From her point of view, en- terprises had additionally responsibilities for society, apart from economic and legal obligations (see McGuire, 1963, p. 144).

Archie Carrol in 1991 was the first to define the term CSR in more details. He cre- ated a pyramid to include the four categories economic, legal, ethic and philanthro- py responsibility, representing corporate social responsibility. From his point of view, economic responsibility focussed on the economic value of an enterprise. Every enterprise should produce goods and services, which meet the needs of the consumers (see Carroll, 1991, p. 40). With these goods the enterprise makes an acceptable profit ensuring its existence and growth (see Carroll et al., 2015, p. 32). That’s why the economic responsibility is the basis for CSR. Legal responsibility represents the compliance of business with laws, laws, which are in place to protect the society. That’s why complying with these laws is part of CSR. The ethical re- sponsibility of Carrols pyramid encompasses a higher level of fairness in business, ensuring that ethical leadership is practiced. The enterprise operates above the minimum of responsibility required by law. At the top of Carrols pyramid is the phil- anthropic responsibility. Philanthropic responsibility includes all business actions, which refers to a good corporate citizen. Endorsed by society, the enterprise engages in programs to support human welfare (see Carrol, 1991, p. 41f.). Figure 1 depicts Carrols pyramid.

Figure 1: Carrol's CSR Pyramid

Abbildung in dieser Leseprobe nicht enthalten

Source: In Carrol, 1991, p. 41

John Elkington presented another approach to defining CSR in 1994. The so called Triple Bottom Line (TBL) assumes that the enterprise takes part in the social com- munity, which shows its responsibility. From Elkington ’ s point of view the result of the TBL includes three independent scales: the economic, social and environmen- tal sustainability, representing the responsibility, enterprises must take (see Kuhn, 2008, p. 12f.).

Newer definitions in Europe adopt the approach of Elkington, considering the ele- ments economic, environmental and social responsibility. The International Organi- zation for Standardization (ISO) defines CSR, in guidelines called ISO 26.000, as responsibility of organizations for the society and the environment to be considered in their actions taken (see ISO 26000, 2011, p. 17). These actions are always relat- ed to the core business, in contrast to Corporate Citizenship, which only includes societal engagement like donations, in most cases not related to the core business (see Menke, Werner, 2012, p. 9f.). Reflecting the ISO guideline, the behaviour of enterprises should be transparent and should support sustainable development. The interests of stakeholders should be reflected in the actions and the enterprise works in accordance with legal rights and international standards. Furthermore, this behaviour must be adopted and implemented in the whole organization (see ISO 26.000, 2011, p. 17).

All newer definitions reflect the interests of their stakeholders as central part of CSR. Including them is important for future-oriented enterprises because they are dependent from them. Stakeholders are those groups, who affect or are affected by the enterprise (see Hult et al., 2011, p. 49). Lauesen (2013 a, p. 1893) differentiates between primary and secondary stakeholders. Primary stakeholders consist of those, who are elementary for the future existence of the enterprise. Without them, the enterprise cannot survive over the long term. This group includes e.g. share- holders and investors, employees, customers, suppliers and the government (see Lauesen, 2013a, p. 1893). Secondary stakeholders are those who haven’t had an effect on the market or the financial foundation of the enterprise. They touch on the social environment of the enterprise and include inter alia citizens of the communi- ty, land and property owners, media and nongovernmental organisations (see Lauesen, 2013b, p. 2115).

Another definition of CSR is given by the European Union (EU) Commission. They see CSR as “responsibility of enterprises for their impacts on society” (EU commis- sion, 2011, p. 6). To meet this responsibility, the stakes of enterprises’ stakeholders must be reflected in the strategy of the enterprise. This includes e.g. social respon- sibilities, human rights, consumer and environmental concerns. By reflecting their interests, enterprises create a Shared Value for all and protect themselves from negativity (see EU commission, 2011, p. 6). This Shared Value approach reflected by the EU commission was developed by Michael E. Porter. The idea of a Shared Value is to create a common value. This common value is, if enterprises and socie- ties interact and profit from each other. This interaction is used to increase the eco- nomic success of the enterprise, together with improving its societal environment. To create a Shared Value, enterprises must consider the following aspects:

- New interpretation of products and markets: Enterprises can create Shared Value by developing new products or markets, innovating current products or improving the current supply of products with a focus on a common ad- vantage.
- New analysis of supply chains: Enterprises have to improve their supply chain in the case of quality and quantity reflecting the impact on the environment and the society.
- Focus on local actions: Enterprises are dependent from their environment as they need suppliers, employees and transport and communication infrastruc- tures. Enterprises create a win-win situation for enterprise and society by in- tegrating the local economy and society in their business (see Porter, Kramer, 2015, p. 145f.).

Schmidt (2009, p. 14) summarizes the following aspects as material defining CSR:

- CSR is a long-term strategic concept based on sustainability that must be integrated in enterprises.
- The base of CSR in enterprises is the values and objectives of the enterprise, reflected at the core of their business.
- It describes the responsibility of enterprises towards the society and contains ecological, social and economic aspects.
- It contains activities, which are stated over legal rights and which are volun- tary.
- It reflects the stakes and the dialog of enterprises with stakeholders (see Schmidt, 2009, p. 14).

To conclude, CSR can be defined as the responsibility enterprises have for their impact on society and the environment. This responsibility includes being profitable and acting within legal and ethical rights, but also creating an added value for the environment of the enterprises. Therefore, the stakes of their stakeholders have to be considered in their strategy to create a shared value for both, enterprise and society.

2.2 CSR and Sustainable Development

CSR is a model used to achieve sustainable development, it reflects social and environmental issues. Sustainable development means “development that meets the needs of the present without compromising the ability of future generations to meet their own needs” (Strange, Bayley, 2008, p. 24). First used in the forestry, the term sustainable development appeared in the report ‘Limits to Growth’ of Club of Rome in 1972 (see Strange, Bayley, 2008, p. 24). There, the need for change was driven by a need to prevent a negative economic impact, coming from the increase of population and the increasing demand of non-renewable resources (see Hauff, 2014, p. 6). The first concept for sustainable development was described in the ‘Brundtland Report’. There, “a global agenda for change” (Strange, Bayley, 2008, p. 24) was published for the first time, encouraging to rethink the way humans live, chiefly because every decision humans make has an impact on the environment, society and the economy. Furthermore, future generations are influenced by ac- tions taken today. Based on the ‘Brundtland Report’ the UN commission drew two conclusions regarding this issue. Firstly, that the well-being of economies, environ- ment and society are directly connected, and secondly, that a global cooperation is needed to achieve Sustainable Development (see Strange, Bayley, 2008, p. 24). That’s why the concept includes a political strategy, to find solutions for both, envi- ronmental issues in industrial countries and financial issues for developing coun- tries. 1992 at the Rio conference from the United Nations in Rio de Janeiro, objec- tives in different areas were defined. These objectives resulted in different conven- tions. The most important conventions were the agenda 21, the Rio declaration, the climate convention, the desert convention and the biodiversity convention. The agenda 21 determines that industrial countries should reduce the use of resources and developing countries should combat poverty. The Rio declaration contains principles regarding politic, law, economy and science, which all countries should incorporate to protect the environment. The climate convention should influence the climate change by reducing global warming and lowering its consequences. The desert convention intends to prevent the spread of deserts, while the Biodiversity convention protect the biodiversity and support the sustainable use of resources (see Jonker et al., 2011, p. 146).

All in all, Sustainable Development can be summarized as:

- Conceptual framework that changes the view of the world to a more balanced and holistic view.
- A process that implements the above principles at all areas.
- A Goal that identifies and solves the economic, environmental and social problems (see Strange, Bayley, 2008, p. 30).

The framework sustainability is visualized with the help of the triangle of sustaina- bility. It consists of the three dimensions economy, society and environment. It clari- fies, that Sustainable Development is only possible if all pillars are reflected. More- over, all sides of the triangle are equal to show that the pillars should be reflected synonymously (see Nuremberg Chamber of Commerce and Industry 2015). All di- mensions are dependent on each other and influence each other (see Lohre et al., 2015, p. 19). The ecological pillar includes protecting environment and ecosystems, the social pillar means to secure basic needs of human beings combating poverty and distributing resources in a fair way and the economic pillar contains a healthy economic system (see Jonker et al., 2011, p. 146). The triangle is shown in Figure 2.

Figure 2: Triangle of Sustainability

Abbildung in dieser Leseprobe nicht enthalten

Source: In Lohre et al., 2015, p. 18

2.3 CSR in Enterprises

CSR is enterprises’ concept for achieving Sustainable Development. Moreover, consumers as an important stakeholder group require enterprises to be responsi- ble. A study from 2016 shows that 76.2% of consumers are willing to pay more for products or services, if the enterprise engages in social activities (see SPLENDID RESEARCH GMBH, 2016, p. 3). This is only one reason why entrepreneurs should integrate CSR in their business. In the current chapter, the advantages entrepreneurs will see as a result of implementing CSR in their company is described. It will focus on, how they integrate CSR in the company and what the factors of success for a Sustainable Development are.

2.3.1 Reasons for CSR in Enterprises

CSR represents new chances for the enterprise. It helps enterprises to reduce risks and to increase chances. It means to discuss future topics like changing societal expectations, the impact of disruptive technologies and changing demographics (see DeRose, 2017, p. 25). CSR can secure the supply of commodities. Most en- terprises are dependent on purchasing commodities. By reflecting the whole supply chain, challenges can be identified and managed to guarantee the successful sup- ply of resources (see Gastinger, Gaggl, 2015, p. 285). Furthermore, financial risks can be reduced, because legal rights are reflected in a more detailed way (see Kirchhoff, 2006, p. 16). What’s more, CSR means to take chances. CSR actions can increase the reputation of the enterprise. Society trusts enterprises demonstrat- ing their responsibility, which results in an increase in loyalty to the brand. A survey of Aflac CSR (ACSR) shows that CSR has the largest impact on consumers, if it is reflected strategically. 86% of consumers favour companies that act ethically (see Bolla, 2015, p. 6). CSR can help enterprises contrast from competitors by e.g. de- veloping new and more sustainable products or services, which can increase the revenue. Innovations can be made by focussing on new aspects, like green prod- ucts. As the knowledge increases, new ideas arise which can develop new markets and entice customers (see Gastinger, Gaggl, 2015, p. 285). New, more sustainable business models arise, which fit with societal and ecological expectations (see Schmidpeter, 2015, p. 138).

Loew/ Clausen (2010, p. 22) compare between advantages by good labour practic- es and good environment protection within CSR. The latter considers environment protection within the enterprise along the whole supply chain ending with the prod- ucts produced (see Loew, Clausen, 2010, p. 6). Advantages include reducing the costs by increasing the efficiency of resources used in the production process.

Costs decrease by lowering the use of energy, water and commodities. With the focus on the environment, new products can be developed or current market shares can increase (see Loew, Clausen, 2010, p. 22). Good labour practices in- clude the interests of the employees and labour practices along the supply chain (see Loew, Clausen, 2010, p. 6). Employees are one key stakeholder group of an enterprise (see Strandberg, 2009, p. 3). CSR increases the employee commitment and increases and supports the competence for innovations. Motivated employees work more efficiently and therefore influence the financial situation of the enter- prise. Another important aspect is the effect on employee recruitment and retention. CSR activities can increase the image of the enterprise. Enterprises with a good CSR performance can recruit high qualified employees and retain them (see Loew, Clausen, 2010, p. 21). A culture based on sustainable thinking is attractive for po- tential high qualified employees (see Sutter, 2015, p. 653). Moreover, CSR has the potential to retain current employees (see Loew, Clausen, 2010, p. 21). Fair and safe working conditions, transparent wages and conditions for development let em- ployees stay at companies. Besides, supporting a good work-life-balance can pro- hibit illnesses (see Sutter, 2015, p. 653).

All of these advantages of CSR have a positive effect on the economic situation of the enterprise. Mayr/ Ausweger (2013, p. 38) adds economic potential next to high- er revenue and cost efficiency as a better return on investment and thus a higher corporate value. Also, potential and current shareholders are more interested in enterprises tackling their responsibilities (see CSR Initiative Rheinland, n.d., p. 2; Loew, Clausen, 2010, p. 21). Table 1 summarizes the advantages of CSR.

Table 1: Effects of CSR on Corporate Success

Abbildung in dieser Leseprobe nicht enthalten

Source: In Rauch, 2012, p. 47

2.3.2 Integrating CSR in Enterprises

If CSR is to be part of the business and be a competitive advantage, a transforma- tive change must occur. The enterprise must include CSR in its corporate culture and the core business to achieve benefits for the business (see Apte, Sheth, 2017, p. 38).

CSR is based on the interests of their stakeholders. Stakeholders arise along the whole supply chain addressing different interests to enterprises. At the same time, these stakeholders have direct or indirect influence on the organisation (see Apte, Sheth, 2017, p. 38). The most relevant stakeholders are reflected in Figure 3.

Figure 3: Sustainability Stakeholder Framework

Abbildung in dieser Leseprobe nicht enthalten

Source: In Apte, Sheth, 2017, p. 38

To integrate them into companies’ business, all stakeholders must be identified and ranked by importance (see Gastinger, Gaggl, 2015, p. 289). In the next step, the interests of the most important stakeholders are analysed. Therefore, the enterprise gets in touch with these stakeholders (see Lorrentschitsch, 2015, p. 406). These collected interests are the groundwork for the material aspects and the field of ac- tivity of the enterprise. Additionally, relevant future topics are analysed. All macroe- conomic challenges reflecting economic, social and ecological factors must be con- sidered. A materialistic matrix can be used to asses which topics are most im- portant, and to rank the topics by importance. These topics take part in the strate- gy. On the basis of the strategy, objectives are defined, reflecting financial and non- financial aspects, quantitative and qualitative indicators. These objectives are oper- ationalized (see Gastinger, Gaggl, 2015, p. 289ff.). This includes financial objec- tives and non-financial targets including social and ecological aspects (see Lor- rentschitsch, 2015, p. 406). Implementing these objectives happens from the top downwards. For every objective, an indicator must be found to measure this objec- tive. Especially for the non-financial objectives, possible measurements of these indicators must be integrated in the processes to make sure, that data is available and reliable. Every objective needs a responsible person who cares that steps are taken to reach the objectives. The management should review the status of the objectives (see Lorentschitsch, 2015, p. 406). Quarterly internal reporting can help to track the indicators. This is also helpful to review if the strategy is still conforming to the interests of the stakeholder (see Gastinger, Gaggl, 2015, p. 289ff.). The last step includes the communication of CSR. Internal communication is needed to in- tegrate Sustainable Development in the daily work of employees. The employees should also be informed about developments, changes and news (see Lorrentsch- itsch, 2015, p. 406). External communication starts only if CSR is implemented in- ternally. A familiar reporting possibility is a CSR report. This external reporting type is needed more and more for rankings and ratings (see Gastinger, Gaggl, 2015, p. 293). Moreover, it is one opportunity for enterprises to get in touch with their stake- holders creating trust in them (see Leo ń ski, Beyer, 2016, p. 74).

Implementing CSR within an enterprise’s strategy always means to develop the enterprise further, decreasing risks and increasing chances for the organisation. This development that enterprises take part in can be divided in different steps. Gastinger (2015, p. 286ff.) divides companies’ development in four steps. In the first step, the management is only focussed on the shareholder value. Increasing the profit is the main goal, ecological and social aspects don’t take part in the per- formance of the enterprise. This focus changes in the next step. There, the enter- prise starts projects to increase the corporate responsibility. These projects have a philanthropic character without measuring the effects. They are used by public rela- tions to communicate the responsibility externally, which has a positive effect on the reputation of the enterprise. In the third phase enterprises include ecological and social aspects in their controlling by measuring qualitative and quantitative in- dicators. The objectives and measures are based on the strategy and the core business. Enterprises have, at that stage, implemented a sustainability manage- ment system and report about their activities externally. Implementing CSR in the business strategy is the last step of integration. The strategic orientation of the en- terprise is focussed on taking responsibility and including these targets in core business. CSR is a value that is implemented in all areas of the enterprise to in- crease further development of the organisation. New and more sustainable prod- ucts are developed, the enterprise stays in touch with its stakeholders and the theme is pushed in the whole company as part of the culture (see Gastinger, Gaggl, 2015, p. 286ff.). Figure 4 summarizes the process.

Figure 4: The Four Stages of Development

Abbildung in dieser Leseprobe nicht enthalten

Source: In Gastinger, Gaggl, 2015, p. 286

2.3.3 Factors of Success

CSR can be a key factor in the future success of the enterprise, but it can only be successful if it has a holistic approach. Those at the top of the management struc- ture must support the theme in the enterprise, particularly by one overarching man- ager. This shows how important management is for CSR. The basis for a success- ful CSR in an enterprise is the CSR strategy. It combines the values and culture of the enterprise, with the material aspects based on the stakeholder analysis. The stakeholder analysis should reflect all interests of the direct stakeholders. Employ- ees as a stakeholder group are also important to consider as they are needed to implement the strategy within the company. CSR actions must focus on the core business. It is part of the strategy to ensure that CSR is only altruistic and works as a PR campaign (see Gastinger, Gaggl, 2015, p. 294f.). Another factor influencing the success of CSR is communication. The objectives should be communicated internally and externally, including the status of the defined actions (see Kirchhoff, 2006, p. 25).

Kirchhoff (2006, p 26f.) summarizes the factors of success as follows:

- Enterprises are in regular communication with the stakeholders.
- CSR is integrated into the strategy.
- Qualitative and quantitative targets are defined and can be measured.
- A clear CSR structure is implemented in the organisation.
- Indicators are in place to analyse the objectives.
- Regular controlling mechanisms are used to review the objectives (see Kirch- hoff, 2006, p 26f.).

3. Employer Branding

As mentioned before, employees are valuable assets and hard to replace. They form the corporate culture and represent the enterprise: They are the enterprise and no enterprise exists without them (see Schumacher, Geschwill, 2014, p. 1). Because of their demographic development, highly qualified employees are in- creasingly difficult to find. Enterprises have to invest more and more resources into finding appropriate candidates. Additionally, current employees are more and more willing to change their employer as a result of viewing an attractive job vacancy from competitors. The so-called war for talents has already started. To win this war, enterprises have to invest in finding and binding employees. They must invest in being an attractive employer to attract candidates. One possibility is to create an employer brand that transmits a positive image of an employer to potential candi- dates (see Kanning, 2017, p. V). What an employer brand is, how it relates to a corporate brand and what functions it has, is described in the following chapter. The process of implementing an employer brand is described and factors of suc- cess and failures are given.

3.1 Defining Employer Brand

The term employer brand is a combination of the words employer and brand. Last one has its origin in the Greek word ‘marka’ and means literally translated sign (see Buckesfeld, 2012, p. 23). A brand is a unique image of a product or a service, which is stated in the psyche of consumers or other stakeholders. It is a simple and reduced way to show and communicate the values of something (see Im- merschmitt, Stumpf, 2014, p. 35). The employer brand is a specific brand showing the values of an employer with the objective to attract (potential) employees. It is a management tool that is used by Human Resource (HR) Management, focusing on current and potential employees. The basis of the employer brand is the corporate brand (see Kriegler, 2015, p. 23).

3.1.1 The Employer Brand as Part of the Corporate Brand

The corporate brand contains all markets an organization relate to including finan- cial, sales, labour and opinion markets (see Kriegler, 2015, p. 23ff.). It is the sum of imaginations arising reflecting the enterprise as employer, customer and supplier

(see Stotz, Wedel-Klein, 2013, p. 6). In the concept of corporate brand, the enter- prise is seen as a brand with values and individual characteristics, which make it unique and differentiate it from competitors (see Buckesfeld, 2012, p. 23f.). This image of a company is created by stakeholders and is based on the company name, company logo and other brand elements. Walter / Kremmel (2016, p. 5) characterize corporate brands as the sum of the concepts, every stakeholder forms based on the enterprise name and the enterprise logo. This includes the brand ide- ology and, how a company acts as an employer, customer and supplier. But stake- holders don’t differentiate between the company as e.g. employer or producer - that’s why the different brandings must be matched (see Walter, Kremmel, 2016, p. 5). Stotz/ Wedel-Klein (2013, p. 5) emphasise, that every stakeholder has his own imagination of the corporate brand, based on individual interests and objectives. That’s why individual interactions with the stakeholders are needed to create a positive image of the corporate brand (see Stotz, Wedel-Klein, 2013, p. 5). Possible stakeholder groups are shown in Figure 5.

Figure 5: Stakeholder Cosmos

Abbildung in dieser Leseprobe nicht enthalten

Source: In Stotz, Wedel-Klein, 2013, p. 6

A positive corporate brand has different benefits for the enterprise. The enterprise has better employee retention and, as a result, a higher level of employee effec- tiveness. It increases the attractiveness of an employer and creates a higher work- place demand. Customers are bound to the company and are willing to pay a high- er price for the products or services while shareholders and suppliers trust the company. They are open to working together with the enterprise and the company is recognised and recommend in a positive way from the society (see Rauch, 2012, p.46). The positive effects of a corporate brand are summarized in Table 2.

Table 2: Effects on Brand Value

Abbildung in dieser Leseprobe nicht enthalten

Source: In Rauch, 2012, p. 46

The employer brand as part of the corporate brand supports management as they instrument the corporate strategy (see Latzel et al., 2015, p. 20). It presents the image of the enterprise to potential employees and describes how potential em- ployees should see the enterprise. Employer brands are anchored in people’s mind as a unique and static image of a company as employer (see Stotz, Wedel-Klein, 2013, p. 5). It focuses on the advantages of working for the enterprise. The em- ployer brand is the identity of the enterprise as an employer, including all of its val- ues, with the objective to be attractive for potential employees. It communicates the core values of the enterprise in a clear and straightforward way, producing an im- age that fits with the enterprise. It is important that the transmitted content corre- sponds with the truth about the enterprise and can be verified. Immerschmitt/ Stumpf (2014, p. 36) emphasises, that the content that is communicated, focusses on candidates as target group and reflects their expectations (see Immerschmitt, Stumpf, 2014, p. 36).

3.1.2 Employer Brand’s Functions

The employer brand has different functions. Stotz/ Wedel-Klein (2013, p. 28) distin- guish these functions between employer and employee related functions (see Stotz, Wedel-Klein, 2013, p. 28). Employers use the employer brand to differentiate and emotionalise the enterprise (see Stotz, Wedel-Klein, 2013, p. 28ff.; Latzel et al., 2015, p. 22). The brand represents the company in front of external parties and potential employees and should therefore create a positive image. This positive image can be supported by active employer branding actions, such as communi- cating positive characteristics to new entrants. Communicating about these actions can help to differentiate the enterprise from competitors and help the enterprise to recruit new employees. If they create a positive and unique image of the enterprise, more people will apply for a job. Enterprises can address their interests directly to potential employees with the help of the employer brand (see Walter, Kemmel, 2016, p. 5f.). Candidates often have rough information about companies they apply to. An employer brand helps to be the preferred enterprise - it creates a positive image of the employer in the mind of the candidate (see Immerschmitt, Stumpf, 2014, p. 40).

However, an increasing of a quantity of candidates isn’t the only potential outcome. A positive employer brand may also result in applications from higher qualified can- didates, which can have a positive effect on the success of the company as moti- vated and more efficient working employees create more innovations and are more productive. Finding and binding good and qualified employees is a competitive benefit in the long term, as human capital is hard to find and to replace. A positive employer brand has also a positive effect on the costs as only candidates that are appropriate for the enterprise apply for a job. Moreover, undesirable applications are deterred, which can be used for a fast replacement of jobs (see Latzel et al., 2015, p. 23). Furthermore, an employer brand binds current employees to the company emotionally (see Walter, Kemmel, 2016, p. 6). Employees identify with the enterprise and commit to it, which could result in a lower turnover rate and a high recommendation rate, which results in highly qualified and motivated candidates (see Walter, Kemmel, 2016, p. 5f.).

From an employees’ point of view, an employer brand gives orientation, an identity and trust. An employer brand is a sign, which transmits emotional and functional information. Searching for a job always means dealing with lots of information from different enterprises. If an enterprise is already represented by an employer brand, the candidate can create associations and assumptions which give the candidate much needed information regarding whether they fit with the values and culture of the enterprise (see Stotz, Wedel-Klein, 2013, p. 31). The transition to employment has a huge impact on the life of the candidate. That’s why an individual is interest- ed in making the right decision, using a transparent employer to find the employer- of-choice for themselves. The employer brand transmits values and good quality, which the candidate can trust. Trusting this brand can minimise the risk for him choosing the wrong employer. Furthermore, the brand supports the connection from candidates to the enterprise. If the values and culture transmitted by the brand match the values of the candidate, they identify with the employer. If this identifica- tion process is valid, when the candidate becomes an employee of the enterprise, his connection and loyalty to the enterprise increases (see Latzel et al., 2015, p. 22). Moreover, the employee communicates their positive impression of the enter- prise to their wider environment, including family and friends (see Stotz, Wedel- Klein, 2013, p. 31f.). Figure 6 summarizes the functions of an employer brand. Fig- ure 6 summarizes the functions of an employer brand.

Figure 6: Functions of an Employer Brand

Abbildung in dieser Leseprobe nicht enthalten

Source: In Stotz, Wedel-Klein, 2013, p. 27

3.2 Representing the Employer Brand: Employer Branding

Employer branding has the responsibility to represent the employer brand to all potential employees, creating a competitive edge for the enterprise (see Brast et al., 2017, p. 36). Petkovic (2008, p. 71) defines employer branding as all actions that plan, create, lead and control the employer brand (see Petkovic, 2008, p. 71). Gmür et al. (2002, p.12) see the current employees as further target group for em- ployer branding, next to potential employees (see Gmür et al., 2002, p.12). Kriegler (n. d., p. 15) defines employer branding as a process, in which enterprises create a clear image of themselves as employers and project this image into the minds of relevant stakeholders. With this image, the enterprise positions itself as attractive employer on the market. Brast et al. (2017, p. 36) see it as a central task for em- ployer branding, developing and communicating the employer value position (EVP). The EVP is the central part of the employer brand and defines the characteristics of the brand. Communicating the EVP to the stakeholder group is as important as implementing actions to fulfil this image of employer (see Brast et al., 2017, p. 36). To reach this goal, an employer branding strategy must be developed. Implement- ing this strategy successfully impacts the recruiting and retention of employees in a positive way. Additionally, it influences the corporate culture and image (see Krieg- ler, n.d., p. 15).

In summary, all definitions address current and potential employees as a target group, with the objective to represent the enterprise as an attractive employer to this group of individuals using the character of a brand.

3.2.1 Employer Branding versus Human Resource Marketing

Unfortunately, within literature, the terms employer branding and HR marketing are often similar. The differences are described in the following.

HR marketing includes the process of creating relationships to former, current and prospective employees (see Immerschmitt, Stumpf, 2014, p. 43). One part is find- ing relevant candidates for a job vacancy. On one hand, the main task it to gener- ate applications from candidates that are appropriate to the vacancy and on the other hand, prohibit applications from inappropriate candidates. The issue is here to position a job vacancy in such a way that potential candidates are willing to apply for the vacancy but those not appropriate will be deterred. To reach this goal, HR marketing uses different methods such as, job advertisements offline, in newspa- pers, online platforms or hiring head hunters. If a candidate applies for a job, it may be dependent on how his option of the enterprise - here a high level if employer attractiveness is needed (see Kanning, 2017, p. 2). This is the task of employer branding. Employer branding creates a positive image of the employer that is then used by HR marketing. It emphasises the uniqueness of the employer and supports the suggestion that the employer should be the employer-of-choice. Furthermore, employer branding creates an identity for the enterprise and supports the develop- ment of the enterprise. That’s why employer branding is interdisciplinary and con- nects to both HR marketing and HR management (see Immerschmitt, Stumpf, 2014, p. 44).

3.2.2 Objectives of Employer Branding

Employer branding has different objectives. Petkovic (2008, p. 183ff.) differentiate these objectives between conative, cognitive and affective objectives. The desired outcome include that the employer is preferred by candidates and become the em- ployer-of-choice. The cognitive target aims to increase the level of awareness and focussing on the unique nature of the employer brand. Increasing the trust, sympa- thy and identification towards the employer is reflected as affective objective (see Petkovic, 2008, p. 183ff.). Schmidt (2009, p. 37) sees recruiting new employees and binding current employees as main objectives. This happens as a result of the employer brand being successfully positioned in the market by employer branding (see Schmidt, 2009, p. 37). By doing this, the employer differentiates itself from competitors (see Brast et al., 2017, p. 36). Kriegler (2015, p. 49) adds, as a further objective, that the employer brand supports the corporate brand. A unique employ- er brand increases the reputation of the enterprise to all stakeholder groups. More- over, the culture is developed further by matching it with the objectives of the en- terprise. While employees are focussed on the strategy of the enterprise and the commitment to and identification with the enterprise increase (see Kriegler, 2015, p. 49). The objectives are summarized in Figure 7.

Figure 7: Sphere of Employer Branding

Abbildung in dieser Leseprobe nicht enthalten

Source: In Kriegler, 2015, p. 49

3.2.3 Process of Employer Branding

The process of employer branding can be divided into a three steps analysis, intervention and evaluation, described in the following.

Starting with the analysis phase, information regarding the target group and the enterprise itself are collected. Strengths and weaknesses, opportunities and risks are all defined (see Brast et al., 2017, p. 36). How the employer brand should be recognised is specified and the Employer Value Proposition is illustrated. This step is important as the characteristics are identified, creating the unique identity of the company (see Brast et al., 2017, p. 37). Different methods are possible when defin- ing these characteristics. Workshops can be held with members of all interest groups. In this case it is important to reflect the personnel composition of these workshops. Different hierarchy levels mean restricted opinions. Often, the opinion of the management board is more heard over others. That’s why more than one workshop is necessary in order to reflect all interest groups. The disadvantage of workshops is that only the opinions of some representatives of the interest groups are considered. If all opinions should be reflected, an employee survey is another possible method. It is a quantitative method and the opinions of all employees are ranked equally. The development of the survey is very important as themes, that aren’t considered in this stage, may be missing from the results. A combination of both methods is the best solution. In this case, workshops can be held to define the content of an employee survey before surveying all employees. Business competi- tors are another relevant aspect in the analysis phase. Their image should be re- flected by researching their brochures, websites and advertising campaigns. Based on this research, the employer brand can be created, ensuring it differs from com- petitors. The focus there should always be on the values of the own brand and not on the brand of its competitors. By having the target status, the current awareness of the employer brand is analysed. Therefore, both the internal and external point of view is considered. This can happen by using a questionnaire. The (current and preferable) images of the brand are compared. Positives and negatives are consid- ered (see Kanning, 2017, p. 160ff.).

The next phase contains the interventions implemented by the employer brand. Actions are implemented to create a positive image of the employer. Sometimes they are also needed to change the image of an employer from negative to positive (see Kanning, 2017, p. 165ff.). Different internal and external actions are possible, but they should always support the objective set out by the employer branding strategy (see Schuhmacher, Geschwill, 2014, p. 33). Combining these actions and communicating consistent messages increases the impact of their effects. Kanning (2017, p. 167) divides these actions into potential formats, such as image bro- chures and web presences, sponsoring, contacts to universities and guiding princi- ples.

Image advertising and brochures, as well as web presences, can describe the characteristics of the enterprise. Image advertising has a positive effect on the atti- tudes of potential employees. Potential employees are a good target group for bro- chures as it is important to communicate credible information to this external stake- holder group. This includes accurate content that is transmitted through different media types, (see Kanning, 2017, p. 170) as different media types support the creation of a positive image. Sponsoring is a more indirect form of self-marketing. Sponsoring can happen by supporting a sport or school event, awarding prices or scholarship or donating. The type of sponsoring depends on the objective, e. g. fame should be increased or the enterprise’s values should be transmitted. The type of sponsoring should create positive associations with the company. If different sponsoring types are considered, they should be consistent. The sponsoring should fit to the company regarding its content with a significant intent, that the enterprise becomes more visible throughout the whole process (see Kanning, 2017, p. 175). Another opportunity to support the employer brand is contact with universities. Uni- versities can be contacted using different methods e.g. presentations, projects or a degree thesis. The advantage here is that students are potential future employees, so the enterprise can communicate to the target group directly (see Kanning, 2017, p. 176). Mission statements contain the enterprises’ values and objectives. It is communicated internally with the function to define behaviours and objectives. A mission statement can increase the connection employees have with the enter- prise. Moreover, mission statements are communicated externally to reassure o stakeholders. Potential employees form an impression about the values of the en- terprise and how it works from the mission statement (see Kanning, 2017, p. 179). That’s why a mission statement always advertises the expectations the enterprise has to fulfil. If not, it has negative consequences for the enterprise. That’s why only realistic content should be communicated (see Kanning, 2017, p. 185). Stotz/ Wedel-Klein (2016, p. 94ff.) suggest that further internal actions which would sup- port the employer brand are actions regarding leadership and the working environ- ment. This can mean job-rotations, trainee-programs, mentoring, bonuses, sport activities and an opportunity to give management ideas (see Stotz, Wedel-Klein, 2016, p. 94ff.).

The last phase in the employer branding process is an evaluation of the actions taken. The evaluation suggests whether these actions were sufficient. This can also mean that actions are developed further or are stopped (see Kanning, 2017, p. 165). Figure 8 summarises the process.

Figure 8: Process of Employer Branding

Abbildung in dieser Leseprobe nicht enthalten

Source: In Kanning, 2017, p. 161

3.2.4 Factors of Success

Employer branding has the potential to increase the reputation of an enterprise, which can help an employer become the employer of choice. Therefore, different factors must be reflected upon to reach this target.

First of all, the management has to support this theme. Therefore, they have to commit to this project (see Kriegler, n.d., p. 10). Before starting the creation of an employer brand, the role of the enterprise must be reflected in relation to its envi- ronment: What does the enterprise hold? How is it positioned in society? What in- terests have the different stakeholder groups got? What are the strengths and weaknesses of the company? Responding these questions is the basis for defining the objective and the central statements throughout the whole process (see Nagel, 2011, p. 57).

The employer branding strategy must reflect the culture and mission statement of the enterprise (see Nagel, 2011, p. 56). If the employer branding strategy reflects different cultures from different countries, these different cultures must be considered while developing the strategy (see Kriegler, n.d., p. 10).

Implementing the employer brand internally is important for allowing the brand to be acceptance by employees. That’s why all employees, down to the shop-floor, must be reflected in the communication. Moreover, all employees should have the same understanding of where the employer is positioned within the market and what val- ues it has. The employees are an important factor in creating a strategy. They may give the input on how the brand should be positioned in the market. Reflecting the employees in the process increases the internal commitment (see Kriegler, n.d., p. 10). The motivation increases and the fluctuation decreases. Moreover, employees can become testimonials for the employer brand (see Nagel, 2011, 56).

Employer branding is a project that lasts years. It is more than a campaign (see Nagel, 2011, p. 56). During these years changes can happen which influences the employer branding strategy. These changes must be reflected in the strategy (see Kriegler, n.d., p. 10).

Corporate, product and employer branding interact with each other. The biggest issue for enterprises is differentiating these strategies from one another. The em ployer brand is always based on the corporate brand, a difficult issue if the corporate brand isn’t very famous (see Kriegler, n.d., p. 10).

The most important factor for success is the authenticity of the whole project. If the messages submitted aren’t consistent, the strategy will fail. The content given should be honest and must fit to the enterprise. All promises given must be kept (see Nagel, 2011, p. 65). All actions used to communicate the employer brand will influence the impression made by potential candidates. That’s why all actions must be congruent and transmit the same message (see Brast et al., 2017, p. 43). Oth- erwise the strategy has a deterrent effect on current and potential employees and the fluctuation may increase (see Nagel, 2011, p. 65). The central part of the em- ployer brand is the EVP. It should be well-defined and should be focused on the central characteristics of the employer. At the same time, the EVP should reflect attitudes, values and preferences of the target group. If the EVP is credible and unique, the number of applicants and the applicant suitability increase (see Brast et al., 2017, p. 43).

4. CSR and Employer Branding

The following gives an overview about the current research situation regarding the two concepts CSR and employer branding. Moreover, the concept sustainable branding is described.

4.1 Current Research

4.1.1 Role of CSR to Attract and Retain Employees

There is emerging evidence that an effective CSR management has a significant impact on motivating, retaining and developing employees. Employers fulfilling their responsibility have a high employee retention and satisfaction. Moreover, they are more successful in recruiting new employees. Different researchers confirm this. CR Magazine ’ s Corporate Reputation survey reports in 2015, that 86% of American females wouldn’t work for an enterprise which had a bad reputation. Nielsen found that 67% of employees prefer to work for an enterprise who fulfilled their social re- sponsibility (see Bolla, 2016, p. 47). In a study by Felix Dresewski 42% of partici- pants said that demonstrating responsibility was a reason for candidates to take the job in this company (see Schmitt, 2008, p. 18). Moreover, 87% of European em- ployees feel more loyal to enterprises reflecting the concept of CSR in their strate- gy. In Germany, 93% of these employees feel more connected to these enterpris- es. The satisfaction level of employees - working in enterprises engaging in social themes - is 14% higher than of employees in other enterprises. Also, the motivation increases by 30% (see Schmitt, 2008, p. 18). Another international study by the Society for Human Resource Management in 2006 confirms that CSR is important for “morale (50%), loyalty (41%), retention (29%), recruitment of top employees (25%) and productivity (12%)” (Strandberg, 2010, p. 6). A survey led by the Con- ference Board of Canada in 2000 found that 71% of employees want a job at com- panies who fulfil their social obligations. Another study by Cone Incorporation in the USA draws the same conclusion: Social engagement from enterprises is important for people accepting a job offer. A Scotiabank study 2007 concluded that 70% of employed Canadians would think about changing their jobs if their employers don’t complete their social responsibility (see Strandberg, 2010, p. 9).

CSR and its themes reflect the particular values from younger people. This group of employees is searching for a job in enterprises that meets the values they believe in. They prefer jobs that give them purpose. These jobs are only applicable in en- terprises based on a value-oriented leadership including a CSR strategy. If these people take a job within these companies, they are highly motivated and identify with the values of the enterprise (see Sutter, 2015, p. 648f.). They would like to work for enterprises that differentiate themselves with these themes in contrast to other companies. In 2007 the Aspen Institute ’ s study of MBA students suggested that for 26% of respondents it is important to find a work that contributes to a better world. Moreover, 78% of 14-18-year-olds said, that money is less important than personal fulfilment. They want to work for enterprises who demonstrate the im- portance of their social and environmental responsibility. A study of Stanford Uni- versity 2003 supports this result. They found that MBA graduates would earn in average $13,700 less money working for a responsible enterprise (see Strandberg, 2010, p. 9f.). At the same time, high qualified employees often have the possibility to choose their employer, a point which has to be considered (see Bolla, 2016, p. 47).

All these studies underline the importance of CSR for employees. Rübsaamen et al. (2013, p. 157) criticise that the problem of social desirability isn’t reflected within these studies. In the case of social desirability, the respondent answers in the way they think it is accepted by the society. For CSR it means that no one would answer saying that CSR is unimportant. If asked what aspects are important for employees regarding potential employers, CSR is answered marginally more than other an- swers. They also emphasise, that CSR is more a hygienic than a motivating factor adapting Herzberg's motivation-hygiene theory. No employee would choose an employer who is known to treat its employees in a negative way. They also state, that the importance of CSR is dependent on age and work experience. For em- ployees who have job experience and can choose between several job offers and potential employers, CSR is a more relevant theme (see Rübsaamen, Wechsler, 2013, p. 157).

[...]

• College: University of applied sciences Dortmund
• Grade: 1,3
• Author: Christin Wessels (Author)
• Publication Year: 2018
• Pages: 140
• Catalog Number: V442184
• ISBN (eBook): 9783668809208
• ISBN (Book): 9783668809215
• Language: English
• Tags: CSR, Employer Branding