Ethics and corporate social responsibility integrated into knowledge management and innovation technology: A case study

The main purpose of this paper is to offer an analysis of how firms could integrate ethical values and corporate social responsibility (CSR) initiatives into its corporate and business strategies, especially in relation to its knowledge management (KM) strategy, technological innovation and human development.

A model for the “strategization” of ethics and CSR – i.e. their integration into a firm's strategies – is put forward in this paper. In addition, this model is evaluated through a case study of a Spanish innovative company, Indra. Data were generated based on interviews with various managers involved in the development of CSR, KM and corporate strategies.

The paper provides evidence of the efforts this company is making in order to connect CSR initiatives with competitive advantage through the development of intangible assets such as human capital and innovation capacity, for which KM is an essential tool.

The case study is limited to one company in order to go deeper into the “strategization” of CSR process. Future studies will focus on a larger and more diverse sample of firms.

Important factors of influence, which have been observed in this process, have been extracted from the case study, such as the necessity of promoting the company's ethical principles through its corporate culture, the human resources practices which encourage the access to and the transfer of knowledge, and relationships with its stakeholders that allow the creation of knowledge, innovation and human development.

The paper provides a model of integration of ethics and CSR into the company's strategy through four stages: establishment of CSR vision, diagnosis of CSR problems, development plan of CSR development, and communication. This model can provide a roadmap for managers in other firms in order to formulate and implement a CSR plan in accordance with the company's strategies and mission.