Enhancing the Measurement of Composite Indicators of Corporate Social Performance

This paper presents a new method for aggregating multiple corporate social performance (CSP) metrics using data envelopment analysis (DEA). It offers a more comprehensive approach to measuring CSP by incorporating both positive and negative aspects of a firm’s performance. The methodology allows for a more balanced evaluation of CSP by comparing firms across industries, accounting for variations in industry practices. It also highlights how CSP inefficiencies, especially in sectors like construction, can be quantified and improved. The study reveals how the financial crisis impacted CSP and identifies potential areas for future improvement in corporate practices.

Author(s) :

Juan Aparicio, Magdalena Kapelko

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Key topics

Social Justice, Philanthropy and Human Rights

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