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Chapter 5

SUMMARY OF FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS

This chapter presents a discussion of the findings, its implications derived

from the findings, the conclusions and recommendations

Summary

The objective of the study was to determine the level of awareness,

implementation as well as the business and social benefits of the Corporate Social

Responsibility of lumber companies in the province of Bulacan.

More specifically, the study sought to answer the following questions:

1. What is the profile of the respondents in terms of the following aspects?

1.1 Respondent-Owner

1.1.1 Age

1.1.2 Highest Educational Attainment

1.1.3 Nationality

1.2 Respondent-Lumber Company

1.2.1 Location

1.2.2 Form of the Business Organization

1.2.3 Number of Years in the Business Operation

1.2.4 Number of Employees/Workers

1.2.5 Present of Amount Capitalization

1.2.6 Membership in the Civic organization/s


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2. What is the level of awareness of the respondents on the following

components of a Corporate Social Responsibility?

2.1 Economic

2.2 Legal

2.3 Ethical

2.4 Philanthropic

3. What is the level of implementation of the Corporate Social Responsibility

of lumber companies in the province of Bulacan towards the

following stakeholders?

3.1 Owners/Stockholders

3.2 Government

3.3 Customers

3.4 Suppliers/Creditors

3.5 Employees

3.6 Competitors

3.7 Community/Environment

4. Which of the following specific Corporate Social Responsibility programs

are being maintained and supported by the lumber companies in the

province of Bulacan ?

4.1 Clean / Green Environment

4.2 Scholarship Program

4.3 Free Medical Program


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4.4 Helping Poor Family Program

4.5 Proper Disposal of Waste Products

4.6 Company owns a fire truck for community use

4.7 Company owns an ambulance for community use

4.8. Supporting a Livelihood Program

4.9. Contributions to build schools

4.10 Contributions to build hospitals

5. How do the owners of lumber companies describe the business and

social benefits of their Corporate Social Responsibility ?

6. Is there a significant difference in the assessment of the respondents on

their level of awareness, implementation and business and social

benefits of their Corporate Social Responsibility when they are grouped

according to their profile ?

7. What are the problems encountered by the lumber companies in the

province of Bulacan on their Corporate Social Responsibility ?

The study hypothesized that there is no significant difference in the

assessment of the respondents on the level of awareness, implementation and

business and social benefits of their Corporate Social Responsibility when they are

grouped according to their profile.

The study involved the owners of the one hundred twenty lumber

companies located in the province of Bulacan that were issued with Lumber

Dealer Permit by the Department of Environment and Natural Resources (DENR)


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Region III as of 2010. To gather secondary data, the study also utilized

representations from the various stakeholders of the respondent-companies to

assess the responses of the respondent-owners. Representations were randomly

selected and consisted of three customers, two suppliers/creditors, three

employees, one competitor, and three community-residents for each respondent-

company. Secondary data was also collected thru the interview conducted by the

researcher with Mr. Manolito Castro, Chief of Permit and License Division of the

CENRO-San Rafael, Bulacan; Mr. Roger V. Encarnacion, Officer-In-Charge of the

CENRO-Tabang, Bulacan; and Mrs. Josefina R. Teodoro, Senior Labor and

Employment Officer of the Department of Labor and Employment (DOLE)

Region III Office, City of San Fernando, Pampanga.

Findings

The significant findings of the study include the following:

1.0 Profile of Respondent-Owners and Companies

1.1 Profile of the Owner

The study used one hundred twenty owners of lumber companies as the

respondents of the study. It was found that most of the owners of lumber

companies in the province of Bulacan are middle-aged and that the average age of

the respondents is 52 years old. More than half of the respondents are college

graduates and that the lumber companies in the province of Bulacan are
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dominated by the Chinese nationals, although more Filipino businessmen are

beginning to penetrate the lumber industry.

1.2 Profile of the Company

Respondent-companies of this study are located in the different towns and

cities in the province of Bulacan, namely the towns of Balagtas, Baliuag,

Bocaue, Bustos, Calumpit, Guiguinto, Hagonoy, Marilao, Plaridel, Pulilan, San

Ildefonso, San Miguel, San Rafael, Sta. Maria and the cities of Malolos,

Meycauayan, and San Jose del Monte. The City of Meycauayan, which is located

in the southern-most part of Bulacan and the nearest to the Metro Manila, has the

most number of lumber companies. It was found that more than half of the

respondent-companies are corporations. A significant number of lumber

companies in the province of Bulacan have been in existence for more than twenty

years and have been providing goods and services to many people in Bulacan in

terms of construction and infrastructure development. The respondent-companies

are also found to be considered micro- and smallsized enterprises relative to its

number of people employed. However, in terms of asset size, these lumber

companies are considered small and medium-sized enterprises. Lumber

companies in the province of Bulacan are found not very active in the membership

in civic organizations which could help them implement their CSR activities or

programs.
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2.0 Level of Awareness on the Economic, Legal, Ethical, and Philanthropic


Components of the Corporate Social Responsibility

2.1 Economic Component

It was found that respondents are very much aware of the importance of

performing in a manner consistent with maximizing earnings/profits and being as

profitable as possible. Respondents are found to be very much aware of their

economic responsibilities.

2.2 Legal Component

For the level of awareness on the legal component of the CSR, it was found

that respondents are very much aware that it is important that a successful firm

recognizes its legal obligations and also the importance of being a law-abiding

corporate citizen. In terms of other issues in the legal component of the CSR,

respondents are found to be much aware of their legal responsibilities.

2.3 Ethical Component

For the level of awareness on the ethical component of the CSR, it was found

that respondents are much aware of the importance of recognizing that

corporate integrity and ethical behavior go beyond mere compliance with laws and

regulations. With regards to the grand weighted mean rating for the level of

awareness on the ethical component, it was found that respondents are much

aware of their ethical responsibilities.

2.4 Philanthropic Component

For the level of awareness on the philanthropic component of the CSR, it was

found that respondents are much aware of the importance of assisting


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voluntarily those projects that enhance a communitys quality of life and the

importance of the managers and employees to participate in voluntary and

charitable activities within their local communities. The grand weighted mean rating

for the level of awareness has shown that respondents are much aware of their

philanthropic responsibilities. However, in terms of mean value, philanthropic

component of the CSR was given the lowest value by the respondents.

3.0 Level of Implementation of the Corporate Social Responsibility Programs


Towards the Stakeholders

3.1 Towards the Owners/Stockholders

Findings of the study showed that respondents have very much

implemented the practice of maintaining good image/reputation of the company,

operating the business efficiently to ensure the safety of capital investments and

utilizing its capital and other resources for growth, appreciation and fair return on

investment. It was also found that respondents have much implemented the other

CSR programs towards owners/stockholder that made the grand weighted mean

rating for the level of implementation of the CSR programs towards

owner/stockholders to have verbal interpretation of much implemented, although

it was also found that the grand weighted mean rating for the level of awareness

on the economic component was given verbal interpretation of very much aware.

3.2 Towards the Government

For the level of implementation of the CSR programs towards the

government, it was found that respondents very much implemented the practice
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of paying fees, duties and taxes regularly and honestly and complying with the

different government laws and regulations regarding business operations. The

grand weighted mean rating for the level of implementation of the CSR programs

towards government has verbal interpretation of very much implemented. This

finding corresponds with the results of interview conducted with Mr. Manolito

Castro of CENRO and Mrs. Josefina Teodoro of DOLE.


Based on the interview conducted with Mr. Castro, respondent-companies

complied with the legal requirements for them to run a lumber business and be

issued with Lumber Dealer Permit by the Department of Environment and Natural

Resource - Region III Office. These required legal documents are Lumber Supply

Contract, DTI/SEC Registration, Mayors Permit, Business Plan, last two years of

the Income Tax Return, and Environment Clearance Certificate (ECC).

Based on the interview with Mrs. Teodoro, lumber companies in Bulacan are

inspected by the DOLE once a year. Company documents such as payroll is

being checked to determine if the respondent-companies are properly complying

with rules and regulations of the DOLE in terms minimum wage law. The

remittances of SSS, Pag-ibig and PhilHealth contributions of the employees are

also being checked by the DOLE. For the safety of the employees/workers, DOLE

has issued Certificate of Electrical Inspection to all respondent-companies. This

certification is being issued to ensure the protection of the workers against the

dangers of injury, sickness or death through safe and healthful working conditions,

thereby assuring the conservation of valuable manpower resources and the

prevention of loss or damage to lives and properties.


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3.3 Towards the Customers

For the level of implementation of CSR programs towards the customers,

the study found that respondents have very much implemented the practice of

maintaining quality assurance of the products and services for customer

satisfaction; keeping an open dialogue with customers that aims at maximization of

customer satisfaction; treating the customer complaints with prompt attention,

consideration, respect and courtesy; providing the customers with truthful

information to protect them from product/service harm. (e.g. advantages and

disadvantages of the products); delivery of the goods to the customers on time or

as agreed upon; and pricing of goods/services that are reasonable and affordable.

The grand weighted mean rating for the level of implementation of the CSR

programs towards customers was found to have a verbal interpretation of very

much implemented. Respondents level of implementation of their CSR programs

towards the customers is consistent with the respondents level of awareness on

the economic component of the CSR. It may indicate that respondents consider

their customers as part of their economic responsibility or making profit.

Based on the assessment made by the customers regarding the respondent-

owners level of implementation of their CSR towards the customers, it was found

that owners of lumber companies have very much implemented only the practice

of having prices of goods/services that are reasonable and affordable. The other

CSR practices claimed to be very much implemented by the respondent-owners


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are assessed by the customers themselves as much implemented and slightly

implemented only.

Findings revealed that the grand weighted mean rating of the respondent-

owners level of implementation of their CSR towards customers as very much

implemented was assessed only by the customers themselves as much

implemented only.

3.4 Towards the Suppliers/Creditors

For the level of implementation of the CSR programs towards the

suppliers/creditors, the study revealed that respondents have very much

implemented the practice of being always fair and truthful with all its

transactions/negotiations with its suppliers/creditors, being respectful, courteous

and considerate to its suppliers/creditors, making timely payment of dues to its

suppliers/creditors and sharing honest information with the suppliers/creditors. The

grand weighted mean rating for the level of implementation of the CSR programs

towards suppliers/creditors was found to be very much implemented, the same

way that respondents are very much aware of their economic responsibility. This

may indicate that respondents consider suppliers/creditors as part of the

realization of their economic objectives profitability.

Based on the assessment made by the suppliers/creditors regarding the

respondent-owners level of implementation of their CSR towards the

suppliers/creditors, it was found that the CSR practices claimed to be very much

implemented by the respondent-owners were assessed by the suppliers/creditors


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as much implemented, implemented, and slightly implemented only no CSR

practice was very much implemented.

Findings revealed that the grand weighted mean rating of the respondent-

owners level of implementation of their CSR towards suppliers/creditors as very

much implemented was assessed only by the suppliers themselves as

implemented only.

3.5 Towards the Employees/Workers

For the level of implementation of the CSR programs towards the

employees/workers, the study found that respondents have very much

implemented only one among the seven practices in the CSR programs towards

their employees/workers - maintaining a work environment that is safe and sound

for all employees. The other practices such as paying the workers/employees with

what the Minimum Wage Law prescribes plus other benefits, on time and on

regular basis ; providing religious freedom among the employees/workers; having

regularized employment and job security; keeping an open dialogue with its

employees/workers regarding employment issues; and providing timely training

and development for the employees/workers were found to be much

implemented by the respondents. The grand weighted mean rating for the level of

implementation of the CSR programs towards the employees/workers was given

verbal interpretation of much implemented

Based on the assessment made by the employees/workers regarding the

respondent-owners level of implementation of their CSR towards the


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employees/workers, it was found that the CSR practice of maintaining a work

environment that is safe and sound for all employees, that was claimed to be very

much implemented by the respondent-owners was actually assessed by the

employees as slightly implemented only. The other CSR practices claimed to be

much implemented by the respondent-owners such as having fair recruitment

and promotion among employees; providing timely training and development for

the employees/workers; having regularized employment and job security; and

keeping an open dialogue with its employees/workers regarding employment

issues were assessed by the employees/workers themselves as slightly

implemented only.

Findings revealed that the grand weighted mean rating of the respondent-

owners level of implementation of their CSR towards the employees/workers as

much implemented was assessed only by the employees/workers themselves

as implemented only. Findings also revealed that the assessment made by the

employees/workers on the level of implementation of the respondent-owners

Corporate Social Responsibility towards the employees/workers does not

correspond with the result of the interview with Mrs. Teodoro of the Department of

Labor and Employment

3.6 Towards competitors

For the level of implementation of the CSR programs towards the

competitors, the study found that respondents have much implemented the

following practices towards competitors: not pirating employees just to obtain trade
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and business success of the competitors; not defaming the competitors through

false or ambiguous advertisement; observing and abiding by the The Gentlemens

Agreement with its competitors; not persuading the customers to break contracts

made with other competitors; and not offering heavy discounts and/or free

products to get the customers away from the competitors. It was also found that

the grand weighted mean rating for the level of implementation of the CSR

programs towards competitors has a verbal interpretation of much implemented.

Based on the assessment made by the competitors regarding the

respondent-owners level of implementation of their CSR towards the

competitors, it was found that the CSR practices claimed to be much

implemented by the respondent-owners such as not defaming the competitors

through false or ambiguous advertisement; not persuading the customers to break

contracts made with other competitors; not offering heavy discounts and/or free

products to get the customers away from the competitors; and observing and

abiding by the The Gentlemens Agreement with its competitors, were assessed

by the competitors to be implemented and slightly implemented only.

Findings revealed that the grand weighted mean rating of the respondent-

owners level of implementation of their CSR towards competitors as much

implemented was assessed only by the competitors themselves as implemented

only.

3.7 Towards the Community/Environment


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For the level of implementation of the CSR programs towards the

community/environment, the study found that respondents have very much

implemented the practice of emission testing of their vehicles as required by the

LTO and this in compliance to Republic Act 8749 (Phil. Clean Air Act).

However, the study found that respondents have just much implemented

the following practices for CSR programs towards community/environment:

complying with standards and laws pertaining to environmental concerns;

initiating and practicing proper solid waste management the companys plant

disposes solid waste properly; prioritizing local community residents in hiring for

job employment; supporting/coordinating with government and non-government

organizations in activities related to environmental protection; initiating advocacy

and awareness campaigns related with environmental protection (e.g. Tree

Planting).

It was further found that respondents have implemented the following

practices for the CSR programs towards community/environment: initiating fund

drives and donation in cases of calamities and disasters; helping poor people in

the community; helping preserve social and cultural values through promoting and

supporting sports and other community programs.(e.g. sports sponsorship);

providing financial/technical support for its livelihood project to make the local

community residents self-reliant; holding annual medical mission of free check-up,

medicine, dental services and other medical services; and providing scholarship

grants and donates books and other school supplies to the community.
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The grand weighted mean rating for the level of implementation of the CSR

programs towards community/environment has a verbal interpretation of much

implemented, and it is coherent with the respondents level of awareness of their

philanthropic responsibility, the lowest rating among the four components of the

CSR.

Based on the assessment made by the residents of the community

regarding the respondent-owners level of implementation of their CSR towards

community/environment, it was found that the CSR practices claimed to be much

implemented by the respondent-owners such as initiating advocacy and

awareness campaigns related with environmental protection (e.g. Tree Planting);

supporting/coordinating with government and non-government organizations in

activities related to environmental protection; and complying with standards and

laws pertaining to environmental concerns, were assessed by the members of the

community as slightly implemented only.

The CSR practice of initiating and practicing proper solid waste

management the companys plant disposes solid waste properly. (DENR

Ecological Waste Management Program) claimed by the respondent-owners as

much implemented, was assessed by the members of the community as

implemented only.

It was also found that the CSR practices claimed to be implemented by

the respondent-owners such providing financial/technical support for its livelihood

project to make the local community residents self-reliant; providing scholarship


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grants and donates books and other school supplies to the community; and

initiating fund drives and donation in cases of calamities and disasters, were

assessed by the members of the community as slightly implemented only.

Findings then revealed that the grand weighted mean rating of the

respondent-owners level of implementation of their CSR towards

community/environment as much implemented was assessed by the residents


of the community as implemented only

4.0 Corporate Social Responsibility Programs Being Maintained and


Supported by Respondents

The study found that respondents maintain and support different programs

as part of their Corporate Social Responsibility.

A big number of respondents support the sponsorship of fiesta activities as

their major CSR programs. Less than fifty per-cent of the respondents support

program for a clean / green environment, but not being maintained. Other

programs being supported by the respondents are proper disposal of waste

products, sports sponsorship, helping poor family, free products/services, free

medical programs, contributions to build schools, scholarship program, livelihood

programs; orphanage/home for the aged, company owns a fire truck, company

owns ambulance, contribution to build hospitals. According to the respondents,

when they were asked, they could not maintain these CSR programs.

5.0 Business and Social Benefits of the Corporate Social Responsibility


Programs
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The study also revealed how the respondents described the business and

social benefits of their CSR programs. It was found that respondents strongly

agree that their CSR programs enhance their companys reputation/goodwill.

However, respondents only agree with the following business and social benefits,

that their CSR programs : increase their companys customer loyalty; improve their

companys financial performance; improve the relationship of their company with

its suppliers/creditors; help their company to sell products that are environmental-

friendly; help their company to attract and retain the best employees; strengthen

the relationship of their company with the community; increase the companys

sales volume; improve societal and environmental conditions; improve the well-

being and performance of the employees/workers; improve their companys

access to capital), serve as their companys competitive advantage over their

competitors; help the community to be vibrant; make their company more

transparent; improve the relationship of their company with the government;

improve their companys productivity and product quality; help in reducing or

eliminating social problems; reduce government regulatory oversight; reduce their

companys operating cost; and reduce/ or eliminate their companys product and

social liability.

The grand weighted mean rating was found to be have a verbal interpretation

of agree that the respondents CSR programs benefit not only their business

organizations, but also the community, society and the environment.


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6.0 Significant Difference on the Level of Awareness, Implementation and


Business and Social Benefits of Respondents Corporate Social
Responsibility Programs When They are Grouped According to Their
Profile

6.1 Respondent-Owner

6.1.1 Level of Awareness of the Respondents on the Components


of CSR When They are Grouped According to Age

Using the Analysis of Variance (ANOVA) test, it was found that there is no

significant difference on the level of awareness among respondents when they are

grouped according to age. It was also found that among the components of the

CSR, philanthropic was given the lowest level of awareness by all respondents

and that they concentrate more on the economic component of the CSR or the

profitability of the business. Respondents do not see the four components as

equally important issues of the CSR.

6.1.2 Level of Implementation of the Respondents CSR Programs


When They are Grouped According to Age.

The study found that when the respondents are grouped according to age,

there is no significant difference on the level of implementation of their CSR

programs towards owners/stakeholders, government, customers,

suppliers/creditors, employees, competitors, community/environment. It was

found that all respondents are more socially responsible towards the customers,

government, suppliers/creditors and owners/stockholders than towards the

community/environment, competitors and employees.

6.1.3 Social and Business Benefits of the Respondents CSR


Programs When They are Grouped According to Age
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It was found that that there is no significant difference among the

respondents when they are grouped according to age with regards to the

description of the business and social benefits of their CSR programs. It was

also found that all respondents in relation to age have the same level of

assessment regarding the business and social benefits of their CSR programs.

They just agree with the business and social benefits of the CSR.

6.1.4 Level of Awareness of the Respondents on the


Components of CSR When They are Grouped According to
Highest Educational Attainment.

The ANOVA results found that there is no significant difference on the level

of awareness among respondents when they are grouped according to their

highest educational attainment. Findings show that all respondents, regardless of

their educational attainment, do not have profound knowledge that they have also

responsibility to the community/environment as part of the philanthropic component

of the CSR.

6.1.5 Level of Implementation of the Respondents CSR Programs


When They are Grouped According to Highest Educational
Attainment.

The study found that when the respondents are grouped according to their

highest educational attainment, there is no significant difference in the level of

implementation of their CSR programs towards the owners/stakeholders,

government, customers, suppliers/creditors, employees, competitors,

community/environment. It was found that respondents are more concerned with

the stakeholders who have direct impact to their economic objectives such as
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customers and less concerned with stakeholders that indirectly impact their

economic objectives such as the community/environment.

6.1.6 Social and Business Benefits of the Respondents CSR


Programs When They are Grouped According to Highest
Educational Attainment

The study found that there is no significant difference among the

respondents when they are grouped according to highest educational attainment

with regards to their perceptions on the business and social benefits of their CSR

programs. It meant that educational attainment is not a factor for all the

respondents to have different assessment of the social and business benefits of

their CSR programs.

6.1.7 Level of Awareness on the Components of CSR When They


are Grouped According to Nationality

Using the t-test, it was found that there is no significant difference on the

level of awareness between the Chinese respondents and Filipino respondents

with regards to the economic, legal, ethical and philanthropic components of CSR.

It was also found that both Chinese and Filipino owners of lumber companies in the

province of Bulacan have the same level of awareness on the four components of

the CSR and that they have lower level of awareness on their philanthropic

responsibility.

6.1.8 Level of Implementation of the Respondents CSR Programs


When They are Grouped According to Nationality

T-test results found that there is no significant difference between the

Chinese respondents and Filipino respondents with regards to the level of


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implementation of the CSR programs towards the owners/stockholders,

government, customers, suppliers/creditors, employees, competitors,

community/environment. Again, it was found that both Chinese and Filipino owners

of lumber companies in the province of Bulacan have higher level of

implementation of their CSR programs towards the customers, suppliers/creditors

and government than towards the employees and community/environment.

6.1.9 Social and Business Benefits of the Respondents CSR


Programs When They are Grouped According to Nationality
Using t-test again, it was found that that there is no significant difference

between the Chinese respondents and Filipino respondents with regards to their

perceptions on the business and social benefits of their CSR programs. All

respondents, whether Chinese or Filipino, do not strongly agree with the business

and social benefits of their CSR programs.

6.2 Respondent-Company

6.2.1 Level of Awareness of the Respondents on the Components


of CSR When They are Grouped According to Form of
Business Organization

It was revealed that, using the Analysis of Variance (ANOVA) test, there is

no significant difference on the level of awareness on the economic, legal, ethical

and philanthropic components of the CSR among respondents when they are

grouped according to form of business organization. The form of business

organization of the respondent-companies, whether it was a corporation or a

partnership, is not a factor for them to have different level of awareness on the

components of the CSR.


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6.2.2 Level of Implementation of the Respondents CSR Programs


When They are Grouped According to Form of Business
Organization.

The study found that there is no significant difference in the respondents

level of implementation of their CSR programs towards owners/stakeholders,

government, customers, suppliers/creditors, employees, competitors,

community/environment when they are grouped according to form of business

organization. It was found that all respondent-companies, whether they were

corporations or partnerships, have the lowest rating of level of implementation of

their CSR programs towards the community/environment. They are more focused

on the profitability of their business organization or their economic responsibilities.

6.2.3 Social and Business Benefits of the Respondents CSR


Programs When They are Grouped According to Form of
Business Organization

The study found that there is no significant difference among the

respondents when they are grouped according to form of business organization

with regards to the description of the business and social benefits of their CSR

programs. All respondent-companies, whether they were corporations or

partnerships, have the same level of assessment of the business and social

benefits of the CSR programs.

6.2.4 Level of Awareness of the Respondents on the Components


of CSR When They are Grouped According to Number of
Years in Operation

It was revealed that there is no significant difference in the level of

awareness on the economic, legal, ethical and philanthropic components of the


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CSR among respondents when they are grouped according to the number of

years in operation. Number of years of existence does not have any bearing for

the respondent-companies in terms of level of awareness on the four components

of CSR. Even the respondent-companies that have been operating for more than

fifteen years, they have the lowest level of awareness on the philanthropic

component of the CSR, just like respondent-companies of less than five years in

existence. Therefore, no matter how many years they have been in the lumber

business, all respondents have the same level of awareness on the four

components of the Corporate Social Responsibility.

6.2.5 Level of Implementation of the Respondents CSR Programs


When They are Grouped According to Number of Years in
Operation

The study found that there is no significant difference in the respondents

level of implementation of their CSR programs towards the owners/stakeholders,

government, customers, suppliers/creditors, employees, competitors,

community/environment when they are grouped according to the number of years

in operation. Number of years in operation is not again a factor for the lumber

companies in the province of Bulacan to have a different level of implementation of

their CSR programs. It was found that respondent-owners are more focused on

CSR programs towards customers, supplier/creditors and government than

towards the employees/workers and community/environment.

6.2.6 Social and Business Benefits of the Respondents CSR


Programs When They are Grouped According to Number of
Years in Operation
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It was revealed that there is no significant difference among the respondents

when they are grouped according to the number of years in operations with

regards to the description of the business and social benefits of their CSR

programs. All respondent-companies, no matter how long they exist, have the

same level of assessment of the business and social benefits of their CSR

programs.

6.2.7 Level of Awareness of the Respondents on the


Components of CSR When They are Grouped According to
Number of Employees/Workers

The study found that there is no significant difference in the level of

awareness on the economic, legal, ethical and philanthropic components of the

CSR among respondents when they are grouped according to the number of

employees/workers they have. Findings show that the number of

employees/workers has nothing to do with the respondents level of awareness on

the components of CSR. Again, respondents are more aware of their economic,

legal and ethical responsibilities than their philanthropic responsibilities.

6.2.8 Level of Implementation of the Respondents CSR Programs


When They are Grouped According to Number of
Employees/Workers

It was found that there is no significant difference in the respondents level

of implementation of their CSR programs towards owners/stakeholders,

government, customers, suppliers/creditors, employees, competitors,

community/environment when they are grouped according to the number of

employees/workers. No matter what the number of employees/workers that


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respondents employ, they have the same level of implementation of the CSR

programs. All respondents, again, regard the community/environment as the least

among the stakeholders considered in the study as part of the philanthropic

responsibility.

6.2.9 Social and Business Benefits of the Respondents CSR


Programs When They are Grouped According to Number
of Employees/Workers.

It was revealed that there is no significant difference among the respondents

when they are grouped according to the number of employees/workers with

regards to the description of the business and social benefits of their CSR

programs. The number of employees/workers is not a factor for all the respondents

to have a different assessment on the social and business benefits of their CSR

programs.

6.2.10 Level of Awareness of the Respondents on the


Components of CSR When They are Grouped According to
Present Amount of Capitalization.

The study found out that there is no significant difference in the level of

awareness on the economic, legal, ethical and philanthropic components of the

CSR among respondents when they are grouped according to the present amount

of their capitalization. In case of the lumber companies in the province of Bulacan,

capitalization is not a factor for the respondents to have different level of

awareness on the components of CSR. All respondents, regardless of their

present capitalization, are more aware of their economic, ethical and legal

responsibilities than their philanthropic responsibilities.


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6.2.11 Level of Implementation of the Respondents CSR


Programs When They are Grouped According to Present
Amount of Capitalization

The study found that there is no significant difference in the respondents

level of implementation of their CSR programs towards owners/stakeholders,

government, customers, suppliers/creditors, employees, competitors,

community/environment when they are grouped according to the present amount

of capitalization. It was found that all respondents, whether small- size or

medium-size in terms of assets, did not give a high level of implementation of

CSR programs towards community/environment and that they are all concern with

stakeholders with direct impact to the realization of their economic objectives such

as customers with the highest level of implementation of CSR programs.

6.2.12 Social and Business Benefits of the Respondents CSR


Programs When They are Grouped According to Present
Amount of Capitalization

It was revealed that there is no significant difference among the respondents

when they are grouped according to the present amount of capitalization with

regards to the description of the business and social benefits of their CSR

programs. All respondents, regardless of their present capitalization, just agree

with business and social benefits of their CSR programs.

7.0 Problems Encountered by the Respondents on Their Corporate Social


Responsibility Programs

The study found that although respondents agree with the business and

social benefits of the CSR programs, these are not very much implemented

because of the following problems: lack of budget, lack of


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understanding/awareness about the concept of CSR, lack of support from the

government, lack of time for practicing the CSR Program, lack of support from

community, lack of trained and educated work force and lack of interest within the

company.

Conclusions

Based on the findings of the study, the researcher concluded the following:

1. As to Profile of the Respondent-Owner and -Company

Based on the data presented, it appeared that lumber companies in the

province of Bulacan are dominated by the Chinese businessmen, although Filipino

businessmen are beginning to penetrate this kind of business. The average age of

the owners is 52 years old and most of them are college graduates. They are also

members of different civic and business organizations such as the Filipino-Chinese

Chamber of Commerce, the Philippine Wood Product Association, and the Bulacan

Chamber of Commerce and Industry.

Lumber companies, like any other business organizations, play an important

role in the economic development of the society through taxes they pay and job

opportunities and employment they generate which most of them are corporations

and have been existing for more than 20 years. There are also thousands of

families who make a living because of lumber companies. It is one of the oldest

industries in the province of Bulacan.


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Undoubtedly, lumber companies are part of the society for its economic

development.

2. As to Level of Awareness on the Economic, Legal, Ethical, and


Philanthropic Components of the Corporate Social Responsibility

Owners of lumber companies in the province of Bulacan have different level

of awareness on the economic, legal, ethical and philanthropic components of the

CSR. It was concluded that they are very much aware of the economic component

of the CSR, that is the profitability of the business. However, they are not that very

much aware of the legal and ethical components of the CSR especially the

philanthropic component. It showed that philanthropic component had the lowest

mean rating in terms of level of awareness. It was also concluded that

respondents have an incomplete conceptual understanding of the Corporate

Social Responsibility and are less focused on taking CSR programs particularly

the philanthropic component as a source of the companys competitive advantage.

3. As to Level of Implementation of the Corporate Social Responsibility


Programs Towards the Owners/Stockholders, Government, Customers,
Suppliers/Creditors, Employees, Competitors, and Community/
Environment

Owners of lumber companies in the province of Bulacan have implemented

their CSR programs towards various stakeholders but on a different level. It was

concluded that they have very much implemented their CSR programs towards

customers, suppliers/creditors and government but not as much as towards

employees, competitors and especially towards community/environment because


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of its lowest mean rating in terms of level of implementation. Respondents have a

higher level of implementation of their CSR programs towards the customers,

suppliers/creditors and owners/stockholders than towards the

community/environment because customers, suppliers/creditors and

owners/stockholders are perceived by the respondents to have direct impact on the

realization of their economic objectives, one component of the CSR in which they

have the highest level of awareness.

Based on the assessment made by the various stakeholders, it may also be

concluded that respondent-owners level of implementation of their corporate social

responsibility towards various stakeholders differs from the assessment made by

these stakeholders. Based on the assessment made by the different stakeholders,

only the stakeholder-customer has the level of much implemented and the rest of

the stakeholders have the level of implemented only. It may be concluded,

therefore, that owners of lumber companies do not really put much importance on

their corporate social responsibility towards various stakeholders as contrary to

what they have claimed that they have much implemented their CSR practices. It

may also be concluded that DOLE has not strictly implemented its rules/policies for

the occupational health and safety of the employees/workers of the respondent-

companies.

4. As to Corporate Social Responsibility Programs Being Maintained and


Supported by Respondents

Owners of lumber companies in the province of Bulacan support the CSR

programs but only as means of marketing strategy, not in a real sense of the word
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Corporate Social Responsibility. They do not maintain CSR programs particularly

those programs that protect the society, community and environment., Most of the

owners have supported sponsorship of fiesta activities, which according to them,

is part of their CSR. Very few of them really maintain and support programs for the

betterment of the community and for the protection of the environment. It also

appeared from the results of the study that most CSR programs being implemented

presently by respondents are focused on short term economic benefits. There

seems a lack of understanding of how business can contribute to create

sustainable programs that promote community development and decrease

environmental impact in future of their business operation.

5. As to Business and Social Benefits of the Corporate Social Responsibility


Programs

Although respondents strongly agree that their Corporate Social

Responsibility programs can enhance their companys reputation/goodwill, they

do not strongly agree that the community and environment will benefit from the

programs that are supposed to be implemented by their companies. It can be

concluded that respondents are not very aware of the real benefits and advantages

of implementing CSR as a whole.

6. As to the Significant Difference on the Level of Awareness, Implementation


and Business and Social Benefits of Respondents Corporate Social
Responsibility Programs When They are Grouped According to Their
Profile
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Based on the data presented, it was concluded that whatever the nationality

of the respondents, no matter what their educational attainment and how old they

are, and regardless of the size of their company in terms of capitalization and

number of employees/workers, there was no significant difference on the level of

awareness, level of implementation and the description of the business and social

benefits of their CSR programs. It was also concluded that all respondents have

the same level of awareness on the four component of the CSR economic, legal,

ethical and philanthropic. They gave the lowest rating in the level of awareness

on the philanthropic component of the CSR. Among the stakeholders considered

in the study, all respondents, regardless of their profile, also gave

community/environment the lowest rating of level of implementation of CSR

programs.

7. As to Problems Encountered by the Respondents on Their Corporate


Social Responsibility Programs

The major problems encountered by most of the respondents why they could

not manage and very well implement the CSR programs are because they lack

budget, they lack understanding/awareness about the concept of CSR and there

is a lack of support from the government and community. The respondents also

lack work force who are trained and educated about the proper implementation of

the various CSR activities/programs.

Recommendations

Based on the foregoing findings and conclusions, the following


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recommendations are being proposed:

1. An organizational framework for the lumber companies in the province of

Bulacan in which the core value is environmental protection and that the four

components of the CSR - economic, legal, ethical and philanthropic are equally

incorporated with their ongoing goals, strategic and moral decisions-making.

2. As part of their strategic decisions, they should demonstrate a genuine

and long-term commitment to societys values and contribute to societys social,

environmental, and economic goals through action such as deep-seated partnering

with governmental agencies like Community Environment and Natural Resources

Office (CENRO) as well as with civic organizations for the programs like tree

planting, cleaning up the environment, adopt-a-barangay and other sustainable

projects that really protect the community, the society and the environment as a

whole which may be called Corporate Environmental Responsibility (CER).

3. The owners of lumber companies must also initiate to organize

themselves and consistently work as one big corporation to better insulate the

community, society and environment from the negative impacts of company

operations, products and services. They must respond to the pressure of the

environmental advocates to make them more sensitive to the earths diminishing

natural resources and the environmental impact of their business operations.

4. There is an urgent need to improve the quality and quantity of corporate

social responsibility programs of lumber companies in the province of Bulacan. To


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do this, the researcher recommends that a local CSR forum or dialogue be

conducted to build a very strong conceptual knowledge of the CSR. This forum or

dialogue could be formed with representatives of the government, civic

society/organizations and CSR experts from the academe and other businesses to

make the respondents understand the necessity and advantages of Corporate

Social Responsibility and remove any misconceptions related to it.

5. The lumber companies in the province of Bulacan, considered small- and

medium-size enterprises, should also form a capacity-building partnerships with

their larger corporate counterparts who could contribute with their ideas and

financial needs in support for their CSR programs and be part of the respondents

CSR framework called Sustained Social Responsiveness.

6. The different governmental agencies like the Department of Labor and

Employment and the Department of Environment and Natural Resources, should

strictly monitor/evaluate the business operations of lumber companies in the

province of Bulacan. These governmental agencies should cooperate and

coordinate with the owners of lumber companies to form an organization which

may be called Forest Stewardship to promote the responsible management of the

forests in the Philippines.

7. The researcher finally recommends that more studies about Corporate

Social Responsibility, particularly on the environmental protection using other

companies as respondents must be conducted to verify or negate the findings of

the present study.


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