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The Context in Mining Projects Influences the Corporate Social Responsibility Strategy to Earn a Social Licence to Operate: A Case Study in Peru

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  • Cesar Saenz

Abstract

The purpose of this paper is to understand how the context in mining projects influences the corporate social responsibility (CSR) strategy to earn a social licence to operate (SLO). This paper also presents a comparative case study analysis of four mining operations in Peru. This analysis was qualitative in nature and is complemented with insights from supplementary key informant interviews and the emerging literature on SLO and CSR. The findings show that mining projects with a complex‐unstable context take considerable effort and a longer process to earn an SLO. In this situation, it is not recommended that companies use either a defensive strategy or compliance. Instead, the company must use strategic and managerial strategies to reduce social conflicts. Also, when the context is low or of moderate uncertainty, it is preferable to use strategic and managerial strategies in order to gain an SLO. Copyright © 2018 John Wiley & Sons, Ltd and ERP Environment

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  • Cesar Saenz, 2018. "The Context in Mining Projects Influences the Corporate Social Responsibility Strategy to Earn a Social Licence to Operate: A Case Study in Peru," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 25(4), pages 554-564, July.
    • Handle: RePEc:wly:corsem:v:25:y:2018:i:4:p:554-564
    DOI: 10.1002/csr.1478
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    References listed on IDEAS

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    1. Franks, Daniel M. & Cohen, Tamar, 2012. "Social Licence in Design: Constructive technology assessment within a mineral research and development institution," Technological Forecasting and Social Change, Elsevier, vol. 79(7), pages 1229-1240.
    2. Prno, Jason & Scott Slocombe, D., 2012. "Exploring the origins of ‘social license to operate’ in the mining sector: Perspectives from governance and sustainability theories," Resources Policy, Elsevier, vol. 37(3), pages 346-357.
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    Cited by:

    1. Saenz, Cesar, 2021. "The relationship between corporate social responsibility and the social licence to operate: A case study in Peru," Resources Policy, Elsevier, vol. 74(C).
    2. Olivier Boiral & David Talbot & Marie‐Christine Brotherton, 2020. "Measuring sustainability risks: A rational myth?," Business Strategy and the Environment, Wiley Blackwell, vol. 29(6), pages 2557-2571, September.
    3. Cristian R. Loza Adaui, 2020. "Sustainability Reporting Quality of Peruvian Listed Companies and the Impact of Regulatory Requirements of Sustainability Disclosures," Sustainability, MDPI, vol. 12(3), pages 1-22, February.
    4. Saenz, Cesar, 2022. "Keeping up with the flow: Using multiple water strategies to earn social license to operate in the Peruvian mining industry," Resources Policy, Elsevier, vol. 77(C).
    5. Cesar Saenz, 2019. "Building legitimacy and trust between a mining company and a community to earn social license to operate: A Peruvian case study," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 26(2), pages 296-306, March.
    6. Baobao Song & Jing (Taylor) Wen, 2020. "Online corporate social responsibility communication strategies and stakeholder engagements: A comparison of controversial versus noncontroversial industries," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(2), pages 881-896, March.
    7. Luigi Leclercq-Machado & Aldo Alvarez-Risco & Sharon Esquerre-Botton & Camila Almanza-Cruz & Maria de las Mercedes Anderson-Seminario & Shyla Del-Aguila-Arcentales & Jaime A. Yáñez, 2022. "Effect of Corporate Social Responsibility on Consumer Satisfaction and Consumer Loyalty of Private Banking Companies in Peru," Sustainability, MDPI, vol. 14(15), pages 1-17, July.
    8. Alina Benyaminova & Martin Mathews & Paul Langley & Alison Rieple, 2019. "The impact of changes in stakeholder salience on corporate social responsibility activities in Russian energy firms: A contribution to the divergence/convergence debate," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 26(6), pages 1222-1234, November.
    9. Cesar Saenz, 2019. "Creating shared value using materiality analysis: Strategies from the mining industry," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 26(6), pages 1351-1360, November.
    10. Saenz, Cesar, 2023. "The social management canvas for the mining industry: A Peruvian case study," Resources Policy, Elsevier, vol. 85(PB).
    11. Alberto Diantini & Salvatore Eugenio Pappalardo & Tim Edwards Powers & Daniele Codato & Giuseppe Della Fera & Marco Heredia-R & Francesco Facchinelli & Edoardo Crescini & Massimo De Marchi, 2020. "Is this a Real Choice? Critical Exploration of the Social License to Operate in the Oil Extraction Context of the Ecuadorian Amazon," Sustainability, MDPI, vol. 12(20), pages 1-24, October.
    12. Wilson, Sigismond A., 2022. "Measuring the effectiveness of corporate social responsibility initiatives in diamond mining areas of Sierra Leone," Resources Policy, Elsevier, vol. 77(C).
    13. Saenz, Cesar, 2021. "Community partnership and ownership as key factors of community strategies. A Peruvian case study," Resources Policy, Elsevier, vol. 74(C).
    14. Dumbrell, Nikki P. & Adamson, David & Wheeler, Sarah Ann, 2020. "Is social licence a response to government and market failures? Evidence from the literature," Resources Policy, Elsevier, vol. 69(C).
    15. Curran, Louise, 2024. "Investor state dispute settlement (ISDS) and the social licence to operate of international business: An analysis of controversial cases," International Business Review, Elsevier, vol. 33(2).

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