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University of Huddersfield RepositoryKeogh, ChristopherA study critically analysing the CSR activities of UK Supermarkets and how they compare whenevaluated using a framework based on ISO 26000Original CitationKeogh, Christopher (2016) A study critically analysing the CSR activities of UK Supermarkets andhow they compare when evaluated using a framework based on ISO 26000. Masters thesis,University of Huddersfield.This version is available at http://eprints.hud.ac.uk/id/eprint/30233/The University Repository is a digital collection of the research output of theUniversity, available on Open Access. Copyright and Moral Rights for the itemson this site are retained by the individual author and/or other copyright owners.Users may access full items free of charge; copies of full text items generallycan be reproduced, displayed or performed and given to third parties in anyformat or medium for personal research or study, educational or not for profitpurposes without prior permission or charge, provided: The authors, title and full bibliographic details is credited in any copy;A hyperlink and/or URL is included for the original metadata page; andThe content is not changed in any way.For more information, including our policy and submission procedure, pleasecontact the Repository Team at: E.mailbox@hud.ac.uk.http://eprints.hud.ac.uk/

A study critically analysing the CSRactivities of UK Supermarkets and howthey compare when evaluated using aframework based on ISO 26000Christopher KeoghA thesis submitted to the University of Huddersfieldin partial fulfilment of the requirements forthe degree of MA by ResearchJanuary 2016Supervisor: Julia Meaton1

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AbstractThis thesis examines the corporate social responsibility (CSR) activities of UKsupermarkets and measures how they compare amongst each other when evaluatedusing a framework based on ISO 26000, incorporating the seven core principles ofISO 26000. UK supermarkets first started to grow in popularity throughout Britishhigh streets circa the 1950s, since then the sector has experienced rapid growthlevels over many years with UK supermarkets of recent times becoming powerfulretail giants. This study addresses a gap in knowledge regarding the use ofenvironmental standards within the UK supermarket sector; through providing adeeper understanding of the involvement of CSR within complex differentiationstrategies, with relevant theories critiqued throughout. Secondary analysis is utilisedthrough the examination of CSR reports published by UK supermarkets, providing amixture of qualitative and quantitative data to be scrutinised. Each supermarket isthen scored based on CSR activity levels, the results show the discount supermarketgaining the highest score with some of the UK supermarket ‘giants’ awarded thelowest scores based on the evidence provided, representing the overhaul that hasoccurred within the UK supermarket sector over recent years as discount stores arequickly gaining market share. These conclusions suggest that those supermarketsbest implementing ISO 26000 are gaining a competitive advantage over competitors,however potential limitations of ISO 26000 become apparent during this study suchthat the applicability and usability of ISO 26000 for SMEs must come into questionwhen implementing theory into practice, with issues such as a lack of power acrossthe value chain and financial constraints coming into effect. Recommendations aremade regarding ways in which supermarkets can improve CSR and sustainabledevelopment practices, the need for a standardised method of CSR reporting andpotential future research on an international scale.Keywords: CSR, ISO 26000, Environmental standards, Framework, Socialresponsibility, Secondary analysis.3

Table of ContentsAbstract . 3Chapter One Introduction . 71.1 Introduction to the study . 71.2 Supermarkets Background Information. 71.3 Introduction to corporate social responsibility . 111.4 Introduction to sustainable development . 141.5 Introduction to environmental management systems . 161.6 Rationale . 171.7 Aim . 181.8 Objectives. 18Chapter Two Literature Review . 192.1 Introduction . 192.2 Introduction to CSR . 192.3 Introduction to ISO 26000. 202.4 ISO 26000 & ISO 14001 . 212.5 Advantages of implementing ISO 26000. 212.6 Disadvantages of implementing ISO 26000 . 222.7 CSR and sustainable development relationship . 232.8 The Triple Bottom Line. 242.9 Theoretical models of CSR . 252.9.1 Carroll’s CSR Pyramid . 252.9.2 Intersecting circles model of CSR . 272.9.3 Concentric circles model of CSR. 292.10 Stakeholder theory . 322.10.1 Advantages of stakeholder theory . 342.10.2 Disadvantages of Stakeholder theory . 342.10.3 Critique of Stakeholder theory . 362.11 Profit maximisation theory . 372.11.1 Limitations of profit maximisation theory . 392.12 The Business Case for CSR . 402.12.1 Cost and risk reduction: optimisation subject to constraints . 402.12.2 Competitive advantage: adapting and leveraging opportunities . 412.12.3 Reputation and legitimacy: building a responsible brand . 422.12.4 Synergistic value creation: seeking win-win-win outcomes . 442.12.4 Critique of the business case for CSR. 454

2.13 The case against implementing CSR . 462.14 Conclusion . 47Chapter Three Methodology. 493.1 Introduction . 493.2 Data Collection . 513.3 Framework . 533.4 Research Philosophy . 573.5 Reliability and Validity. 573.6 Limitations. 583.7 Ethical Considerations. 58Chapter Four Findings . 604.1 Aldi . 604.1.1 Fair Operating Practices . 604.1.2 Consumer Issues . 614.1.3 Community Involvement and Development. 624.1.4 The Environment. 624.1.5 Human Rights . 634.1.6 Labour Practices . 644.1.7 Organisational Governance . 654.2 Morrisons . 674.2.1 Fair Operating Practices . 674.2.2 Consumer Issues . 684.2.3 Community Involvement and Development. 694.2.4 The Environment. 704.2.5 Human Rights . 714.2.6 Labour Practices . 724.2.7 Organisational Governance . 724.3 Asda. 744.3.1 Fair Operating Practices . 744.3.2 Consumer Issues . 754.3.3 Community Involvement and Development. 764.3.4 The Environment. 764.3.5 Human Rights . 774.3.6 Labour Practices . 784.3.7 Organisational Governance . 784.4 Tesco . 805

4.4.1 Fair Operating Practices . 814.4.2 Consumer Issues . 814.4.3 Community Involvement and Development. 824.4.4 The Environment. 834.4.5 Human Rights . 844.4.6 Labour Practices . 854.4.7 Organisational Governance . 864.5 Waitrose . 874.5.1 Fair Operating Practices . 884.5.2 Consumer Issues . 884.5.3 Community Involvement and Development. 894.5.4 The Environment. 904.5.5 Human Rights . 914.5.6 Labour Practices . 924.5.7 Organisational Governance . 924.6 Sainsbury’s . 944.6.1 Fair Operating Practices . 954.6.2 Consumer Issues . 954.6.3 Community Involvement and Development. 964.6.4 The Environment. 974.6.5 Human Rights . 984.6.6 Labour Practices . 984.6.7 Organisational Governance . 994.7 Conclusion . 101Chapter Five Analysis and Discussion . 1035.1 Critical Analysis of UK Supermarkets . 1035.2 Comparison of CSR Activities . 1045.3 Supermarket Ranking . 104Chapter Six Recommendations . 1076.1 Emphasis on Organisational Governance . 1076.2 Improving Customer Service . 1076.3 Future Research . 108Chapter Seven Conclusion . 109References . 1116

Chapter One Introduction1.1 Introduction to the studyThis study will investigate how supermarkets in the UK compare when matched upagainst environmental standards, in particular ISO 26000. This study will alsoexplore whether consumers really care if supermarkets comply with theseenvironmental standards or choose not to. This study will be undertaken using aframework based on the seven core principles of ISO 26000 in order to analyse andcompare the CSR activities of six UK supermarkets, identifying trends of areas inwhich supermarkets excel in CSR activities and areas in which improvements areneeded. Secondary data specifically will be used in the form of CSR reports andaudits in order to access the CSR activities of each supermark

best implementing ISO 26000 are gaining a competitive advantage over competitors, however potential limitations of ISO 26000 become apparent during this study such that the applicability and usability of ISO 26000 for SMEs must come into question when implementing theory into practice, with issues such as a lack of power across