CHAPTER II

LITERATURE

2.1. CSR (Corporate Social Responsibility)

Corporate social responsibility (Corporate Social Responsibility) is an action
or concept by companies (according to the ability of the company) as a form of their
responsibilities towards the social / environment in which they operate. CSR or TJSL
as a concept, developed rapidly since the 1980s and into the 1990s as a reaction and
voice the concerns of organizations of civil society and the network global level to
improve ethical behavior, fairness and responsibility corporation that is not only
limited to corporations, but also on the stakeholders and the community or
communities around the working area and operation.
CSR should involve all stakeholders active in CSR activities. That there
should be a balance between business activities and business values and should be
beyond filantrophy. CSR is not to help the weaker party but it is the company's
business strategy. Corporate Social Responsibility (CSR) is a phenomenon of
corporate strategy that accommodates the needs and interests of its stakeholders.
CSR emerged since the era in which awareness of sustainability company long term
is more important than profitability. The business community has voiced rejection of
the inclusion of the article on corporate social responsibility in the legislation are
new PT.
The term Corporate Social Responsibility (CSR) was popularized by John
Elkington, (1997) in his book "Cannibal with Forks, the Triple Bottom Line of
Twentieth Century Business". Elkington developed the concept of the Triple Bottom
Line

University of Northern
Sumatra

in terms of economic prosperity, environmental quality and social justice. The

definition of CSR, the first in the British Government, said "Voluntary action
bussines that can take over and above compliance with minimum requirements". The
essence of CSR is run beyond compliance to law (go beyond compliance with the
law).
Through the book, Elkington view that companies that want sustainable, it
must pay attention to "3P". In addition to the pursuit of profit, the company also must
pay attention and be involved in meeting the welfare needs of society (people) and
participated actively contribute to protecting the environment (planet). This
relationship is then illustrated in the shape of a triangle as follows:

Social (people)

Environme
nt
(Planet)

Economi
c
(Profit)

Figure 1. Relationship DRAWINGS Triangle (Triple Bottom Line)

Source: Elkington (1997)

In the concept, the company is no longer expected on the responsibility that

rests on a single bottom line, namely economic aspects are reflected in its financial
condition, but also must pay attention to social aspects and

environment. Companies are no longer faced with the responsibility that rests only
on single bottle lines, namely, the enterprise value (corporate value) which is
reflected in its financial condition (financial) alone, but of corporate responsibility
should be based on the triple bottom lines, which are: financial, social and
environment. Financial condition alone is not enough to guarantee the value of the
company to grow and develop in a sustainable (sustainable). Sustainability is assured
when the company will also pay attention to corporate social and environmental
dimension; The entry of the concept of CSR in the discourse and practices of
companies seem to bring a blessing changes.
Undeniable, there are great forces that alter the behavior of many companies
in the presence of all stakeholders. The pressure exerted by the activists have made
companies change their business strategy from the single bottom line profit-seeking
to the triple bottom line of the balance of the realm of social-economicenvironmental. Of course it is to be grateful, but also must remain guarded closely.
However the tendency of many companies to promote economic gains for
themselves than environmental and social justice remains huge. Seeing this, many
academics were then reminded that a healthy skepticism for the behavior of the
company, especially with regard to their role in development must be maintained.
Watts and Zimmerman (1978), Abbot and Monsen (1979), Ulmann. CA
(1985) states that the social costs (social costs) incurred by the company has the
benefit of improving the company's image in the eyes of society, improving corporate
profits and can reduce the appearance of negetive externalities.

Khasali Reinald (2007) stated that generally frequent disagreement between

the company and the community on social responsibility (social responsibility).
Further stated, that need an effective dissemination through various social activities
as well as corporate reporting, to enable the understanding of the limits of social
responsibility (social responsibility) symmetrically. That, determine the effectiveness
of social responsibility (social responsibility) that the company has made to the
community and the environment.
Freedman and Jaggi (1974) states that companies should disclose on social
activities that have been carried out. Further stated that the level of social disclosure
can increase the legitimacy of the stakeholders so as to decrease the legitimacy gap,
and the imbalance of understanding and information. According to Philip Kotler and
Nancy Lee there are six (6) in the selection of CSR, namely the promotion cause,
cause related marketing, corporate social marketing, corporate philanthropy,
community volunteering, and social resposible business practices. Some of these
options has been selected to run by companies in Indonesia.
Achwan (2006), suggests two theses underlying the development of CSR
discourse, the first is that the concept of CSR is a form of modern enterprise change
adaptation ability in adjusting itself to the growing social and political change in
society. The second thesis says, the concept of CSR as a form of response to the
modern enterprise in a market economy to maintain its dominance against any
challenges that disrupt public authority (Corporate Power) to build alliances with
other organizations or strategic actor.

The discourse struggle boils down to three definitions and practices of CSR,
the first definition assumes the business of business is business, that each company
essentially has the sole purpose of maximizing profits to its owners, and its presence
can be trusted to create jobs. The core of this first definition is more a rejection of the
principles of corporate philanthropy, Community Development or donations that are
considered contrary to the nature of the company.
the second definition Corporate Voluntarism is the emphasis on the virtues
(virtue) in the pursuit of profit. The basic assumption is that the first definition is that
every company voluntarily according to their strengths and weaknesses to develop
CSR and reject interference of the state in regulating the company. The second
assumption considers that the concern for the public or consumers can drive
economic profit of an enterprise, and the third is that the company's presence can not
be separated from the community where the company operates.
The third definition Corporate Involuntarism is the basic assumption that
every company has the obligation to carry out a social responsibility that should be
codified in the form of legislation for self regulation and voluntarism deemed no
longer sufficient because in the present context the influence of multi-national
corporation is considered much influence over the nation / state.
LEAD Indonesia and LabSosio Social UI (2005), mentions that in many
cases involving extractive industries with people often Community Development
CSR practices in an attempt to dominate a special approach to conflict prevention.
This led to the concept

be irreducibly or equated with Community Development, whereas CSR is a concept

that encompasses a variety of activities one of which is the activity of Community
Development.
Verdict of Law No. 53 / PUU-IV / 2008 Nature of CSR / TJSL that
voluntairly need to continuously be improved by not turning it into a legal obligation
(legal obligation). There are several basic problems and weaknesses when
formulating CSR is the responsibility of the law, among others:
1.

Interpret CSR as a legal obligation to prove understanding owned by the

Government of the CSR / TJSL solely because of the opportunities that
financial resources can be immediately given by the company to fulfill
obligations on the applicable regulations. As a result, CSR / TJSL will be a
legal obligation normative and formal.

2.

Voluntairly change the basic principles of CSR becomes mandatory.

Measures a way, for whatever reason, would eliminate or at least minimize
the space and the medium of choice following existing community a
chance to measure the degree pemaknaannya in practice.

3.

The change of CSR as an action based on the responsibility of ethics

becomes a legal obligation to be a potential directing CSR program just a
formality for the fulfillment of any obligation.

4.

Indonesia became the only country in the world set up CSR as a legal
obligation that must be carried out by a corporation whose principle is
essentially voluntair.

5. Putting CSR as a legal obligation leading to confusion and confusion,

because CSR itself is an act that exceeds what is required by law and
regulations (beyond legal compliance).

Implementation of CSR that exceed compliance with laws and regulations,

means it has limits "infinity" that can not be reached by the laws and regulations
dinormatifkan be mandatory. The corporation itself to define the upper limit that
want to achieve and the implementation is done voluntarily.
Priyanto (2008) there are three important reasons why the business world
need to respond and develop the issue of social responsibility in line with its business
operations.
First, The company is a part of society and therefore natural that companies
consider the interests of society. Companies must realize that they are operating in an
order of society. Social activity serves as compensation or remedy returns over the
control of natural resources and economic resources by companies that sometimes is
expansive and explorative, as well as social compensation for the onset of discomfort
(discomfort) in the community, all of this is implemented because there is no
regulation, laws, and rules that force for their market driven. Awareness about the
importance of implementing CSR is becoming a trend in line with the rise of global
public awareness of the products that are environmentally friendly and manufactured
with attention to the rules of social.

Second, Businesses and the public should have a relationship that is

symbiotic mutualism. To gain support from the public, at least a license to operate,
only natural that the company is also required to provide a positive, contributing to
the community so that it can create harmony relationship even leverage the
company's image and performance. Implement a program because there are indeed
genuine encouragement from within (internally driven), the company has realized
that his responsibility is no longer just economic activities to create profits (profit) in
the continuity of the business, but also social and environmental responsibility.
Third, Social responsibility is one way to reduce and even avoid social
conflict. Potential conflicts that can come from the effects of the company's
operations or as a result of structural and economic disparities that arise between
community and enterprise components, and practiced more because of external
factors (external driven). Almost certainly the implementation is an effort in the
context of public relations (public relations) is a business policy that is merely
cosmetic.
(Cropanzano, Byrne, Bobocel and Rupp, 2001). In the concept of Social
Responsibility according to ISO 26000, set their seven (7) principles of Corporate
Social Responsibility which is the behavior that is based on standards, guidelines or
code of conducts are known as moral and right, especially in the context of the
particular situation. The seven principles are:
1.

Accountability: organizations should be accountable will impact on society

and the environment.

2.

Transparency: an organization should be transparent decisions and activities

affecting the other party.

3.

Ethical behavior: an organization should behave ethically at all times.

4.

Stakeholder: an organization should respect and consider the interests of

stakeholders.

5.

Rule of law: an organization should respect the law.

6.

The international norm: an organization should respect relevant international

norms, when the norm is more supportive of sustainable development and
social welfare, and

7.

Human rights: an organization should understand the importance and

universality of human rights.

Implementation of CSR in the company in general is influenced by several

factors. The first one is related to the commitment of its leaders. Second, regarding
the size and maturity of the company, Third, regulation and taxation system regulated
by the government.
Kotler (2005), revealed that CSR should not an activity that is only a
formality company's obligation to the social environment, but CSR should be a touch
of corporate morality of their social environment. Furthermore, Philip Kotler and
Nancy Lee (2005), believes that CSR activities should have been in the corridors of
corporate strategy aimed at achieving bottom-line business goals such as boosting
sales and market share, building positioning for the brand, attractive, building,
motivating employee loyalty, reduce operating costs to build corporate image capital
markets. With this argument can be seen that CSR is not a patch or marginal activity,
but it is the pulse of the company.

Arif Siregar (2004) says that the CSR contains four principles, namely
economic, legal, ethical and philanthropic. Economy is the core of the company's
activities where more talked about than the philanthropist and the law must be
obeyed by every corporation. That the practice in the field of mining, since the early
entry into an area the company has been applying the principles of CSR although
without any rules of the Government. In exploiting an area, the company always uses
local labor. That must be separated between the liabilities and obligations of local
government, the consequences if CSR is set, then what is expected by society is not
necessarily achieved. That CSR can not be standardized, because each area is
different.
Complex CSR activities not only a matter of course but entirely
philanthropic. Bersosialisasi conscious company that is required for the sustainability
of a business. CSR funds were not deposited to the Government, if it is added
continuously it will weaken the company. The motivation of a company that
encourages to have a concern for fairness and subsequently involved in
implementing CSR activities is the presence of:
a. instrumental motives,
b. Relational motives.
c. Morality-based motives,

instrumental motives driven by personal interest (self-interest), relational

motives directed by concern for the status and recognition of its existence in a group,
and morality motives are driven by ethical behavior and well-being of the larger
group to include the welfare of the world. (Cropanzano, Byrne, Bobocel and Rupp,
2001).

Poerwanto (2006), states that social responsibility is the actions and policies
of the company in interaction with the environment that is based on ethics. In general
ethics understood as the rules on principles and moral values which guide the
behavior of a person or group of people about the good or bad in the policy or
decisions.
There are three approaches in the process of establishing social
responsibility
the:
1. Moral approach, namely the policies or actions based on the principles of
politeness with the understanding that what you do not violate or hurt others
intentionally.
2. The approach of mutual interest, namely that policies should be based on a
standard of moral solidarity, fairness and responsible freedom.
3. Benefit approach, is the concept of social responsibility that is based on values
that what was done by the company generate major benefits for stakeholders
fairly.
Suharto (2005), mentions the concept of CSR is a concern for the company
to the community around the company whose existence has led to a sharp socioeconomic problems between the 'community' of companies with the local population,
and structural poverty of local communities through the exploitation and destruction
of the environment by the company.
The emergence of the concept of corporate social responsibility is driven by
the tendency in industrialized societies, which can be abbreviated as DEAF
phenomenon (in English called deafness) an acronym of

Dehumanization, equalization, Aquariumsasi and feminisation (Suharto, 2005),

where the emergence of this phenomenon is due to the creation of relationship
problems, demands and others between public companies and communities around
the company.

Carrol in

Poerwanto (2006) membagiTanggungJawabSosial

company into four

criteria:

1. Socio-economic responsibility, which the company must be operated with a

profit-based and with a single mission to increase profits while within the limits
of government regulation.
2. Social responsibility as the legal responsibility, which the business activities are
expected to meet the goal of economic actors with the basis of the legal
framework and values developed in the community in a responsible manner.
3. Social responsibility as an ethical responsibility, which is defined as a company's
policies and decisions that are based on justice, freedom and impartiality, respect
for individual rights, as well as provide different treatment for different cases
involving the company's goals.
4. Social responsibility as a voluntary or discretionary responsibility, where the
company's policy of social action purely voluntary and are based on the
company's desire to provide social contributions that do not have reciprocal
interests directly.

Responsible ethics
Legal responsibility
Economic responsibility

Figure 2. Four Criteria for Corporate Social Responsibility Model Carrol

Source: Poerwanto, (2006)

Of the four criteria of the corporate social responsibility, social responsibility

as the responsibility voluntarily become ideal criteria for building a partnership
model in a model of community empowerment program. Through the partnership
criteria will be the line that separates the motif of corporate social responsibility,
including economic measures to maximize profits by voluntary social action.
As a voluntary social action, partnerships tend to involve participants who
are not oriented economy such as government, non-governmental organizations and
the community itself. Conversely, when social responsibility is more oriented
towards achieving the economic objectives of the company, participants involved is
certainly an economic actors. Voluntary social action will ensure their suitability
action each participant with the aim of empowering the community as a common
goal, while the economic measures each participant further tailor its actions with the
expected economic value of the partnership.

The concept of social responsibility in its development has given rise to a

new concept, namely the concept of Corporate Social Investment (Corporate Social
Investment). This concept is more a criticism of the concept of CSR is considered
philanthropic involving only social programs and the short-term provision of money
or goods from the company for a group of people. The concept of CSI (Corporate
Social Investment) generally have a dimension wider impact and long-term
(sustainable).
CSI concept also is not seen merely as a form of repayment of corporate
social responsibility, but further as part of a social engineering and corporate strategy
are rational, planned and oriented towards long-term social benefits for the company
and the community. The community also has an important role as a supporting socioeconomic sustainability which the community is expected to correct the negative
impact of the enterprise and be active dinamisator public empowerment. The active
participation of local communities in every implementation of CSR is very necessary
so as to benefit mutual relations (mutual benefit) by the company or corporation.
The role of government is crucial in building a conducive business and not
manipulative. The most expected synergy is a partnership between businesses,
governments and communities (communities) that synergy called tripartite
partnership. Warhurst (1998), put forward the principles of Corporate Social
Responsibility (CSR) with prioritized corporate, unified management, process
improvement, education for employees, assessment, products and services, public
information, operating facilities, research, the precautionary principle, contractors
and suppliers , alert for emergency, best practice transfer, donate, and openness and
achievement in reporting. Dow Jones Sustainability Group

Indexes to develop the principles as set forth in the following table:

Table 1. Principles of Corporate sustainability
Principles of Sustainability
1. Technology

Componen
t
The creation, production and delivery of goods and services
which are based on the organization and innovative technology
that utilizes natural resources, financial and social effective,
efficient, and economical in the long run

2. Tata Pamong

The company's sustainability is based on the highest standards

of

governance,

including

management

responsibilities,

organizational capacity, corporate culture and relationships

with stakeholders

3. Shareholders

The demands of shareholders should be in accordance with the

needs of feedback (return) financial, long-term economic
growth, ensuring global competitive power, and member
contributions to the intellectual capital.

4. Industry

Sustainable enterprises should lead the industry to switch on

sustainability by demonstrating its commitment and publish it
superior performance

5. Community

Peruahaan sustainable businesses should encourage lasting

social welfare through fast and precise response to rapid social
change, increased demographic, migration flows, shifting
cultural patterns and needs in lifelong education and
continuing education.

Source: Dow Jones Sustainability Group Indexes, (1999)

Kasali (2005), said that stakeholders could also mean any person who risks
his life to the company. Like a universe that surrounded the planets, then the
company is also surrounded with stakeholders and stakeholders to divide into 5 parts:
1. internal stakeholders ie stakeholders who resides in organizational
environments such as employees, managers, and shareholders or
shareholders. While external stakeholders is located outside the
organization such as the public, the government, the press, and others
2. Stakeholders Primary, secondary stakeholders, stakeholders marginal,
All three stakeholders is based on a scale of prioritas.stakeholders is the
most important primary, secondary marjinal.urutan new can be changed to
change from time to time
3. stakeholders Depan.karyawan traditional and future stakeholders and the
public are traditional stakeholders stakeholders while the future is
expected to give a rafter to organizations such as students, researchers,
and potential consumers.
4. Proponents, opponents and uncommitted.Proponents Are groups that
sided with the organization, the organization is opposed to opponents and
those who do not care are uncommitted.
5. Silent majority and a vocal minority, Silent majority is supported by
passively while the vocal minority is actively supported.

stakeholders are internal stakeholders that are within the company's

organization, such as employees, managers and shareholders (shareholder) as well as
the families of employees. External stakeholders are parties which are beyond the
control of the company (uncontrollable). Company leaders need to equip themselves
with techniques for designing the organization in accordance with the state of the
external environment. Some external stakeholders include customers, distributors,
suppliers, the government, the press, competitors and the community. Practicing CSR
with the most simple way can be started from the activities of a charity (charity).
The initial steps can be initiated from the internal environment with the
needs of employees. Program such as providing facilities for employees above the
standard, providing scholarships for children of employees and provide a nursery or
children's playground and afterwards view and implement CSR outside the company
externally (Koestoer 2007 inwww. swa.co.id)
2.2. Community development(
CommunityDevelopment
Corporate Social Responsibility (CSR)

in

Twelvetrees (1991) divides into a community development perspective

2 frame, the professional approach and radical approach. Professional approach
refers to efforts to increase the independence and improve the service delivery
system in the context of social relations. While the more radical approach focuses on
the efforts to change the imbalance in social relations that exist through the
empowerment of weaker groups.

Suharto (1997) there are three models of community development namely,

penembangan local communities, social planning, social action.
1. Local community development is a process that is shown to create social
and economic progress for the people of the local community
sendiri.pengembangan is basically a process of interaction between
members of the local community who facilitated social worker job.
2. Social perncanaan is a pragmatic process to determine decisions and
assign actions to solve certain social problems such as poverty, public
health, unemployment, teen kenekalan. Social workers act as social
planning that sees them as "consumers". The social planner is seen as an
expert in conducting research, analyzing the problems and needs of the
community, as well as in identifying, evaluating meleksanakan and
human services programs.
3. Social action are fundamental changes in the institutions and structures of
society, through the process of distribution of power, resources
distribution, and decision making.

Rukminto (2008) Community Development (Community Development) can

be described as follows: from the aspect of community engagement, community
development practices can be grouped into three forms, namely: development for the
community, with community development and the development of community.

Development for community Community Development is a form where the

public has basically become the object of development for various initiatives,
planning and implementation of development activities carried out by external actors.
This external actors may have to do research, consult and involve local leaders but if
the decisions and development resources come from outside the community then
basically remained the object.
Development with community marked in particular by the strong pattern of
collaboration between external actors and the local community. Decisions taken a
joint decision and the resources to be applied from both sides.
Development of community is a good development process initiatives,
planning, and implementation is carried out by the communities themselves.
Community builds on itself. The role of external actors in this condition more as a
support system for the development process.
The three approaches basically have the same end goal, which is to improve
the quality of life and local community institutions. Differences are to be found on
the means (means) used. The effectiveness of this facility is determined by the
context and characteristics of the community. In certain communities for community
development approach may be more appropriate while at other community
development with community might be more useful.
In the future, taking into account the complex problems of society, CSR
program should be in synergy with programs that already exist. In the aspect of
poverty alleviation, for example, the program can sustain

komitmenIndonesiauntukmencapaisalahsatutargetdalamMillenium Development
Goals (MDGs), namely overcoming poverty before
2015.
In some areas, this program can also support other programs that are
customized to the problems and characteristics of each region. On the territory of the
community, CSR program is still needed, especially in giving solutions to various
problems in real terms in the field. For example scholarships for high achievers from
poor families, assistance for the improvement of public facilities or places of
worship, relief for natural disasters, environmental sustainability program, and
others. Program incidental require fast response with easy bureaucracy.
The main factors that determine the selection of these three approaches is
how far institutional society has evolved. In people who already more developed
institutional development of community would be more appropriate.

At this time the community development has undergone a process of

enrichment to become a multi-pronged approach, and is now generally consist of
several key aspects as follows:
a. Is a process of "grass-roots".
b. Become more self (self reliance).
c. Evolved into a community of learners (learning Community).
d. Reduced vulnerability and poverty.
e. The creation of economic opportunities and sustainable livelihoods.
f. The strengthening of social capital.
g. Achieving balance social, economic, cultural and environmental.

It often happens Community Development (Community Development)

actually alter the balance of the elements in the existing society in the long run will
harm the community. Community Development should be carried out by maintaining
a balance of perspectives that exist within the local community.
In general, Community Development (Community Development) can be
defined as a community development activities directed to increase community
access to achieve the conditions for achieving socio-economic conditions are better
compared to before their development activities, so that people in these places are
expected to improve their welfare.
Community development with an actualization of CSR more meaningful
than just charity activity or other dimensions, among others, the community relations
only develop a dynamic relationship. In the implementation of community
development jointly between the company and the community, participation,
productivity and sustainability.
In the actualization of Corporate Governance (Good Corporate Governance /
GCG), the contribution of the business world to participate in improving the welfare
of society must undergo a metamorphosis, from the activity of which is charity to be
an activity that emphasizes the creation of self-reliance, the empowerment program.

Table 2. Characteristics of Stages of Social Generosity

paradigm
Motivation
Mission
Management
organizing

Charity
Religion,
tradition,
adaptation
Overcome local
problems
Short-term,
overcoming
momentary
committees

Benefit
recipients
Contribution

The poor

Inspiration

obligation

social grants

Philanthropy
Norms, ethics
and the law of
universal
Find and fix
the root of the
problem
Planned,
a organized and
programmed
Foundations /
endowments /
professionalis
m community
Wide
development
grants
Common
interest

Good Corporate
Citizenship
(GCC)
Enlightenment and
reconciliation with
the social order
Contributing to
society
Internalized in
the company
policy
The involvement
of both funds and
other resources
Public and
companies
Grant (social &
development as
well as social
Common
interest

Source: Zaidi, (2003)

2.3. Partnership in the concept of Corporate Social Responsibility (CSR)
and
Governance
The need for active efforts aimed at empowering potential and
socioeconomic forces of society and need the support of large-scale enterprises
(companies) and in partnership with the government as a facilitator, motivator,
stimulator and coordinator in perekayaaan development of society in poverty
reduction (proverty community).
Sulistiyani (2004), said that the partnership model ideally reflecting similar
distribution to the three actors of development, namely government, private and
public. Model of equal partnership will provide a positive image for the government
to apply a transparent and participatory partnership development.

Budimanta,

Prasetijo

and

Rudito

(2004), likens

corporate

social

responsibility and good governance as the two sides of a coin that makes society as a
community and as citizens as its focus and approach stakeholders as the culprit. The
context of the implementation of corporate social responsibility, their participation is
crucial passage stakeholdelrs community development efforts as well as provide
benefits for companies and communities.
For more about the partnership principle Budimanta (2004) also explains
that the partnership creates mutual benefit, and does not create competition negative
effect on the sustainability of the company. Partnership tangible interaction among
stakeholders is essentially a form of community development (community
development) as the estuary of corporate social responsibility. Empowerment is an
effort to improve the ability or the quality of its members who are members of the
community to be partnering komuniti- and serve one another as members of the
community overall. The concept of similarity and an agreement concerning the
participation in the program that has been integrated development structure and
planning for community development programs are built together.

Three scenarios partnership according Wibisono (2007), which is a

partnership between the company and the government and with the community /
society as follows:
1.

Counter Productive Partnership

This pattern will happen if the company still rests on conventional pattern just
put the interests of the investors (shareholders) are

the pursuit of profit (profit) maximum. The focus of the company is more
concentrated on how companies can reap maximally clappers, while the
relationship with government and community or people just drenched.
2.

Semi Productive Partnership

In this scenario the government and the community or communities are

considered as objects and matter outside the company. The Company does not
know the programs of the government, the government also does not provide
a climate conducive to business and society is passive. This partnership is still
referring to the short-term interests and have not or do not give rise to a sense
of belonging (sense of belonging) in the community and low benefits on the
part of the government. Cooperation is more advanced aspects of kariatif or
public relations which the government and the community or communities
are still considered as an object.
3.

Productive Partnership

This partnership as a subject and put the partners in the paradigm of public
interest (common interest). The principle of mutually beneficial (symbiotic
mutualism) is very strong in this pattern. The Company has a social and
environmental concerns are high, the government provides a conducive
environment for businesses and the community provide positive support to
the company. It could even be partners involved in the relationship patterns
based resources (resource-based partnership) in which the partners are given
the opportunity to be part of the shareholders.

According to Parson (2005), sectoral mixed model delivery system, a model

that is very dynamic and the most perfect. The system consists of a mix of public and
private responsibilities, and the voluntary sector (NGOs) and community agencies.
Cooperation is very possible these four sectors occurred in the areas of policy that
are social by nature mutually beneficial relationship.
Mulyadi (2003) the low level of participation of stakeholders, in particular
communities and local government, resulted in no coordinated program run company
with a regional development program run local governments and non-compliance
program to the needs of society. On the contrary, many stakeholders are involved as
participants in the company's CSR program can be a potential new conflict if any
stakeholders have different interests, opposite each other and quite possibly adverse
to one another.
The principle of mutual support in a Corporate Social Responsibility (CSR)
through line relationship between the sector (on a reciprocal basis) to understand the
functions of each sector and adjacent sectors. The relationship of the various parties
can be seen in the schematic relationship lines below

Central government
(Government)
Legitimacy
DAU, Decentralization OTDA

Local government
(Government)
democracy waitress
public

taxes, royalties
democracy
trust

konsesi.regulasi partnerships
investment, licensing

Labor, Security Assurance

communityCompany
(Community)(Corporate)
TSP (CSR)
Security + Promotions
Figure 3. Line Relationships among sectors in Corporate Social Programs
Responsibility
Source: Modification of Supomo, (2002)

Dwiyanto (2004) mentions three dimensions that characterize governance:

1. The institutional dimensions in which the administrative system implemented
with the involvement of many actors (multi stakeholders), both from the
government and outside the government.
2. Dimension values on which the administrative act more complex than just
achieving efficiency and effectiveness, but more mengakodomir universal
values such as fairness, participation, equality, democracy and other values
contained in the norms of public life.
3. Dimension process, which the administration process is a joint action that
was developed in the form of a network to respond to the demands and needs
of the public through the efforts of public policy formulation and
implementation.
Furthermore Dwiyanto (2004) emphasize the concept of governance in the
implementation of the functions of rule (governing) implemented jointly
(collaborative) by governments, semi-government and non-government which lasted
equivalent (balance) and multidirectional (participatory).

2.4. research Accomplished

Ichsan (2007), in a study entitled Implementation of Community
Development Program at Pertamina UPMS IV Semarang concluded that the
performance of the implementation of community development programs do not
work well, so that the program failed and needs to be reviewed in the implementation
of the program, because there is a bias on the implementation of community
development programs

The views from the indicators of output, caused Pertamina does not have a
mechanism and criteria standards are made into formal policy.
Josua (2007), in a study entitled "Partnership in the practice of Corporate
Social Responsibility Program of Community Development PT. Toba Pulp Lestari
Tbk. in the district of Toba Samosir Porsea "concluded that the main motive PT. Toba
Pulp Lestari Tbk. rolled out a new policy paradigm as a description of its social
responsibility is to secure the plant operations. The motive obscure aspects of
willingness (voluntarism) and a partnership built on the basis of sub-ordinated
relationship, where each participant has the status, ability and strength that is not
balanced. Foundation formed the ideal is a representation of the voluntary sector
(voluntary), which acted as agents reformer (change agent) to mendinamisasi
program of community empowerment,
Zaleha (2008), in a study entitled "The Role of Corporate Social
Responsibility (CSR) PT. Against the Hydroelectric Division INALUM Siguragura
Socio Economic Development Society Pintupohan Meranti Toba Samosir "concluded
that CSR PT. INALUM yet have planning documents and strategies, is still
considered cost (cost) and is not considered a social investment (Social Investment),
the level of knowledge (awareness) and community involvement is still low and does
not have the concept of the public welfare development. Education, nominal earnings
and real incomes of employees before and after the program was significantly
different CSR. Education and nominal income communities before and after the
program CSR significantly different, but the real income of the community were not
significantly different. Increasing public education is higher than

employees are being supported by social and cultural factors (Batak Toba) which
prioritizes the education of children.
Judging from the nominal revenue, provide assistance to the economic role of
employees and the community, but in real terms have not served due to high inflation
in 2005. The role of CSR to the development of the local economy (local economic
development) is a business unit of the 17 contracting partners as a partner PT. Inalum
to absorb labor community. CSR capital correlation to the activity (opening hours)
market significantly different (significantly) with a negative correlation value. This
shows the market activity tends to fall as the increase in capital of CSR, since the
construction market as a center of economic activity and supporting infrastructure are
not helpful in developing societies. CSR program launched still more consumptive.
Research Louise (2009), in a study entitled The Role of Corporate Social
Responsibility (CSR) PT. Adonara Libek Nation Bakti Project Against Public
Revenue Mandau sub Bengkalis. From the results of a study of the role of CSR to
public revenue Mandau sub concluded CSR concept implementation that has been
implemented by PT. ABB Libek Project to the public are: PT. ABB yet have planning
documents and strategies in achieving the target and is still regarded as a cost (cost)
so do not have a program capable of memandirikan and empower communities
through programs that launch. The level of knowledge and community involvement
to the existence of the CSR program PT. ABB remains low show PT.

through moral ethics, collective decisions and ethical benefits. The formation process
of the CSR program social areas (spirituality and education) do not involve the
school committee) and the Economic and Social Research (CSR economics) is a
charity (charity) and it can not engage the active participation of society.

2.5. Framework Research

With regard to the formulation of the problem and research objectives then
described the framework that describes the impact of Corporate Social Responsibility
(CSR) PT. Toba Pulp Lestari against the public welfare Toba Samosir (case study:
Porsea districts).

PT. Toba Pulp Lestari

(PT. TPL)

CSR PT. Toba Pulp Lestari

1P, T.BTidoabnag PPuenlpgeLmebsatanrgian Eko(PnoTm, iTPL)

Method / Approach PT. Toba Pulp Lestari

Economic approach
Social fields
2.(education,
approach Religion
Social and human resources) for Infrastructure
Social approach
Field of Environmental
3.
Safety

4.

Income

Education

Labor