Socio-Environmental Responsibility Policy in Financial Institutions

Sady Mazzioni (Universidade Comunitária daRegião de ChapecóUnochapecó, Brazil)
Francielle  Corazza (Universidade Comunitária daRegião de ChapecóUnochapecó, Brazil)
Cristian Baú Dal Magro (Universidade Comunitária daRegião de ChapecóUnochapecó, Brazil)
Antonio Zanin (Universidade Comunitária daRegião de ChapecóUnochapecó, Brazil)

Abstract


This research intents to analyze the influence of Socio-Environmental Responsibility Policy of Brazilian’s Central Bank on financial institutions economic performance listed at the Brazilian stock exchange. The data was collected from diversified sources (websites, explanatory notes, reference form and Economatica® data base) from 2012 up to 2017. As sample, 22 financial institutions were considered for data collection and analysis. The results showed that the growth in shareholder’s equity and contingent liabilities have significant differences from the adoption of the Socio-Environmental Responsibility Policy. Considering six items of corporate governance and six items of risk management, no investigated institution presented all these mechanisms requested by Brazilian’s Central Bank. Brazilian’s financial institutions recognized a greater volume of liabilities and expenses after the implementation of such policy, which reduced their net equity. This research shed some lights in socio-environmental policies regarding corporate governance and risk management mechanisms. Objective: to analyze whether the adoption of a socio-environmental responsibility policy influences the performance indicators and the corporate governance and risk management framework of financial institutions listed on the Brazilian stock exchange. Method: Data were collected from the period 2012 to 2017, referring to 22 Brazilian financial institutions, which provided information to operationalize the variables. Results: the results showed that, from the performance indicators investigated, the growth in shareholders' equity and contingent liabilities presented significant differences as of the adoption of the socio-environmental responsibility policy. Twelve items were analyzed, six of which were corporate governance and six of risk management, noting that no investigated institution presented all the mechanisms provided by the Central Bank of Brazil. Contributions: the evidence suggests that Brazilian financial institutions began to recognize a greater volume of liabilities and expenses after the obligation to implement the socio-environmental responsibility policy, reducing their net equity. These results may be due to the improvement of the corporate governance structure and the adequacy of the risk management process.


Keywords


Sustainability; Risk management; Performance; Financial Institution

Full Text:

PDF

References


Alberton, A., Costa Junior, N. C. A.. Meio ambiente e desempenho econômico-financeiro: benefícios dos sistemas de gestão ambiental (SGAs) e o impacto da ISO 14001 nas empresas brasileiras. RAC-Eletrônica, Rio de Janeiro, 2007, 1(2): 153-171.

Azevedo, S.; Moura, F.. Responsabilidade social da empresa Itaú Unibanco Holding S.A. Negócios Em Projeção, 2011, 2(1): 42-52.

Bacen – Banco Central do Brasil. Resolução no 4.327, de 25 de abril de, 2014. Retrieved from: https://www.bcb.gov.br/pre/normativos/busca/normativo.asp?tipo=Res&ano=2014&numero=4327

Bacen- Banco Central do Brasil. 50 maiores bancos e o consolidado do sistema financeiro nacional. (DataBase: dez. 2009). Brasília: BCB. Retrieved from:

https://www.bcb.gov.br/#!/c/notas/12849

Bank Track. Good faith, good practice: implementation and accountability of the equator principles. Utrecht, Bank Track, 2006. Retrieved from:

banktrack.org/download/good_faith_good_practice/031212_good_faith_good_practice.pdf

Berthelot, S., Coulmont, M., Serret, V.. Do investors value sustainability reports? A Canadian study. Corporate Social Responsibility and Environmental Management, 2012, 19(6): 355-363.

DOI: 10.1002/csr.285

Bhattacharya, C. B., Korschun, D., Sen, S.. Strengthening stakeholder–company relationships through mutually beneficial corporate social responsibility initiatives. Journal of Business Ethics, New York, 2009, 85(2): 257-272.

Brasil. Constituição da República Federativa do Brasil de 1988. Retrieved from:

http://www.planalto.gov.br/ccivil_03/constituicao/constituicao.htm

Carneiro, M., Salgado Junior, A. P., Macoris, L. S.. Avaliação da Eficiência Bancária por meio da Abordagem de Intermediação: Uma Análise Comparativa de Instituições Financeiras Brasileiras. REAd. Revista Eletrônica de Administração, 2016, 22(3): 336-359.

Cho, C. H., Patten, D. M.. The role of environmental disclosures as tools of legitimacy: A research note. Accounting, Organizations and Society, 2007, 32(7-8): 639-647.

DOI: 10.1016/j.aos.2006.09.009

Cochran, P. L., Wood, R. A.. Corporate social responsibility and financial performance. Academy of Management Journal, Briarcliff Manor, 1984, 27(1): 42- 56.

DOI: 10.2307/255956

Crisóstomo, V. L., Freire, F. D. S., Vasconcellos, F. C.. Corporate social responsibility, firm value and financial performance in Brazil. Social Responsibility Journal, 2011, 7(2): 295-309.

DOI: 10.1108/17471111111141549

D’Arcimoles, C., Trebucq, S.. The corporate performance – financial performance link: evidence from France. Univ. of Bordeaux Dept. of Int’l Acc’tg. Working Paper Nº. 02. 01. Mar. 2002.

Dallabona, L. F., Mascarello, G., Kroetz, M.. Relação entre os indicadores de desempenho e o valor adicionado distribuído aos agentes colaboradores de empresas listadas na BM&FBovespa. Revista Catarinense da Ciência Contábil, 2014, 13(39): 49-63.

DOI: 10.16930/2237-7662/rccc.v13n39p49-63

Dantas, J. A., Medeiros, O. R.. Determinantes de qualidade da auditoria independente em bancos. Revista Contabilidade & Finanças, 2015, 26(67): 43-56.

DOI: 10.1590/1808-057x201400030

De Paula, L. F., Marques, M. B. L.. Tendências recentes da consolidação bancária no Brasil. Análise Econômica, 2006, 24(45).

Dias, M. A., De Oliveira, H. A.. Princípios do Equador: diálogo entre a sociedade e os bancos? Uma visão brasileira. Ponto-e-Vírgula: Revista de Ciências Sociais, 2011, 10: 185-205.

Dietrich, A., Wanzenried, G.. Determinants of bank profitability before and during the crisis: Evidence from Switzerland. Journal of International Financial Markets, Institutions and Money, 2011, 21(3): 307-327.

DOI: 10.1016/j.intfin.2010.11.002

Dilz, D., Rangatlathan, J.. Measuring Up: Toward a common framework for tracking corporate environmental performance. In Asia's Clean Revolution, Routledge, 2017: 209-245.

Du, S., Bhattacharya C. B., Sen, S.. Maximizing business returns to corporate social responsibility (CSR): The role of CSR communication. International Journal of Management Reviews, Hoboken, 2010, 12(1): 8-19.

DOI: 10.1111/j.1468-2370.2009.00276.x

Esty, B. C.. The impact of contingent liability on commercial bank risk taking. Journal of Financial Economics, 1998, 47(2): 189-218.

DOI: 10.1016/S0304-405X(97)00043-3

Fávero, L. P., Belfiore, P., Silva, F. L., Chan, B. L.. Análise de dados: modelagem multivariada para tomada de decisões. Rio de Janeiro: Elsevier, 2009.

Goss, A., Roberts, G. S.. The impact of corporate social responsibility on the cost of bank loans. Journal of Banking & Finance, 2011, 35(7): 1794-1810.

DOI: 10.1016/j.jbankfin.2010.12.002

Hackston, D., Milne, M. J.. Some determinants of social and environmental disclosure in New Zealand companies. Accounting, Auditing and Accountability Journal, 1996, 9(1): 77-108.

DOI: 10.1108/09513579610109987

Jesus, S. S., Souza, M. M.. Impacto do reconhecimento dos passivos contingentes na situação econômica das empresas brasileiras auditadas pelas big four. Revista de Contabilidade da UFBA, 2016, 10(2): 43-63.

Klassen, R. D., Mclaughlin, C. P.. The impact of environmental management on firm performance. Management Science, Catonsville, 1996, 42(8): 1199- 1214.

Losekann, V. L., Lehnhart, E. D. R., Pereira, R.. Impacto esperado sobre o patrimônio líquido de reavaliações de provisões para contingências, de remota para possível e de possível para provável. Revista de Contabilidade da UFBA, 2018, 12(1): 250-270.

DOI: 10.9771/rc-ufba.v12i1.22236

Machado, M. A. V., Machado, M. R.. Responsabilidade social impacta o desempenho financeiro das empresas? Advances in Scientific and Applied Accounting, 2013, 4(1): 2-23.

DOI: 10.14392/ASAA.2011040101

Macohon, E., Vicenti, T., Hein, N.. Análise dos índices de desempenho das instituições financeiras brasileiras antes, durante e após a crise subprime. Revista Capital Científico-Eletrônica, 2014, 12(4): 10-28.

Mahoney, L., Roberts, R. W.. Corporate social performance, financial performance and institutional ownership in Canadian firms. Accounting Forum, Amsterdam, 2007, 31(3): 233-253.

DOI: 10.1016/j.accfor.2007.05.001

Mattila, A. S., Hanks, L., Kim, E. E. K.. The impact of company type and corporate social responsibility messaging on consumer perceptions. Journal of Financial Services Marketing, New York, 2010, 15(2): 126-135.

Mcguire, J. B., Sundgren, A., Schneeweis, T.. Corporate social responsibility and firm financial performance. The Academy of Management Journal, 1988, 31(4): 854-872.

DOI: 10.2307/256342

Moore, G.. Corporate social and financial performance: an investigation in the U.K. supermarket industry. Journal of Business Ethics, New York, 2001, 34(3-4): 299-315.

Nayak, A. K. J. R.. Size and organizational design complexity for sustainability: a perspective. Vilakshan: The XIMB Journal of Management, 2015, 12(1).

Nelling, E., Webb, E.. Corporate social responsibility and financial performance: the “virtuous circle” revisited. Review of Quantitative Finance and Accounting, New York, 2009, 32(2): 197-209.

Nunes, J. G., Teixeira, A. J. C., Nossa, V., Galdi, F. C.. Análise das variáveis que influenciam a adesão das empresas ao índice BM&F Bovespa de sustentabilidade empresarial. Revista Base, 2010, 7(4): 328-340.

DOI: 10.4013/base.2010.74.06

Parente, P. H. N., Luca, M. M. M., Romcy, T. O.. Desempenho ambiental e desempenho econômico de empresas listadas na BM&FBovespa. Organizações e Sustentabilidade, 2015, 3(2): 81-115.

DOI: 10.5433/2318-9223.2015v3n2p81

Peloza, J., Shang, J.. How can corporate social responsibility activities create value for stakeholders? A systematic review. Journal of the Academy of Marketing Science, New York, 2011, 39(1): 117-135.

Perrini, F., Russo A., Tencati A., Vurro C.. Deconstructing the relationship between corporate social and financial performance. Journal of Business Ethics, New York, 2011, 102(1): 59-76.

Pinsky, V. C., Kruglianskas, I.. Gestão estratégica da sustentabilidade: experiências brasileiras. Alta Books, 2019.

Polackova, H.. Contingent liabilities: a hidden risk to fiscal stability. Policy Research Working Paper no. 1989, World Bank, 1998.

Reis Júnior, J. A.. Análise da Potencialidade do mercado de projetos de crédito de carbono no Brasil. Tese de Doutorado. Universidade de São Paulo, 2012.

Ribeiro, F., Alves, T. A., Taffarel, M., Menon, G.. Corporate social responsibility and financial performance in the electrical energy sector: a study with panel data model. Gestão & Regionalidade, 2017, 33(99): 39-51.

DOI: 10.13037/gr.vol33n99.3987

Rossi Júnior, J. L.. What is the value of corporate social responsibility? An answer from Brazilian sustainability index. Journal of International Business and Economics, Madison, 2009, 9: 169-178.

Sen, S., Bhattacharya, C. B., Korschun, D.. The role of corporate social responsibility in strengthening multiple stakeholder relationships: A field experiment. Journal of the Academy of Marketing Science, New York, 2006, 34(2): 158-166.

Srour, R. H.. Por que empresas eticamente orientadas? Organicom, 2008, 5(8): 59-67.

Taiarol, S. M., Raimundini, S. L., Behr, A.. Indicadores sociais internos e a geração de valor adicionado: uma análise da relação do balanço social e da demonstração do valor adicionado em bancos brasileiros. Revista Reunir, 2015, 1(2): 82-100.

DOI: 10.18696/reunir.v1i2.34

Yoon, Y., Gürhan-Canli, Z., Schwarz, N.. The effect of corporate social responsibility (CSR) activities on companies with bad reputations. Journal of Consumer Psychology, Amsterdam, 2006, 16(4), 377-390.

DOI: 10.1207/s15327663jcp1604_9

Zeidan, R., Boechat, C., Fleury, A.. Developing a sustainability credit score system. Journal of Business Ethics, 2014, 127(2): 283–296.



DOI: https://doi.org/10.30564/mmpp.v2i1.906

Refbacks

  • There are currently no refbacks.
Copyright © 2019 Sady Mazzioni Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.