CSR Implementation Within the SDGs Framework: Insights from Indonesia and Malaysia

Abstract

This study investigates the integration of Corporate Social Responsibility (CSR) within the Sustainable Development Goals (SDGs) framework in Indonesia and Malaysia, two rapidly developing economies facing diverse socio-economic and environmental challenges. The research employs a traditional literature review methodology, analyzing academic papers published between 2016 and 2023. The findings reveal that both countries have made significant strides in aligning CSR initiatives with specific SDGs driven by government regulations, stakeholder pressures, and global trends. In Indonesia, government regulations have institutionalized CSR, leading to notable initiatives such as education, water management, and economic growth. Malaysia's CSR landscape, influenced by the Malaysian Code on Corporate Governance and Bursa Malaysia's sustainability reporting requirements, strongly focuses on transparency and accountability. The study highlights key challenges, including limited awareness among smaller companies, resource constraints, and the need for robust measurement frameworks. The comparison between the two countries reveals common strategies and unique approaches to CSR implementation, offering valuable insights for businesses and policymakers. The research contributes to the academic discourse by providing a structured synthesis of existing knowledge and identifying areas for future research, emphasizing the importance of strategic alignment, stakeholder engagement, and transparent reporting in achieving sustainable development.