Corporate responsibility reporting in promoting social license to operate in forestry and sawmilling industries

Abstract

The importance of sustainability information on the social license to operate (SLO) in forestry–sawmilling businesses is on the rise. In addition, the applicability of existing regional and national corporate responsibility (CR) measurement systems for implementing collaborative production chain assessments is low. This study assesses collaboration opportunities for developing common CR reporting for non-industrial private forest (NIPF) landowners and independent small and medium-sized sawmills (i.e. SME sawmills). The material of the study is composed of two datasets gathered from the representatives of NIPF landowners and independent SME sawmill managers in Finland between August and October 2013 by using the Global Reporting Initiative guidelines as a reference. The data analysis employs Simple Multi-Attribute Rating Technique to evaluate the relative importance of CR indicators for forestry and sawmilling industries. Based on our results, the NIPF landowners and sawmill managers share similar views on CR reporting to a large extent in that both groups mostly value the same economic and social indicators, while at the same time they have seen mostly the same environmental indicators as insignificant. Emphasis on the economic and social issues is a positive sign in the operations of the forestry–sawmilling businesses for promoting the SLO, while for some environmental viewpoints contradictions may exist.