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The Transformation of Corporate Social Responsibility PT Adaro Indonesia: From Aid to Economic Empowerment and Environmental Sustainability Aan Nurhadi; Iwan Ridwan; Heriyanto Andilolo; Muhammad Noor; Muhammad Riyandi Firdaus; Taufik Arbain; Muhammad Saleh
Budapest International Research and Critics Institute-Journal (BIRCI-Journal) Vol 9, No 4 (2026): Budapest International Research and Critics Institute November
Publisher : Budapest International Research and Critics University

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.33258/birci.v9i4.8275

Abstract

This study analyzes the transformation of PT Adaro Indonesia’s Corporate Social Responsibility initiatives in Jaro Village from material aid to economic empowerment and environmental sustainability as well as the factors driving and hindering this transformation. This research employs a qualitative method with a single-case study design, utilizing semi-structured interviews, participatory observation, and document analysis. The subjects involved include Corporate Social Responsibility managers, government representatives and village leaders, waste management groups, farmers and livestock breeders, as well as staff from the Environmental Agency. Data were analyzed using Yin’s case study design through pattern matching, explanation building, and time-series analysis. This study reveals that the transformation of Corporate Social Responsibility is reciprocal through collaboration between community initiatives and corporate support, shifting from the provision of resources to capacity building and the creation of sustainable value. Aid is transformed into capacity and productive assets through the maintenance, replication, and transfer of knowledge, linking the livestock, agriculture, and waste management sectors within a circular economy that utilizes local resources. Communities serve as problem identifiers and resource managers, while Corporate Social Responsibility supports local capacity building. Therefore, the success of Corporate Social Responsibility is influenced more by the ability to build collective capacity to maintain assets, create new value, and develop sustainable economic and environmental benefits, rather than solely by the amount of aid provided.