Corporate Social Responsibility (CSR) is a company strategy in building a
reputation which is expected to create reciprocal relationships with stakeholders.
The implementation of CSR can improve the company's image which will have an
impact on company performance. The authors of this study will discuss how to
consider CSR as an effective risk management tool and how to incorporate it into
real-world solutions. CSR is difficult to do without a focus on risk management,
and will not be effective in the end. As a result, many SME business conditions that
are fostered partners of the CSR Partnership Program have experienced a significant
decrease in income, a decrease in the number of production capacities, as well as a
reduction in the number of employees and several other factors.
Risk management is carried out based on the ISO 31000: 2018 framework. The
sources in this study came from discussions and surveys with decision makers,
namely in the CSR division department. Of the many criteria in evaluating CSR
strategies, the criteria that are most relevant to the CSR strategy in the MSME
mentoring partnership program during the Covid-19 pandemic. The criteria are
Planning Program Planning and Evaluation of MSME Conditions.
As a result, it can be concluded that in general, economic growth is the most critical
risk in the development of SMEs, supported by an effective strategy from the
partnership program. More specifically; It was found that 31 risk factors were
categorized as extreme risk, 25 risk factors were categorized as high risk, 29 risk
factors were categorized as moderate risk, and there were only 3 risk factors
categorized as low risk. For each sub-criteria categorized as high and extreme, risk
treatment is performed. Action plans and implementation schedules are formulated
for each risk factor.