Creating shared value using materiality analysis: Strategies from the mining industry

Abstract

Materiality reflects an organization's significant social, economic, and environmental impacts, together with their influence on stakeholders' assessments and decisions. The Global Reporting Initiative's G4 Guidelines describe a four-step process for an organization to follow to determine the specific content to be included in its social responsibility report. However, there are no recommendations regarding what types of strategies should be used for each social issue depending on their materiality. The main aims of this paper are to explain the material issues and to identify what creating shared value (CSV) strategies can be applied to address each social issue according to a materiality analysis. For this purpose, a sample of 27 mining companies is obtained. Based on secondary sources, a content analysis is prepared. The resulting framework provides CSV theory with a guide to what CSV strategy is recommended according to the location of each social issue in the materiality matrix. © 2019 John Wiley & Sons, Ltd and ERP Environment