THE CHALLENGES OF SOCIAL INNOVATION IN CORPORATE SOCIAL RESPONSIBILITY: CASE STUDY IN INDONESIA

CSR is one of corporation's manifestations to develop good relationship with their stakeholders, including with the local community in the location of its operation. Nevertheless, some corporation face challenges to create long time and sustainable impact to its target communities. This study aims to explore the challenges of creating social innovation through CSR programs in Indonesia. Conducting as explorative study, this research interviews nine people of CSR representatives from nine companies operating in Indonesian. They are included: 4 multinational, 3 local private and 2 state-owned companies. It is found three main challenges of social innovation in doing CSR in Indonesia: 1) institutional barriers; 2) Social construction in the community; 3) cohesion between the target community and CSR commission.