METHODOLOGICAL APPROACHES TO ASSESSING THE EFFECTIVENESS OF CORPORATE SOCIAL RESPONSIBILITY IN AGRIBUSINESS ENTERPRISES

Abstract

In the face of intensifying environmental challenges and social transformations, Corporate Social Responsibility (CSR) has evolved from charitable acts into a fundamental factor of sustainable development, determining the competitiveness and long-term stability of enterprises. For the Ukrainian agro-industrial sector, which operates under conditions of extreme economic uncertainty and military conflict, CSR has become a strategic necessity. However, all CSR initiatives require significant financial and labor resources, necessitating a systematic approach to evaluating their effectiveness to justify expenditures and optimize resource allocation. The objective of this study is to substantiate methodological approaches to assessing the effectiveness of CSR activities and to conduct a comparative analysis of quantitative indicators for leading Ukrainian agricultural holdings during the period of 2021–2024. The study identifies that only some of top Ukrainian agricultural holdings (Kernel, MHP, Astarta-Kyiv, and Continental Farmers Group) consistently publish non-financial reports, often using diverse standards such as GRI or specialized ESG frameworks. To ensure a standardized assessment, the research employs a set of quantitative indicators: the social investment per employee index (IL), the share of social investment in total sales (IS), and the ratio of CSR costs to net profit (IP). The analysis reveals that during 2021–2024, Ukrainian agribusinesses demonstrated remarkable adaptability. Despite incurring losses in certain years (e.g., Kernel and Continental in 2022), these companies significantly increased their social investments to support society and the state during the full-scale invasion. Calculations show that the share of social investments in profits significantly exceeded the international benchmark of 1%, reflecting a commitment to state recovery. The study concludes that the effectiveness of CSR practices in Ukrainian agro-holdings is growing and gaining strategic weight. A transparent evaluation allows stakeholders to compare CSR levels and make informed decisions. Based on the financial indicators of CSR effectiveness, Astarta-Kyiv and Kernel are identified as the leaders among the studied companies due to their consistent and stable social contributions.