Application of robust control for CSR formalization and stakeholders interest

TL;DR

This paper introduces a robust control framework using linear matrix inequalities to formalize corporate social responsibility and stakeholder interests, aiming for sustainable, equitable, and Pareto-optimal strategies.

Contribution

It presents a novel theoretical approach combining robust control and dynamical systems modeling to achieve sustainable stakeholder strategies.

Findings

Effective feedback strategies derived via LMIs

Simulation results demonstrate long-term equilibrium convergence

Framework ensures fairness and sustainability in stakeholder interactions

Abstract

In this paper, we propose a new definition of sustainability that includes dynamics and equity. We propose a theoretical framework that allows finding a fair equilibrium and sustainable strategies for all stakeholders. The goal is to propose a strategy such that in the long run the attributes get close to an equilibrium point which is Pareto-optimal for the stakeholders. In order to calculate a strategy, we model stakeholders and actors as dynamical systems in state-space form. Furthermore, we use robust control and linear matrix inequalities (LMIs) to calculate the desired feedback strategy. We use several simulation scenarios to show the effectiveness of our proposed framework.