Although the characteristics and advantages of interorganizational governance models based on extensive collaboration are well established in the literature, inquiry has only recently extended to sustainable supply chain management, highlighting the potential benefits of combining the integration of social and environmental issues concerning the supply chain with governance models based on joint decision making and extensive cooperation. Yet, firms still differ in both the pervasiveness of such collaborative approaches along the value chain and the extent to which sustainability issues are (...) addressed to the advantage of all parties involved. In an attempt to predict variety in the governance models related to sustainability along the value chain, we propose a theoretical model that identifies and frames four sustainable supply chain governance (SSCG) models, resulting from combinations of supply chain network density and centrality of the focal organizations. We show how, as centrality increases, firms are able to exert influence over their network, coordinating integrated approaches along the value chain. Moreover, as high centrality combines with increasing interconnectedness of the actors within a supply chain network, instrumental approaches are progressively replaced by more relational attitudes aimed at joint value creation among partners. Conditions for SSCG models' success and the main benefits gained by firms in different structural contexts are also discussed. (shrink)

In addition to the traditional personnel and human resource management (HRM), there is a need for a new approach to personnel management, which we will call Human Capital Management (HCM). HCM emphasises an alignment between the individual and the organization and in our view offers the challenge and the key to successful management in the future.

This paper provides an overview of the contemporary debate on the concepts and definitions of Corporate Social Responsibility (CSR) and Corporate Sustainability (CS). The conclusions, based on historical perspectives, philosophical analyses, impact of changing contexts and situations and practical considerations, show that "one solution fits all"-definition for CS(R) should be abandoned, accepting various and more specific definitions matching the development, awareness and ambition levels of organizations.

The significance of private standards and associated local level initiatives in agri-food value chains are increasingly recognised. However whilst issues related to compliance and impact at the smallholder or worker level have frequently been analysed, the governance implications in terms of how private standards affect national level institutions, public, private and non-governmental, have had less attention. This article applies an extended value chain framework for critical analysis of Private Standards Initiatives (PSIs) in agrifood chains, drawing on primary research on PSIs (...) operating in Kenyan horticulture (Horticulture Ethical Business Initiative and KenyaGAP). The paper explores the legislative, executive and judicial aspects of governance in these southern PSIs highlighting how different stakeholders shape debates and act with agency. It is argued that governance is exercised ‘beyond the vertical’ in that one can identify wider horizontal processes of governance, including how the scope of key debates is constructed (especially in legislative governance) but analysis of executive governance emphasises the dominant role of the lead buyers. (shrink)

Sustainable development (SD) – that is, “Development that meets the needs of current generations without compromising the ability of future generations to meet their needs and aspirations” – can be pursued in many different ways. Stakeholder relations management (SRM) is one such way, through which corporations are confronted with economic, social, and environmental stakeholder claims. This paper lays the groundwork for an empirical analysis of the question of how far SD can be achieved through SRM. It describes the so-called SD–SRM (...) perspective as a distinctive research approach and shows how it relates to the wider body of stakeholder theory. Next, the concept of SD is operationalized for the microeconomic level with reference to important documents. Based on the ensuing SD framework, it is shown how SD and SRM relate to each other, and how the two concepts relate to other popular concepts such as Corporate Sustainability and Corporate Social Responsibility. The paper concludes that the significance of societal guiding models such as SD and of management approaches like CSR is strongly dependent on their footing in society. (shrink)

The purpose of this study is to understand the drivers of social responsibility in purchasing (PSR). This study replicated and extended the range of empirical application of the model developed by Carter and Jennings (Journal of Business Logistics 25(1), 145–186, 2004). Consequently, the present study contributes to the nomological validity of concept of PSR or Purchasing Social Responsibility. The method used is derived from the previous study by Carter and Jennings (Journal of Business Logistics 25(1), 145–186, 2004), and the present (...) study extends the application of that method to an Asian environment. The data were obtained from 197 respondents in Thailand. This sample was largely composed of purchasing and supply chain managers. Respondents were asked to indicate how different dimensions of corporate social responsibility (CSR) affect PSR. The findings of the present study suggest that all the six hypothesized paths have been substantiated. Individual values and people-oriented organizational culture are the most powerful predictors of PSR. This article contributes towards filling the gap in understanding the determinants of PSR in managing supply chains, particularly in an Asian context. (shrink)

The purpose of this study is to understand the drivers of social responsibility in purchasing (PSR). This study replicated and extended the range of empirical application of the model developed by Carter and Jennings {Journal of Business Logistics 25(1), 145-186, 2004). Consequently, the present study contributes to the nomological validity of concept of PSR or Purchasing Social Responsibility. The method used is derived from the previous study by Carter and Jennings (Journal of Business Logistics 25(1), 145-186, 2004), and the present (...) study extends the application of that method to an Asian environment. The data were obtained from 197 respondents in Thailand. This sample was largely composed of purchasing and supply chain managers. Respondents were asked to indicate how different dimensions of corporate social responsibility (CSR) affect PSR. The findings of the present study suggest that all the six hypothesized paths have been substantiated. Individual values and people-oriented organizational culture are the most powerful predictors of PSR. This article contributes towards filling the gap in understanding the determinants of PSR in managing supply chains, particularly in an Asian context. (shrink)

As a number of high profile companies have found to their cost, corporate reputations can be significantly affected by firms' management of sustainability issue, including those that are outside their direct control, such as the environmental and social impacts of their supply networks. This paper begins by examining the relationship between corporate social responsibility, reputation, and supply network conditions. It then looks at the effectiveness of one tool for managing supply network sustainability issues, ethical sourcing codes of conduct, by examining (...) how the characteristics of three supply networks branded clothes, DIY wood products and branded confectionary affects the implementation ethical sourcing codes of conduct. It ends by setting out conclusions on why implementation of such codes has been so much more successful in some sectors than others and recommendations on effective approaches to managing sustainability issues in supply networks. (shrink)

While calls are being made to deal with the linkages between climate change and sustainable development to arrive at an integrated policy, concrete steps in this direction have been very limited so far. One of the possible instruments through which both issues may be approached simultaneously is a multistakeholder partnership, a form of governance with the potential to address existing regulatory, participation, resource and learning gaps as it harnesses the strengths of private, public, and nonprofit partners. There is some insight (...) into partnerships for climate change, but largely limited to developed countries, and those in developing countries most often do not involve companies. To help fill this gap, this article explores the role of multistakeholder partnerships in addressing climate change and sustainable development in developing-country settings. It elaborates on the governance function of partnerships, on actor involvement, the gaps addressed, as well as synergies and trade-offs in the climate change-sustainable development nexus and how partnerships may help address them. As the number of such partnerships is still limited, we discuss seven illustrative partnerships and draw conclusions as to further conceptualizations and implications for research and practice. (shrink)

Increasingly, companies implement social and environmental standards as instruments towards corporate social responsibility in supply chains. This is based on the assumption that such standards increase legitimacy among stakeholders. Yet, a wide variety of standards with different requirement levels exist and companies might tend to introduce the ones with low exigencies, using them as a legitimacy front. This strategy jeopardizes the reputation of social and environmental standards among stakeholders and their long-term trust in these instruments of CSR, meaning that all (...) expenses for their implementation are of no avail for the companies. Therefore, this paper highlights which criteria are important for the selection, implementation and improvement in order to achieve a company's aim, but also to strengthen the legitimacy of social and environmental standards. This research is based on conceptual thought and some existing empirical research, comparing four different social and environmental standards, revealing weaknesses and strengths. It exposes the basic conditions for the success of such standards among stakeholders and identifies the need for more empirical data. (shrink)

Increasingly, companies implement social and environmental standards as instruments towards corporate social responsibility (CSR) in supply chains. This is based on the assumption that such standards increase legitimacy among stakeholders. Yet, a wide variety of standards with different requirement levels exist and companies might tend to introduce the ones with low exigencies, using them as a legitimacy front. This strategy jeopardizes the reputation of social and environmental standards among stakeholders and their long-term trust in these instruments of CSR, meaning that (...) all expenses for their implementation are of no avail for the companies. Therefore, this paper highlights which criteria are important for the selection, implementation and improvement in order to achieve a company's aim, but also to strengthen the legitimacy of social and environmental standards. This research is based on conceptual thought and some existing empirical research, comparing four different social and environmental standards, revealing weaknesses and strengths. It exposes the basic conditions for the success of such standards among stakeholders and identifies the need for more empirical data. (shrink)

Social Responsibility (SA) 8000 registration/certification is a response by the business community to address consumer and investor perceptions of the importance of emerging global social issues such as child labor, worker rights, discrimination, compensation, etc. As more U.S. and European firms outsource production to less developed nations, social, environmental, and reputational issues have become more important. SA8000 is a series of behavioral standards that represents a comprehensive, and potentially global, corporate social responsibility registration system that provides a standard of socially (...) responsible treatment of workers. This paper explores how SA8000 adoption may impact a firm's marketing activities. (shrink)

The food industry faces many significant risks from public criticism of corporate social responsibility (CSR) issues in the supply chain. This paper draws upon previous research and emerging industry trends to develop a comprehensive framework of supply chain CSR in the industry. The framework details unique CSR applications in the food supply chain including animal welfare, biotechnology, environment, fair trade, health and safety, and labor and human rights. General supply chain CSR issues such as community and procurement are also considered. (...) Ultimately, the framework serves as a comprehensive tool to support food industry practitioners and researchers in the assessment of strategic and operational supply chain CSR practices. (shrink)

Based on a consumer survey conducted in France, Germany, and the U.S., the study investigates consumers'' readiness to support socially responsible organizations and examines their evaluations of the economic, legal, ethical, and philanthropic responsibilities of the firm. French and German consumers appear more willing to actively support responsible businesses than their U.S. counterparts. While U.S. consumers value highly corporate eco-nomic responsibilities, French and German consumers are most concerned about businesses conforming with legal and ethical standards. These findings provide useful guidance (...) for the efficient management of social responsibility initiatives across borders and for further academic inquiries. (shrink)

With the proliferation of private standards many significant decisions regarding public health risks, food safety, and environmental impacts are increasingly taking place in the backstage of the global agro-food system. Using an analytical framework grounded in political economy, we explain the rise of private standards and specific actors – notably supermarkets – in the restructuring of agro-food networks. We argue that the global, political-economic, capitalist transformation – globalization – is a transition from a Fordist regime to a regime of flexible (...) accumulation (Harvey, 1989). We also argue that the standard making process of this new regulatory regime is increasingly moving from the front stage – where it is open to public debate and democratic decision-making bodies – to the backstage – where it is dominated by large supermarket procurement offices. We assert that transnational supermarket chains are increasingly controlling what food is grown where, how, and by whom. We also contend that the decision-making processes of transnational supermarket chains are typically “black-boxed.” The Euro-Retailer Produce Working Group (EUREP) is presented as a case of private governance by transnational supermarket chains. We conclude by examining the limitations and long-term efficacy of a system of private governance in the global agro-food system. (shrink)

The growing assumption thattransnational corporations (TNCs) will apply``best practice'''' and ``international standards''''in their operations in developing countries hasseldom been checked against close observationof corporate behavior. In this article, Ipresent a case study, based on field research,of one voluntary initiative to useinternational standards and best practice forenvironmental protection in the AmazonRainforest, by a US-based oil company,Occidental Petroleum (Oxy) in Ecuador. The moststriking finding is that the company refuses todisclose the precise standards that apply toits operations. This, and the refusal todisclose other (...) important environmentalinformation, make it impossible to verifyindependently Oxy''s claims of environmentalexcellence, or assess the effectiveness of theinitiative. At the same time, Oxy uses theinvocation of international standards to wrapitself in a veneer of corporate responsibility;reassure government officials and localresidents; cultivate confusion about standardsand practices that apply to the operations;deflect meaningful oversight and transparency;and arbitrarily legitimize norms that have beendefined by special interests. In short,international standards offer great promise forneeded environmental improvements; but can alsobe used to impede, rather than advance,corporate responsibility and the development ofeffective environmental law at the nationallevel. These findings suggest that for theapplication of international standards to bemeaningful, the international community needsto move beyond statements of principle anddevelop mechanisms that can be used toevaluate, verify, and monitor independentlyenvironmental claims by TNCs. (shrink)

Business codes are an oft-cited management instrument. But how common are codes among multinationals? And what is their content? In an unprecedented study, the codes of the largest corporations in the world have been collected and thoroughly analyzed. This paper presents the results of that study. Of the two hundred largest companies in the world, 52.5% have a code. More than half of these codes describe company responsibilities regarding quality of products and services (67%), adherence to local laws and regulations (...) (57%) and the protection of the natural environment (56%). Many codes make reference to principles governing stakeholder relations (e.g. transparency (55%), honesty (50%) and fairness (45%)), corporate core values (e.g. teamwork (43%)), appropriate conduct among employees (e.g. discrimination (44%) and intimidation (43%)) and treatment of company property by employees (e.g. conflict of interests (52%), corruption (46%) and fraud (45%)). Monitoring compliance with the code is addressed in 52% of the codes. Based on this content study, three types of codes are distinguished: the stakeholder statute (72%), the values statement (49%) and the code of conduct (46%). The results of this inquiry present a benchmark for the evaluation and development of both individual and international business codes. (shrink)

In this article, we examine the empirical association between corporate governance (CG) and corporate social responsibility (CSR) engagement by investigating their causal effects. Employing a large and extensive US sample, we first find that while the lag of CSR does not affect CG variables, the lag of CG variables positively affects firms’ CSR engagement, after controlling for various firm characteristics. In addition, to examine the relative importance of stakeholder theory and agency theory regarding the associations among CSR, CG, and corporate (...) financial performance (CFP), we also examine the relation between CSR and CFP. After correcting for endogeneity bias, our results show that CSR engagement positively influences CFP, supporting the conflict-resolution hypothesis based on stakeholder theory, but not the CSR overinvestment argument based on agency theory. Furthermore, firms’ CSR engagement with the community, environment, diversity, and employees plays a significantly positive role in enhancing CFP. (shrink)

Western buying companies impose Supplier Codes of Conduct (SCC) on their suppliers in developing countries; however, many suppliers cannot fully comply with SCC and some of them even cheat in SCC. In this research, we link contract characteristics - price pressure, production complexity, contract duration - to the likelihood of supplier's commitment to SCC through a mediating process: how the buying companies govern their suppliers. Our structural equation model analysis shows that the hierarchy/relational norms governance is a perfect mediator of (...) contract characteristics' effects on the likelihood of supplier's commitment; the market governance, an insignificant one. The managerial implications are provided for successfully implementing SCC in global supply chains. (shrink)

This paper presents a study that identifies a stakeholder-defined concept of Corporate Responsibility (CR) in the context of a UK financial service organisation in the immediate pre-credit crunch era. From qualitative analysis of interviews and focus groups with employees and customers, we identify, in a wide-ranging stakeholder-defined concept of CR, six themes that together imply two necessary conditions for a firm to be regarded as responsible—both corporate actions and character must be consonant with CR. This provides both empirical support for (...) a notable, recent theoretical contribution by Godfrey (in Acad Manag Rev 30:777–798, 2005 ) and novel lessons for reputation management practice. (shrink)

The Corporate Social Responsibility (CSR) field presents not only a landscape of theories but also a proliferation of approaches, which are controversial, complex and unclear. This article tries to clarify the situation, mapping the territory by classifying the main CSR theories and related approaches in four groups: (1) instrumental theories, in which the corporation is seen as only an instrument for wealth creation, and its social activities are only a means to achieve economic results; (2) political theories, which concern themselves (...) with the power of corporations in society and a responsible use of this power in the political arena; (3) integrative theories, in which the corporation is focused on the satisfaction of social demands; and (4) ethical theories, based on ethical responsibilities of corporations to society. In practice, each CSR theory presents four dimensions related to profits, political performance, social demands and ethical values. The findings suggest the necessity to develop a new theory on the business and society relationship, which should integrate these four dimensions. (shrink)

This article introduces compliance disclosure regimes to business ethics research. Compliance disclosure is a relatively recent regulatory technique whereby companies are obliged to disclose the extent to which they comply with codes, ‘best practice standards’ or other extra-legal texts containing norms or prospective norms. Such ‘compliance disclosure’ obligations are often presented as flexible regulatory alternatives to substantive, command-and-control regulation. However, based on a report on experiences of existing compliance disclosure obligations, this article will identify major weaknesses that prevent them from (...) becoming effective mechanisms to discipline a certain type of behaviour. It will be argued that regulatory recourse to compliance disclosure obligations is nonetheless worthwhile if we view them as mechanisms that can initiate a dialogue about norm interpretation, application and norm desirability. From this perspective, compliance disclosure obligations serve less to discipline companies by making corporate practices transparent, and more to trigger a process of norm development, in which the law, companies and their stakeholders interact. This article provides an illustration of how mandatory disclosure, if it is restricted to a unilateral communication process, may produce no effective results (or even prove counterproductive), whilst highlighting the alternative potential of disclosure as an initiator of dialogue, supported by laws, geared towards the development and refinement of norms applicable to business in a global context and the values they promote. (shrink)

Lack of specificity around stakeholder identity remains a serious obstacle to the further development of stakeholder theory andits adoption in actual practice by business managers. Nowhere is this shortcoming more evident than in stakeholder theory’s treatment of the constituency known as “community.”In this paper we attempt to set forth what we call “the Problem of Community” as indicative of the definitional problems of stakeholdertheory. We then begin the process of gaining greater specificity around our notions of community and the role (...) of community in stakeholder theory and management. In doing so, we identify the emergence of two fairly new forms of community that we believe are particularly relevant to the stakeholder theorist and practicing manager. These two new variants of community—the virtual advocacy group and the community of practice—extend the notion of community in new directions, which have strikingly different implications for stakeholder theory and practice. (shrink)

Interactions between corporations and nonprofits are on the rise, frequently driven by a corporate interest in establishing credentials for corporate social responsibility (CSR). In this article, we show how increasing demands for accountability directed at both businesses and NGOs can have the unintended effect of compromising the autonomy of nonprofits and fostering their co-optation. Greater scrutiny of NGO spending driven by self-appointed watchdogs of the nonprofit sector and a prevalence of strategic notions of CSR advanced by corporate actors weaken the (...) ability of civil society actors to change the business practices of their partners in the commercial sector. To counter this trend, we argue that corporations should embrace a political notion of CSR and should actively encourage NGOs to strengthen “downward accountability” mechanisms, even if this creates more tensions in corporate–NGO partnerships. Rather than seeing NGOs as tools in a competition for a comparative advantage in the market place, corporations should actively support NGO independence and critical capacity. (shrink)

Systems of private regulation based on certification have recently emerged to address environmental issues in the forest products industry and labor issues in the apparel industry. To explain why the same regulatory form has emerged across these fields, the author uses a historical and comparative case study approach, closely examining early moments and paying attention to “roads not taken.” Two types of factors led to the initial emergence of private certification: social movement campaigns targeting companies and a neo-liberal institutional context. (...) The analysis shows specific ways in which these factors led states, nongovernmental organizations, and companies to build or support certification associations. (shrink)

This study focuses on comparison of perceptions of ethical business cultures in large business organizations from four largest emerging economies, commonly referred to as the BRICs (Brazil, Russia, India, and China), and from the US. The data were collected from more than 13,000 managers and employees of business organizations in five countries. The study found significant differences among BRIC countries, with respondents from India and Brazil providing more favorable assessments of ethical cultures of their organizations than respondents from China and (...) Russia. Overall, highest mean scores were provided by respondents from India, the US, and Brazil. There were significant similarities in ratings between the US and Brazil. (shrink)

This study investigated effects of codes of ethics on perceptions of ethical behavior. Respondents from companies with codes of ethics (n = 465) rated role set members (top management, supervisors, peers, subordinates, self) as more ethical and felt more encouraged and supported for ethical behavior than respondents from companies without codes (n = 301). Key aspects of the organizational climate, such as supportiveness for ethical behavior, freedom to act ethically, and satisfaction with the outcome of ethical problems were impacted by (...) the presence of an ethics code. The mere presence of a code of ethics appears to have a positive impact on perceptions of ethical behavior in organizations, even when respondents cannot recall specific content of the code. (shrink)

This study investigated effects of codes of ethics on perceptions of ethical behavior. Respondents from companies with codes of ethics (n = 465) rated role set members (top management, supervisors, peers, subordinates, self) as more ethical and felt more encouraged and supported for ethical behavior than respondents from companies without codes (n = 301). Key aspects of the organizational climate, such as supportiveness for ethical behavior, freedom to act ethically, and satisfaction with the outcome of ethical problems were impacted by (...) the presence of an ethics code. The mere presence of a code of ethics appears to have a positive impact on perceptions of ethical behavior in organizations, even when respondents cannot recall specific content of the code. (shrink)