Although the composition of the board of directors has important implications for different aspects of firm performance, prior studies tend to focus on financial performance. The effects of board composition on corporate social responsibility (CSR) performance remain an under-researched area, particularly in the period following the enactment of the Sarbanes-Oxley Act of 2002 (SOX). This article specifically examines two important aspects of board composition (i.e., the presence of outside directors and the presence of women directors) and their relationship with CSR (...) performance in the Post-SOX era. With data covering over 500 of the largest companies listed on the U.S. stock exchanges and spanning 64 different industries, we find empirical evidence showing that greater presence of outside and women directors is linked to better CSR performance within a firm’s industry. Treating CSR performance as the reflection of a firm’s moral legitimacy, our study suggests that deliberate structuring of corporate boards may be an effective approach to enhance a firm’s moral legitimacy. (shrink)

A total of 36 Business & Society scholars from five intellectual generations answer questions about the field's biggest challenges and their own motivations.

This study offers a theoretical framework for stakeholder management in an international and multicultural environment. Through the use of an extensive qualitative case study analysis, a methodological approach was developed for analyzing stakeholder dialogue data for cultural differences. Based on the empirical data it was possible to show specific ways in which cultural dimensions affect the international diffusion of stakeholder related policies. These findings contribute to the fields knowledge on internal stakeholder management implementation, by addressing the complexity of embedding stakeholder (...) management principles and practices within various international subsidiaries of the same multinational organization. (shrink)

Tokenistic short-term economic success is not good indicia of long-term success. Sustainable business success requires sustained existence in a corporation's political, economic, social, technological, legal and environmental contexts. Far beyond the traditional economic focus, consumers, governments and public interest groups alike increasingly expect the business sector to take on more social and environmental responsibilities. Corporate social responsibility (CSR) is the model in which economic, social and environmental responsibilities are fulfilled simultaneously. However, there is insufficient empirical evidence that demonstrates genuine widespread (...) adoption of CSR in practice, and its underlying reasons. Though research in CSR has been rapidly growing, its commercial reality and implications need to be further improved if it is to inspire corporations to voluntarily adopt CSR. In the literature, Carroll's four-dimensional (economic, legal, ethical and discretionary) CSR framework offers a theoretical basis for developing an empirically based model to explain why and how profit-motivated managers take up CSR voluntarily. Our study has developed a structural equation model to identify the key factors and their interactions that influence economically motivated managers to take on voluntary CSR, and validate Carroll's four-dimensional construct. The results support Carroll's four-dimensional CSR framework, with the exception of the link pertaining to the relationship between economic and discretionary/voluntary responsibility. This characterises the economic reality that financial market-driven economic responsibility does not automatically translate into social responsibility. Nevertheless, the empirical results demonstrate that corporations can be led to engage in more voluntary CSR activities to achieve social good when appropriate legal and ethical controls are in place. (shrink)

Abstract:Extrapolating from Carroll’s four domains of corporate social responsibility (1979) and Pyramid of CSR (1991), an alternative approach to conceptualizing corporate social responsibility (CSR) is proposed. A three-domain approach is presented in which the three core domains of economic, legal, and ethical responsibilities are depicted in a Venn model framework. The Venn framework yields seven CSR categories resulting from the overlap of the three core domains. Corporate examples are suggested and classified according to the new model, followed by a discussion (...) of limitations and teaching and research implications. (shrink)

We argue that corporate social performance (CSP) has become a legitimizing identity (brand) for researchers in the business and society field, but it has not developed into a viable theoretical or operational construct. Because measuring CSP is contingent on the operational setting (industry, issues, etc.), it is difficult to produce worthwhile comparisons across studies or generalizing beyond the boundaries of a specific study. The authors suggest that researchers remove the CSP label from their operational variables, and instead narrowly define their (...) studies in operational terms. They provide aworking example of the proposed research direction by examining the theory underlying the popular CSP–financial performance (FP) debate. In the authors’ conceptualization, stakeholder action provides the underlying logic connecting CSP-FP, and we recast the research question to investigate the conditions under which stakeholders will take action to influence the focal organization and when those actions will influence the CSP-FP link. (shrink)

Corporate social responsibility (CSR) has acquired an unquestionably high degree of relevance for a large number of different actors. Among others, academics and practitioners are developing a wide range of knowledge and best practices to further improve socially responsible competences. Within this context, one frequent question is according to what theory should general knowledge of CSR be developed, and in particular the relationship between CSR and small and medium-size enterprises (SMEs). This paper suggests that research on large firms should be (...) based on stakeholder theory, while research on CSR among SMEs should be based on the concept of social capital. This paper first provides a theoretical and practical perspective on CSR today; the focus then shifts to the specific literature on CSR and SMEs; some data and information follow on SMEs in Europe and Italy; finally, some conclusions and questions for future research are suggested. (shrink)

Corporate social responsibility (CSR) is a relatively undeveloped concept despite its increasing importance to corporations. One difficulty is the possible inexactness of CSR. Another is the apparent reluctance by regulatory authorities and policy makers to intervene in the area. This is largely a result of inhibitions created by traditional approaches to company law with emphasis on shareholder protection and financial disclosure. The consequence is the stultification of independent development of CSR by tying social issues to financial performance. This attitude might (...) not be unconnected to the theoretical and practical challenges in justifying CSR and defining its scope. The underlying impediment is a factual and theoretical failure to distinguish ‘instrumental’ and ‘pure’ (ethical) CSR. This article demonstrates that ethical CSR highlights the role of regulation, and a principal stance is that regulation is neither incompatible nor irreconcilable with ethical CSR. The article argues that cognizance of the intrinsic moral justification of ‘pure’ CSR is required for delineating the scope of CSR as well as for clarifying the desirability and extent of its regulation. It argues that the dynamic history and visage of multinational corporate corruption illuminates the fluidity of the regulation–CSR relationship. The current and widening backlash against transnational corporate corruption is, arguably, a demonstration of the position that regulation and CSR are not mutually exclusive and absolute concepts. This article submits that recognition and application of this ‘ethical’ and ‘instrumental’ CSR distinction is fundamental to the development of CSR and resolution of connected questions of regulation. (shrink)

Recent discussions in the area of corporate social responsibility suggest that organizational size has complex meanings and thus requires more scholarly attention. This article explores organizational size in the context of relative power in inter-organizational networks. To shed light on the ways relative power interacts with size we studied social responsibility practices among cleaning subcontractors in three firms of different sizes. Our focus on the network differentiates these firms on the basis of their size and sector. Semi-structured interviews were used (...) to trace cleaning subcontractors' CSR-related practices. We analyzed subjective reports and discursive practices involved in subcontractors' self-presentations. While the economic and philanthropic dimensions of social responsibility were presented by the cleaning subcontractors as independent of network constraints, the findings show that the legal and ethical dimensions were subject to large client-firm pressures. What we learn from our data is that the four dimensions of Carroll's model, the economic, legal, ethical, and philanthropic, should all develop from and be evaluated against a fifth root dimension of inter-personal commitment. (shrink)

Recent discussions in the area of corporate social responsibility suggest that organizational size has complex meanings and thus requires more scholarly attention. This article explores organizational size in the context of relative power in inter-organizational networks. To shed light on the ways relative power interacts with size we studied social responsibility practices among cleaning subcontractors in three firms of different sizes. Our focus on the network differentiates these firms on the basis of their size and sector. Semi-structured interviews were used (...) to trace cleaning subcontractors' CSR-related practices. We analyzed subjective reports and discursive practices involved in subcontractors' self-presentations. While the economic and philanthropic dimensions of social responsibility were presented by the cleaning subcontractors as independent of network constraints, the findings show that the legal and ethical dimensions were subject to large client-firm pressures. What we learn from our data is that the four dimensions of Carroll's model, the economic, legal, ethical, and philanthropic, should all develop from and be evaluated against a fifth root dimension of inter-personal commitment. (shrink)

Three characteristic problems in the measurement of corporate social performance (CSP) center around the need to measure three “metrics”: the metric of performance evaluation (M1), the metric of performance measurement (M2), and the metric of performance perception and belief (M3). The central issues in each metric are commitment, revelation, and belief, respectively. This article discusses each metric and provides sets of theoretical propositions under M2 and M3 describing behavior in those contexts. Some of the propositions inM2form an explicit partial theory (...) of factors affecting the likelihood of CSP measurement. Those under M3 are developed from more general ones in the theory of testaments. (shrink)

Business & Society’s 60th anniversary affords an opportunity to reflect on the journal’s achievements in the context of the wider field. We analyze editorial commentaries to map the evolving mission of the journal, assess the achievement of the journal’s mission through a thematic analysis of published articles, and examine Business & Society’s distinctiveness relative to peer journals using a machine learning approach. Our analysis highlights subtle shifts in Business & Society’s mission and content over time, reflecting variation in the relative (...) emphasis on scholarly quality versus policy/practice relevance, and building the journal and its academic community versus addressing issues of concern to wider society. While Business & Society’s intended missions have been substantially and sequentially achieved, an increased emphasis on the society-business nexus and a critical approach to interdisciplinarity could further enhance Business & Society’s leading role within business and society research and attract new generations of contributors and readers. (shrink)

This theoretical paper takes an agency-theoretic approach to questions of corporate social responsibility (CSR). A comparison of various extant frameworks focusses on how CSR agency emerges in complex multi-agent and multi-sector stakeholder networks. The discussion considers the respective capabilities and relevance of these frameworks – culminating in an integrative CSR practice model. A short literature review of the evolution of CSR since the 1950’s provides the backdrop for understanding multi-agent cross-sectoral stakeholder coalitions as a strategic determinant of today’s organizational behavior. (...) The paper turns to Werhane’s coupling of moral imagination and systems thinking and forging stakeholder coalitions in problem contexts that were traditionally deemed intractable by for-profit organizations. However, it identifies the problem that the systems approach treats macro-agents (organizations, stakeholders) as given (“black-boxed”) and shies away from more radically re-imagining the possibilities of reassembling agency from the bottom up. Actor Network Theory (ANT) provides such a method, which strictly commits to treating organizational behavior as a product of technological, human and environmental micro-processes. ANT, however, is lacking a genuine moral deliberative stance in designing complex CSR coalitions. In an attempt to capitalize on the respective strengths of these frameworks (Systems thinking and ANT) the paper tends to a recent iterative series of “situational transactive” models that are rooted in the US pragmatist tradition and seek to capture intelligent planning processes in complex problematic contexts. The contribution proposes a new CSR practice model, which assigns specific roles to the theoretical contributions of ANT, system thinking and pragmatism in complex deliberation processes. This model can be industry-tested in a future study. (shrink)

This article studies the idea of Corporate Social Performance (CSP) from a critical perspective using empirical elements derived from analysis of year 2000 ARESE data. ARESE is the French first mover social rating agency providing quantified data about the Social Performance of French companies. The paper starts out by reviewing leading CSP models and discussing problems inherent to the measurement of this construct before going on to present and analyse ARESE data - whose suitability for existing models will be discussed.

Over the past four decades, stakeholder research has united a chorus of voices from different disciplines using different terminology for different audiences all related to a seemingly similar topic: those that affect and are affected by business. By juxtaposing a comprehensive review of the early years of stakeholder research against more recent stakeholder research, we identify areas of common convergence as well as emergent scholarship. We develop an organizing framework consisting of three stakeholder-related themes: who or what is a stakeholder; (...) mechanisms underlying stakeholder relationships; and outcomes-oriented stakeholder research. Future research opportunities include: simultaneously examining multiple stakeholders at multiple levels; multiplier effects along the value chain and across geographies; and net impacts. We conclude by identifying how stakeholder research can “move the needle” on important business issues such as: income inequality and CEO pay; human rights and building community inclusion; disease alleviation; and food security in firms’ continuous quest to create value. (shrink)

Using content analysis, the authors categorize all Social Issues in Management (SIM) Division papers and abstracts (636) from 1972 through 1996 by subject matter and methodology. Showing the development of the field over time, the authors integrate their findings into previous SIM frameworks. Adaptation to the changing business environment is apparent in the subject matter. Although terminology and context (such as employee rights concerning electronic mail) may have changed, the topics are similar. Nevertheless, evolution in the SIM field is apparent. (...) Methodology has become much more sophisticated as researchers use existing and newly created databases and more rigorous techniques-such as event studies and meta-analysis. (shrink)

The discussions about the reform of state-owned enterprises are so far dominated by economic and legal considerations while the ethical dimension of this highly complex problem is being barely addressed explicitly, much less developed systematically and integrated into a broader analytical framework for companies in China. This paper is a proposal to introduce this kind of ethical considerations. First, the main features of the reform of state-owned enterprises are briefly summarized and a number of critical issues are identified. Second, the (...) "balanced concept of the firm" is presented and compared with other approaches to corporate ethics in chiefly Western literature (discussions on "corporate social responsibility", the stakeholder approach, and social contract theories). Finally, the relevance of this "balanced concept of the firm" for the reform of state-owned enterprises is briefly discussed. (shrink)

The purpose of this paper is to highlight the importance and impact of terminology used to describe corporate social responsibility (CSR). Through a review of key literature and concepts, we uncover how the economic business case has become the dominant driver behind CSR action. With reference to the literature on semiotics, connotative meaning and social marketing we explore how the terminology itself may have facilitated this co-opting of an ethical concept by economic interests. The broader issue of moral muteness and (...) its relation to ethical behaviour is considered. We conclude by proposing a number of important attributes for any proposed terminology relating to ethical/socially responsible/sustainable business. (shrink)