Corporate sustainability,ecological modernization and the policy process in the South African automotive industry

In the past decade, the plea for corporate sustainability has gathered momentum and protecting the environment is one aspect for organizations to address if they are to conduct business in a sustainable manner. In this paper, we present the results of a questionnaire survey on the state of corporate sustainability within the South African automotive industry. The survey focused on the meaning and relevance of sustainability to South African automotive companies, and their use of different approaches to implement sustainability in corporate practice. On this score, the paper seeks to analyze and compare the levels of voluntary environmental initiatives between large and small and medium‐sized enterprises within the automotive milieu. Survey results reveal that a majority of automotive companies have sought to improve their environmental performance by integrating environmental considerations into their core activities. Although the majority of these companies have standardized EMSs, our analysis reveals considerable differences between companies' approaches to corporate sustainability. In particular, they varied in the extent to which procedures were formalized and documented behind the corporate rhetoric of a high commitment to sustainability. The paper concludes by prescribing a number of recommendations as to how to engage and promote more widely the South African automobile manufacturing companies in environmental change. Copyright © 2009 John Wiley & Sons, Ltd and ERP Environment.     

Commitment to Sustainability in Small and Medium‐Sized Enterprises: The Influence of Strategic Orientations and Management Values

Ecosystem degradation and social sustainability have become important issues in the corporate sphere during the last few decades. However, research discussing corporate social responsibility and related concepts has often focused on larger companies, sometimes neglecting the specifics of small and medium‐sized enterprises (SMEs). The main purpose of this study is to examine the relationships between two common strategic orientations, market orientation (MO) and entrepreneurial orientation (EO), in relation to sustainability commitment, sustainability practices and management values in SMEs. Questionnaire responses from 450 Swedish SMEs were analyzed, confirming the influence of MO, EO and sustainability practices on commitment to sustainability, implying that firms committed to sustainability see both market and entrepreneurial advantages of sustainability. The results also show that different parts of MO and EO differ in importance for commitment to sustainability among SMEs. Implications concern the importance for firms and policymakers to work with sustainability issues using both internal and external perspectives. © 2015 The Authors. Business Strategy and the Environment published by ERP Environment and John Wiley & Sons Ltd     

Implementation of Sustainability Management and Company Size: A Knowledge‐Based View

Implementing corporate sustainability strategies requires knowledge and application of sustainability management tools. While much progress has been made in developing such tools in both small and medium‐sized enterprises (SMEs) and large companies, the literature claims company size positively affects application. However, the role of knowledge as a mediating factor has not yet been investigated. Using the knowledge‐based view as a theoretical underpinning, this paper draws on empirical survey data from SMEs and large companies in Germany. It analyzes how company size affects the degree of knowledge and application of sustainability management tools. Even though the results reaffirm that SMEs know and apply significantly less tools, company size does not influence the share of tools applied once they are known. Thus, knowledge is identified as a key difference between SMEs and large companies as well as an important mediator to promote sustainability management. Copyright © 2014 John Wiley & Sons, Ltd and ERP Environment     

Sustainability and financial performance of small and medium sized enterprises: A bibliometric and systematic literature review

Based on a 20‐year dataset collected from the Web of Science database, this study aims to present a comprehensive knowledge map of the intellectual structure of the field of study of sustainability and financial performances in small and medium sized enterprises (SMEs). A bibliometric analysis and a systematic literature review method were employed by analyzing articles published between 1999 and 2018, using the VOSViewer software. The study provides an overview of articles, authors, the most influential journals, and themes of research. The results reveal the existence of three themes in research: the role of innovation and entrepreneurship and their impact on sustainability in SMEs (cluster 1), corporate social responsibility in the context of SMEs (cluster 2), and green management and environmental issues for SMEs (cluster 3). In sum, this paper discusses prominent insights from the research analyses and recommends future research directions for the field.     

Small business responsibility in developing countries: a threat or an opportunity?

Many developing country small and medium sized enterprises (SMEs) that are exporters see themselves facing a dilemma. They do not know how to respond to the rising social and environmental requirements of global buyers and supply chains and fear that were they to do so they would lose their competitive edge. However, they are aware that if they do not meet these requirements, they will not be able to access new foreign markets and may lose the contracts they already have. To investigate whether practical methods exist for resolving this dilemma, the United Nations Industrial Development Organization (UNIDO) carried out a one year project with 22 SMEs in four Asian countries. The results suggest that well targeted, enterprise‐specific efforts to meet corporate social responsibility (CSR) requirements can make a positive contribution to both short‐term profitability and longer‐term competitiveness. The ‘business case’ for CSR appears strongest in the environmental area, but measures in that area can act as a ‘starter motor’ for tackling more systemic ‘social’ problems. Furthermore, tackling social issues at the workplace can feed back positively to improve the sustainability of the environmental improvement measures. Copyright © 2005 John Wiley & Sons, Ltd and ERP Environment.     

Environmental sustainability orientation and performance of family and nonfamily firms

Despite the growing research evidence on the effect of environmental sustainability orientation (ESO) on firm outcomes, contingent factors that may influence the strength of this relationship have received little scholarly attention. In this study, we use insights from the literature on ESO and family business to introduce family status and firm age as moderators in the ESO‐performance linkage. Using time‐lagged data from 253 small and medium‐sized enterprises in Ghana, we found the impact of ESO on firm performance is amplified for nonfamily firms but not significant for family firms. Our evidence suggests it is stronger among older firms than younger ones. Implications and directions for future research are discussed.     

A quarter‐century review of HRM in small and medium‐sized enterprises: Capturing what we know,exploring where we need to go

Despite the proliferation of HRM research, only a small fraction explores the context of small and medium‐sized enterprises (SMEs). Where HRM in SMEs has received attention, the literature base remains fragmented and variable, comprising a plurality of definitions, explanations, and methods. To advance understanding, this paper uses a quarter‐century systematic review drawing on an evidence base of 137 peer‐reviewed articles. A cumulative framework is presented capturing key developments and synthesizing existing areas of research focus. Analysis of limitations and knowledge‐gaps finds a failure to differentiate across various types of SMEs, limited appreciation of SME characteristics and contextual conditions, and a dominance of managerial perspectives. An agenda for future research on HRM in SMEs is outlined with respect to definitional parameters, HR practices, HRM–performance, key determinants, and presenting issues. The paper concludes that SMEs offer a unique, fruitful, and timely context for investigations of HRM.     

Corporate sustainability and innovation in SMEs: Evidence of themes and activities in practice

Recently, innovation processes towards sustainable development have received increasing attention in academic literature. This research introduces the combination of insights from innovation theory, sustainable development practice and small business characteristics to unlock new knowledge on factors that influence the translation of sustainable innovation within small and medium‐sized enterprises (SMEs) into practice. The sustainability themes and activities as described for large companies (i.e. in the sustainability reporting and management literature) were used as starting point in this study. It presents empiric results of the PRIMA Project conducted within the rubber and plastics industry (RPI) on sustainable innovation activities. It will show that many sustainable innovations are directed at the improvement of technological processes (eco‐efficiency) and to lower costs of production. These innovations can be seen as incremental. Companies with sustainability integrated in their orientation and innovation processes show value creation: the development of products new to the market (radical innovations) and cooperation with stakeholders. The PRIMA project shows that more insight in SME innovative characteristics and (e)valuation of sustainable innovation efforts provides opportunities to improve the sustainability performance of SMEs. Copyright © 2009 John Wiley & Sons, Ltd and ERP Environment.     

Could lean practices and process innovation enhance supply chain sustainability of small and medium‐sized enterprises?

Small and medium‐sized enterprises (SMEs) adopt lean practices (LP) to reduce waste across their organisational value chain, which helps achieve sustainability. Process innovation (PI) has also been applied through cleaner production, environmental management system, ecodesign, and so on to address both customers' needs and legislations by policymakers. Although prior studies reveal the effect of sustainable practices, LP, and PI on sustainable performance separately, less is known on the integrated effect of them on sustainability performance. Moreover, studies on mediating effect of LP and PI on sustainability performance are scant. This is significant as LP and PI are considered to be the enablers for achieving sustainability performance. This research addresses this knowledge gap. The research first theorises a model integrating these four major constructs (sustainability practices, LP, PI, and sustainability performance) through hypotheses development. Subsequently, using structural equation modelling, it is tested whether each of sustainability practices, LP, and PI effect sustainability performances. Additionally, mediating effect of LP and PI between sustainability practices and performances is derived. The study uses data from 119 SMEs within manufacturing industries in the Midlands, United Kingdom. Further, a few case studies have been undertaken to validate the findings from quantitative analysis. The overall results show that although sustainability practices, LP, and PI help achieve sustainability performance of SMEs supply chain through efficiency and responsiveness respectively, the mediating effect LP is more compared with PI. Moreover, SMEs adopt LP when they are economy focused and implement PI when they are pressurised by customers and/or policymakers.     

金融危机背景下我国中小企业融资问题的探讨

改革开放以来,我国的中小企业大量涌现并迅猛发展。中小企业在国民经济中已占据了举足轻重的地位。但长期以来,我国的中小企业所获得的金融支持却与其贡献极不相称,融资难已经成为制约我国中小企业发展的普遍性问题,特别是在金融危机的背景下这一问题显得更为突出。本文在调查当前我国中小企业融资现状的基础上,分析了我国中小企业融资难的原因,提出了解决当前我国中小企业融资难问题的一些意见和建议。     

Conceptualizing businesses as social actors: A framework for understanding sustainability actions in small‐ and medium‐sized enterprises

Small‐ and medium‐sized enterprises (SMEs) can play a crucial role in advancing environmental and social well‐being. Yet various—often conflicting—explanations have been offered to clarify why SMEs pursue sustainability. Some arguments foreground possibilities of profit maximization, whereas others emphasize individual values and convictions. Research supporting such contradicting explanations is often biased towards large enterprises or small, innovative frontrunners. In this article, we examine the underlying drivers of social and environmental interventions of SMEs by exploring empirical data from a survey of over 1,600 Canadian SMEs and complementary in‐depth interviews. We argue that sustainability actions of SMEs can be understood by viewing these firms as social actors—organizations that are shaped by individual values, internal and external interpersonal relationships, and are embedded in a social environment. This conceptualization directs attention to the full range of factors that shape sustainability engagement of SMEs and highlights frequently overlooked forms of sustainability‐oriented actions.     

Sustainable development of small‐ and medium‐sized enterprises in the European Union: A taxonomy of circular economy practices

This paper focuses on the implementation of circular economy (CE) practices in small‐ and medium‐sized firms in all 28 European Union (EU) countries. The analyses take into account the hierarchical nature of the collected data as firms are nested within EU countries, that is, the heterogeneity between different types of firms and countries according to practices and attitudes towards CE. The multilevel latent class model identifies groups of firms and groups of EU countries that are homogeneous in terms of CE, that is, how the homogeneous groups of small‐ and medium‐sized enterprises (SMEs) are distributed across the groups of EU countries. These results, together with the fact that firms with similar CE attitudes and practices have different demographic and business profiles across groups of countries, shed further light on the topic of green behavior in the EU with implications for businesses' environmental policies. Moreover, indications emerge that European policies favoring the implementation of CE practices should be targeted at least for subgroups of European countries, considering the different composition by typology of SMEs operating in their territories and that, at the same time, policies should be defined within each group of countries to account for the specific features of each of the four classes of SMEs.     

Sustainable environmental practices and financial performance: Evidence from listed small and medium‐sized enterprise in the United Kingdom

In this article, we investigate the financial implication of sustainable environmental practices on UK small and medium‐sized enterprises (SMEs)–traded firms. Existing literature indicates that there is a direct relationship between sustainable environmental practices and financial performance. However, studies looking at this relationship have focused mainly on large firms with little attention paid to SMEs. Further, those looking at environmental and financial performance relationships have often used a single measure of performance in their studies. This study bridges these research gaps by focusing on listed SMEs in the United Kingdom using multiple measures of sustainable environmental policy indices on a panel of 201 SMEs on the Alternative Investment Market from 2011 to 2016. Evidence from our panel data analysis suggests significant and a nonlinear (concave) relationship between sustainable environmental practices and firms' financial performance. Specifically, energy efficiency practices, greenhouse gases, material, and resource efficiency revealed an inverted U‐shaped relationship with financial performance. The results will offer guidance to management in terms of allocating resources to sustainable environmental practices investment.     

Can adopting ambitious environmental sustainability initiatives lead to business failures? An analytical framework

Drawing on environmental sustainability orientation and business failure literature, we examined a thought‐provoking question: “Can adopting ambitious environmental sustainability initiatives lead to business failures and under what conditions is this more likely?” To address this question, we developed an analytical framework that provides new insights into how voluntary environmental initiatives affect the business environment and firm competitiveness. This paper also yields new insights on the features that emerge at adopting environmental initiatives–business failure nexus: from greening to growing, from greening to sustaining, from greening to constraining, and from greening to collapsing. Accordingly, the study accounts for the conditions under sustainability initiatives, and a variety of complex contextual factors are likely to culminate in closures of small and medium‐sized enterprises (SMEs). Although many top executives, entrepreneurs, and managers view implementation of environmental initiatives as tantamount to superior firm performance, the paper highlighted the effects of resource constraints and vulnerabilities of SMEs and new firms during the early stage of development, and therefore, pursuing aggressive green initiatives could minimize their life chances. Implications for scholars and practising managers are discussed.     

Does the Natural‐Resource‐Based View of the Firm Apply in an Emerging Economy? A Survey of Foreign Invested Enterprises in China*

abstract This study explores whether enterprises operating in China benefit from the practice of the tenets of the natural‐resource‐based view of the firm (NRVF). To this end, a conceptual model is proposed that depicts the major determinants and consequences of the practice of NRVF. By and large, the survey data collected from foreign invested enterprises (FIEs) in China confirm the validity of the proposed model, and suggest that the NRVF is applicable in the world's largest and fastest‐growing emerging economy. These results remind FIEs in China of the opportunities to enhance corporate environmental and financial performance through the adoption of environmental strategies. Various regression and multi‐group analyses conducted in this study further reveal significant moderating influences of perceived environmental uncertainties, operating mode, and firm size on the process of achieving company‐wide ecological sustainability.     

Gender‐based equal opportunities policy and practice in small firms: the impact of HR professionals1

This article assesses the impact of HR qualified professionals on the adoption of gender‐based equal opportunities policies and practices in small businesses. Earlier research has shown a low level of take‐up of equal opportunities initiatives in small firms. This article explores whether the presence of an HR professional in small to medium‐sized enterprises is associated with a greater level of take‐up of (a) gender‐based equality policies and (b) gender‐based equality practices than in small to medium‐sized enterprises that do not have such expertise. In doing so, the authors draw on empirical data from a recent European Social Fund sponsored study of equal opportunities policy and practice in small to medium‐sized enterprises in the UK. The main finding is that the presence of an HR professional is associated with a greater level of take‐up of formal equality policies, but not with the implementation of equality practices. The authors explore possible reasons for this and consider the implications for the HR profession and the promotion of equality of opportunity in the small business sector.     

The Influence of Governance Structure and Strategic Corporate Social Responsibility Toward Sustainability Reporting Quality

Increased business complexities coupled with enhanced global transformation have propelled corporations to behave as responsible citizens to drive the sustainability agenda. Many corporations incorporate their affirmative commitment to sustainable business practices into their corporate identities and give evidence for this in their sustainability reports. This paper examines the role of the board of directors in sustainability reporting quality (SRQ) in the Asia‐Pacific region. Based on a cross‐sectional study of 113 companies from 12 countries in the region, we find that the SRQ in the region leaves much room for improvement. However, we find that the institutionalization of the concept of corporate social responsibility (CSR) in an organization provides a sound foundation for enhancing SRQ. We find that the value of CSR anchored in the vision and/ or mission statement and strategic alliances fostered with non‐governmental organizations are positively associated with SRQ. This study contributes to strengthening the understanding, promoting discussion on the state of sustainability reporting in the Asia‐Pacific context and laying a solid foundation for more aggressive efforts to enhance SRQ. The study identifies the significant drivers currently associated with SRQ. The weak role of the board of directors in upholding the sustainable development agenda through the reporting process is highlighted. Copyright © 2013 John Wiley & Sons, Ltd and ERP Environment.     

Drivers,adoption, and evaluation of sustainability practices in Italian wine SMEs

Based on a survey with 64 small and medium‐sized enterprises (SMEs) in two Italian wine regions, this study aims to (a) identify key drivers and barriers of the adoption of sustainability and (b) compare the adoption and evaluation (use, financial/labor investments, and satisfaction) of sustainability practices in four management domains (marketing, chain, operational, and innovation). Results show that internal drivers were considered to be more important than external drivers. Economic sustainability‐oriented drivers scored significantly lower than drivers related to other dimensions, such as environmental sustainability and heritage. Key barriers refer to labor and investments costs, as well as concerns about greenwashing. Although there are substantial differences in adoption and evaluation of sustainability practices within and between management domains, this study confirms their widespread adoption in wineries. Among users, satisfaction levels outweigh the perceived investments. Except for innovation management practices, financial investments are considered to be lower than labor investments. Positive correlations between use‐satisfaction (within each management domain) and between investments or satisfaction levels (between management domains) further lend support for producers' adoption of multiple practices. At sustainability dimension level, heritage is negatively correlated with the evaluation indicators, indicating that it may act as a potential barrier to some sustainability practices. Segmentation analysis identified a low (30%) and high sustainability clusters (70%), which differ significantly in terms of sustainability perceptions and drivers, adoption, and evaluation of practices, as well as company characteristics. Future research needs to validate the findings on SMEs, compare our measures with more objective evaluation indicators, future adoption rates, and multidimensional sustainability practices.     

Responsible Innovation Toward Sustainable Development in Small and Medium‐Sized Enterprises: a Resource Perspective

What resources do small enterprises need to develop responsible innovations that enhance sustainable development? Does lack of resources prevent innovation toward sustainability in small and medium‐sized enterprises (SMEs) or can innovations be created with scarce resources? This study investigates environmentally and socially responsible innovations of SMEs from a resource perspective, based on empirical data from 13 Nordic SMEs. The findings indicate that SMEs can create responsible innovations with very different resource combinations. The most common resource combination comprises equity, research and development cooperation, networks, industry knowledge and reputation. Except for financial capital in the form of equity, which appears a necessary condition for responsible innovation from SMEs, resource needs vary between technological and business model innovations. Creating business model innovations appears to be possible with scarce resources, at the very least with equity and social capital. Environmental technology innovations call for more abundant resource combinations. In particular industry knowledge appears to be a key resource for such innovations. Copyright © 2013 John Wiley & Sons, Ltd and ERP Environment     

Sovereign wealth funds,productivity and people: The impact of Norwegian Government Pension Fund‐Global investments in the United Kingdom

Sovereign wealth funds have an increasing presence in the global financial ecosystem, principally through their investments in equities, which, in turn, may influence HRM. This study examines the influence of the world's largest sovereign wealth fund, the Norwegian Government Pension Fund‐Global (NGPF‐G), on employment in its U.K. investee firms. We find that firms with NGPF‐G investment are significantly less likely to reduce their demand for labour, more specifically in the immediate aftermath of the 2008 financial crisis. When a drop in the demand for labour does occur, it is less extreme when compared to similar organisations without a NGPF‐G shareholding, and this is evident even in the case of relatively small NGPF‐G investments. These findings are in line with the fund's objective of promoting corporate sustainability and Norwegian values. We draw out the key implications of our findings for HR practice.