COMPENSATION CONTRACTS OF CHIEF EXECUTIVE OFFICERS: DETERMINANTS OF PAY-PERFORMANCE SENSITIVITY

Compensation contracts of chief executive officers of large firms typically provide for a low linkage between compensation and stock performance. We test predictions of various theoretical models of managerial behavior using pay-performance sensitivity measures. We find that even though the sensitivity measures are low on average, they vary cross-sectionally, in a manner broadly consistent with predictions from the literature on efficient contracting.     

Drug testing and corporate responsibility: The “ought implies can” argument

Most of the debate about drug testing in the workplace has focused on the right to privacy. Proponents of testing have had to tackle difficult questions concerning the nature, extent, and weight of the privacy rights of employees. This paper examines a different kind of argument — the claim that because corporations are responsible for harms committed by employees while under the influence of drugs, they are entitled to test for drug use. This argument has considerable intuitive appeal, because it seems, at least at first glance, to bypass the issue of privacy rights altogether. The argument turns, not on rights, but on the nature and conditions of responsibility. We may therefore call it an ought implies can argument.In spite of its initial appeal, however, the argument does not succeed in circumventing the claims of privacy rights. Even responsibility for the actions of others does not entitle us to do anything at all to control their behavior; we must look to rights, among other things, to determine what sorts of controls are morally permissible. In addition, the argument rests on unjustified assumptions about the connection between drug testing and the prevention of drug-related harm. Jennifer Moore is Assistant Professor of Philosophy at the University of Delaware. She does teaching and research in business ethics and business law and is co-editor of the anthology, Business Ethics: Readings and Cases in Corporate Morality, published by McGraw-Hill.     

Ethical attitudes of students and business professionals: A study of moral reasoning

A questionnaire on business ethics was administered to business professionals and to upper-class business ethics students. On eight of the seventeen situations involving ethical dilemmas in business, students were significantly more willing to engage in questionable behavior than were their professional counterparts. Apparently, many students were willing to do whatever was necessary to further their own interests, with little or no regard for fundamental moral principles. Many students and professionals functioned within Lawrence Kohlberg's stage four of moral reasoning, the law and order stage. Individualism and egoism remain strong patterns in the moral reasoning of many professionals, but they influence moral reasoning patterns among students to a much greater degree.John A. Wood is Associate Professor or Religion at Baylor University.Justin G. Longenecker is Emeritus Chavanne Professor of Christian Ethics in Business at Baylor University.Joseph A. McKinney is Professor of Economics and Co-Director of Master of International Management Program at Baylor University.Carlos W. Moore is an Edwin W. Streetman Professor of Marketing at Baylor University.     

Family feuds

Once brothers in arms, large and small companies within the same trade associations are realizing that the main thing they have in common is competition with one another.     

Rough ride

Anne K. Bingaman, the Justice Department's top trustbuster, has pledged vigorous enforcement of the antitrust laws. But lack of money, hostile judges and skepticism elsewhere in the Administration could make it hard for her to deliver.     

British privatization--taking capitalism to the people

From 1983 to 1986, John Moore served in the Thatcher government in Britain, launching that country's privatization program. In "British Privatization--Taking Capitalism to the People, " he describes the thinking behind privatization, the objections raised against it, and the actual measures taken to implement it. With privatization, corporate performance has improved and the government has been able to focus on regulation, not ownership. But in the end, says Moore, the greatest success of British privatization was that it transformed the public's attitude toward ownership and economic responsibility.     

Resilience and the (micro-)dynamics of organizational ambidexterity: implications for strategic HRM

Abstract

In the twenty-first century, resilience has emerged as a seminal and important topic linked to calls for adaptability, well-being and organizational performance. Extant strategic human resource management (HRM) literature and practices have developed many insights into resilience. However, overall, they have a propensity to conceptualise resilience as being associated with ‘macro-’ and ‘extreme’ situations. This paper complements the prevailing perspective by developing a micro-focus on resilience through the conceptual framework of organizational ambidexterity surfacing under-examined individual resilience in connection with HRM practices. Methodologically, the paper adopts a qualitative approach presenting data from two illustrative contexts: an ‘everyday’ quasi-governmental institution and a prima facie ‘extreme’ pan-international military organization. Using template analysis, a number of valuable themes and similarities are identified. The findings and discussion underline the managerial challenges in handling organizational ambidextrous dynamics and tensions surrounding resilience, positive and sceptical approaches in relation to individual and organizational stances towards HRM practices. As such, the results point at value in HRM managers and practices recontextualising and appreciating ‘extremes’ and resilience more as an everyday (rather than exceptional) phenomenon wherein myriad micro-moments are highly significant in constructing and influencing macro-contexts. This also implies a need to see cynical resistance as normative rather than automatically negatively.     

向网民派发十亿元数字星空逆市挺进团购

7月12日,“团到惊喜——数字星空团购业务上线暨中小商户成功团购论坛”主题发布会在北京钓鱼台国宾馆隆重举行．而开创业界先河的“向网民派发十亿现金”豪礼活动也同步展开．在现场数百位来宾及媒体记者的见证下，这家以“团商品”与“团服务”并重的综合性团购网站开始面向亿万网民与千万中小商户提供可信赖的团购服务以及可持续的成长服务...