Modelling CSR: How Managers Understand the Responsibilities of Business Towards Society

The purpose of this article is to develop a model of how managers perceive the responsibilities of business towards society. The article is based on the survey responses of more than 1,000 managers in eight large international firms. It is concluded that the managerial perceptions of societal responsibilities differ in some respects from the mainstream models found in the corporate social responsibility (CSR) and business ethics literature. The article is an output of RESPONSE: an EU- and corporate-funded research project on managerial perceptions of CSR.     

Fair Trade Consumption: In Support of the Out-Group

Two sets of self-transcendence values – universalism and benevolence – act as a source of motivation for the promotion of the welfare of the other rather than the self. This article sought to determine the exact nature of the interaction between these sets of values and the consumption of fair trade products. In an earlier study, universalism values were found to have a significant influence on fair trade consumption whereas benevolence values did not, despite their shared goal and values theory. Additionally, there was supporting evidence in the extant literature that benevolence values should influence fair trade consumption behavior. This study took a closer look at the individual values that make up the value categories universalism and benevolence to better understand and describe this universalism–benevolence distinction in fair trade consumption. It was established that perhaps group membership has an influence on the decision to buy fair trade products. Specifically, it seems that an overriding sense of responsibility to one’s own group – the in-group – prevents some consumers from identifying with, empathizing with, and subsequently sharing resources with fair trade producers; members of out-groups in far-flung corners of the globe. It appears that the universalism–benevolence distinction in fair trade consumption might also be described as an in-group–out-group distinction.     

Medical Error Disclosure Training: Evidence for Values-Based Ethical Environments

Disclosure of medical and errors to patients has been increasingly mandated in the U.S. and Canada. Thus, some health systems are developing formal disclosure policies. The present study examines how disclosure training may impact staff and the organization. We argue that organizations that support “disclose and apologize” activities, as opposed to “deny and defend,” are demonstrating values-based ethics. Specifically, we hypothesized that when health care clinicians are trained and supported in error disclosure, this may signal a values-based ethical environment, and staff may be more committed to the organization. We surveyed 325 clinical care providers employed by a large hospital that had recently begun implementing disclosure policies and training. Disclosure training explained significant variance in perceptions of the ethical environment, and the ethical environment mediated the relationship between disclosure training and organizational commitment. Although this study explored disclosure of medical errors, organizational support for error disclosure is a concept that could be relevant for many types of organizations.     

Corporate Social Responsibility,Product Differentiation Strategy and Export Performance

This article examines why an organization might wish to manage workplace romance, and describes a number of alternative approaches to managing dating. At first sight the ethics of dating bans balances the need to protect female employees from harassment against employee rights to privacy and freedom of association – a rights versus rights issue. However, dating bans seem not to be directed at protecting female employees from harm, but rather protect employers from sexual harassment liability claims – an employer self-interest versus employee rights issue. This article advocates a consequentialist approach to the problem, via the factoring in of other harms caused by prohibiting workplace romance. Given that most workplace romances end up in marriage or long-term partnerships, a ban on workplace romance is argued to be antisocial. The incidence of sexual harassment is very low in comparison to the number of long-term relationships initiated in the workplace. This article concludes by citing examples of firms that encourage romance, showing that is feasible to manage any resulting problems within these firms’ existing conflict of interest and sexual harassment rules.     

Fairtrade Facts and Fancies: What Kenyan Fairtrade Tea Tells us About Business’ Role as Development Agent

Various promising claims have been made that business can help alleviate poverty, and can do so in ways that add value to the bottom line. This article begins by highlighting that the evidence for such claims is not especially strong, particularly if business is thought of as a development agent, i.e. an organization that consciously and accountably contributes towards pro-poor outcomes. It goes on to ask whether, if we did know more about either the business case or the poverty alleviation case, would this give cause for greater optimism that business could make a significant contribution to development. By exploring the experiences of producers of Fairtrade tea in Kenya, we reveal the complex nature of what constitutes a beneficial outcome for the poor and marginalized, and the gap that can exist between ethical intentions and the experience of their intended beneficiaries. The lessons of these experiences are relevant for Fairtrade and any commercial initiative that seeks to achieve outcomes beneficial and recognizable to the poor, and raise questions about the integration of social and instrumental outcomes that a future generation of ethical entrepreneurship will need to address.     

Dealing with Wicked Issues: Open Strategizing and the Camisea Case

The purpose of this article is to demonstrate, based on an extensive study of the Shell-led Camisea gas project in Peru, how what we believe to be a new approach to dealing with stakeholders, focusing on sense-making and combining industry dynamics and stakeholder empowerment, was developed. The project’s success was measured by the fact that, unlike similar projects around the world, it did not meet with major opposition during its 4-year life span. Those involved in the Camisea project succeeded in creating an open approach to building stakeholder relationships, allowing them to navigate through a number of diverse and challenging socio-political and ecological issues. An integral part of Shell’s approach was acting upon its commitment to high standards of operation and values. The insights from this case clearly indicate that stakeholder management and theorizing can profit from a less controlled, open and sense-making oriented strategizing with stakeholders.     

Confucian Ethics and the Limited Impact of the New Public Management Reform in Thailand

The diffusion of New Public Management reforms across the globe is based on the assumption of the universal applicability of managerialism, driven by instrumental rationality, individualism, independence and competition. The aim of this article is to challenge this conception and to fill a significant gap in the existing research by analysing potential problems arising from the implementation of the NPM philosophy in non-Western public organisations. In-depth interviews and a large-scale survey were conducted across six public organisations in Thailand based on the Competing Values Framework (CVF). Thematic analysis of the data revealed that the traditional cultural model of the organisations studied was characterised by a combination of hierarchical and clan-based cultures, which remained largely unaltered despite massive-scale reform. The persistence of this hybrid cultural system appears to be rooted in the deep-seated Confucian ethical values governing Thai society, in which the organisations are embedded. Based on the research findings, the paper underlies the importance of a symbolist viewpoint of culture and argues that a rational perspective underpinning a functionalist cultural management must be challenged.     

Contextualizing Voice and Stakeholders: Researching Employment Relations,Immigration and Trade Unions

This article aims to outline some of the ways in which issues of migration and employment relations have been studied in the European context, cross referencing recent interventions in the USA. The argument is a discussion of some of the different dimensions of migration and the way debates within Industrial Relations have been shaped. More specifically, the article will look at the way trade unions have made the ethical turn towards questions of migration and equality. The article will observe the way these issues have been academically framed and the manner in which the ‘problem’ of migration is conceptualized. It will attempt to provide a framework for discussing the way we have been analysing these issues and the ethical dimensions of these discussions. The relevance of the article is that institutionally responding to migration is not solely a question of adjusting employment relations or Industrial Relations institutions to various ‘new’ constituencies. The article will show that the topic raises issues as to how we actually understand what the study of employment and especially Industrial Relations are. The article also argues that there is a growing need for researchers to be aware of ethical issues when studying in the area of migration, and to be sensitive to competing voices and methodologies in this area. In particular we need approaches that are multidimensional and that emphasize the history and context of change in social constituencies, the new mechanisms of representation within communities, the role of the political in terms of discourses and resources, and the broad play and spaces of regulation and social policy.     

Trust in Companies and in CEOs: A Comparative Study of the Main Influences

Trust is a crucial factor for the long-term economic success of a company. However, not only does the company establish trust, but the CEO representing the company builds up trust as well and, therefore, also influences the company’s success. Our study examines how different dimensions of trust (i.e., ability, integrity, benevolence, and information quality) influence the degree of overall trust in a company and in CEOs. Nevertheless, dimensions that influence trust in a CEO can be completely different to those influencing trust in companies. Companies and CEOs that act on an international level can hardly be experienced individually, and thus people get information about the company via media use. Therefore, additionally we examine which kind of media is used for getting information about a company or CEO and whether a relationship exists between media use and trust. Findings from a survey in Switzerland (n = 245) show that companies are more trusted than CEOs and that the items which influence overall trust differ between CEOs and companies. Social responsibility as a benevolence item is important for both groups. Regarding information on different media channels, users of traditional media like newspapers, TV, and radio are most critical regarding trust in companies and CEOs.