An institutional perspective on the diffusion of international management system standards : the case of the Environmental management standard ISO 14001.

This paper analyzes how national institutional factors affect the adoption of the intemational environmental management standard ISO 14001, using a panel of 139 countries from 1996 to 2006. The analysis emphasizes that during the emerging phase of the standard, the potentiallack of consensus within the constituents of the national institutional environment conceming the value of a new standard could send mixed signals to firrns about the standard. The resuIts show that in the early phase of adoption, regulative and norrnative forces within the institutional environment can work against each other. Results also show that regulative or coercive forces playa relatively more important role in the early phase of adoption of the standard than in the subsequent phases of diffusion. In the later phases of diffusion of ISO 14001, norrnative forces, such as the diffusion of other management standards, as well as factors related to trade, playa more important role. Because of the similarities between environmental management standards and corporate social responsibility standards, this study can help identify sorne of the challenges for diffusion of ISO management standards in the area of social responsibility.Environmental management standard; ISO 14001;

An institutional perspective on the diffusion of international management system standards : the case of the Environmental management standard ISO 14001

This paper analyzes how national institutional factors affect the adoption of the intemational environmental management standard ISO 14001, using a panel of 139 countries from 1996 to 2006. The analysis emphasizes that during the emerging phase of the standard, the potentiallack of consensus within the constituents of the national institutional environment conceming the value of a new standard could send mixed signals to firrns about the standard. The resuIts show that in the early phase of adoption, regulative and norrnative forces within the institutional environment can work against each other. Results also show that regulative or coercive forces playa relatively more important role in the early phase of adoption of the standard than in the subsequent phases of diffusion. In the later phases of diffusion of ISO 14001, norrnative forces, such as the diffusion of other management standards, as well as factors related to trade, playa more important role. Because of the similarities between environmental management standards and corporate social responsibility standards, this study can help identify sorne of the challenges for diffusion of ISO management standards in the area of social responsibility.Publicad

Strategic use of CSR as a signal for good management

More than thirty years of research exploring the link between corporate social responsibility (CSR) and corporate financial performance (CFP) could not provide a satisfying resolution to the tension exists between economic and social objectives. In this paper, we have contributed to the existing CSR literature both theoretically and empirically. On the theoretical side, we challenged the assumption that managers consider all stakeholders equally important and we contend that managers prioritize stakeholders instead. We also extend agency theory by suggesting that CSR may actually reduce monitoring costs since it has informative value about the quality of management.

Actions speak louder than words: outsiders' perceptions of diversity mixed messages

To attract a gender diverse workforce, many employers use diversity statements to publicly signal that they value gender diversity. However, this often represents a misalignment between words and actions (i.e., a diversity mixed message) because most organizations are male dominated, especially in board positions. We conducted 3 studies to investigate the potentially indirect effect of such diversity mixed messages through perceived behavioral integrity on employer attractiveness. In Study 1, following a 2 x 2 design, participants (N = 225) were either shown a pro gender diversity statement or a neutral statement, in combination with a gender diverse board (4 men and 4 women) or a uniform all-male board (8 men). Participants' perceived behavioral integrity of the organization was assessed. In Study 2, participants (N = 251) either read positive or negative reviews of the organization's behavioral integrity. Employer attractiveness was then assessed. Study 3 (N = 427) investigated the impact of board gender composition on perceived behavioral integrity and employer attractiveness using a bootstrapping procedure. Both the causal-chain design of Study 1 and 2, as well as the significance test of the proposed indirect relationship in Study 3, revealed that a diversity mixed message negatively affected an organization's perceived behavioral integrity, and low behavioral integrity in turn negatively impacted employer attractiveness. In Study 3, there was also evidence for a tipping point (more than 1 woman on the board was needed) with regard to participants' perceptions of the organization's behavioral integrity

Quantity versus Quality: The Impact of Environmental Disclosures on the reputations of UK plcs

The theoretical framework of this paper integrates quality-signalling theory and the resource based view of the firm to test the differential effects of the quantity and quality of environmental disclosures on the firm’s environmental reputation. Uniquely, the study uses a quality-adjusted method of content analysis, so that sentences are not merely counted but also weighted to reflect their likely significance. Investments in research and development and diversification, as potential methods of enhancing of environmental reputation, are also considered. In doing so the paper complements and extends the work of Toms (2002). The results confirm the framework and models tested in the original paper on more recent data and also suggest that quality of environmental disclosure rather than mere quantity has a stronger effect on the creation of environmental reputation amongst executive and investor stakeholder groups. Research and development expenditure, and under certain circumstances, diversification, also add to reputation

Mixed Signals: Why investors may misjudge first time high technology founders

This paper seeks to explain an unexpected result of a previous quantitative study which suggested sub-optimal evaluation by investors of the human capital of first time high tech venture founders. A literature review revealed two possible reasons for this finding: biases/heuristics and signaling. Six investors across three countries (one venture capitalist and one business angel each from the US, UK and Israel) with experience in investing in early stage high technology ventures were interviewed using an identical semi-structured interview protocol. This research design is appropriate for research that seeks to reflect back unexpected findings of previous quantitative research on the subjects of research. Interviewees were first asked to state their own investment criteria, and then presented with the results of the quantitative study and asked for their views. Previous research suggesting a gap between in-use and espoused criteria, and extensive use of gut feeling in decision-making, was supported. Interviewees focused on harvest potential and de-emphasised measures of founder technology capability that predicted early survival and growth in the earlier study. The paper concludes by suggesting how investors might improve funding decisions in high tech ventures led by first-time entrepreneurs, noting the study's limitations and making recommendations for further research

Corporate Social Responsibility and Financial Performance. Theoretical and Empirical Aspects

The aim of this paper is to examine the impact of Corporate Social Responsibility (CSR) rules on the financial performance of companies. In a theoretical part the author analyses selected economic theories that might justify a positive relationship between CSR and profitability, as well as explains the mechanism by which CSR might positively enhance economic performance from the stakeholders’ perspective. In an empirical part the author discusses selected econometric studies on the link between CSR and economic performance of companies, both from developed and developing countries. The article also contains the results of the author’s own research on the relationship between CSR and economic performance of the largest Polish companies on the Warsaw Stock Exchange. The scope of the author’s own research is the period 1Q 2010 -IIIQ 2012. The research shows that participation in the Respect Index (indicator of CSR in the author’s model) is not statistically significant in determining the financial performance of Polish firms.firmy oraz wyjaśnia korzyści ekonomiczne, jakie może osiągnąć przedsiębiorstwo dzięki społecznej odpowiedzialności wobec wybranych interesariuszy. W części empirycznej autor dokonuje przeglądu wybranych wyników badań ekonometrycznych poświęconych zależności między CSR a kondycją ekonomiczną przedsiębiorstw pochodzących, zarówno z krajów rozwiniętych, jak i rozwijających się. Prezentuje również wyniki własnego badania, w którym analizie poddano wpływ uczestnictwa w indeksie spółek odpowiedzialnych (RESPECT INDEX) na wynik finansowych największych polskich przedsiębiorstw notowanych na warszawskiej Giełdzie Papierów Wartościowych. Zakres czasowy badania, to okres I kwartał 20010-III kwartał 2012. Wyniki badania wskazują, że uczestnictwo w indeksie nie jest statystycznie istotną zmienną, determinującą wynik finansowych analizowanych przedsiębiorstw.Celem artykułu jest zbadanie wpływu, jaki na wynik finansowy przedsiębiorstw może mieć stosowanie zasad społecznej odpowiedzialności biznesu. W części teoretycznej autor analizuje wybrane teorie ekonomiczne, uzasadniające występowanie zależności między społeczną odpowiedzialnością biznesu (CSR) a wynikiem finansowy

The middle manager: Friend or foe of employee involvement

Middle management resistance has been frequently identified as a significant barrier to the success of employee involvement practices. This paper reviews evidence from the literature and from 12 case studies on the role played by middle managers in employee involvement initiatives. There is evidence that middle management resistance often acts as a significant impediment to employee involvement. However, there is also evidence that this resistance is often a symptom of inconsistency between organisational systems and the goals of employee involvement and of inadequate training and support for middle managers. Employee involvement initiatives should pay attention to aligning organisational systems with the goals of employee involvement and treat middle managers as the targets as well as the implementors of employee involvement

Theoretical, Measured and Subjective Responsibility in Aided Decision Making

When humans interact with intelligent systems, their causal responsibility for outcomes becomes equivocal. We analyze the descriptive abilities of a newly developed responsibility quantification model (ResQu) to predict actual human responsibility and perceptions of responsibility in the interaction with intelligent systems. In two laboratory experiments, participants performed a classification task. They were aided by classification systems with different capabilities. We compared the predicted theoretical responsibility values to the actual measured responsibility participants took on and to their subjective rankings of responsibility. The model predictions were strongly correlated with both measured and subjective responsibility. A bias existed only when participants with poor classification capabilities relied less-than-optimally on a system that had superior classification capabilities and assumed higher-than-optimal responsibility. The study implies that when humans interact with advanced intelligent systems, with capabilities that greatly exceed their own, their comparative causal responsibility will be small, even if formally the human is assigned major roles. Simply putting a human into the loop does not assure that the human will meaningfully contribute to the outcomes. The results demonstrate the descriptive value of the ResQu model to predict behavior and perceptions of responsibility by considering the characteristics of the human, the intelligent system, the environment and some systematic behavioral biases. The ResQu model is a new quantitative method that can be used in system design and can guide policy and legal decisions regarding human responsibility in events involving intelligent systems