Accounting, boundary-making and organizational permeability

Financial accounting necessarily depends on an entity assumption which shapes the way it recognises and accounts for organizational exchanges with social environments. It thereby constructs boundaries and frames permeability in terms of what counts, is accounted for, as being inside and outside of the organization. Yet there are different possible entity concepts reflecting different values about the relationship between the organizational entity and society. This essay considers four problem areas in which these values and the entity-society relationship are at stake within financial accounting: the problem of control within group accounting; accounting for externalities; the economization of public organizations; and the construction of organizational actorhood. These four problematics suggest that financial accounting, its boundary determining assumptions and the forms of organizational permeability it permits, are deeply intertwined and subject to continuous pressure for change

Calculating failure: the making of a calculative infrastructure for forgiving and forecasting failure

This paper examines how the category of failure was economised and made calculable. It explores the preconditions for this shift in three stages. First, it explores how failure came to be ‘forgiven’ in both the U.S. and the U.K. across the nineteenth century, how it came to be defined as something that is economic or financial, rather than personal or moral. Second, it explores the rapid growth of narrating and rating failure in the mid nineteenth century, with particular attention to the formation of credit rating agencies from the 1840s onwards. We consider also the roles played in this process by two fortuitous technological developments – the typewriter, and carbon paper for copying. Third, we examine the emergence of the calculative infrastructure which has helped to establish an industry of attempts to forecast failure from the beginning of the twentieth century, initially on the basis of financial ratios, and more recently through the use of risk indexes. We use the term ‘calculating failure’ to describe this transformation and economisation of both the ideas and the instruments of failure, and suggest that this has significant implications for the study of strategy

From the third sector to the big society: how changing UK Government policies have eroded third sector trust

This article draws on concepts of trust to analyse recent policies affecting public/third sector relationships, examining competition, ‘command and control’ mechanisms and the community turn in shaping cultures of relationships. Drawing on examples from empirical studies in two English inner-city areas we explore ways in which power and controls exerted through dominant organisational cultures and arrangements undermine independent approaches, innovation and organisational learning across sectors. State bodies have taken trust in their actions as given while shifting responsibilities for service delivery and risks of failure to others. We argue that increasing market cultures and regulation have damaged cross-sector trust promoting divisive interests and risk-averse behaviours, restricting the local autonomy, innovation and community action presumed in the Big Society agenda. We conclude by highlighting issues that need to be addressed to ensure future collaboration with community-based providers; these include a focus on the processes and relational spaces which enable alternatives

Making strategy matter: Social theory, knowledge interests and business education.

The tensions and challenges facing business education frame this paper, which takes a critical look at the historical evolution of business school education in the context of the present conjecture, with a particular emphasis on the role social theory can play in the analysis of strategy and ethics. Flyvbjerg's phronesis and Selznick's sociology are deployed to address the challenges facing business schools and their place in higher education. Kant's moral anthropology opens common grounds to both approaches. Our aim is to provide a platform from which business and university leaders can debate and discuss the current and future role and impact of business school education, particularly focusing on linking and cultivating ethical and strategic capabilities in management and organizational practices