East of nature. Accounting for the environments of social sciences

At the core of ecological economics is the image of the economy as an open system embedded in the natural environment whose carrying capacity is limited. The present paper revisits this image by drawing upon Niklas Luhmann’s social systems theory. To Luhmann, the modern society consists of a multitude of social systems each bringing forth and observing their own environments. If the Luhmannian vision is accepted, then ecological economics can be said to privilege the observational perspective of natural sciences. The unfortunate consequence of this privileging is the underestimation of a broad range of multidimensional sustainability risks which are foregrounded by the numerous alternative observational perspectives which are just as legitimate. It is argued that, rather than relativizing the sustainability concerns of the modern ecological economics, the Luhmannian perspective generalizes and radicalizes them. In doing so, the latter perspective opens new possibilities not only for navigating these risks but also for envisioning new resources and solutions.</p

Social Goals in the Theory of the Firm: A Systems Theory View

Drawing on Luhmannian social systems theory, this article revisits the single- versus multiple-objective debate on the theory of the firm. Firms are conceptualized as complexity-reducing systems structurally coupled with potentially risky environments, and profit-maximization is considered as a complexity reduction strategy for making sense of these environments. Whereas single-objective approaches reflect cases when environmental risks do not materialize into corporate sustainability problems, multiple-objective approaches address these problems by increasing the corporation’s environmental responsiveness beyond profit-maximization. Our systems-theoretic framework therefore identifies the common ground between the two approaches and draws attention to the circumstances under which they can claim validity.</p

Governing cooperative quality schemes: some lessons from olive oil initiatives in the Region of Valencia (Spain)

This paper describes the development, functioning and governance of quality assurance schemes for olive oil in three cooperative organizations. Two questions are addressed: first, how the construction of new quality schemes by cooperatives can lead to the fragmentation of the membership base, and hence the need for new institutional arrangements; and second, how the development of such schemes alters the interdependencies between parties (cooperative organization and its members), and how this is governed. The comparative analysis shows the relevance of the social and cultural contexts in shaping the mechanisms of governance, as well contributing to the policy debate in the European Union regarding new food quality schemes.Moragues Faus, AM.; Ortiz Miranda, D. (2012). Governing cooperative quality schemes: some lessons from olive oil initiatives in the Region of Valencia (Spain). Outlook On Agriculture. 41(1):27-33. doi:10.5367/oa.2012.0072S273341

Producers Responding to Environmental Turbulence in the Greek Agricultural Supply Chain:Does Buyer Type Matter?

There are many changes in the EU Agricultural Supply Chain (ASC). These changes cause environmental turbulence for supply chain entities operating in this sector. In the Greek ASC, there is a significant decline in its performance in particular at producers’ level. Based on the Contingency Theory this paper aims to identify the relevant environmental turbulence factors in Greek ASC context from the producers’ perspective and ascertain their impact on producers based on their choice of buyer type i.e. collaboration type. Twenty in-depth semi-structured interviews were conducted with Greek ASC producers. Thematic analysis was used to analyse the interviews. The findings suggest the existence of six major environmental turbulence factors at producers’ level which are: regulatory, market, competitive, weather, economic and political turbulence factors. Producers selling their products to cooperatives were found to be significantly impacted by the different environmental turbulence factors. Future research directions as well as managerial and policy implications are identified

Complexity Theory for a New Managerial Paradigm: A Research Framework

In this work, we supply a theoretical framework of how organizations can embed complexity management and sustainable development into their policies and actions. The proposed framework may lead to a new management paradigm, attempting to link the main concepts of complexity theory, change management, knowledge management, sustainable development, and cybernetics. We highlight how the processes of organizational change have occurred as a result of the move to adapt to the changes in the various global and international business environments and how this transformation has led to the shift toward the present innovation economy. We also point how organizational change needs to deal with sustainability, so that the change may be consistent with present needs, without compromising the future

Third sector organizations in rural development: a transaction cost perspective

In many parts of the world, rural development is supported by third sector organizations, such as nongovernmental organizations, farmer associations, and cooperatives. This essay develops a transaction cost explanation of these organizations role in rural areas. Since the traditional transaction cost theory is concerned with the choice of governance mechanisms within the for-profit sector, this essay adopts an alternative conceptualization of the notion of transaction cost by building on the theory of the division of labor. This theory regards transaction cost as a constraint on the division of labor causing the replacement of exchange with self-sufficiency. The proposed transaction cost explanation of rural third sector organizations consists of two arguments: 1) third sector organizations embody partial reliance on self-sufficiency; and 2) rural areas exhibit rurality-specific transaction cost acting as a constraint on the division of labor and thus creating a niche for third sector organizations. The essay concludes with suggesting a research program on developing an economic theory of the rural third sector.