Interpersonal dynamics: a communitarian perspective

Conventional theories of power within organisations focus on the extent to which one party can impose their will on others through social influence. Discussion of the way that same-sex and opposite-sex attraction impacts on the workplace is rarely theorised either because it is considered uncivilised or taboo. Investigations are also hampered by resistance amongst research participants even when care is taken to establish mixed groups from different organisations. As a result, holistic theories of management control that take account of sexual behaviour remain rare. This paper examines empirical data from an 18-month critical ethnography to present new theory on interpersonal dynamics, socialisation and identification. A grounded theory is developed that suggests social decisions are closely linked to the psychology of giving and getting attention and assistance. As relationships develop, patterns of giving and receiving create economic and social dependencies that evolve into the tacit rules of social life and affect the bonds between people. Sharp conflicts occur when one party wants to change the relationship and the other party resists. The process of renegotiation affects the stability of directly and indirectly affected relationships and can change patterns of influence and bases of social power. Individuals’ commitment and health can be affected. Decision-making and impacts are affected by the state of other relationships, past experiences, social and economic dependency and the aspirations of both parties. Findings are reviewed against existing theories of power to offer a radical perspective that power has two-faces, the ability to influence and the ability to resist influence. Authoritarian behaviours can be activated by perceptions of powerlessness rather than a sense of power. The implications for handling conflicts and harassment claims are discussed, together with comment on gender theory and its relationship to corporate governance.</p

Social enterprise as a socially rational business

What is the goal of social enterprise policy? Is it the creation of a ‘not-for-profit’ or ‘more-than-profit’ business movement? In institutional policy circles, arguments are shaped by the desire to protect assets for the community, while entrepreneurial discourses favour a mixture of investment sources, surplus sharing and inclusive systems of governance. This article uses data from a critical ethnography to offer a third perspective. Human behaviour is a product of, and support system for, our socio-sexual choices. A grounded theory of social and economic capital is developed that integrates sexuality into organisation development. This constructs business organisations as complex centres of community-building replete with economic and social goals. By viewing corporate governance from this perspective social enterprise is reconceived as a business movement guided by social rationality with the long-term goal of distributing social and economic capital across stakeholder groups to satisfy individual and collective needs.</p

Gendering, courtship and pay equality: developing attraction theory to understand work-life balance and entrepreneurial activity

Objectives: This paper examines one of the most intractable problems of the last 40 years: the difficulty in closing the pay inequality gap. Current wisdom is that the pay gap exists because of men's power to control the workplace, and men's dominant position in society generally. This paper examines an emergent literature on matriarchal power structures and proposes Attraction Theory as a holistic framework. Prior Work: This paper acknowledges a range of feminist literature that examines the underlying social relations and power structures that impact on pay differentials. This is critiqued on the basis of findings from courtship research as well as studies emerging from liberal / progressive writers in the men's movement. Approach: This paper is conceptual, using an inter-disciplinary understanding of social processes to critically appraise both the dominant discourse on equal pay and its emergent alternative. Attraction Theory is presented as a framework for exploring a complex discourse that unequal pay exists both because of men's power to control the workplace and women's power to control courtship and family life. Implications: Tackling pay inequality and work-life balance issues by focussing on power sharing in the workplace represents only a partial policy solution. Further progress depends on power-sharing in parental rights through academic recognition and political action to tackle negative stereotypes that impact on men during romantic courtship, conception, birth and divorce. Value: The value of the paper lies in the originality of the analysis and the range of insights that Attraction Theory provides into societal dynamics that impact on equal pay. The identification of paradoxes in the dominant discourse opens up new avenues for research and policy development on work-life balance. Whether these will close the pay gap is unclear, but it would advance equality and diversity goals by creating confidence that consensual choices rather the institutional inequalities perpetuate any remaining inequalities reported in statistics.</p

Cooperative social enterprises: company rules, access to finance and management practice

Objectives: In light of the faster than expected take up of the Community Interest Company (CIC) in the UK, this paper revisits findings from a study undertaken in 2000 on the impact of asset-locks on the longevity, growth and management styles in co-operative social enterprises. Prior Work: The co-operative and employee-ownership movements played a leading role in the establishment of Social Enterprise London and the Social Enterprise Coalition. The heritage of the UK co-operative movement, however, differs from its continental counterpart in placing a much stronger emphasis on common ownership that inhibits the transfer of capital and assets to private interests. Approach: This paper is both conceptual and empirical. It examines different worker co-operative traditions and develops a meta-theory that explains underlying assumptions in different forms of co-operative social enterprise. Using empirical data from 5 common ownership co-operatives and 5 equity-based co-operatives, this exploratory study found differences in management style, access to finance and growth prospects both within and between the two groups. Implications: Devolution of management responsibilities was more prevalent in co-operatives permitting both individual and collective ownership, as opposed to common ownership. Access to external finance was less problematic for organisations where individuals had made investments. Despite this, it was not established that organisations with external equity or loan finance grew quicker or faired better over the longer term. Value: The value of the paper lies both in the development of a meta-theoretical framework for differentiating forms of worker co-operative, as well as empirical evidence on the impact of asset-locks in the management and development of social enterprises. The study suggests that the CLS version of the CIC, or abandonment of the CIC in favour of an appropriately structured CLS or IPS model, may be appropriate for social enterprises wishing to grow, but makes little difference in small service oriented social enterprises.</p

New frontiers in democratic self-management

This book chapter develops an argument on the way legal forms for co-operative enterprise are designed to meet the needs of members. In developing a critique of the investor-owned firm, the role of legal membership and its link to legal identity in establishing a co-operative enterprise are evaluated. The purpose is to distinguish conceptually between common ownership, joint ownership and co-ownership, and their potential influence on future co-operative development. It is argued that the mediation of business purpose and social identity through the choice of legal form influences the power and wealth sharing arrangements of a co-operative enterprise. Furthermore, the emergence of social enterprise has challenged co-operative models based on common ownership by a single stakeholder to produce hybrid models that express co-operative values and principles in new ways

Communitarian governance in social enterprises: case evidence from the Mondragon Cooperative Corporation and School Trends Ltd

Purpose: Prevailing concepts of corporate governance that are based on external shareholder interests have been challenged by a number of authors over the last three decades. In this paper, the core assumptions of communitarian philosophy and values are outlined, together with the way writers imagine these might be enacted in a social enterprise context. These assumptions are then explored using two case studies. Design/Methodology: The study was conducted using participatory action research which involves parties examining current actions together and seeking to improve on them. The value of this approach is based on the plausible, authentic and critical insights it generates into management practice. Findings: Case evidence suggests that companies are able to adopt and operate effectively while deploying communitarian values, and that these values lead to alternative business objectives expressed through new forms of corporate governance. Nevertheless, the adopting of common language does not necessarily mean that social enterprises share a common philosophy. Originality/Value: The key contribution of this paper is to evaluate the institutionalisation of governance and consider the relationship between the form and substance of practice. By considering the link between words and actions, the study concludes that the adoption of a governance framework, or particular language, matters less than the capacity of company members to participate in the development of governance norms that enable them to act congruently with their own beliefs and values

Workforce participation: developing a theoretical framework for longitudinal research

This paper describes and evaluates an action research project on workforce participation at Viewpoint Research Community Interest Company (CIC). By setting out the research protocols devised by Viewpoint to stimulate and study co-operative management, it is possible to abstract a theoretical framework that emerged from a pilot case study. The paper contributes to theory by highlighting not only the potential of action research to catalyse interest in co operative management but also how to engage theoretically with the paradox of a workforce voting to limit its own participation in ownership, governance and management. In this study, the authors interpreted that participants did not automatically equate participatory management with workplace democracy leading to a theoretical perspective that “democratic management is the propensity and capacity of management systems to respond to members’ desires regarding the scope, depth, level and quality of participation in management”. The paper concludes by evaluating the efficacy of Viewpoint’s action research methodology as a strategy for deepening knowledge on workforce participation in co-operatives and employee-owned businesses

The FairShares Model: a communitarian pluralist approach to constituting social enterprises?

Objectives - This paper is an exploration of the intellectual antecedents and philosophical assumptions that underpin the FairShares Model - a set of brand principles and Articles of Association published by the FairShares Association. It contributes to knowledge of the history of the social enterprise movement and its link to contemporary developments in mutual social enterprises. Prior Work - Previous contributions to the literature on social economy have drawn on communitarian philosophy to develop insights into mutual principles. This paper sets out a theoretical framework to evaluate whether the FairShares Model represents a communitarian pluralist discourse on the constitution of social enterprises. Approach - In January 2013, the FairShares Association published guidance on the FairShares 'brand' and 'model' (drawing on work presented at ISBE) to develop the concept of a ‘socialised’ enterprise . The framework developed from prior work is used to assess which aspects of communitarian philosophy are emphasized in both antecedent model rules (identified by the FairShares Association) as well as the FairShares Model (v1.2a). Results - The FairShares Model is theorised as a predominantly communitarian pluralist discourse with some ‘corporatist’ commitments. It represents an evolving set of guidelines for the ‘socialisation’ of enterprise by devising membership rights for two primary stakeholders (labour, users), and two secondary stakeholders (founders, investors). It is designed to reverse the centralising and accumulating tendencies of the private sector without returning assets to state control. It differs from philanthropic models by offering co-operative (par value) shares to three member classes: founders, labour and users, and (ordinary) ‘investor’ shares to all classes of member. Implications - The FairShares Model contributes to knowledge on the 'socialisation' of enterprise by identifying core characteristics of member-owned enterprises that deploy strategies for multi stakeholder ownership, governance and management. Value – By operationalising a communitarian pluralist discourse in the process of constituting a social enterprise, the FairShares Model offers an alternative to private sector models based on the subordination of labour and mutual models based on the primacy of a single stakeholder group

FairShares Company - Model Articles of Association

A new model for self-governing social enterprises operating under Company Law

FairShares Co-operative - Model Articles of Association

A new model for self-governing co-operatives and social enterprises operating under Co-operative Law. These Articles of Association implement the FairShares Brand Principles under Industrial and Provident Society Law (Co-operative Law), rather than Company Law