Dynamic capabilities for CSR management:towards identifying common processes

Purpose – The objective of this paper is to address the question whether and how firms can follow a standard management process to cope with emerging corporate social responsibility (CSR) challenges? Both researchers and practitioners have paid increasing attention to the question because of the rapidly evolving CSR expectations of stakeholders and the limited diffusion of CSR standardization. The question was addressed by developing a theoretical framework to explain how dynamic capabilities can contribute to effective CSR management. Design/methodology/approach – Based on 64 world-leading companies’ contemporary CSR reports, we carried out a large-scale content analysis to identify and examine the common organizational processes involved in CSR management and the dynamic capabilities underpinning those management processes. Findings – Drawing on the dynamic capabilities perspective, we demonstrate how the deployment of three dynamic capabilities for CSR management, namely, scanning, sensing and reconfiguration capabilities can help firms to meet emerging CSR requirements by following a set of common management processes. The findings demonstrate that what is more important in CSR standardization is the identification and development of the underlying dynamic capabilities and the related organizational processes and routines, rather than the detailed operational activities. Originality/value - Our study is an early attempt to examine the fundamental organizational capabilities and processes involved in CSR management from the dynamic capabilities perspective. Our research findings contribute to CSR standardization literature by providing a new theoretical perspective to better understand the capabilities enabling common CSR management processes.

State control and corporate governance in transition economies:25 years on from 1989

Research Question/Issue - Which forms of state control over corporations have emerged in countries that made a transition from centrally-planned to marked-based economies and what are their implications for corporate governance? We assess the literature on variation and evolution of state control in transition economies, focusing on corporate governance of state-controlled firms. We highlight emerging trends and identify future research avenues. Research Findings/Insights - Based on our analysis of more than 100 articles in leading management, finance, and economics journals since 1989, we demonstrate how research on state control evolved from a polarized approach of public–private equity ownership comparison to studying a variety of constellations of state capitalism. Theoretical/Academic Implications - We identify theoretical perspectives that help us better understand benefits and costs associated with various forms of state control over firms. We encourage future studies to examine how context-specific factors determine the effect of state control on corporate governance. Practitioner/Policy Implications - Investors and policymakers should consider under which conditions investing in state-affiliated firms generates superior returns.

Is corporate social responsibility a new spirit of capitalism?

Our study casts doubt on whether the managerial literature on corporate social responsibility is currently capable of developing a persuasive discourse to bring about change in corporate capitalism. By applying the framework and methodology of the spirit of capitalism, introduced by Boltanski and Chiapello, to a corpus of managerial books, we suggest that corporate social responsibility exhibits the core characteristics that together exemplify the ‘spirit of capitalism’. However, corporate social responsibility deals inadequately with the two key characteristics of the spirit of capitalism—security and fairness—by disregarding individual security and tangible rewards for workers who play decisive roles in enacting the spirit. The lack of consideration for workers could weaken the potential of corporate social responsibility to grow into a new spirit of capitalism and to bring about changes envisioned by critical management studies in corporate capitalism.

Corporate identity at the stakeholder group level:a conceptual model of front-line employee corporate identity

There is a paucity of literature regarding the construction and operation of corporate identity at the stakeholder group level. This article examines corporate identity from the perspective of an individual stakeholder group, namely, front-line employees. A stakeholder group that is central to the development of an organization’s corporate identity as it spans an organization’s boundaries, frequently interacts with both internal and external stakeholders, and influences a firm’s financial performance by building customer loyalty and satisfaction. The article reviews the corporate identity, branding, services and social identity literatures to address how corporate identity manifests within the front-line employee stakeholder group, identifying what components comprise front-line employee corporate identity and assessing what contribution front-line employees make to constructing a strong and enduring corporate identity for an organization. In reviewing the literature the article develops propositions that, in conjunction with a conceptual model, constitute the generation of theory that is recommended for empirical testing.

Sustainability and supply chain management:Publications in Brazil

The number of research papers linking sustainability with supply chain management is increasing around the world. The purpose of this paper is to analyse how the publications in Brazil are considering the relationship between sustainability and supply chain management. The methodology applied consists in five major steps: (1) selection of databases and journals, (2) selection of the papers, (3) reading of papers' abstracts to select only papers that are related to business and sustainability, (4) qualitative and quantitative analysis of the selected papers' abstracts to define the main dimension of sustainability and sustainability aspect, and finally, (5) an evaluation of experts' responses to a questionnaire in the field of sustainability and supply chain in Brazil. The literature review was conducted in 120 Brazilian academic journals in which 124 papers were identified as being published in relation to sustainability, business management and companies, from 2008 until 2013. When considering the traditional Triple Bottom Line approach, the results of the analysis show that sustainability research in Brazil is focusing on the environmental dimension and SCM research is focusing on the economic dimension. Additional inputs are provided by integrating the governance dimension in the analysis to underline which actions and policies are discussed in Brazilian literature at a corporate level. The consultation of experts in the field of sustainability in Brazil was aimed at understanding better the results of the conducted literature review. One of the main conclusions is that there are large opportunities to increase publications about sustainability and SCM in the country.

Assisting national governments in governance, risk, and compliance:implementation of project management offices

Currently, there are many instances where public sector organizations and government entities collapse and are unable to provide the required services to the public. Such organizations do not have effective mechanisms of control or any specific department which manages projects occurring in the organization. However, this study suggests the incorporation of the Project Management Office (PMO) in public sector organizations for the purpose of managing project management. There are other relevant roles of the PMO discussed in this study. The study is contextualized with respect to Corporate Governance, Risk Management, and Compliance (GRC) and the study shows how PMO can benefit or compliment GRC and provide overall better standards of practice for public sector organizations. The study uses a mixed methodology for data collection and the findings contribute to the body of knowledge regarding PMO's and GRC.

Collaborating to achieve corporate social responsibility and sustainability? Possibilities and problems

Purpose: The purpose of this paper is to investigate the possibilities and problems for collaboration in the area of corporate social responsibility (CSR) and sustainability. The paper explores the nature and concept of collaboration and its forms, and critically evaluates the potential contribution a collaborative approach between agencies might offer to these agendas. Design/methodology/approach: The paper explores different forms of research on collaboration, together with a UK Government report on collaboration, to evaluate how the issue is addressed in theory and practice. Findings: Sustainable development creates extensive challenges for a wide range of agencies, including governments, non-governmental organizations, businesses and civil society. It is unlikely, however, that solutions will be found in any one quarter. Collaboration between agencies in some form would seem a logical step in supporting measures towards a more responsible and environmentally sustainable global economy. Originality/value: The paper offers new insights into developing a research and praxis agenda for collaborative possibilities towards the advancement of CSR and sustainability. © Emerald Group Publishing Limited.

Corporate governance disclosure in the Gulf countries

Corporate governance disclosure is important for countries aiming to attract international investors and reduce companies’ cost of capital. The relationship between corporate governance disclosure (CGD) and its determinants is the main objective of the current research. Accordingly, the research aimed to: (i) assess CGD level in the Gulf countries; (ii) investigate the impact of ownership structure (proportion of institutional, governmental, managerial and family ownership) on CGD; (iii) explore the effect of board characteristics (proportion of independent board members, proportion of family members on board, CEO/chairman duality and board size) on CGD; (iv) examine the relationship between diversity (proportion of foreign and female members on a board and in the senior management team) and CGD; and (v) test the association between firm characteristics (company size, age, liquidity, profitability, leverage, industry and auditor types) and CGD. Gulf countries (Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates) were selected for the study since they share similar characteristics and represent a relatively homogeneous category in the Middle East and North African region. A CGD index of 232 items was developed and divided into six categories: ownership structure and investor rights; financial transparency and information disclosure; information on auditors; board and senior management structure and process; board committees; and finally corporate behaviour and responsibility. Annual reports available for listed non-financial companies of the Gulf countries were 270 for the year 2009. The maximum CGD level was 63%, whereas the minimum was 5%, with an average disclosure level of 32%. Several regression models were conducted to enhance the robustness of the results and conclusions of the study. The results indicated that five variables had a significant positive relationship with CGD: proportion of independent members on a board, proportion of foreign members on a board, proportion of foreign members in the senior management team, auditor type and profitability. The research contributes to the literature on corporate governance voluntary disclosure in developing countries. Practical contributions consist of several recommendations to policy makers, regulators, and professional institutions in the Gulf countries.

Fenntartható fejlődés = Sustainability issues in purchasing and supply management

A fenntarthatóság kérdését a vállalati működésben számos kutatás elemzi. A vizsgálatokat azonban érdemes kiterjeszteni a vállalatokat beszállítóikkal összekötő kapcsolatrendszerre és az annak menedzseléséért felelős beszerzésre is, hiszen a nagy vállalatok beszerzési döntései jelentős értékükön keresztül fontos motiváló erőt jelentenek a beszállító vállalatok egy sokkal szélesebb hálózata számára. Tanulmányunk célja áttekinteni a fenntarthatóság három pillérjének beszerzési értelmezésének lehetőségeit, ehhez kapcsolódva bemutatni azokat a motivációs tényezőket, amelyek biztosíthatják azt, hogy a beszerzés a gyakorlatban is kezelni tudja a fenntarthatóság szempontjait. A bemutatott eredmények az irodalom feltérképezésén alapszanak, és egy olyan kutatás részét képezik, melynek során vállalati beszerzési szakembereket kérdezünk a fenntartható beszerzéssel kapcsolatos vállalati gyakorlatról és tapasztalataikról. A kutatás a Budapesti Corvinus Egyetemen folyó „Versenyben a világgal” kutatási program keretében készült. = Sustainability issues in literature are getting more and more attention. In this study the focus is extended to purchasing and supplier relationships as companies influence their supply base by the priorities of their sourcing decision. This paper addresses sustainability in purchasing in a comprehensive way including green, social responsibility and corporate growth issues. The results of a research project which aims to reveal and structure the meaning of sustainable purchasing and the motivating forces leading companies to make efforts in purchasing for sustainability and means applied to attain achievements at some fields of sustainability. After presenting the results of literature review, some theory development was done to create a framework in which it is possible to describe the sustainability means applied and the motivating force behind. This framework serves as a basis of an empirical investigation among Hungarian companies. The empirical results validated the theoretical framework: the number and the characteristics of sustainability activities were determined by the type of motivation (to avoid negative effects, compliance to expectations, to attain positive effects). Our research project was part of the research project “In Global Competition”.

Pénzgazdálkodási szokások hatása a működőtőkére (The effect of financial management habits on operating capital. The example of the Hungarian Post Office)

A hálózatos iparágakban, ahogy a postai szolgáltatásoknál is, a forgalomban lévő készpénz nagyméretű működőtőkét jelenthet. A Magyar Posta a levél- és csomagkézbesítésen kívül jelentős készpénzforgalmat bonyolít le: nyugdíjakat, segélyeket és készpénz-átutalási megbízásokat továbbít. A forgalom napi ingadozása a vállalat likvideszköz-igényét jelentősen meghatározza. A posta esetében a postahivatalok készpénzgazdálkodása jól működő hüvelykujjszabályokon keresztül történik, ezek a szabályok döntési teret hagynak a hálózat heterogén egyedi szereplőinek. Az egyedi készletezési viselkedést a vállalati működőtőke meghatározásakor figyelembe kell venni. A tanulmány az egyedi készletezési szokások modellezésére új módszertant ajánl, majd a viselkedésmintákat csoportosítva a pénzkészletezésnek, a vállalati működőtőke szintjének és a vállalati likviditási pozíciónak a kapcsolatát elemzi. / === / The cash in circulation within network industries such as post-office services can repre-sent a sizeable quantity of operating capital. The Hungarian Post Office, besides han-dling mail, handles a significant amount of cash turnover, forwarding pensions, welfare benefits, and cash orders. Fluctuation in the daily volume of these is a strong factor in determining the company's liquidity requirements. The management of cash in post of-fices is governed by rules of thumb that operate well; the regulations leave decision-making scope for the diverse individual actors in the network. Attention has to be paid to individual cash holding when determining the corporate operating capital. The study suggests a new methodology for modelling the individual cash-holding habits, and goes on to group the behaviour patterns by analysing the connection between cash holding, level of corporate operating capital, and corporate liquidity position.

A társadalmi felelősségvállalás tendenciái a gyógyszeriparban = Corporate Social Responsibility in the Pharmaceutical Industry

A gyógyszeripar egyszerre tartozik a leginkább csodált és a legtöbbet kritizált iparágak közé. Az iparág produktumai életeket menthetnek, emberek millióinak könnyítik meg az életét, és a gyógyszereknek köszönhetően számos korábbi gyilkos kór vált ismeretlenné a fejlett országokban. Mindezek mellett azonban az iparágat számos kritika is éri: túl magas árakkal dolgozik, etikátlan promóciós praktikákkal él, magára hagyja a világ szegényeit, kétes etikai hátterű klinikai kísérleteket végez, és állami intézményekkel köt háttéralkukat. A CSR koncepciójának intenzív jelenléte az iparágban többek között a fenti ellentmondásokra adott válaszként is értelmezhető (erre utalnak a későbbiekben bemutatandó kvalitatív kutatás eredményei is). Az alábbi tanulmányban arra teszek kísérletet, hogy feltárjam, a magyar gyógyszeripar szereplői hogyan látják társadalmi felelősségüket, milyen programokat valósítanak meg CSR kezdeményezéseik során. Milyen kihívások várnak a gyógyszeripari cégek vezetőire, és milyen dilemmákkal szembesülnek társadalmi felelősségvállalásuk kapcsán? Mennyiben találhatók meg a nemzetközi kutatások által feltárt nézőpontok a hazai cégek CSR interpretációiban, illetve vannak-e a magyar gyógyszeriparnak sajátosságai ebben a tekintetben? / === / The pharmaceutical industry is among the most admired and most criticized of all. The pharmaceutical products can save lives, they make the lives of millions of people lot easier, and many legendary diseases were eradicated from the world thanks to the innovations of the industry. However, the industry receives many criticisms in the same time: the big pharma is often accused of working with high prices, applying immoral marketing practices, abandoning the poor, having a no money-no cure attitude, doing ethically questionable clinical trials, etc. This contradiction can be one reason why pharmaceutical industry is among the most CSR-oriented sectors. In this paper I investigate what the CSR initiatives and activities of the pharmaceutical companies look like in Hungary. How do the managers of these firms react to the challenges of the industry? What is their perception about the contradictions described in the previous paragraph? Are there Hungarian peculiarities regarding CSR principles and actions? During research I also wanted to identify patterns of CSR activities of the Hungarian pharmaceutical firms in order to create clusters that group companies with similar characteristics.

A marketing-erőforrások hatások a vállalati versenyképességre (The impact of marketing resources to corporate competitiveness)

A tanulmány a marketing-erőforrások és a vállalatok versenyképessége közötti összefüggéseket elemzi és hasonlítja össze az öt évvel korábbi felmérés eredményeivel. A háromszáz hazai vállalatra kiterjedő kutatás során a szerzők azt állapították meg, hogy a vizsgált marketing-erőforrások mindegyike hatással van a vállalati teljesítményre. Ez annyiban jelent változást az öt évvel korábbi eredményekhez képest, hogy akkor a marketingképességek szerepe még nem volt egyértelmű. Az elemzés során kimutatták, hogy a vállalatok által birtokolt marketing-erőforrások hasonló struktúrát mutatnak, mint korábban. Ezek közül kiemelkedik a marketingfunkcióhoz leginkább köthető piacszervezési dimenzió, amely a legszorosabb összefüggést mutatja a versenyképességgel. A vizsgált vállalatok egy kis csoportjának (12%) sikerült a versenyképes termékkínálat és árak fenntartása mellett e képesség kifejlesztésében és birtoklásában előre lépniük. Körükben a sikeres vállalatok aránya kiemelkedő. / === / The study aimed to analyse the association between marketing resources and corporate competitiveness and it compared the results to the ones of a similar research conducted five years before. Based on the survey of 300 domestic organisations the authors found that all the marketing resources investigated have a significant effect on marketing performance. These results differ from the previous ones only in terms of marketing capabilities, as their role was ambiguous at that time. They revealed the same structure of marketing resources owned by the companies as last time. Among them the most marketing related resource-dimension called market management excels regarding the strength of the association with competitiveness. A small group of the companies investigated (12%) managed to advance in development and possession of this dimension of marketing resources whilst maintaining competitive product supply and price. The proportion of successful companies among them is highly significant

A vállalati informatika szerepe a versenyképesség alakításában a pénzügyi és gazdasági válság időszakában (Corporate IT in shaping the competitiveness of the Hungarian enterprises in the financial and economic crisis)

A cikk az informatika és a versenyképesség kapcsolatát vizsgálja. A Budapesti Corvinus Egyetem Versenyképesség Kutatási Programjának korábbi felmérései óta számos új technológia bukkant fel, illetve hazánkat is elérte a világméretű pénzügyi és gazdasági válság hatása. E kihívások tükrében érdemesnek tűnt újra megvizsgálni az információtechnológia (IT) szerepét a versenyképesség alakításában. / === / In this paper the relationship between information technology (IT) and competitiveness is tackled. Since the authors’ previous surveys within their Competitiveness Research Program several new technologies have emerged, and the influence of the word wide financial and economic crisis has reached Hungary as well. In the face of these challenges it is worth reexamining the role of IT in shaping the competitive position of companies. The structure of the paper is as follows. A brief theoretical introduction is provided before their research questionsare presented. After that, the paper contains an analysis on selected fields of the corporate IT function, namely IT infrastructure, IT applications, IT management and IT strategy. Based on this, conclusions are made both at the end of the main parts, and in the final section of the paper. As far as the final conclusions are concerned, the majority of respondents do not regard IT today as a source of sustainable or contestable competitive advantage, though the dominant opinion underlines that IT is a strategic necessity. Besides this, their research results suggest a kind of association between corporate performance and the maturity level of the IT function. However, even the best performing companies are not prepared yet to effectively respond to their own prediction that forecasts the strengthening role of IT as a competitive factor.

Vállalati stratégiák, konfigurációk Magyarországon 1992 és 2010 között – 1. rész (Corporate strategies, configurations in Hungary between 1992 and 2010)

A vállalatok közvetlen versenytársaikkal összevetett eredményei alapján képzett teljesítményértékelési dimenziók, és az azok szerint képzett vállalati stratégiai archetípusok, konfigurációk azonosítása, leírása áll az empirikus kutatás fókuszában. Ezek során a szerző azonosítja a vállalati stratégiák archetípusait, felhasználva a konfigurációs iskola módszertanát. A kutatás az 1992 és 2010 között felvett magyarországi adatsorok alkalmazásával, több mint 1200 felsővezetői vélemény alapján készült. A válaszok alapján a vállalatok teljesítményét hét, egymástól független dimenzió mentén különíti el, melyek alapján különböző vállalatistratégia-típusok azonosíthatók. A kiemelkedő vállalati teljesítmény elérése érdekében a szerző konkrét ajánlásokat fogalmaz meg cikkében ______________ The identification and description of the strategic archetypes (configurations) are the focus of the empirical research. The author identifies and describes the archetypes of the adaptation strategies by using the methodology of the configuration school. The dataset of the research consists of more than 1200 CEO’s responses from Hungary between 1992 to 2010. Based on the responses, corporate performance has 7 independent dimensions, and they are suitable to identify and descripe different strategic archetypes. Based on the results, the article has practical advices how to deliver superior corporate performance.