The abandoned mandatory OFR: a lost opportunity for SER?

Purpose – An important outcome of the UK Company Law Review (CLR) involved draft regulations for a mandatory operating and financial review (OFR). The unprecedented abandonment of this mandatory OFR in November 2005 threw debate about the genuine motivations underlying the CLR into disarray. This paper seeks to reinterpret the abandonment of a mandatory OFR using interview research. Design/methodology/approach – The authors conducted a series of 24 interviews with companies from the FTSE100 between May and August 2004, prior to the abandonment. Findings – The interviews showed that the OFR was perceived as an appropriate vehicle for social and environmental reporting (SER). The interviewees considered that a mandatory OFR would provide a means of forcing SER into the mainstream and making it mandatory at a basic level. The interviews revealed that processes for the identification of material SER differ widely between organisations, ranging from embryonic to highly structured. Further, interviewees believed that directors had the final veto on inclusion of information. Despite directors' inclination to hide behind materiality as a means of avoiding SER, interviewees did not view the proposed mandatory OFR as “greenwash” but as a vehicle that would increase stakeholder confidence, as processes underlying the proposed OFR would be audited. Practical implications – The research implies that abandoning the mandatory OFR represented a lost opportunity for SER. Originality/value – The paper provides new evidence on the processes of materiality decision making in the SER area as well as strong endorsement of the mandatory OFR, contrary to the government turn-around.

Creating a world class business through a merger of two equals: an interview with Paul Walsh, Chief Executive Officer of Diageo Plc

Purpose – The purpose of this paper is to explore, from a practical point-of-view, a number of key strategic issues that critically influence organisations' competitiveness. Design/methodology/approach – The paper is based on a semi-structured interview with Mr Paul Walsh, CEO of Diageo. Diageo is a highly successful company and Mr Walsh has played a central role in making Diageo the number one branded drink company in the world. Findings – The paper discusses the key attributes of successful merger, lessons from a complex cross boarder acquisition, rationale for strategic alliance with competitors, distinctive resources, and the role of corporate social responsibility. Research limitations/implications – It is not too often that management scholars have the opportunity to discuss with the CEOs of large multinationals the rational of key strategic decisions. In this paper these issues are explored from the perspective of a CEO of a large and successful company. The lessons, while not generalisable, offer unique insights to students of management and management researchers. Originality/value – The paper offers a bridge between theory and practice. It demonstrates that from Diageo's perspective the distinctive capabilities are intangible. It also offers insight into how to successfully execute strategic decision. In terms of originality it offers a view from the top, which is often missing from strategy research.

CSR: the co-evolution of grocery multiples in the UK (2005-2010)

Purpose – The purpose of this paper is to investigate if CSR is balanced between firm and wider society interests. Design/methodology/approach – A qualitative interpretive hermeneutic approach is used to analyse a variety of publically published secondary sources on the CSR of Tesco, Sainsburys, Morrisons and Co-operative in the UK grocery multiple sector (2005-2010). Findings – CSR strategic outcomes currently favour the firm more than society interests. A multilayered framework in the form of Social Responsibility of the Corporation (SRC) is designed and offered in support of balancing the business-society relationship more evenly. Research limitations/implications – This study is limited to firms originating from within the UK grocery multiple sector. Asda could not be included in the study as it does not publish CSR reports annually in the UK after becoming part of Walmart group. Practical implications – A framework for multi-level standardised definition of CSR in the form of SRC is offered. The inclusion of employees and members of the public on CSR/SRC boards is recommended to foster wider collaboration. The SRC framework promotes standardisation at global level while respecting diversity and firm heterogeneity at firm level. The findings may further contribute to GRI; UN Global Compact; WEF dialogues. Social implications – Recommendations are made to extend CSR board diversity for improved dialogue with communities. The SRC framework may be applied at global; national; industry and firm level. The framework can be applied internationally or locally. Future studies may offer quantitative attributes for balancing CSR/SRC. Originality/value – A globally unique and universally applicable framework for evaluating CSR activities is proposed. Future studies may extend the authors' framework to other industries, national environments or globally in the pursuit of balance between firm and society. Furthermore, firms may also adopt the framework to support CSR activities.

Progress report on longitudinal and cross-sectional study of carbon disclosure strategies: evidence from UK listed companies

Global warming has attracted attention from all over the world and led to the concern about carbon emission. Kyoto Protocol, as the first major international regulatory emission trading scheme, was introduced in 1997 and outlined the strategies for reducing carbon emission (Ratnatunga et al., 2011). As the increased interest in carbon reduction the Protocol came into force in 2005, currently there are already 191 nations ratifying the Protocol(UNFCCC, 2012). Under the cap-and-trade schemes, each company has its carbon emission target. When company’s carbon emission exceeds the target the company will either face fines or buy emission allowance from other companies. Thus unlike most of the other social and environmental issues carbon emission could trigger cost for companies in introducing low-emission equipment and systems and also emission allowance cost when they emit more than their targets. Despite the importance of carbon emission to companies, carbon emission reporting is still operating under unregulated environment and companies are only required to disclose when it is material either in value or in substances (Miller, 2005, Deegan and Rankin, 1997). Even though there is still an increase in the volume of carbon emission disclosures in company’s financial reports and stand-alone social and environmental reports to show their concern of the environment and also their social responsibility (Peters and Romi, 2009), the motivations behind corporate carbon emission disclosures and whether carbon disclosures have impact on corporate environmental reputation and financial performance have not yet to explore. The problems with carbon emission lie on both the financial side and non-financial side of corporate governance. On one hand corporate needs to spend money in reducing carbon emission or paying penalties when they emit more than allowed. On the other hand as the public are more interested in environmental issues than before carbon emission could also impact on the image of corporate regarding to its environmental performance. The importance of carbon emission issue are beginning to be recognized by companies from different industries as one of the critical issues in supply chain management (Lee, 2011) and 80% of companies analysed are facing carbon risks resulting from emissions in the companies’ supply chain as shown in a study conducted by the Investor Responsibility Research Centre Institute for Corporate Responsibility (IRRCI) and over 80% of the companies analysed found that the majority of greenhouse gas (GHG) emission are from electricity and other direct suppliers (Trucost, 2009). The review of extant literature shows the increased importance of carbon emission issues and the gap in the study of carbon reporting and disclosures and also the study which links corporate environmental reputation and corporate financial performance with carbon reporting (Lohmann, 2009a, Ratnatunga and Balachandran, 2009, Bebbington and Larrinaga-Gonzalez, 2008). This study would focus on investigating the current status of UK carbon emission disclosures, the determinant factors of corporate carbon disclosure, and the relationship between carbon emission disclosures and corporate environmental reputation and financial performance of UK listed companies from 2004-2012 and explore the explanatory power of classical disclosure theories.

The mediating effect of environmental and ethical behaviour on supply chain partnership decisions and management appreciation of supplier partnership risks

Green supply chain management and environmental and ethical behaviour (EEB), a major component of corporate responsibility (CR), are rapidly developing fields in research and practice. The influence and effect of EEB at the functional level, however, is under-researched. Similarly, the management of risk in the supply chain has become a practical concern for many firms. It is important that managers have a good understanding of the risks associated with supplier partnerships. This paper examines the effect of firms’ investment in EEB as part of corporate social responsibility in mediating the relationship between supply chain partnership (SCP) and management appreciation of the risk of partnering. We hypothesise that simply entering into a SCP does not facilitate an appreciation of the risk of partnering and may even hamper such awareness. However, such an appreciation of the risk is facilitated through CR’s environmental and stakeholder management ethos. The study contributes further by separating risk into distinct relational and performance components. The results of a firm-level survey confirm the mediation effect, highlighting the value to supply chain strategy and design of investing in EEB on three fronts: building internal awareness, monitoring and sharing best practice.

Managing artisanal and small-scale mining in forest areas: perspectives from a poststructural political ecology

Artisanal and small-scale mining (ASM) is an activity intimately associated with social deprivation and environmental degradation, including deforestation. This paper examines ASM and deforestation using a broadly poststructural political ecology framework. Hegemonic discourses are shown to consistently influence policy direction, particularly in emerging approaches such as Corporate Social Responsibility and the Forest Stewardship Council. A review of alternative discourses reveals that the poststructural method is useful for critiquing the international policy arena but does not inform new approaches. Synthesis of the analysis leads to conclusions that echo a growing body of literature advocating for policies to become increasingly sensitive to local contexts, synergistic between actors at difference scales, and to be integrated across sectors.

Interviewing children and young people with learning disabilities: guidelines for researchers and multi-professional practice

We argue that it is important for researchers and service providers to not only recognize the rights of children and young people with learning disabilities to have a ‘voice’, but also to work actively towards eliciting views from all. A set of guidelines for critical self-evaluation by those engaged in systematically collecting the views of children and young people with learning disabilities is proposed. The guidelines are based on a series of questions concerning: research aims and ethics (encompassing access/gatekeepers; consent/assent; confidentiality/anonymity/secrecy, recognition, feedback and ownership; and social responsibility) sampling, design and communication

Learning CSR for sustainable corporate advantage

Corporate Social Responsibility (CSR) has become a strategic and operational reality of the business and academic world. Not that the principles of CSR are always respected or that its practice is consistently applied. Bearing in mind the multi-faceted nature of both CSR and the corporate environment, as well as the paradox of what is taught in Higher Education and what is practised within its own walls, this paper provides a learning cyclical pathway to sustainable CSR implementation and progress review. As well as highlighting the role that Higher Education has to play, the paper emphasises that in order to embed CSR within the corporate environment, questions need to be raised concerning on-going CSR improvement in order to both protect and engage a wide range of stakeholders towards sustainable corporate advantage.

Fashionline: CSR case of a U.K. fashion retailer

This paper presents findings from a corporate social responsibility (CSR) case-study of a UK fashion retailer informed through 22 multi-level internal and 5 external semi-structured interviews. Our research explores the relationship between various stakeholders and their perceptions of CSR issues. Sixteen themes emerge. We find disparity in CSR perceptions at different levels of organization and in views of consumers. Our recommendations are that the UK fashion retailer needs to – better understand normative purpose of CSR and in doing so balance social and environmental factors more equally; engage more widely at an early stage with broader stakeholders (global supply chain; consumers, employees, local populations, regulators, industry players); and better communicate (at different levels internally) along with integrate (external policy makers and with industry) design and implementation of CSR strategies. The authors conclude a gap remains for better CSR frameworks for the UK fashion retailer.

Determinants of satisfaction amongst tenants of UK Offices

Purpose – Corporate Occupiers require offices and services which meet their business needs, whilst landlords must attract and retain occupiers in order to maximise occupancy and rental income. The purpose of this research is to help landlords and corporate occupiers understand each other better, in order to achieve a mutually beneficial relationship. Design/methodology/approach - This paper analyses interviews with 1334 office tenants in the UK, conducted over an 11-year period, to investigate determinants of occupier satisfaction, loyalty and advocacy. Structural equation modelling and regressions are performed using respondents’ ratings of satisfaction with many aspects of occupancy as explanatory variables. The dependent variables include satisfaction with property management, value for money, overall occupier satisfaction, lease renewal intentions and occupiers’ willingness to recommend their landlord. Findings - The aspects with most impact on occupiers’ satisfaction are the office building itself, its location and amenities, and also communication with their property manager, a belief that their business needs are understood and the property manager’s responsiveness to occupiers’ requests. Occupiers’ loyalty depends mainly upon feeling that their rent and service charges provide value for money, an amicable leasing process, the professionalism of their property manager and the Corporate Social Responsibility of the Landlord. ‘Empathy’ is crucial to occupiers’ willingness to recommend their landlord, and clear documentation and efficient legal process improve occupiers’ perception of receiving ‘Value for Money’. Research Limitations - The sample is skewed towards occupiers of prime office buildings in the UK, owned by landlords who care sufficiently about their tenants to commission studies into occupier satisfaction. Practical implications - This research should help to improve the landlord – tenant relationship, benefitting the businesses that rent property and helping building managers understand where to focus their efforts to achieve maximum effect on occupier satisfaction, loyalty and advocacy. Originality/value - There has been little academic research into the determinants of satisfaction of occupiers of UK commercial property. This large-scale study enables the most influential factors to be identified and prioritised.

Designing care bundle documentation to support the recognition and treatment of acute kidney injury: a route to quality improvement

The chapter describes development of care bundle documentation, through an iterative, user-centred design process, to support the recognition and treatment of acute kidney injury (AKI). The chapter details stages of user and stakeholder consultation, employed to develop a design response that was sensitive to user experience and need, culminating in simulation testing of a near final prototype. The development of supplementary awareness-raising materials, relating to the main care bundle tool is also discussed. This information design response to a complex clinical decision-making process is contrasted to other approaches to promoting AKI care. The need for different but related approaches to the working tool itself and the tool’s communication are discussed. More general recommendations are made for the development of communication tools to support complex clinical processes.

Business

This main argument of the chapter is that the explanation of the slow pace of business action requires a socio-cultural theory that transcends the narrow premises of dominant corporate social responsibility (CRS) and business management approaches. I assert that only a critical political economy approach which captures the complex interplay between cultural ideas, power, politics, and economic interests can provide basis for explaining the prospects and limits of corporate climate governance. My argument, which draws from similar existing works (Levy and Egan 2003, Levy and Newell 2005, Okereke et al. 2009) is focused on carbon-intensive multinational companies (MNCs) whose activities are generally considered crucial in shaping societal response to climate change (McKibben 2012).

Operations research/management science tools for integrating people with disabilities into employment. A study on Valencia`s Sheltered Work Centres for Disabled

People with disabilities have a right to a full life in every sense and one of those fundamental rights is the possibility to work. In this paper, the importance of social employment integration of disabled people is highlighted as one of the stakeholders to be satisfied by companies in the new framework that corporate social responsibility is constructing. The objective of the paper is to revise the benefits of some well-known operations research/management science tools that, if applied correctly, have a double positive impact on work accessibility and improved productivity. The responses collected from managers of Valencia`s ShelteredWork Centres for Disabled by means of a structured questionnaire are used to analyse the level of implementation of these tools and their impact depending on the type of centre, the kind of disability and other structural variables.

The Quest for CSR in Closedowns

This paper focuses on analysis of and suggestions for Corporate Social Responsibility (CSR) orienta- tion during the closedown process.The article addresses CSR considerations that adjust business strategies, which in turn change the Human Resource Management (HRM) focus. Our study fo- cuses on four best practice cases in Sweden, which are compared with three reported cases in the literature.All four best practice cases had a long notice period and socially responsible coordination of management and employees, which created adjusted corporate strategies.Three cases had the CSR orientation in the earliest stage, while the fourth case had this coordination during a later stage of the closedown process. We develop a model where we show that the scope for action increases if the CSR orientation and coordination of actions come early in the closedown process, due to the increased ability to adjust the business strategy and create a plan for outreach HRM activities and local community activities. 

Ekologiska kläder : En studie om varför konsumtionen av ekologiska kläder haft en svag ökning sett utifrån konsumenternas perspektiv

Syftet med denna studie är att förklara varför konsumtionen av ekologiska kläder haft en svag ökning sett utifrån konsumenternas perspektiv. För att kunna besvara syftet har en kvantitativ metod legat till grund för denna studie. Data har samlats in med hjälp av enkäter för att undersöka om det föreligger något samband bland konsumenter. För att kunna presentera ett mer djupgående resultat har den kvantitativa metoden kombinerats med en kvalitativ metod vid analys av data. Teorin i denna studie har använts som utgångspunkt för att bättre förstå konsumenternas köpbeteende samt betydelsen av varumärken. Studiens empiri består av den data som samlats in genom enkäter. I studies analys och diskussion har teorierna sedan tillämpats på den data som enkäterna genererat för att öka resultatets trovärdighet. I denna studie framkom att kvinnliga konsumenter i åldern 20-35 har låg kunskap om de konventionella klädernas påverkan på miljö och individ. Konsumenternas personliga behov värderas högre än socialt ansvarstagande och det som prioriteras högst vid köp av kläder är pris, design och kvalitet. Utbudet av ekologiska kläder är inte tillräckligt stort och de kläder som finns tillgängliga på marknaden saknar varumärkesimage och förknippas ofta med basplagg.