Stakeholder theory has become an influential framework for addressing organizational challenges, including those related to sustainability. Yet, the inclusion of nonhuman stakeholders in stakeholder theory is complicated by ontological and epistemological obstacles. To overcome these, we turn to art and posthumanist practice theory and examine artist-led practices by focusing on the projects of two pioneering eco-artists, Helen Mayer Harrison and Newton Harrison. In this way we identify the ontological and epistemological challenges that impede the inclusion of nonhumans into stakeholder theory, (...) showing that artist-led practices allow for the inclusion of nonhuman stakeholders in two ways: (1) by specifying the temporal, spatial, and outcome distinctions that ontologically hinder their inclusion; and (2) by explicating the reframing of knowing and the emotional and imaginative dimensions of knowing that epistemologically enable their inclusion. We expand on the theorizing of nonhuman stakeholder inclusion by understanding the inclusion of nonhumans, first, not as a fixed state that is to be achieved but rather as one that materializes and gains meaning through specific practices of knowing; and, second, not as merely the absence of exclusion but rather as a dynamic interplay, where inclusion and exclusion mutually constitute one another. By advancing stakeholder theory’s theorizing and understandings of inclusion and exclusion, we also respond to urgent and contemporary environmental challenges. (shrink)

Although present research shows that ambitious corporate sustainability objectives improve employee engagement in business organizations, there is scarcity of research showing how employees engage in corporate sustainability objectives and become autonomous sustainability thinkers. We suggest that a strong, individual level of psychological ownership of corporate sustainability is a precondition for the development of sustainability thinking, and examine the factors that influence the emergence of such feelings of ownership. Our qualitative study, based on 29 interviews conducted in seven Finnish local business (...) units from three different technology-oriented multinational enterprises (MNEs), shows that several key factors can have contradictory effects, both strengthening and hindering the routes to psychological ownership of corporate sustainability. While these contradictory effects may potentially lead to confusion among employees, our findings may help managers to avoid pitfalls in developing a more sustainability-oriented organizational culture. Moreover, by applying the theory of psychological ownership, our study contributes to the business sustainability research by providing new theoretical opportunities to understand the process of how individuals may become engaged in enhancing business sustainability. (shrink)

Means–ends decoupling, the institutionally induced implementation of ineffective practices, has become increasingly common. Extant theory suggests that means–ends decoupling has real consequences, which makes it unstable and difficult for organizations to sustain. Yet little is known of how, and with what outcomes, firms organize such means–ends decoupling. We examine organizing via multiple qualitative and longitudinal case studies of how Swedish fast fashion retailers implement and manage the collection of used garments. We find that firms combine two organizational arrangements: structural and (...) temporal core–compartment separations, which mitigate consequences of means–ends decoupling by obscuring and justifying efficiency gaps. Thereby we provide a theoretical explanation for how means–ends decoupling can persist over time. (shrink)

In this article, we explore how sense of time and sense of place shape the development of organizational sustainability frames (OSFs). Time and place are fundamental cultural assumptions that influence the way organizations form these frames. Given that globalization and digitalization have fundamentally altered how organizations experience and value time and place, we develop a typology of OSF development and theorize how an organization’s sense of time and sense of place interact to shape the content and structure of OSFs. In (...) so doing, we offer a spatiotemporal perspective to the sustainability literature by bringing together previously disconnected research streams on time and place. We also highlight the importance of understanding the origins, not just the outcomes, of OSFs. (shrink)

Inclusive businesses that combine profit making with social impact are claimed to hold the potential for poverty alleviation while also creating new entrepreneurial and innovation opportunities. Current research, however, offers little insight on the processes through which for-profit business organizations introduce social innovations that can profitably create social impact. To understand how social innovations emerge and become sustained in business organizations, we studied a telecom firm in Kenya that successfully extended financial services across the country through a number of mobile (...) banking innovations. Our qualitative analysis revealed the strong role of being embedded in local networks and structures for initiating and implementing social innovations. Strong embeddedness enhanced the pragmatic and ethical imperative for internalizing social issues, but also provided access to diverse resources for implementing and legitimizing social innovations. However, hybridization processes that emphasized social issues introduced organizational tensions by increasing goal diversity and requiring adapting organizational processes and structures. The case shows how developing a mission-driven identity enabled the sustenance of social innovations by providing a meta-narrative that bridged goal diversities and rationalized organizational change. (shrink)

Sustainability challenges typically occur across sectoral boundaries, calling the state, market, and civil society to action. Although consensus exists on the merits of cross-sector collaboration, our understanding of whether and how it can create value for various, collaborating stakeholders is still limited. This special issue focuses on how new combined knowledge on cross-sector collaboration and business models for sustainability can inform the academic and practitioner debates about sustainability challenges and solutions. We discuss how cross-sector collaboration can play an important role (...) for the transition to new and potentially sustainability-driven business models given that value creation, delivery, and capture of organizations are intimately related to the collaborative ties with their stakeholders. Sustainable alternatives to conventional business models tend to adopt a more holistic perspective of business by broadening the spectrum of solutions and stakeholders and, when aligned with cross-sector collaboration, can contribute new ways of addressing the wicked sustainability problems humanity faces. (shrink)

“Modern slavery,” a term used to describe severe forms of labor exploitation, is beginning to spark growing interest within business and society research. As a novel phenomenon, it offers potential for innovative theoretical and empirical pathways to a range of business and management research questions. And yet, development into what we might call a “field” of modern slavery research in business and management remains significantly, and disappointingly, underdeveloped. To explore this, we elaborate on the developments to date, the potential drawbacks, (...) and the possible future deviations that might evolve within six subdisciplinary areas of business and management. We also examine the value that nonmanagement disciplines can bring to research on modern slavery and business, examining the connections, critiques, and catalysts evident in research from political science, law, and history. These, we suggest, offer significant potential for building toward a more substantial subfield of research. (shrink)

AbstractClimate change is a complex, multilevel challenge with implications of failure unimaginable for current and future generations. However, despite the Paris Agreement supporting the imperative for action in an atmosphere of scientific consensus, organisations are failing to take the decisive action required. We argue that this lack of organisational action needs to be addressed by examining the cognitive foundations of managerial decisions on climate change and sustainability. A systematic review of research on cognition, sensemaking and managerial interpretation where it is (...) linked to climate change or sustainability is presented within this article. The results detail a multilevel analysis highlighting key themes and the core concepts from the literature including factors shaping the cognitive process, to elucidate reasons for inaction and potential for promoting change. Through this research, an integrated model is presented demonstrating the interaction of factors, cognitive processes and outcomes. Based on this analysis, potential reasons for inaction are proposed and countered by three potential solutions linked to leadership, social norms and structural reform. (shrink)

Natural scientists have proposed that humankind has entered a new geologic epoch. Termed the “Anthropocene,” this new reality revolves around the central role of human activity in multiple Earth ecosystems. That challenge requires a rethinking of social science explanations of organization and environment relationships. In this article, we discuss the need to politicize institutional theory as a means understanding “Anthropocene Society,” and in turn what that resultant society means for the Anthropocene in the natural environment. We modify the constitutive elements (...) of institutional orders and a set of main change mechanisms to explore three scenarios around which future Anthropocene Societies might be built—Collapsing Systems, Market Rules, and Cultural Re-Enlightenment. Simultaneously, we use observations from the Anthropocene to expose limitations in present institutional theory and propose extensions to remedy them. Overall, this article challenges organizational scholars to consider a new paradigm under which research in environmental sustainability and social sustainability takes place. (shrink)

This paper presents a case study of the South African operation of a logistics company, operating in a context of short-termism and under-performance. Frustration with managing in this context, and concern that this environment might erode the customer value proposition, prompted an exploration of the question: “How can the business prioritise its investment in intangibles to support sustainable growth in an environment of short-termism and sub-par business performance?” The study followed an inductive grounded theory approach and began with an exploration (...) of the system of short-termism as it was being experienced by the management team. This evolved in an iterative process to include an exploration of the customer value proposition, the organisation’s capabilities and the system of investment in intangibles. Data were collected over a period of 6 months, across a series of four stages as the management team grappled with the short-term financial objectives imposed on them. The data categories were used to develop 214 propositions across all stages. Through the four stages, four artefacts were developed from the propositions a causal loop diagram of the system of short-termism; a documented value proposition; an assessment of the health of the business’ capitals; and a multi-year intangibles investment programme. The findings indicate that a focus on investment in intangible assets can play a vital role in stimulating sustainable value creation in an environment of historically poor returns on investment and pressure for short-term financial results. It is suggested that investment in intangibles can be introduced as a multi-year capabilities investment plan. The study succeeded in getting investment in intangibles approved and the implication is that long-term decision-making can co-exist in an environment of short-termism and low growth. (shrink)

Climate change is one of the most pressing issues facing humanity and has become an area of growing focus in Business & Society. Looking back and reviewing climate change discussion within this journal highlights the importance of time and space in addressing the climate crisis. Looking forward, we extend existing research by theorizing and politicizing the co-implication of time and space through the concept of “space-time.” To illustrate this, we employ the logical structure of “the trace” to advance business and (...) society scholarship on climate change by shifting the focus to a place-bound emphasis on climate impacts and directing scholarship toward climate change’s temporal markers and material effects. By operationalizing “the trace,” we contribute to Business & Society debates in three ways: reimagining complex stakeholder relations, advancing a performative understanding of climate risk, and foregrounding planetary systems and the physical environment. (shrink)

We explore the relationship between chief executive officer (CEO) personality traits and corporate social responsibility (CSR) reporting. Upper echelons theory indicates that the values, experiences, and personalities of top organizational managers influence their organization's strategic decisions and effectiveness. We utilize IBM Watson Personality Insights software to infer CEOs’ personality traits based on their responses to questions raised by analysts during year‐end conference calls; we obtain CEOs’ Big Five personality traits—openness, conscientiousness, extraversion, agreeableness, and neuroticism—from which we compute a measure of (...) their risk tolerance. Using a longitudinal dataset of Standard and Poor's 500 firms for 2008–2015, we document that high CEO risk tolerance is related to lower CSR report readability and smaller CSR disclosure volume. This finding indicates that executives who are comfortable with greater risk are more willing to supply stakeholders with reports that are shorter and require greater effort to understand. Exploration of the association between CEO Big Five personality traits and CSR report readability and disclosure volume allows key stakeholders to better comprehend CSR disclosures and connotations thereof. Overall, our results contribute to the debate on how CEO personality traits affect organizations’ CSR disclosure reporting strategies, and support upper echelons theory in the CSR setting. (shrink)

Earth system science (ESS) has identified worrying trends in the human impact on fundamental planetary systems. In this conceptual article, we discuss the implications of this research for business schools and management education (ME). We argue that ESS findings raise significant concerns about the relationship between business and nature and, consequently, a radical reframing is required to embed economic and social activity within the global sustainability of natural systems. This has transformative implications for ME. To illustrate this reframing, we apply (...) the ESS lenses of social-ecological interdependence, multiscalar relations, environmental governance, and environmental values to the ME functional domains of institutional purpose, social context and engagement, pedagogical practice, curricular design, and research focus. Our work contributes to the literature on business education for sustainability and the business-society-nature nexus. We explore and apply key ESS findings and concepts, discuss normative implications of these ideas, and offer guidance on transformational pathways for business schools and ME. (shrink)

The Earth is facing pressing societal grand challenges that require urgent managerial action. Responsible management learning has emerged as a discipline to prepare managers to act as responsible leaders that can effectively address such pressing challenges. This article aims to extend current knowledge on RML in the domain of corporate sustainability through the application of threshold concepts, novel ideas which provide a doorway to new knowledge and transform a learner’s mindset. Specifically, after conducting a systematic review of the management literature, (...) we identify 33 CS threshold concepts that are useful for mainstream managers and practitioners in their RML process. We group them into six CS threshold concept themes that can help managers understand the complexities and interconnectedness that characterize CS. Finally, we map CS threshold concepts with key competences for effective RML. Therefore, our contribution relies on translating existing CS theoretical frameworks into transformative, specific, understandable and applicable pieces of knowledge that might help mainstream managers to embed CS principles in their daily management practices. (shrink)

Based on a study of the oil and gas industry, this article examines how physical impacts of climate change become events that firms notice and interpret in a way that leads to an active response to adapt to these impacts. Theoretically, the study draws on the attention-based view to highlight the potential biases that might occur as a consequence of firms’ preconceptions as well as organizational structure and context. In the empirical analysis, the article derives a model that explains the (...) influence of the attentional process on how awareness and perceived vulnerability lead firms to adopt either routine or non-routine measures to adapt to climate change. The article also explores the relevant underlying factors of awareness and perceived vulnerability. The findings suggest that how firms channel attention to climate events has a distinctive influence on the measures firms take to cope with physical impacts. The article concludes with implications for research, management practice, and policy makers. (shrink)

Existing research posits that decision makers use specific cognitive frames to manage tensions in sustainability. However, we know less about how the cognitive frames of individuals at different levels in organization interact and what these interactions imply for managing sustainability tensions, such as in Bottom of the Pyramid projects. To address this omission, we ask do organizational and project leaders differ in their understanding of tensions in a BOP project, and if so, how? We answer this question by drawing on (...) a 5-year study of a BOP project of a global pharmaceutical company in India. In line with the existing research, we found three kinds of frames—paradoxical, business case, and business—held differently across organizational levels and over time. We also found that the shift in frames of both project and organizational leaders was mediated by the decision-making horizon. The initial divergence across organizational levels, seen in paradoxical and business frames, was mediated by long-term decision-making horizon. However, there was an eventual convergence toward business frames associated with the shift from long- to shorter-term decision-making horizons and one that led to the project’s closure. We contribute by proposing a dynamic model of cognitive frames in sustainability, where the research has either alluded to top-down or bottom-up understanding. (shrink)

Responding to climate change and avoiding irreversible climate tipping points requires radical and drastic action by 2030. This urgency raises serious questions for energy companies, one of the world’s largest emitters of greenhouse gases (GHGs), in terms of how they frame, and reframe, their response to climate change. Despite the majority of energy companies releasing ambitious statements declaring net zero carbon ambitions, this ‘talk’ has not been matched with sufficient urgency or substantive climate action. To unpack the disconnect between talk (...) and action, this paper draws on the literature on framing, organisational hypocrisy, and collective moral responsibility. We conduct a longitudinal qualitative content analysis of the framing of climate change used by the ten largest European investor-owned energy companies and the actions they have taken to shift their business practices. Our findings reveal three main categories of energy companies: (i) deflecting, (ii) stagnating, and (iii) evolving. We show key differences in the relationship between framing and action over time for each category, revealing how deflecting companies have larger and persistent gaps between green talk and concrete action and how stagnating companies are delaying action despite increased green talk, while evolving companies exhibit a closer link between talk and action that tends to be realised over time. Our analysis reveals how competing approaches to framing collective moral responsibility help understand the trajectories of talk and action across the different categories of energy companies. This research makes several contributions to the literature on organisational hypocrisy and collective moral responsibility in the context of climate change. Our analysis highlights the complex relationship between collective moral responsibility, organisational hypocrisy and climate action, revealing how different collective framings—diffuse, teleological, or agential—can both enable and offset substantive climate action. The study also enriches our understanding of the performative nature of collective moral responsibility by examining its temporal dimensions and showing how an agential, backward-looking focus is associated with more meaningful climate action. (shrink)

Recent regulatory interventions are beginning to mandate climate disclosure in listed firms. Although compelling, prior studies demonstrate that firms can symbolically commit to climate and environmental disclosures yet not undertake action. Neo-institutional theory (NIT) suggests that two strategies exist: the legitimacy perspective, which manifests in symbolic efforts, and the efficiency perspective, which is more consistent with substantive efforts. In this article, we apply NIT to assess the climate transition efforts in large, publicly traded firms in five countries with similar regulatory (...) and economic profiles (Australia, Canada, New Zealand, the United Kingdom, and the United States). We gauge climate efforts by membership in corporate climate initiatives (CCIs) and the integration of climate action plans (CAPs). Of the eight CCIs and three CAPs investigated, we find that only two CCIs and one CAP help to improve emissions performance. The majority of firms in our sample, therefore, demonstrate the legitimacy perspective of NIT. (shrink)

How is time framed in corporate social responsibility (CSR) talk? The literature mostly fails to analyze how multiple CSR activities are framed from a temporal perspective. Moreover, those researchers who undertake temporal framing tend to overlook the role of home-country cultural characteristics. Using a mixed-method analysis of 2,720 CSR reports from developing country companies, we show that CSR talk is mostly framed in the future tense when firms communicate complex human rights issues such as slavery or child labor, while the (...) past and present tenses are more frequent when they report on philanthropy and other cause-related activities. We find that these effects are stronger when firms are from countries characterized by greater uncertainty avoidance. We contribute to the CSR communication literature by showing that temporal references in CSR talk tend to differ, depending on the company-level control of CSR activities, and by highlighting uncertainty avoidance’s role as a boundary condition for aspirational talk’s performativity. (shrink)

We explore corporate environmental accountability by examining how carbon emissions affect voluntary climate-related information disclosure based on TCFD principles. Using computerized textual analysis to measure such climate-related disclosure, our results show that firms with higher levels of carbon emissions disclose more climate-related information. This relation is stronger in firms belonging to carbon-intensive industries, such as energy, materials, and utilities. We also examine this relationship at the category level for Governance, Strategy, Risk Management, and Metrics and Targets, finding that carbon emissions (...) drive disclosure in all categories except in Governance. Overall, our findings indicate that high carbon emitting firms appear to discharge their corporate accountability by increasing climate-related disclosure, consistent with legitimizing their potentially unethical actions and submitting to stakeholder and societal pressure. (shrink)

Addressing climate change is among the most challenging ethical issues facing contemporary business and society. Unsustainable business activities are causing significant distributional and procedural injustices in areas such as public health and vulnerability to extreme weather events, primarily because of a distinction between primary emitters and those already experiencing the impacts of climate change. Business, as a significant contributor to climate change and beneficiary of externalizing environmental costs, has an obligation to address its environmental impacts. In this paper, we explore (...) the role of firms’ climate change targets in shaping their emissions trends in the context of a large multi-country sample of companies. We contrast two intentions for setting emissions reductions targets: symbolic attempts to manage external stakeholder perceptions via “greenwashing” and substantive commitments to reducing environmental impacts. We argue that the attributes of firms’ climate change targets are diagnostic of firms’ underlying intentions. Consistent with our hypotheses, while we find no overall effect of setting climate change targets on emissions, we show that targets characterized by a commitment to more ambitious emissions reductions, a longer target time frame, and absolute reductions in emissions are associated with significant reductions in firms’ emissions. Our evidence suggests the need for vigilance among policy-makers and environmental campaigners regarding the underlying intentions that accompany environmental management practices and shows that these can to some extent be diagnosed analytically. (shrink)

Over the last two decades, corporate sustainability has been established as a legitimate research topic among management and organization scholars. This introductory article explores potential avenues for advances in research on corporate sustainability by readdressing some of the fundamental aspects of the sustainability debate and approaching some novel perspectives and insights from outside the corporate sustainability field. This essay also sketches out how each of the six articles of this special issue contribute to the literature by going back to some (...) of the conceptual roots of sustainability and/or by offering novel perspectives for research on corporate sustainability. As these six articles and the outlook on future research opportunities show, broadening the inquiry of corporate sustainability in terms of topics, theories, and methodologies holds considerable potential to improve our understanding of how decision makers and organizations respond to sustainability. (shrink)