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)

Given the urgency of global crises, interest abounds in alternative organizational forms (e.g., multistakeholder social enterprises, MSEs), promising structural solutions to engage diverse stakeholders in the creation of joint social, economic, and democratic values. Yet, studies of the who, how, and why of stakeholder engagement are predominantly rooted in for-profit contexts, assuming objective boundaries between insider/outsider stakeholders and engagement as a means to an end. The context of MSEs challenges both of these assumptions. Based on interviews with leaders of 28 (...) French MSEs, I show how the latter made sense of their expectations versus the reality of stakeholder engagement. Leader sensemaking strategies informed the enactment of (revised) stakeholder engagement strategies to maintain coherence, or address misalignment, between expectations and reality. The article contributes to the literature by challenging assumptions of stakeholder engagement in for-profit firms. It also cautions against an overreliance on designated organizational forms to enable substantive stakeholder engagement. (shrink)

Employee participation is essential to organizations’ corporate social responsibility (CSR)-related environmental initiatives (EIs). Employees’ attitudes to participating in pro-environmental behaviors are addressed in workplace literature drawing upon the theory of planned behavior. However, antecedents to employees’ attitude formation, including perceptions of the costs and benefits of participating in EIs, have not been adequately researched. Greater understanding of EI attitude formation can support efforts to foster EI participation. This study explores employees’ perceptions of EI costs and benefits to employees personally, to (...) their organization, and to society by applying goal framing theory. A sample of 120 survey participants described 150 initiatives and identified personal, organizational, and societal costs and benefits of the EIs. Cost and benefit categories are presented along with a taxonomy and themes. The findings of this study provide a reference point for researchers and managers in understanding how employees view EIs and how employees might be encouraged to participate. (shrink)

In the remediation of business-related human rights abuses, meaningful stakeholder engagement which culminates in effective access to remedy begins with forms of communication that enable the voice and agency of marginalized stakeholders, and value their lived experiences. Here, we consider how the development of a _dialogical_ theorization of stakeholder engagement is aligned with the practical and ethical goals of an effective access to human rights remedy. Drawing on dialogical theory, we discern four ethical criteria —_power cognizance, polyphonic pluralism, generative agonism (...) and discursive unfinalizability_— that reveal three general approaches to stakeholder engagement —_essentially monologic, seemingly dialogic and authentically dialogic_— based on the extent to which they exhibit the criteria above. We propose and discuss an 'authentically dialogic' approach for organizations adopting morally expansive, victim-centric approaches to engagement in the design and implementation of company-led remedial mechanisms. (shrink)

Scant research has examined the effects of an organization’s stakeholder orientation on the cognition and attitudes of employees. Our study focuses on how one aspect of an organization’s objective, its stakeholder orientation, affects employee job satisfaction. Through seven studies utilizing different samples and measures, we theorize and demonstrate that employees with a higher perceived stakeholder orientation experience enhanced job satisfaction. We provide correlational field data and causal experimental evidence to show that increased employee perspective-taking is one potential mediator of this (...) effect. These results contribute to our understanding of job satisfaction and perspective-taking by showing how employee orientation toward other stakeholders affects their attitude toward their job and social cognition. We also expand the focus of stakeholder orientation beyond normative philosophy and toward understanding its effects on the cognitions and attitudes of organizational members to provide a basis for examining the behavioral implications of different stakeholder orientations. (shrink)

Mining partnerships have often been promoted as opportunities for meaningful collaboration between corporations and Indigenous communities. However, these partnerships frequently lack a nuanced understanding of the colonial assumptions that underpin power imbalances and divergent perspectives. This study addresses this gap by examining how a multinational mining corporation, Indigenous communities, and non-governmental organizations (NGOs) representing these communities (de)legitimize their mining partnerships within the framework of global stakeholder colonialism in Australia and Mongolia. The study shows how stakeholder colonialism coerces Indigenous communities into (...) accepting a social reality where mining is inevitable, either with or without partnerships. This dynamic reflects the hegemonic power of mining corporations, which is sustained not by a balance of coercion and consent but by discursive coercion without consent. This implies that there is a failure of this hegemonic power to fully establish itself, opening the door for subaltern resistance and counter-hegemonic struggles by Indigenous peoples. By highlighting Indigenous perspectives that challenge the prevailing managerial views in mining corporations, this study disrupts the corporate narrative that portrays the sole social objectivity where mining is inevitable. Instead, it advocates for a more nuanced understanding that goes beyond a simplistic view of mining partnerships as either naïve democratic deliberation or fatalistic stakeholder colonialism. (shrink)

Extant studies on stakeholder engagement have noted the inherent tensions arising from participation efforts, giving rise to the dark side of engagement. However, few studies have focused on organizational power relations that provide specific conditions for engagement and the related paradox that control represents. Drawing on strategy discourse and paradox as theoretical lenses, we examine engagement as a nexus of observed societal expectations, subjectivities provided by the strategy discourse, and the subject positions adopted by the individuals, giving rise to a (...) contradiction between openness and control. As a result, we present three modes of participation: inclusion, admittance, and quasi-participation. We contribute to stakeholder engagement and paradox literature by outlining the “engagement-control paradox” and showing how the prevailing strategy discourse may drive the use of participation as a form of control. Maintaining different modes of participation introduces inadvertent closure for participation and hinders strategy-making and the development of the organization. (shrink)

Organizational ambidexterity (OA)—the simultaneous pursuit of explorative and exploitative innovations—engenders nested (paradoxes manifesting across organizational levels) and knotted paradoxes (intertwined co-occurring paradoxes at the same or across organizational levels). Both nested and knotted paradoxes are managed by internal stakeholders using approaches that are socially constructed by influences emanating from within and beyond an organization. External stakeholders also help shape organizational innovations but their influence on the management of paradoxes has largely been overlooked. In this study, we collected and analyzed data (...) from internal ( n = 19) and external stakeholders ( n = 18) in organizations pursuing explorative and exploitative clean energy transitions at nine Canadian energy utilities. We find that the external stakeholders engage with knotted inclusivity–efficiency and existing–emerging needs paradoxes. Our findings add to OA and business and society literature by revealing how the approaches that internal and external stakeholders adopt for paradox management have implications for each other, and thus OA. We also provide practical insight into how external stakeholder paradoxes can be managed through stakeholder inclusivity and enhanced transparency of innovation plans, with positive implications for OA. (shrink)

To shield stakeholders from exploitation, society increasingly expects organizations to engage with stakeholders. While exploitation of stakeholders is of great concern, economic literature points to the costly nature of stakeholder engagement vis-à-vis alternative mechanisms that protect stakeholders, such as competitive markets. When the costs of stakeholder engagement outweigh the benefits, why would organizations engage with stakeholders? Through an analysis of the cooperative enterprise and a comparison with its capitalist counterpart, we theorize two additional reasons why stakeholder engagement is beneficial. First, (...) we explain how stakeholder engagement facilitates long-term organizational resilience and protection of stakeholders in times of crisis, and second, we show how engagement is a decisive ingredient in answering non-economic value requirements of stakeholders. To conclude, we contribute to the broader stakeholder engagement and cooperative literature by stressing that engagement practices, and particularly democratic governance arrangements, are subject to design principles that sometimes favor stakeholders in capitalist firms. (shrink)

In this article, we underscore the importance of stakeholder relationships for research on stakeholder engagement. We do so by integrating a practice-based understanding with the relational view. Based on a revealing case study of a civic engagement process in a large German city, we develop a conceptual framework that explains how relational practices shape stakeholder engagement. We identify three relational practices (i.e., connecting, facilitating, and containing) and their associated outcomes (i.e., implication, solidarization, and distinction), as well as effects on stakeholder (...) heterogeneity. Our findings contribute to the relational view on stakeholder engagement by providing insights into practices that shape relationships between heterogeneous stakeholders, explaining how these relational practices influence stakeholder heterogeneity, and identifying unintended impacts of stakeholder engagement. (shrink)

Our understanding of how public actors directly influence stakeholder engagement through mechanisms such as regulation and licensing has been steadily improving. However, the indirect influence of public governance measures on stakeholder engagement remains less explored. This article seeks to bridge this gap by examining how public sector actors use participatory governance to influence private stakeholder engagement beyond public governance processes. We introduce the concept of silent steering to describe how indirect effects on stakeholder engagement occur. Through an in-depth case study (...) of Finnish mining governance from 1995 to 2020, we uncover how silent steering of private engagement occurs through role-giving, example-giving, and expectation-giving. Through these processes, public actors can exert significant influence over industry- and firm-level private stakeholder engagement processes even when they are not present. (shrink)

As the sensitivity to corporate social responsibility continues to grow, the goal of enterprises has expanded beyond the sole pursuit of economic value. Corporate social goal orientation has therefore come to occupy a central position in entrepreneurs’ psychology and the transition away from a market-only economy. This study uses secondary data from 4,288 samples of 725 Chinese-listed companies from 2009 to 2020 to explore the driving factors in social goal orientation based on the characteristics of sample companies and their industry (...) groups from the perspective of stakeholder relationships. The results can be summarized as follows: there is an inverted U-shaped relationship between government stakeholder relationships and social goal orientation, and there is a significant positive relationship between financial stakeholder relationships, market stakeholder relationships, and corporate social goal orientation. The correlation between single-dual stakeholder relationships and social goal orientation is not consistent. In light of the nature of the roles of government and the market, the correlation between the government–market dual relationship and corporate social goal orientation is not significant. However, there is a significant correlation between the finance–government dual stakeholder relationship and social goal orientation; that is, the dual stakeholder relationship maintains the existence of non-institutional capital and corporate financial capital. Moreover, there is no significant correlation between the market–finance dual relationship and corporate social goal orientation, and there is substitutability between market and financial stakeholder relationships. With the deepening of our understanding of CSR, the core goal of enterprises is no longer confined to the pursuit of economic value, and their social goal orientation has come to be regarded as a major driving force in sustainable development. This study enriches the research on the relationship between stakeholder relationships and shows that stakeholder relationships also have important significance to both achieving corporate goals and shaping entrepreneurs’ psychology. (shrink)

The OECD Guidelines for Multinational Enterprises have become increasingly relevant in the debate on the role of business in society. This instrument for responsible business conduct (RBC) is considered to be unique due to its implementation mechanism, the National Contact Point (NCP) procedure. The NCP procedure applies a pragmatic stakeholder engagement approach to contribute to the effectiveness of the OECD Guidelines. However, little is known about the effects of the NCP procedure. To fill this gap, this study provides insights into (...) the ex‐post effects of the Dutch NCP procedure on solving non‐compliance issues, the RBC performance of MNEs, and societal impact. This study developed a framework of different layers of effects. It used this framework to gather and analyze empirical data through interviews with parties that have participated in non‐compliance procedures. The effects found are mainly related to solving issues, while the effects on RBC within MNEs and their societal impact seem limited. Based on the findings, this study concludes that the full potential of the OECD Guidelines remains unrealized in most of the investigated cases. (shrink)

ObjectiveThe objective of the study was to explore the power of stakeholder consultation on employee engagement during a cross-border acquisition in a multi-cultural context. Further, to describe the psychosocial factors at play during the employee involvement process towards enhancing employee engagement.MethodsThis qualitative study presents the results from data collected in Tanzania through semi-structured interviews and analyzed in accordance with the hermeneutic circle and Tesch’s content analysis method.ResultsThe results of this study contribute to the body of knowledge to better understand the (...) psychosocial factors at play within a multi-cultural environment which inform stakeholder consultation and will enable or hinder employee engagement. A transitional space should be created, fostering mature stakeholder engagement, promoting employee inclusion, engagement, and knowledge sharing.ConclusionBringing together two worlds requires building bridges to cross the cliff between contexts and overcoming diversity challenges, while incorporating diversity management in the consulting process. A multi-cultural team should be established, incorporating diversity management, applying the principles of respect, participation and transparent communication, with regular feedback on decisions made. External stakeholders in authoritative positions are not well received and should consider traditional superiority versus business hierarchy when establishing leader-follower relationships. (shrink)