This paper elaborates on conceptual, empirical and practical arguments why corporations need to focus on their social dimensions, in order to further enhance organizational performance. The paper starts with an introduction on the general trend towards inclusiveness and connectedness. It then elaborates on the phase-wise development of cultures and organizational structures. Managing corporate improvement by building cultures of trust is the central focus of this contribution. By showing the cultural dimensions of Great Places to Work and their workplace practices, worthwhile (...) experiences leading to organizational improvement and superior financial performance are demonstrated. (shrink)

The European Corporate Sustainability Framework (ECSF) is, among other concepts, based on a phase-wise development approach as described by Clare Graves' Levels of Existence Theory. As much as corporate sustainability has a sequence of adequate interpretations, aligned with each development level, also the notion of business excellence can be defined at multiple levels, as this paper demonstrates. Furthermore, the authors analyze the current EFQM Excellence Model for particular biases towards various development levels and suggest a new and innovative two-step approach (...) to assessing organizational performance with respect to organizational excellence (OE) and corporate sustainability. According to the organization's ambition, the assessment is either limited to a shareholder approach, mainly focusing at optimal usage of resources, or it also includes an additional assessment format based on the stakeholder approach, with specific reference to the organization's performance on the financial, social and ecological bottom line. This paper demonstrates the need and feasibility of an EFQM-Based assessment tool with a combined focus on corporate sustainability and OE. (shrink)

We uncover fundamental dimensions of the process through which organizations embed the practice of fraternity through embarking on an organizational journey in the direction of the common good. Building on the latest encyclical of Pope Francis, _Fratelli Tutti_, about fraternal and social friendship, we offer insight into the understanding of what it means to become a fraternal organization and reflect on the key ethical and paradoxical challenges for organizations aiming at collectively contributing to the common good. We add to previous (...) work by characterizing this journey as a process involving unique ethical challenges that emerge from the paradoxes associated with this process and how this might change the nature of the relationships between organizations and others within the organizational landscape. (shrink)

This article examines how the action logics associated with the stages of consciousness development of organizational leaders can influence the meaning, which these leaders give to corporate greening and their capacity to consider the specific complexities, values, and demands of environmental issues. The article explores how the seven principal action logics identified by Rooke and Torbert (2005, Harvard Business Review 83 (4), 66–76; Opportunist, Diplomat, Expert, Achiever, Individualist, Strategist and Alchemist) can affect environmental leadership. An examination of the strengths and (...) limitations of these action logics reveals the relevance of the so-called post-conventional stages of consciousness to the recognition and effective management of complex environmental issues. Suggestions are also made for promoting organizational contexts conducive to the development of a post-conventional environmental leadership. (shrink)

In a recent review article published in this journal, Hansen and Schaltegger discuss the architecture of sustainability balanced scorecards. They link the architecture of SBSCs to the maturity of the value system of a firm as well as to the proactiveness of a firm’s sustainability strategy. We contend that this argument is flawed and that the architecture of SBSC does not matter since—irrespective of their architecture—SBSCs are ill-suited to achieve substantive corporate contributions to sustainability. First, we assess the SBSC against (...) three fundamental conditions for an effective management of corporate sustainability—the generation of positive outcomes at the societal level, the consideration of complexities and tensions, and the integration of heterogeneous and competing logics—to show that the SBSC is diametrically opposed to the complex and multi-facetted nature of corporate sustainability and ill-suited to achieve transformational change of for-profit organisations towards sustainability. Second, we address the question whether architecture of the SBSC matters and find that it is a fallacy to believe that the architecture of SBSCs can address this fundamental misfit. Rather, our argument reveals that irrespective of its architecture the SBSC is not a suitable tool for achieving strategic change for sustainability beyond incrementalism because it is deeply rooted in the idea of aligning sustainability with established core business routines. We propose that the emerging integrative view on corporate sustainability offers a more promising route for scholars and practitioners who are truly concerned with a deep transformation of private firms towards more sustainability. (shrink)

The increasing strategic importance of environmental, social and ethical issues as well as related performance measures has spurred interest in corporate sustainability performance measurement and management systems. This paper focuses on the balanced scorecard, a performance measurement and management system aiming at balancing financial and non-financial as well as short and long-term measures. Modifications to the original BSC which explicitly consider environmental, social or ethical issues are often referred to as sustainability balanced scorecards. There is much scholarly discussion about SBSC (...) architecture and how it can be designed to relate performance dimensions, strategic objectives and the logical links among these elements. To synthesise the widely scattered research findings and publications on the SBSC, we conducted a thematic analysis based on a systematic literature review containing 69 relevant articles spanning a period of two decades. We found that sustainability-oriented modifications of the BSC architecture are motivated by instrumental, social/political or normative theoretical perspectives. Moreover, these modifications can be mapped with a typology of generic SBSC architectures. The first dimension of the typology describes the hierarchy between performance perspectives and strategic objectives and how it is related to the organisational value system. The second dimension describes how sustainability-related strategic objectives are integrated into SBSC performance perspectives and how this is related to corporate sustainability strategy. This study contributes to the development of the emerging SBSC literature and practice and, more generally, to research on corporate sustainability performance measurement and management. We conclude with a research agenda and implications for management. (shrink)

The research presented in this article aims to contribute both quantitatively and qualitatively to the discussion on family versus non-family businesses' differences in ethical core values, culture and ethical climate. The purpose of our article is to better understand the association between the degree of involvement of a family in an enterprise and its influence on the enterprise's core values, culture and ethical climate as the constitutional elements of enterprise ethical behaviour. The research indicates that family as well as non-family (...) enterprises maintain positive attitudes towards the core values with ethical content. Regarding the type and strength of culture as well as the type of ethical climate, our research results indicate significant differences between family and non-family enterprises. (shrink)

This article gives a practice-based and theoretical overview of the transformation from a traditional hierarchical organization in the care and cure sector towards a so-called Community-driven organization providing human happiness to 6000 elderly people. The actual case study is intertwined with conceptual information for better understanding of the innovative transition which took place at Humanitas. The case description includes its initial situation, its new core values, mission and objectives and shows the sequence of emerging policies and interventions that resulted in (...) a stakeholder oriented business model for the care sector. The selected concepts are Graves'' Emerging Cyclical Level of Existence Theory (or Spiral Dynamics), Ken Wilber''s Four Quadrant Model, Roberts Simons'' Four Levers of Control and various elements from the European Corporate Sustainability Framework sponsored by the European Commission. The conclusion marks the match between theory and practice in transforming Humanitas Rotterdam into providing cure, care, housing and well-being to elderly people. (shrink)

In a recent systematic review of the Sustainability Balanced Scorecard literature in this journal, we developed a typology of architectures as a basis for the process of SBSC design, implementation, use, and evolution. This paper addresses a comment by Hahn and Figge designed to stimulate further research. We argue that the existing literature demonstrates that the SBSC management tool can play an important role in corporate sustainability. The SBSC architectures—as representations of goals and priorities—form an integral and iterative part of (...) the corporate sustainability strategy-making process and therefore cannot be isolated from it. However, the concept as such should not be overloaded. In this paper, we first reflect on the potentials and constraints of the SBSC in relation to radical or transformational change and measuring performance outcomes on the level of human–earth systems. Second, we discuss the importance of SBSC architecture concerning how it enables the integration of sustainability into business organisations; how both strictly hierarchical cause-and-effect chains and less hierarchical designs can allow companies to seek inclusive profits; and the contingency-based use of generic architectures in contrast to its use as a diagnostic tool. (shrink)