The social dimension of sustainable development and its impact on supply chains have so far received less attention than the environmental dimension. The aim of the research is to explore the intersection between social issues, corporate social responsibility actions and performance outcomes. A structured literature review of social issues in supply chains is presented, analysing the research published so far in peer-reviewed publications. Linking CSR and supply chain management allows the exploration of strategies and performance outcomes with a focus on (...) social issues. The corresponding responsible supply chain actions adopted by firms to address these issues are grouped into communication, compliance and supplier development strategies. Social and economic as well as buyer and supplier performance are identified as the key outcomes, but the interactions among these constructs would require further research. This paper contributes to the understanding of managing social issues in supply chains by linking social issues, responsible supply chain actions and performance outcomes. The paper consolidates related research by offering an overarching conceptual framework and points to future research directions and simultaneously provides insights into the management of social issues in supply chains. (shrink)

This paper investigates the determinants of regulatory compliance in corporate organizations. Exploiting a unique enforcement and reporting framework for insider trading in Italy, we present three main findings. First, board governance, such as chief executive–chairman duality and the proportion of non-executive directors, does not increase the propensity of firms to comply with regulation. Second, family firms and firms with a high degree of separation of ownership from control are most likely to comply with regulation. Third, corporate ethos is more important (...) in predicting regulatory compliance than explicit corporate governance structures. (shrink)

In exploring corporate perceptions of the business case for supplier diversity, this paper reports on a cross-national study of large purchasing organisations that had introduced, or were in the process of introducing, purchasing initiatives aimed at ethnic minority businesses. The research investigates how LPOs portray the benefits of this form of socially responsible purchasing and suggests a business case construct based on four component elements. It also highlights a number of contextual factors that appear to have shaped business case rationales. (...) The paper concludes with a discussion of issues of cost and contingent influences affecting SD programmes and points to possible areas for future research. (shrink)

The implementation of socially sustainable practices in suppliers situated in challenging institutional contexts is examined using institutional theory, both in terms of how institutional pressures affect implementation and what explains the decoupling of practices from the day-to-day reality. A multi-case study approach is employed based on seven apparel industry suppliers in Bangladesh. Cross-case analysis highlights the coercive, mimetic, and normative pressures on suppliers to implement socially sustainable practices. A key pressure identified that has not previously been highlighted in the literature (...) is horizontal collaboration between buyers, which intensifies coercive pressure on suppliers and increases the consequences of non-compliance. The factors that contribute to decoupling are categorized into firm-, supply chain-, and environment-related factors. Further, six propositions are developed on how specific forms of institutional pressure can tackle particular decoupling factors to support implementation. The paper responds to recent calls for greater scrutiny of why and how firms decouple ethical practices and supports the development of the literature specifically on social sustainability, which lags behind that on environmental sustainability and has been largely focused on the Western buyer perspective. The findings have implications for the diffusion of ethical practices into supply chains, especially distant suppliers in very different and challenging institutional contexts. (shrink)

This article aims to analyze the factors influencing the adoption of green practices in Chinese logistics industry. The determinant factors are composed of technological, organizational, and environmental dimensions. A questionnaire survey on the green practice adoption of Chinese logistics companies was conducted, and 322 samples were analyzed. Research results reveal that relative advantage and compatibility of green practices, organizational support, quality of human resources, regulatory pressure, and governmental support have significantly positive influences on the adoption of green practices for Chinese (...) logistics companies. Environmental uncertainty and green practice's complexity have significantly negative influences on green practice adoption. However, the influence of customer pressure is not significant for Chinese logistics companies. This article also suggests implications and opportunities for future research. (shrink)

There is a growing body of research on the theory and practice of sustainable supply chain management (SSCM). However, relatively little research has been conducted on the extent to which corporations have integrated sustainability principles into the management of their supply chain and the evaluation of supplier performance. The purpose of this article is to explore the extent to which corporate sustainability principles are integrated into supply chain management (SCM) in corporations. Canada is used as a case study in this (...) article. The study included a content analysis of one hundred Canadian corporate sustainable development reports and in-depth interviews with 18 Canadian experts on SSCM. The article highlights the wide array of ways in which Canadian corporations address SSCM issues. Amongst other topics, issues associated with supply chain governance, standards for SSCM, collaboration with suppliers, performance measurement, and accountability within the supply chain are explored. The findings reveal that there are many challenges in integrating sustainability into SCM. These challenges shed light on possible future directions for research in SSCM. This article underlines the need for research that reflects the interconnected nature of the economic, environmental, and social dimensions of sustainability, particularly as it relates to measuring supplier performance on sustainability initiatives. (shrink)

Corporate Social Responsibility amongst Small and Medium Enterprises is often characterised in the literature as unstructured, informal and ad hoc discretionary philanthropic activities. Drawing insights from recent theoretical/analytical frameworks :52–78, 2010), and on empirical data collected from both Nigeria and Tanzania, we found that CSR practices in SMEs are much more nuanced than previously presented. In addition, SMEs undertake their CSR practices to varying degrees in multiple spaces—i.e. the workplace, marketplace, community and the ecological environment. These CSR practices go beyond (...) philanthropy and in some instances involve institutional works aimed at addressing some of the institutional gaps in the environments where these SMEs operate. The paper makes a contribution by drawing attention to the multiple spaces of CSR practices amongst SMEs, and the institutional works they do, which are often taken for granted in the extant literature. We provide a unique perspective—by arguing that what is frequently conceptualised as philanthropic CSR in Africa is ‘institutional works’. (shrink)

I summarize seven general trends in the institutional analysis of organizations which I view as constructive and provide evidence of progress in the development of this perspective. I emphasize corrections in early theoretical limitations as well as improvements in the use of empirical indicators and an expansion of the types of organizations included and issues addressed by institutional theorists.

This article examines the existing confusion over the multiple leadership styles related to successful implementation of corporate social responsibility/sustainability in organisations. The researchers find that the problem is the complex nature of sustainability itself. We posit that organisations are complex adaptive systems operating within wider complex adaptive systems, making the problem of interpreting just in what way an organisation is to be sustainable, an extraordinary demand on leaders. Hence, leadership for sustainability requires leaders of extraordinary abilities. These are leaders who (...) can read and predict through complexity, think through complex problems, engage groups in dynamic adaptive organisational change and have the emotional intelligence to adaptively engage with their own emotions associated with complex problem solving. Leaders and leadership is a key interpreter of how sustainability of the organisation ‘links’ to the wider systems in which the organisation sits, and executing that link well requires unusual leaders and leadership systems. (shrink)

This article addresses the relationship between the ethics underpinning leadership and change. It examines the developments in leadership and change over the last three decades and their ethical implications. It adopts a consequentialist perspective on ethics and uses this to explore different approaches to leadership and change. In particular, the article focuses on individual (egoistic) consequentialism and utilitarian consequentialism. The article argues that all leadership styles and all approaches to change are rooted in a set of values, some of which (...) are more likely to lead to ethical outcomes than others. It also argues that all stakeholders in an organisation have a role to play in ensuring ethical outcomes. It concludes that in order to achieve sustainable and beneficial change, those who promote and adopt particular approaches to leadership and change must provide greater ethical clarity about the approaches they are championing. (shrink)

Despite the growing public awareness of social sustainability issues, little is known about what drives firms to emphasize social criteria in their supplier management practices and what the precise benefits of such efforts are. This is especially true for relationships with international suppliers from the world's emerging economies in Asia, Latin America, and Eastern Europe. Building on stakeholder theory, we address the issue by examining how pressures from customers, the government, and employees as primary constituencies of the firm determine the (...) extent to which firms consider social aspects in the selection of emerging economy suppliers. Further, we analyze how such socially sustainable supplier selection relates to the capabilities of the firm's suppliers, its market reputation, and the learning in its supply management organization. We test the developed research framework empirically using data from 244 U. S. and German corporations. Our findings, consistent with our hypothesized model, suggest that middle-level supply managers as internal stakeholders play a major driving role for firms' socially sustainable supplier selection, and that strong positive links exist between that selection and the investigated outcomes. (shrink)

Implementing corporate social responsibility (CSR) in supply chains is not a trivial task. In fact, many firms in recent years have publicly proclaimed that in order to keep their CSR commitments, they had to reduce reliance on external suppliers by vertically integrating their operations. Our aim in this article is to examine whether there is truly a relationship between a firm’s CSR performance and its level of vertical integration. Drawing on a multi-industry sample of 2,715 firm-year observations, and after addressing (...) endogeneity concerns, we demonstrate that firms with higher CSR performance tend to vertically integrate more (or, outsource less). We also demonstrate that this tendency is weaker for firms that have higher degrees of asset specificity or international diversification. Our core conclusion is that CSR performance and outsourcing are at odds, but firms can reconcile this tension by deepening their collaborations with suppliers. (shrink)

In 2009, Greenpeace launched an aggressive campaign against Nestlé, accusing the organization of driving rainforest deforestation through its palm oil suppliers. The objective was to damage the brand image of Nestlé and, thereby, force the organization to make its supply chain more sustainable. Prominent cases such as these have led to the prevailing view that sustainable supply chain management is primarily reactive and propelled by external pressures. This research, in contrast, assumes that SSCM can contribute positively to the reputation of (...) an organization as a “good citizen” and, thereby, counter the impression that external stakeholder pressure is the only driver of SSCM. The study draws on Resource Dependence Theory in analyzing the three competing models of the potential stakeholder, SSCM and the corporate sustainability performance relationship. A dataset of 1,621 organizations allows the statistical comparison of these three models. Findings suggest that stakeholder pressure and SSCM both contribute to an organization’s sustainability performance. Thus, supply chain managers will perceive benefits from SSCM other than merely the reduction of risk from reputational damage through stakeholder activism. (shrink)

What drives organisations to engage in socially responsible purchasing initiatives? To investigate this important question, this article uses a case-study approach to examine the context within which supplier diversity programmes have emerged in both the U.S. and U.K. The analysis identifies legislative and policy developments, economic imperatives, stakeholder pressures and ethical influences as forces shaping organisational responses. It reveals important contextual differences between U.K. and U.S. experience and offers an empirical and theoretical explanation of corporate behaviour.

Companies are faced with a choice of which type of power to use in their efforts to persuade their first-tier suppliers to adopt socially responsible procurement practices with key second-tier suppliers. However, we know little about how first-tier suppliers will react to different types of power and which are most effective in encouraging the adoption of socially responsible procurement practices. We are also ignorant of the impact of these practices on first-tier suppliers’ performance. This paper uses bases of power theory (...) to examine the impact of buyer companies’ power usage on first-tier suppliers’ adoption of socially responsible procurement practices with their own suppliers. We surveyed managers responsible for sustainable supply chain management in 156 firms and analyzed the results using structural equation modeling. Our findings show that non-mediated power use influences the adoption of process-based and market-based practices, while mediated power use has no significant impact on the adoption of either type of practice. Additionally, we find that the adoption of market-based socially responsible procurement practices leads to enhanced performance for first-tier suppliers who adopt these practices with their second-tier suppliers. (shrink)

Using a sample of multinational firms in Germany, we develop and empirically examine a model to test the effects of ethical climate and its antecedents on purchasing social responsibility (PSR). Our results show different effects of benevolence dimensions of ethical climate on PSR: employee-focused climate has no effect, but community-focused climate is a significant driver of PSR. The results also show that top management ethical norms and code of conduct implementation impact PSR directly as well as indirectly through ethical climate.

Consumption is essentially an institutional action. While both the formal institutional environment and cultural embeddedness shape consumption, individuals may reciprocally amend the institutional setting through consumption choices that challenge the prevalent institutional constraints. This paper reconciles theoretical and conceptual premises from institutional and practice theory literature to study the sustainability of consumption. Using institutional ethnography as a methodological approach, the study explores the pendulum between embeddedness and agency in shaping the sustainability of day-to-day consumption of necessary goods; and further, how (...) the external institutional environment may interact with human behaviour to contribute towards sustainability. The study finds a hierarchy of informal institutions, each level of which interacts differently with external changes. For example, sustainability is found to be more widespread the more it is embedded in practices, and this is a result of overall institutional development beyond regulation and choice editing. The results also highlight the importance of understanding unintentional sustainability in consumption practices. (shrink)