International Association for Business and Society

15 - 18 March 2001

Conference Program Summaries

Conference Theme: Sustainable Scholarship

(1) FRIDAY 8:30 -- 10:15 AM

A New Normative Core for the Stakeholder Theory(paper)

Sybille Sachs , Edwin Rühli

In this paper we aim to demonstrate that evolutionary theory can make a substantial contribution to a new normative core of the stakeholder theory. We will introduce the different applications of evolutionary theory and analyze the common body of knowledge of these applications. From this research in biology, economics and social sciences we can see that in an evolutionary perspective the interaction between levels of evolution is a key topic and there we can derive a general evolutionary principle. From this multilevel perspective it is now possible to derive normative insights and we outline the possible contribution of evolutionary theory to a normative foundation of the stakeholder theory. We illustrate the implications of an evolutionary normative core in the Shell case.

What Stakeholder Theory is NOT (discussion)

Rob Phillips

In this Discussion Session, I would like to lead a conversation with IABS members, advocates and critics of stakeholder theory alike, regarding what stakeholder theory is NOT and why. This should not be taken as suggesting that either I or those in attendance will be dictating a research agenda. Rather, it should be taken as an opportunity for proponents and critics to clarify misunderstandings as well as indicate shortcomings with an eye toward clarifying the most pressing issues for the theory. A more accurate, but vastly less catchy, title might be "What Stakeholder Theory Doesn't Necessarily Have to Be". Questions will include, but are not limited to: What does it mean to say that stakeholder theory is managerial? Is stakeholder theory too broad? Too narrow? Is stakeholder theory a theory of the firm? Is it a legal theory?

Stakeholder Theory: Developmental History and Future Directions (paper)

Duane Windsor

A Conversation about Values in Stakeholder Theory (discussion)

Monika Winn , Steve Brenner

Balancing Risks and Judging Safe: Ford Explorers and Firestone Tires (paper)

John Danley

Alcoholic Beverage Advertising in Sports Media and Drinking of Alcohol among Teenagers (discussion)

Don Sciglimpaglia , George Belch

Tobacco Advertising: The Case for a Ban (paper)

Anthony Daboub , Edward Hymson

This paper will (1) review the harmful of effects of tobacco, (2) examine the impact of tobacco advertising on children, (3) consider the nature of tobacco as a drug, (4) discuss the legal basis for a ban on tobacco advertising, (5) evaluate the argument that a ban on tobacco advertising violates free speech and is unconstitutional, and (6) examine counter-advertising as a means of neutralizing the effect of tobacco industry advertising.

Fiji Pine, Limited: A Case Study of Long-term Privatization and Stakeholder Conflict (discussion)

Cheryl Van Deusen , Carolyn Mueller

Fiji has been called one of the most promising economies in the South Pacific. Yet like most developing nations, their government is working toward privatizing of most of its government-owned enterprises. Fiji Pine, Limited (FPL), a former government managed asset, was incorporated in 1990 in order to ultimately privatize the valuable forests back into the hands of Fijian citizens who own the forests. FPL's vision is to be Fiji's leading forestry company through commercial excellence in an efficiently managed forest industry - a noble yet unrealized goal. In 1991, management defined three roles for the firm: social, economic and commercial. While attempting to realize their mission, FPL management is currently juggling the various demands of a variety of stakeholders which include the government (the majority shareholder), the forest landowners, the extension (leased) forest owners, FPL managers, employees, contract labor, the labor union, village communities, and external funding agencies, all with conflicting needs and expectations. Recent events by international firms that wish to harvest Fiji's hardwood forests are creating additional conflict among the FPL's stakeholder groups. While outsiders and even many residents of Fiji are led to believe that the source of the crisis can be found in the "racial" and "ethnic" tensions between Fijians and Fijian Indians, we do not believe that is the real cause of the nation's existing troubles. The recent coup, and the coups of the 1980s, are symptoms of a deeper and more significant problem for Fijian leadership. The only way to "fix" the current problems in Fiji is to rethink certain fundamental assumptions that have been made concerning how Fiji should proceed with governance and economic development.

Global Manufacturing and Responsible Business Practices of Nike Corporation

David Boje , Nancy Landrum

We invite your participation as we discuss the challenges associated with implementing a world-wide research project on Nike, Inc. The purpose of our session is to open dialogue on our research proposal as we investigate the following research questions:

(1) How has Nike enacted its espoused Code of Conduct over time?
(2) Does Nike pay a living wage?
(3) Does Nike subcontract with sweatshops?
(4) What is the relationship between Fair Labor Association (FLA) and Workers Rights Consortium (WRC)?

Building Stakeholder Salience Through "Contact": Examining Affirmative Action Through the Lens of Stakeholder Management (paper)

Ray Jones , Tom Zagenczyk

The Influence of Culture on Stakeholder Management: Possible Research Designs (discussion)

Mark Veser

Stakeholder Management Concepts in Family Firms (paper)

Pramodita Sharma

This article brings to the attention of IABS scholars various concepts of stakeholder management as treated in the family business literature, and highlights the differences and similarities in the treatment of these concepts in the two disciplines. It suggests that stakeholder identification is distinct from stakeholder salience and identification should be based on fundamental classification attributes. A start towards developing a classification scheme for identifying internal and external stakeholders of family and non-family firms is made, by using the fundamental attributes of ownership, employment, and family membership.

Stakeholder Salience and Sustainable Strategic Management (discussion)

David Saiia

A vision of a corporate ecology will be discussed initiated with the following points:

Corporate ecology is a way of understanding resource concentration and redistribution in modern society;
Stakeholder theory gives us a starting point to examine the relationships of the actions of the firm and the impact on the community, but does not allow us to properly represent the natural environment as a fully formed stakeholder;
Better understanding of network theory from both the management and ecological perspectives may provide us with better insight into a more complete articulation of a corporate ecology;
Industrial ecology (Graedel & Allenby, 1996) provides some excellent engineering approaches to address some of the technical questions regarding a paradigm of ecologizing, but sustainability can only be achieved by fundamental changes in management philosophy thus necessitating a comprehensive paradigm of corporate ecology.
These ideas will by presented using the context of a project under way in Ecuador. I look forward to a lively discussion and possibly some ideas and possible collaborations developing the idea of corporate ecology and sustainability.

Sleuthing for a Paradigm: An Introspective Look at the Current Trends in Business and Society Research

Natasha Munshi , David Wasieleski , Yiran Zhou , Donna Wood

The workshop's purpose is to put the current state of business and society research into the perspective of normal science (as defined by Kuhn), and assess the field's progress towards paradigmatic development. In particular, the workshop provides a forum through which the corporate social performance framework will be analyzed, in terms of its applicability as the field's dominant paradigm. Moreover, the underlying assumptions of B & S will be discussed in an effort to explore the usefulness of a paradigm for the maturation of our discipline.

(2) FRIDAY 10:30 AM -- 12:00 PM

Getting Past the Paradox of Stakeholder Relationships: Toward a Reflective Management Practice Informed By Stakeholder Learning Dialogues (paper)

Jerry Calton

Aram (1989) identified the "paradox of interdependent relations" as the central concern of the business & society field. Lewis (2000) defines a paradox as a cognitive construct that juxtaposes two apparently contradictory ideas (e.g., doing well while doing good, self-oriented, vs other-oriented, facts vs values) that are also interdependent and interrelated. However, current stakeholder theory does not give scholars or managers the cognitive tools needed to cope adequately with the "messy" problems (Ackoff, 1981) that litter our field of study and practice. Within these "messes" scholars and practitioners must contend with facts that are inextricably intertwined with values. They also must sort out plural perspectives made up of shifting, overlapping, evolving identities and relationships between "self" and "other" that give rise to contested knowledge claims and to a myriad of moral claims and resource demands upon the firm. This paper argues that stakeholder learning dialogues can enable a reflective managerial practice within a pluralist firm, conceived as an interactive learning network. Stakeholder dialogue, by encompassing and building on plural knowledge claims, can help managers and stakeholders get past their paradoxical differences to tap the creative potential of "and/to" thinking and collaborative problem-solving.

The Evolution of Stakeholder Relationships (discussion)

Daniel Greening , Jim Mattingly , Kenneth Evans

The Good, the Bad, and the Activists: Stakeholder Relationships and Shareholder Activism (paper)

Sandra Waddock , Kathy Rehbein , Samuel Graves

Social policy shareholder resolutions have grown enormously in popularity over the past 20 years as a means for activists to target companies exhibiting behaviors or producing products that the activists wish to change. . This study provides preliminary evidence that it is a combination of size and actual company or industry practices that are targeted by shareholder activists. Results indicate that shareholder activists are targeting companies when they produce products that social investors or the activists find problematic and when they are creating concerns about the way they treat the environment. Companies with better customer/product and environmental performance, in particular, can benefit from paying attention to the nature and quality of their products lest they draw negative attention from social activists. Further, specific industries are targeted with respect to employee and community-related practices, creating a need for corporate strategists to stay aware of the possibility that it is possible that both their "good" and "bad" behaviors that to draw activists' attention.

Stakeholder 360: Measuring and Improving the Quality of Corporate/Stakeholder Relationships (discussion)

Ann Svendsen , Robert Boutelier

Case Critique Colloquium

Tim Edlund

The Challenge of Transparency: Pioneering Practice (paper)

Patsy Lewellyn , Jeanne Logsdon

Incorporating Emotional Intelligence Competencies into a Model of Ethical Competencies (discussion)

Judith White

In this session we will explore the possible development of a model of ethical competencies that incorporates Dan Goleman's emotional intelligence competencies and a concept of ethical comportment based in part of the ethic of care and Buddhist ethics and practice. This model would integrate some aspects of virtue ethics and using Kolb's learning styles as a means of teaching and learning the competencies. Initially I will briefly present Goleman's model, Buddhist ethics, and Kolb's learning styles as a starting point for our discussion and exploration.

A Qualitative Analysis of the Roles of Organisational Slack in Environmental Responsiveness (paper)

Frances Bowen

Stakeholders and Organizational Misconduct: A Social Network Analysis Perspective (discussion)

Tammy Mac Lean

The purpose of this session is to discuss the potential integration of social network analysis, stakeholder theory, and organizational misconduct. Social network theory suggests that characteristics of one's social network is an important driver of organizational behavior. This session raises the issue of how stakeholder networks influence organizational misconduct. Specifically, the questions to be explored are (1) do stakeholder networks operate in such a way as to constrain and/or facilitate organizational misconduct and (2) how do we define the relevant stakeholder network?

IABS Book Salon

Bill Smith , Lori Ryan , Ingrid Townsend

Three IABS members will lead discussions of three unique and fascinating books. We will begin with three small groups, one devoted to each of three books. Discussions will focus on the themes and characterizations in each book, and how they can be used to extend and illustrate concepts in our courses. Following these breakout sessions, a collaborative session will take place, where we will seek to generalize what the groups have learned to using literature in general as a teaching tool. Other books may be discussed as well. The books will be: The Poisonwood Bible (Barbara Kingsolver), The Fountainhead (Ayn Rand), and Frankenstein (Mary Shelley). Participants will be expected to be familiar with their chosen book, and are encouraged to contact a book's facilitator before the Sedona meeting with ideas and comments.

Should We Teach Business Students that Utilitarianism is an Appropriate Basis for Ethical Decision-Making? (discussion)

Peter Dean , Max Douglas

How Films Can Contribute to Student Learning in Business & Society Courses (discussion)

Marc Orlitzky , Diane Swanson

In this Discussion Session, we will present a list of videos for use in Business & Society courses. We will discuss the advantages and disadvantages of using current, popular shows, traditional documentaries, and older movies. Subsequently, we will have a dialogue on different scenarios of how this material might be used effectively in the classroom. One of the takeaways of this session will be an interactive WWW site containing the material (web address announced at IABS session). The website will be updated regularly and contain some teaching notes as well.

The Importance of S.I.M./Business Ethics Courses in the 21st Century Business School (discussion)

Mike Goldsby , Martin Nyberg

Defining Corporate Performance: The Failure of the Professorate (discussion)

Steve Brenner , Phil Cochran

(3) FRIDAY 1:30 -- 3:15 PM

An Institutional-Stakeholder Model of Conflict Escalation (paper)

Michael Johnson-Cramer

The Quasi-Organization: A Nexus of Stakeholder Contacts Approach (paper)

Steve Frankforter , Vanessa Hill

Collective action and psychological contract in stakeholder relations (discussion)

Yiran Zhou

Employees as Stakeholders: An Examination of Person-Organization Fit and Corporate Social Performance (paper)

Inga James

Corporate Social Reporting in the Auto Industry: The United States and Japan (paper)

Charles Koeber , Richard Wokutch

This session explores corporate environmental and social reporting by Japanese and U.S. automakers. It identifies some of the similarities and differences in reporting between U.S. and Japanese automakers and explores recent trends in environmental and social reporting in the industry.

How to Measure Business Ethics Activity Around the World: Searching for a New Research Instrument (discussion)

Mark Schwartz , Jim Weber

Global CSP Strategies: A Cultural Perspective (paper)

Mark Veser , Natasha Munshi

Degree of Internationalization and Corporate Environmental Performance: Is There a Link? (paper)

Jim Kennelly , Eric Lewis

Assessing the cross-cultural dimensions of the Women as Managers Scale: A survey of the United States and Chilean cultures (paper)

Mark Cordano , Crystal Owen , Carmen Muñoz , Robert Scherer

Is there a Corporate Responsibility to Address Wealth Distribution in the Global Economy? (discussion)

John Kohls , Sandra Christensen

Demonstration of Two Multimedia Cases: Shell Oil in Nigeria, 1995; The Transformation of Shell, 1994-1999 (discussion)

Anne Lawrence

The purpose of this session is to demonstrate two interactive, multimedia teaching cases in business ethics, developed under the auspices of the Council on Ethics in Economics in Columbus, Ohio. The first case, "Shell Oil in Nigeria, 1995," focuses on the 1995 execution of Nigerian human rights and environmental activist Ken Saro-Wiwa, Shell's involvement in these events, and the consequences for the company. The second case, "The Transformation of Shell, 1994-1999," chronicles the internal and external changes made by Shell over a five-year period in response to its stakeholder critics. Both cases are designed for delivery to students and faculty over the Internet. They include a wide range of supplementary material, including videotaped interviews with Shell executives, stakeholder critics, and academic experts; links to relevant Web sites; maps, graphics, and photographs; and numerical data. The interactive multimedia format has been designed to enable students to examine a very complex situation from the point of view of multiple stakeholders, including both Shell and its critics.

Teaching Management Mindfully: The Role for Business in Society Courses

Sandra Waddock , Judy Clair , Larry Lad

Mindfulness, we argue in this workshop, demands the full presence of individuals in their jobs, organizations, and. The world tomorrow's leaders will face demands leaders who can manage mindfully and with wisdom, that is, with respect for the consequences of their decisions and actions. The goal of this workshop is to explore ways that we, as teachers of business in society, can foster such mindfulness by inviting our colleagues to bring their ideas about teaching management mindfully to the workshop to share in small groups with others.

A Coffeehouse Discussion of "The Lexus and the Olive Tree"

Melissa Baucus , Steve Brenner , Craig Fleisher , Bryan Husted , Jeanne Logsdon , Karen Paul , Kathy Rehbein , Doug Schuler

(4) FRIDAY 3:30 -- 5:00 PM

Experiments in Sustainable Community Development: Capturing Lessons from the Arts, Humanities, and Cultural Organization Sector (discussion)

Larry Lad , Marsha Semmel

EH&S Managers' Environmental Dialogue Sessions: Preliminary Results and Suggestions for Future Research (paper)

John Milliman , John Grosskopf , Virginia Winters

EH&S managers face the twin challenge of leading corporate environmental practices while seeking to align their programs with their organization's core business needs. In addition, EH&S managers must meet these challenges while often being perceived as a regulation driven support function with relatively little power. In this paper we examine how EH&S managers from different organizations in Denver meet to discuss ideas and solutions to the mutual challenges and issues they face. In essence, these environmental dialogue sessions serve as a knowledge management tool to enable EH&S managers to import new ways of thinking and practices in their organizations. Interviews were conducted with EH&S professionals from a variety of organizations to obtain their viewpoints on the effectiveness of these sessions. Implications for research and practices on these type of dialogue sessions are discussed.

Envisioning a Sustainable Society: An "Ideal Type" to Guide Societal Change (discussion)

Gordon Rands , Barbara Ribbens

Ethics Accountability and the Academy: Creating the Conditions for Sustainable Scholarship (paper)

Wesley Cragg

The concept of accountability is no stranger to academics. Most recognize that universities as institutions have an obligation to account rigorously for their financial expenditures. There is less agreement when the focus of discussion shifts to the content of teaching or research where issues of autonomy and academic freedom enter the debate. Neither has the concept of accountability been linked to issues of sustainable scholarship. In this presentation, I make this link focusing on the issue of accountability and drawing parallels between the private sector and the academy.

Nonmarket Actions and Instrumental Stakeholder Theory: Exploring the Compatibility of Ethics and Strategy Research

Bryan Husted , John Mahon , Brian Shaffer

Teaching to Motivate: Effecting Change for the Better in our Business Students

Marc Lampe , Ann Buchholtz , Ed Epstein , Dan Gilbert , Jim Weber

We, as teachers of classes in Business Ethics and Business and Society, have the opportunity and privilege, through our students, to have a positive effect on the future of our society and world. But, successfully teaching undergraduate business ethics to business students with the goal of raising the level of their moral behavior is a challenging task. This panel and workshop participants will endeavor to answer the question: "How may those of us who teach ethics to college business students motivate and effect change in our students to increase the likelihood that these students will behave ethically in the future?" With rapid technological advances and increasing complexities of our society and the global village the stakes of our efforts have never been greater.

Cheating in Cyberspace: Moral Intensity and Perfect Competition as Explanatory of Ethical Abuses in E-Business (paper)

Linda Sama , Victoria Shoaf

In the face of growing evidence that long-term payoffs accrue to firms that engage in highly ethical conduct and the resounding approbation of stakeholders when the good deeds of socially responsible organizations are publicized, there appears, simultaneously, the paradox of unethical firm behavior in the context of e-commerce. Anecdotal reports of incidents that signal an ethical collapse are rampant in the commercial press and a fair amount of hand wringing has ensued over what the remedies should be. Debate centers on the degree of public regulation, if any, that might be appropriate for this new medium and how such regulation could possibly keep pace with the rate of change we are witnessing in cyber technology. A more interesting question, however, might be one that asks if, in fact, doing business on the web is a significantly different undertaking than traditional forms of commerce? And if so, how is that difference relevant to what is perceived as an erosion of ethicality in making business decisions? Answers to these questions contribute to an understanding of the phenomenon of interest, namely the ethical abuses that are reportedly characteristic of many e-businesses or dot.coms, and to the framing of solutions that are targeted at the true cause of these abuses. With this in mind, this paper poses the following queries:

(1) What has the literature identified as variables associated with unethical conduct in market transactions?
(2) What are the critical differences between conducting business on the web and conducting business traditionally?
(3) How might these differences be associated with what is perceived, at least, as a less ethical business climate in cyberspace?
(4) Given our investigation of the previous three questions, what remedies might be proposed to improve the ethical decision-making of e-business, and how might we recommend a research agenda?

Moral Decision Making: A Pragmatic Framework (paper)

Rogene Buchholz , Sandra Rosenthal

Individual Factors which Contribute to the Nature of Principal-Manager Relationships: Applying Moral Reasoning to Stewardship Theory (discussion)

David Wasieleski

The ultimate goal of this session is to discuss options for designing propositions regarding the effects of moral reasoning upon managers' and principals' decisions to enter into an agency or stewardship relationship. An extension to the stewardship model (developed by Davis, Schoorman, and Donaldson, 1997) will be offered in an effort to show how individual cognitive dimensions may influence the choice of relationship.

Business Ethical Responsibility: Looking for 'Validity' Criterion to Business (paper)

Elsa Gonzalez

Corporate Social Performance and Generalizability Theory: An Outcome-Based Measure of Stakeholder Satisfaction and its Measurement Implications (paper)

Mark Orlitzky

Can Communication Help What Ails Corporate Social Responsibility? (discussion)

Cynthia Clark

This discussion session will explore the ways in which corporate social responsibility and performance can be improved. Some of the ideas for improvement include corporate communication, measurability, reputation and learning from CSR's history. Come share your thoughts!

The End (and Beginning) of CSR (paper)

Craig VanSandt

Studying the Effects of Actual Knowledge of a Firm's Corporate Social Performance on Organizational Reputation and Attractiveness (paper)

Kirstin Backhaus , Brett Stone

(5) SATURDAY 8:30 -- 10:15 AM

Ties that Grind? An Empirical Test of a Typology of Problems in Social Contracting (paper)

Pursey Heugens , Samuel Kaptein , Johannes Van Oosterhout

Taking Social Contracts Seriously (paper)

Ben Wempe

Ethical Dissonance: The Psychological Impact of Value Conflicts (paper)

Jeff Thompson

Is There Justice and Equity in Entrepreneurship? A Stakeholder Needs and Benefits Distribution Assessment (Act Two) (paper)

Laquita Blockson , Sammie Robinson , Dale Fitzgibbons

Last year, we presented a theoretical framework that explored the relationship between social responsibility/ethics and entrepreneurship, particularly at the small businesspersons’ association level. This year, we enhance and support our research with empirical data. The purpose of our study is to assess how access to and a need for resources by an organization relate to its ability and its willingness to meet its stakeholders’ needs. We attempt to determine whether differences exist among U.S. small businesspersons’ associations in how each association obtains resources, generates resources, and distributes resources to its membership. We also attempt to determine whether and to what degree these differences impact (positively or negatively) how each association seeks to meet its external stakeholders’ needs.

Corporate Philanthropy: The Agency Theory Perspective (paper)

Barbara Bartkus , Bruce Seifert , Sara Morris

The Evolving Relationship Between Philanthropy, Social Responsibility, Corporate Citizenship, and Mutual Gain Frameworks (paper)

Steve Waddell

Collaborations involving the organizational sectors of business, government and civil society are complex inter-organizational structures. Understanding and developing them effectively requires drawing from several theoretical traditions. This paper reviews those that are particularly relevant within five groupings: social integration, sectoral analysis, inter-organizational, business and society, and large scale change theories. Within the business and society grouping a new model is proposed to describe the relationship between philanthropy, corporate social responsibility, corporate citizenship, and mutual gain perspectives.

Corporate Philanthropy, Social Responsibility, and Crises Situations: An Examination of Possible Motivations for Corporate Philanthropy in the Aftermath of Hurricane Floyd (paper)

Brad Geiger , J. Stephen Childers

Hurricane Floyd made landfall in North Carolina on September 16, 1999. The flooding that resulted from the storm is considered by many to be the worst disaster in the history of North Carolina. The purpose of this paper is to examine corporate social responsibility in the context of small business response in the aftermath of Hurricane Floyd. An examination of the research and writings in the area of corporate social responsibility is conducted to provide theories that may explain the reactions of the small business owners.

The Antecedents and Consequences of Corporate Philanthropy: Institutional and Economic Pressures (paper)

Paul Dunn

This session will present the results of an empirical study of the factors that cause organizations to develop professional donation programs, and the extent that a professional program has on the level of contributions made by the firm. The professionalism of the donation program of 206 Canadian companies is strongly related to three institutional factors: (a) the coercive pressure the CEO has over the decision-making process, (b) the normative pressures that result from Board of Director interlocks with charitable organizations, and (c) the cognitive awareness of the needs of charities that managers develop through their volunteer work with charitable organizations. A second finding is that the size of an organization's charitable contributions is positively related to the professionalism of the donation process and negatively related to the economic constraints imposed by debt covenants restrictions. Finally, the results show marked differences concerning the professionalism of the donation programs developed by public and private companies, and among private companies that are owned by Canadian entrepreneurs, U.S. multinationals and other foreign multinationals.

Work and Family Balancing Measures and Society: Results from a Survey Conducted in Canadian (Quebec) Firms (paper)

Diane-Gabrielle Tremblay

American Indian Enterprises and Social Responsibility: Dependence to Self-Governance (paper)

Helen Muller

Are You Being Served? The Gay-friendliness of the Financial Services Industry in the UK (paper)

Kate Blackmon , Frances Bowen

A Stakeholder Analysis of Affirmative Action in America's Top Athletic and Academic Universities (discussion)

Audrey Murrell , Tom Zagenczyk , Ray Jones

Toward a Theory of Organizational Innovation and Integrity Capacity (paper)

Scott Williams , Joseph Petrick

This theoretical paper provides an interactionist model of organizational innovation and integrity capacity that leads to three research hypotheses. Because contemporary organizations are facing constant pressures to simultaneously innovate and be held accountable for moral performance, a comprehensive model that addresses the creativity and ethics issues at the individual, group and organizational levels, as well as, the environmental influences that affect their interactions is a valuable addition to the organizational innovation and organizational ethics literatures. The practitioner applications of simultaneously developing organizational innovation and integrity capacity are discussed.

The Connection Between B&S and Quality Management in Service Industries (discussion)

Mary Mallott

Improving the Health of Organizations: Healthcare and Business Organizations as Learning Organizations (paper)

Tara Radin

Ethical Challenges: Should Business Organizations be Responsible for the Provision of Healthcare? (discussion)

Sandra Christensen , John Kohls

AIDS Drugs Symposium: The Production and Distribution of Drugs in Developing Countries: An Intellectual Property Debate and A Stakeholder Debate

Robbin Derry , Virginia Gerde , Leon Levitt , Natasha Munshi

(6) SATURDAY 10:30 AM -- 12:00 PM 2

Outside Directors and Corporate Social Performance (paper)

Paula Silva , Henry Tosi

The Role and Potential of the "Forgiveness Factor" in the Workplace: Implications for Business Ethics Thought and Research (paper)

Archie Carroll

The overall purpose of this paper is to situate, discuss, and analyze the topic of "forgiveness" within the body of business and society thought. In particular, this topic will be described to be a part of the business ethics literature and the recent initiatives in the general topic arena of spirituality in business. It should be noted that forgiveness has recently (1990s) become the subject of social science research; however, a careful literature review shows that very little if anything of a theoretical or empirical nature has been written about forgiveness, or the "forgiveness factor," in professional organizations such as businesses, government and academe. A major goal of this paper is to introduce this topic to our body of literature and to explore the possibilities it may have for enhancing theory and research in the Business and Society/Business Ethics fields.

How Issues Management Contributes to Corporate Social Performance-Revisited (paper)

Pursey Heugens , Frans Van Den Bosch , Cees Van Riel

Growth of Executive Stock Option Plans: Implications for Stakeholder Theory (discussion)

Phil Cochran , Melissa Baucus , Tom Comstock , Joe Kane

Stakeholder Responsibility in the Global Arena: Implications for Labor Standards and Economic Development

Sandra Rahman , Sandra Waddock , Laura Hartman , Richard Wokutch , Larry French , Maureen Scully , Bryan Husted

Integrating Stakeholder Theory and Corporate Ecology: The Sustainable Growth Corporation (discussion)

David Saiia , Kelly Strong

In this session, lead by David Saiia and Kelly Strong, we would like to discuss the proposition that in order to be sustainable; organizations need to produce mutually beneficial outcomes and outputs for society. We suggest that a stakeholder framework can be used to represent societal needs, and identify the types of outcomes and outputs that each stakeholder group might value in a typical organization. However, most commonly, organizations attempt to align the interests of top executives with those of the shareholders. Activities for mutual benefit for other stakeholder groups are subordinate to ownership. The failure to structure incentives that require executives to respect the interests of other stakeholder groups poses a challenge to long-term systemic sustainability. Therefore, we would like to explore a new organizational form termed the "Sustainable Growth Corporation" which we argue is more in line with organizational ecologizing paradigms than current forms. We envision the Sustainable Growth Corporation as a community based organization that is broadly activist in social issues important to stakeholders, compensates executives for satisfying the expectations of a plurality of stakeholder groups, and trades greater balance with the community and systemic sustainability for more modest financial growth opportunities. We invite your input and observations in this discussion.

Stakeholder Integration and Corporate Sustainability: A Dynamic Capability Perspective (paper)

Sanjay Sharma

This paper develops a dynamic model of stakeholder integration as a catalyst for corporate sustainability strategy and competitiveness. Stakeholder integration is represented as a dynamic capability that enables businesses to integrate the objectives of their economic stakeholders with the concerns of their environmental and social stakeholders within the domain of sustainability. The building blocks of a dynamic capability of stakeholder integration are a unique combination of organizational capabilities of boundary spanning, higher-order learning and sustainability commitment. Stakeholder integration, in turn, leads to competitively valuable organizational resources including social capital and competitive imagination as well as cost reduction and differentiation benefits.

Theorizing the Response of Business to the Environmental Movement: Lessons from Studies of Organizational Symbolism (discussion)

Linda Forbes , John Jermier

Given the heightened public pressure on commercial and other organizations to play a positive role in environmental protection and restoration activities, it is not surprising to find that the natural environment has become a key strategic issue and that environmental management strategies often extend beyond mere compliance with legal requirements. In this paper, we argue that the integration of culture studies and institutional theory, through a focus on symbolic action, enables a more theoretically-informed, critical analysis of voluntary organizational greening than has previously existed. Using the lens of symbolic organization theory, the concept of a green ceremonial facade is introduced. This concept is developed as a description of what may well be the modal form of contemporary organizational greening. We conclude, however, by arguing that even seemingly superficial symbolic action may have effects that lead toward authentic greening.

The Move to Environmental Services: Understanding Environmental Strategy Through the Lens of Cognitive Dissonance (paper)

Sandra Rothenberg , Stelios Zyglidopoulos

Green strategies are characterized by an inherent contradiction. A critical aspect of green strategies is reducing the impact of an organization and its products on the environment. Moreover, this reduction means going beyond the notion of simple pollution control. At the same time, firms are beholden to their stockholders to increase stock value, not only through increasing margins, but also by encouraging consumption of their products. Theories of human behavior argue that individuals would seek to avoid or reduce such inconsistency. Such is the basis of the theory of cognitive dissonance, which argues that when there is a contradiction between behavior and cognition, parties will be motivated to restore cognitive consistency in one of three ways. In this paper, we use the concept of cognitive dissonance to understand how firms balance cognition and behavior within the framework of their environmental strategies. By understanding the paths for dissonance reduction, and the motives for choosing one path over another, we develop propositions regarding how firms make strategic choices with regard to environmental behavior.

Theoretical and Empirical Research in Business Ethics II: Continuing the Dialogue of Future Opportunities

Dawn Elm , Jim Weber , Doug May

The discussion and workshop sessions in business ethics research will focus on understanding current theoretical models, examining the existing empirical work at the micro and macro levels of analysis, and discussing methodological challenges and opportunities in the field. It is intended that these sessions will serve as a setting for developing new research agendas in business ethics, either in the generation of new theoretical models, new empirical studies, and/or in the development and use of unique research methodologies. Thus, while the session facilitators do not wish to slight traditional research topics such as ethical decision making and ethical climates, the intent of these sessions is to generate new ideas that can move business ethics research forward in fruitful directions.

Don't Get Stuck in the Middle: A Curvilinear Bridge Spanning the Great SRI Divide (paper)

Michael Barnett , Robert Salomon

The central debate in socially responsible investing (SRI) concerns the relationship between financial and social performance. Opponents of SRI argue for a negative association, while proponents claim either a positive association or no relationship at all. We bridge this long-standing divide by operationalizing the screening intensity of SRI funds as a continuous variable (number of screens used). We find that as the number of social screens used by an SRI fund increases, financial returns decline at first, but then rebound as the number of screens reaches a maximum. Thus, we find a curvilinear relationship between financial and social performance, suggesting that these competing hypotheses are, in fact, complementary.

Testing a Model of Determinants of Corporate Political Strategy Formulation (discussion)

Jim Mattingly , Daniel Greening

The purpose of this discussion workshop is to elicit a broad range of perspectives in developing a research plan to test a model of determinants of corporate political strategy formulation. It is apparent that firms differ in both the nature and extent of political activities in which they choose to participate. This might be due to various dynamics of governmental regulation, differing industry conditions, or tendencies of specific firms to respond to social or market pressures differently than their rivals, among other possible explanations. The study of corporate political strategy is aimed at explaining these and other differences in firms' political behavior. Previous research in corporate political behavior distinguishes conditions that determine whether firms will be politically active, but explains neither the nature of the political response, the causes, nor the consequences of that strategic choice. The discussion session is aimed at generating participative discussion regarding theoretical refinements to the proposed model and empirical methodologies that might be used to advance our understanding of this topic.

Strategic Philanthropy: "All Hat and No Cattle"? (paper)

Sara Morris , Bruce Seifert , Barbara Bartkus

Corporate Responses to Climate Change: The Role of Internal Scientists as Institutional Entrepreneurs (paper)

Sandra Rothenberg , David Levy

Because the automobile industry plays a crucial role in mitigation of greenhouse gases, successful policy requires not just the assent, but the active cooperation of this sector. Such cooperation, however, requires some institutional acceptance that climate change is indeed a significant risk. In this paper, we outline the role of institutional pressures in the development of corporate perspectives of climate change. Although institutional theory generally predicts convergence, or isomorphism, among organizational actors, theoretical arguments will be developed here to account for both homogeneous and heterogeneous corporate perceptions of and responses to climate change science. In this paper we focus on the transformation of institutional pressures through corporate scientists, acting as boundary spanners, to explain industry responses to climate science and scientific assessments.

(7) SUNDAY 8:30 -- 10:15 AM

Stakeholder Governance: Initial Steps Towards a Contingency Theory (paper)

Pursey Heugens , Johannes Van Oosterhout

Common Agency Applications in Governance (paper)

Shawn Berman , Heather Elms

Camping on the Governance Seesaw: The Argument for Minimal Governance (discussion)

Ann Buchholtz , Deborah Kidder

In this discussion session, we will propose a model that integrates the disparate nature of agency and stewardship theories. We will draw upon social exchange theory to show the impact of shared board/CEO tenure, board involvement and psychological contract violation on the agency/stewardship relationship. We will then explore the demands an increasingly dynamic environment places on the corporate governance equation. Finally, we will use emergence theory to suggest repercussions the board/CEO relationship might have on other relationships within the firm. In so doing, we will draw upon the concept of optimal trust (Wicks, Berman, & Jones, 1999) to suggest that firms should exert "minimal governance." Hedberg, Nystrom, & Starbuck ("Camping on Seesaws, ASQ1976) argued that firms should avoid the ends of continuums because the middle ground provided the benefits of each end while minimizing the costs incurred. Building on their arguments, we explore how minimal control coupled with minimal trust is the optimal formula for the design of the board/CEO relationship.

Developing a Stakeholder Focus in Board Governance: A Study of Boards of Directors and Economic Development in Pittsburgh (paper)

Ray Jones , Kim Needy , Dennis Slevin , David Cleland , Kevin Creehan

Globalization Derailing? Multinational Investors' Response to the1997 Denial of Fast-Track Trade Negotiating Authority and the 1999 Failed WTO Seattle Ministerial Talks (paper)

Joanne Oxley , Karen Schnietz

Towards Understanding Corporate Social Responsibility Orientation in Australia (paper)

Leeora Black

Carroll's (1979) four-part classification of corporate social responsibility as a pyramid building from minimal categories of economic and legal through to ethical and then philanthropic was used as the basis of empirical research aimed at understanding corporate social responsibility in Australia. This is a useful framework for understanding CSR in Australia, however, managers in this study described corporate activities that go beyond the minimum as being either philanthropic or strategic, and with strategic regarded as best practice. A revised model of Carroll's classification is presented.

Toward Global Eradication of Corruption (paper)

Duane Windsor

Public Policy for New Venture Funding: An Empirical Examination of Anglo-American and Nordic Approaches (paper)

Jeff Gale , Bill Martello

Sustainable Learning: Integrating Learning into our Teaching

Mary Mallott , Dan Gilbert , Carolyn Mueller , Kate Rogers , Cheryl Van Deusen

Conversational Narratives: Oral history as 'new' methodology in the construction of Business and Society Knowledge

Kathy Brewer

Corporate Social Responsibilities to Health Care

Gary Mangiofico , Jyotsna Sanzgiri , Diane Swanson

During this session, participants will be invited to outline a research agenda for responsibilities to health care across interrelated levels of analysis. To ground the discussion, we will break out into focus groups and analyze some case scenarios involving one or more levels of health care. Subsequently, participants will regroup to map an agenda for grounded theory. We see this strategy as more productive han narrow compartmentalization. For one thing, we anticipate that our collective efforts may result in a symposia on integrative health care at future conferences.

(8) SUNDAY 10:30 AM -- 12:00 PM

A Model Identifying the Message Sent and the Message Received: Sorting the Cross-Cultural Firm/Stakeholder Discourse on Child Labor (paper)

Sandra Rahman

A Normative Analysis of Donaldson's Framework for Ethical Decision-Making in Handling Cross-Cultural Conflicts of Ethics: When is Different Just Different, When is Different Just Wrong, and When is Right Right (But for the Wrong Reasons)? (discussion)

Brad Geiger , Jack Engler

With the globalization of the economy becoming the driving force in today's business climate, the realization of problems associated with differing ethical standards is becoming more and more prevalent. It seems that the days of using the old adage "When in Rome, do as the Romans do" have long since passed us. What is required now is an ethical decision-making rule that acknowledges the obvious ethical differences between countries and cultures, yet does not fall into the realm of ethical relativism. A rule or set of guidelines that would help managers make those decisions concerning conflicting ethical standards or norms would be invaluable for the multi-national or global corporation. One such decision-making framework for cross-cultural ethical concerns has been offered by Donaldson (1989, 1996). His framework is centered on "Three Guiding Principles" that can guide the manager in these situations. Respect for core human values, respect for local traditions, and the recognition that context matters are the three principles. Along with these principles, he recognizes that there are two conflicts that carry some moral weight in his framework. He proposes that we ask two questions to determine whether or not a business practice is acceptable. These questions are 1) does it violate a core human value? and 2) can business be conducted without this practice? According to Donaldson, if the answer to both of these questions is "no" then the act is accepted as moral. We believe that his basis for making an ethical decision, in this case, is flawed. In this paper, we look to examine his framework from a more philosophical and less instrumental economic basis. We believe that the questions of concern that Donaldson asks managers to consider are not, in fact, morally relevant decision-making criteria. By viewing this situation from the light of normative philosophy, we critique his algorithm as well as offer some more morally relevant criteria upon which to base such a decision. It is only through the use of these 'normative factors', both deontological and teleological, that people can come to the correct moral decision through the correct means. This is an important work in our field because Donaldson's algorithm is widely used in educating business students at both the undergraduate and graduate level, as well as for managers (the article was published in the Harvard Business Review). If, in fact, this algorithm is flawed, the field needs one that comes to the correct decision through the correct method. This paper is a first attempt on our part at coming up with such a decision-making rule.

Implementing Life-Cycle Oriented Environmental Management: Some Preliminary Evidence From Europe and the United States (paper)

Mark Sharfman , Teresa Shaft , Robert Anex , Thomas Sigerstad

The Cult of Homogeneity and Assimilation: An Ethical Deconstruction of the HRM Fit Literature

Marc Orlitzky , Diane Swanson

This Workshop is concerned with the ethical implications of the fit literature in HRM. The Workshop will start with a brief overview of the literature. The "take-away" outcomes for the Workshop participants will be a reading list and a Workshop discussion of a research agenda for the interface between the HR fit literature, business & society research, and ethics. (Some of the articles on the reading list may be new to IABS members because the reading list contains primarily articles from HRM, OB, and psychology.)

Taking Friedman Seriously: Maximizing Profits and Social Performance (paper)

Bryan Husted

In Search of Normative Relational Wealth: Examining the Role of Individual Values as a Moderating Influence (discussion)

David Wasieleski

This discussion session seeks to explore the possible normative aspect of the newly developed concept of relational wealth. Relational wealth rests on the notion that a firm is comprised of stakeholder relationships both internal and external to the firm, and these interactions are valuable to the organization itself. Specifically, this study examines where exactly individual values manifest themselves in the relational wealth model and how these personal values moderate the worth of relational wealth to a company.

What Can We Learn from the Current Dispute Between Accounting Firms and the SEC?: Issue Life Cycle Analysis (paper)

Virginia Gerde , Craig White

We apply the issue life cycle model to analyze the dispute between the Securities and Exchange Commission (SEC) and the Big Five accounting firms concerning auditor independence when the firm provides audit services to the same client to whom it provides consulting and other non-auditing services. This general model facilitates the study of the beginning of an issue and through predictable stages of political action, government intervention, and legal implementation. We use the frameworks of the macro-environment of business, stakeholder theory, and the issue life cycle to examine the changes in the environment, the stakeholders and their responses, and the developments of the new rules governing auditor independence. Although this issue followed a sequential path, in a larger context it is cyclical. Various strategies were observed, and lessons from the experience can help other industries as well as the accounting industry to improve issues management.

Prolegomena to Any Future Theory of Business Ethics

Ben Wempe

A Stakeholder Analysis of Technology Misuse Policies (discussion)

Michael Johnson-Cramer

The Internet and Stakeholder Mobilization (discussion)

David Jacobs

Beyond Paperless: Internet Surveys of Ethical Issues (discussion)

Elizabeth Scott

In this discussion session, we explore common research issues such as protection of human subjects, sample selection, non-response bias, social desirability, and survey administration in light of the current technologies available for internet surveys. Sample surveys will be used as part of the discussion process.

A Single Cell in a Global Marketplace (paper)

Tara Radin