CSR website disclosure: the influence of the upper echelons

2019 ◽  
Vol 32 (2) ◽  
pp. 421-455 ◽  
Author(s):  
Patricia Everaert ◽  
Lies Bouten ◽  
Annelien Baele
Keyword(s):  
Personal Characteristics ◽  
Ethical Ideology ◽  
Upper Echelons ◽  
Content Type ◽  
Upper Echelons Theory ◽  
Corporate Websites ◽  
Phone Calls ◽  
Stakeholder View ◽  
Drivers Of Csr ◽  
Csr Disclosure

Purpose Using upper echelons theory (UET), the purpose of this paper is to unravel the influence of a CEO’s ethical ideology on the presence of corporate social responsibility (CSR) disclosure on corporate websites. It also considers the CEO’s perception of the importance of CSR (i.e. the extent of the CEO’s detachment from the stockholder-oriented logic and attachment to the stakeholder-oriented logic). Design/methodology/approach First, a survey was sent to CEOs of large unlisted Belgian companies. Its intention was to assess CEOs’ ethical ideology along the idealism and relativism dimensions and their perceptions on the importance of CSR (PRESOR-detachment-from-stockholder view; PRESOR-attachment-to-stakeholder view), and to gather some demographics. Second, a content analysis of corporate websites was conducted so as to classify companies as being either CSR disclosing or non-disclosing. Third, the annual accounts of these corporations were investigated and follow-up phone calls were conducted to obtain data on managerial discretion (MD). Findings CEOs’ ethical ideology influences the degree to which they detach from the stockholder-oriented logic and attach to the stakeholder-oriented logic. Moreover, when MD is high, the degree of these CEOs’ attachment to the stakeholder-oriented logic is the factor that influences the presence of CSR disclosure on their corporate websites. Finally, CEO’s idealism indirectly influences the presence of CSR disclosure through the effect of idealism on the degree to which CEOs attach to the stakeholder-oriented logic. Originality/value This paper shows that, when MD is high, CEOs’ values and perceptions influence CSR disclosure decisions. This study thereby enhances our knowledge regarding the internal drivers of CSR disclosure practices and offers UET as a lens through which the importance of CEOs’ personal characteristics in the decision-making process might be further explored.

scholarly journals Muslim CEO, women on boards and corporate responsibility reporting: some evidence from Malaysia

2019 ◽  
Vol 10 (2) ◽  
pp. 274-296 ◽  
Author(s):  
Absdulsamad Alazzani ◽  
Wan Nordin Wan-Hussin ◽  
Michael Jones
Keyword(s):  
Gender Diversity ◽  
Annual Reports ◽  
Upper Echelons ◽  
Board Diversity ◽  
Content Type ◽  
Csr Reporting ◽  
Upper Echelons Theory ◽  
Women On Boards ◽  
And Gender ◽  
Csr Disclosure

PurposeVery limited research has been devoted to answering the question of whether the religious beliefs of the upper echelons of management and gender diversity have any impacts on the communication of corporate social responsibility (CSR) information in the marketplace. This study aims to fill the void in the literature by posing the two research questions: first, does the CEO religion affect a firm’s CSR behaviour?; second, do the women on the boards influence CSR reporting?Design/methodology/approachThe authors performed the tests on a sample of 133 firms listed in Bursa Malaysia that have analysts following using a self-constructed CSR disclosure index based on information in annual reports in 2009. A total of 23 per cent of the sample firms have Muslim CEOs, and women made up only 8 per cent of board members.FindingsThe authors find that Muslim CEOs are significantly associated with greater disclosure of CSR information. The authors also find a moderate relationship between board gender diversity and CSR disclosure. This is probably because of insufficient number of women on boards.Research limitations/implicationsThe disclosure index is based on unsubstantiated CSR information provided in annual reports, and the authors examine only two aspects of board diversity, namely, Muslim religiosity and gender mix.Originality/valueThis study advances the research on upper echelons theory by illuminating the importance of religious value in influencing the CSR behaviour of corporate leaders. This has been largely overlooked because of lack of data.

Asian football: how corruption disrupted marketing value in the game’s largest fan market

2020 ◽  
Vol 16 (5) ◽  
pp. 585-614
Author(s):  
Muralee Das ◽  
Susan Myrden
Keyword(s):  
Organizational Behavior ◽  
Corporate Strategy ◽  
Personal Characteristics ◽  
Strong Impact ◽  
Strategic Decisions ◽  
Content Type ◽  
Governing Body ◽  
Upper Echelons Theory ◽  
Academic Level ◽  
The Impact

Theoretical basis This case is focused on the allegations of corrupt practices within the strategic leadership at the board level of an international sports organization – the Asian Football Confederation (AFC). The theoretical premise is that the practices and decisions of the AFC’s leadership will have a profound impact on the AFC’s performance. However, because the AFC is the continental governing body, the impact is theorized to be far larger, across an entire industry. In writing the case, the authors were guided by upper Echelons theory (UET) (Hambrick and Mason, 1984; Hambrick, 2007; Hambrick et al., 2015), which argues that an organization’s strategic direction is directly influenced by its leader’s values. The authors selected UET for the theoretical framework, as it considered a spectrum of factors from industry, leader characters (values), their choices and the results of their actions. Such a comprehensive theory aligned with the complexities of the AFC and its leadership. In constructing the case roadmap using UET, the authors first adopted an ethnographic methodology. This was motivated by the fact that one of the authors had been embedded for many years as part of the leadership team at the AFC. His career work notes based on direct interactions and observations of these leaders helped in two ways: to identify the complex set of personal characteristics of these leaders (i.e. background, their careers outside football and financial standing) as they originated from 47 different nationalities. UET refers to these as observable factors to better theorize the hidden intentions of their alleged corrupt behaviors. UET identifies this second set of non-observable factors as psychological factors. These two different sets of observations combined helped to theorize their drivers, intentions and strategic decisions (options). For the second methodology, the authors accessed archival, publicly available media news and reports to understand the consequences of their actions to the AFC and the Asian football industry. This completed the final parts of the UET framework (Yamak et al., 2014). Research methodology This case relied on information that was widely reported within international media, press announcements by various organizations, published decisions by tribunals and publicly available information on the AFC. All of the names and positions in this case are actual persons. Case overview/synopsis This case focuses on the role and influence of the AFC as the Asian football governing body. The AFC is a member of the world football governing body – FIFA. With a US$1bn budget, the AFC has a strong impact on the future of football among Asia’s three billion people. Unfortunately, the AFC has been unable to create the value in its sports events or properties that attracts fans and investors. Central to this problem is the issue of corruption and corruption allegations within the AFC, especially with regard to its leadership. This case, therefore, attempts to highlight the various issues, discusses the circumstances around these challenges and brings forth the complexities of leading a truly international organization across 47 countries. Such factors are then tied to the value of the organization’s products or services in the marketplace. Complexity academic level The case is written and designed for a graduate level (MBA) class or an upper level undergraduate class such as corporate strategy, leadership, international management, international marketing, contemporary issues in management, cross-cultural management, sports management and sports marketing. In general, the case will also be a good fit for courses that discuss leadership, organizational strategy, organizational structure, organizational ethics and organizational behavior.

Do management control systems in SMEs reflect CEO demographics?

2014 ◽  
Vol 21 (3) ◽  
pp. 470-488 ◽  
Author(s):  
Anne-Mie Reheul ◽  
Ann Jorissen
Keyword(s):  
System Design ◽  
Control Systems ◽  
Management Control ◽  
Management Control Systems ◽  
Upper Echelons ◽  
Content Type ◽  
Evaluation Systems ◽  
Upper Echelons Theory ◽  
Planning And Control ◽  
And Control

Purpose – Drawing on upper echelons theory, the purpose of this paper is to examine whether CEOs place their distinctive marks on the design of planning, control and evaluation systems (i.e. management control systems (MCS)) in small- and medium-sized enterprises (SMEs). Design/methodology/approach – The authors use survey data from 189 Belgian SMEs and perform regression analyses to investigate the relation between the CEO demographics tenure, education and experience and various aspects of MCS design, controlling for the classical contingent variables. Findings – CEO tenure and education are related to evaluation system design, but there is no link between CEO demographics and planning and control system design. The lack of managerial discretion concerning planning and control systems could be explained by their more external and observable character, giving rise to pressures to comply with institutional norms (“good practices”). The presence of discretion concerning the design of evaluation systems could be due to their internal character. Practical implications – Since evaluation systems are an important determinant of work-related attitudes and can lead to dysfunctional behavior, it is important for company owners and board members to consider the demographics of present or new CEOs, and to understand the associated inclinations reflected in evaluation systems. Originality/value – The authors apply a more comprehensive approach than (the few) existing SME studies by relating a larger number of CEO demographics to a more comprehensive set of MCS elements, controlling for a larger group of contingent variables. Moreover, the authors fill gaps in the upper echelons and MCS literature.

CSR disclosure as a legitimation strategy: evidence from the football industry

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nicola Raimo ◽  
Filippo Vitolla ◽  
Giuseppe Nicolò ◽  
Paolo Tartaglia Polcini
Keyword(s):  
Limited Attention ◽  
Legitimacy Theory ◽  
Content Type ◽  
Amount Of Information ◽  
Corporate Websites ◽  
Football Clubs ◽  
Csr Disclosure ◽  
Corporate Social ◽  
Football Industry ◽  
The Impact

Purpose The latest developments in the football industry, the commodification of sport, the excessive focus on profitability and the limited attention to social and environmental aspects have caused a legitimation crisis for football clubs. According to the legitimacy theory, the corporate social responsibility (CSR) disclosure represents a tool capable of allowing the construction or repair of legitimacy. This study, in line with this theory, aims to analyse the amount of CSR disclosure provided by football clubs and the determinants, related to visibility, of the level of information provided. Design/methodology/approach This study uses a manual content analysis on the corporate websites of the 80 football clubs that qualified for the UEFA Champions League and UEFA Europa League group stages for the 2019–2020 year to measure the level of CSR disclosure and subsequently a regression analysis to examine the impact of visibility on the amount of information provided. Findings Results reveal that football clubs still disclose relatively little information about sustainability issues, and that sports performance visibility, human capital visibility and social media visibility positively affect the amount of information that football clubs disclose. Originality/value This study extends the horizons of CSR disclosure to the football industry which is still little explored in the academic literature. Furthermore, it extends the scope of legitimacy theory, showing how CSR disclosure can be a means for football clubs to obtain or repair legitimacy. Furthermore, this study extends the list of determinants of the level of CSR disclosure, showing that visibility can influence the amount of CSR information.

How does top management team composition matter for continual growth? Reinvestigating Penrose’s growth theory through the lens of upper echelons theory

2019 ◽  
Vol 57 (1) ◽  
pp. 41-70 ◽  
Author(s):  
Wein-Hong Chen ◽  
Min-Ping Kang ◽  
Bella Butler
Keyword(s):  
Top Management Team ◽  
Management Team ◽  
Asia Pacific ◽  
Growth Theory ◽  
Top Management ◽  
Upper Echelons ◽  
Content Type ◽  
Upper Echelons Theory ◽  
Penrose Effect ◽  
The Impact

Purpose Penrose’s argument regarding the managerial constraint on continual expansion over two consecutive periods is termed the “Penrose effect,” a relatively less investigated premise in Penrose’s growth theory. The purpose of this paper is to empirically re-examine the Penrose effect from the perspective of upper echelons theory and investigated how top management team (TMT) composition influences the continual growth of a firm. Design/methodology/approach This study empirically tested the hypotheses based on a sample of listed manufacturing firms operating in Taiwan, a newly industrialized economy in the Asia–Pacific region. Moderated hierarchical regression analyses were applied to test hypotheses. Findings The empirical results suggest that low TMT diversity (in terms of educational, functional and team tenure diversity) is likely to engender a situation in which the Penrose effect might occur. Additionally, the results indicate that the proportion of functional executives plays a significant role in influencing the growth trend over two consecutive periods and may soften the impact of the Penrose effect. Practical implications This paper suggests that appropriate structuring of TMTs and appropriate management of their members’ backgrounds and team tenure diversity can help firms overcome the Penrose effect and grow continually. Furthermore, the proportion of functional executives in a TMT is influential. Originality/value This paper uniquely contributes to the theoretical and empirical development of Penrose’s growth theory, upper echelons theory and resource-based view concerning managerial resources.

Unfolding the concept of a TMT-diversification strategy fit

2015 ◽  
Vol 21 (3/4) ◽  
pp. 139-158 ◽  
Author(s):  
Martin Weiss ◽  
Dirk Schneider ◽  
Jekaterina Lebid
Keyword(s):  
Organizational Performance ◽  
Corporate Strategy ◽  
Empirical Studies ◽  
Top Management Teams ◽  
Upper Echelons ◽  
Conceptual Foundation ◽  
Content Type ◽  
Upper Echelons Theory ◽  
Strategy Fit ◽  
The Impact

Purpose – This paper aims to develop a conceptual foundation of a fit between top management teams (TMTs) and their company’s corporate strategy. The authors fortify the importance of the concept of fit if the impact of upper echelons on organizational performance is trying to be explained. Yet, a constitutive concept of fit for the corporate strategy, a particularly important dimension of strategy, was previously neglected. Design/methodology/approach – In a conceptual/theoretical approach, the authors selected demographic managerial characteristics from previous empirical studies from the research stream on upper echelons and combined them with other promising characteristics. To analyze them in respect to the requirements of low and highly diversified companies, the authors applied the concept of the dominant logic, an important theory in the field of corporate strategy. Findings – The authors establish two distinct profiles of TMT members for low and high degrees of diversification and provide guidance on how to measure the TMT-corporate strategy fit – for individual TMT members and for the entire TMT – as a degree of fit on a ratio scale. Originality/value – This work constitutes the first exhaustive concept of a TMT-corporate strategy fit. It provides a profound research foundation for scholars in the field of TMTs and the upper echelons theory as well as a promising and complementary perspective for practitioners when assessing their TMT composition.

Hambrick and Mason’s “Upper Echelons Theory”: evolution and open avenues

2018 ◽  
Vol 26 (1) ◽  
pp. 116-136 ◽  
Author(s):  
Gianpaolo Abatecola ◽  
Matteo Cristofaro
Keyword(s):  
Critical Discussion ◽  
Historical Narrative ◽  
Strategic Leadership ◽  
Upper Echelons ◽  
Strategic Choices ◽  
Content Type ◽  
Upper Echelons Theory ◽  
Big Picture ◽  
The One ◽  
Over Time

Purpose How has upper echelons theory (UET) (Hambrick and Mason, 1984) been evolving over time? Through the historical discussion, this paper aims to provide an updated – and also innovative from some aspects – big picture on this famous approach to strategic management. In fact, after more than 30 years since its original conceptualization, the authors believe that the UE field is mature enough for a critical attempt to provide all those scholars and practitioners interested in strategic leadership with a comprehensive ground for future analyses, a ground which, to the authors’ knowledge, is still missing. Design/methodology/approach The authors mostly use a historical narrative to offer a critical account of the conceptual and methodological developments occurring under UE lenses over time. The authors believe that the historical approach can be particularly useful because it can help understand and explain why and how these developments have been conjectured and implemented. Findings Two mainly intertwined insights emerge from our analysis: on the one hand, the developments subsequent to the seminal 1984 UE model have gradually, although constantly, reduced its strongly voluntarist assumptions on strategic leadership toward more moderated co-evolutionary lenses; on the other hand, the emerging psychological and cognitive moderators of UE variables are presently reinforcing the centrality of dominant coalitions, in that they affect their decision-making processes and strategic choices. Originality/value From the critical discussion, a possible updated UE model based on co-evolutionary lenses finally emerges. Prospective research avenues in this management field are also provided.

Finance managers in family firms: an upper-echelons view

2017 ◽  
Vol 7 (2) ◽  
pp. 207-220 ◽  
Author(s):  
Martin R.W. Hiebl
Keyword(s):  
Design Methodology ◽  
Family Firms ◽  
Keyword Search ◽  
Current Knowledge ◽  
Future Research ◽  
Journal Articles ◽  
Upper Echelons ◽  
Content Type ◽  
Academic Literature ◽  
Upper Echelons Theory

Purpose Informed by upper echelons theory, the purpose of this paper is to synthesize the current knowledge on finance managers in family firms and to suggest valuable future research avenues. Design/methodology/approach The paper is organized as a theory-informed literature review. Based on a keyword search in electronic databases, 17 journal articles that deal with finance managers in family firms were identified. In light of upper echelons theory, the results of these articles were analyzed and future research needs were identified. Findings Overall, the current knowledge on finance managers in family firms is scant and fragmented. At the same time, this paper’s review findings indicate that finance managers can play decisive roles in family firms, which is why we need further research on their roles. Upper echelons theory is suggested in this paper as a theoretical framework that is well suited to guide such further research. Originality/value This is the first review of the academic literature on finance managers in family firms. Its main value lies in providing a theory-informed synthesis of current research on this topic and highlighting fruitful future research avenues.

scholarly journals Exploring Corporate Social Responsibility in the Italian wine sector through websites

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Benedetta Esposito ◽  
Maria Rosaria Sessa ◽  
Daniela Sica ◽  
Ornella Malandrino
Keyword(s):  
Corporate Social Responsibility ◽  
Geographic Location ◽  
Content Type ◽  
Corporate Websites ◽  
Italian Wine ◽  
Wine Sector ◽  
Information Consistency ◽  
Csr Disclosure ◽  
Corporate Social ◽  
The Relationship

PurposeThis paper aims to explore how the Italian wine industry discloses corporate social responsibility (CSR) practices and quality certifications and the corresponding determinants via websites. The study also aims to investigate the relationship between CSR practices and financial performance. The information consistency between the quality certificates reported on corporate websites and official database statements is also explored. Lastly, the paper investigates how the relationship between the size of wineries and CSR disclosure changes according to firms' geographic location.Design/methodology/approachThis paper analyses CSR corporate communication via the websites of a sample of Italian wineries by adjusting the theoretical framework developed by Amran (2012) to the wine sector's peculiarities. Moreover, a cross-certification analysis and a moderation analysis were performed to fulfil the purpose of the research.FindingsThe analysis revealed the extensive use of CSR disclosure via websites. It was found that company size positively affects CSR disclosure and Quality Certification Disclosure (QCD), while geographic location slightly moderates the relationship between the two variables. In addition, a negative relationship between CSR disclosure and corporate financial performance and its reverse causality emerged. Moreover, for most wineries, information consistency between the quality certificates reported on corporate websites and official database statements was observed.Research limitations/implicationsThe study's main limitation is that the search process was performed during lockdown. Therefore, the examined issues could change in the near future due to the shift in priorities that the COVID-19 pandemic is determining.Practical implicationsThe results can help managers implement CSR disclosure and QCD practices to enhance stakeholder legitimacy and enable their companies to compete in strongly competitive international markets.Originality/valueThe paper represents the first study investigating online QCD and its consistency in the Italian wine sector.

scholarly journals Influence of the Manager’s Characteristics on the SME Performance in Senegal

2017 ◽  
Vol 5 (1) ◽  
pp. 47-57
Author(s):  
Oumar FAYE
Keyword(s):  
Positive Impact ◽  
Value Added ◽  
Personal Characteristics ◽  
Theoretical Framework ◽  
Central Position ◽  
Upper Echelons ◽  
Level Of Education ◽  
Upper Echelons Theory ◽  
High Level

The Small and Medium-sized Entreprises (SMEs) represent the most important part of companies in all economies. In Senegal, they constitute 90% of companies, contribute to up to 30% of job creations and participate in the national value added training for up to 20%. In most of the countries, the SME is defined by the number of employees, the turnover and the investment; but what characterizes it, in particular, is the manager’s central position (Julien, 1997). It is him who assumes the responsibility for defining the vision, combining the different resources and setting up strategies to lead the SME towards performance.In Senegal, very little work basically focuses on the SME manager and namely his or her personal characteristics. The ambition of this paper is also to study the manager’s characteristics which influence the performance of his company. It is based on the theoretical framework of the Upper Echelons Theory (UET) developed by Hambrick and Mason (1984).The results which are obtained from a sample of 202 Senegalese SMEs show that the manager’s characteristics namely the age and the high level of education have a positive impact on the SMEs performance.

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