By Erik Gunnar Hansen
Numerous worldwide crises equivalent to weather swap, the worldwide monetary breakdown and company corruption scandals have decreased the legitimacy of industrial. One attainable resolution to this example is the concept that of company accountability (CR), a voluntary process aiming on the integration of financial with social, moral and environmental ambitions. Erik G. Hansen addresses this hole. Rooted in literature on CR and formal management platforms he develops a conceptual "Responsible management structures" framework structuring management tools and instruments into seven interconnected key parts. The framework is utilized in qualitative multi-case reviews in seven of the biggest German inventory firms. the implications exhibit that prime businesses more and more make CR a part of their recommendations, buildings, administration tools and instruments.
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Extra info for Responsible Leadership Systems: An Empirical Analysis of Integrating Corporate Responsibility into Leadership Systems
I consider the original four categories more appropriate here because I distinguish between moral and business case later in chapter 5. I will later discuss, in how far this model is still valid to explain the latest developments in CR (cf. 4). : 41). : 41). Beyond these “compliance” aspects, legal responsibilities also cover corporate actions for “avoidance of civil litigation” and “anticipation of the law” (Schwartz & Carroll, 2003: 509). Anticipation is important in cases of insufficient laws where, however, a certain behaviour is regarded as “ethically obligatory” (Schwartz, 2001: 248).
41). : 41). Beyond these “compliance” aspects, legal responsibilities also cover corporate actions for “avoidance of civil litigation” and “anticipation of the law” (Schwartz & Carroll, 2003: 509). Anticipation is important in cases of insufficient laws where, however, a certain behaviour is regarded as “ethically obligatory” (Schwartz, 2001: 248). x Ethical. Responsibilities in this category represent societal expectations “by the general population and relevant stakeholders” (Schwartz & Carroll, 2003: 511) exceeding the prior legal responsibilities (Carroll, 1979: 500).
Expected LEGAL Responsibilities Obey the law. Law is society’s codification of right and wrong. Play by the rules of the game. Required ECONOMIC Responsibilities Be profitable. The foundation upon which all others rest. Figure 4 Required The Pyramid of Corporate Social Responsibility Source: Based on Carroll (1991: 42) and Schwartz & Carroll (2003: 504) In the following I describe the four categories in more detail: x Economic. Economic success is an integral part of CSR: “The first and foremost social responsibility of business is economic in nature” (Carroll, 1979: 500).