The Social Dimensions of Business Excellence

Corporate Environmental Strategy

Volumn 8, Issue 3, 2001, Pages 223-233

  Hardjono, Teun W ^a   Van Marrewijk, Marcel ^b  

^a ERASMUS UNIVERSITY ROTTERDAM   (Netherlands)

^b NONE   (Netherlands)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 0347671171     PISSN: 10667938     EISSN: None     Source Type: Journal    
DOI: 10.1016/S1066-7938(01)00125-7     Document Type: Article

References (11)

1. Related to the first feature is the ongoing debate between the Angel Saxon and the Rhineland approach: Does the company's surrounding only have shareholders and is maximizing shareholder value the ultimate goal of the company, or expresses the Rhineland approach a higher reality when it considers the company's surrounding as a complex set of stakeholders, whose interests should be included in the company's strategies. In discussing quality, the subject should not be restricted to products, services and processes, but also about the organisation as a system and as an integral part of the society in which it operates. The EFQM clearly stands in the tradition of the Rhineland school, as is among others shown in the management attention areas 'people results' and 'impact on society'. The second issue relates to the question 'do organisations exist? Applying a post-modernistic view, it makes sense to emphasise organising, rather than organisations. The employee becomes the focal point. In discussing the quality of organisations, it is realistic to state that total quality starts within people; within their hearts and minds, their concepts and perceptions. Organisations function better if people function better. The way in which an organisation realises permanent care for quality, distinguishes it from its competitors. And the manner in which employees interpret quality, makes an organisation unique. Within the context of the EFQM, Human Resource Management is thus a wrong concept. Its non-descriptive approach might be one of the reasons why the EFQM model is so popular. It is widely used and accepted among various organisations, including SME's and not-for profit organisations. The model is not only used as a tool for the Quality Award, but also as an instrument for self-evaluation and as a management organisation tool, linking the mission/vision, corporate strategy, critical success factors and measurement systems, such as the Business Balanced Score Card.
2. Ken Wilber: Sex, Ecology and Spirituality (1995); a Theory of Everything (2000) Robert M. Pirsig: Lila, an Inquiry into morals (1991); Zen and the art of motor maintenance (1974)
3. Ken Wilber: Sex, Ecology and Spirituality (1995); a Theory of Everything (2000) Robert M. Pirsig: Lila, an Inquiry into morals (1991); Zen and the art of motor maintenance (1974)
4. Ken Wilber: Sex, Ecology and Spirituality (1995); a Theory of Everything (2000) Robert M. Pirsig: Lila, an Inquiry into morals (1991); Zen and the art of motor maintenance (1974)
5. Ken Wilber: Sex, Ecology and Spirituality (1995); a Theory of Everything (2000) Robert M. Pirsig: Lila, an Inquiry into morals (1991); Zen and the art of motor maintenance (1974)
6. James C. Collins and Jerry I. Porras: Build to Last (1994) HarperBusines
7. TBLI 2001 will take place October 18 & 19, again at the Erasmus University Rotterdam. Please visit www.tbli.org for more information
8. Some conclusions of the TBLI conferences: Socially Responsible Investing (SRI) is all about wealth creation and profit. This is not a trade-off at the expense of shareholder value, but a powerful way of making sustainable profits and achieving lasting value for the shareholder and everyone else. Corporate Social Responsibility (CSR) is no longer the domain of corporate affairs and public relations. CSR is the purest form of good business, because it integrates all aspects of a company's performance. It has become of major strategic importance to corporations; particularly publicly traded companies. By achieving an optimum level of social and environmental performance, corporations are achieving superior financial performance over longer periods of time. This means better returns for investors with lower risk exposure. The days when portfolio decisions could be made in a complete moral and social vacuum are numbered. Indications for this transformation are: Consumers are more and more sensitive to corporate citizenship and willing to confront corporate violators to the environment, ethical codes and social responsibility. 'Old fashioned' companies do no longer attract enough talented executives Good corporate environmental and social policies improve sustainability and contribute to a better financial performance SRI is at the edge of becoming mainstream financial practice [Inter]national legislation is being developed to support the SRI activities (transparency, codes of conduct).
9. The basic assumption underlying the Four Phase Model, developed by Teun Hardjono, is that many management principles, models and even hypes have their value, but only in a certain context. This context depends on the market circumstances, the strategy of the organisation, the history of the organisation and the organisational culture. This all changes over time and has its own dynamics and rhythm. The Four Phase Model structures various organisational control points and possible interventions and is able to provide guidelines for a program of organisational change. The various layers in the model are able to describe the basic mechanisms in organisations growing into sustainability and corporate social responsibility. The Four-Phase Model consists of four layers. The basic competencies The basic dichotomies Performance criteria and interventions Dynamics The first layer is a more or less philosophical view on what people, and therefore organisations, drives. It identifies four basic competencies: material, commercial, socialisation and intellectual competence. The origin of these competencies can be found in religion, philosophy as well as in all kinds of sociological and psychological research. The competences are visually presented as four concentric circles. The second layer is based on the model of Quinn and Rohrbaugh. They identify two dichotomies: external/ internal orientation and orientation on control/ flexibility. Many other models based on scientific research, which try to explain why organisations are successful or not, or what kind of interventions are applicable, show a comparable set of dichotomies. The two sets of dichotomies together form a matrix of four possible combinations. The combination of the four competencies and each of the four organisational orientations leads to sets of possible organisational interventions. The third layer introduces the principle of strategic premises and the accompanying sets of performance criteria. The third layer also lays a relation between the interventions in organisations and the sets of performance criteria on the one hand and kinds of markets from a strategic perspective on the other. Here also four types of markets are identified and which kind of leadership and methods of decision-making is most appropriate. The fourth layer makes the model dynamic by bringing in the factor time. It shows how organisations can or should develop from one strategic premise to another. With this layer the concept of a phase where an organisation can be in is introduced. Such a phase is a state in which an organisation can be as an outcome of a choice for a strategic premise or a natural development. For more information: marcel@vanmarrewijk.nl
10. Social Accountability International and SA8000: Social Accountability International (SAI), a non-governmental, non-profit organization founded in 1997, is dedicated to improving workplaces and communities around the world by enabling companies to meet ethical standards through a strong code of conduct combined with independent verification and public reporting. To develop and manage these social accountability systems, SAI takes an international, consensus-based approach bringing together experts from business, trade unions, non-governmental organizations (NGOs), and government. The first of SAI's systems to be fully operational is Social Accountability 8000 (SA8000), a humane workplace standard and verification program that was launched in late 1997. Social Accountability 8000 (SA8000) is a systematic way for companies to assure just and decent working conditions in their facilities and those of their suppliers. SA8000 combines all the elements needed for an effective and credible humane workplace program: A code of conduct that covers all core international labor rights including child labor, forced labor, health & safety, freedom of association and right to collective bargaining, discrimination, discipline, working hours and wages (see "Code of Conduct Elements" section below) The code also requires that facilities have the management systems needed to assure long-term compliance. Independent certification of compliance at the facility level by accredited certification bodies around the world (see attachment "SA8000 Accredited Certification Bodies" for contact information) Development of the standard and oversight by a multi-sector Advisory Board (see attachment "Advisory Board" for list of board members) with experts from business, trade unions, government and NGOs, around the world (North America, Europe, Asia and Latin America) and across industries (apparel, personal care, food, retail, and toys) Involvement in the certification process by all key stakeholders including business, workers, trade unions and non-governmental organizations (NGOs) (see "Trade Union and NGO Participation" section below) The SA8000 process of independent certification is modelled on the International Organization for Standardization standards for quality control (ISO9000) and environmental management (ISO14000) - standards now used in over 300,000 facilities. Facilities seeking certification of compliance to the standard must undergo an audit by an independent, accredited certification body. SAI and its Advisory Board oversee the accreditation of certification bodies, which requires an extensive staff background in systems auditing, intensive training in SA8000, and the institutional capacity to assure quality and responsiveness. There are currently five accredited bodies - SGS-ICS, ITS, BVQI, DNV and UL (see attachment "SA8000 Accredited Certification Bodies" for contact information). For information on how to become an accredited certification body or accredited auditor, contact Rochelle Zaid at 212-358-7697, ext. 233 or rochelle@sa-intl.org
11. At the Erasmus University Rotterdam and the Free University Amsterdam we have initiated international research programmes to develop (1) a new generation CSR model and (2) ways to improve the transparency and quality assurance of rating corporate performances. Contributions are welcome.