Category Archives: Human Resources

Post-COVID19: The hoteliers’ shifts in beliefs, behaviours and their outlook for the future

The 2019-2020 coronavirus pandemic (COVID19) is currently having a devastating effect on the global economy at large. At the time, its impact is even more conspicuous in certain service industries including the travel and tourism sectors.

The closure of the international borders as well as the latest travel ban and lock down conditions have inevitably led to grounded air planes, docked cruise ships, idle tour buses, shuttered tourism businesses and tourist attractions. This dramatic situation has resulted in a sudden downward spiral in international arrivals and receipts in many tourist destinations.

The hospitality enterprises including hotels, bed and breakfasts, pubs, cafes, restaurants and the like, that are usually run by family businesses, are experiencing an unprecedented crisis unlike other entities in the private sector.

Currently, there is no demand for their services. COVID19 has changed some of the practitioners’ attitudes, policies and behaviours as they have adapted themselves to: enhance digital collaborations; engage with remote working technologies;  increase their workplace hygiene; and to find alternative sources of income by diversifying their services, among other issues. Hopefully, there will be better prospects for them when the current crisis ends. It is very likely that they will be operating in the context of a “new normal” in a post COVID19 era.

(This is an excerpt from my latest research project)

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Filed under Coronavirus, COVID19, Hospitality, Human Resources, human resources management, Market Research, Marketing

The Performance Management in Higher Education

This is an excerpt from my latest academic article, entitled; “Using the balanced scorecard as a performance management tool in higher education” that will be published in Sage’s “Management in Education” (Journal).


The higher education institutions (HEIs) are competing in a global marketplace, particularly those which are operating in the contexts of neoliberal policymaking (Fadeeva and Mochizuki, 2010; Deem et al., 2008; Olssen and Peters, 2005; Bleiklie, 2001). Several universities are characterized by their de-centralized leadership as they operate with budget constraints (Smeenk, Teelken, Eisinga and Doorewaard, 2008; Bleiklie, 2001). Notwithstanding, their stakeholders expect their increased accountability and quality assurance, in terms of their efficiency, economy and effectiveness (Witte and López-Torres, 2017; Smeek et al., 2008). Hence, HEIs set norms, standards, benchmarks, and quality controls to measure their performance; as they are increasingly market-led and customer-driven (Jauhiainen, Jauhiainen, Laiho and Lehto, 2015; Billing, 2004; Etzkowitz, et al., 2000). Specifically, the universities’ performance is having a positive effect on the economic development of societies; through the provision of inclusive, democratized access to quality education and high impact research (Arnesen & Lundahl, 2006). Moreover, the educational institutions are also expected to forge strong relationships with marketplace stakeholders, including business and industry (Waring, 2013).

As a result, many universities have adapted, or are trying to adapt to the changing environment as they re-structure their organization and put more emphasis on improving their organizational performance. These developments have inevitably led to the emergence of bureaucratic procedures and processes (Jauhiainen et al., 2015).  HEIs have even started using the corporate language as they formulate plans, set objectives, and use performance management criteria to control their resources (Smeenk et al., 2008; Ball, 2003). For instance, the Finnish universities have introduced new steering mechanisms, including the performance systems in budgeting, organizational reforms, management methods and salary systems (Camilleri, 2018; Jauhiainen et al., 2015). Previously, Welch (2007) noted that HEIs were adopting new modes of governance, organizational forms, management styles, and values that were prevalent in the private business sector. The logic behind these new managerial reforms was to improve the HEIs’ value for money principles (Waring, 2013; Deem, 1998). Therefore, the financing of HEIs is a crucial element in an imperfectly competitive, quasi-market model (Marginson, 2013; Olssen and Peters, 2005; Enders, 2004; Dill, 1997).

Academic commentators frequently suggest that the managerial strategies, structures, and values that belong to the ‘private sector’ are leading to significant improvements in the HEIs’ performance (Waring, 2013; Teelken, 2012; Deem and Brehony, 2005; Deem, 1998). On the other hand, critics argue that the ‘managerial’ universities are focusing on human resource management (HRM) practices that affect the quality of their employees’ job performance (Smeenk et al., 2008). Very often, HEIs are employing bureaucratic procedures involving time-consuming activities that could otherwise have been invested in research activities and / or to enhance teaching programs. The HEIs’ management agenda is actually imposed on the academics’ norms of conduct and on their professional behaviors. Therefore, the universities’ leadership can affect the employees’ autonomies as they are expected to comply with their employers’ requirements (Deem and Brehony, 2005). Smeenk et al. (2008) posited that this contentious issue may lead to perennial conflicts between the employees’ values and their university leaders’ managerial values; resulting in lower organizational commitment and reduced productivities.

The HEIs’ managerial model has led to a shift in the balance of power from the academics to their leaders as the universities have developed quality assurance systems to monitor and control their academic employees’ performance (Camilleri, 2018; Cardoso, Tavares and Sin, 2015). This trend towards managerialism can be perceived as a lack of trust in the academic community. However, the rationale behind managerialism is to foster a performative culture among members of staff, as universities need to respond to increased competitive pressures for resources, competences and capabilities (Decramer et al., 2013; Marginson, 2006; 2001; Enders, 2004). These issues have changed the HEIs’ academic cultures and norms in an unprecedented way (Chou and Chan, 2016; Marginson, 2013).

HEIs have resorted to the utilization of measures and key performance indicators to improve their global visibility. Their intention is to raise their institutions’ profile by using metrics that measure productivity. Many universities have developed their own performance measures or followed frameworks that monitor the productivity of academic members of staff (Taylor and Baines, 2012). Very often, their objective is to audit their academic employees’ work. However, their work cannot always be quantified and measured in objective performance evaluations. For instance, Waring (2013) argued that academic employees are expected to comply with their employers’ performance appraisals (PAs) and their form-filling exercises. The rationale behind the use of PAs is to measure the employees’ productivity in the form of quantifiable performance criteria. Hence, the PA is deemed as a vital element for the evaluation of the employees’ performance (Kivistö et al., 2017; Dilts et al., 1994). The PA can be used as part of a holistic performance management approach that measures the academics’ teaching, research and outreach. This performance management tool can possibly determine the employees’ retention, promotion, tenure as well as salary increments (Subbaye, 2018; Ramsden, 1991).

Therefore, PAs ought to be clear and fair. Their administration should involve consistent, rational procedures that make use of appropriate standards. The management’s evaluation of the employees’ performance should be based on tangible evidence. In a similar vein, the employees need to be informed of what is expected from them (Dilts et al., 1994). They should also be knowledgeable about due processes for appeal arising from adverse evaluations, as well as on grievance procedures, if any (Author, 2018). In recent years; the value of the annual performance appraisals (PAs) has increasingly been challenged in favor of more regular ‘performance conversations’ (Aguinis, 2013; Herdlein, Kukemelk and Türk, 2008). Therefore, regular performance feedback or the frequent appraisal of employees still remain a crucial aspect of the performance management cycle. Pace (2015) reported that the PA was used to develop the employees’ skills, rather than for administrative decisions. In a similar vein, the University of Texas (2019) HR page suggests that the appraisers’ role is “to set expectations, gather data, and provide ongoing feedback to employees, to assist them in utilizing their skills, expertise and ideas in a way that produces results”. However, a thorough literature review suggests that there are diverging views among academia and practitioners on the role of the annual PA, the form it should take, and on its effectiveness in the realms of higher education (Herdlein et al., 2008; DeNisi and Pritchard, 2006).

The Performance Management Frameworks

The HEIs’ evaluative systems may include an analysis of the respective universities’ stated intentions, peer opinions, government norms and comparisons, primary procedures from ‘self-evaluation’ through external peer review. These metrics can be drawn from published indicators and ratings, among other frameworks (Billing, 2004).  Their performance evaluations can be either internally or externally driven (Cappiello and Pedrini, 2017). The internally driven appraisal systems put more emphasis on self-evaluation and self-regulatory activities (Baxter, 2017; Bednall, Sanders and Runhaar, 2014; Dilts et al., 1994). Alternatively, the externally driven evaluative frameworks may involve appraisal interviews that assess the quality of the employees’ performance in relation to pre-established criteria (DeNisi and Pritchard, 2006; Cederblom, 1982).

Many countries, including the European Union (EU) states have passed relevant legislation, regulatory standards and guidelines for the HEIs’ quality assurance (Baxter, 2017), and for the performance evaluations of their members of staff (Kohoutek et al., 2018; Cardoso et al., 2015; Bleiklie, 2001). Of course, the academic employees’ performance is usually evaluated against their employers’ priorities, commitments, and aims; by using relevant international benchmarks and targets (Lo, 2009). The academics are usually appraised on their research impact, teaching activities and outreach (QS Ranking, 2019; THE, 2019). Their academic services, including their teaching resources, administrative support, and research output all serve as performance indicators that can contribute to the reputation and standing of the HEI that employs them (Geuna and Martin, 2003).

Notwithstanding, several universities have restructured their faculties and departments to enhance their research capabilities. Their intention is to improve their institutional performance in global rankings (Lo, 2014). Therefore, HEIs recruit academics who are prolific authors that publish high-impact research with numerous citations in peer reviewed journals (Wood and Salt, 2018; Author, 2018). They may prefer researchers with scientific or quantitative backgrounds, regardless of their teaching experience (Chou and Chan, 2016). These universities are prioritizing research and promoting their academics’ publications to the detriment of university teaching. Thus, the academics’ contributions in key international journals is the predominant criterion that is used to judge the quality of academia (Billing, 2004). For this reason, the vast majority of scholars are using the English language as a vehicle to publish their research in reputable, high impact journals (Chou and Chan, 2016). Hence, the quantity and quality of their research ought to be evaluated through a number of criteria (Lo, 2014; 2011; Dill and Soo, 2005).

University ranking sites, including (THE) and the QS Rankings, among others, use performance indicators to classify and measure the quality and status of HEIs. This would involve the gathering and analysis of survey data from academic stakeholders. THE and QS, among others clearly define the measures, their relative weight, and the processes by which the quantitative data is collected (Dill and Soo, 2005). The Academic Ranking of World Universities (ARWU) relies on publication-focused indicators as 60 percent of its weighting is assigned to the respective university’s research output. Therefore, these university ranking exercises are surely affecting the policies, cultures and behaviors of HEIs and of their academics (Wood and Salt, 2018; De Cramer et al., 2013; Lo, 2013).  For instance, the performance indicators directly encourage the recruitment of international faculty and students. Other examples of quantitative metrics include the students’ enrolment ratios, graduate rates, student drop-out rates, the students’ continuation of studies at the next academic level, and the employability index of graduates, among others. Moreover, qualitative indicators can also provide insightful data on the students’ opinions and perceptions about their learning environment. The HEIs could evaluate the students’ satisfaction with teaching; satisfaction with research opportunities and training; perceptions of international and public engagement opportunities; ease of taking courses across boundaries, and may also determine whether there are administrative / bureaucratic barriers for them (Kivistö et al., 2017; Jauhiainen et al., 2015; Ramsden, 1991). Hence, HEIs ought to continuously re-examine their strategic priorities and initiatives. It is in their interest to regularly analyze their performance management frameworks through financial and non-financial indicators, in order to assess the productivity of their human resources. Therefore, they should regularly review educational programs and course curricula (Kohoutek et al., 2018; Brewer and Brewer, 2010). On a faculty level, the university leaders ought to keep a track record of changes in the size of departments; age and distribution of academic employees; diversity of students and staff, in terms of gender, race and ethnicity, et cetera. In addition, faculties could examine discipline-specific rankings; and determine the expenditures per academic member of staff, among other options (Author, 2018).

The balanced scorecard

The balanced scorecard (BSC) was first introduced by Kaplan and Norton (1992) in their highly cited article, entitled “The Balanced Scorecard: Measures that Drive Performance”. BSC is an integrated results-oriented, performance management tool, consisting of financial and non-financial measures that link the organizations’ mission, core values, and vision for the future with strategies, targets, and initiatives that are designed to bring continuous improvements (Taylor and Baines, 2012; Wu, Lin and Chang, 2011; Beard, 2009; Umashankar and Dutta, 2007; Cullen, Joyce, Hassall and Broadbent, 2003; Kaplan and Norton, 1992). Its four performance indicators play an important role in translating strategy into action; and can be utilized to evaluate the performance of HEIs. BSC provides a balanced performance management system as it comprises a set of performance indices that can assess different organizational perspectives (Taylor and Baines, 2012). For BSC, the financial perspective is a core performance measure. However, the other three perspectives namely: customer (or stakeholder), organizational capacity and internal process ought to be considered in the performance evaluations of HEIs, as reported in the following table:

BSC Higher Education

The balanced scorecard approach in higher education

Cullen et al. (2003) suggested that the UK’s Higher Education Funding Council for England (HEFCE), the Scottish Funding Council (SHEFC), the Higher Education Funding Council for Wales (HEFCW), as well as the Department for Employment and Learning (DELNI) have incorporated the BSC’s targets in their Research Excellence Framework. Furthermore, other HEI targets, including: the students’ completion rates, the research impact of universities, collaborative partnerships with business and industry, among others, are key metrics that are increasingly being used in international benchmarking exercises, like the European Quality Improvement System (EQUIS), among others. Moreover, BSC can be used to measure the academic employees’ commitment towards their employer (Umashankar and Dutta, 2007; McKenzie, and Schweitzer, 2001). Notwithstanding, Wu, Lin and Chang (2011) contended that the BSC’s ‘‘organizational capacity’’ is related to the employee development, innovation and learning. Hence the measurement of the HEIs’ intangible assets, including their intellectual capital is affected by other perspectives, including the financial one (Taylor and Baines, 2012). This table summarizes some of the strengths and weaknesses of the balanced scorecard.

BSC

BSC is widely used to appraise the financial and non-financial performance of businesses and public service organizations including HEIs. Many HEI leaders are increasingly following business-like approaches as they are expected to operate in a quasi-market environment (Marginson, 2013). They need to scan their macro environment to be knowledgeable about the opportunities and threats from the political, economic, social and technological factors. Moreover, they have to regularly analyze their microenvironment by evaluating their strengths and weaknesses.  Hence, several HEIs are increasingly appraising their employees as they assess their performance on a regular basis. They may even decide to take remedial actions when necessary.  Therefore, BSC can also be employed by HEIs to improve their academic employees’ productivity levels (Marginson, 2013; 2000).


A pre-publication version of the full article is available through ResearchGate and Academia.edu.

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Announcing a Call for Chapters (for Springer)

Call for Chapters

Strategic Corporate Communication and Stakeholder Engagement in the Digital Age

 

Abstract submission deadline: 30th June 2019 (EXTENDED to the 30th September 2019)
Full chapters due: 31st December 2019

 

Background

The latest advances in technologies and networks have been central to the expansion of electronic content across different contexts. Contemporary communication approaches are crossing boundaries as new media are offering both challenges and opportunities. The democratisation of the production and dissemination of information via the online technologies has inevitably led individuals and organisations to share content (including images, photos, news items, videos and podcasts) via the digital and social media. Interactive technologies are allowing individuals and organisations to co-create and manipulate electronic content. At the same time, they enable them to engage in free-flowing conversations with other online users, groups or virtual communities (Camilleri, 2017). Innovative technologies have empowered the organisations’ stakeholders, including; employees, investors, customers, local communities, government agencies, non-governmental organisations (NGOs), as well as the news media, among others. Both internal and external stakeholders are in a better position to scrutinise the organisations’ decisions and actions. For this reason, there is scope for the practitioners to align their corporate communication goals and activities with the societal expectations (Camilleri, 2015; Gardberg & Fombrun, 2006). Therefore, organisations are encouraged to listen to their stakeholders. Several public interest organisations, including listed businesses, banks and insurance companies are already sharing information about their financial and non-financial performance in an accountable and transparent manner. The rationale behind their corporate disclosures is to develop and maintain strong and favourable reputations among stakeholders (Camilleri, 2018; Cornelissen, 2008). The corporate reputation is “a perceptual representation of a company’s past actions and future prospects that describe the firm’s overall appeal to all of its key constituents when compared to other leading rivals” (Fombrun, 1996).

Business and media practitioners ought to be cognisant about the strategic role of corporate communication in leveraging the organisations’ image and reputation among stakeholders (Van Riel & Fombrun, 2007). They are expected to possess corporation communication skills as they need to forge relationships with different stakeholder groups (including employees, customers, suppliers, investors, media, regulatory authorities and the community at large). They have to be proficient in specialist areas, including; issues management, crises communication as well as in corporate social responsibility reporting, among other topics. At the same time, they should be aware about the possible uses of different technologies, including; artificial intelligence, augmented and virtual reality, big data analytics, blockchain and internet of things, among others; as these innovative tools are disrupting today’s corporate communication processes.

 

Objective

This title shall explain how strategic communication and media management can affect various political, economic, societal and technological realities. Theoretical and empirical contributions can shed more light on the existing structures, institutions and cultures that are firmly founded on the communication technologies, infrastructures and practices. The rapid proliferation of the digital media has led both academics and practitioners to increase their interactive engagement with a multitude of stakeholders. Very often, they are influencing regulators, industries, civil society organisations and activist groups, among other interested parties. Therefore, this book’s valued contributions may include, but are not restricted to, the following topics:

 

Artificial Intelligence and Corporate Communication

Augmented and Virtual Reality in Corporate Communication

Blockchain and Corporate Communication

Big Data and Analytics in Corporate Communication

Branding and Corporate Reputation

Corporate Communication via Social Media

Corporate Communication Policy

Corporate Culture

Corporate Identity

Corporate Social Responsibility Communications

Crisis, Risk and Change Management

Digital Media and Corporate Communication

Employee Communications

Fake News and Corporate Communication

Government Relationships

Integrated Communication

Integrated Reporting of Financial and Non-Financial Performance

Internet Technologies and Corporate Communication

Internet of Things and Corporate Communication

Investor Relationships

Issues Management and Public Relations

Leadership and Change Communication

Marketing Communications

Measuring the Effectiveness of Corporate Communications

Metrics for Corporate Communication Practice

Press and Media Relationships

Stakeholder Management and Communication

Strategic Planning and Communication Management

 

This publication shall present the academics’ conceptual discussions that cover the contemporary topic of corporate communication in a concise yet accessible way. Covering both theory and practice, this publication shall introduce its readers to the key issues of strategic corporate communication as well as stakeholder management in the digital age. This will allow prospective practitioners to critically analyse future, real-life situations. All chapters will provide a background to specific topics as the academic contributors should feature their critical perspectives on issues, controversies and problems relating to corporate communication.

This authoritative book will provide relevant knowledge and skills in corporate communication that is unsurpassed in readability, depth and breadth. At the start of each chapter, the authors will prepare a short abstract that summarises the content of their contribution. They are encouraged to include descriptive case studies to illustrate real situations, conceptual, theoretical or empirical contributions that are meant to help aspiring managers and executives in their future employment. In conclusion, each chapter shall also contain a succinct summary that should outline key implications (of the findings) to academia and / or practitioners, in a condensed form. This will enable the readers to retain key information.

 

Target Audience

This textbook introduces aspiring practitioners as well as under-graduate and post-graduate students to the subject of corporate communication – in a structured manner. More importantly, it will also be relevant to those course instructors who are teaching media, marketing communications and business-related subjects in higher education institutions, including; universities and colleges. It is hoped that course conveners will use this edited textbook as a basis for class discussions.

 

Submission Procedure

Senior and junior academic researchers are invited to submit a 300-word abstract on or before the 30th June 2019. Submissions should be sent to Mark.A.Camilleri@um.edu.mt. Authors will be notified about the editorial decision during July 2019. The length of the chapters should be between 6,000- 8,000 words (including references, figures and tables). These contributions will be accepted on or before the 31st December 2019. The references should be presented in APA style (Version 6). All submitted chapters will be critically reviewed on a double-blind review basis. The authors’ and the reviewers’ identities will remain anonymous. All authors will be requested to serve as reviewers for this book. They will receive a notification of acceptance, rejection or suggested modifications – on or before the 15th February 2020.

Note: There are no submission or acceptance fees for the publication of this book. All abstracts / proposals should be submitted via the editor’s email.

 

Editor

Mark Anthony Camilleri (Ph.D. Edinburgh)
Department of Corporate Communication,
Faculty of Media and Knowledge Sciences,
University of Malta, MALTA.
Email: mark.a.camilleri@um.edu.mt

 

Publisher

Following the double-blind peer review process, the full chapters will be submitted to Springer Nature for final review. For additional information regarding the publisher, please visit https://www.springer.com/gp. This prospective publication will be released in 2020.

 

Important Dates

Abstract Submission Deadline:          30th June 2019 30th September 2019
Notification of Acceptance:               31st July 2019 31st October 2019

Full Chapters Due:                             31st December 2019

Notification of Review Results:         15th February 2020
Final Chapter Submission:                 31st March 2020

Final Acceptance Notification:          30th April, 2020

References

Camilleri, M.A. (2015). Valuing Stakeholder Engagement and Sustainability Reporting. Corporate Reputation Review18(3), 210-222. https://link-springer-com.ejournals.um.edu.mt/article/10.1057/crr.2015.9

Camilleri, M.A. (2017). Corporate Sustainability, Social Responsibility and Environmental Management, Cham, Switzerland: Springer Nature. https://www.springer.com/gp/book/9783319468488

Camilleri, M.A. (2018). Theoretical Insights on Integrated Reporting: The Inclusion of Non-Financial Capitals in Corporate Disclosures. Corporate Communications: An International Journal23(4), 567-581. https://www.emeraldinsight.com/doi/full/10.1108/CCIJ-01-2018-0016

Cornelissen, J.P. (2008). Corporate Communication. The International Encyclopedia of Communication. https://onlinelibrary.wiley.com/doi/abs/10.1002/9781405186407.wbiecc143.pub2

Fombrun, C.J. (1995). Reputation: Realizing Value from the Corporate Image. Cambridge, MA, USA: Harvard Business School Press.

Gardberg, N.A., & Fombrun, C. J. (2006). Corporate Citizenship: Creating Intangible Assets across Institutional Environments. Academy of Management Review31(2), 329-346. https://journals.aom.org/doi/abs/10.5465/AMR.2006.20208684

Van Riel, C.B., & Fombrun, C.J. (2007). Essentials of Corporate Communication: Implementing Practices for Effective Reputation Management. Oxford, UK: Routledge. http://repository.umpwr.ac.id:8080/bitstream/handle/123456789/511/Essentials%20of%20Corporate%20Communication.pdf?sequence=1

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Filed under Analytics, Big Data, blockchain, branding, Business, Corporate Governance, Corporate Social Responsibility, Corporate Sustainability and Responsibility, CSR, digital media, ESG Reporting, Higher Education, Human Resources, Impact Investing, Integrated Reporting, internet technologies, internet technologies and society, Marketing, online, Shared Value, Stakeholder Engagement, Sustainability, Web

Corporate Sustainability and Responsibility: Creating Value for Business, Society and the Environment

 

 

 

This an excerpt from my latest open-access paper in Springer’s Asian Journal of Sustainability and Social Responsibility.

This review paper has built on the previous theoretical underpinnings of the corporate social responsibility agenda including Stakeholder Management, Corporate Citizenship and Creating Shared Value as it presents the latest Corporate Sustainability and Responsibility perspective. This value-based model reconciles strategic CSR and environmental management with a stakeholder approach to bring long term corporate sustainability, in terms of economic performance for the business, as well as corporate responsibility’s social outcomes.

Recently, some international conferences including Humboldt University’s gatherings in 2014 and 2016 have also raised awareness on this proposition. The corporate sustainability and responsibility concept is linked to improvements to the companies’ internal processes including environmental management, human resource management, operations management and marketing (i.e. Corporate Sustainability). At the same time, it raises awareness on the businesses’ responsible behaviours (i.e. Corporate Responsibility) toward stakeholders including the government, suppliers, customers and the community, among others. The fundamental motivation behind this approach is the view that creating connections between stakeholders in the value chain will open-up unseen opportunities for the competitive advantage of responsible businesses, as illustrated in Table 2. Corporate sustainability and responsibility focuses on exploiting opportunities that reconcile differing stakeholder demands as many corporations out there are investing in corporate sustainability and responsible business practices (Lozano 2015). Their active engagement with multiple stakeholders (both internal and external stakeholders) will ultimately create synergistic value for all (Camilleri 2017).

 

Multinational organisations are under increased pressures from stakeholders (particularly customers and consumer associations) to revisit their numerous processes in their value chain activities. Each stage of the company’s production process, from the supply chain to the transformation of resources could add value to their businesses’ operational costs as they produce end-products. However, the businesses are always expected to be responsible in their internal processes toward their employees or toward their suppliers’ labour force. Therefore, this corporate sustainability and responsibility perspective demands that businesses create economic and societal value by re-aligning their corporate objectives with stakeholder management and environmental responsibility. In sum, corporate sustainability and responsibility may only happen when companies demonstrate their genuine willingness to add corporate responsible dimensions and stakeholder engagement to their value propositions. This occurs when businesses opt for responsible managerial practices that are integral to their overall corporate strategy. These strategic behaviours create opportunities for them to improve the well-being of stakeholders as they reduce negative externalities on the environment. The negative externalities can be eliminated by developing integrated approaches that are driven by ethical and sustainability principles. Very often, multinational businesses are in a position to mitigate risk and to avoid inconveniences to third parties. For instance, major accidents including BP’s Deep Horizon oil spill in 2010, or the collapse of Primark’s Rana Plaza factory in Bangladesh, back in 2013, could have been prevented if the big businesses were responsible beforehand.

In conclusion, the corporate sustainability and responsibility construct is about embedding sustainability and responsibility by seeking out and connecting with the stakeholders’ varied interests. As firms reap profits and grow, there is a possibility that they generate virtuous circles of positive multiplier effects (Camilleri 2017). Therefore, corporate sustainability and responsibility can be considered as strategic in its intents and purposes. Indeed, the businesses are capable of being socially and environmentally responsible ‘citizens’ as they are doing well, economically. This theoretical paper has contributed to academic knowledge as it explained the foundations for corporate sustainability and responsibility. Although this concept is still evolving, the debate among academic commentators is slowly but surely raising awareness that are needed to deliver strategic results that create value for businesses, society and the environment.

References

Camilleri MA (2017) Corporate sustainability, social responsibility and environmental management: an introduction to theory and practice with case studies. Springer, Heidelberg, Germany

Lozano R (2015) A holistic perspective on corporate sustainability drivers. Corp Soc Responsib Environ Manag 22(1): 32-44.

 

How to Cite: Camilleri, M.A. (2017) Corporate Sustainability and Responsibility: Creating Value for Business, Society and the Environment. Asian Journal of Sustainability and Social Responsibility. 1-16. DOI: 10.1186/s41180-017-0016-5

 

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A Conceptual Model of Corporate Sustainability and Responsibility

The corporate sustainability and responsibility concept is linked to improvements to the companies’ internal processes, including; environmental management, human resource management, operations management and marketing (Porter & Kramer, 2011; Fombrun, 2005; Maignan & Ferrell, 2004). At the same time, it raises awareness on the businesses’ responsible behaviours toward stakeholders, including the government, suppliers, customers and the community, among others (Carroll & Shabana, 2010; Freeman, 1984). The fundamental motivation behind this approach is the view that creating connections between stakeholders in the value chain will open-up unseen opportunities for the competitive advantage of responsible businesses, as illustrated here:

(Camilleri, 2017a)

Corporate sustainability and responsibility focuses on exploiting opportunities that reconcile differing stakeholder demands as many corporations out there are investing in corporate sustainability and responsible business practices (Camilleri , 2017b). Their active engagement with multiple stakeholders (both internal and external stakeholders) will ultimately create synergistic value for all (Camilleri, 2017a).

Multinational organizations are under increased pressures from stakeholders (particularly customers and consumer associations) to revisit their numerous processes in their value chain activities. Each stage of the company’s production process, from the supply chain to the transformation of resources could add value to their businesses’ operational costs as they produce end-products. However, the businesses are always expected to be responsible in their internal processes, toward their employees or toward their suppliers’ labour force. Therefore, this corporate sustainability and responsibility perspective demands that businesses create economic and societal value by re-aligning their corporate objectives with stakeholder management and environmental responsibility. In sum, corporate sustainability and responsibility may only happen when companies demonstrate their genuine willingness to add corporate responsible dimensions and stakeholder engagement to their value propositions. This occurs when businesses opt for responsible managerial practices that are integral to their overall corporate strategy. These strategic behaviours create opportunities for them to improve the well-being of stakeholders as they reduce negative externalities on the environment.  The negative externalities can be eliminated by developing integrated approaches that are driven by ethical and sustainability principles. Very often, multinational businesses are in a position to mitigate risk and to avoid inconveniences to third parties. For instance, major accidents including BP’s Deep Horizon oil spill in 2010; or the collapse of Primark’s Rana Plaza factory in Bangladesh, back in 2013 could have been prevented if the big businesses were responsible beforehand.

In conclusion, the corporate sustainability and responsibility construct is about embedding sustainability and responsibility by seeking out and connecting with the stakeholders’ varied interests. As firms reap profits and grow, there is a possibility that they generate virtuous circles of positive multiplier effects (Camilleri, 2017a). Therefore, corporate sustainability and responsibility can be considered as strategic in its intents and purposes. Indeed, the businesses are capable of being socially and environmentally responsible ‘citizens’ as they are doing well, economically. This contribution explains the foundations for corporate sustainability and responsibility. Although this concept is still evolving; the debate among academic commentators is slowly but surely raising awareness on responsible managerial practices and on the skills and competences that are needed to deliver strategic results that create value for businesses, society and the environment.

References:

Camilleri, M.A. (2017a) Corporate Sustainability, Social Responsibility and Environmental Management: An Introduction to Theory and Practice with Case Studies. Springer, Heidelberg, Germany. http://www.springer.com/us/book/9783319468488

Camilleri, M.A. (Ed.) (2017b) CSR 2.0 and the New Era of Corporate Citizenship. IGI Global, Hershey, USA. ISBN13: 9781522518426 DOI: 10.4018/978-1-5225-1842-6 http://www.igi-global.com/book/csr-new-era-corporate-citizenship/166426

Carroll, A. B., & Shabana, K. M. (2010). The business case for corporate social responsibility: A review of concepts, research and practice. International journal of management reviews, 12(1), 85-105.

Fombrun, C. J. (2005). A world of reputation research, analysis and thinking—building corporate reputation through CSR initiatives: evolving standards. Corporate Reputation Review, 8(1), 7-12.

Freeman, R.E. (1984). Strategic Management: A stakeholder approach. Pitman, Boston, MA. USA.

Maignan, I., & Ferrell, O. C. (2004). Corporate social responsibility and marketing: An integrative framework. Journal of the Academy of Marketing science, 32(1), 3-19.

Porter, M. E. & Kramer, M. R., (2011). Creating shared value. Harvard business review, 89 (1/2), 62-77.

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Filed under Business, Corporate Social Responsibility, Corporate Sustainability and Responsibility, CSR, Human Resources, Marketing, Shared Value, Stakeholder Engagement, sustainable development

Reconceiving CSR for Business and the Labour Market

cogent
This contribution maintains that it is in the private sector’s interest to actively participate in reconceiving education for societal well being. It posits that there are win-win opportunities for companies and national governments as they cultivate human capital. Indeed, companies can create synergistic value for both business and society. Such a strategic approach can result in new business models and cross-sector collaborations that will inevitably lead to operational efficiencies, cost savings and significant improvements to the firms’ bottom lines. The CSR initiatives in education can also help organisations to improve the recruitment and retention of talented employees. This paper has reported that employees want to be part of organisations that genuinely demonstrate their concern for society. There was mention of strategic philanthropic initiatives that manifest corporate behaviours that also satisfy much of the stakeholders’ aspirations. Organisations can always make use effective CSR communications to attract the best employees and talent pool from the labour market. Ideally, businesses ought to treat employees as internal customers as it is critical for their long term success. In a sense, the organisational culture and its commitment for CSR engagement can play an integral role, in this regard. In fact, CSR and environment sustainability issues are increasingly becoming ubiquitous practices in different contexts, particularly for the youngest work force.

This research indicated that there is a business case for corporate sustainable and responsible behaviours. Besides, minimising staff turnover, CSR may lead to systematic benefits including employee productivity, corporate reputation and operational efficiencies. This implies that CSR is an antecedent for an optimal financial performance (towards achieving profitability, increasing sales, return on investment et cetera). At the same time, the businesses’ CSR engagement could create significant value to society as well. The corporations’ involvement in setting curricula and relevant course programmes may also help to improve the effectiveness of education systems across many contexts. It is imperative that businesses become key stakeholders in the provision of education and training. There is a possibility that CSR programmes could reconnect the businesses’ economic success with societal progress. Proactive companies who engage in strategic CSR behaviours could uncover new business opportunities (Lauring and Thomsen, 2008) and achieve competitive advantage (Porter and Kramer, 2006). Indeed, businesses are in a position to nurture employees by enhancing their knowledge and skill sets. This will inevitably lead to more competent staff and to significant improvements in work productivity among other benefits.

CSR can be reconceived strategically for business and educational outcomes. This research has given specific examples of how different organisations were engaging in responsible behaviours with varying degrees of intensity and success. It has identified cost effective and efficient operations. It reported measures which were enhancing the human resources productivity. Other practices sought to engage in philanthropic practices and stewardship principles. Indeed there are positive outcomes that represent a leap forward for the CSR agenda. This contribution reiterated that it is in the businesses’ self-interest to maintain good relations with employees. Evidently, there is more to CSR than public relations, greenwashing and posturing behaviours. Businesses need to engage with stakeholders and to forge long lasting relationships with them. Corporate responsible behaviours bring reputational benefits, enhance the firms’ image among external stakeholders and often lead to a favourable climate of trust and cooperation within the company itself (Herzberg et al., 2011). A participative leadership will also boost the employees’ morale and job satisfaction. This will also lead to lower staff turnover rates and greater productivity levels in workplace environments (Fida et al., 2014). Notwithstanding, there are many businesses that still need to align their organisational culture and business ethos in order to better embrace responsible behavioural practices.

Governments also have an important role to play. They can take an active leading role in triggering corporate responsible behaviours in education. Greater efforts are required by policy makers, the private sector and other stakeholders. The governments could give reasonable incentives (through financial resources in the form of grants or tax relief) and enforce regulation in certain areas where responsible behaviour is necessary. They need to maintain two-way communication systems with stakeholders. This paper posited that the countries’ educational outcomes and their curriculum programmes should better respond to the employers’ requirements. Therefore, educational programmes ought to instil students with relevant knowledge and skills that are really required by business and industry. Several governments, particularly those from developing nations ought to step up with their commitment to develop new solutions to help underprivileged populations and subgroups. New solutions could better address the diverse needs of learners and prospective employees. This research indicated that there is scope for governments to work in collaboration with corporations in order to improve the employability of tomorrow’s human resources.
Research Limitations and Future Research Avenues

It must be recognised that there are various forms of businesses out there, hailing from diverse sectors and industries. In addition, there are many stakeholder influences, which can possibly affect the firms’ level of social responsibility toward education. It is necessary for governments to realise that they need to work alongside business practitioners in order to reconceive education and life-long learning for all individuals in society. The majority of employers that were mentioned in this research were representative of a few corporations that are based in the most developed economies. Yet, there could be different CSR practices across diverse contexts. Future research could consider different sampling frames, methodologies and analyses which may yield different outcomes.

This contribution has put forward the ‘shared value’ approach in education (Camilleri, 2014; Porter and Kramer, 2011). It is believed that since this relatively ‘new’ proposition is relatively straightforward and uncomplicated, it may be more easily understood by business practitioners themselves. In a nutshell, this synergistic value notion requires particular focus on the human resources’ educational requirements. At the same time, ‘shared value’ also looks after the stakeholders’ needs (Camilleri, 2015). This promising concept could contribute towards bringing long term sustainability by addressing economic and societal deficits in the realms of education. A longitudinal study in this area of research could possibly investigate the long term effects of involving the business and industry in setting curriculum programmes and relevant learning outcomes. Presumably, shared value can be sustained only if there is a genuine commitment to organisational learning for corporate sustainability and responsibility, and if there is the willingness to forge long lasting relationships with key stakeholders.

Recommendations
The corporations’ social responsibility in the provision of education has potential to create shared value as it opens up new opportunities for business and society. There are competitive advantages that may arise from nurturing human resources (McKenzie and Woodruff, (2013), Kehoe and Wright (2013) and Hunt and Michael, (1983). As firms reap profits and grow, they can generate virtuous circles of positive multiplier effects. In a way, businesses could create value for themselves as well as for society by sponsoring educational institutions, specific courses and individuals. In conclusion, this contribution puts forward the following recommendations to foster an environment where businesses are encouraged to become key stakeholders in education:

• Promotion of business processes that bring economic, social and environmental value through the encouragement of innovative and creative approaches in continuous professional development and training in sustainable and responsible practices; including socially responsible investing (SRI), responsible supply chain management, the circular economy, responsible procurement of sustainable products, consumer awareness of sustainability / eco labels, climate change and the environmental awareness;

• Enhancement of collaborations and partnership agreements between governments, business and industry leaders, trade unions and civil society. There should be an increased CSR awareness, continuous dialogue, constructive communication and trust among all stakeholders.

• National governments ought to create regulatory frameworks which encourage and enable the businesses’ participation in the formulation of educational programmes and their curricula.

• Policy makers should ensure that there are adequate levels of performance in areas such as employee health and safety, suitable working conditions and sustainable environmental practices among business and industry.

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Employment: new European Skills Passport will facilitate recruitment in hospitality sector

On the 17th June, the European Commission has launched the European Hospitality Skills Passport. This skills passport was developed to bridge the gap between job-seekers and employers in the European hospitality and tourism sector. This incentive promotes mobility of European workers, especially young people, in a sector that still has high growth potential. Interestingly, this tool compares hospitality workers’ skills in order to facilitate their recruitment in tourism and hospitality. It is hoped that this passport will shortly be extended to other sectors in the future.

The Skills Passport is hosted on the European Job Mobility Portal EURES, and is available in all EU official languages. It is an initiative of the European Commission in collaboration with HOTREC the umbrella association representing hotels, restaurants, cafés and similar establishments in Europe; and EFFAT, the European Federation of Trade Unions in the Food, Agriculture and Tourism sectors.

Tutorial for employers

Tutorial for jobseekers

 

Source: http://europa.eu/rapid/press-release_IP-14-678_en.htm

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