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Article
Publication date: 2 April 2019

Noorlailie Soewarno, Bambang Tjahjadi and Febrina Fithrianti

The purpose of this paper is to explore whether green innovation strategy has a positive effect on green innovation. Furthermore, this study investigates whether both green…

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Abstract

Purpose

The purpose of this paper is to explore whether green innovation strategy has a positive effect on green innovation. Furthermore, this study investigates whether both green organizational identity and environmental organizational legitimacy mediate the relationship between green innovation strategy and green innovation.

Design/methodology/approach

This study is designed as a quantitative research using questionnaires to collect data and employing a variance-based or partial least squares structural equation modeling to test the hypotheses.

Findings

The empirical results show that green innovation strategy positively affects green innovation. This study also demonstrates that green innovation strategy positively affects green innovation indirectly via green organizational identity and environmental organizational legitimacy in manufacturing companies in Indonesia as a developing country. This study suggests that firms should develop green innovation strategy and it must be reflected as green organizational identity to get environmental organizational legitimacy, and then firms will achieve a better green innovation performance.

Research limitations/implications

This study has the following limitations. First, a structural equation modeling is used as an approach to test the hypotheses and this may raise the issue of causality. Second, although examining the antecedents of green innovation, this study does not investigate its consequences. Third, the sample size used in this study is relatively small and limited to companies in the Surabaya Industrial Estate Rungkut, Indonesia. Finally, this study employs a cross-sectional survey and the data obtained are based on the Likert scales that may raise the issue of perception bias of the sampled managers.

Practical implications

The results of this study suggest that managers need to verify the roles of green organizational identity and environmental organizational legitimacy in their companies. In the era of environmentally conscious society, managers need to start with developing a green innovation strategy. However, managers also need to understand that having a strategy is not sufficient enough to directly enhance green innovation performance. Managers need to seek approaches on how to cultivate a strong green organizational identity and use the identity to get environmental organizational legitimacy from the stakeholders.

Social implications

This research model and results provide the empirical evidence of the importance of green innovation and its antecedents, namely, a green innovation strategy, green organizational identity and environmental organizational legitimacy. When manufacturing companies in Indonesia implement this model of managing environmental issues, the society will get more benefits in terms of the reduction of environmental degradation, the availability of more green products and programs, the improvements in resource efficiencies and economic development and the enhancement of the quality of life.

Originality/value

A research framework exploring the mediating roles of green organizational identity and environmental organizational legitimacy on green innovation strategy–green innovation relationship is developed to provide the empirical evidence for the organizational identity theory and the organizational legitimacy theory. This study also provides practical implications for managers who are facing the environmental awareness business environment. If they want to achieve a better green innovation performance, managers should enhance their awareness in managing the antecedents of green innovation performance, namely, green innovation strategy, green organizational identity and environmental organizational legitimacy.

Details

Management Decision, vol. 57 no. 11
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 24 May 2013

Ching‐Hsun Chang and Yu‐Shan Chen

The authors aim to apply an “interpretive context – organizational action – outcome” framework to explore the positive effect of green organizational identity on green innovation…

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Abstract

Purpose

The authors aim to apply an “interpretive context – organizational action – outcome” framework to explore the positive effect of green organizational identity on green innovation performance. Besides, they would like to verify that both environmental commitment and environmental organizational legitimacy mediate between green organizational identity and green innovation performance.

Design/methodology/approach

The authors utilize a hybrid research method that includes both questionnaire data and public data to test the hypotheses to satisfy the triangulation in methodology. In addition, structural equation modeling (SEM) is used to perform the empirical research.

Findings

The results show that green organizational identity would positively affect green innovation performance. Moreover, green organizational identity could positively influence green innovation performance indirectly via environmental commitment and environmental organizational legitimacy. Firms should increase their green organizational identity, environmental commitment, and environmental organizational legitimacy to enhance their green innovation performance. Furthermore, the authors find out that green organizational identity, environmental commitment, environmental organizational legitimacy, and green innovation performance of small and medium‐sized enterprises (SMEs) are lower than those of large enterprises in Taiwan.

Originality/value

The authors develop a research framework to explore the positive effect of green organizational identity on green innovation and explore the mediation effects of environmental commitment and environmental organizational legitimacy.

Article
Publication date: 7 June 2011

Ilse Maria Beuren and Marines Lucia Boff

The purpose of this study is to identify which of Lindblom's strategies of organizational legitimacy predominate in environmental and social disclosures in administration reports…

Abstract

Purpose

The purpose of this study is to identify which of Lindblom's strategies of organizational legitimacy predominate in environmental and social disclosures in administration reports of publicly traded family companies under Brazilian shareholder control during the period 1997‐2006.

Design/methodology/approach

Descriptive research from a universe of 500 large companies from the ranking made in Exame magazine – “best and biggest”, 2006 edition. From these, 21 publicly traded family companies under Brazilian shareholder control were identified, but the longitudinal study was made with the 16 that published their administration reports in the last ten years. The sentence was considered as the unit of analysis, with application of the content analysis technique to messages contained in the administration reports that were related to environmental and social disclosures.

Findings

Research results show that the companies researched used the four strategies of organizational legitimacy proposed by Lindblom, either together or separately.

Research limitations/implications

The second and third strategies predominated in the environmental and social disclosures from administration reports made from 1997 to 2006.

Originality/value

The value of the study is in its advancement of research made in the UK by Gray et al., Parsa and Kouhy, and in Brazil by Silva.

Details

Management Research: Journal of the Iberoamerican Academy of Management, vol. 9 no. 1
Type: Research Article
ISSN: 1536-5433

Keywords

Open Access
Article
Publication date: 23 February 2022

Davide Giacomini, Diego Paredi and Alessandro Sancino

This paper aims to understand stakeholders' sentiments with respect to company policies in the water utilities (WU) sector and to explore if and how these sentiments could be a…

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Abstract

Purpose

This paper aims to understand stakeholders' sentiments with respect to company policies in the water utilities (WU) sector and to explore if and how these sentiments could be a source for organisational learning.

Design/methodology/approach

This study investigates the use of social media in WUs’ and stakeholders’ reactions as a source of data for organisational learning. This paper relies on a mixed-methods approach based on sentiment analysis of Facebook (FB) pages and semi-structured interviews with sustainability managers from a sample of Italian WUs.

Findings

Findings show that WUs increasingly use FB mainly to promote and disclose environmental issues and as a source of information for organisational learning. A longitudinal analysis of environmental disclosure via FB reveals a growing trend of both companies’ posts and stakeholder interactions and significant differences among organisations in their ways of using information and knowledge obtained from social media.

Originality/value

Theoretically, this paper builds an original link between disclosure via social media and organisational learning processes. Empirically, to the best of the authors’ knowledge, this is one of the first studies to identify the quantity and quality of environmental disclosure via FB and the related stakeholders’ reactions.

Details

Meditari Accountancy Research, vol. 30 no. 7
Type: Research Article
ISSN: 2049-372X

Keywords

Article
Publication date: 8 July 2019

Che Ku Hisam Che Ku Kassim, Suraya Ahmad, Noor Emilina Mohd Nasir, Wan Mohd Nazif Wan Mohd Nori and Nur Nariza Mod Arifin

The purpose of this paper is to examine the environmental reporting (ER) practices of the local governments (LGs) in Malaysia. Specifically, it examines the driving motives for ER…

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Abstract

Purpose

The purpose of this paper is to examine the environmental reporting (ER) practices of the local governments (LGs) in Malaysia. Specifically, it examines the driving motives for ER and also the underlying reasons for lack of disclosures in an array of reporting media.

Design/methodology/approach

A self-administered survey is conducted to all LGs in Peninsular Malaysia. The items in the questionnaire are based on the prior literature on social and environmental disclosures made by the public sector organisations (PSOs).

Findings

The results suggest that maintaining and/or improving the legitimacy status is the main driving motive for LGs to provide environmental disclosures in the absence of any regulatory requirements. On the other hand, a lack of skilled staff to handle ER is the primary reason contributing to the lack of environmental information being supplied to stakeholders.

Originality/value

The paper represents one of the few attempts made in examining the ER practices of the LGs within the perspective of a developing country. Insufficient research on this aspect contributes to a limited understanding on the development of ER practices in different economic stage and environment. The findings may be of interest to the relevant authorities in any policy changes that can further improve the extent and quality of environmental disclosures made by the LGs.

Details

Meditari Accountancy Research, vol. 27 no. 4
Type: Research Article
ISSN: 2049-372X

Keywords

Article
Publication date: 7 February 2020

Mohammad Tazul Islam, Katsuhiko Kokubu and Kimitaka Nishitani

The purpose of this study is to test the legitimacy theory (LT) argument in the context of the banking industry of a developing country, taking Bangladesh as a case by…

Abstract

Purpose

The purpose of this study is to test the legitimacy theory (LT) argument in the context of the banking industry of a developing country, taking Bangladesh as a case by interpreting the bank managers’ perceptions in legitimizing corporate social (CS) reporting.

Design/methodology/approach

This study uses the Dhaka Stock Exchange (DSE) listed banks data during a 10-year period (2004–2013) and uses Islam and Kokubu (2018) CS reporting index. The LT variables are tested by using multiple regression method. A mixed-method of research with “triangulation design” has been used in this study for a comprehensive understanding of LT variables. In addition, a total number of 28 interviews (ranges from Corporate Social Responsibility Operational Manager to Managing Director/Chief Executive Officer) from 24 listed banks have been conducted to interpret bank managers’ legitimate perception in CS reporting.

Findings

This study supports the applicability of the broader thrust of LT for the banking industry of the developing economies in three ways. First, for companies with lower “proximity to end-users” by density in population disclose more social information than the companies with higher ones to gain/regain/maintain market legitimacy. Second, newer banks with less scope to reach proximity to end-users disclose more social information to fill proximity to tertiary clients’ gap to meet community expectation. Third, companies disclose more social information in their annual reports to legitimize corporate actions in response to the CS reporting initiatives taken by the stakeholders, particularly regulators.

Research limitations/implications

The main implication of this study is that it extends the applicability of the LT for the developing country, in general, and for the banking industry, in particular.

Originality/value

The study enriches the existing LT literature of the developing economies’ banking industry by providing empirical evidence from the banking system in Bangladesh.

Details

Social Responsibility Journal, vol. 17 no. 2
Type: Research Article
ISSN: 1747-1117

Keywords

Article
Publication date: 1 December 2001

Denis Cormier and Irene M. Gordon

The purpose of this study is to examine three electric utilities, two publicly owned and one privately owned. The basis of this examination is legitimacy theory employing a small…

11993

Abstract

The purpose of this study is to examine three electric utilities, two publicly owned and one privately owned. The basis of this examination is legitimacy theory employing a small sample case‐type approach. In particular we are interested in social and environmental disclosures found in annual reports and how these disclosures differentiate between publicly owned and privately owned enterprises. In our examination we use some traditional efficiency measures but we also employ effectiveness measures relying on the proprietary costs and information costs views in our analysis. Our major findings are that ownership status and size, which are likely to affect legitimacy, influence the amount of social and environmental disclosure. Finally, while environmental disclosures seem to be related to information costs and benefits, this relationship does not seem to hold for social disclosures.

Details

Accounting, Auditing & Accountability Journal, vol. 14 no. 5
Type: Research Article
ISSN: 0951-3574

Keywords

Article
Publication date: 20 June 2019

This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies.

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Abstract

Purpose

This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies.

Design/methodology/approach

This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context.

Findings

As the world approaches the year 2020 – which has been the most looked-forward-to years since the Millennium, offering as it does the opportunity to use “20:20 vision” as a descriptor – it is perhaps useful to look back over those 20 years to understand how far sustainability and environmental concerns have developed with regard to business strategy. While these concerns were prevalent at the turn of the century, they were not mainstream in terms of how they were dealt with by firms, and there was considerable difference in how firms treated them depending on where they were based, how big they were and how it fed into their overall corporate strategy.

Originality/value

The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

Details

Strategic Direction, vol. 35 no. 8
Type: Research Article
ISSN: 0258-0543

Keywords

Article
Publication date: 1 May 2019

Abosede Ijabadeniyi and Jeevarathnam Parthasarathy Govender

The purpose of this paper is to investigate the underlying corporate social responsibility (CSR) factors which trigger consumers’ scrutiny of corporate behavior in the purchasing…

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Abstract

Purpose

The purpose of this paper is to investigate the underlying corporate social responsibility (CSR) factors which trigger consumers’ scrutiny of corporate behavior in the purchasing experience. There is more focus on how the direct effects of CSR can predict consumer behavior than the expression of value-based purchasing habits, especially in relation to how the multidimensionality of consumers’ expectations of CSR indirectly informs such behavior.

Design/methodology/approach

Mall-intercept survey interviews were conducted with 411 shoppers across five shopping malls in South Africa. Data were based on the emotional, social and functional values consumers derive from the purchasing experience vis-à-vis economic, legal, ethical and philanthropic expectations of CSR and analyzed using the path analysis technique of structural equation modeling.

Findings

It was found that the relationship between consumers’ sense of value and purchasing behavior is mediated by perceived fulfillment of legal expectations of CSR (a primary redressing tool). Conversely, the fulfillment of ethical and economic CSR expectations (secondary redressing tools) serves as moderators of the relationship.

Research limitations/implications

The benefit of approaching corporate communication from a value-based perspective is a proactive risk mitigation strategy. Consumers’ sense of value in the purchasing experience is triggered by companies’ adherence to institutionalized law on corporate behavior and reinforced by compliance to code of ethics and financial viability.

Practical implications

This study offers insights for understanding how consumers redress corporate misconduct during crisis through the buying experience and explains how such understanding can be used to better predict and manage crisis communication.

Social implications

The findings of this study suggest that CSR and corporate communication practices should be informed by the taken-for-granted assumptions which underpin espoused consumer values, where negligence of unspoken patterns of CSR-based consumer behavior could signal a crisis risk.

Originality/value

This study offers a model which demonstrates for the first time that consumers implicitly utilize CSR to redress corporate misconduct in the purchasing experience.

Details

Corporate Communications: An International Journal, vol. 24 no. 3
Type: Research Article
ISSN: 1356-3289

Keywords

Article
Publication date: 6 April 2010

John C. Dumay and Jiayang Lu

The purpose of this paper is to examine the reasons for and outcomes of the rhetoric of disclosures of human capital (HC) management practices and to discuss how disclosures could…

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Abstract

Purpose

The purpose of this paper is to examine the reasons for and outcomes of the rhetoric of disclosures of human capital (HC) management practices and to discuss how disclosures could be changed to be more meaningful and appropriate in practice. Thus, the research question of interest to this paper is “Is the rhetoric of HC disclosure achieved in practice?”

Design/methodology/approach

Using a case study approach, the paper utilises content analysis to examine the rhetoric of HC disclosures and the results of HC management practices utilising corporate social responsibility (CSR) reports, newsletters, annual reports, and other publicly available information, with an emphasis on media reports. The case study organisation is Westpac Bank (Australia), chosen because of the transformation in its approach to HC management since 2001 and its reputation as a global leader in CSR practice and reporting.

Findings

The paper illustrates how highly exposed HC disclosures are to scrutiny by both internal and external stakeholders and if the rhetoric is not transformed into practice how the disclosures can be used as a weapon by adversarial stakeholders to attack the organisation and/or attempt to change the balance of power between management and employees. It is argued that it could be more beneficial if HC disclosures were to report on the ongoing struggles and conflicts that are inherent in HC management practice, rather than not admitting to or not mentioning them at all, in order to reduce information asymmetry and build trust in the disclosures so that that the disclosures are less likely to be seen as merely rhetorical arguments.

Research limitations/implications

The paper is limited to one particular organisation from which generalisation is not possible. Since the research is undertaken from outside the organisation, and relies largely on secondary data sources, it thus also relies in part on conjecture about the change processes which occurred inside the organisation.

Originality/value

The paper adds to the emerging discussion of how organisations put their HC management rhetoric into practice and whether or not they achieve their intended outcomes.

Details

Journal of Human Resource Costing & Accounting, vol. 14 no. 1
Type: Research Article
ISSN: 1401-338X

Keywords

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