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1 – 10 of 394Misun Lee, Ralph S. Brower and Daniel L. Fay
This paper analyzes how a national social enterprise policy encourages the social missions of social enterprises and uncovers the relationships between social enterprise…
Abstract
Purpose
This paper analyzes how a national social enterprise policy encourages the social missions of social enterprises and uncovers the relationships between social enterprise governance and labor equity, an area that has been rarely studied in nonprofit governance studies.
Design/methodology/approach
The study analyzes the effects of four legal requirements for work-integrated social enterprises (WISEs) codified by the Social Enterprises Promotion Act (SEPA, 2007) in South Korea. Then, it relies on panel regression analysis (2020–2022) to examine how the compositions of the governance of WISEs are related to their hiring and wage equity.
Findings
The institutional arrangements required by SEPA have resulted in positive social impacts for most WISEs. However, the results of regression models show that individual participant groups in the WISE governance achieved mixed results depending on the labor issue.
Research limitations/implications
Generally, this research explores the concept of diversity and its utility in nonprofit governance, with a particular focus on targeted diversity policies, demonstrating that governance arrangements influence the success of these policies.
Practical implications
The findings bring new insights for policymakers about “altruistic economic entities.” For practitioners in social enterprises, the results of the regression models underscore the importance of understanding the participant composition of decision-making meetings.
Originality/value
This study sheds light on labor equity, which government-certified social enterprises should achieve from the perspective of nonprofit governance.
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In the face of crises, nonprofit organizations (NPOs) have focused on their financial viability but there are other operational aspects to consider (e.g. activity or volunteer…
Abstract
Purpose
In the face of crises, nonprofit organizations (NPOs) have focused on their financial viability but there are other operational aspects to consider (e.g. activity or volunteer involvement). This study aims to investigate whether governance changes made by NPOs in times of crisis have enhanced organizational viability in a broader sense.
Design/methodology/approach
Through community-engaged research, the link between governance changes and organizational viability is examined. This study is based on a survey of 10,926 French NPOs and the conceptual framework of societal orientation.
Findings
They show that changing governance in the midst of a crisis can protect organizational viability, if the beneficiaries and members remain the core of the strategic target and if the content of volunteering remains stable.
Research limitations/implications
This study, therefore, calls for a better study of the risks of governance changes for internal stakeholders, both at the level of scholars and within the organizations themselves. The results extend recent works on governance change and highlight the relevance of societal orientation in times of crisis.
Practical implications
This study helps to counter the criticisms regularly made about governance (particularly in France) and highlights the importance of maintaining the board of directors in NPOs. It invites NPOs to make decisions that protect their values, mission and beneficiaries at all times.
Originality/value
This study focuses on societal orientation in relation to stakeholder theory, as well as the nonfinancial aspects of viability.
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Linda H. Chen, Leslie Eldenburg and Theodore H. Goodman
The purpose of this study is to investigate how two types of drivers, namely, executive compensation and market competition, can affect hospital quality in the USA. Recently…
Abstract
Purpose
The purpose of this study is to investigate how two types of drivers, namely, executive compensation and market competition, can affect hospital quality in the USA. Recently, patients, insurers and regulators have increasingly focused on hospital quality. Understanding the interplay of incentives in this industry is important because in 2019, hospital treatment contributed $1.161bn to health-care costs in the USA. This study answers the call for more studies in the so-called “mixed” industry, where ownership differences can affect organizational objectives and operating constraints.
Design/methodology/approach
This study explores the roles of hospital executive compensation and industry competition as determinants of health-care quality. Specifically, the study probes the heterogeneity in the factors that influence quality across hospital types in the USA.
Findings
Using California hospital data from 2006 through 2020, the findings show that the effects of compensation and competition on hospital quality differ by ownership type. Executive compensation is positively associated with quality in for-profit hospitals but is not associated with that of nonprofit hospitals, suggesting for-profit hospitals are more likely to use higher levels of compensation to attract managers with higher ability, whereas the utility function for nonprofit managers may be multidimensional. Within the nonprofit hospital group, competition is more positively associated with quality for religious nonprofits relative to secular nonprofits, suggesting that competition provides more monitoring for religious hospitals.
Originality/value
Taken together, the findings provide evidence that the drivers of quality vary across hospitals in ways consistent with differences in constraints and objectives across ownership types. The findings are important for regulators seeking to incentivize higher quality. For example, Medicare in the USA has incorporated quality measures into its new hospital reimbursement scheme (value-based purchasing) to incentivize quality. This study proposes that regulators should consider differences across ownership types when evaluating the best ways to incentivize hospital quality.
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Deepali Dhingra and Neeraj Dwivedi
One of the most active areas of study in the field of corporate governance, board interlocks is a phenomenon that is both pervasive and perplexing. This paper aims to examine and…
Abstract
Purpose
One of the most active areas of study in the field of corporate governance, board interlocks is a phenomenon that is both pervasive and perplexing. This paper aims to examine and integrate the empirical research on board interlocks to fill the void left by the lack of a recent review.
Design/methodology/approach
The bibliometric analysis methodology, which emphasizes methodological rigor and transparency, was used to analyze the board interlocks literature. Eighty publications published since 2000 were chosen as the subject of this research because they reveal the key contributions to the field of board interlocks. Additionally, their clustering pattern is also identified.
Findings
The authors classify various studies conducted on board interlocks into three clusters: “Social Capitalization”, “Antecedents and Outcomes” and “Corporate Governance”.
Originality/value
This literature review helps better comprehend the board interlocks literature by pointing out several areas of study that, if pursued, would add to the existing body of knowledge and open future research directions.
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The modern corporation is evaluated by many measures that go beyond profit, which was the emphasis for years previously. Today’s corporation is weighed against expectations of…
Abstract
Purpose
The modern corporation is evaluated by many measures that go beyond profit, which was the emphasis for years previously. Today’s corporation is weighed against expectations of many stakeholders, including not just customers but employees, investors, the government and even the public at large with no discernible financial or other tie to a company. As such, corporate boards necessarily must be concerned with more than financial performance, including corporate social responsibility (CSR) and the increasing emphasis on environmental, social and governance (ESG) metrics. Given that public relations scholars and practitioners have long been concerned with stakeholder relationships, social responsibility and other non-financial indicators, it would make sense that public relations has a more obvious presence on corporate boards.
Design/methodology/approach
This study examined the 25 companies in the Fortune Modern Board 25 to determine how many board members had a background or expertise in public relations that would contribute to the leadership necessary for the concerns of the modern corporation, and whether the boards had a committee designated to public relations or related functions.
Findings
Results show that there are few corporate boards that have public relations represented prominently in either their members or committees. The same is true for executive leadership teams. Public relations or communications executives do appear to play some role in ESG, CSR and DEI reporting, but often there are staff members with those specific titles and roles.
Research limitations/implications
The study was limited to 25 corporations on a Forbes list that ranked them as best in communicating ESG, CSR and DEI. The method examined publicly available literature which was revealing to the research questions, but more could be learned by interview or survey with CCOs.
Practical implications
The study shows the current presence of public relations capacity in terms of members of corporate boards, corporate committees and among the C-suite is not significant. Also, rather than PR as a function owning modern concerns of DEI, ESG and CSR, there are professionals with specific expertise in those areas who are responsible for those corporate issues.
Social implications
Corporate social responsibility (CSR), ESG (environmental, social, governance) and DEI (diversity, equity and inclusion) have recently been stressed as important for corporations to measure and report. The role of the public relations profession in managing and/or communicating in these areas is important to consider in terms of public expectations and satisfaction of communication on these subjects.
Originality/value
This paper is unique in integrating public relations theory and practice with board theory and the current management concerns with ESG, CSR and DEI. Little if any previous research has considered which professions are in charge of communicating on these concerns.
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Erik L. Lachance and Milena M. Parent
Pressures from non-profit sport organizations’ (NPSOs) external environment influence governance structures and processes. Thus, this study explores the impact of external factors…
Abstract
Purpose
Pressures from non-profit sport organizations’ (NPSOs) external environment influence governance structures and processes. Thus, this study explores the impact of external factors on NPSO board decision making.
Design/methodology/approach
Using a sample of six NPSO boards (two national, four provincial/territorial), data were collected via 36 observations, 18 interviews, and over 900 documents. A thematic analysis was conducted via NVivo 12.
Findings
Results identified two external factors impacting NPSO board decision making: the sport system structure and general environment conditions. External factors impacted NPSO board decision making in terms of duration, flow, interaction, and scrutiny.
Originality/value
Results demonstrate the need for NPSO boards to engage in boundary-spanning activities whereby external information sources from stakeholders are incorporated to make informed decisions. Practically, NPSO boards should harness virtual meetings to continue their operations while incorporating risk management analyses to assess threats and opportunities.
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Faris Shalahuddin Zakiy, Falikhatun Falikhatun and Najim Nur Fauziah
This paper aims to investigate the impact of sharia governance on organizational performance in zakat management institutions in Indonesia over the period 2017–2021.
Abstract
Purpose
This paper aims to investigate the impact of sharia governance on organizational performance in zakat management institutions in Indonesia over the period 2017–2021.
Design/methodology/approach
This study examined 33 zakat management organizations in Indonesia from 2017 through 2021 for 151 observations. Gross allocation ratio and growth of ZIS collection are used as organizational performance measures. The independent variables in this study are board of director size, educational background of the board of directors, sharia supervisory board size, sharia supervisory expertise, supervisory size and management size. Also, the study uses size, age and audit opinion as control variables to help measure the relationship between sharia governance and organizational performance.
Findings
This study shows that the board of directors and supervisory size positively and significantly affect organizational performance. Then, the educational background of board of directors has a negative and significant effect on organizational performance. In Model 1, sharia supervisory board size has a positive and significant effect on organizational performance, but in Model 2, sharia supervisory board size does not. Meanwhile, sharia supervisory expertise and management board size do not affect organizational performance.
Practical implications
The findings in this study illustrate the importance of transparency in the zakat management organization. Transparency helps minimize conflicts of interest and information asymmetry in the zakat management organization. In addition, sharia governance mechanism helps regulators and top management to make effective policies to improve and enhance organizational performance.
Social implications
Sharia governance is essential for zakat management organizations to increase accountability, credibility and public trust and support the practice of zakat management organizations.
Originality/value
This study discusses sharia governance and organizational performance in socioreligious organizations, especially zakat management organizations, which are still rarely carried out. Thus, this study broadens the insights of sharia governance and highlights the importance of performance appraisal in zakat management organizations.
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Charity P. Scott and Nicole Rodriguez Leach
Exploring how racism continues to persist throughout public and nonprofit organizations is central to undoing persistent society-wide injustices in the United States and around…
Abstract
Purpose
Exploring how racism continues to persist throughout public and nonprofit organizations is central to undoing persistent society-wide injustices in the United States and around the globe. The authors provide two cases for identifying and understanding the ways in which philanthropy’s whiteness does harm to K–12 students and communities of color.
Design/methodology/approach
In this article, the authors draw on critical race theory and critical whiteness studies, specifically Cheryl Harris' work to expose the whiteness of philanthropy, not as a racial identity, but in the way that philanthropy is performed. The authors characterize one of the property functions of whiteness, the right to exclude, as working through two mechanisms: neoliberal exclusion and overt exclusion. Drawing on this construction of the right to exclude, the authors present two cases: the Bill & Melinda Gates Foundation and the City Fund.
Findings
Whether intentional or not, the Gates Foundation and the City Fund each exclude communities of color in several ways: from changes to schools and districts, parents' experiences navigating school enrollment due to these changes, to academic assessments and political lobbying.
Originality/value
These cases provide a way for researchers and practitioners to see how organizations in real time reify the extant racial hierarchy so as to disrupt such organizational processes and practices for racial justice.
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Caner Asbaş and Şule Erdem Tuzlukaya
Spirituality refers to the relationship that individuals have with something greater than themselves. It is an inner experience that includes a sense of transcendence, a…
Abstract
Spirituality refers to the relationship that individuals have with something greater than themselves. It is an inner experience that includes a sense of transcendence, a connection to a higher power, or a sense of purpose or meaning. Nonprofit organizations can be defined as a unique category of organizations whose primary goal is not to make a profit. They represent a wide range of collective action and have long been collaborators with public governance systems in both developed and developing economies.
In the current socioeconomic structure, nonprofit organizations have become prominent policy actors, responsible for producing and distributing goods and services. To fulfill their responsibilities, these organizations rely on spirituality as a means of obtaining resources.
While contemporary nonprofit organizations have evolved from religious charities of the past, it would be incorrect to suggest that religious influences have disappeared completely. In fact, today's nonprofit organizations and charity sector exist on a spectrum that can be defined along a religious – secular axis, under the influence at different levels.
As modern nonprofit organizations are directly affected by contemporary organizational processes and principles, it is essential to examine spirituality in such organizations, regardless of whether they are religiously affiliated or not. This chapter examines the relationship between spirituality and nonprofit organizations, while also assessing their organizational effectiveness, career opportunities, leadership approaches, teamwork, job satisfaction and job dedication, in terms of spirituality and spiritual intelligence not only from a religious and cultural perspective, but also from an organizational one.
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Noel Hyndman and Mariannunziata Liguori
There has been limited research on why football clubs contribute to charity. This paper examines how football clubs and their charitable conduits report information when…
Abstract
Purpose
There has been limited research on why football clubs contribute to charity. This paper examines how football clubs and their charitable conduits report information when discussing their connectedness. In addition, it explores reasons why, and the extent to which, football clubs support altruism via such charitable vehicles.
Design/methodology/approach
Case studies of four major football teams (Manchester City/Manchester United in England and AC Milan/Inter Milan in Italy) are discussed, with formal reports of the clubs and their associated charitable conduits being analysed.
Findings
Boundaries between the clubs and their charitable conduits are frequently blurred. Evidence suggests that acknowledging the co-existence of different factors may help to understand what is reported by these organisations and address some of the caveats in terms of autonomy and probity of their activities and reporting practices.
Research limitations/implications
The research uses case studies of four major ‘powerhouses’ of the game and their associated charitable spinoffs. While this is innovative and novel, expanding the research to investigate more clubs and their charitable endeavours would allow greater generalisations.
Practical implications
The study provides material that can be used to reflect on the very topical subject of ‘sportswashing’. This has the potential to input to deliberations relating to the future governance of the game.
Originality/value
The paper explores relationships between businesses and charities/nonprofits in a sector so far little investigated from a charitable accountability perspective. It suggests that motives for engaging in charitable activity and highlighting such engagement may extend beyond normal altruism or warm-glow emotions.