Abstract
The main theoretical themes running through this book have been agency theory and the associated problems of adverse selection, information asymmetry and moral hazard. In an effort to control the behaviour of managers (agents) and the workforce, the focus of attention for academics and practitioners has been on techniques to improve corporate governance. Others have put forward more imaginative solutions to address potential conflicts of interest. For instance, tapping into the employees’ Emotional Quotient (Goleman, 1998) or allowing them to find expression through art (http://www.artquotient.com) may improve productivity and thus enhance shareholder value. This chapter develops this theme by focussing on the ‘Spiritual Quotient’ (SQ), a dimension that is usually neglected but one that may have a crucial role to play in addressing the problems associated with agency theory.
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