Exploring the integration of corporate sustainability into strategic management: a literature review

Introducing corporate planning. guide to strategic management: Pergamon Press, Oxford, 1991, XVIII + 245 pages, £ 16.50, ISBN 008041043X

Liz Nickels leafs through past issues of Metal Powder Report to find out what was happening in the PM industry of the past

On corporate sustainability integration research: Analysing corporate leaders' experiences and academic learnings from an organisational culture perspective

During more than three decades, corporate non-financial and sustainability reporting has been widely conceived as a voluntary practice, a matter of going beyond the requirements of the law. Therefore, it has been traditionally overlooked by legal and socio-legal scholars. However, during the last decade things have rapidly changed. We are currently witnessing the emergence of a mix of mandatory and voluntary regulatory approaches to Corporate Sustainability Accounting (CSA) and the integration of some elements of non-financial reporting into accounting standards. What explains these changes in CSA regulation within the EU arena, at different levels of regulation and through varying modes of governance? More specifically, which political and socioeconomic actors are driving the current emergence of CSA regulation? What are their interests? How are these different actors organizing and mobilizing themselves? How and why do they succeed in creating regulatory changes? This research has been based on three main sources of data: documents analysis; literature review; in-depth elite interviews (26). It has also been strengthened by a participant observation of five months at the EU Commission, collaborating to the legal drafting and Impact Assessment of the new EU directive on non-financial reporting. The criteria for designing the fieldwork have been based on the idea of mapping the position of six groups of actors interested in shaping the emergence of CSA regulation. The groups of actors considered are: managers of large corporations; organized labour; civil society and NGOs; institutional investors; public authorities; and professional experts (accountants; financial analysts; lawyers). The analytical framework deployed by this study is a Bourdieusian reflexive socio-legal approach (see Madsen and Dezalay 2002; Madsen 2011), used as an over-arching research strategy in conjunction with the existing literature (see Gourevitch and Shinn 2005; Graz 2006; Crouch 2011; Streeck 2011). The study claims that the struggles for regulating CSA should be seen as a lens for analyzing broader changes in the field of European corporate governance regulation and in the relation between business and society. A main finding of the Doctoral Thesis, something that has been argued for throughout the study, is that the accounting field has developed a historically specific relation of structural homology with the economic field. Therefore, Chapter 3 argues that the emergence of ‘social accounting’ regulation, in the 1970s, mirrored contemporaneous debates about ‘industrial democracy’. Similarly, the ‘financialisation’ of the 1990s and 2000s has mirrored the structuration of accounting standards narrowly focused only on financial information. Today, the emergence of ‘sustainability accounting’ regulation in Europe reflects and constructs the political attempt to build a regime of capital accumulation aimed at creating longer-term and ‘sustainable’ growth. More specifically, drawing on interviews with key informants and documents analysis, the study argues that financial turbulences and corporate scandals at the beginning of the 2000s fostered the inception of a European ‘transparency coalition’ (see Gourevitch and Shinn 2005) led b y investors and including NGOs and part of the trade unions, which drove a series of reforms in the areas of corporate governance and corporate responsibility. The 2008 financial crisis worked as a catalyst for strengthening this regulatory trend and for fostering a stronger role of the state in its regulatory role. Therefore, we are also witnessing the integration of corporate sustainability in company law and corporate governance regulation and the convergence of financial and non financial aspects in the regulation of corporate reporting. However, it is too early to say whether this coalition will overcome the opposition of managers, who favour a voluntary approach and are lobbying against mandatory non-financial reporting. The study also questions the potential of the ‘transparency coalition’ to build a new regime of governance of the economy, not just corporate governance. The dissertation consists of six chapters. Chapter 1 introduces objectives, questions and key concepts. It contains a preliminary conceptualization of the field of research and the research questions. Chapter 2 has been focused on the critical review of the literature and of existing explanations of the emergence of CSA regulation. Furthermore, it presents the socio-legal reflexive methodological and epistemological approach that has been adopted to explain the emergence of this new multi-level regulatory framework. In Chapter 3, the reader can find a summary of the long term development of non-financial reporting during over four decades, starting from the 1970s’ (see also Annex I). Chapters 4 and 5 narrow down the empirical research, focusing on a more limited periodisation (mid-1990s to 2011) and on the case study of the struggles for shaping an EU-level regulatory framework for non-financial reporting. The aim of Chapter 4 and 5 has been to empirically strengthen the broader analysis outlined in Chapter 3, on the basis of the data collected during the fieldwork. Chapter 6 concludes summarising the key arguments and offering some reflections on future researches. (Less)

Investigating context factors in the strategic management of corporate sustainability integration

PurposeThis paper seeks to describe an integrated management systems (IMS) approach for the integration of corporate sustainability into business processes.Design/methodology/approachAn extensive review of published literature was conducted. Building on existing research, the paper presents an original framework for structuring the integration of corporate sustainability with existing business infrastructure. The framework is supported by a detailed set of diagnostic questions to help guide the process. Both the framework and the diagnostic questions are based on the “Plan‐Do‐Check‐Act” cycle of continuous improvement.FindingsThe paper highlights the need for a systematic means to integrate sustainability into business processes. Building on that point, the paper illustrates how an IMS approach can be used to structure the entire process of managing, measuring, and assessing progress towards corporate sustainability.Practical implicationsThe paper should be of interest to both practitioners and researchers. The framework and diagnostic questions will help guide decision makers through the process of building sustainability into their core business infrastructure. Since the framework and diagnostic questions provide the flexibility to accommodate specific organizational contexts, it is anticipated that they will have wide applicability.Originality/valueThe paper makes several contributions. The framework provides a systematic approach to corporate sustainability that has not been elaborated on in previous publications. The unique set of diagnostic questions provides a means to evaluate the extent to which corporate sustainability has been integrated into an organization.

The integration of corporate sustainability (CS) and corporate social responsibility (CSR) topics into accounting ethics education is a beneficial goal, but it poses numerous challenges. This chapter optimizes the benefits and addresses the challenges by exploring the conceptual and practical equivalencies between (a) the development of individuals who are ethical and socially responsible, and who are focused on producing sustainable outcomes, and (b) the development of organizations that are likewise ethical, socially responsible and sustainable in nature. First, from a conceptual perspective, we connect common ethical theories and concepts in accounting ethics education to related CS and CSR concepts and tools. This task demonstrates to accounting students that the ethical principles and concepts that support accounting professionals at an individual level reflect similar CS and CSR concepts that enable success at an organizational level. Second, from a practical perspective, we apply several common CS and CSR measurement tools to an academic case analysis, supplemented by brief references to other historical events. These exercises challenge students to learn to manage data resources as a means of enabling the management of tangible CS and CSR resources; they highlight the need for accountants to develop valid and reliable information systems to manage our societal and environmental assets. The integration of ethics with CS and CSR concepts is a mutually reinforcing activity; it is thus beneficial to the field of accounting ethics education. The moral development of sustainable accounting professionals can contribute to the growth of sustainable businesses; by exploring these connections, educators can reinforce the importance of moral development in students, thereby enabling the sustainable success of individuals, organizations, and societies.

Which internal corporate governance mechanisms drive corporate sustainability?

Purpose: The ready-made garments sector in Bangladesh contributes to 81.82% of national exports and employs well over four million workers. Nonetheless, this sector encounters substantial challenges in implementing circular economy principles to achieve corporate sustainability. This study identifies essential factors that can enhance corporate sustainability in the ready-made garments sector of emerging economies by addressing significant issues, challenges, and opportunities related to supply chain management, technology, government policies, and circular economy principles. The study presents a research paradigm for achieving corporate sustainability based on a rigorous evaluation of the literature. Methods: The study employs systematic reviews using the PRISMA strategy to retrieve comprehensive documentation. This methodology enables a comprehensive scoping of exploratory themes, adjusting search terms repeatedly to gather interdisciplinary perspectives on the integration of corporate sustainability into the circular economy. Results: The research highlights the importance of corporate sustainability within the Bangladeshi ready-made garments sector, focusing on technology, government involvement, supply chain dynamics, and the circular economy. Despite financial limitations, infrastructural challenges, and talent deficiencies, the industry has the potential for environmental, social, economic, and political sustainability. Originality: This study presents a novel framework that examines the interplay of technological capabilities, supply chain flexibility, governmental influence, and the circular economy within Bangladesh's ready-made garment sector, aiming to achieve corporate sustainability. Implications: The research offers industry practitioners valuable insights for enhancing technical training, implementing regulatory reforms, and advancing infrastructure development, thereby facilitating an effective transition to a circular economy. This understanding can help governmental entities and industry leaders craft policies that strike a balance between environmental, economic, political, and social responsibilities.

Purpose: The study’s goal is to examine the effect of corporate sustainability dimensions on service innovation. It further investigates the moderating role of the absorptive capability of the firm.Design/methodology/approach: Using purposive sampling, data are collected from individuals in service firms across diverse industrial sectors in Ghana. A total of 628 questionnaires were dispersed to diverse service enterprises within the period from March 2021 to June 2021. After the data collection, the response rate achieved was 82% translating into over 500 answered questionnaires. A total of 514 answered questionnaires are used for empirical analysis.Findings/results: The outcome of the study indicates environmental sustainability practices, economic sustainability practices and social sustainability practices had an impact on the service innovation process and outcome. In addition, absorptive capabilities of service enterprises are found to positively moderate the link amid the scopes of corporate sustainability practices and service innovation.Practical implications: Managers and firms need to implement their internal innovation capabilities in order to derive significant and positive effects on corporate sustainability practices. The integration of corporate sustainability and service innovation in small and medium enterprises (SMEs) is imperative.Originality/value: The outcome of the research contributes to the increasing body of literature on the liaison between corporate sustainability and service innovation by offering insights into environmental, social and economic sustainability practices. This shapes the sustainability direction and procedures towards the transmittal of value-added services.

The aim of this study is to examine how the permeability of organizational boundaries shapes corporate sustainability (CS) integration. The literature suggests that CS should be integrated throughout the organization and in its relationships with key, external stakeholders, but limited knowledge exists on the relationship between CS integration and the characteristics of the multiple, co‐existing boundaries which define the organization (hierarchies, functions, professions, etc.). Based on a partial least squares structural equation modeling (PLS‐SEM) analysis of survey responses from over 7000 organization members in three Nordic countries (Denmark, Norway, and Sweden), this study demonstrates that the permeability of organizational boundaries increases the level of CS integration and reduces the level of organizational tensions. Moreover, the findings show that boundary permeability becomes increasingly important for understanding CS integration as the size of the organization increases. The findings deepen our knowledge of organizational boundaries and show how these “sites of difference” influence the level of CS integration.

This systematic literature review explores the integration of corporate sustainability (CS) into entrepreneurship education (EE) within higher education institutions (HEIs). The growing emphasis on sustainable development highlights the need for future entrepreneurs to adopt sustainable business practices. By analyzing 43 relevant articles from 2013 to 2024 in the Scopus database, the review identifies the significant role of EE in fostering responsible entrepreneurship. It highlights the necessity for innovative pedagogical approaches and stakeholder involvement to effectively embed sustainability in entrepreneurship education, thereby preparing students to contribute to a sustainable future. The findings underscore the importance of interdisciplinary learning and highlight the need for higher education institutions (HEIs) to overcome challenges in teaching sustainability-related courses. This review provides insights and recommendations for educators and policymakers to enhance the integration of corporate sustainability into entrepreneurship education.

Setting corporate vision, strategy, and associated unit-based strategic goals are crucial for any company to create and to sustain the competitive advantage. This concept has been frequently discussed in theory and practice. The case is no different from the innovation perspective of enterprises. Therefore, this article is aimed at exploring the integration of balanced scorecard into innovative strategic management, providing a framework of interrelated issues based on the existing literature and application areas in this research field. Along with the brief review of innovation based strategic management, which includes 13 peer reviewed journal articles; 8 book chapters, 41 peer-reviewed scientific journal articles, including a content analysis, was conducted to show the last ten years of the balanced scorecard approach from the innovation perspective. The literature review revealed that: (1) the number of related publications on the topic is showing similarity over the last few years; (2) the explored research field has been mainly grounded on balanced scorecard research, but has also been enriched by innovation perspective; and (3) there are wide range of industry applications based on innovation conducted for the balanced scorecard approach. The literature review provides a summary of the most important issues that emerged in this field which can shed lights on the new opportunities and challenges for further research.

Corporate sustainability practices are vital to business survival. Hence, the need for targeted sustainable actions and corporate strategies capable of stimulating competitive advantage in terms of profitability and long-term existence of business entities. To this end, the study examines the influence of management commitment as an organisational factor on corporate sustainability integration in Ghana using corporate strategic decision-making as a mediating variable. Primary data was collected from SME owners and managers in Ghana; and the Warp partial least squares (PLS) estimation technique of the Structural Equation Model (SEM) was adopted for the analysis. The study makes a significant contribution to theory and knowledge in the context of SMEs within the corporate sustainability discourse. The study is situated on the empirical literature on the relevant concepts. This is followed by the methodology, analysis, discussions, findings, conclusions, contribution to knowledge, managerial implications, recommendations and limitations, followed by direction for future studies.

Over the past 30 years, scholars have been calling for modern management theory and research to consider how strategic management tools could be applied to enhance corporate sustainability. While strategic management for sustainability has emerged as a multidisciplinary field, the existing knowledge base has yet to be systematic reviewed. This paper responded to the literature gap by conducting a bibliometric review of strategic management for sustainability. The paper aimed to document the landscape and composition of this literature through the analysis of 988 relevant Scopus-indexed documents. Data analyses found that the strategic management for sustainability knowledge base remained an emergent field with increasing interests from diverse groups of international scholars in various fields, particularly in environmental science, engineering, and strategic business management. Over the past three decades, the literatures have been continuously grown from a few publications in the early 1990s to almost 1000 documents to date. The review found that the most influential journals and authors of this knowledge base were international in scope but predominately from Western developed countries. Five Schools of Thought from author co-citation analysis revealed the intellectual clustering composition of the knowledge base on strategic management for sustainability: corporate sustainability strategy, sustainable waste management, strategic sustainability systems, strategic sustainability management and entrepreneurship, and sustainability assessment strategy. Key topics addressed in this research include the distribution of documents across the most highly cited journals, reflecting the breadth, quality and influential scholars in the strategic management for sustainability knowledge domain, naming of the influential scholars in the field and identification of contemporary foci and research front in the existing literature through the keyword co-occurrence analysis and co-word map. The strategic management for sustainability field has evolved from the key topics related to the green movement at the policy-driven macro level (i.e., ecological or environmental protection/impact, water/waste management and natural resource conservation) to the practicality in organizations with the topics related to social strategic responsibility and business management issues (i.e., corporate strategy, project management, supply chain management, information management, adaptive management, corporate sustainability). In addition to a retrospective, insightful prospective interpretation, practical implication, limitations and future research direction are discussed.