TY - JOUR

T1 - Joint Management-Stakeholder Committees

T2 - A New Path to Stakeholder Governance?

AU - Spitzeck, Heiko

AU - Hansen, Erik G.

AU - Grayson, David

PY - 2011/10

Y1 - 2011/10

N2 - Purpose – This paper aims to describe the emerging practice of joint management-stakeholder-committees (JMSCs) in which corporate executives take decisions in collaboration with stakeholders.Design/methodology/approach – To identify firms involving stakeholders in their governance arrangements, the authors analysed 51 companies regularly participating in Business in the Community's Corporate Responsibility Index in the UK. The data provided by the index as well as corporate reports were then analysed to evaluate the impact of JMSCs on corporate decision-making.Findings – The research finds that JMSCs strongly influence corporate governance mechanisms such as monitoring and measurement as well as the policy development of firms.Research limitations/applications – The analysis builds on corporate responses given to the questionnaire sent by the Corporate Responsibility Index as well as corporate reports. Future research is encouraged to triangulate findings with stakeholder opinions on the effectiveness of JMSCs.Practical implications – JMSCs prove to be an effective tool to involve stakeholders in corporate decision-making processes. Owing to their effectiveness JMSCs are more likely to create trust between firms and their stakeholders.Originality/value – The paper is the first empirical investigation into the effectiveness of engaging stakeholders in joint management-stakeholder committees, demonstrating the impact and effectiveness of such engagement.

AB - Purpose – This paper aims to describe the emerging practice of joint management-stakeholder-committees (JMSCs) in which corporate executives take decisions in collaboration with stakeholders.Design/methodology/approach – To identify firms involving stakeholders in their governance arrangements, the authors analysed 51 companies regularly participating in Business in the Community's Corporate Responsibility Index in the UK. The data provided by the index as well as corporate reports were then analysed to evaluate the impact of JMSCs on corporate decision-making.Findings – The research finds that JMSCs strongly influence corporate governance mechanisms such as monitoring and measurement as well as the policy development of firms.Research limitations/applications – The analysis builds on corporate responses given to the questionnaire sent by the Corporate Responsibility Index as well as corporate reports. Future research is encouraged to triangulate findings with stakeholder opinions on the effectiveness of JMSCs.Practical implications – JMSCs prove to be an effective tool to involve stakeholders in corporate decision-making processes. Owing to their effectiveness JMSCs are more likely to create trust between firms and their stakeholders.Originality/value – The paper is the first empirical investigation into the effectiveness of engaging stakeholders in joint management-stakeholder committees, demonstrating the impact and effectiveness of such engagement.

KW - Sustainability sciences, Management & Economics

KW - Corporate Governance

KW - corporate responsibility

KW - governance structures

KW - management activities

KW - Stakeholder

KW - stakeholder analysis

KW - stakeholder governance

KW - Corporate governance

KW - Corporate responsibility

KW - Governance structures

KW - Management activities

KW - Stakeholder

KW - Stakeholder analysis

KW - Stakeholder governance

UR - http://www.scopus.com/inward/record.url?scp=80055032065&partnerID=8YFLogxK

U2 - 10.1108/14720701111176975

DO - 10.1108/14720701111176975

M3 - Journal articles

VL - 11

SP - 560

EP - 568

JO - Corporate Governance

JF - Corporate Governance

SN - 1472-0701

IS - 5

ER -