This study presents a novel examination of the influence of environmental, social, and governance (ESG) scores on the resilience of financially distressed Indian companies, integrating a wavelet‐enhanced quantile regression approach. The analysis, rooted in the context of the Paris Agreement and sustainable finance, employs a comprehensive dataset of the top 512 listed Indian companies from 2012 to 2023. Our findings reveal that high ESG scores significantly bolster company resilience during financial distress, highlighting the dual benefits of sustainable practices on corporate stability and environmental impact. Additionally, the paper underscores the pivotal role of wavelet analysis in capturing the multifaceted effects of ESG scores across various industries and financial distress quantiles, thereby offering a more nuanced understanding of ESG impacts. These insights not only contribute to the academic discourse on sustainable finance but also offer practical implications for policymakers and corporate strategists aiming to align financial performance with sustainable development goals (SDGs). ESG scores at which financial distress no longer negatively affects the firm's value are provided. These ESG scores range between 33.153 and 33.456 and are driven by the median of the conditional distribution of the firm's value. Policy implications are discussed.
{"title":"The Role of ESG Performance in Moderating the Impact of Financial Distress on Company Value: Evidence of Wavelet‐Enhanced Quantile Regression With Indian Companies","authors":"Ashutosh Yadav, Simplice A. Asongu","doi":"10.1002/bse.4118","DOIUrl":"https://doi.org/10.1002/bse.4118","url":null,"abstract":"This study presents a novel examination of the influence of environmental, social, and governance (ESG) scores on the resilience of financially distressed Indian companies, integrating a wavelet‐enhanced quantile regression approach. The analysis, rooted in the context of the Paris Agreement and sustainable finance, employs a comprehensive dataset of the top 512 listed Indian companies from 2012 to 2023. Our findings reveal that high ESG scores significantly bolster company resilience during financial distress, highlighting the dual benefits of sustainable practices on corporate stability and environmental impact. Additionally, the paper underscores the pivotal role of wavelet analysis in capturing the multifaceted effects of ESG scores across various industries and financial distress quantiles, thereby offering a more nuanced understanding of ESG impacts. These insights not only contribute to the academic discourse on sustainable finance but also offer practical implications for policymakers and corporate strategists aiming to align financial performance with sustainable development goals (SDGs). ESG scores at which financial distress no longer negatively affects the firm's value are provided. These ESG scores range between 33.153 and 33.456 and are driven by the median of the conditional distribution of the firm's value. Policy implications are discussed.","PeriodicalId":9518,"journal":{"name":"Business Strategy and The Environment","volume":"118 1","pages":""},"PeriodicalIF":13.4,"publicationDate":"2025-01-09","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142940263","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
In this study, we explore the impacts of the waste recycling ratio as a proxy for circular economies on sectoral productivity in the European Union between 2000 and 2021. We present a productivity model that contextualizes the industry's transition to green economies, namely, the green productivity model, in which we adapt neoclassical productivity models by considering energy intensity and the development of green technologies. After estimating the results using FGLS and PCSE, we understand that a higher availability of secondary raw materials contributes to the European productivity functions in different industries, but this effect is limited as exponential increases in these materials reduce productivity. To ensure the efficiency of policies aimed at consolidating circular economies, we propose policy recommendations that leverage economies of scale and scope to improve the efficiency of European industries while contributing to the circular cycle of their own productivity externalities.
{"title":"Circular Economies and Sectoral Green Productivity in the European Union","authors":"Gonzalo Hernández Soto","doi":"10.1002/bse.4132","DOIUrl":"https://doi.org/10.1002/bse.4132","url":null,"abstract":"In this study, we explore the impacts of the waste recycling ratio as a proxy for circular economies on sectoral productivity in the European Union between 2000 and 2021. We present a productivity model that contextualizes the industry's transition to green economies, namely, the green productivity model, in which we adapt neoclassical productivity models by considering energy intensity and the development of green technologies. After estimating the results using FGLS and PCSE, we understand that a higher availability of secondary raw materials contributes to the European productivity functions in different industries, but this effect is limited as exponential increases in these materials reduce productivity. To ensure the efficiency of policies aimed at consolidating circular economies, we propose policy recommendations that leverage economies of scale and scope to improve the efficiency of European industries while contributing to the circular cycle of their own productivity externalities.","PeriodicalId":9518,"journal":{"name":"Business Strategy and The Environment","volume":"12 1","pages":""},"PeriodicalIF":13.4,"publicationDate":"2025-01-08","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142936627","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
E. Spada, D. Carlucci, L. Cembalo, G. Chinnici, M. D'Amico, G. Falcone, G. Giannoccaro, G. Gulisano, N. Iofrida, S. Stempfle, A. I. De Luca
In the agri‐food sector, the valorization of by‐products according to a circular economy (CE) approach can be a viable solution to increase profits and improve business resilience. However, to facilitate its implementation and dissemination, it is necessary to validate the application of CE approaches in real case studies and as well as to verify their economic sustainability. This paper analyses the adoption of different circular paths of real case studies in the olive oil supply chain and assesses their degree of circularity through the Material Circularity Indicator (MCI) and economic sustainability through life cycle costing (LCC). As evidenced in the scientific literature, these methodologies represent the optimal approach to assess the impact of circularity in agri‐food processes on companies' sustainability strategies. Moreover, the results can be integrated to facilitate progress toward ever‐greater sustainability. Findings show that the degree of circularity varies according to the different strategies adopted, highlighting better economic viability of firms that adopt CE strategies, whose profits are less sensitive to changes in input and output prices and therefore more resilient from an economic point of view when market fluctuations occur.
{"title":"Evaluating Circular Strategies for the Resilience of Agri‐Food Business: Evidence From the Olive Oil Supply Chain","authors":"E. Spada, D. Carlucci, L. Cembalo, G. Chinnici, M. D'Amico, G. Falcone, G. Giannoccaro, G. Gulisano, N. Iofrida, S. Stempfle, A. I. De Luca","doi":"10.1002/bse.4121","DOIUrl":"https://doi.org/10.1002/bse.4121","url":null,"abstract":"In the agri‐food sector, the valorization of by‐products according to a circular economy (<jats:sc>CE</jats:sc>) approach can be a viable solution to increase profits and improve business resilience. However, to facilitate its implementation and dissemination, it is necessary to validate the application of <jats:sc>CE</jats:sc> approaches in real case studies and as well as to verify their economic sustainability. This paper analyses the adoption of different circular paths of real case studies in the olive oil supply chain and assesses their degree of circularity through the Material Circularity Indicator (MCI) and economic sustainability through life cycle costing (LCC). As evidenced in the scientific literature, these methodologies represent the optimal approach to assess the impact of circularity in agri‐food processes on companies' sustainability strategies. Moreover, the results can be integrated to facilitate progress toward ever‐greater sustainability. Findings show that the degree of circularity varies according to the different strategies adopted, highlighting better economic viability of firms that adopt <jats:sc>CE</jats:sc> strategies, whose profits are less sensitive to changes in input and output prices and therefore more resilient from an economic point of view when market fluctuations occur.","PeriodicalId":9518,"journal":{"name":"Business Strategy and The Environment","volume":"35 1","pages":""},"PeriodicalIF":13.4,"publicationDate":"2025-01-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142935694","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Siarhei Manzhynski, Frank Figge, Andrea Stevenson Thorpe
Sustainability issues are associated with numerous tensions. These tensions are sometimes being referred to as wicked or even paradoxical. As long as tensions stay latent for organizational members, they will not be perceived and, thus, will not be adequately managed. The question of how tensions become salient is therefore of particular interest. Prior research suggests that contextual and cognitive factors render latent tensions salient and argues that advanced cognition is required to recognize sustainability tensions. In this paper, we show that developing cognition is only one possible strategy. We argue that information links a situation with actors' cognition and is therefore vital for rendering latent sustainability tensions salient. We show that simplifying information and making information more complex are two additional ways to recognize sustainability tensions. The situation–information–cognition (SIC) rule we develop in this article shows when and under which conditions the three strategies apply interchangeably or in combination.
{"title":"Making Sustainability Tensions Salient: Changing Information or People?","authors":"Siarhei Manzhynski, Frank Figge, Andrea Stevenson Thorpe","doi":"10.1002/bse.4123","DOIUrl":"https://doi.org/10.1002/bse.4123","url":null,"abstract":"Sustainability issues are associated with numerous tensions. These tensions are sometimes being referred to as wicked or even paradoxical. As long as tensions stay latent for organizational members, they will not be perceived and, thus, will not be adequately managed. The question of how tensions become salient is therefore of particular interest. Prior research suggests that contextual and cognitive factors render latent tensions salient and argues that advanced cognition is required to recognize sustainability tensions. In this paper, we show that developing cognition is only one possible strategy. We argue that information links a situation with actors' cognition and is therefore vital for rendering latent sustainability tensions salient. We show that simplifying information and making information more complex are two additional ways to recognize sustainability tensions. The situation–information–cognition (SIC) rule we develop in this article shows when and under which conditions the three strategies apply interchangeably or in combination.","PeriodicalId":9518,"journal":{"name":"Business Strategy and The Environment","volume":"12 1","pages":""},"PeriodicalIF":13.4,"publicationDate":"2024-12-31","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142908522","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Ashem Emmanuel Egila, Muhammad Mustafa Kamal, Sachin Kumar Mangla, Nick Rich, Benny Tjahjono
This study investigates the environmental consequences of pursuing profits in the oil and gas industry, focusing on Nigeria. It examines the role of top management commitment, safety culture and stakeholder risk prioritisation in the industry. By surveying 441 stakeholders, this study highlights the importance of extensive stakeholder engagement and a systemic supply chain approach in building resilience and shaping sustainable practices. The findings reveal that stakeholder risk perception influences sustainability risk management; however, variations in risk prioritisation between internal and external stakeholders remain a challenge. The study advocates for a paradigm shift and emphasises the crucial role of high‐reliability management in guiding organisations towards effective risk mitigation strategies for the industry's immediate health, communities, environment and future.
{"title":"Highly Reliable Organisations and Sustainability Risk Management: Safety Cultures in the Nigerian Oil and Gas Supply Chain Sector","authors":"Ashem Emmanuel Egila, Muhammad Mustafa Kamal, Sachin Kumar Mangla, Nick Rich, Benny Tjahjono","doi":"10.1002/bse.4091","DOIUrl":"https://doi.org/10.1002/bse.4091","url":null,"abstract":"This study investigates the environmental consequences of pursuing profits in the oil and gas industry, focusing on Nigeria. It examines the role of top management commitment, safety culture and stakeholder risk prioritisation in the industry. By surveying 441 stakeholders, this study highlights the importance of extensive stakeholder engagement and a systemic supply chain approach in building resilience and shaping sustainable practices. The findings reveal that stakeholder risk perception influences sustainability risk management; however, variations in risk prioritisation between internal and external stakeholders remain a challenge. The study advocates for a paradigm shift and emphasises the crucial role of high‐reliability management in guiding organisations towards effective risk mitigation strategies for the industry's immediate health, communities, environment and future.","PeriodicalId":9518,"journal":{"name":"Business Strategy and The Environment","volume":"11 1","pages":""},"PeriodicalIF":13.4,"publicationDate":"2024-12-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142908518","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Mohammad Dalvi‐Esfahani, Nasrin Azar, Lam Wai Leong, T. Ramayah, Moniruzzaman Sarker
The planetary ecosystem currently confronts a myriad of dire environmental predicaments, necessitating immediate and decisive action to forestall irreversible damage wrought by economic activities. Embracing the tenets of circular economy (CE) presents a compelling and exigent opportunity to attenuate wastage and engender resource recycling. In this milieu, blockchain technology (BCT) emerges as a pivotal instrumentality in imbricating CE principles into the tapestry of environmentally conscientious supply chain practices. However, the enigmatic nature of the factors that undergird the seamless integration of BCT into CE practices bespeaks a pressing need for further elucidation. This inquiry endeavors to scrutinize executives' perspectives regarding adopting BCT as a fulcrum for CE and its multifaceted impact on organizational performance. A research model predicated on the belief–action–outcome (BAO) framework was conceptualized and scrutinized utilizing partial least squares structural equation modeling (PLS‐SEM) with data gleaned from 164 responses from Malaysian manufacturing firms. The findings evince that respondents' attitudes were significantly swayed by the organizational CE culture, their cognitive grasp of BCT principles, and their normative inclinations. Furthermore, the investigation unearthed that personal norms and attitudes wielded a palpable influence on the inclination to adopt BCT to catalyze CE, thereby exerting a substantive impact on the organization's economic and environmental performance. A roadmap delineating a trajectory to further facilitate BCT‐propelled CE is proffered.
{"title":"The Quantum Leap Toward a Sustainable Future: Exploring the Nexus Between Blockchain, Circular Economy, and Managerial Perceptions","authors":"Mohammad Dalvi‐Esfahani, Nasrin Azar, Lam Wai Leong, T. Ramayah, Moniruzzaman Sarker","doi":"10.1002/bse.4112","DOIUrl":"https://doi.org/10.1002/bse.4112","url":null,"abstract":"The planetary ecosystem currently confronts a myriad of dire environmental predicaments, necessitating immediate and decisive action to forestall irreversible damage wrought by economic activities. Embracing the tenets of circular economy (<jats:sc>CE</jats:sc>) presents a compelling and exigent opportunity to attenuate wastage and engender resource recycling. In this milieu, blockchain technology (BCT) emerges as a pivotal instrumentality in imbricating <jats:sc>CE</jats:sc> principles into the tapestry of environmentally conscientious supply chain practices. However, the enigmatic nature of the factors that undergird the seamless integration of BCT into <jats:sc>CE</jats:sc> practices bespeaks a pressing need for further elucidation. This inquiry endeavors to scrutinize executives' perspectives regarding adopting BCT as a fulcrum for <jats:sc>CE</jats:sc> and its multifaceted impact on organizational performance. A research model predicated on the belief–action–outcome (BAO) framework was conceptualized and scrutinized utilizing partial least squares structural equation modeling (PLS‐SEM) with data gleaned from 164 responses from Malaysian manufacturing firms. The findings evince that respondents' attitudes were significantly swayed by the organizational <jats:sc>CE</jats:sc> culture, their cognitive grasp of BCT principles, and their normative inclinations. Furthermore, the investigation unearthed that personal norms and attitudes wielded a palpable influence on the inclination to adopt BCT to catalyze <jats:sc>CE</jats:sc>, thereby exerting a substantive impact on the organization's economic and environmental performance. A roadmap delineating a trajectory to further facilitate BCT‐propelled <jats:sc>CE</jats:sc> is proffered.","PeriodicalId":9518,"journal":{"name":"Business Strategy and The Environment","volume":"26 1","pages":""},"PeriodicalIF":13.4,"publicationDate":"2024-12-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142908510","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This research investigates the potential effects of companies' commitments to disclose their anti‐corruption efforts on their sustainability performance. Additionally, we aim to analyze whether the existence of a sustainability committee influences this relationship. To achieve these objectives, we gathered data from 5344 firm‐year observations of companies listed on the FTSE 350 index from 2008 to 2023. Our findings provide strong empirical support for a positive relationship between companies' anti‐corruption disclosures and their sustainability performance. Furthermore, our evidence suggests that the presence of a sustainability committee acts as a viable complement to anti‐corruption disclosures, driving improved sustainability performance. Our study highlights practical implications for organizations, regulators, and policymakers, and it opens avenues for future research.
{"title":"Corporate Anti‐Corruption Disclosure and Corporate Sustainability Performance in the United Kingdom: Does Sustainability Governance Matter?","authors":"Ali Meftah Gerged, Rami Salem, Musa Ghazwani","doi":"10.1002/bse.4108","DOIUrl":"https://doi.org/10.1002/bse.4108","url":null,"abstract":"This research investigates the potential effects of companies' commitments to disclose their anti‐corruption efforts on their sustainability performance. Additionally, we aim to analyze whether the existence of a sustainability committee influences this relationship. To achieve these objectives, we gathered data from 5344 firm‐year observations of companies listed on the FTSE 350 index from 2008 to 2023. Our findings provide strong empirical support for a positive relationship between companies' anti‐corruption disclosures and their sustainability performance. Furthermore, our evidence suggests that the presence of a sustainability committee acts as a viable complement to anti‐corruption disclosures, driving improved sustainability performance. Our study highlights practical implications for organizations, regulators, and policymakers, and it opens avenues for future research.","PeriodicalId":9518,"journal":{"name":"Business Strategy and The Environment","volume":"6 1","pages":""},"PeriodicalIF":13.4,"publicationDate":"2024-12-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142908520","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
The bioeconomy is expected to carry out the transition towards a bio‐based economy thanks to the transformation of petrochemical and fossil fuel value chains. Nevertheless, bio‐based innovations fail to overcome the hurdle of commercialisation and appropriation. This paper offers a renewed understanding of this problem by combining the niche‐to‐regime transition literature with the global value chain literature. The article hypothesises that to overcome the challenge of commercialisation and appropriation, bio‐based innovations need to break out of their sociotechnical niches and integrate global value chains (GVCs). To achieve this, niche players and lead firms in GVCs need to collaborate together. Using the case of microalgae, we theorise a time‐sensitive typology of collaborations according to the three phases mapped around innovation development from emergence to diffusion and commercialisation. This study highlights that the type of collaboration to adopt depends on the level of development of an innovation, suggesting that the study of collaborations as diffusion and commercial strategy deserves further attention in transition studies and GVCs literature.
{"title":"From Niches to Global Value Chains: The Role of Firms' Collaborative Strategies in the Bioeconomy","authors":"Martina Ayoub, Nicolas Befort, Mireille Matt","doi":"10.1002/bse.4107","DOIUrl":"https://doi.org/10.1002/bse.4107","url":null,"abstract":"The bioeconomy is expected to carry out the transition towards a bio‐based economy thanks to the transformation of petrochemical and fossil fuel value chains. Nevertheless, bio‐based innovations fail to overcome the hurdle of commercialisation and appropriation. This paper offers a renewed understanding of this problem by combining the niche‐to‐regime transition literature with the global value chain literature. The article hypothesises that to overcome the challenge of commercialisation and appropriation, bio‐based innovations need to break out of their sociotechnical niches and integrate global value chains (GVCs). To achieve this, niche players and lead firms in GVCs need to collaborate together. Using the case of microalgae, we theorise a time‐sensitive typology of collaborations according to the three phases mapped around innovation development from emergence to diffusion and commercialisation. This study highlights that the type of collaboration to adopt depends on the level of development of an innovation, suggesting that the study of collaborations as diffusion and commercial strategy deserves further attention in transition studies and GVCs literature.","PeriodicalId":9518,"journal":{"name":"Business Strategy and The Environment","volume":"34 1","pages":""},"PeriodicalIF":13.4,"publicationDate":"2024-12-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142901953","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Ayotola Owolabi, Mohammad Mahdi Mousavi, Giray Gozgor, Jing Li
This study examines the impact of firm‐level political risk on eco‐innovation at the firm level, particularly emphasizing the moderating role of CEO power in this relationship. Using a dataset from 33 countries from 2006 to 2022, we employ two‐step dynamic panel data estimations to address endogeneity concerns. The findings highlight a positive impact of political risk on eco‐innovation, which is further strengthened in the presence of a powerful CEO. This evidence implies that effective leadership from CEOs can assist firms in navigating political risks and advancing sustainable initiatives. The results remain robust across various specifications, including alternative measurements for firm‐level political risk. The study highlights the crucial role of CEOs in managing political risks and facilitating eco‐innovative practices within firms.
{"title":"The Impact of Firm‐Level Political Risk on Eco‐Innovation: The Moderating Effect of CEO Power","authors":"Ayotola Owolabi, Mohammad Mahdi Mousavi, Giray Gozgor, Jing Li","doi":"10.1002/bse.4124","DOIUrl":"https://doi.org/10.1002/bse.4124","url":null,"abstract":"This study examines the impact of firm‐level political risk on eco‐innovation at the firm level, particularly emphasizing the moderating role of CEO power in this relationship. Using a dataset from 33 countries from 2006 to 2022, we employ two‐step dynamic panel data estimations to address endogeneity concerns. The findings highlight a positive impact of political risk on eco‐innovation, which is further strengthened in the presence of a powerful CEO. This evidence implies that effective leadership from CEOs can assist firms in navigating political risks and advancing sustainable initiatives. The results remain robust across various specifications, including alternative measurements for firm‐level political risk. The study highlights the crucial role of CEOs in managing political risks and facilitating eco‐innovative practices within firms.","PeriodicalId":9518,"journal":{"name":"Business Strategy and The Environment","volume":"5 1","pages":""},"PeriodicalIF":13.4,"publicationDate":"2024-12-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142901895","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Materiality is a key principle enabling organizations to determine what information to disclose, serving as both a filtering mechanism and a strategic tool shaped by institutional dynamics. Institutional logics, which inform and legitimize organizational practices, significantly influence accountability and reporting processes, including the application of materiality. Effective water management is essential for sustainable development, making the water industry a key sector for exploring materiality and stakeholder engagement within sustainability strategies. This study explores the integration of the materiality principle, stakeholder engagement, and related organizational practices into the sustainability strategies and reporting of the European water industry between 2020 and 2022. Through content analysis of sustainability reports from 26 European water utilities, the study identifies three primary stakeholder engagement approaches: one‐way communication, dialogic interaction, and multi‐directional dialog. The prevailing trend is a dialogic approach that has evolved over time, though concerns about its relevance and effectiveness remain. Additionally, the study examines disclosed material topics, noting a dominant focus on environmental concerns and health and safety, with economic and governance issues receiving comparatively less attention. It emphasizes the need to improve the materiality process by integrating insights from accounting research into organizational practices and underscores the importance of effective stakeholder engagement for fostering trust and collaboration, particularly in vital sectors like water management. The findings offer valuable perspectives for policymakers, emphasizing the need to design robust mechanisms that promote stakeholder engagement. While progress in this area in recent years is evident, as demonstrated by this research, it must quickly evolve into a fundamental component of effective water management to avoid the risk of becoming merely an organizational façade.
{"title":"Exploring Materiality and Stakeholder Engagement in European Water Utilities' Sustainability Strategies, Organizational Practices, and Reporting","authors":"Davide Giacomini, Laura Rocca, Davide Tonoli","doi":"10.1002/bse.4109","DOIUrl":"https://doi.org/10.1002/bse.4109","url":null,"abstract":"Materiality is a key principle enabling organizations to determine what information to disclose, serving as both a filtering mechanism and a strategic tool shaped by institutional dynamics. Institutional logics, which inform and legitimize organizational practices, significantly influence accountability and reporting processes, including the application of materiality. Effective water management is essential for sustainable development, making the water industry a key sector for exploring materiality and stakeholder engagement within sustainability strategies. This study explores the integration of the materiality principle, stakeholder engagement, and related organizational practices into the sustainability strategies and reporting of the European water industry between 2020 and 2022. Through content analysis of sustainability reports from 26 European water utilities, the study identifies three primary stakeholder engagement approaches: one‐way communication, dialogic interaction, and multi‐directional dialog. The prevailing trend is a dialogic approach that has evolved over time, though concerns about its relevance and effectiveness remain. Additionally, the study examines disclosed material topics, noting a dominant focus on environmental concerns and health and safety, with economic and governance issues receiving comparatively less attention. It emphasizes the need to improve the materiality process by integrating insights from accounting research into organizational practices and underscores the importance of effective stakeholder engagement for fostering trust and collaboration, particularly in vital sectors like water management. The findings offer valuable perspectives for policymakers, emphasizing the need to design robust mechanisms that promote stakeholder engagement. While progress in this area in recent years is evident, as demonstrated by this research, it must quickly evolve into a fundamental component of effective water management to avoid the risk of becoming merely an organizational façade.","PeriodicalId":9518,"journal":{"name":"Business Strategy and The Environment","volume":"77 1","pages":""},"PeriodicalIF":13.4,"publicationDate":"2024-12-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142901952","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
京公网安备 11010802042870号
京ICP备2023020795号-1
扫码关注我们
求助内容：
应助结果提醒方式：