Banking and the Limits of Professionalism

Smith, Dimity Kingsford; Clarke, Thomas M.; Rogers, Justine

doi:10.53637/kpof3541

Cited by 3 publications

(4 citation statements)

References 16 publications

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“…As diversity reporting is principle-based rather than rule-based, the coupling and decoupling we observe regarding gender and ethnic diversity in leadership is largely due to institutional isomorphisms that have acted as 'soft regulation' (Jacobsson, 2004;Kingsford-Smith, 2012;Meyer and Rowan, 1977: 341;Scott, 1995: 13).…”

Section: Institutional Isomorphisms and Diversity Proceduresmentioning

confidence: 93%

“…Normative pressure stems from organisations conforming to 'best practice' established or legitimised through professional structures and industry associations. Institutions are also historically contingent, with changes in institutional pillars influencing the system in which companies, workers and leaders operate, and the practices, norms and obligations that take on a 'rule like status' (Jacobsson, 2004;Kingsford-Smith, 2012;Meyer and Rowan, 1977;Scott, 1995;Selznick, 1957).…”

Section: Theoretical Frameworkmentioning

confidence: 99%

“…Critically, these established procedures often carry no clear duty to comply, nor are there mechanisms for enforcement. Instead, this ‘soft regulation’ relies on the development and acceptance of norms, the reputation and influence of the users of the rules, and, eventually, the legitimacy that is ascribed to the institutional practices (Kingsford-Smith, 2012: 378). Di Maggio and Powell studied the dynamic evolution of organisations – including boards of directors – arguing that they tend to become more similar to one another over time.…”

Section: Theoretical Frameworkmentioning

confidence: 99%

“…In our case, we propose rhetorical decoupling to account for disclosure practices that occur with voluntary disclosure (similar to the study by Sandholtz, 2012). Sandholtz (2012), examining International Organization for Standardization (ISO) certification, noted that firm compliance with these ‘soft regulations’ was necessary for the firm to achieve legitimacy, but then became ceremonial and was decoupled from the technical work of the organisation (see also the study by Kingsford-Smith, 2012). Islam et al (2021) has similarly noted the importance of regulation to minimise decoupling, with the lack of regulation for diversity disclosure potentially increasing the extent and scope of decoupling.…”

Section: Theoretical Frameworkmentioning

confidence: 99%

See 3 more Smart Citations

The Whiteboard: Decoupling of ethnic and gender diversity reporting and practice in corporate Australia

Wright

Cortese²,

Al‐Mamun³

et al. 2023

Australian Journal of Management

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Diversity of company leadership is an important governance issue for corporations globally, yet the uneven treatment of diversity priorities remains a major challenge. We explore the extent and change over time of both gender and ethnic diversity in leadership and disclosure for Australia’s largest firms from 2005 to 2021. Using institutional theory, we compare the isomorphisms driving change, and examine the extent to which there is rhetorical decoupling between diversity disclosure and practice. Our analysis reveals a significant improvement in gender diversity over time but very little progress in the ethnic diversity of corporate leaders. We find a connection between diversity reporting and the appointment of female corporate leaders. However, there is a disconnection between public commitment to diversity and the appointment of non-white corporate leaders. A lack of regulation for diversity reporting contributes to this imbalance with different outcomes for gender and ethnic diversity as the result of different institutional isomorphisms. Our findings can inform policymakers and corporations, highlighting the importance of a range of institutional pressures that encourage the disclosure and practice of ethnic diversity in corporate leadership. JEL Classification: M14

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Section: Institutional Isomorphisms and Diversity Proceduresmentioning

confidence: 93%

Section: Theoretical Frameworkmentioning

confidence: 99%

Section: Theoretical Frameworkmentioning

confidence: 99%

Section: Theoretical Frameworkmentioning

confidence: 99%

See 2 more Smart Citations

The Whiteboard: Decoupling of ethnic and gender diversity reporting and practice in corporate Australia

Wright

Cortese²,

Al‐Mamun³

et al. 2023

Australian Journal of Management

View full text Add to dashboard Cite

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Trust, Accountability and Purpose

O’Brien¹

2019

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The collapse of trust can be found across all of our institutions but most of all in finance. This Element seeks to answer an existential question: how to rebuild trust in distrusting times? Integrity, responsibility and accountability must be embedded into corporate mission statements, values and codes of conduct. Through organisational and regulatory design across five interlocking themes - legal, regulatory, managerial, ethical and social. What is required is substantive rather than technical compliance; warranted rather than stated commitment to high ethical standards; effective deterrence strategies; enhanced accountability; and a shared commitment to risk within negotiated, binding and enforceable parameters.

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The Australian Government is Justified in Establishing a Single Disciplinary Body

McInnes

2020

Financial Planning Research Journal

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Published empirical research (McInnes 2020) proves licensing financial advisers through multiple profit-driven Australian Financial Services licensees contributes to conflicts of interest by association. Government’s response is to regulate advisers by adopting a single disciplinary body (Frydenberg & Hume 2019) to professionalise advisers like established professions. This paper supports Government’s move to implement this body (Taylor 2020c; Maddock 2020), albeit delayed by COVID-19 (Taylor 2020a), by using the evidence published in a Routledge book (McInnes 2020). It aims to motivate advisers to work with policymakers to reshape financial advice into a true, accredited profession to address the problem of conflicted association, to make advice accessible (Marsh & Phillips 2019) and conflict free, while also dismantling costly compliance legislation (Smith & Sharpe 2020).

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Banking and the Limits of Professionalism

Cited by 3 publications

References 16 publications

The Whiteboard: Decoupling of ethnic and gender diversity reporting and practice in corporate Australia

The Whiteboard: Decoupling of ethnic and gender diversity reporting and practice in corporate Australia

Trust, Accountability and Purpose

The Australian Government is Justified in Establishing a Single Disciplinary Body

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