Hardwiring and softwiring corporate responsibility: a vital combination

Abstract

Purpose -This case study paper has the purpose of showing that both processes of hardwiring and soft wiring together is essential for embedding corporate responsibility across a global organisation to achieve lasting change.Design/methodology/approach -The approach taken in this paper is first to describe the experiences in the Shell Group in terms of tools and approaches. In Shell, governance and business processes are being aligned, ''hardwired'', while communications, leadership development programmes and competency frameworks reach the ''hearts and minds'' of Shell people -''soft wiring''. Informal networks tap into the enthusiasm of people, developing intrinsic motivation. These experiences of Shell are then compared with the sense making model of Cramer et al. Findings -The findings show a high level of alignment.Practical implications -The practical implication of this finding is that hardwiring and softwiring processes appear to be a vital combination for changing the way business do things.Originality/value -The value of this paper lies in making the business efforts of embedding corporate responsibility into business practice more effective by focussing on hardwiring and softwiring at the same time.

Corporate Social Responsibility as a Dynamic Internal Organizational Process: A Case Study

“…Whatever term is used, it is a reference to the way ''the invisible hand'' emphasizes the importance of considering the moral implications of a free market economy (Smith, 1976(Smith, [1776; Taylor, 2002) and thus the potential impacts on various kinds of stakeholder (Szwajkowski, 2000). Recent events -the Asian financial crisis of 1997 (Euh and Rhee, 2007), Brent Spar in 1994(de Wit et al, 2006Wheeler et al, 2002), the Enron and WorldCom scandals (Carson, 2003), and the most recent banking crisis, for instance -highlight the range of concerns about the misbehavior of organizations, while also displaying the power of big business and society's limited role in influencing its behavior. As a result, a focus on CSR has increased in significance, and what is witnessed are the more pressing calls for a responsible global capitalism (Dunning, 2003), a responsible global leadership (Maak and Pless, 2009), along with an increase in regulation, and an insistence that businesses should respond effectively to stakeholder demands (Freeman, 1984).…”

Corporate Governance Practices in Developing Countries: The Case for Kenya

“…argues that the stewardship theory remains the theoretical foundation for much regulation and legislation. A proactive approach is used by corporations that integrate stakeholders' concerns into their decision-making processes and that establish necessary governance structures (de Wit et al, 2006). In summary, the stewardship theory suggests that a firm's board of directors and its CEO, acting as stewards, are more motivated to act in the best interests of the firm rather than for their own selfish interests.…”

Innovative CSR

“…Perhaps the best known example of a CSR P 3 innovation in CSR positioning is the transformation of Shell after the Brent Spar and Niger Delta crises of the mid-1990s (Livesey 2001;Zyglidopoulos 2002). As a consequence of the two external shocks, the formerly inward-looking corporation became one of the CSR leaders as it institutionalised novel modes of governance and stakeholder engagement as well as changing its material practices by embracing renewable energies (de Wit et al 2006;Backer 2008). In other cases the impetus for change has come from internal sources.…”