The Model of the Honorable Merchant: Bridging Compliance and Integrity?

Hajduk, Thomas; Schank, Christoph

doi:10.1007/978-94-007-6510-8_123

Cited by 2 publications

(3 citation statements)

References 8 publications

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“…They enable not only economic responsibility (Carroll, 1991) but also organizational integrity. We suppose that long‐term, organizational integrity requires a corporate infrastructure that defines corporate internal decision structures, has appropriate incentive and management systems in place, and among others, includes a healthy corporate culture and climate (see, e.g., French, 1998; Hajduk & Schank, 2017). Corporate culture and ethical climate are, according to Kaptein and Avelino (2005, p. 46), the “breeding ground for unethical conduct.” Furthermore, corporate values and standards need to be communicated effectively through different channels within the company to create and sustain organizational integrity.…”

Section: Developing a Theoretical Model Of The Organizational Integri...mentioning

confidence: 99%

“…An obvious question that arises—at least from a board of management perspective in its oversight role—is how organizational integrity can become an integral part of corporate governance. Recent research approaches show the potential of integrity‐based governance models to reduce corporate risks and to improve business performance (Arjoon, 2017; Cameron et al, 2004; Fuerst & Luetge, 2021; Hajduk & Schank, 2017; Laufer, 2006; Menzel, 2005). Indeed, developments in practice indicate that integrity‐based governance models are becoming a vital part of corporate risk management as related research gains attention (e.g., Arjoon, 2017; Brink, 2017; Calderón et al, 2018).…”

Section: Introductionmentioning

confidence: 99%

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Toward organizational integrity measurement: Developing a theoretical model of organizational integrity

Fuerst,

Luetge,

Max

et al. 2023

Business and Society Review

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Organizational integrity is a key concept with and through which a company can assume its responsibility for ethical and societal issues. It is a basic premise for sustainable corporate success, as ethical risks ultimately become economic risks for a company. Recent research shows the potential of integrity‐based governance models to reduce corporate risks and to improve business performance. However, companies are not yet able to assess nor evaluate their level of organizational integrity in a sound and systematic way. We aim to develop a theoretical model as a basis for the measurement of organizational integrity by conceptualizing the construct and sizing the theoretical model's scope. We suggest that the theoretical model follows a holistic approach and involves three types of dimensions: prerequisite dimensions, independent dimensions, and dependent dimensions. The organizational integrity triad—consisting of active commitments to self‐imposed norms and principles, their transparent institutionalization into corporate processes and structures, and their implementation into action—plays a key role in this context.

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Section: Developing a Theoretical Model Of The Organizational Integri...mentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Toward organizational integrity measurement: Developing a theoretical model of organizational integrity

Fuerst,

Luetge,

Max

et al. 2023

Business and Society Review

View full text Add to dashboard Cite

show abstract

“…We argue that organizational integrity is not a one‐time effort, but a continuous one. Long‐term organizational integrity can only be achieved through a discursive infrastructure that “allows for ethical reflection in decision‐making processes and for incentives and leadership systems based on ethical criteria” (Hajduk & Schank, 2017, p. 993). Therefore, organizational integrity requires a constant striving towards a specific goal, namely, to adapt as a company in a constantly evolving environment.…”

Section: The Nature Of Organizational Integritymentioning

confidence: 99%

The conception of organizational integrity: A derivation from the individual level using a virtue‐based approach

Fuerst

Luetge

2021

Business Ethics Env & Resp

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This paper extends previous attempts at understanding the nature of organizational integrity and its increasingly important role for companies which, after all, bear a moral and societal responsibility. Interpretations of organizational integrity in business ethics literature incorporate aspects ranging from the behavior of managers and employees to corporate structures and incentive systems. We argue that virtue ethics builds an indispensable framework for understanding the origin of the concept of integrity and transfer these findings to an organizational level. Hence, we first define organizational integrity, and second operationalize it in a closed three‐step process, consisting of morally sound corporate commitments, their transparent institutionalization within the company, and their implementation into actions. We consider the main goal of organizational integrity to be of a preventative investment nature. Organizational integrity is a company investment that translates into avoiding fines for potential violations of the law or ethical missteps, as well as an investment in the company’s reputation. In turn, organizational integrity can protect a company from disruptions that can threaten its existence. Defining and operationalizing the concept of organizational integrity provides the foundation for future scientific research and the basis for developing practical guidance for organizations and managers.

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The Model of the Honorable Merchant: Bridging Compliance and Integrity?

Cited by 2 publications

References 8 publications

Toward organizational integrity measurement: Developing a theoretical model of organizational integrity

Toward organizational integrity measurement: Developing a theoretical model of organizational integrity

The conception of organizational integrity: A derivation from the individual level using a virtue‐based approach

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