managing sustainability in management education

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Lillehammer, 5.3.2014 42 nd NERA Congress MANAGING SUSTAINABILITY IN MANAGEMENT EDUCATION Christian T. Lystbaek Aarhus University, Denmark

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Page 1: MANAGING SUSTAINABILITY IN MANAGEMENT EDUCATION

Lillehammer, 5.3.2014

42nd NERA Congress

MANAGING SUSTAINABILITY IN MANAGEMENT EDUCATION

Christian T. Lystbaek Aarhus University, Denmark

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

NERA 42 | SUSTAINABILITY IN MANAGEMENT EDUCATION

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Presentation

1.  Background: Sustainability in mgmt. education

2.  Research interest: CSR in mgmt. education

3.  Methodology: Conceptual analysis of CSR

4.  Findings: Towards a complex model of CSR

5.  Conclusion: Summing up and implications

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

NERA 42 | SUSTAINABILITY IN MANAGEMENT EDUCATION

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1. Background The expansion of management education

›  Professionally and conceptually i.  Technical control

ii.  Organizational cost-effectiveness

iii.  Productive collaboration

iv.  Coherent culture

v.  Continuous learning

vi.  …

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

NERA 42 | SUSTAINABILITY IN MANAGEMENT EDUCATION

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1. Background The expansion of management education

›  Professionally and conceptually i.  Technical control

ii.  Organizational cost-effectiveness

iii.  Productive collaboration

iv.  Coherent culture

v.  Continuous learning

vi.  …

vii.  Corporate social responsibility, incl. sustainability

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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2. Research question What to teach about CSR regarding sustainability in management education?

›  Sustainability is a contested concept

a.  Popular: It is used a lot! Is it used too much?

b.  Complex: It is given many forms/formulas! Is et everything?

c.  Normative: It is a panacea for modern ills! Is it only good?

d.  …

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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Ad.2. Defining ”sustainability” Sustainability is an “essentially contested concept” with no clearly defined general use

i.  Refers to “some kind of valued achievement”,

ii.  Which is “internally complex”

iii.  Which allows “a number of possible rival descriptions”

iv.  And “considerable modification”

(Gallie, 1956) (Connolly, 1993)

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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3. Methodology Conceptual analysis of corporates responsibilities

›  Changing business discourses on CSR

Discourse

Greed Philanthropy Marketing Strategic Systemic

Modus operandi

Ad hoc Donations Public relations

Control systems

Business models

(Visser, 2011:18)

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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3. Methodology Conceptual analysis of corporates responsibilities

›  Changing business discourses on CSR

Discourse Greed Philanthropy Marketing Strategic Systemic

Modus operandi

Ad hoc Donations Public relations

Control systems

Business models

Narrow conceptions

Broad conceptions

Complex conception

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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4. Findings Conceptual analysis of corporates responsibilities

›  Narrow conceptions −  Legal responsibilities and possibilities

›  Broad conceptions −  A list of different responsibilities and possibilities

›  Complex conceptions −  An awareness of unforeseen responsibilities and possibilities

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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“The view that has been gaining widespread acceptance [is] that corporate officials […] have a responsibility that goes beyond serving the interest of their stockholder. […] This view shows a fundamental misconception of the character and nature of a free economy. In such an economy, there is one and only one responsibility of business – to use its resources and engage in activities designed to increase its profits as long at it stays within the rules of the game, which is to say, engage in open and free competition, without deception and fraud. […] Few trends could so thoroughly undermine the very foundations of our free society as the acceptance of corporate officials of a social responsibility other than to make as much money for their stockholders as possible.”

Friedman (1962:133)

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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4a. A narrow conception Sustainability is the responsibility to stay in business

›  ”The rules of the game”: External PESTLE-factors −  Political, Economical, Social, Technological, Legal and

Ethical factors

The business

Business impact:

takes makes

wastes

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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4b. A broad conception Sustainability is a hierarchy of responsibilities

›  Hierarchy of corporate responsibilites

Philanthopic

Ethical

Legal

Economic

(Contribute to the community)

(Do what is right)

(Obey the law/follow the rules)

(Be profitable)

(Carroll, 1991)

Nice to have

Need to have

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Ex.: Carrolls responsibility matrix

(Carroll, 1991:44)

Stakeholders Economic Legal Ethical Philanthropic Owners Customers Employees Community Competitors Suppliers Social activists Public at large Others

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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4b. An alternativ conception Sustainability is a cultural hierarchy of responsibilities

›  Cultural specific hierarchy of corporate responsibilites

Philanthopic

Ethical

Legal

Economic

(Adopt voluntary codes)

(support political reforms)

(Support community projects)

(Provide investment)

(Visser, 2011)

Nice to have

Need to have

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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4b. A broader conception

Three domains of CSR

Ethical Legal

Economic

(Carroll & Schwartz, 2003)

Sustain ability

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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16 SLIDE 16

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Critique of 4a+4b Dominant (narrow and broad) models of CSR identify specific responsibilities

›  Strength: Fixed, ordered set of responsibilities −  Easy to codify and account for in business settings

›  Weakness: limits CSR to pre-established standards −  Does not describe but prescribe trade-offs

(“the curse of incrementalism”)

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4c. A complex conception Sustainability is a complex set of responsibilities

›  The ethics of complexity −  Every business decision has an ethical dimension

(ethics is not a separate domain)

›  The complexity of ethics −  Ethical responsibilities emerge in complex networks

(benefits/regulations/communities/consequences cannot be pre-determined)

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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“Complex thinking is not omniscient thinking. It is, on the contrary, a thinking which knows that it is always local, situated in a given time and place. Neither is it a complete thinking, for it knows in advance that there is always uncertainty.” Morin (2007:97)

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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20 Ex.: The complexity of sustainability

A corporation is embedded in a network of relations › Continuously raising ethical questions

Corporation Economical responsibilities Legal responsibilities

Social responsibilities Environmental responsibilities

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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5. Conclusion A complex of CSR in management education

›  A complex conception describes ethical responsibilities as integral to business −  Corporations are embedded in complex network of

relations −  CSR are not fixed (reduced to predefined contracts),

but emerging, hence requiring continuous reflection

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CHRISTIAN T. LYSTBÆK AARHUS UNIVERSITY

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Ad.5. Implications Teaching about sustainability in mgmt. education

›  Evolving discourses on CSR

Discourse

Greed Philanthropy Marketing Strategic Systemic

Modus operandi

Ad hoc Donations Public relations

Control systems

Business models

Narrow conceptions

Broad conceptions

Complex conception

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THANK YOU

Contact info: [email protected]