|
|
|
Ethics Digest
IMPLICATIONS
AND FUTURE RESEARCH The
results of our investigations, combined with the documented
experiences and research of others, furnish solid evidence
supporting the hypothesis that corporate citizenship is a
worthwhile investment that helps businesses establish and
strengthen their competitive position. For employees, corporate citizenship is likely to give
meaning to organizational activities beyond the mere pursuit
of greater profitability.
Employees also know that their personal and
professional needs are more likely to be taken into account in
an organization that is dedicated to meeting its social
responsibilities. In
exchange, organizational members are willing to be especially
supportive of good citizen corporations.
Members of a good citizen organization understand the
importance of satisfying all business partners, are more
dedicated to delivering high levels of quality to customers,
and are willing to go Athe
extra mile@
to support the organization=s
success. Hence,
corporate citizens are likely to see their investment in
corporate citizenship translate into higher quality,
organizational efficiencies, and greater performance levels. Our
investigation suggests research to determine the effect of
corporate citizenship on the organizational competitive
advantage variable, including the cost of intrafirm
transactions, effective communications, and successful
teamwork. In
addition, employee conduct variables, such as propensity to
take responsibility, provide leadership, avoid waste, and
efficiently solve problems, are areas that could be linked to
corporate citizenship. Research
into the management practices needed to develop corporate
citizenship would assist in developing corporate citizenship
programs. Investigations
could explore issues related to building and maintaining
ethical, law abiding organizations that are market driven and
contribute to society. Research
to help establish best practices for corporate citizenship
programs for a particular industry would assist in the
implementation of responsible citizenship based on an
organization=s
unique environment. Some
industries, such as public utilities, defense, and health
care, have effective cooperative efforts to improve
citizenship. The
government applauds the efforts to share information as long
as the objective is to achieve best citizenship practices, not
the lowest common denominator of conduct.
Investigations
to establish the outcomes of corporate citizenship are needed
to assess the effects on various stakeholders.
There is evidence that many customers are willing to
make an effort to buy from a good citizen organization, to be
loyal to this organization, and to recommend its products.
Individuals seem to appreciate the dedication of good
corporate citizens to treating customers fairly and to
behaving as responsible and helpful members of society.
In addition, research can provide meaningful
information about the impact of social investing on a firm=s
stock price. Another
area of potential research is the relationship of investor
commitment to hold a firm=s
stock long term and corporate citizenship. Overall,
our analysis suggests that supporting corporate citizenship is
not just the right thing to do for society, but that it is
also an excellent thing to do from a competitive advantage
standpoint. Corporate
citizenship should not be treated as a mere business expense;
instead, it should be viewed as a potentially lucrative
business investment that can be usefully integrated into the
organization=s
daily activities and strategic decisions.
|
