This article does not intend to actually valuate intangible assets but focuses to investigate the relative value distribution of corporate intangible assets, and this links closely to the concept and application of value drivers. This is because we believe that drivers or attributes of the value significantly determine how the virtual value of these intangibles can be created for companies. We apply the analytic hierarchy process (AHP) to the appraising process of intangible assets. The AHP method can mainly sort (...) the non-financial value drivers in order according to their weighted contributions. Therefore, the key purpose of this article is to develop a tentative model for the evaluation of intangible assets, which helps business to correctly appraise corporate value ratios and avoid bias due to mainly relying on financial statements when measuring an entity’s value. In addition, in view of the significant proportion of intangible assets over total assets in high-technology industries, this research, then, uses six industries in Hsinchu Science Park, Taiwan, as its research objects in order to test the applicability of its model, as well as exploring the value weights of intangible assets and its evaluation among different technology industries. Besides, the empirical result of this article is mainly to support business appraisal and thus improves the effectiveness of value-based management. (shrink)

This paper presents a case study of the South African operation of a logistics company, operating in a context of short-termism and under-performance. Frustration with managing in this context, and concern that this environment might erode the customer value proposition, prompted an exploration of the question: “How can the business prioritise its investment in intangibles to support sustainable growth in an environment of short-termism and sub-par business performance?” The study followed an inductive grounded theory approach and began (...) with an exploration of the system of short-termism as it was being experienced by the management team. This evolved in an iterative process to include an exploration of the customer value proposition, the organisation’s capabilities and the system of investment in intangibles. Data were collected over a period of 6 months, across a series of four stages as the management team grappled with the short-term financial objectives imposed on them. The data categories were used to develop 214 propositions across all stages. Through the four stages, four artefacts were developed from the propositions a causal loop diagram of the system of short-termism; a documented value proposition; an assessment of the health of the business’ capitals; and a multi-year intangibles investment programme. The findings indicate that a focus on investment in intangible assets can play a vital role in stimulating sustainable value creation in an environment of historically poor returns on investment and pressure for short-term financial results. It is suggested that investment in intangibles can be introduced as a multi-year capabilities investment plan. The study succeeded in getting investment in intangibles approved and the implication is that long-term decision-making can co-exist in an environment of short-termism and low growth. (shrink)

Willingness and readiness of people to do their jobs are among the key factors of a successful enterprise. In XXI century intellectual human labour is gaining unprecedented value and is being developed actively. The demand for intellectual labour calls forth an increasing number of jobs and professions that require an extensive preparation, a large number of working places, high level of integration of joint human efforts, growth of social welfare. These trends are becoming ever more pervasive and are spreading widely (...) in service industries, and that explains the rapid development of the latter when compared to the traditional areas of human activity. In its turn, it heightens the need for staff in service companies, supported by significant personnel turnover and a certain shortage of skilled professionals. These circumstances determine the need for developing a new concept of fostering staff motivation at the enterprises in the sphere of services. In order to reach the stated purpose while conducting our research into tourism and hospitality industry, as well as retail chains, we have examined the problems that arise in the process of staff motivation, and studied the foreign practice of motivating staff in hotels. The obtained analysis results enabled us to work out practical recommendations on improvement of the mechanism of tangible and intangible rewards in service companies, which are based on external and internal motivational factors. Additional attention in the article is paid to the statement that financial incentives should be based on key performance indicators (KPI). We give a detailed consideration to the classification of internal motivation incentives of the staff according to the terms of their realization, and give a schematic representation of the performance dynamics of the internal motivation model in service businesses. (shrink)

Value is increasingly found in human subjects and in particular within their minds. This places the individual at the centre of economic life and therefore the inner life of individual merits more attention. A key element of humanity is memory and it drives such phenomena as trust and goodwill, essential in modern business. Bergson’s philosophy examines the interaction of mind and matter and in this reflects the dualism of the knowledge economy. His work on memory offers important insights for (...) those seeking to account for and manage intangible assets. Our paper examines, through the prism of Bergsonian philosophy, the implications for accounting practice of the increased importance of intangible assets in modern corporations. (shrink)

This paper documents that business ethics has positive impacts upon the development of intellectual capital. Knowledge has become the most important asset of modern businesses, and this study argues that business ethics is associated with the development of intangible knowledge resources—intellectual capital. Businesses with ethical values at the core reinforce ethical conducts and successfully build trust with their various stakeholders, leading to the formation of an ethical and trustworthy corporate culture and a positive corporate environment. Thus, in this (...) reasoning, an ethical approach to business can encourage open communication, problems solving, knowledge sharing and creativity among employees to increase organisational capital; enhance interactions and relationships with suppliers, customers and other stakeholders to increase social capital; attract and retain good talent to increase human capital. Questionnaire survey is adopted as the research method with businesses in the electronic and information technology industries in Taiwan as sample. The results suggest that business ethics is associated with increased intellectual capital. Thus, this study demonstrates that the development of intellectual capital is in line with strengthened ethics. It contributes to the literature through combining research on business ethics with intellectual capital theories and extends the extant intellectual capital literature. (shrink)

The business case for social responsibility is one of the most widely studied topics in the business and society literature that focuses on large firms. This attention is understandable because large firms have an obligation to shareholders who, as commonly assumed, seek to maximize returns on their investments, in turn, pressing corporate managers to show that firms’ expenditures in social engagement would pay off. Small firms, on the other hand, rarely face such pressures, yet the BCSR logic is (...) increasingly applied to small firms as well. Our primary objective in this paper is to examine whether and how much do small firm owners’ perceptions of BCSR affect the firm’s social engagement. In finding a fine-grained answer to those questions, we consider BCSR as a two-dimensional construct consisting of tangible and intangible benefits, and also integrate the BCSR perspective with the slack resource perspective to offer a motivation-capacity lens to examine firm’s social engagement. Drawing on a multi-industry sample of 478 small firms in the US, we find that while small firm owners’ perceptions about potential tangible benefits of social engagement are not related to the firm’s social engagement, perceptions about potential intangible are positively related. Firm's financial performance is also positively related to its social engagement, but there is no interaction between potential benefits and financial performance. This study contributes to an improved understanding about small firms’ social engagement, which still remains an understudied area. Our results are in line with studies which argue that firms’ social engagement is a response to institutional factors. (shrink)

Entrepreneurship education is increasingly becoming a focal strategy for promoting entrepreneurship, particularly to foster entrepreneurial intentions and startups. However, learning and support are equally important after startup for novice entrepreneurs to gain a good level of confidence to manage their business and achieve the desired outcomes. Using a sample of 189 young self-employed individuals in Uganda, this study examines the differential impact of mentoring and self-efficacy on the achievement of intangible outcomes of entrepreneurship including satisfaction of need for autonomy, (...) work satisfaction and the intention to stay in self-employment. We found self-efficacy to mediate the effects of mentoring on these intangible outcomes. In addition, the results showed substantial gender differences. Whereas women’s satisfaction of the need for autonomy and intention to stay in self-employment were strongly associated with the direct effects of mentoring, their male counterparts seemed to benefit more if mentoring resulted in increased self-efficacy. Overall, our findings suggest that whereas mentoring improves the competence of small business owners and consequently achievement of superior outcomes, mentoring should also focus on boosting self-efficacy which in turn is essential for the application of the entrepreneurial competencies. (shrink)

In today''s business environment, the knowledge-based society, globalisation, and information and communication technologies (ICT) have increased the role of "intangible" values of assets and resources for all industries. As a result there is an increased role for knowledge intermediaries; one of these, advertising, plays an important role in affecting consumer choice and knowledge. Ethical issues which arise for traditional purveyors of intangibility – cultural industries such as art, music, or film, spread to advertising. Building on our perspective of the (...) measurement of intangibles we propose a new categorisation of types of goods or services, and a framework for identifying some future ethical challenges in today''s global knowledge based society. (shrink)

The purpose is to help college students start their own businesses and protect and develop China’s intangible cultural heritage. The entrepreneurship of college students in the field of intangible culture is studied from the perspective of entrepreneurial psychology. First, the related characteristics, main content, and research status of college entrepreneurship education are described in detail. Entrepreneurial psychology is divided into entrepreneurial cognition, entrepreneurial emotion and entrepreneurial will. Then, the concept and development status of intangible cultural heritage are briefly summarized to (...) illustrate the importance of inheriting and developing intangible cultural heritage. A questionnaire is designed based on intangible cultural heritage development mode to interview local college students randomly. Finally, the results are analyzed by descriptive statistics. The results show that massive students do not understand the entrepreneurial policy, and only 16% of them know it very well. More than 30% of the students think that entrepreneurship will improve personal responsibility. Nearly 50% of the students believe that entrepreneurship can increase their life experience. Almost 50% of the students have the psychological quality of persistence and courage in entrepreneurship. The final results show that there are great differences in entrepreneurial cognition among students of different grades. Regarding entrepreneurial emotion, there are obvious differences among students of different genders, disciplines, and grades. Regarding the entrepreneurial will, there are only differences among students with different grades. In entrepreneurship education, different teaching methods should be adopted for different ages to comprehensively improve the effect of entrepreneurship education for students of all grades and help them obtain good entrepreneurship results. This exploration provides technical support for the inheritance of material and cultural inheritance and contributes to the entrepreneurship education of college students. (shrink)

Different theoretical approaches highlight the growing relevance of corporate reputation as strategic factor. Among these approaches the arguments of the Resource-Based View are special worthwhile (Grant, 1991, California Management Review 33(3), 114–135; Barney, 1999, Sloan Management Review Spring, 137–145). Nevertheless, this topic poses several methodological problems (Barney et al., 2001), as the unavailability to identify and measure this organizational factor, that is “socially complex” and intangible in its nature. In this work, using the findings of our empirical research on Spanish (...) biotechnology firms, we carry out an identification and measurement of corporate reputation, highlighting its two key components: “business reputation” and “social reputation”. (shrink)

In the global marketplace of ideas, accusations are often made that certain countries refuse to protect intellectual property (IP). This accusation fails to account for cultural differences in the recognition of IP This paper considers the impact of cultural variables upon a nation’s level of (IP) protection. Cultural variables such as humane orientation and in-group collectivism have a negative impact upon IP protection, while uncertainty avoidance and future orientation have a positive impact upon IP protection. Managerial implications of these findings (...) are discussed. (shrink)

Purpose This study aims to identify and analyse the issues faced by internet-based small businesses in developing countries regarding cybersecurity and document how these businesses address the risks. Design/methodology/approach This study used the qualitative method. Respondents were internet-based small businesses selected by using theoretical sampling. Data were collected by using interviews and observations. The validity of the analysis was ensured by using triangulation and member checking. Findings This study reveals that small businesses managed to identify the loss of physical and (...) monetary assets as possible damage. However, only a few businesses identified loss of intangible assets as possible cyber risks. Most small businesses had used basic cybersecurity measures to protect data access and some primary business activities. Unfortunately, they rarely take initiatives in preventing and early detecting cyber risks. Research limitations/implications Findings of this study cannot be generalised as it aims to obtain new insights and document unexplored findings. Thus, if this study’s findings are going to be generalised, it is necessary to conduct an additional study. Secondly, this study did not assess how far small business had fulfilled the relevant information security framework as assessment required additional research, and this study only aimed to map the current situation in small businesses. Practical implications This study emphasised the importance of identifying valuable assets or resources when implementing cybersecurity measures. Focusing on security measures to protect identified assets from cyber risk will make the efforts more efficient and effective than using standardised cybersecurity measures. Third-party developers can also use this study to understand small businesses’ current cybersecurity implementation and their characters to design online platforms that suit these needs. Governments can also design educational activities that address small businesses’ lack of knowledge. Originality/value Most studies which focus on small businesses and information technology usually only discuss how they use IT. This study also brings new contributions by focusing on developing countries and specifically addresses internet-based technology cyber risk faced by e-commerce businesses. The qualitative method is used as most studies in e-commerce adoption were positivistic in nature, and inductive-based studies were rarely found on the topic. (shrink)

This paper shows how John R. Commons’ analysis of a firm’s goodwill value gives analytical support to Professor Amartya Sen’s contention (BEQ, 1993) that business ethics makes economic sense. A firm’s market value consists of the value of both tangible and intangible capital, including the goodwill value of ongoing customer relations. If a firm is to defend its goodwill value, it needs to have the protection of the courts and to pursue ethical practices. The courts defend fair competition by (...) giving protection from unethical competitors while the firm defends its reputation with honest dealings.By implication, firms which depend on ongoing customer relations will tend to engage in more ethical business practices than firms which do not. Even a firm which makes a mistake that compromises its product’s safety may reduce the loss of goodwill value over time by admitting the mistake early rather than hiding it.Also by implication, the transition from a command socialist economy to a market economy cannot be made instantaneously since trust, reputation, and these ongoing customer relations-key institutions of market economics-cannot be generated instantaneously. (shrink)

Social relations are predominantly influenced by an exchange paradigm whereby the logic of reciprocity shapes behaviour. If the notion of exchange instrumentalism is common across different business disciplines, this does not deny attempts – such as through gift exchange theory – to present different conceptions of traditional exchange-based relations. Gift exchange theory appears promising as it seeks to establish more meaning and significance to the nature and context of exchange relations between human actors or parties. The underlying processes may (...) be different for gift exchange and more traditional economic-based exchanges, but the general outcome remains the same – the obligation of reciprocity between actors. In this article, we develop an alternative conception of social and business experience that transcends the dominant logic of exchange: the existential gift. Firmly embedded in the idea of giving for its own sake, the existential gift suggests that for some individuals the expectations of reciprocity are neither sought nor established. Generosity that is expressed in both tangible and intangible ways need not depend on the response of intended receivers or recipients to precipitate future acts of giving. Based on the logic of unconditionality, the existential gift provides human actors with greater freedom in their choices and relationships. It may well be that this freedom, in turn, creates a new ‘ethic of generosity’ whereby significant progress can be made towards developing more human models and practices in business. (shrink)

The current economic and societal production system gives money a magnified importance, overlooking other essential flows necessary for human survival and existence. It focuses on monetary indicators like profits, dividends, and GDPs to evaluate organizational production, while often disregarding outputs that harm the biosphere. Money is treated as the constitutive being (ousia) and attributed undemonstrated explanatory properties. Intangible flow theory helps eliminate this metaphysical status of money by recognizing that monetary flows are just one of many necessary flows for human (...) survival and existence. Organizations deliver product-flows that require input-flows from and send output-flows back to the encompassing biosphere, whether they explicitly engage in environmentally friendly activities or not. Therefore, every organization is an ecological entity because it has a relationship with the biosphere, which participates in the manner through which humans integrate into their surrounding environment and relate to other living beings. Eliminating the metaphysical status of money integrates every organization in the biosphere, making organizations accountable for environmental harm caused by their activities. This can be achieved by deconstructing the metaphysical status of money in business models. (shrink)

Georgios Pentzaropoulos continues his investigation undertaken in 'Generating Stable Knowledge via Reduction in Entropy' (Philosophy Pathways Issue 167, 28 November 2011) looking at knowledge not as something we 'possess' -- the knowledge contained in a book, for example -- but rather as an active, or interactive process of increasing understanding through the judicious sifting and processing of raw information. As Macmurray argued in his Gifford Lectures, 'All knowledge is for the sake of action.' Instead of seeking to define some abstract (...) notion of knowledge in a vacuum, what philosophers should be getting to grips with is the notion of actionable knowledge. - Geoffrey Klempner, Editor. (shrink)

This study examines the impact of top executives’ art exposure on corporate social responsibility (CSR) through the lens of altruistic motivations. Utilizing data on artistic elements from China’s national intangible cultural heritage (ICH), we find a significant positive relationship between board chairs’ art exposure and CSR performance, particularly when the arts are influential and popular. The effect is more pronounced among female, older, and local board chairs, and in firms with a CSR committee, greater board− CEO cultural proximity, lower corporate (...) risk, and those in culturally vibrant regions. Mechanism analyses reveal that art exposure increases board chairs’ likelihood of engaging with the arts and reduces socially irresponsible behaviors. However, CSR performance in firms led by board chairs with extensive art exposure is negatively associated with firm value. These findings suggest that board chairs with rich art exposure engage in CSR primarily driven by altruistic motives rather than self-interest. Overall, the study underscores the role of artistic engagement in promoting altruism and enhancing CSR, advocating for the integration of the arts into business strategies. (shrink)

Purpose:On the background of innovation-driven growth strategy of the Chinese government, this study aims to explore the impact of the knowledge base on innovation-driven growth of a firm, which is moderated by organizational character.Design/methodology/approach:Based on the data of 965 Chinese listed companies, some hypotheses were tested using the method of hierarchical regression analysis.Findings:Organizational growth relies on both technological and business model innovations and their interactive effect. Knowledge base, both breadth and depth, makes a positive impact on the innovation-driven growth (...) of an enterprise. In the impacting mechanism, an explicit organizational character not only has direct positive effects on business model innovation, it also strengthens the effect of knowledge breadth on business model innovation. On the contrary, an implicit organizational character is not significantly related to innovation.Research limitations/implications:In order to achieve growth, enterprises are suggested to adopt such dual innovation strategy, led by technological innovation and supplemented with business model innovation, which is supported by the integrated management of intangible resources, deep and broad knowledge, and explicit organizational character.Originality/value:A new theoretical framework of organizational innovation-driven growth was proposed. The realization paths of innovation-driven growth were explored. The idea of collaborative governance between the knowledge base and organizational character was raised. (shrink)

Sustainable development has been framed as a social issue to which corporations must pay attention because it offers both opportunities and challenges.Although scholars in the environmental strategy field have found that the integration of business and sustainable development can result in competitive advantage, international business scholars argue that it does not increase industrial performance. To integrate these research streams, this paper builds upon the institutional theory attempt to understand strategic options of major multinational corporations (MNCs) that are experiencing (...) sustainable development pressures. This paper also examines the resourcebased view of the firm to understand different patterns of distinctive capabilities that may explain differences in corporate strategies among MNCs experiencing similar institutional pressures. We argue that normative and coercive isomorphism does not occur at the global level because sustainable development is largely a stakeholder-driven issue rather than a broad social issue. However, mimetic isomorphism has explanatorypotential, but since it implies the use of complex and intangible resources, mimetic processes are slow and rare. (shrink)

Sustainable development is often framed as a social issue to which corporations should pay attention because it offers both opportunities and challenges. Through the use of institutional theory and the resource-based view of the firm, we shed some light on why, more than 20 years after sustainable development was first introduced, we see neither the adoption of this business model as dominant nor its converse, that is the total abandonment of the model as unworkable and unprofitable. We focus on (...) multinational corporations (MNCs) because they were among the organizations first called to take action. In order to illustrate the institutional pressures MNCs face and their strategic response to these pressures, we analysed four major oil and gas multinationals subject to similar sustainable development pressures – climate change, biodiversity, renewable energy development and social investment. We argue that normative and coercive isomorphism does not occur at the global level because sustainable development is largely a stakeholder-driven rather than a broad social pressure. That is, host country interpretation of sustainable development pressures varies across an MNC’s subsidiary network. Based on the analysis of the four major MNCs’ annual reports from 2000 to 2005, we argue that mimetic isomorphism may occur, but since it implies the use of complex and intangible resources, mimetic processes are slow, rare and discretionary. (shrink)

The aim of this article is to analyse the internal mechanisms of corporate governance (board of directors and ownership structure), which influence voluntary disclosure of intangibles. The results appear to corroborate the view that an increase in institutional investor shareholding has a negative effect on voluntary disclosure, supporting the hypothesis of entrenchment, whereas an excessive ownership by institutional investors may have adverse effects on strategic disclosure decisions. The results also indicate that an increase in the number of members of (...) the board to up to 15 has a beneficial effect on the disclosure of intangibles. However, as this number increases, the effect inverts and becomes adverse to improving the capacity for supervision and control in the decision-making process regarding the voluntary disclosure of intangibles. The findings endorse the recommendation of the most of the Corporate Governance Codes regarding an advisable maximum of 15 members on a board to ensure its effectiveness and internal cohesion. (shrink)

The main concern of this paper is the moral responsibility of the firm, as well as of the individuals in a firm, to uphold environmental protection. Much of the business ethics literature defines corporate social responsibility in terms of stakeholder relationships, and the emphasis is frequently on collective as opposed to individual responsibility. This paper has three objectives. The first is to clarify the nature of moral responsibility, and the distinction between legal and moral responsibility. The second objective is (...) to steer academicians and others towards a new vision of the firm. We argue that a firm is not just a singular legal entity but also a collectivity of morally responsible individuals who are liable for immoral acts of the firm. By expanding the boundary of responsibility of action from an intangible collectivity – the firm, to all the individuals within it, this vision moves beyond the typical emphasis on the firm as being the only moral agent responsible for corporate actions. The paper emphasizes not simply the responsibility of top echelon managers, but of every employee across ranks. The third goal of this paper is to examine the circumstances where application of moral responsibility becomes crucial, for instance, in the context of protection of the natural environment by a firm and its employees. (shrink)

Corporate reputation is decisive for stakeholders’ supporting or repelling behavior and, therefore, one of firms’ most valuable intangible resources. Drawing on signaling theory, this paper focuses on the usefulness of voluntarily provided corporate reputation disclosures (CRDs) and examines their impact on stakeholders’ attitudinal and behavioral outcomes. Our experimental vignette studies reveal that CRDs reduce stakeholders’ information asymmetries, which positively affects perceived organizational performance and corporate reputation as well as stakeholders’ purchase, investment, and employment intentions. The relationships between CRDs and stakeholders’ (...) behavioral intentions are sequentially mediated by changes in the perceived organizational performance and corporate reputation. This implies that stakeholders use the signals transmitted by CRDs to adjust their perceptions of a firm’s organizational performance and corporate reputation, which ultimately induces their behavioral outcomes. Overall, our empirical results show the usefulness of CRDs for firms in effectively developing stakeholder relationships and, thereby, contributing to assure their going concern. For stakeholders, CRDs improve efficiency in evaluating a firm’s future development. (shrink)

A common financial model used in business decisions is the cost/benefit comparison. The costs of a proposed project are compared with the benefits, and if the benefits outweigh the costs, the project is accepted; if the costs exceed the benefits, the project is rejected. This model is applicable when tangible costs and benefits can be reasonably measured in monetary units. However, it is difficult to consider intangible factors in this model because intangible factors cannot be readily quantified in money.While (...) some might argue that the financial model should not apply to healthcare decisions, the fact is that costs do enter into the picture. People may decide to forego needed healthcare because they cannot afford it. Healthcare providers may make choices based in part on the costs of diagnosis and treatment, rather than solely on medical information and what is best for the patient. Should financial issues enter into healthcare decisions – decisions about human health and well being? If so, how should the costs and benefits be measured and evaluated? What are some ethical issues and dilemmas involved in such decisions? (shrink)

In the 10 years after the launch of the United Nations Global Compact (GC), there have been very few empirical assessments of the initiative in the academic literature. In this study, drawing from institutional theory and the resource-based view of the firm, we examine motivations of business participants to adopt the GC principles in the Spanish context. Using survey data from Spain – the country reporting the highest volume of business participants in the GC – we find that (...) external institutional forces as well as internal organisational resources shape motivations for adopting GC principles. In particular, we find that early and late adopters are motivated similarly by the perceived opportunity of achieving image gains, while late adopters are motivated more by economic gains than early adopters. We further find that regardless of the extent of internal intangible resources possessed, firms are similarly motivated by economic gains. The results also show that companies with more intangible resources are motivated more by image gains than those with fewer resources. Our findings indicate that contrary to its earlier days, economic gains have emerged as an important motivator for the adopters of the GC principles with image gains still being an important motivator. (shrink)

The authors identify the challenge of holding contemporary business leaders accountable for enhancing the intangible strategic asset of integrity capacity in organizations. After defining integrity capacity and framing it as part of a strategic resource model of sustainable global competitive advantage, the stakeholder costs of integrity capacity neglect are delineated. To address this neglect issue, the authors focus on the cultivation of judgment integrity to handle behavioral, moral and hypothesized economic complexities as key dimensions of integrity capacity. Finally, the (...) authors recommend two leadership practices to build competence in business leaders to enhance integrity capacity as an organizational strategic asset. (shrink)

Management scholars have paid close attention to the construct of organizational or corporate reputation, particularly in the applied business ethics and corporate social responsibility fields. Extant research demonstrates that CR is one of the key mediators between CSR and important organizational outcomes, which ultimately improve organizational performance. Yet, hitherto the research focused on CR construct has been plagued by multiple definitions, conflicting conceptualizations, and unclear operationalizations. The purpose of this article is to provide theoretical ground for positioning of CR (...) as an assessment construct that is modeled as a second-order factor affecting individual first-order dimensions, and to provide methodological and empirical support toward such conceptualization. We assert that intangible, socially complex, and causally ambiguous CR can be accurately estimated through its individual measurable dimensions. Using survey data from Peru, we empirically test the hypothesized second-order reflective model within a hierarchy of nested and non-nested models, and compare its model fit and predictive power with alternative conceptualizations. Modeling CR as a second-order reflective construct relies on a set of theoretical propositions and yields several methodological advantages, including strong conceptual interpretability and parsimony when tested within a nomological context. We explicitly demonstrate positive organizational outcomes of CR: customer trust, corporate identification, in-role behavior, and extra-role behavior. Then, we demonstrate that the shorter scales of CR can be used as a good proxy for the full construct measure. The paper concludes by highlighting theoretical insights, and methodological and managerial implications of the findings. (shrink)

A disconnect remains between theories about responsible management and application in real-life organizations. Part of the reason is due to the complexity and holistic nature of the field, and the fact that many of the benefits of aligning business objectives with changing societal conditions are of an intangible nature. Human resource management is an increasingly important part of the field with benefits including talent retention, higher levels of motivation, and improvements in organizational cohesion. This paper sets out an experiment (...) run at a large Spanish university to try to analyze the impact on worker productivity of a responsible management stance by an employer. Based on the Corporate Social Performance model, the paper examines the issue from the point of view of responsibilities, responsiveness, and outcomes, and considers the cost/benefit effect of incorporating a social responsibility variable into the wage structure to measure the impact on productivity. (shrink)

Over the last decade, managers have increasingly emphasised the creation of tangible measures of intangible organisational properties. Many major corporations now include measures for intellectual capital, knowledge capital, reputational capital, and other such intangible assets on their financial ledgers. Counter to the rubric that ‘If it doesn’t get measured, it doesn’t get done,’ we argue that some intangibles are truly intangible, and attempts to apply tangible measures to them creates undue organisational stress and harms the underlying asset. Instead, managers (...) may better foster the growth of intangible assets by placing less emphasis on outcome measurement and more emphasis on the process. Using New York University’s Office of Community Service as a case study, we illustrate how a Zen approach can augment tangible measures to create a truly ‘balanced’ organisational strategy. American firms have widely adopted the strict measurement practices of Japanese firms, but few have adopted the Eastern practice of Zen. A Zen approach fosters trust and provides flexibility that allows organisations to better achieve success in the long run. (shrink)

The activism of institutional investors tends more and more toward the supervision and control of the behavior of the managers of big companies. In this article, we present a model based on the creation of an activism index that lets us evaluate such activism’s effect on the sensitivity of the investment policies of a company in the face of financial variables (such as cash flow and liquidity ratio) and market variables (ownership concentration and value creation index). To test our assertions, (...) we analyze firm-level data for United Kingdom (U.K.), Germany, France, Denmark, and Spain during the period 1995–2004. Our results point to a significant reduction in the sensitivity of company investment decisions in the face of these variables, especially relative to intangible capital, as a result of the neutralizing effect of activism on the high agency costs of free cash flow and on the information asymmetries of the market. (shrink)

Trees belong to humanity’s heritage, but they are more than that. Their loss, through catastrophic fires or under business-as-usual, is devastating to many forms of life. Moved by this fact, we begin with an assertion that heritage can have an active role in the design of future places. Written from within the field of architecture, this article focuses on structures that house life. Habitat features of trees and artificial replacement habitats for arboreal wildlife serve as concrete examples. Designs of (...) such habitats need to reflect behaviours, traditions and cultures of birds, bats, and other animals. Our narrative highlights the nonhuman aspect of heritage, seeking to understand how nonhuman stakeholders can act as users and consumers of heritage and not only as its constituents. Our working definition states that more-than-human heritage encompasses tangible and intangible outcomes of historical processes that are of value to human as well as nonhuman stakeholders. From this basis, the article asks how the established notions of heritage can extend to include nonhuman concerns, artefacts, behaviours and cultures. As a possible answer to this question, the hypothesis tested here is that digital information can (1) contribute to the preservation of more-than-human heritage; and (2) illuminate its characteristics for future study and use. This article assesses the potential of three imaging technologies and considers the resulting data within the conceptual framework of more-than-human heritage, illuminating some of its concrete aspects and challenges. (shrink)

Everything we do in life involves a connection with information, experience and know-how: together these represent the most valuable of intangible human assets encompassing our history, cultures and wisdom. However, the more easily new technologies gather information, the more we are confronted with our limited capacity to distinguish between what is essential, important or merely ‘nice-to-have’. This article presents the case study of a multilingual Knowledge Management System, the Business enabling e-Platform that gathers and protects tacit knowledge, as the (...) key to developing structured intellectual capital, while acknowledging the urgent need here to integrate Ethics-by-design alongside AI-by-design, in view of the far-reaching consequences involved, for good or ill. It also explains how a beneficial Circular Economy of Knowledge depends on evidence-based answers, and how harmonising taxonomies, terminology and standards promotes global trust as the basis for the unhindered transfer of tacit knowledge between generations in a way that benefits everyone. (shrink)

Corporate reputation is an intangible asset that is related to marketing and financial performance. The social, economic, and global environment of the 1990'shas resulted in environmental performance becoming an increasingly important component of a company'sreputation. This paper explores the relationship between reputation, environmental performance, and financial performance, and looks at the contingencies that impact environmental policy making.

One field in ethics that has been developed during recent decades is virtue ethics, represented most importantly by Alasdair MacIntyre's work After Virtue. Virtue ethics is not opposed to principle-based ethics, but rather complements its task and develops it more fully. In the field of US bioethics, this option has proved to be even more fruitful, especially in the work of Edmund Pellegrino and David Thomasma. Virtue ethics is also being reappraised in relation to the ethics of organisations and (...) class='Hi'>business. It is considered that the best way of running a company does not depend solely on a group of ethical principles or agreed criteria, but on the effective exercise of certain qualities of character. Indeed, minimal ethics do not guarantee the excellence of organisations, or even their correct development. They guarantee certain standards of coexistence, but this is not sufficient to carry forward a collective enterprise in a creative way. It is impossible to achieve the aims of an organisation without ambition, magnanimity, humility, prudence, responsibility and courage. This group of intangible elements are virtues. This article explores the process of decision-making in the light of Aristotelian ethics, in particular his work _Nicomachean Ethics_. Making decisions is a common task on the managerial agenda. The decisions of a manager affect individuals, the future of the organisation and, of course, they have consequences for the organisation and its surroundings. Aristotle dedicates Book III of the work in question to studying the art of deliberation and examining which virtues must be taken into account when reaching the best decision. Aristotle tells us that we deliberate about things that are within our power and can be done. There can be no deliberation upon exact and sufficient knowledge; however, we deliberate upon the things that are brought about by our own efforts, although not always in the same way. Leading an organisation is not a mechanical matter, but rather a process that requires creativity and responsibility. There are many different ways of doing it. Following the Aristotelian doctrine, this article aims to examine the elements that must be taken into consideration for correct decisions to be made. The following virtues play a fundamental role in this process: prudence, fortitude, justice and temperance, referred to below as called cardinal virtues. (shrink)

We examine the important roles of two forms of capital—human and social—in the accumulation of critical resources that enable firms to adopt sound environmental management practices which contribute to better firm performance. Drawing on human and social capital theories and the resource-based view of the firm, we tested this proposition using data from a survey of 141 small manufacturing firms drawn from a survey of business enterprises in a metropolitan city in the southern region of the Philippines. The results (...) of our analysis using structural equation modelling-partial least square approach show that both human capital such as age, experience and education of managers of the firm and social capital such as external managerial ties and networks have significant and positive contribution to the environmental management resources of firms although the effects vary in magnitude. The accumulation of environmental management resources not only is positively linked to the adoption by firms of pro-environment practices but also fully mediates the effects of the two types of capital on the adoption of such practices. Pro-environment practices are positively linked to better performance outcomes. The findings underscore the need to account for the intangible and more tacit forms of capital such as managerial talent, knowledge, skills and social ties and networks in the wider debate on how small manufacturing firms in developing countries can address the pressing need to integrate environmental sustainability in business. (shrink)

One field in ethics that has been developed during recent decades is virtue ethics, represented most importantly by Alasdair MacIntyre's work After Virtue. Virtue ethics is not opposed to principle-based ethics, but rather complements its task and develops it more fully. In the field of US bioethics, this option has proved to be even more fruitful, especially in the work of Edmund Pellegrino and David Thomasma. Virtue ethics is also being reappraised in relation to the ethics of organisations and (...) class='Hi'>business. It is considered that the best way of running a company does not depend solely on a group of ethical principles or agreed criteria, but on the effective exercise of certain qualities of character. Indeed, minimal ethics do not guarantee the excellence of organisations, or even their correct development. They guarantee certain standards of coexistence, but this is not sufficient to carry forward a collective enterprise in a creative way. It is impossible to achieve the aims of an organisation without ambition, magnanimity, humility, prudence, responsibility and courage. This group of intangible elements are virtues. This article explores the process of decision-making in the light of Aristotelian ethics, in particular his work Nicomachean Ethics. Making decisions is a common task on the managerial agenda. The decisions of a manager affect individuals, the future of the organisation and, of course, they have consequences for the organisation and its surroundings. Aristotle dedicates Book III of the work in question to studying the art of deliberation and examining which virtues must be taken into account when reaching the best decision. Aristotle tells us that we deliberate about things that are within our power and can be done. There can be no deliberation upon exact and sufficient knowledge; however, we deliberate upon the things that are brought about by our own efforts, although not always in the same way. Leading an organisation is not a mechanical matter, but rather a process that requires creativity and responsibility. There are many different ways of doing it. Following the Aristotelian doctrine, this article aims to examine the elements that must be taken into consideration for correct decisions to be made. The following virtues play a fundamental role in this process: prudence, fortitude, justice and temperance, referred to below as called cardinal virtues. (shrink)

The video game producers are currently in spotlight of market information services. Successes and huge budgets of such companies attract many readers. However, scientific studies related to this sector do not share the same popularity. A reflection on the source of value in this sector shows that what generates revenues is not disclosed in the report. Great examples are customers’ relationships or the value of employees creating the game code and story of the game. Video games producers sector presents a (...) good combination of business and culture that allows reflection on financial characteristics of knowledge based companies. Prior studies show that market’s valuation takes into account unrecognised assets but capital-intensive character of a production and intangibility of a product and its assets causes problems with exact valuation. In this paper the author asks about the impact of the characteristics on the assessment of a financial condition. The research question in this paper is whether it is possible to use and interpret correctly popular discriminant analysis model for knowledge based entities on the example of video game companies. Results are applicable by analysts and managers of this sector and help to determine the usefulness of this method, but it still depends on assumptions and accounting policies. The reflection presented also broadens the discussion on financialisation because analysed companies can oppose this trend in a specific way. (shrink)

The industrial product-service system is a kind of system engineering methodology, integration scheme, and business model to realize service value by adding intangible services in the whole life cycle. However, the design of the system involves many difficulties such as uncertain customer demands, strong subjectivity of the experience design, and long debugging times. Methods for solving upper problems are therefore essential. This paper presents a design model that integrates an improved affinity propagation clustering algorithm, quality function development, and axiomatic (...) design. The entire process of designing an iPSS can be split into three steps. First, uncertain customer demands is determined and standardized. Second, the functions of the product-service system are investigated. Finally, the structures of the system are determined. This paper examines the example of the control service of an iPSS for a water heater tank capping press. An improved AP clustering algorithm is used to determine standardized customer demands, the proposed QFD, and an AD integration model to initially establish a mapping between the customer demands domain and the function domain and clarify the design focus. Next, a QFD- and AD-integrated model is constructed to establish a mapping between the function domain and the structure domain and optimize the control scheme through the quality of its risk prediction. Finally the paper verifies that the upper process and methods can guide the design process effectively in production applications. (shrink)

We propose the FoodSmart City framework as a transdisciplinary avenue to promote sustainable seafood consumption. We argue that a change in human seafood consumption towards eating at lower trophic levels may be helped by discovering forgotten cultural practices and tapping into locally-sourced marine resources. We set out a framework of knowledge exchange and production between academia, businesses, and civil society to promote and assist healthy and ecologically sustainable living using digital tools and intangible cultural heritage while engaging with innovative chefs (...) and educationalists. The framework targets Dublin City, Ireland, but may potentially be replicated in other contexts. (shrink)

Today, organizations are facing a high rate of attrition which is a serious issue for human resource managers. Gaining the commitment of employees towards their organization, though challenging, is rewarding as organizational commitment (OC) is a precursor to employee engagement. Another challenge is about maintaining an ethical climate. Ethical misconduct by organizations not only brings them a heavy monetary price but also incurs non-monetary price in terms of customer and employee attrition and diminished business reputation. In the new workplace (...) with greater emphasis on flexibility, teams and a strong customer orientation, we feel that development of emotional intelligence (EI) of the workforce can be the key to meet these challenges. This paper explores these three critical constructs viz., EI, workplace ethics and OC together, and tests whether workplace ethics mediates the EI–OC relationship using structural equation modelling. We conducted an empirical study in Guwahati, a fast-growing tier II city in India and a business hub for north-east India, on a sample of 400 managers working in the service sector. Our study found that emotional intelligence is a strong predictor of ethical perception and organization commitment. Also, ethical perception significantly affects organizational commitment. Although we reject the hypothesis that ethics mediates the EI–OC relationship, the importance of workplace ethics cannot be undermined as it can build intangible organizational assets such as goodwill and public image. Since individual ethical standards create ethical climate, organizations need to teach their people how to recognize morally questionable situations and the consequence of unethical conduct. (shrink)

Introduction. Modern times are characterized by independence from financial support for travel due to introducing an ordinary region with its daily surrounding into tourist circulation, focusing not on distance, but on the depth of emotions when choosing a place to visit. The aim of the study is to assess the factors of transforming the tourist environment in a region, which might result in a number of challenges for managing the regional development. Methods. In the framework of the study, both general (...) logical methods and empirical methods are used. In particular, the analysis of approaches to managing a tourist region in the post-tourism era, as well as new tourist practices are based on classification and periodization. When choosing the factors of the tourist region new format, the case method and comparison were applied. The scientific novelty of the study. The authors substantiate that the new era will be determined by changes in the labor–leisure ratio, new tourist practices and new tourist region format. The new tourist region format involves a transition to understanding the tourist as a temporary resident of the region and actualizes the need for coexistence. Results. The state of post-tourism for such a region may be due to the emergence of new residentsowners of second homes and business migrants, as well as the social effect of deliberate tourism practices. The competition of such regions is based on intangible resources. The factors of transforming the tourist environment made it possible to give a new look at assessing the effectiveness of an event for the territory. The authors propose threshold values that will allow making decisions on the co-financing of the event from the regional or local budget. Conclusions. Hybridization of tourism and leisure does not provide a complete answer about a possible reduction in work hours, however, indicates a short-term leisure mobility of individuals. New tourism practices are based on awareness and desire to increase self-efficacy. Such transformations open up new opportunities for the territory development. (shrink)

In this article we discuss what are the implications for improving the design of corporate ethics programs, if we focus on the moral motivation accounts offered by main ethical theories. Virtue ethics, deontological ethics and utilitarianism offer different criteria of judgment to face moral dilemmas: Aristotle's virtues of character, Kant's categorical imperative, and Mill's greatest happiness principle are, respectively, their criteria to answer the question "What is the right thing to do?" We look at ethical theories from a different perspective: (...) the question we ask is "Why should I do the right thing?" In other words, we deal with the problem of moral motivation, and we examine the different rationale the main ethical theories provide. We then point out the relation between moral motivation and the concept of rationality in the different approaches - is acting morally seen as an expression of rational behavior? Our analysis of moral motivation provides a useful framework to improve the understanding of the relationships between formal and informal elements of corporate ethics programs, emphasizing the importance of the latter, often overlooked in compliance-focused programs. We conclude by suggesting that the concept of moral imagination can provide a unifying approach to enhance the effectiveness of corporate ethics programs, by providing an intangible asset that supports the implementation of their formal components into management decision making. (shrink)

If the question about the causes of the crises has generated a good deal of literature in Spain, the key issue in recent times has been how to create that tangible and intangible wealth that only companies can give. One of the proposals that specialists agree upon is to revitalise the business entrepreneurial spirit, presenting the entrepreneurs’ way of life as an attractive option, due to the good they produce and the social recognition they enjoy. Accepting the suggestions of (...) the so-called “narrative turn”, the article analyses the virtualities of business narratives in order to enhance the role of entrepreneurs. To this end, the article aims to cover three stages: narratives are necessary because they are brain-based, it is advisable to find out why entrepreneurs are not usually considered in Spain as the main characters of good narratives, good narratives, the ones that convince, are the ones that have the capacity to show the meaning of the entrepreneurial activity and the truth of what we have been doing. (shrink)

Effort is then well-nigh indescribable. Not wholly so, else it would be meaningless. Description is a matter of degree: who can fully describe red or wet? To be sure, description comes down in the end to the pointing to certain given qualities or relations or events which are just there. All connotation rests on denotation, though it may be something more. But the unique positive thing about effort is its originality; to which indeed we can point, since every one experiences (...) it in himself. Yet common to all men though it is, it is so intangible! more spirit than body, more force than substance. We should perhaps best call it not a datum but a factum, or better still, a fiat, a doing rather than a deed, yet not merely a becoming, for we see things coming to be, we hear a melody progressing and touch a moving object. Effort, dynamic as it is, is not just the process, rather it is--we must re-iterate--the start, the initiative of the process. Nor is the experience of it properly called mystical. Even if mystical experience were indescribable, as has been wrongly alleged, these would be two quite different indescribables, the one receptive, the other originative. All we can say perhaps is that effort is analogous to the push that starts the ball rolling, not the motion of the ball, not the acceleration, but the enforcement of these. Its witness does not lie in its value as explanation of the motion; the witness is direct, the immediate experience which every man has. It seems to be no object of scientific investigation in the technical sense. It cannot be measured by itself, as acceleration and motion are measured. That is why physics has abandoned the old notion of force, the physical analogue of effort, replacing it by mass-acceleration. That is why the rationalists in modern philosophy look askance at this direct experience of man, so intangible that we can draw from it no logical implications. For it has no structure. Its characteristic is not clearness nor distinctness. We might be tempted to say it is like a point in space, too small to be envisaged, yet not a zero; but it is more like a dot or spark, so small as to be just seen, so small as to have no visible spread, no content that we can analyze to draw out rational consequences connecting it with other things. Here too we see why the contemplative thinker seldom believes in free choice, which the natural man naturally accepts. Free choice is the kind of thing that might well belong to this experience; free choice is origination. Not necessarily that all effort is freely made. The baby exercises no free choice when he sucks hard at the nipple, nor the adult when he wrestles for his life with an enemy. But they want, need, desire; that is the point. Desire--that is the essence of effort. Desire has the originative quality; it comes as it were out of one's self and from no other source, it is what we want, our self insisting on its own. But the business is so deep within that it is easily overlooked, or deliberately excluded from the gaze, and without a qualm. We might say it is too near to be noticed, or too deep down to obtrude itself, as the water in the well is easy to see, but not the spring at the bottom of the well. Effort disappears from the scene when the thinker is calmly gazing; but when he acts it is felt, and strongly felt. It is in fact the very essence of the self, the well-spring of its worth and its growth. A man is what he does. His worth lies in what he makes. All that he is responsible for, all that he earns, is credited with, or guilty of, comes from this innermost source. So thinks the practical man, so we all believe when we are conducting our lives in intercourse with one another and with nature. But for the contemplative attitude there is here too little of clear articulation, of object-matter for analysis; no use can be made of it in a deductive system. So the system-builders discard it. (shrink)

Background Healthcare worker retention and burnout are confounding issues. Trust among workers and their employer, that is, organization, is an important yet underexplored concept in research. Research aim The aim of this qualitative study is to explore organizational actions and systems that promote or denigrate trust among registered nurses and patient care aides (aides). Research design The study uses the Model of Psychological Contract as a theoretical framework. Focus groups were conducted to explore the concept of organizational trust and the (...) consequences of broken trust. Participants Registered nurses (RNs) (n=6) and aides (n=6) participated in the study. Six focus groups (three RN and three aide) were conducted, with two participants per group. Focus groups were conducted online. Ethical considerations The study's methods were reviewed by the University of Pittsburgh Institutional Review Board. Findings Among RNs and aides, a sense of trust and feeling valued were important to their sense of relationship with their employers. Trust was breached when resources were scarce, employees did not feel validated and listened to, and problems were not addressed. RNs and aides described feeling devalued when compensation practices were unjust or inequitable, they had limited autonomy, and the employer created an organizational climate where business needs superceded human caring. Consequences of trust breach included burnout, dejection, and feelings of non-belonging. Discussion Tangible organizational resources (compensation and staffing) and intangible resources (value, respect, autonomy) are important to RNs and aides alike. Inability to provide these resources diminishes trust and even causes a sense of betrayal. Conclusion Future research can explore the concepts of organizational justice and interventions to restore lost trust and improve healthcare worker well-being. This is one of only a few identified studies to explore organizational factors and well-being among aides and more research among this healthcare worker population is warranted. (shrink)

Given that services differ from goods in terms of intangibility, heterogeneity, and inseparability, customers may evaluate green services differently from how they evaluate green goods. Previous research has investigated customers’ perceptions and purchase decisions regarding green products. However, limited attention has been paid to the impact of green practices on customer evaluations of the service experience as well as important contingencies that bear on this relationship. Drawing on stakeholder theory, our study examines the impact of green practices on customer evaluations (...) and further considers the influences of environmental- and firm-level contingencies. We test our model with a multi-source dataset in the Chinese hotel industry. The findings indicate that green practices improve customer evaluations of the service experience. This positive impact is, however, weaker in external environments characterized by high internet penetration and market complexity but is stronger for hotels with innovative services and for business hotels. Our findings provide novel insights into the environmental ethics and stakeholder management literatures by revealing the role of green practices in promoting positive service evaluations as well as the contingent influences of external environments and internal firm-level characteristics. (shrink)

Economic and social activities are undergoing radical changes, which can be labelled as ‘knowledge economy and/or society’. In this sense, intellectual capital, or knowledge assets, as the fourth factor of production, is replacing the other ones – job, land and capital. This article tries to offer the origins and nature of the firm’s IC that can be labelled as ‘An Intellectual Capital-Based View of the Firm Competition’. This framework tries to highlight the strategic role of different intangible assets like talented (...) and committed workers, cultural values, or long-term relationships among the firm and its stakeholders – customers, allies, suppliers and society in general – in gaining and sustaining competitive advantages, being the management of IC a key issue in the management agenda. (shrink)