Risk management is certainly one of the most important professional responsibilities of an engineer. As such, this activity needs to be combined with complex ethical reflections, and this requirement should therefore be explicitly integrated in engineering education. In this article, we analyse how this nexus between ethics and risk management is expressed in the engineering education research literature. It was done by reviewing 135 articles published between 1980 and March 1, 2016. These articles have been selected (...) from 21 major journals that specialize in engineering education, engineering ethics and ethics education. Our review suggests that risk management is mostly used as an anecdote or an example when addressing ethics issues in engineering education. Further, it is perceived as an ethical duty or requirement, achieved through rational and technical methods. However, a small number of publications do offer some critical analyses of ethics education in engineering and their implications for ethical risk and safety management. Therefore, we argue in this article that the link between risk management and ethics should be further developed in engineering education in order to promote the progressive change toward more socially and environmentally responsible engineering practices. Several research trends and issues are also identified and discussed in order to support the engineering education community in this project. (shrink)

Recently, international funding agencies and practitioners in the area of corporate social responsibility and small and medium enterprises have argued that microfinance institutions could promote the adoption of environmentally friendly business practices in microenterprises in developing countries. This article explores the potential and limitations of MFIs in promoting the spread of environmental risk management techniques and practices in microenterprises using a case study of an MFI-sponsored pilot program in this area in El Salvador. The author argues that (...) caution should be exercised about the role that MFIs can play in relation to inducing change to the environmentally harmful practices of micro-entrepreneurs. In fact, this study reveals that the MFI had some difficulties in building internal skills and reconciling its environmental and performance objectives, limiting its ability to assist microenterprises in the area of environmental management. Furthermore, the pilot program, as it was designed, did not sufficiently take into account the psychological and financial barriers that constrain micro-entrepreneurs’ capacity to engage in any meaningful environmental behavior change. Finally, factors such as the lack of an adequate legal framework and local infrastructure also countered the effort of the MFI and limited the potential of microenterprises for effectively engaging in environmental risk management practices. The article concludes by outlining the implications of this analysis for future research, policy, and practice in this area. (shrink)

In this article, we examine how firms design executive compensation in light of their risk environment. Prior literature shows that corporate environmental responsibility (CER) of a firm inversely affects firm risk. We argue that firms with better CER performance benefit from the reduced firm risk, and therefore are more likely to provide greater managerial risk‐taking incentives to encourage the risk‐averse managers to undertake risk‐increasing but positive net present value (NPV) investments. Consistent with our (...) hypotheses, we find that a firm’s CER rating is positively associated with its CEO risk‐taking incentives (vega) in the following year. We also document cross‐sectional variations in the CER‐vega relationship, that is, a weaker association in the controversial industries. This study contributes to the literature by investigating the role of CER on executive compensation design from the perspective of risk management. (shrink)

Social decision-making involving risks ideally results in obligations to avoid expected harms or keep them within acceptable limits. Ambitious goals aimed at avoiding or greatly reducing risks might not be feasible, forcing the acceptance of higher degrees of risk (i.e. unrealistic levels of risk reduction are revised to comport with beliefs regarding abilities). In this paper, the philosophical princi- ple ‘ought implies can’ is applied to the management of complex risks, exempli- fied by the risks associated with (...) climate change. In its common interpretation, the principle states that we cannot expect an agent to perform something that lies beyond his or her abilities. However, it is here argued that this principle requires setting thresholds for legitimate claims of inabilities that justify the waiving of normative demands. This paper discuss three claims: (1) that caution is required before revising a risk-reducing goal that is perhaps exceedingly ambitious; (2) that claims on abilities are not only descriptive, but also value-laden; and (3) that the function of a goal has to be clarified before risk-reducing goals are revised. Risk-reducing goals that initially seem unrealistic arguably serve performance- enhancing purposes in risk management. Neglecting such goals could lead to choosing less desirable, but certainly feasible, risk-reducing goals. (shrink)

The key concept in Business Ethics has changed from ‘corporate social responsibility’ to ‘integrated risk‐management’. This change, first wrought by American laws, has been extended to other countries through globalization. The most important laws concern corruption, anti‐trust, consumer safety, environmental protection and insider‐trading. The ‘Federal Corporate Sentencing Guidelines’ have particularly been helpful in identifying and valuing business risks. The author proposes a ‘next‐generation’ Business Ethics integrating personal, professional and organizational ethics in the context of an institutionalized, country‐sensitive (...) ‘corporate culture’. (shrink)

Using the example of air pollution, I criticize a restricted utilitarian view of environmental risks. It is likely that damage to health due to environmental pollution in Western countries is relatively modest in quantitative terms (especially when considering cancer and comparing such damage to the effects of some life-style exposures). However, a strictly quantitative approach, which ranks priorities according to the burden of disease attributable to single causes, is questionable because it does not consider such aspects as inequalities (...) in the distribution of risks. Secondly, the ability of epidemiological research to identify some health effects is limited. Third, the environment has symbolic and aesthetic components that overcome a strict evaluation of damage based on the impairment of human health. It is not acceptable that priorities be set just balancing the burden of disease caused by pollution in the environment against economic constraints. As an example of a computation that inherently includes economic analysis, I refer to the proposal of an estimator of mortality in coal mining, i.e., a rate which puts deaths in the numerator and tons of coal extracted in the denominator. According to this estimator, mortality due to accidents decreased from 1.15 to 0.42 in the period 1950–1970 in the United States, for each million tons of coal extracted. However, considering the steep decline in the workforce in the same period, the traditional mortality rate (deaths over persons-time) actually increased. The proposal of a measure of mortality based on the amount of coal extracted is just one example of the attempts to influence decisions by including an economic element (productivity) in risk assessment. This paper has three purposes: One, to describe empirical research concerning the health effects of environmental pollutants; two, to discuss the scientific principles and methods used in the identification of environmental hazards; and three, to critically discuss some of the ethical principles which are applied in medicine and in the assessment and management of risk. (shrink)

A sample survey of members of the Association of Environmental and Resource Economists (AERE) found relatively low rates of obvious ethical misconduct, such as data fabrication and falsification, and higher rates of dubious behaviors, such as deliberate overstatement of positive and understatement of negative results. AERE members reported that job-related pressures-including competition with peers, pressure due to professional implication and on-the-job pressure-were the most important causes. The most effective preventive measures, according to respondents, were discussion of ethics in existing (...) classes, codes of ethics, and short courses at professional meetings. The vast majority of AERE members were against government audits and regulations. (shrink)

It is widely recognized that endocrine disrupting compounds, such as Bisphenol A, pose challenges for traditional paradigms in toxicology, insofar as these substances appear to have a wider range of low-dose effects than previously recognized. These compounds also pose challenges for ethics and policymaking. When a chemical does not have significant low-dose effects, regulators can allow it to be introduced into commerce or the environment, provided that procedures and rules are in place to keep exposures below an acceptable level. This (...) option allows society to maximize the benefits from the use of the chemical while minimizing risks to human health or the environment, and it represents a compromise between competing values. When it is not possible to establish acceptable exposure levels for chemicals that pose significant health or environmental risks, the most reasonable options for risk management may be to enact either partial or complete bans on their use. These options create greater moral conflict than other risk management strategies, leaving policymakers difficult choices between competing values. (shrink)

Using the work of Jacques Ellul on technique and its development, this paper criticizes the technological risk management discourse, which claims that risks are “managed” within reasonable limits. In fact, the inevitability of technological change and the uncertainty associated with technology-induced environmental risks, some of which are still totally unknown, undermine the very possibility of democratic governance of risk. Our reliance on technique and the common belief in its infallibility make it particularly arduous to the follow (...) the path showed by Ellul. (shrink)

Although much attention has been given to the role of community stakeholders in developing environmental risk- management policies, most local and national initiatives are better known for their failings than their successes. One reason for this continuing difficulty, we contend, is a reluctance to address the many difficult value trade-offs that necessarily arise in the course of creating and evaluating alternative risk- management options. In this paper we discuss six reasons why such trade-offs are difficult (...) and, for each, present helpful techniques from the decision sciences along with case study examples of successful applications. (shrink)

_In today's hyperconnected world, global supply chains underpin international trade and economic prosperity. However, these complex networks are inherently vulnerable to disruptions, exposing businesses and societies to significant risks. This article delves into the concept of global supply chain resilience, exploring its importance, key principles, and practical risk management strategies. Drawing upon diverse perspectives from social sciences, it analyzes the economic, political, and environmental factors that contribute to supply chain fragility, highlighting the need for multi-faceted approaches to (...) building resilience._. (shrink)

Prior research suggests that voluntary environmental governance mechanisms operate to enhance a firm’s environmental legitimacy as opposed to being a driver of proactive environmental performance activities. To understand how these mechanisms contribute to the firm’s environmental legitimacy, we investigate whether environmental corporate governance characteristics are associated with voluntary environmental disclosure. We examine an increasingly important attribute of a firm’s disclosure setting, namely the disclosure of greenhouse gas (GHG) information. GHG information represents proprietary non-financial information (...) about the firm’s exposure to environmental concerns and is related to the firm’s operations and future profitability. Thus, we expect governance participants would view such information as a potentially important strategic device for managing stakeholders’ demands for information concerning environmental risks. We find that the presence of an environmental committee and a Chief Sustainability Officer (CSO) is positively associated with the likelihood of GHG disclosure and that CSOs are associated with disclosure transparency. Further analysis reveals that the likelihood of disclosure is associated with committee size, number of committee meetings, expertise of committee members and CSO, and overlap between the environmental committee and audit committee. Only expertise of the environmental committee members and the CSO are associated with GHG disclosure transparency, while larger committees tend to be associated with lower transparency. Our results are particularly important to those with interests in evaluating the potential role that corporate governance mechanisms play in responding to stakeholder concerns about environmental risks. Directors and officers who are considering appointment to similar governance positions, may wish to consider what attributes would make such governance positions more influential. (shrink)

Factory floors throughout the global economy are rapidly transforming themselves into potentially fertile laboratories for research in the cognitive sciences. The information revolution has challenged our understanding of perception and cognition. Innovations in information technologies have also provided us with new methods and environments for the study of cognition. On the business and economic front, information technology is supporting the development of new corporate information systems-Enterprise Systems-that will revolutionize the decision-making, reporting and reward environments in corporations. These systems are pervasive (...) and transforming. At all levels, employees will be presented with potentially unlimited amounts of accurate, real-time information and will be expected to use that information effectively. The possibilities for research, especially for modeling the learning and decision-making processes, are unparalleled. Research conducted in these environments offers extraordinary opportunities to address research questions formerly requiring limited synthetic environmental situations. Data collected in firms as they deploy enterprise information systems can be more extensive and accurate and more easily quantified than data from traditional synthetic experiments. Research programs in these settings can also address more complex problems of human interaction and collaborativity. This article describes the aspects of enterprise systems that will be of greates interest to cognitive scientists. It also outlines the nature of potential collaboration between economists and cognitive scientists and offers a list of outstanding questions for systems design and development. (shrink)

Discussions of science and values in risk management have largely focused on how values enter into arguments about risks, that is, issues of acceptable risk. Instead this volume concentrates on how values enter into collecting, interpreting, communicating, and evaluating the evidence of risks, that is, issues of the acceptability of evidence of risk. By focusing on acceptable evidence, this volume avoids two barriers to progress. One barrier assumes that evidence of risk is largely a matter (...) of objective scientific data and therefore uncontroversial. The other assumes that evidence of risk, being "just" a matter of values, is not amenable to reasoned critique. Denying both extremes, this volume argues for a more constructive conclusion: understanding the interrelations of scientific and value issues enables a critical scrutiny of risk assessments and better public deliberation about social choices. The contributors, distinguished philosophers, policy analysts, and natural and social scientists, analyze environmental and medical controversies, and assumptions underlying views about risk assessment and the scientific and statistical models used in risk management. (shrink)

To date, the value of corporate social responsibility (CSR) activities has primarily been measured through the company’s reputation, with little attention given to exploring whether there are internal influences between CSR and other management practices. We argue that the efficacy of CSR extends beyond a company’s reputation for managing social and environmental concerns; in particular, it can influence other business practices such as risk management. Our results suggest that (a) overall, firms with better CSR performance are (...) more likely to adopt integrated risk management practices and (b) CSR activities that target both primary stakeholders and secondary stakeholders are equally important in facilitating the adoption of such risk management practices. Theoretically, we contribute to the CSR literature by providing a possible mechanism for risk reduction and insurance-like effects of CSR. Practically, we provide managerial implications demonstrating that the efficacy of CSR should not be viewed in isolation of other business practices. (shrink)

We make many decisions in our livesand we weigh the benefits against thedrawbacks. Our decisions are based on whatbenefits are most important to us and whatdrawbacks we are willing to accept. Decisionsabout what we eat are made in the same way; butwhen it comes to safety, our decisions areusually made more carefully. Food containsnatural chemicals and it can come into contactwith many natural and artificial substancesduring harvest, production, processing, andpreparation. They include microorganisms,chemicals, either naturally present or producedby cooking, environmental (...) contaminants, andpesticides. Since the chance of being harmed bythese potential hazards is called risk, riskanalysis might be better termed as the scienceof safety, because risk management is anessential part of it. It would, however, bedifficult and shortsighted to maintain thatquestions about risk and safety can have nomoral dimension. Risk and safety become mattersof moral concern when they raise furtherquestions about responsibility, accountability,and justifiability. The question of risk cannotbe ignored in any ethical investigation ofgenetic engineering, novel foods, animalwelfare, and individual choices. However, foodis more than metabolic fuel. It hasphysiological, psychological, social, cultural,and aesthetic associations that merge to form agestalt that people endanger and maintain. Thecontribution of any food towards anindividual's well being is as complex as theindividual himself. In this context, thebenefits of consuming food that containshazards may outweigh the risk. (shrink)

When developing computational models to analyze the tradeoffs between climate risk management strategies (i.e., mitigation, adaptation, or geoengineering), scientists make explicit and implicit decisions that are influenced by their beliefs, values and preferences. Model descriptions typically include only the explicit decisions and are silent on value judgments that may explain these decisions. Eliciting scientists’ mental models, a systematic approach to determining how they think about climate risk management, can help to gain a clearer understanding of their (...) modeling decisions. In order to identify and represent the role of values, beliefs and preferences on decisions, we used an augmented mental models research approach, namely values-informed mental models (ViMM). We conducted and qualitatively analyzed interviews with eleven climate risk management scientists. Our results suggest that these scientists use a similar decision framework to each other to think about modeling climate risk management tradeoffs, including eight specific decisions ranging from defining the model objectives to evaluating the model’s results. The influence of values on these decisions varied between our scientists and between the specific decisions. For instance, scientists invoked ethical values (e.g., concerns about human welfare) when defining objectives, but epistemic values (e.g., concerns about model consistency) were more influential when evaluating model results. ViMM can (i) enable insights that can inform the design of new computational models and (ii) make value judgments explicit and more inclusive of relevant values. This transparency can help model users to better discern the relevance of model results to their own decision framing and concerns. (shrink)

In this paper, we study the impact of CEO and board gender diversity on the risk management decisions of 179 U.S. Real Estate Investment Trusts (REITs) during the 2001–2018 period. Using a bottom-up analysis on the properties in REIT portfolios, we find significant risk reduction associated with gender-diverse REIT leadership. We document that REITs with a woman CEO, in combination with more women on the board, display less active trading and a longer hold period for assets. In (...) addition, REITs with more gender-diverse leadership are more geographically focused, which for REITs is considered a lower risk investment strategy. Finally, REITs with more gender-diverse leadership are more actively investing in environmentally sustainable real estate. We conclude that gender diversity in real estate firms carries real-life implications for U.S. cities, given their key role as developers, owners, and operators of the built world. (shrink)

Avalanche studies have undergone a transition in recent years. Early research focused mainly on environmental factors. More recently, attention has turned to human factors in decision making, such as behavioural and cognitive biases. This article adds a social component to this human turn in avalanche studies. It identifies lessons for decision making by groups of skiers from the perspective of social choice theory, a sub-field of economics, decision theory, philosophy and political science that investigates voting methods and other forms (...) of collective decision making. In the first part, we outline the phenomenon of wisdom of crowds, where groups make better decisions than their individual members. Drawing on the conceptual apparatus of social choice theory and using idealised scenarios, we identify conditions under which wisdom of crowds arises and also explain how and when deciding together can instead result in worse decisions than may be expected from individual group members. In the second part, we use this theoretical understanding to offer practical suggestions for decision making in avalanche terrain. Finally, we make several suggestions for risk management in other outdoor and adventure sports and for outdoor sports education. (shrink)

ESG-transformation is taking place in all areas of the economy. Banks must become examples and guides in conducting business in an environmentally, socially and governance manner. The purpose of the study is to substantiate the need to determine the correct course and implement the principles of ESG-banking, including in the practice of risk management of commercial banks, taking into account the long-term consequences of today's actions for global economic and natural systems. Scientific novelty lies in the development of (...) incentive measures and support for ESG-banking, taking into account the analysis of world experience. As a result, the validity of the introduction of ESG-banking and ESG-risk management, their impact on increasing stability in the country's economic sector has been proved. The article identifies the limitations that are most relevant for the Russian market due to the novelty of the ESG-concept in the domestic banking sector. (shrink)

Food allergy represents an increasing public health issue, and a large number of food control authorities have provided regulations aimed to minimize the risk of allergic reaction for sensitized consumers. The Food and Agriculture Organization of the United Nations together with the World Health Organization established the Codex Alimentarius Commission whose main goal is to protect the consumers’ health. To purse this task the Commission listed the foods and ingredients causing the most severe allergic reactions that should be labelled. (...) It has been reported that some cases of specific foods hypersensitivity display a different prevalence among different Countries. Thus, the European Union drew up a list of mandatory allergens longer than that provided by Codex Alimentarius. As a consequence of the complexity of the legal phraseology of the European Union and/or European Community the Regulations and/or Directives were differently translated in all EC/EU official languages determining possible misinterpretations of the legislation. Moreover, food labelling regulations were also established with the goal to promote the consumers’ conscious choice about what they eat. Starting from the case of the fermented beverages, we analysed the European legislative scenario concerning the allergen labelling of the last fifteen years, highlighting that mistranslations, misinterpretations and lack of information in the EU Regulations might lead to health and ethical issues. (shrink)

In this study, we examine the relation between corporate environmental responsibility and risk in U.S. public firms. We develop and test the risk-reduction, resource-constraint, and cross-industry variation hypotheses. Using an extensive U.S. sample during the 1991–2012 period, we find that for U.S. industries as a whole, CER engagement inversely affects firm risk after controlling for various firm characteristics. The result remains robust when we use firm fixed effect or an alternative measure of CER using principal component (...) analysis or downside risk measures. To address the concern of endogeneity bias, we use a system equations approach and dynamic system generalized methods of moment regressions, and continue to find that environmentally responsible firms experience lower risk. These findings support the risk-reduction hypothesis, but not the resource-constraint hypothesis, along with the notion that the top management in U.S. firms is generally risk averse and that their CER engagement facilitates their risk management efforts. Our cross-industry analysis further reveals that the inverse CER-risk association mainly comes from the manufacturing sector, whereas in the service sector, CER tends to increase firm risk. (shrink)

Amongst the environmental and social externalities generated by Australian agriculture are a number of risks both to the health and safety of communities living near sites of agricultural production, and to the end consumers of agricultural products. Responses to these potential risks – and to problems of environmental sustainability more generally – have included a number of programs to variously: define “best-practice” for particular industries; implement “Quality Assurance” procedures; and encourage the formation of self-help community “Landcare” groups. Taken (...) together, these programs appear to deal comprehensively with both the social and environmental risks associated with agricultural production and products. However, these programs may also be interpreted as strategies that actually encourage the further intensification of agriculture, while attempting to reassure consumers that their food is safe and that farmers are doing “all they can” to protect the environment. Investigation of the Australian cotton and beef industries illustrates a number of strategies that have become evident between farmers, agri-science agencies, and the retail sector to manage these risks and define good farming practices in ways that satisfy their own perceived interests. Contrary to the image, therefore, of “green consumption” that is emerging as an integrated concern for “clean” (and thereby “healthy”) and sustainably produced foods, it appears that mainstream agricultural industries have bifurcated these concerns in ways that distract attention from production and processing methods, leaving conflict over on-farm production methods a characteristic only of those industries believed to have direct health impacts on nearby communities. (shrink)

This paper asks what influences farmers’ adherence to national and international zoonotic disease intervention efforts and argues that development and promotion of biosecurity interventions must take into account the economic and social context informing how livestock sectors operate and how those who work in them are making a living. Specifically, we explore how poultry farms in Viet Nam are managed amidst global efforts to combat disease and national ambitions to sustain growth. The growth of Viet Nam’s livestock sector has been (...) accompanied by a range of disease outbreaks that have caused the deaths of animals and humans, threatened businesses, and led to the introduction and ongoing revisions to biosecurity efforts. Despite a strict national (and international) agenda focusing on disease control through biosecurity strategies, on farms disease management is implemented in various ways and to varying degrees. Based on fieldwork in three provinces of Northern Viet Nam and in-depth interviews with actors working on farms and across the commercial poultry sector, we reflect on social, financial and political factors shaping the country’s biosecurity narratives and discuss key practices farming households engage in that influence their disease management efforts. Our findings reveal that strict adherence to biosecurity guidelines is often practically unfeasible for commercial poultry farming households to implement where zoonotic diseases are not a concern related to bird and human health so much as a potential risk to a household’s living, that exists among a range of diverse opportunities and uncertainties shaping farming operations in Viet Nam’s changing livestock sector. (shrink)

The present study aimed at investigating the heavy metals concentrations in the soils around “Larga de Sus” abandoned mine (Zlatna, Romania), evaluating the potential ecological risk of heavy metal pollution and highlighting ethical aspects related to risk assessment, ecological restoration, and soil remediation. The results of the chemical analysis showed that the soil in the study area is highly polluted with heavy metals since the average concentrations of Pb (32.4–2318.1 mg/kg), and Ni (321.6–562.8 mg/kg) in soil exceed their (...) corresponding threshold established by the Romanian legislation. The potential ecological risk index method developed by Hakanson was used to assess the potential risk of heavy-metal pollution. The results indicated that Pb and Ni showed severe and considerable potential ecological risk, while Cr had lightly ecological risk. In this case, remediation should be focused only on Pb or on all heavy metals even if they have lightly ecological risk? A scientific management technique cannot logically prescribe which choices should be selected. The interaction between human activity and the environment is complicated and difficult to quantify and risk management cannot and should not be based simply on risk assessment results. What is needed to make the right choice of the most appropriate alternative that fits our personality, culture, religion, and desires? The moral and ethical implications of ecological restoration and soil remediation (e.g. tolerance of uncertainty, responsibility, moral duty, etc.) have to be incorporated within the decision-making process in order to make optimum sustainable decisions and to achieve real environmental protection. (shrink)

This paper examines a struggle over the future use of Nordic forests, which took place from 2009 to 2012 within a major research program, Future Forests—Sustainable Strategies under Uncertainty and Risk, organized and funded by Mistra, The Swedish Foundation for Strategic Environmental Research. We explore the role of strategic environmental research in societal constructions of long-term challenges and future risks. Specifically, we draw attention to the role played by environmental research in the creation of future images (...) that become dominant for how societies structure action for the long term. We also show that this process is on several accounts problematic. Research labeled “strategic” or “relevant” is intended to manage long-term risks and challenges in a sustainable way, by taking into account the “open” and “plural” nature of the future. The case of Future Forests suggests, rather, that by contributing to the emergence of dominant future images, environmental research is entangled with a process of gradual consensus creation around what may be highly selective or biased narratives of the long term, which may conceal or postpone key forms of future conflict. (shrink)

In recent years, development practice has seen that microfinance institutions are starting to consider their environmental bottom line in addition to their financial and social objectives. Yet, little is known about the characteristics of institutions involved in environmental management. This paper empirically identifies the characteristics of these MFIs for the first time using a sample of 160 microfinance institutions worldwide. Basing our analysis on various econometric tests, we find that larger MFIs and MFIs registered as banks tend (...) to perform better in environmental policy and environmental risk assessment. Furthermore, more mature MFIs tend to have better environmental performances, in particular in providing green microcredit and environmental non-financial services. On the other hand, financial performance is not significantly related to environmental performance, suggesting that ‘green’ MFIs are not more or less profitable than other microfinance institutions. (shrink)

Although various studies have shown thatfarmers believe there is the need for a producer-ledinitiative to address the environmental problems fromagriculture, farmers in several Canadian provinceshave been reluctant to widely participate inEnvironmental Farm Plan (EFP) programs. Few studieshave examined the key issues associated with adoptingEFP programs based on farmers', as opposed to policymakers', perspectives on why producers are reluctantto participate in the program. A study adapting VanRaaij's (1981) conceptual model of the decision-makingenvironment of the firm, and prospect theory on valuefunctions (...) associated with the gains and losses fromrisky choices can be used to characterize how farmersperceive potential risks in environmental farmplanning. This framework can be used to assert thatfarmers are concerned about risks of public disclosureof potentially incriminating environmental informationfrom farms because the EFP program requirements foridentification and extensive documentation of farminformation is perceived by farmers as facilitatingthe accessibility of environmental information to thepublic, and public investigative efforts. Although theEFP program does not explicitly generate informationabout the environmental conditions of a farm nor thedisclosure of such information to the public, itcreates the possibility of generating and divulgingpotentially incriminating information that the farmermay want to treat as confidential. Yet, alone, theserisks of public disclosure concerns should not preventfarmers from participating in the EFP. Awareness ofand participation in environmental farm planning canbe increased if farmers and policy makers understandwhat the risks are, and how they arise. Aspects of theEFP process that have the potential to generate riskof public disclosure concerns relate to farm reviews,documentation and record keeping, and correctiveaction plans. There are legal and policy instrumentsthat can offer various forms of protection and helpminimize such risks, and these need to be assessed. (shrink)

We examine the link between a firm’s environmental and social disclosures and measures of its risk including total, systematic, and idiosyncratic risk. While we do not find any link between a firm’s E and S disclosures and its systematic risk, we find a negative and significant association between these disclosures and a firm’s total and idiosyncratic risk. These are novel findings and are consistent with the predictions of the stakeholder theory and the resource-based view of (...) the firm suggesting that firms which make extensive and objective E and S disclosures promote corporate transparency that can help them build a positive reputation and trust with their stakeholders. This in turn can help mitigate the firms' idiosyncratic/operational risk. These findings are important for all corporate stakeholders including managers, employees, and suppliers who have a significant economic interest in the survival and success of the firm. (shrink)

재난 위험의 일상화, 복합화가 진행되면서 재난을 분리된 하나의 사건, 위험을 비정상적인 것으로 보고 재난 관리에 필요한 과학기술을 개발하고 법적인 제도를 정비하여 사후 대응적으로 현상을 복구하는 전통적인 위험 관리 패러다임은 점차 쇠퇴하고 있다. 현대 사회의 주요 인프라(critical infrastructures)들 사이의 통합성과 상호의존성 강화는 자연 재난, 인위적 재난 등의 전통적인 재난 구분을 어렵게 하고 재난 위험의 원인을 파악하고 이의 영향을 측정하는 것 역시 불가능에 가깝게 해놓고 있다. 위험에 대한 무지가 양산되고 있다는 것이다. 재난 위험의 항상성과 위험의 불확실성의 증가로 인해 위험 지식에 근거한 위험 (...) 관리 정책은 점차 한계에 직면하고 있다. 현대 사회가 직면한 불확실한 재난 위험을 항상 존재하는 것으로 인정하고 이를 제거하기 보다는 이에 적응하는 능력을 강조하는 회복탄력성(Resilience) 개념에 기초한 위험 관리 전략이 요청되고 있다. 회복탄력성이란 외부 교란을 흡수하며 동일한 정체성을 유지하고 변화에 대응하여 스스로를 재조직화할 수 있는 사회생태시스템의 능력을 의미한다. 회복탄력성에 기초한 위험 관리 전략은 사회의 물적 기반, 즉, 주요 인프라의 견고성과 대체성을 높이는 것 뿐만 아니라 물적, 인적, 경제적 자원들을 동원 활용할 수 있는 사회 조직과 문화, 정치 차원에서 견고성, 대체성, 융통성, 신속성 향상을 통해 사회의 위험 대응 능력을 높이는 것이다. 회복탄력성 향상은 새로운 시민성을 실천하는 시민들이 재난 위험에 대한 다양한 해결책을 스스로 찾아 나서고 위험 대응 훈련에 적극적으로 참여할 수 있도록 하는 정책적 지원에 의해 가능하다. (shrink)

Discussions of socioeconomic liability and compensation must necessarily start from an understanding of the socioeconomic, legal, and scientific basis for identifying, assessing, managing, and apportioning blame for hazards related to innovations. Public discussions about the nature of the liability challenge related to genetically modified (GM) crops and other modified organisms have focused less on direct, traditional health, public safety, technical, or environmental failures (e.g., innovations that generate hazards directly for users or indirectly to bystanders) and more on socioeconomic concerns, (...) such as comingled product that offends product quality standards. This article examines the theoretical and legal underpinnings of the current risk analysis framework used in most Organization for Economic Cooperation and Development countries and uses it to assess two areas of significant controversy—the release of herbicide-tolerant canola and flax varieties in Western Canada. The article offers lessons for the management of liabilities arising from the introduction of GM crops. (shrink)

With the improvement of citizens’ risk perception ability and environmental protection awareness, social conflicts caused by environmental problems in large-scale construction projects are becoming more and more frequent. Traditional social risk prevention management has some defects in obtaining risk data, such as limited coverage, poor availability, and insufficient timeliness, which makes it impossible to realize effective early warning of social risks in the era of big data. This paper focuses on the three environments of (...) diversification of stakeholders, risk media, and big data era. The evolution characteristics of the social risk of environmental damage of large-scale construction projects are analyzed from the four stages of incubation, outbreak, mitigation, and regression in essence. On this basis, a social risk early warning model is constructed， and the multicenter network governance mode of social risk of environmental damage in large-scale construction projects and practical social risk prevention strategies in different stages are put forward. Experiments show that the long short-term memory neural network model is effective and feasible for predicting the social risk trend of environmental damage of large-scale construction projects. Compared with other classical models, the long short-term memory model has the advantages of strong processing capability and high early warning accuracy for time-sensitive data and will have broad application prospects in the field of risk control research. By using the network governance framework and long short-term memory model, this paper studies the environmental mass events of large-scale construction projects on the risk early warning method, providing reference for the government to effectively prevent and control social risk of environmental damage of large-scale construction project in China. (shrink)

With the concept of environmental, social, and governance (ESG) gaining traction worldwide, firms are becoming increasingly transparent about their ESG practices to enhance their legitimacy. This study draws on signaling theory, stakeholder theory, and opportunism theory, and uses panel data from Chinese A-share listed firms from 2009 to 2022. It identifies a U-shaped relationship between ESG performance and stock price crash risk, indicating that the increase in ESG performance decreases stock price crash risk, but after reaching a (...) threshold value, it increases the risk. Green innovation moderates this U-shaped relationship, reinforcing its effects. Meanwhile, earnings management plays a mediating role in this U-shaped relationship. Heterogeneity analyses reveal that the U-shaped relationship is significant in polluting industries, firms without the duality of chairperson and CEO, firms with high analyst coverage, and those under high market competition. The moderating effect of green innovation is particularly significant in firms with poor external legal environments and firms with positive management tone. Our findings provide novel insights and recommendations for policymakers, managers, and stakeholders to develop effective ESG policies. (shrink)

The question of how an individual firm's social and environmental performance impacts its firm risk has not been examined in any empirical UK research. Does a company that strives to attain good environmental performance decrease its market risk or is environmental performance just a disadvantageous cost that increases such risk levels for these firms? Answers to this question have important implications for the management of companies and the investment decisions of individuals and institutions. (...) The purpose of this paper is to examine the relationship between corporate environmental performance and firm risk in the British context. Using the largest dataset assembled so far, with community and environmental responsibility (CER) rankings for all rated UK companies between 1994 and 2006, we show that a company's environmental performance is inversely related to its systematic financial risk. However, an increase of 1.0 in the CER score is associated with only a 0.028 reduction in its β. (shrink)

As climate change intensifies, climate risk has become an unavoidable factor in corporate operations and has a significant impact on corporate environmental management activities. This paper takes China’s Shanghai and Shenzhen A-share listed companies from 2012 to 2022 as a sample to empirically analyze the impact of Confucian culture on corporate environmental information disclosure quality under the background of climate risk. The research found that: (1) Confucian culture mainly drives the improvement of the quality of (...) corporate environmental information disclosure through two channels: promoting taking sustainability certification and improving public environmental concerns, (2) climate risk has a positive regulatory effect on the role of Confucian culture, (3) the driving role of Confucian culture in improving the quality of corporate environmental information disclosure is more obvious in non-state-owned enterprises, companies with good operating conditions, low levels of industry competition, and in regions with a low degree of openness to overseas. Overall, this research provides valuable insights into environmental information disclosure systems and informal systems of culture. (shrink)

Environmental-embodied Education: Virtues for Social Hygiene and Self-enjoyment. The contemporary debates concerning environmental education and ethics are continuously growing, developing new ways of perceiving the self in relation to the biotic community and to nature as a whole. Sustainability virtue ethics is a field that can provide a theoretical and practical structure for what it means to live a good and pleasant life, building attitudes characterized by caring, awareness, awe and responsibility. The aim of this paper is to (...) draw a map of how to generate a context that facilitates a real transformation in the way individuals relate to nature, an education for empathy, with a sense of belonging and a maximum of adaptability. Based on my experience as an educator in a green school (Green School Romania) and as a researcher in the field of moral eco-pedagogy, I intent to talk about how environmental experiential education is an Archimedean point for what it means to develop a sensuous enjoyment and self-enjoyment in the biotic community, moving away from defensiveness and unjustified fears. In the context of risk management and long-term strategies for protecting and preserving the delicate equilibrium of life on Earth, environmental virtue ethics represents a necessary and helpful tool, based on interaction and on a focus on the process, discovering the miracle of being aligned with the rhythms of nature. This paper is designed to stand up against the instrumentalism and the dominant egoistic attitude of being above nature, trying to replace them with the attitude of fitting into nature with curiosity, simplicity and serenity. Using the model of moral eco-pedagogy (experiential learning about, for and from the environment) and non-violent communication, I will show that the individual begins to become that self that one truly is, a process of self- realization and engagement with an impact on how he relates to the moral patients and the natural world. (shrink)

Ranchers and pastoralists worldwide manage and depend upon resources from rangelands across Earth’s terrestrial surface. In the Great Plains of North America rangeland ecology has increasingly recognized the importance of managing rangeland vegetation heterogeneity to address conservation and production goals. This paradigm, however, has limited application for ranchers as they manage extensive beef production operations under high levels of social-ecological complexity and uncertainty. We draw on the ethics of care theoretical framework to explore how ranchers choose management actions. We (...) used modified grounded theory analysis of repeated interviews with ranchers to compare rancher decision-making under relatively certain and uncertain conditions and describe a typology of practices used to prioritize and choose management actions that maintain effective stewardship of these often multi-generational ranches. We contrast traditional decision-making frameworks with those described by interviewees when high levels of environmental and market uncertainty or ecological complexity led ranchers toward use of care-based, flexible and relational frameworks for decision-making. Ranchers facing complexity and uncertainty often sought “middle-ground” strategies to balance multiple, conflicting responsibilities in rangeland social-ecological systems. For example, ranchers’ care-based decision-making leads to conservative stocking approaches to “manage for the middle,” e.g. to limit risk under uncertain weather and forage availability conditions. Efforts to promote heterogeneity-based rangeland management for biodiversity conservation through the restoration of patch burn grazing and prairie dog conservation will require increased valuation of ranchers’ care work. (shrink)

Prior research suggests that Corporate Environmental Performance enables businesses to build strong corporate image and reputation, thus leading to improved firm financial performance. However, studies relating to the relationship between CEP and firm risk are scarce. This research intends to bridge the gap in the literature by examining whether CEP helps firms to reduce their financial risk. Results of the Ordinary Least Squares regression with fixed effects provide strong evidence that environmental performance is negatively associated with (...) firm volatility and firm downside risk. The results are robust after controlling for moderating effects such as financial, institutional and environmental management. (shrink)

Ethical and sustainable business practices in global supply chains have become a major concern for firms. Media stakeholders hold firms accountable for the environmentally unethical behavior of their suppliers. Based on agenda-setting theory and stakeholder theory, this study presents a model that shows how various internal and external factors explain media reporting of environmental supply chain sustainability risks. It also examines the role of firms’ risk avoidance practices. The study uses regression analysis of secondary data from 541 buying (...) firms. The results show that the size and brand visibility of buying firms, and their affiliation to high-risk industries increase the frequency of media coverage of suppliers’ environmental misconduct, while their affiliation to high-risk countries decreases the frequency of media coverage. In addition, companies can reduce media coverage by implementing proactive supply chain sustainability risk avoidance practices. However, reactive supply chain sustainability risk avoidance practices are not effective in reducing media coverage. (shrink)

In recent years, a great deal of evidence has accumulated on the health risks and environmental impacts of some herbicides. Both conventional agriculture and agroecology are searching for alternatives to address the challenges posed by the consequences of herbicide use. In this search, peasant and indigenous agroecosystems have much to contribute since their crops evolved thousands of years ago together with diverse communities of weeds, and farmers have carried out sophisticated strategies to manage them. Through participant observation, semi-structured interviews, (...) free lists, and botanical collection, we document a milpa design that integrates and manages spontaneous vegetation to take advantage of its presence and minimize risks of crop loss. The objective of this article is to critically contrast agroecological mechanisms in this milpa design which matches the prevention principle with a set of recommendations recognized as preventive in conventional weed science. (shrink)

What is risk? How do we assess risk? What are the ethical implications of risk? The concept of risk is important – sometimes even crucial – for many philosophical domains, from philosophy of science and technology to ethics and sustainability. Philosophy and Science of Risk is a clear, wide-ranging introduction to this urgent and fast-growing subject. It covers the following key topics: -/- • The philosophical and historical background to understanding and interpreting risk -/- (...) • The meaning of risk and how it differs from closely related concepts, such as uncertainty or dangers -/- • The social construction of risk -/- • Risk perception and risk as an object of scientific study -/- • The measurement of risk, its probability and severity -/- • Risk and scientific modeling -/- • Risk, value judgments, and expertise -/- • Risk management, including cost-benefit analysis and the precautionary approach -/- • Risk communication, including deliberative models -/- • Ethics of risk, including duties toward nonhuman animals and future generations -/- • Risk and sustainability -/- • Decision-making under risk -/- Including helpful additional features such as text boxes, chapter summaries, review, and discussion questions, Philosophy and Science of Risk: An Introduction is an ideal textbook for students of the philosophy of risk. It is also suitable for students studying the conceptual questions surrounding risk in related subjects, such as sociology, psychology, economics, politics, geography, sustainability, and environmental studies. (shrink)

Intentional weight loss can increase health risk in the long‐term, despite short‐term benefits, because human adipose tissue is widely contaminated with various lipophilic environmental contaminants, especially persistent organic pollutants (POPs). Recently, chronic exposure to low POPs has emerged as a new risk factor for common metabolic diseases and cardiovascular diseases. The amount of POPs released from adipocytes to the circulation increases during weight loss, thereby increasing POPs exposure of other critical organs. Possible harmful effects due to release (...) of POPs during weight loss are opposite to those usually expected from losing weight. It is speculated that this tradeoff can explain recent puzzling findings on intensive weight loss. The presence of POPs in adipose tissue adds a challenge to weight management and an optimal strategy of weight management needs to consider both fat mass and dynamics of POPs. (shrink)

The paper examines twelve legal regimes related to the governance and regulation of both the environmental risks and opportunities brought forth by the use of AI systems and AI models in the Artificial Intelligence Act (‘AIA’) of EU law. The assessment of risks and opportunities of AI related to the environment includes the high-risk management procedures under Art. 9 of the AIA, the “fundamental rights impact assessment” of Art. 27, and the codes of conduct of Art. 95. (...) These provisions are supplemented by further regulatory regimes, such as the proposal of EU directive on sustainable consumption and green claims, and Reg. (EU) 2023/588 on environmental and space sustainability, among others. The aim of the analysis is to specify which are the less or the more environmentally friendly regulatory regimes set up with the AIA. The claim is that Art. 9, 27 and 95 are among the less green pieces of the whole legislation. (shrink)

To mitigate risk, should companies signal a broad range of environmental, social, and governance initiatives or instead focus on only a few ESG issues? Drawing on signaling theory, we propose that a broad array of ESG initiatives generates not only signal consistency but also accelerating signal costs. Our empirical results support the resultant hypothesis of a curvilinear relationship between ESG scope and equity risk. In addition, this U-shaped curve seems to become steeper when firms face multiple media-reported (...) ESG controversies. Overall, our study qualifies the conventional wisdom that firms can reduce equity risk by attending to a wide variety of stakeholders and highlights the moderating impact of the firm’s media environment. (shrink)

Environmental, Social, and Governance (ESG) investing is increasingly popular (Giese, Lee, Melas, Nagy, & Nishikawa 2019), and is now percolating into sustainability textbooks and pedagogy. This is problematic because many faculty teaching sustainability do not have a background in finance, and thus find teaching ESG challenging. This paper develops pedagogical resources to teach the fundamentals of ESG investing, be that in a Foundations of Sustainable Management course or a Business Ethics course. We do this by developing four learning (...) objectives: (1) Understand the ESG basics, including why ESG investing is important to investors and, for faculty, outlining where it might be appropriately placed in an ethics or introduction to sustainability class, (2) Define ESG Investing and discuss how ESG investing strategies differ from regular investment strategies, (3) Identify the primary methods to choose ESG investments, the related ESG rating systems, and the primary proprietary investment options based on these screening rules, and (4) Identify ESG options available to investors that meet their risk preferences. (shrink)

This study provides an in-depth examination of the relationship between environmental, social, and governance (ESG) performance and the idiosyncratic volatility of Korean companies. In line with the risk-mitigation view, the study finds that strong ESG performance is associated with a reduction in a firm's idiosyncratic volatility. The impact of ESG performance on reducing firm volatility was particularly evident during the COVID-19 pandemic, highlighting the role of ESG performance in risk mitigation during crisis periods. The study also shows (...) that companies with strong ESG performance in industries that are highly sensitive to ESG factors are particularly adept at reducing idiosyncratic volatility. These findings underscore the importance of ESG enhancement for both firm managers and policymakers, particularly within ESG-sensitive industries. (shrink)

The paper uses Heideggerian concepts of world to contrast the lived environment of the animal in the wild to nature as [re]constructed through Geographical Information Systems (GIS). With the animal Umwelt and GIS Weltbilt/Ge-stell side by side, we can see the “contradiction” between the animal’s lived space and the techno-human space of GIS, appreciate the risk of the GIS-constructed world to animals in the wild, and seek a way to address the risk. The paper suggests that humans, as (...) beings which properly have a world, can stand as fiduciaries for nonhuman animals in relation to the peculiar risk of geospatial environmental management technology. (shrink)

The hazard of postharvest pest losses is ubiquitous in peasant farming systems; as a result, farmers invariably have some response to the threat of these losses. Responses to postharvest pests may be more extensive than to field pests, even when, by statistical measures, the usual levels of losses are comparable. In studies of pest management practices in three contrasting areas in Kenya, it was found that farmers virtually always rely on an array of techniques and strategies, usually including both (...) older and more modern practices. There is considerable variation among regions in the techniques used, due not only to climatic and socioeconomic factors, but also to variations in cultural history and preferences. The ways in which management practices have changed over time also vary by region. The major changes have been related to overall system change. Four main sources of change have been paramount: (1) population growth and the intensification of land use; (2) the introduction of new cash crops; (3) the introduction of new marketing infrastructure; and (4) the perception of increased environmental risk. Their effect on the replacement of older practices by newer ones is often interrelated. Traditional techniques are often based on materials derived from bushland, but increasing population density makes these difficult to continue as bushland and its common property resources disappear. Simultaneously, tolerance for losses is reduced as land availability is constrained. With the introduction of a cash crop infrastructure, new methods of pest management, especially pesticide use, become more readily available and may spread rapidly. Areas with good market infrastructure but varying population density may still differ considerably because with abundant land it is possible to compensate for expected losses by additional planting.A study of an FAO project to improve postharvest management through earlier harvesting and a redesigned storage crib indicate some reasons for its lack of widespread acceptance. Little or no attempt was made to adapt techniques to varying circumstances; instead, a single “solution” was meant to be applied across areas of vastly different conditions. In many cases, this project represented a radical response to a problem farmers considered they were coping with acceptably using existing methods. Although it probably represents an improvement over traditional storage methods in purely technical terms, the new technique also often involved major costs, readjustments, and cultural disruptions that may not have been anticipated by its designers. More likely to succeed would be a strategy that begins with some of farmers' existing practices and whose objective is to develop and offer a range of possible improvements from which farmers could select individual components appropriate to their conditions and needs. (shrink)