Source:Journal of World Business
Author(s): Michael A. Hitt, Dan Li, Kai Xu
The corporate social responsibility promise is a fascinating one: companies are able and willing to regulate themselves, and self-regulation is manifested in collaborative efforts that promote individual well-being. Yet, this macro-level promise has a silenced flip side in organizational contexts. We argue that corporate social responsibility has diffused the idea of employee responsibilization into organizational environments, so it entails a dual role for employees: employees become both the objects and the subjects of corporate social responsibility. The primary aim of this article is thus to develop a theoretical understanding that acknowledges the role of individual members of the organization in communicating and defining corporate social responsibility while taking into consideration the well-being perspective. We draw on critical management studies as a form of counter-conduct towards mainstream theorizing and seek an alternative to Freirean critical dialogue as a tool to promote empowerment alongside ethics in corporate social responsibility.
This article examines how well the Kinder, Lydenberg, Domini Research & Analytics (KLD) ratings measure past corporate social performance and predict future corporate social performance in Diversity and Governance categories. The results show that the KLD ratings effectively measure (past) and predict (future) social performance in both categories. The results also suggest that the KLD ratings may identify differences in the quality of management and firm which can affect future social performance and is not entirely explained by past social performance. The findings of this study lend some support for empirical studies relying on the KLD ratings to operationalize corporate social performance. The findings suggest that users of the ratings need to have a clear understanding of what information they are seeking from the KLD ratings in order to maximize the utility of these ratings.
This article examines the concurrent validity of the Kinder, Lydenberg, Domini Research & Analytics (KLD) corporate social performance (CSP) measures. Because KLD changed its evaluation methods to richer approaches, a new look at the concurrent validity of the indicators is necessary. To do this new look, the authors examine the new "Binary" and "Continuous" versions of the KLD and compare them with previous versions of KLD. The results suggest that the continuous scores provide better measurement characteristics than do the binary version. Overall, the new versions of the KLD data demonstrate concurrent validity with the original version.