Governance and Incentives: Is It Really All about the Money?
Governance theories impact how corporations are run, which in turn impacts societal well-being. This dynamic is commonly accepted, as evidenced by the flood of articles exploring the links between corporate governance and corporate social responsibility (e.g., Hong et al. in J Bus Ethics 136:199–213...
| Authors: | ; |
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| Format: | Electronic Article |
| Language: | English |
| Check availability: | HBZ Gateway |
| Journals Online & Print: | Drawer...
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| Fernleihe: | Fernleihe für die Fachinformationsdienste |
| Published: |
Springer Science + Business Media B. V
2019
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| In: |
Journal of business ethics
Year: 2019, Volume: 159, Issue: 3, Pages: 605-618 |
| Further subjects: | B
Agency Theory
B Catholic Social Thought B Stewardship theory B Governance theories B Justice stewardship theory |
| Online Access: |
Presumably Free Access Volltext (lizenzpflichtig) |
| Summary: | Governance theories impact how corporations are run, which in turn impacts societal well-being. This dynamic is commonly accepted, as evidenced by the flood of articles exploring the links between corporate governance and corporate social responsibility (e.g., Hong et al. in J Bus Ethics 136:199–213, 2016). This article supplements current corporate governance theories with Catholic social thought (CST) to address burgeoning societal issues such as the increasing trust gap, income inequality (the compensation gap), and an overemphasis on financial compensation as the primary way to motivate senior managers. The authors propose a shift away from agency theory and stakeholder theory, both of which, with their limited depictions of the motivations of managers, have contributed to excessive executive compensation. Instead, the authors develop an alternative—justice stewardship theory—which integrates organizational justice theory, the principles of stewardship theory, and the insights of 150 years of CST. |
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| ISSN: | 1573-0697 |
| Contains: | Enthalten in: Journal of business ethics
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| Persistent identifiers: | DOI: 10.1007/s10551-018-3778-5 |