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CSR Research: Responsible Corporate Leadership

ResearchBrief_1483653945_144

Managing corporate citizenship is becoming an essential aspect of CFO role

A pair of studies from Deloitte and Ernst & Young examine changes in CFO involvement in their companies’ corporate citizenship. Both studies project deeper involvement by CFOs in corporate citizenship and offer advice on how they can do it most effectively.

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ResearchBrief_1483653945_144

To implement strategic corporate citizenship most effectively, leaders must lead with heads over hearts

A study of the connection between a CEO’s leadership style and a company’s corporate citizenship found that companies with leaders who intellectually stimulated managers around challenges and goals had higher levels of strategic corporate citizenship activity than those whose style was more charismatic.

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ResearchBrief_1483653945_144

Virtual teams require new leadership skills

Leadership is always challenging and the global nature of business today requires teams to transcend location and time and often involve multiple cultures and languages. The special leadership practices needed to manage virtually are outlined in the results of a recent study reported in the Academy of Management Perspectives.

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ResearchBrief_1483653945_144

Proactive employees perform better under introverted leadership

This study explored how different types of groups perform under different kinds of leaders. Researchers found that proactive groups—composed of employees who actively participate in the work process—perform better under socially introverted leaders. More passive groups, in contrast, perform better under extraverted leaders.

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leadership-types

Different leadership styles are better suited to initiating, implementing CSR practices

Researchers investigated which types of leaders are best suited to initiating and implementing CSR practices in firms. They found that transformational leaders—inspirational drivers of change—are best suited to initiating CSR practices while transactional leaders—by the numbers efficiency experts—are best suited to deriving business benefits from these practices.

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ResearchBrief_1483653945_144

Successor CEOs bring more change with predecessors out of the picture

This study explored what happens when the outgoing CEO of a company stays on as board chair. Researchers found that this thorny dynamic obstructs organizational change and inhibits major changes in company performance, either positive or negative.

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ResearchBrief_1483653945_144

Your enthusiasm for your company’s green initiatives can affect their success

Organizations seeking to strengthen their environmental performance should appoint individuals with strong personal commitment to lead environmental efforts and provide budgetary and other forms of organizational support to emphasize their commitment.

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ResearchBrief_1483653945_144

Organizational characteristics of a firm can influence the amount of philanthropic contributions

The organizational structure at the top levels of a company impacts corporate philanthropy, which affects business outcomes like reputation, consumer loyalty, and employee engagement. CEO tenure, board size and centrality, and the percentage of female board directors and senior managers all affect corporate philanthropy.

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ResearchBrief_1483653945_144

It pays to have women in top management

Firm performance is improved by female representation in top management, especially in those organizations focusing on innovation.

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ResearchBrief_1483653945_144

The building blocks of corporate reputation

Some boards may be better positioned to navigate complex environmental issues and prioritize the long-term benefits of environmental performance. Firms with larger, more independent boards comprised of directors that have specialized knowledge of potential environmental impacts (CEOs of other companies, lawyers) have better environmental performance.

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ResearchBrief_1483653945_144

Employee reactions to ethical breaches

Organizations that do an exceptional job at responding to ethical failures are viewed even more favorably by employees who witnessed wrongdoing than organizations that have not stumbled ethically.

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ResearchBrief_1483653945_144

Quality disclosure can signal to Board of Directors responsible management that is rewarded financially

CEO and CFOs who provide quality disclosure regarding their company’s financial performance may be rewarded with higher bonuses, as quality disclosure can serve as a signal of responsible management to a firm’s Board of Directors that is highly valued.

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