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The empirical support for agency theory explanations for the great variance in CEO pay has been equivocal. Drawing from the performance appraisal literature, we hypothesize that boards of directors incorporate human judgment into the evaluation and reward of CEO performance in order to balance managerial risk with agency costs. We test Baysinger and Hoskisson’s (1990) proposition that insider‐dominated corporate boards rely on subjective performance evaluation to reward the CEO, and we argue that R&D intensity influences this relationship. Using a sample of Fortune firms, findings support our contention that human judgment is important in evaluating and rewarding CEO performance.

Based on a literature review of terrorism and global business literature, this paper addresses those conditions that may lead to new considerations about risk and its management at policy and the MNE (multinational enterprise) level. How do MNEs adapt to the 09/11 ‐ type risk in strategic management that shapes choices made for internationalization and for international business operations? It is observed that MNEs increasingly enlarge the notion of political risk. We suggest the development of a strategic risk assessment that incorporates terrorism which in its threat, event and aftermath does not remain local or national, but influences investment, location, logistics, supply‐chain and other performance‐ linked decisions of the international value chain through an enlarged risk‐return evaluation. Using the OLI‐paradigm as a typology, we extend Dunning’s work by incorporating the terrorism dimension. We do so mainly through the analysis and distinction of the most vulnerable links in firms’ value chain in which adjustments need to be made in the face of terrorism threat, act and aftermath. This paper attempts to improve the understanding of international management in an era of global risk and uncertainty.

The control role of the Board of Directors is aimed at monitoring the decisions and actions undertaken by managers in order to protect stockholders’ interests. Considerable theoretical and empirical research has analyzed whether directors’ behavior is consistent with their fiduciary responsibility, but this research has reported inconsistent findings. This paper offers a comprehensive review of both theoretical and empirical literature on the control role of the board and suggests several guidelines for future research.

The role of Teacher Innovative Behavior (TIB), in responding to systemic problems in educational systems and promoting “intrapreneurial” behavior has been recognized in recent times. A robust instrument that can help administrators and teacher educators gauge the levels of TIB among their teachers will facilitate the promotion of innovative behavior.

This study tested a multidimensional innovative behavior inventory (IBI), innovation support inventory (ISI) and innovation output (IO) in a developing nation (India) context with public school teachers (n = 34,754), for reliability, validity, measurement invariance and structural invariance across caste, gender and subject groups.

The IBI, ISI and IO showed good reliability and validity along with full measurement invariance at configural, metric and scalar levels. With respect to the structural parameters, the inventories exhibited invariance of factor variance and covariance, but not of factor means.

Teacher innovative behavior (TIB) is seen by developing country education administrators as a tool to address difficult problems. With better measurement, it will be possible to identify teachers who need training in creativity and entrepreneurial behavior, teachers who might have developed innovative practices that could be used for teacher development, and ways of promoting competition among teachers.

The study validates inventories, which were earlier tested in non-educational domains, for use with public school teachers of a developing country across gender, caste and subject groups.

This project was designed as a laboratory study to investigate the effects of organizational social cues (OSC), decision framing, and justice on managerial decision making in ethical situations. The OSC (ethical/ unethical), the framing (gain/loss), and the justice conditions (fair/unfair) were manipulated within a managerial in‐basket exercise. Participants read information about the organization and their situation within it. Next, they read scenarios and made several decisions involving ethical considerations. Results suggest that OSC and the experience of fairness or unfairness significantly influenced the managerial ethical decisions. Ethical OSC resulted in significantly more ethical decisions. Also, those in an “experienced fairness” justice condition made significantly more ethical decisions. The gain/loss framing did not significantly influence ethical decisions.

The growing recognition of the role of teacher innovative behavior in educational improvement has led to more systematic assessment of teacher-driven innovations, usually through expert panels. Innovative peer-teachers may be more closely aligned with the correlates of teacher innovative behavior than experts, and hence their participation in such panels might make the process more robust. Hence, the authors ask, “Do expert and peer assessments relate to individual-related correlates of innovative teacher behavior differently?”

Innovations of 347 teachers in India were assessed by an expert panel and a peer-teacher panel using the consensual technique of rating innovations. Structural equation modeling was used to study the relationships of the ratings with the innovative teachers' self-reported creative self-efficacy, intrinsic motivation, learning orientation and proactive personality.

Expert ratings were significantly related to creative self-efficacy beliefs (β = 0.53, p < 0.05), whereas peer ratings were not. Peer ratings were significantly related to learning orientation (β = 0.19, p < 0.05), whereas expert ratings were not. Also, expert ratings were found to be indirectly associated with teachers' proactive personality and intrinsic motivation via creative self-efficacy beliefs; peer ratings were not associated with proactive personality.

The paper, through a robust methodology that relates expert and peer assessments with individual-related correlates of innovative behavior, makes a case for educational innovation managers to consider mixed panels of experts and innovative teacher-peers to make the assessment process more robust.

This issue is a selected bibliography covering the subject of leadership.

The purpose of this paper is to address the ideological narratives which came to comprise a new welfare consensus in the USA and subsequently a welfare state which was more fiscally austere, demeaning, and coercive. It also explores the role of the political and financial restructuring which facilitated the implementation of retrogressive reforms.

Macro-level historical forces are investigated through various texts such as policy statements, journal articles, press releases, political addresses, congressional transcripts and testimony, archived papers, newspaper articles, and occasional sound bites and popular culture references pertaining to welfare and which have come to construct the common understanding of it.

The formation of this consensus was due in part to three factors: first, the growth of and increased influence of an elite policy planning network; second, welfare program administration and financing had been decentralized which allowed greater autonomy of state and local governments to implement their own retrogressive reforms; and third, there emerged an overarching discourse and paradigm for structuring policy and explaining the causes of poverty which emphasized individual behavior.

This paper focusses on the materialization of the contemporary welfare consensus during the 1980s and 1990s in terms of its ideological and political history and on its persistence which has affected the ensuing policy culture and which continues to constrain anti-poverty policy discourse as well as what can be accomplished legislatively. The paper is of value for for readers, fields, courses with work that encompasses an examination of political and social theory, ideology, social policy, power/hegemony, poverty, inequality, families, gender, race, and meaning making institutions.

The purpose of this paper is to explore the implications of IR reforms in South Africa on corporate disclosure practices of South African companies. In particular, the authors explore initial trends in corporate disclosures following the adoption of IR practice.

Drawing from Suchman’s (1995) framework of strategic and institutional legitimacy, the authors use content analysis to examine corporate disclosure practices. The authors conduct industry-specific analyses based on various industries to explore corporate disclosures practices across and within various industries in South Africa. The evidence is drawn from 246 integrated reports of large South African companies across six major industries over a three-year period (2011-2013), a period following the introduction of an “apply or explain” IR requirement in South Africa.

The results first show a significant increase in the overall amount of corporate disclosures following the adoption of IR practice. In particular, the authors find that intellectual capital and human capital disclosure categories have increased over time, with relational capital disclosures showing a decreasing trend. Second, the authors find that corporate disclosures are increasingly becoming institutionalised over time across and within industries following the adoption of IR practice. However, companies fail to provide meaningful disclosures on the interdependencies and trade-offs between the capitals, or components of a capital following the adoption of IR practice. Overall, the authors find that companies use specific disclosure strategies to respond to external pressures (strategic legitimacy), and that such disclosure strategies are increasingly becoming institutionalised across and within various industries (institutional legitimacy).

The theoretical implication of this study is that the strategic and institutional perspectives of legitimacy theory are complementary, rather than conflicting, and dovetail to explain corporate reporting practices. In terms of practical implications, the adoption of specific reporting frameworks such as the emerging IR framework is a double-edged sword. On the one hand, such reporting frameworks could potentially enhance comparability and consistency of organisational reports across and within industries. On the other hand, corporate reports could become a set of monotonous reports motivated by considerations other organisational accountability. Hence, to overcome the latter, this study emphasises the importance of specific accountability metrics and reporting guidelines, rather than the current generic IR guidelines, to enhance organisational reporting practices.

The paper’s longitudinal analysis of a large sample of integrated reports following the adoption of IR practice has the potential to inform growing academic research and ongoing policy initiatives for the emerging IR agenda.

This paper aims to examine the differences in quality and quantity of disclosures dealing with greenhouse gas emissions among companies with a relatively large or small carbon footprint. It also considers whether disclosures are being included in the primary report to stakeholders (an integrated report) or in a secondary source (a sustainability report).

A comprehensive carbon disclosure checklist was constructed based on professional and academic literature to identify and categorise carbon disclosures. Quality is gauged according to a multi-dimensional assessment derived from prior research based on density of reporting, disclosure attributes, management orientation, integration of information, ease of analysis, reporting on strategy, use of independent assurance and repetition. A content analysis is used to gauge the quantity and quality of carbon disclosures of 50 companies listed on the Johannesburg Stock Exchange. Differences in the quantity and quality scores of high- and low-carbon companies are tested using a Mann–Whitney U test.

Carbon disclosures are used as part of a legitimacy management exercise. This involves not just the use of additional environmental disclosure to placate stakeholders as environmental impact grows. The quality of reporting and location of disclosures are, perhaps, more important for understanding how companies are responding to stakeholder expectations for reporting on carbon emissions and climate change.

Despite mounting scientific evidence on the risks posed by climate changes, companies remain reluctant to commit to high-quality reporting on specific steps being taken to reduce carbon emissions. Even when disclosures are being targeted at key stakeholders, the possibility of impression management remains. It may, therefore, be necessary to have carbon reporting regulated and independently assured. More guidance on how companies should be managing and reporting on carbon emissions and climate change may also be required.

Despite mounting scientific evidence on the risks posed by climate changes, companies remain reluctant to commit to high-quality reporting on specific steps being taken to reduce carbon emissions. Even when disclosures are being targeted at key stakeholders, the possibility of impression management remains. It may, therefore, be necessary to have carbon reporting regulated and independently assured. More guidance on how companies should be managing and reporting on carbon emissions and climate change may also be required.

The study merges the traditional approach of focusing on the quantity of disclosures to illustrate the application of legitimacy theory in a sustainability/integrated reporting setting with less-seldom-studied quality and location of reporting. This result provides a more nuanced perspective of how carbon disclosures are being used to manage stakeholders’ reporting expectations.