The Managerial Shift Toward Stakeholder Relationship Management Essay

Better Essays
There has been a shift in managerial attitudes toward, and consideration for, social and environmental issues in recent decades (Parnell, Scott, & Angelopoulos, 2013). While mangers have traditionally been obligated to work for the good of the shareholder, widespread adoption of the stakeholder theory demands that managers seriously consider the impacts of the firm’s decisions on all affected outside parties, or stakeholders (Boatright, 1994; Parnell et al., 2013). However, purchasing and supply chain management (PSCM) in practice seems to remain oriented toward profit maximization, though interest in social responsibility is growing (Ferrell, Rogers, Ferrell, & Sawayda, 2013). The managerial shift toward stakeholder relationship management has been evident, yet the extent to which PSCM departments have embraced stakeholder theory is less obvious.
This is problematic because PSCM is a developing discipline (Spina, Caniato, Luzzini, & Ronchi, 2013). Knowledge of actual policies and practices is important, as future research cannot address real world problems based on assumptions. The purpose of this study is to determine the degree to which stakeholder theory has been incorporated into companies’ PSCM policies. This exploratory research will fill a gap in the PSCM literature, informing future research by providing scholars with a clearer understanding of the degree to which stakeholder theory has been adopted in PSCM.
Literature Review
Traditional and Stakeholder
Get Access