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CEO values, stakeholder culture, and stakeholder-based performance

Author

Listed:
  • Lu Jiao

    (Macquarie University)

  • Graeme Harrison

    (Macquarie University)

  • Maria Cadiz Dyball

    (The University of Sydney Business School)

  • Jinhua Chen

    (Macquarie University)

Abstract

This study examines how CEO values affect organizational performance. We examine organizational performance in terms of stakeholder-based performance (SBP) comprising four components of quality of goods and services, organizational justice, stakeholder affiliation and opportunity cost; and focus on one key CEO value orientation, specifically whether CEOs are “self-interested” or “other-regarding” in interactions with organizational stakeholders. We also hypothesize that the effect of CEO values on SBP is not direct, but indirect through the mediating factor of stakeholder culture. Data from 621 CEOs of not-for-profit (NFP) organizations in Australia are collected through a mail-based survey questionnaire, and analysed using structural equation modeling. The results support our hypotheses and have implications for organizational managers in creating and distributing stakeholder value in NFP organizations and potentially beyond the NFP context, as well as for future research concerned with how ethical characteristics of top managers affect organizational success.

Suggested Citation

  • Lu Jiao & Graeme Harrison & Maria Cadiz Dyball & Jinhua Chen, 2017. "CEO values, stakeholder culture, and stakeholder-based performance," Asia Pacific Journal of Management, Springer, vol. 34(4), pages 875-899, December.
    • Handle: RePEc:kap:asiapa:v:34:y:2017:i:4:d:10.1007_s10490-017-9506-3
    DOI: 10.1007/s10490-017-9506-3
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    Cited by:

    1. Graeme Harrison & Lu Jiao & Jinhua Chen, 2022. "Performance measurement systems and client performance in fee‐generating not‐for‐profit human service organisations," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 62(1), pages 931-957, March.
    2. Sebastian Cortes-Mejia & Andres Felipe Cortes & Pol Herrmann, 2022. "Sharing Strategic Decisions: CEO Humility, TMT Decentralization, and Ethical Culture," Journal of Business Ethics, Springer, vol. 178(1), pages 241-260, June.
    3. Flevy Lasrado & Norhayati Zakaria, 2020. "Go green! Exploring the organizational factors that influence self-initiated green behavior in the United Arab Emirates," Asia Pacific Journal of Management, Springer, vol. 37(3), pages 823-850, September.
    4. Bi-Juan Zhong & Yaping Gong & Oded Shenkar & Yadong Luo & Zhixing Xiao & Shuming Zhao, 2023. "Managing the hearts of boundary spanners: CEO organizational identification and international joint venture performance," Asia Pacific Journal of Management, Springer, vol. 40(1), pages 87-119, March.
    5. Zhongfeng Su & Jie Chen & Hai Guo & Donghan Wang, 2022. "Top management team’s participative decision-making, heterogeneity, and management innovation: an information processing perspective," Asia Pacific Journal of Management, Springer, vol. 39(1), pages 149-171, March.
    6. Sonja Opper & Fredrik N. G. Andersson, 2019. "Are entrepreneurial cultures stable over time? Historical evidence from China," Asia Pacific Journal of Management, Springer, vol. 36(4), pages 1165-1192, December.
    7. Pascal Back & Andreas Bausch, 2019. "Not If, But How CEOs Affect Product Innovation: A Systematic Review and Research Agenda," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 16(03), pages 1-52, May.

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