Advertisement

Social Enterprise for Elderly Housing: Policy for Accountability and Public-Private Responsible Financing

  • Artie W. Ng
  • Tiffany C. H. Leung
  • A. Ka Tat Tsang
Article

Abstract

The ageing of societies around the world increases demand on service providers of elderly housing. Such organizations are meant to be both knowledge- and service-intensive, and considered socially responsible enterprises providing human services to care for the elderly, a vulnerable group in society. Nevertheless, there are concerns over their performance and adequacy of resources allocated for operations under a growingly ageing population. To deal with the potential moral hazard, a hybrid, responsible financing model for a social enterprise offering elderly housing would provide a more desirable structure than a purely private equity seeking profit or a non-profit setting that relies entirely on public funding. A conceptual framework is proposed to reveal the relevance of a governance system with a complementary performance measurement system to monitor performance of social enterprises in fulfilling their social responsibilities. This study further explores quality deficiencies in homes for the elderly within the case of postcolonial Hong Kong. It suggests relevance of this framework to accountability and quality performance of elderly housing as social enterprises. Adopting an interdisciplinary approach, it argues that the policy makers need to emphasize accountability for performance enhanced by a governance system under a public-private responsible financing model aiming to safeguard the dignity of the elderly and social sustainability.

Keywords

Elderly housing Social enterprise Accountability Public-private partnership Responsible financing 

Notes

Acknowledgments

The authors would like to acknowledge that an earlier version of this paper was presented at the Health Conference organized by College of Professional and Continuing Education (CPCE) of The Hong Kong Polytechnic University in 2016 and are grateful for the comments provided by the reviewers.

References

  1. Battilana, J., & Dorado, S. (2010). Building sustainable hybrid organizations: The case of commercial microfinance organizations. Academy of Management Journal, 53(6), 1419–1440.CrossRefGoogle Scholar
  2. Battilana, J., & Lee, M. (2014). Advancing research on hybrid organizing—Insights from the study of social enterprises. Academy of Management Annals, 8(1), 397–441.CrossRefGoogle Scholar
  3. Battilana, J., Lee, M., Walker, J., & Dorsey, C. (2012). In search of the hybrid ideal. Stanford Social Innovation Review, 10(3), 51–55.Google Scholar
  4. Bartlett, H. P., & Phillips, D. R. (1995). Regulating residential aged care homes in Hong Kong: Issues for the Asia-pacific region. Asian Journal of Public Administration, 17(2), 231–247.CrossRefGoogle Scholar
  5. Bernoth, M., Dietsch, E., Burmeister, O. K., & Schwartz, M. (2014). Information management in aged care: Cases of confidentiality and elder abuse. Journal of Business Ethics, 122(3), 453–460.CrossRefGoogle Scholar
  6. Besharov, M. L., & Smith, W. K. (2014). Multiple institutional logics in organizations: Explaining their varied nature and implications. Academy of Management Review, 39(3), 364–381.CrossRefGoogle Scholar
  7. Bornstein, D. (2004). How to change the world: Social entrepreneurs and the power of new ideas. Oxford: Oxford University Press.Google Scholar
  8. Borzaga, C., & Defourny, J. (2001). The emergence of social enterprise. London: Routledge.Google Scholar
  9. Bull, M. (2007). “Balance”: The development of a social enterprise business performance analysis tool. Social Enterprise Journal, 3(1), 49–66.CrossRefGoogle Scholar
  10. Bull, M., & Compton, H. (2006). Business practices in social enterprise. Social Enterprise Journal, 1(2), 42–60.CrossRefGoogle Scholar
  11. Canda, E. R. (2013). Filial piety and care for elders: A contested Confucian virtue re-examined. Journal of Ethnic & Cultural Diversity in Social Work, 22(3/4), 213–234.CrossRefGoogle Scholar
  12. Chow, N. (2006). The practice of filial piety and its impact on long-term care policies for elderly people in Asian Chinese communities. Asian Journal of Gerontology and Geriatrics, 1(1), 31–35.Google Scholar
  13. Chui, W. T., Chan, K. S., Chong, M. L., Ko, S. F., Law, C. K., Law, C. K., Leung, M. F., Leung, Y. M., Lou, W. Q., & Ng, Y. T. (2009). Elderly commission's study on residential care services for the elderly. Hong Kong: The University of Hong Kong.Google Scholar
  14. Chartered Institute of Management Accountants (CIMA). (2004). Enterprise governance: Getting the balance right.Google Scholar
  15. Census and Statistics Department. (2016). Thematic report: Older persons. Hong Kong: Hong Kong Special Administrative Region.Google Scholar
  16. Costa, E., Parker, L. D., & Andreaus, M. (2014). Accountability and social accounting for social and non-profit organizations. UK: Emerald Group Publishing Limited.CrossRefGoogle Scholar
  17. Cheng, S. T., Lum, T., Lam, L. C. W., & Fung, H. H. (2013). Hong Kong: Embracing a fast aging society with limited welfare. Gerontologists, 53(4), 527–533.CrossRefGoogle Scholar
  18. Cheng, Y., Rosenbergy, M. W., Wang, W., Yang, L., & Li, H. (2011). Aging, health and place in residential care facilities in Beijing, China. Social Science & Medicine, 72, 365–372.CrossRefGoogle Scholar
  19. Dacin, P. A., Dacin, M. T., & Matear, M. (2010). Social entrepreneurship: Why we don't need a new theory and how we move forward from here. Academy of Management Perspectives, 24(3), 37–57.Google Scholar
  20. Dees, J. G. (1998). The meaning of social entrepreneurship. In Duke Fuqua School of Business. Retrieved from: http://www.caseatduke.org/documents/dees_sedef.pdf (accessed Dec. 22, 2015).
  21. Defourny, J., & Kim, S. Y. (2011). Emerging models of social enterprise in eastern Asia: A cross-country analysis. Social Enterprise Journal, 7(1), 86–111.CrossRefGoogle Scholar
  22. Defourny, J., & Nyssens, M. (2010). Social enterprise in Europe: At the crossroads of market, public policies and third sector. Policy and Society, 29(3), 231–242.CrossRefGoogle Scholar
  23. Defourny, J., Pestoff, V. (2008). Images and concepts of the third sector in Europe. In EMES Working Papers, No. 08/02, EMES European Research Network.Google Scholar
  24. DiMaggio, P. J., & Powell, W. W. (1983). The iron cage revisited: Institutional isomorphism and collective rationality in organizational fields. American Sociological Review, 48(2), 147–160.CrossRefGoogle Scholar
  25. Drayton, W. (2002). The citizen sector: Becoming as entrepreneurial and competitive as business. California Management Review, 44(3), 120–132.CrossRefGoogle Scholar
  26. Ebrahim, A., & Rangan, V. K. (2014). What impact? A framework for measuring the scale and scope of social performance. California Management Review, 56(3), 118–141.CrossRefGoogle Scholar
  27. Eisenhardt, K. M. (1989). Building theories from case study research. Academy of Management Review, 14(4), 532–550.Google Scholar
  28. Franco-Santosa, M., Lucianetti, L., & Bourne, M. (2012). Contemporary performance measurement systems: A review of their consequences and a framework for research. Management Accounting Research, 23(2), 79–119.CrossRefGoogle Scholar
  29. Gibbon, J., & Affleck, A. (2008). Social enterprise resisting social accounting: Reflecting on lived experiences. Social Enterprise Journal, 4(1), 41–56.CrossRefGoogle Scholar
  30. Gibbon, J., & Dey, C. (2011). Developments in social impact measurement in the third sector: Scaling up or dumbing down? Social and Environmental Accountability Journal, 31(1), 63–72.CrossRefGoogle Scholar
  31. Goergen, T. (2004). A multi-method study on elder abuse and neglect in nursing homes. Journal of Adult Protect, 6(3), 15–25.CrossRefGoogle Scholar
  32. Gray, R., Adams, C. A., & Owen, D. (2014). Accountability, social responsibility and sustainability: Accounting for society and environment. UK: Pearson.Google Scholar
  33. Hall, M. (2011). Do comprehensive performance measurement systems help or hinder managers’ mental model development? Management Accounting Research, 22(2), 68–83.CrossRefGoogle Scholar
  34. Hofstede, G. (1981). Management control of public and non-profit activities. Accounting, Organizations and Society, 6(3), 193–216.CrossRefGoogle Scholar
  35. Hong Kong Audit Commission. (2014). Provision of long-term care services for the elderly.Google Scholar
  36. Hong Kong Legislative Council. (2015). Challenges of population ageing. Research Brief, No., 1, 1–17.Google Scholar
  37. Ian, W. (1997). Relatives ‘exploited’ by private nursing homes in the wake of residential abuse scandals, Ian Wylie looks at the latest fears while Teresa Hunter sees the Government under attack over long-term care, Retrieved from: https://search-proquest-com.libproxy.cpce-polyu.edu.hk/publichealth/docview/245147083/fulltext/8EDACBD179E74ABEPQ/12?accountid=37289. The Guardian, London. 14 June 1997 (accessed 12 June. 2018).
  38. Jönson, H. (2016). Framing scandalous nursing home care: What is the problem? Ageing & Society, 36, 400–419.CrossRefGoogle Scholar
  39. KPMG. (2013). An uncertain age: Reimaging long term care in the 21 st century. KPMG International.Google Scholar
  40. Lee, E. S. (2015). Social enterprise, policy entrepreneurs, and the third sector: The case of South Korea. Voluntas: International Journal of Voluntary and Nonprofit Organizations, 26(4), 1084–1099.CrossRefGoogle Scholar
  41. Lin, A. (2015). Hong Kong has to start treating elderly people better. China Daily Asia, Retrieved from: http://www.chinadailyasia.com/opinion/2015-06/12/content_15275948.html (accessed 10 Feb. 2016).
  42. Lok, J. (2010). Institutional logics as identity projects. Academy of Management Journal, 53(6), 1305–1335.CrossRefGoogle Scholar
  43. Luk, J. K. H., Chiu, J. P. K. C., & Chu, L. W. (2009). Factors affecting institutionalization in older Hong Kong Chinese patients after recovery from acute medical illnesses. Archives of Gerontology and Geriatrics, 49, 110–114.CrossRefGoogle Scholar
  44. Mäkelä, H., Costa, E., & Gibbon, J. (2015). Special issue: Social enterprise. accountability and social accounting. Social and Environmental Accountability Journal, 35(2), 136–137.CrossRefGoogle Scholar
  45. Matosevic, T., Knapp, M., Kendall, J., Henderson, C., & Fernandex, J. (2007). Care-home providers as professionals: Understanding the motivations of care-home providers in England. Ageing & Society, 27, 103–126.CrossRefGoogle Scholar
  46. Nicholls, A. (2006). Social entrepreneurship—New models of sustainable social change. Oxford: Oxford University Press.Google Scholar
  47. Nicholls, A. (2009). We do good things, don't we? “Blended value accounting” in social entrepreneurship. Accounting, Organizations and Society, 34(6–7), 755–769.CrossRefGoogle Scholar
  48. Nicholls, A. (2010). Institutionalising social entrepreneurship in regulatory space: Reporting and disclosure by community interest companies. Accounting, Organizations and Society, 35(4), 394–415.CrossRefGoogle Scholar
  49. Phelan, A. (2015). Protecting care home residents from mistreatment and abuse: On the need for policy. Risk Management and Healthcare Policy, 8, 215–223.CrossRefGoogle Scholar
  50. Pillemer, K., & Moore, D. W. (1990). Highlights from a study of abuse of patients in nursing homes. Journal of Elder Abuse Neglect, 2(1/2), 5–29.CrossRefGoogle Scholar
  51. Pruchno, R. (2017). International aging: Spotlighting the spotlights. Gerontologist, 57(3), 392–395.CrossRefGoogle Scholar
  52. Saveman, B., Astrom, S., Bucht, G., & Norberg, A. (1999). Elder abuse in residential settings in Sweden. Journal of Elder Abuse Neglect, 10(1/2), 43–60.CrossRefGoogle Scholar
  53. Scott, W. R. (2015). Financial accounting theory (7th ed.). Toronto: Pearson.Google Scholar
  54. Social Welfare Department, Hong Kong SAR Government. (2016). Provision of Residential Care Home Services for the Elders through Open Tender, legislative council panel on welfare services - allocation of new social welfare service units, Hong Kong: Social Welfare Department.Google Scholar
  55. Social Welfare Department, Hong Kong SAR Government (2018a). Overview of Residential Care Services for the Elderly [online]. Retrieved from: https://www.swd.gov.hk/en/index/site_pubsvc/page_elderly/sub_residentia/id_overviewon/. (accessed 12 June. 2018).
  56. Social Welfare Department, Hong Kong SAR Government (2018b). The Pilot Scheme on Residential Care Service Voucher for the Elderly [online]. Retrieved from: https://www.swd.gov.hk/en/index/site_pubsvc/page_elderly/sub_residentia/id_psrcsv/. (accessed 12 June. 2018).
  57. Speklé, R. F., & Verbeeten, F. H. M. (2014). The use of performance measurement systems in the public sector: Effects on performance. Management Accounting Research, 25(2), 131–146.CrossRefGoogle Scholar
  58. Tracey, P., Phillips, N., & Jarvis, O. (2011). Bridging institutional entrepreneurship and the creation of new organizational forms: A multilevel model. Organization Science, 22(1), 60–80.CrossRefGoogle Scholar
  59. The United Nations. (2013). World population ageing 2013. New York: The United Nations.Google Scholar
  60. United Nations Principles for Responsible Investment (UNPRI). (2016). Retrieved from: http://www.unpri.org/ (accessed 23 December 2016).
  61. World Health Organization (WHO). (2015). China country assessment report on ageing and health. Geneva: Department of Ageing and Life Course, World Health Organization.Google Scholar
  62. Whitelaw, S., & Hill, C. (2013). Achieving sustainable social enterprises for older people: Evidence from a European project. Social Enterprise Journal, 9(3), 269–292.CrossRefGoogle Scholar
  63. Woo, J., Ho, S. C., Lau, J., & Yuen, Y. K. (1994). Age and marital status are major factors associated with institutionalisation in elderly Hong Kong Chinese. Journal of Epidemiology and Community Health, 48, 306–309.CrossRefGoogle Scholar
  64. Yin, R. K. (2009). Case study research: Design and methods. Thousand Oaks: Sage.Google Scholar
  65. Yu, X. (2013). The governance of social enterprises in China. Social Enterprise Journal, 9(3), 225–246.CrossRefGoogle Scholar
  66. Yuen, P. P., & Ng, A. W. (2012). Towards a balanced performance measurement system in a public health care organization. International Journal of Health Care Quality Assurance, 25(5), 421–430.CrossRefGoogle Scholar
  67. Zhan, H. J., Liu, G. Y., & Bai, H. G. (2005). Recent development of Chinese nursing homes: A reconciliation of traditional culture. Ageing International, 30(2), 167–187.CrossRefGoogle Scholar

Copyright information

© Springer Nature B.V. 2018

Authors and Affiliations

  1. 1.School of Professional Education and Executive Development, College of Professional and Continuing EducationThe Hong Kong Polytechnic UniversityKowloonHong Kong
  2. 2.Factor-Inwentash Faculty of Social WorkUniversity of TorontoTorontoCanada

Personalised recommendations