Abstract
What drives organisations to engage in socially responsible purchasing initiatives? To investigate this important question, this article uses a case-study approach to examine the context within which supplier diversity programmes have emerged in both the U.S. and U.K. The analysis identifies legislative and policy developments, economic imperatives, stakeholder pressures and ethical influences as forces shaping organisational responses. It reveals important contextual differences between U.K. and U.S. experience and offers an empirical and theoretical explanation of corporate behaviour.
Similar content being viewed by others
References
Backhaus K. B., B. A. Stone, K. Heiner 2002, Exploring the Relationship Between Corporate Social Performance and Employer Attractiveness. Business and Society 41(3), 292–318
Bank of England: 1999, The Financing of Ethnic Minority Firms. Bank of England, London
Bansal P., K. Roth 2000, Why Companies Go Green: A Model of Ecological Responsiveness. The Academy of Management Journal 43(4), 717–736
Barclays Bank: 2005, Black and Minority Ethnic Business Owners: A Market Research Perspective. SME Research Team, Barclays Bank, London
Barney J. 1991, Firm Resources and Sustained Competitive Advantage. Journal of Management 17, 99–120
Baron D. 2001, Private Politics, Corporate Social Responsibility and Integrated Strategy. Journal of Economics and Management Strategy 10, 7–45
Bates T. 1997, Race, Self-Employment and Upward Mobility: an Illusive American Dream. The Woodrow Wilson Center Press, Washington
Bayles M. D. 1983, Ethical Issues in Purchasing Management. Business Quarterly 48(1), 42–47
Boston T. D. 1999, Affirmative Action and Black Entrepreneurship. Routledge, London
Burke L., J. M. Logsdon 1996, How Corporate Social Responsibility Pays Off. Long Range Planning 29(4), 495–502
Carter C. R., M. M. Jennings2000, Purchasing’s Contribution to the Socially Responsible Management of the Supply Chain. Centre for Advanced Purchasing Studies, Arizona State University
Carter C. R., R. J. Auskalnis, C. L. Ketchum 1999 Purchasing from Minority Business Enterprises: Key Success Factors. Journal of Supply Chain Management 35(1), 28–32
Cox, T.: 2003, Report on Supplier Diversity, prepared for The Procurement Task Force, New Detroit Inc. Available online from www.newdetroit.org
Diversity Inc.Com: 2002, The Business case for Diversity: the Proof, the Strategies and the Industries in the Front Line, 3rd Edition. Allegiant Media Inc, New Brunswick NJ
Davis, K.: 1973, The Case for and Against Business Assumptions of Social Responsibilities, Academy of Management Journal 16, 312–322
Dollinger M. J., C. M. Daily 1991, Purchasing from small minority-owned firms: corporate problems. Center for Advanced Purchasing Studies/National Association of Purchasing Management, Tempe, Arizona
Dollinger M. J., C. A. Enz, C. M. Daily 1991, Purchasing from Minority Small Business. International Journal of Purchasing and Materials Management 27(2), 9–14
Drumwright M. E. 1994, Socially Responsible Organizational Buying: Environmental Concern as a Non-economic Buying Criterion. Journal of Marketing 58, 1–19
Friedman, M.: 1970, ‹The Social Responsibility of Business is to Increase its Profits’, New York Times Magazine, September 13, 33, 122–126
Giunipero L. C. 1980, Differences between Minority and Non-Minority Suppliers. Journal of Purchasing and Materials Management 16(1), 2–8
Giunipero L. C. 1981, Developing Effective Minority Purchasing Programs. Sloan Management Review 22(2), 33–42
Haringey Council: 2005, Haringey SME Procurement Pilot: Community Benefit Clauses in Tenders and Contracts. Available at www.haringey.gov.uk
Hart S. 1995, A natural resource-based view of the firm. Academy of Management Review 20, 986–1014
Hudson Institute: 1987, Workforce 2000. Hudson Institute, Washington D.C
Husted B. W., J. De Jesus Salazar 2006, Taking Friedman Seriously: Maximizing Profits and Social Performance. Journal of Management Studies 43(1), 75–91
Jain H. C., A. Verma 1996, Managing Workforce Diversity for Competitiveness: The Canadian Experience. International Journal of Manpower 17(4/5), 14–29
Jones M. T. 1999, The Institutional Determinants of Social Responsibility. Journal of Business Ethics 20, 163–179
Kochan T. et␣al. 2003, The Effects of Diversity on Business Performance: Report of the Diversity Research Network. Human Resource Management 42(1), 3–21
Landeros R., R. E. Plank 1996, How Ethical are Purchasing Management Professionals?. Journal of Business Ethics 15(7), 789–803
Lantos G.P. 2001, The Boundaries of Strategic Corporate Social Responsibility. The Journal of Consumer Marketing 18(7), 595–649
MBDA: 2000, The Emerging Minority Marketplace: Minority Purchasing Power 2000 to 2045 (US Department of Commerce, Minority Business Development Agency, Washington DC). Available at www.mdba.gov/documents/purchasing_power.pdf
McWilliams A., D. Siegel 2000, Corporate Social Responsibility and Financial Performance: Correlation or Misspecification? Strategic Management Journal 21, 603–609
McWilliams A., D. S. Siegel, P. M. Wright 2006, Corporate Social Responsibility: Strategic Implications. Journal of Management Studies 43(1), 1–18
New S. 2004, The Ethical Supply Chain. In: S. New, R. Westbrook (eds) Understanding Supply Chains: Concepts, Critiques and Futures. OUP, Oxford, pp 253–280
Noon, M.: 2004, ‚Managing Equality and Diversity’, in I.␣Beardwell, L. Holden and T. Claydon (eds.), Human␣Resource Management: A Contemporary Approach, 4th Edition. (FT/Prentice Hall, Harlow), pp. 230–257
Pearson J. N., S. E. Fawcett, A. Cooper 1993, Challenges and Approaches to Purchasing from Minority-Owned Firms. Entrepreneurship: Theory and Practice 18(2), 71–88
Porter, M.E. and M. R. Kramer: 2002, ‚The Competitive Advantage of Corporate Philanthropy’, Harvard Business Review December, 57–68
Posnikoff J. 1997, Divestment from South Africa: They Did Well by Doing Good. Contemporary Economic Policy 15, 76–86
Ram M., D. Smallbone 2003, Supplier Diversity Initiatives and the Diversification of Ethnic Minority businesses in the UK. Policy Studies 24(4), 187–204
Ram M., N. Theodorakopolous, I. Worthington 2006, Implementing Supplier Diversity in the UK: SDEM as Mindful Policy Transfer, Occasional Paper 77. Leicester Business School, Leicester, UK
Rice M. F. 1993, State and Local Government Set-Aside programs, disparity studies and minority business development in the post-Croson era. Journal of Urban Affairs 15(6), 529–553
Roberts S. 2003, Supply Chain Specific: Understanding the Patchy Success of Ethical Sourcing Initiatives. Journal of Business Ethics 44, 159–170
Russo M., P. Fouts 1997, A Resource-Based Perspective on Corporate Environmental Performance and Profitability. Academy of Management Journal 40, 534–559
Shah M., M. Ram 2006, Supplier Diversity and Minority Business Enterprise Development: Case Study Experience of Three U.S. Multinationals. Supply Chain Management: An International Journal 11(1), 75–81
Spratlen, T. H.: 1978, ‚The Impact of Affirmative Action Purchasing’, Journal of Purchasing and Materials Management 14, 6–8 and 32
Van Marrewijk M. 2003, Concepts and Definitions of CSR and Corporate Sustainability: Between Agency and Communion. Journal of Business Ethics 44, 95–105
Waddock S. A., S. B. Graves 1997, The Corporate Social Performance- Financial Performance Link. Strategic Management Journal 18(4), 303–319
Waddock S. A., C. Bodwell, S. B. Graves 2002, Responsibility: The New Business Imperative. The Academy of Management Executive 16(2), 132–148
Wright P., S. Ferris 1997, Agency Conflict and Corporate Strategy: The Effect of Divestment on Corporate Value. Strategic Management Journal 18, 77–83
Yin R. K. 1989, Case Study Research: Design and Methods. Sage: London
Author information
Authors and Affiliations
Corresponding author
Additional information
Dr Ian Worthington is a Reader in Corporate Social Responsibility at the Leicester Business School, De Montfort University, Leicester, UK.
Professor Monder Ram is Professor of Small and Ethnic Businesses at the Leicester Business School, De Montfort University, Leicester, UK.
Harvinder Boyal is a Research Assistant in the Leicester Business School, De Montfort University, Leicester, UK.
Mayank Shah is a doctoral student in the Leicester Business School, De Montfort University, Leicester, UK.
Rights and permissions
About this article
Cite this article
Worthington, I., Ram, M., Boyal, H. et al. Researching the Drivers of Socially Responsible Purchasing: A Cross-National Study of Supplier Diversity Initiatives. J Bus Ethics 79, 319–331 (2008). https://doi.org/10.1007/s10551-007-9400-x
Received:
Accepted:
Published:
Issue Date:
DOI: https://doi.org/10.1007/s10551-007-9400-x