Skip to main content
SpringerLink
Log in

Values-Based Stakeholder Management: Concepts and Methods

  • Chapter
  • First Online:
Book cover Rethinking Strategic Management

Part of the book series: CSR, Sustainability, Ethics & Governance ((CSEG))

Abstract

Stakeholders have acquired an active and even pivotal role in strategic management decisions and collaboration formats due to ongoing substantial changes in the corporate world, impacting established management frameworks, concepts and methods. This chapter discusses some of these fundamental changes and demonstrates the impact of (missing) stakeholder engagement for the success of a strategy process. Based on the difference between interests and values a values-based reframing of the stakeholder concept and corresponding management methods is suggested and illustrated with exemplary cases. To support a values-based approach to stakeholder management, new conceptual distinctions and methodical implications are presented. Three forms of stakeholder management are proposed (defensive, integrative, overarching). Furthermore, this chapter shows how to clarify and develop stakeholder values (e.g. by means of ongoing values conversations) and exemplifies how to reframe and adapt methods of stakeholder analysis and management (e.g. as an element of values-based business modelling). A values-based approach to strategic stakeholder management ensures that the course of strategic decisions is not only determined by short-lived attitudes, interests and the best deal negotiators may get, but that it is driven by long-term objectives of diverse participants.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 79.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD 99.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Notes

  1. 1.

    See Part II of this book.

  2. 2.

    See also Chap. 5.

References

  • Agle, B. R., & Caldwell, C. B. (1999). Understanding research on values in business: A level of analysis framework. Business and Society, 38(3), 326–387.

    Article  Google Scholar 

  • Andriof, J., & Waddock, S. (2002). Unfolding stakeholder engagement. In J. Andriof, S. Waddock, B. Husted, & S. Sutherland (Eds.), Unfolding stakeholder thinking (pp. 19–42). Sheffield, UK: Greenleaf Publishing.

    Google Scholar 

  • Ansoff, I. (1965). Corporate strategy. New York: McGraw-Hill.

    Google Scholar 

  • Antoni-Komar, I., Lautermann, C., & Pfriem, R. (2010). Kulturelle Kompetenzen für gesellschaftliche Veränderungen‘ [Cultural competencies for social change]. In K. Fichter, A. V. Gleich, R. Pfriem, & B. Siebenhüner (Eds.), Theoretische Grundlagen für erfolgreiche Klimaanpassungsstrategien [Theoretical foundations for successful climate adaptation strategies] (Vol. 1, pp. 173–188). Oldenburg: Nordwest 2050-Konsortium, Bremen.

    Google Scholar 

  • Auster, E. R., & Freeman, R. E. (2013). Values and poetic organizations: Beyond value fit toward values through conversation. Journal of Business Ethics, 113(1), 39–49.

    Article  Google Scholar 

  • Bleicher, K. (1994). Integrative management in a time of transformation. Long Range Planning, 27(5), 136–144.

    Article  Google Scholar 

  • Bocken, N., Short, S., Padmakshi Rana, P., & Evans, S. (2013). A value mapping tool for sustainable business modelling. Corporate Governance: The International Journal of Business in Society, 13(5), 482–497.

    Article  Google Scholar 

  • Boons, F., & Lüdeke-Freund, F. (2013). Business models for sustainable innovation: State of the art and steps towards a research agenda. Journal of Cleaner Production, 45, 9–19.

    Article  Google Scholar 

  • Bowman, C., & Ambrosini, V. (2003). What does value mean and how is it created, maintained and destroyed? Paper presented at the Academy of Management Meeting, Seattle, 2003. Online. Retrieved January 1, 2018, from http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.521.2787&rep=rep1&type=pdf)

  • Breuer, H., & Lüdeke-Freund, F. (2017a). Values-based innovation management. Innovating by what we care about. London: Palgrave Macmillan.

    Google Scholar 

  • Breuer, H., & Lüdeke-Freund, F. (2017b). Values-based network and business model innovation. International Journal of Innovation Management, 21(3), 1–35.

    Article  Google Scholar 

  • Breuer, H., & Upadrasta, V. (2017). Values-based product innovation – The case of Tata Nano. In: K. Huizingh, S. Conn, et al. (Eds.), The Proceedings of XXVIII ISPIM Conference. Vienna (p. 18). Online. Retrieved August 1, 2018, from https://www.researchgate.net/publication/317369548_Values-Based_Product_Innovation_-_The_Case_of_Tata_Nano

  • Breuer, H., Fichter, K., Lüdeke-Freund, F., & Tiemann, I. (2018). Sustainability-oriented business model development: Principles, criteria and tools. International Journal of Entrepreneurial Venturing, 10(2), 256–286.

    Article  Google Scholar 

  • Chacko, P., Noronha, C., & Agrawal, S. (2010). Small wonder. The making of the Nano. Chennai, Tamilnadu: Tata Sons Limited.

    Google Scholar 

  • Christensen, C., & Rosenbloom, R. (1995). Explaining the attacker’s advantage: Technological paradigms, organizational dynamics, and the value network. Research Policy, 24(2), 233–257.

    Article  Google Scholar 

  • Dill, W. R. (1975). Public participation in corporate planning: Strategic management in a Kibitzer’s world. Long Range Planning, 8(1), 57–63.

    Article  Google Scholar 

  • Donaldson, T., & Preston, L. E. (1995). The stakeholder theory of the corporation: Concepts, evidence, and implications. Academy of Management Review, 20(1), 65–91.

    Article  Google Scholar 

  • Dreyer, B., Lüdeke-Freund, F., Hamann, R., & Faccer, K. (2017). Upsides and downsides of the sharing economy: Collaborative consumption business models’ stakeholder value impacts and their relationship to context. Technological Forecasting and Social Change, 125, 87–104.

    Article  Google Scholar 

  • First Climate. (2018). EU directive for CSR communication. Online. Retrieved February 8, 2018, from https://www.firstclimate.com/eu-directive-for-csr-communication/

  • Frankfurt, H. (1988). The importance of what we care about. Philosophical essays. Cambridge, UK: Cambridge University Press.

    Book  Google Scholar 

  • Freeman, R. E. (1984). Strategic management: A stakeholder approach. Boston, MA: Pitman.

    Google Scholar 

  • Freeman, R. E., & Auster, E. R. (2015). Bridging the values gap. Oakland, CA: Berrett Koehler.

    Google Scholar 

  • Freeman, R. E., & McVea, J. (2001). A stakeholder approach to strategic management. Darden Business School Working Paper No. 01–02. Available at SSRN. https://ssrn.com/abstract=263511 or https://doi.org/10.2139/ssrn.263511

  • Freeman, R. E., & Reed, D. L. (1983). Stockholder and stakeholders: A new perspective on corporate governance. California Management Review, XXV(3), 88.

    Article  Google Scholar 

  • Harrison, J. S., & St. John, C. H. (1997). Strategic management of organizations and stakeholders. Cincinnati, OH: South-Western College Pub.

    Google Scholar 

  • Hart, S. L., & Sharma, S. (2004). Engaging fringe stakeholders for competitive imagination. Academy of Management Executive, 18, 7–18.

    Google Scholar 

  • Hitlin, S., & Piliavin, J. (2004). Values: Reviving a dormant concept. Annual Review of Sociology, 30(1), 359–393.

    Article  Google Scholar 

  • Ho, K. (2009). Disciplining investment bankers, disciplining the economy: Wall Street’s institutional culture of crisis and the downsizing of “corporate America”. American Anthropologist, 111(2), 177–189.

    Article  Google Scholar 

  • Hörisch, J., Freeman, E., & Schaltegger, S. (2014). Applying stakeholder theory in sustainability management. Links, similarities, dissimilarities, and conceptual framework. Organization & Environment, 27(4), 328–346.

    Article  Google Scholar 

  • IBM. (2018). Our values at work. Online. Retrieved August 1, 2018, from https://www.ibm.com/ibm/values/us/

  • Joas, H. (2000). The genesis of values. Chicago, IL: University of Chicago Press.

    Google Scholar 

  • Joas, H. (2001). Values versus norms: A pragmatist account of moral objectivity. The Hedgehog Review, 3, 42–56.

    Google Scholar 

  • Khoshkish, A. (1974). The concept of values. A socio-phenomenological approach. Journal of Value Inquiry, VIII(1). Online. Retrieved August 1, 2018, from http://www.complexapproach.com/Values/values.htm

  • Khoshkish, A. (1979). The socio-political complex. An interdisciplinary approach to political life. Oxford: Pergamon.

    Google Scholar 

  • Lindgren, P., Taran, Y., & Boer, H. (2010). From single firm to network-based business model innovation. International Journal of Entrepreneurship and Innovation Management, 12(2), 122–137.

    Article  Google Scholar 

  • Luhmann, N. (2002). Die Politik der Gesellschaft. Frankfurt a.M.: Suhrkamp.

    Google Scholar 

  • Lovallo, D., & Sibony, O. (2010). The case for behavioral strategy. McKinsey Quarterly. Online. Retrieved April 8, 2017, from http://www.mckinsey.com/business-functions/strategy-and-corporate-finance/our-insights/the-case-for-behavioral-strategy

  • Lüdeke-Freund, F., & Dembek, K. (2017). Sustainable business model research and practice: New field or passing fancy? Journal of Cleaner Production, 168, 1668–1678.

    Article  Google Scholar 

  • Mintzberg, H. (1978). Patterns in strategy formation. Management Science, 24(9), 934–948.

    Article  Google Scholar 

  • Moore, J. F. (1996). The death of competition: Leadership & strategy in the age of business ecosystems. New York: Harper Business.

    Google Scholar 

  • Normann, R., & Ramírez, R. (1993). From value chain to value constellation. Harvard Business Review, 71(4), 65–77.

    Google Scholar 

  • Palmisano, S. (2004, December). Leading change when business is good. HBR Interview conducted by P. Hemp, & T. Stewart. Harvard Business Review, 62–70.

    Google Scholar 

  • Peattie, K., & Belz, F. (2010). Sustainability marketing – An innovative conception of mar-keting. Marketing Review St. Gallen, 27(5), 8–15.

    Article  Google Scholar 

  • Peppard, J., & Rylander, A. (2006). From value chain to value network. European Management Journal, 24(2/3), 128–141.

    Article  Google Scholar 

  • Quinn, J. B. (1980). Strategies for change: Logical incrementalism. New York: McGraw-Hill.

    Google Scholar 

  • Rappaport, A. (1986). Creating shareholder value: The new standard for business performance. New York: The Free Press.

    Google Scholar 

  • Ritala, P., & Huizingh, E. (2014). Business and network models for innovation: Strategic logic and the role of network position. International Journal of Technology Management, 66(2/3), 109–119.

    Article  Google Scholar 

  • Rohrbeck, R., Konnertz, L., & Knab, S. (2013). Collaborative business modelling for systemic and sustainability innovations. International Journal of Technology Management, 63(1/2), 4–23.

    Article  Google Scholar 

  • Sarasvathy, S. (2008). Effectuation: Elements of entrepreneurial expertise. Cheltenham: Edward Elgar.

    Book  Google Scholar 

  • Schaltegger, S., Hansen, E., & Lüdeke-Freund, F. (2016). Business models for sustainability: Origins, present research, and future avenues (editorial). Organization & Environment, 29(1), 3–10.

    Article  Google Scholar 

  • Schaltegger, S., Hörisch, J., & Freeman, E. (2017). Business cases for sustainability. A stakeholder theory perspective. Organization & Environment. https://doi.org/10.1177/1086026617722882

    Article  Google Scholar 

  • Schaltegger, S., Lüdeke-Freund, F., & Hansen, E. (2012). Business cases for sustainability: The role of business model innovation for corporate sustainability. International Journal of Innovation and Sustainable Development, 6(2), 95–119.

    Article  Google Scholar 

  • Schwarting, R. (2009). Zur Transformation von Werten [On the transformation of values]. Online. Retrieved February 8, 2018, from https://sozialtheoristen.de/2009/03/13/zur-transformation-von-werten-in-das-schema-politischer-interessen-und-probleme/

  • Schwartz, S. H. (2012). An overview of the Schwartz theory of basic values. Readings in Psychology and Culture, 2(1). https://doi.org/10.9707/2307-0919.1116.

  • Stabell, C. B., & Fjeldstad, O. D. (1998). Configuring value for competitive advantage: On chains, shops, and networks. Strategic Management Journal, 19(5), 413–437.

    Article  Google Scholar 

  • Steinhoff, F., & Breuer, H. (2013). User-centered radical innovation at telekom innovation laboratories – Tools and methods to generate new propositions for mobile payment. In N. Pfeffermann, N. Minshall, & L. Mortara (Eds.), Strategy and communication for innovation (2nd ed.). Berlin: Springer.

    Google Scholar 

  • Taylor, C. (1989). Sources of the self: The making of the modern identity. Cambridge, MA: Harvard University Press.

    Google Scholar 

  • Tokuhama-Espinosa, T. (2010). Mind, brain, and education sciences: A comprehensive guide to new brain-based teaching. New York: W. W. Norton.

    Google Scholar 

  • Wheeler, D., & Sillanpää, M. (1997). The stakeholder corporation. London: Pitman.

    Google Scholar 

  • World Commission on Environment and Development. (1987). Our common future. Report of the World Commission on Environment and Development. New York City: United Nations.

    Google Scholar 

  • Yaun, D. (2006). Driving culture change by consensus at IBM. Using technology to involve employees in shaping corporate culture. Interview with David Yaun. Retrieved February 27, 2018, from http://astro.temple.edu/~rmudambi/Teaching/BA951/Week_13/IBM-culture.pdf

  • Yaun, D. (2016). Personal interview conducted by Henning Breuer. Cited from Breuer, H., & Lüdeke-Freund, F. (2017). Values-based innovation management. London: Palgrave.

    Google Scholar 

Download references

Author information

Authors and Affiliations

  1. UXBerlin – Innovation Consulting & University of Applied Sciences for Media, Communication and Management, Berlin, Germany

    Henning Breuer

  2. ESCP Europe Business School, Chair for Corporate Sustainability, Berlin, Germany

    Florian Lüdeke-Freund

Authors
  1. Henning Breuer
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Florian Lüdeke-Freund
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Henning Breuer .

Editor information

Editors and Affiliations

  1. Neu-Ulm University of Applied Sciences, Neu-Ulm, Germany

    Thomas Wunder

Rights and permissions

Reprints and permissions

Copyright information

© 2019 Springer Nature Switzerland AG

About this chapter

Check for updates. Verify currency and authenticity via CrossMark

Cite this chapter

Breuer, H., Lüdeke-Freund, F. (2019). Values-Based Stakeholder Management: Concepts and Methods. In: Wunder, T. (eds) Rethinking Strategic Management. CSR, Sustainability, Ethics & Governance. Springer, Cham. https://doi.org/10.1007/978-3-030-06014-5_11

Download citation

Publish with us

Policies and ethics

Search

Navigation