Abstract
Denmark presents a country with ambitious policies for corporate social responsibility (CSR). This is reflected by the fact that major Danish companies have promoted the global CSR and sustainability agenda since the 1990s. The Scandinavian countries in general have succeeded in earning a reputation as global sustainability front runners, and Denmark is part of that storyline. The general storyline is about a transformation from limited understandings of CSR to more comprehensive conceptions of sustainability that include.
To show this development, the chapter provides a review of CSR in Denmark spanning the last couple of decades with a purview to government initiatives, the significance of the industrial foundations, and the impact of the United Nations Sustainable Development Goals (UN SDGs).
First, two examples are presented of how the government has been actively advancing CSR, making it mandatory for larger businesses to report on the expanding agenda on corporate sustainability, and by establishing ‘The Mediation and Complaints-Handling Institution for Responsible Business Conduct’ in 2012—this is the Danish national OECD contact point.
Second, particular to the Danish business tradition are the Danish industrial foundations. They can be argued to provide favorable conditions for CSR by means of corporate governance that includes the long-term interest and the common good of society.
Third, from the launch of the UN SDGs in 2015, the SDGs have been embraced across all sectors, ranging from the state to major corporations and civil society. The SDG agenda exemplifies a bottom-up governance approach that adjusts well to the Danish tradition for voluntary engagement in democratic decision-making of civil society. We foresee that the SDGs provide a call for new forms of leadership and management.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Børsting, C., & Thomsen, S. (2017). Foundation ownership, reputation, and labour. Oxford Review of Economic Policy, 33(2), 317–338.
Brown, M. E., & Treviño, L. K. (2006). Ethical leadership: A review and future directions. The Leadership Quarterly, 17(6), 595–616.
Ciepley, D. (2019). Can corporations be held to the public interest, or even to the law? Journal of Business Ethics, 154(4), 1003–1018.
Danish Mediation and Complaints-handling Institution for Responsible Business Conduct (MCI 2018). Decision 19 June. Accessed June 20, 2019, from https://virksomhedsadfaerd.dk/file/662204/Decision_19_june_2018.pdf
Danish National Research Foundation. (2019). Press release on the pioneer initiative. Accessed June 29, 2019, from https://dg.dk/en/aftale-om-pionercentrene-er-paa-plads-1-mia-kr-til-forskning-i-store-samfundsudfordringer/
Dansk Erhverv (2019). Alle ombord? Status på virksomhedernes arbejde med CSR og FNs Verdensmål. Accessed June 15th from https://www.danskerhverv.dk/siteassets/mediafolder/downloads/analysenotater-2019/14.-alle-ombord%2D%2D-status-pa-virksomhedernes-arbejde-med-csr-og-fns-verdensmal.pdf
EKF – The Danish Export Credit Agency. (2017). EKF withdraws financing from Armenian mining project. Accessed June 20, 2019, from https://www.ekf.dk/en/about-ekf/news/Pages/EKF-withdraws-financing-from-Armenian-mining-project.aspx
Elkington, J. (1997). Cannibals with forks. The triple bottom line of 21st century business. London: Capstone.
Fondenes Videnscenter. (2019). Faktaark om: Fondsdanmark. Accessed June 20, 2019, from https://fondenesvidenscenter.dk/wp-content/uploads/2019/03/Faktaark-om-Fondsdanmark_FINAL.pdf
Hansmann, H., & Thomsen, S. (2013). Managerial distance and virtual ownership: The governance of industrial foundations (Working Paper No. 372/2013). ECGI Working Paper Series in Finance. European Corporate Governance Institute. Accessed June 15, from https://ecgi.global/sites/default/files/working_papers/documents/SSRN-id2246116.pdf
Hildebrandt, S. (Ed.). (2016). Bæredygtig global udvikling: FN’s 17 verdensmål I et dansk perspektiv. København: Jurist- og Økonomforbundets Forlag.
Høyer Toft, K., & Rüdiger, M. (2020). Mapping corporate climate change ethics: Responses among three Danish energy firms. Energy Research and Social Science. (59), pp. 1–17.
Juul Nielsen, M. E., & Frederiksen, C. S. (2015). Political institutions and corporate social responsibility: A Nordic welfare state perspective from Denmark. In S. Idowu (Ed.), Corporate social responsibility in Europe (pp. 197–208). Cham: Springer.
Kashmanian, R. M., Wells, R. P., & Keenan, C. (2011). Corporate environmental sustainability strategy. The Journal of Corporate Citizenship, 44, 107.
Knudsen, J. S., & Moon, J. (2017). Visible hands: Government regulation and international business responsibility. Cambridge: Cambridge University Press.
Knudsen, J. S., Moon, J., & Slager, R. (2015). Government policies for corporate social responsibility in Europe: A comparative analysis of institutionalization. Policy and Politics, 43(1), 81–99.
Kristensen, P. H., & Morgan, G. (2018). Danish foundations and cooperatives as forms of corporate governance: Origins and impacts on firm strategies and societies. In N. Boeger & C. Villiers (Eds.), Shaping the corporate landscape: Towards corporate reform and enterprise diversity (1st ed., pp. 271–288). London: Hart Publishing.
Lodsgård, L., & Aagaard, A. (2017). Creating value through CSR across company functions and NGO collaborations. Scandinavian Journal of Management, 33(3), 162–174.
Malling, J. (2019, February) Armenians fight for their environment. Le Monde diplomatique. Accessed June 20, 2019, from https://mondediplo.com/2019/02/05armenia
Matten, D., & Crane, A. (2005). Corporate citizenship: Toward an extended theoretical conceptualization. Academy of Management Review, 30(1), 166–179.
Morsing, M. (2005). Denmark. Inclusive labour market strategies. In A. Habisch et al. (Eds.), Corporate social responsibility across Europe (pp. 23–35). Berlin: Springer.
Nielsen, J. S. (2013). Den store omstilling. Fra systemkrise til grøn økonomi. Informations Forlag: København.
Nielsen, J. S. (2015). På den Anden Side. En rejse I omstillingens grænseland. København: Informations Forlag.
Norman, W., & MacDonald, C. (2004). Getting to the bottom of triple bottom line. Business Ethics Quarterly, 14(2), 243–262.
Pedersen, J. S. & Rendtorff, J. D. (2004). Value-based management in local public organizations: A danish experience. Cross Cultural Management, 11(2).
Porter, M. E., & Kramer, M. R. (2003). The competitive advantage of corporate philanthropy. In Harvard business review on corporate responsibility. Cambridge, MA: Harvard Business School Press.
Porter, M. E., & Kramer, M. R. (2006). Strategy and society: The link between competitive advantage and corporate social responsibility. Harvard Business Review, 84(12), 78–92.
Porter, M. E., & Kramer, M. R. (2011). Creating shared value. Harvard Business Review, January/February, 63–70.
Rendtorff, J. D. (2009a). Responsibility, ethics and legitimacy of corporations. Copenhagen: Copenhagen Business School Press.
Rendtorff, J. D. (2009b) Basic ethical principles applied to service industries. The Service Industries Journal, 29(1):9–19
Rendtorff, J. D. (2011). Institutionalization of corporate ethics and social responsibility programs in firms. In I K. Buhmann, L. Roseberry, & M. Morsing (Eds.), Corporate social and human rights responsibilities: Global, legal and management perspectives (pp. 244–266). London: Palgrave Macmillan.
Rendtorff, J. D. (2013a). Basic concepts of philosophy of management and corporations. In I C. Luetge (Ed.), Handbook of the philosophical foundations of business ethics(pp. 1361–1386). Dordrecht, Heidelberg, New York, London: Springer Science+Business Media.
Rendtorff, J. D. (2013b). Philosophical theories of management and corporations. In I C. Luetge (Ed.), Handbook of the philosophical foundations of business ethics (pp. 1409–1432). Dordrecht, Heidelberg, New York, London: Springer Science+Business Media.
Rendtorff, J. D. (2013c). Recent debates in philosophy of management. In I C. Luetge (Ed.), Handbook of the philosophical foundations of business ethics (pp. 1433–1457). Dordrecht, Heidelberg, New York, London: Springer Science+Business Media.
Rendtorff, J. D. (2013d). The history of the philosophy of management and corporations. In I C. Luetge (ed.), Handbook of the philosophical foundations of business ethics (pp. 1387–1408). Dordrecht, Heidelberg, New York, London: Springer Science+Business Media.
Rendtorff, J. D. (2015). Bæredygtighed og virksomheders ansvar (CSR) [sustainability and social responsibility of business]. In F. Arler, M. A. Mosgaard, & H. Riisgaard (Eds.), Bæredygtighed: Værdier, regler og metoder (pp. 359–378). Aarhus: Aarhus Universitetsforlag.
Rendtorff, J. D. (2018a). Cosmopolitan business ethics: Towards a global ethos of management (Finance, governance and sustainability: Challenges to theory and practice series). London: Routledge.
Rendtorff, J. D. (2018b). Philosophy of management and sustainability: Rethinking business ethics and social responsibility in sustainable development. Bingley: Emerald Group.
Rendtorff, J. D. (2019). Sustainable development goals and progressive business models for economic transformation. Local Economy, 34(6), s. 510–524 15 s.
Scherer, A. G., & Palazzo, G. (2011). The new political role of business in a globalized world: A review of a new perspective on CSR and its implications for the firm, governance, and democracy. Journal of Management Studies, 48(4), 899–931.
Scherer, A. G., Palazzo, G., & Matten, D. (2014). The business firm as a political actor: A new theory of the firm for a globalized world. Business & Society Review, 53(2), 143–156.
Scherer, A. G., Rasche, A., Palazzo, G., & Spicer, A. (2016). Managing for political corporate social responsibility: New challenges and directions for PCSR 2.0. Journal of Management Studies, 53(3), 273–298.
Strand, R., Freeman, R. E., & Hockerts, K. (2015). Corporate social responsibility and sustainability in Scandinavia: An overview. Journal of Business Ethics, 127(1), 1–15.
Treviño, L. K. (1986). Ethical decision making in organizations: A person-situation interactionist model. Academy of Management Review, 11(3), 601–617.
Treviño, L. K., & Brown, M. E. (2004). Managing to be ethical: Debunking five business ethics myths. Academy of Management Executive, 18(2).
Treviño, L. K., Brown, M., & Hartman, L. P. (2003). A qualitative investigation of perceived executive ethical leadership: Perceptions from inside and outside the executive suite. Human Relations, 56(1), 5.
Treviño, L. K., Hartman, L. P., & Brown, M. E. (2000). Moral person and moral manager: How executives develop a reputation for ethical leadership. California Management Review, 42(4), 128–142.
United Nations. (2015). Sustainable development goals. Accessed June 30, 2019, from https://sustainabledevelopment.un.org/post2015/transformingourworld/publication
United Nations (2018a). Transforming our world: The 2030 agenda for sustainable development.
United Nations. (2018b). United Nations Global Compact. Accessed June 30, 2019, from https://www.unglobalcompact.org/
United Nations. (2019). SDG-compass. Accessed June 30, 2019, from https://sdgcompass.org/
Vallentin, S. (2015). Governmentalities of CSR: Danish government policy as a reflection of political difference. Journal of Business Ethics, 127(1), 33–47.
Van Zanten, J. A., & van Tulder, R. (2018). MNEs and the sustainable development goals. Journal of International Business Policy, 1(3–4), 208–233.
World Commission on Environment and Development. (1987). Our common future (p. 1987). Oxford: Oxford University Press.
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2021 The Author(s), under exclusive license to Springer Nature Switzerland AG
About this chapter
Cite this chapter
Toft, K.H., Rendtorff, J.D. (2021). Corporate Social Responsibility in Denmark. In: Idowu, S.O. (eds) Current Global Practices of Corporate Social Responsibility. CSR, Sustainability, Ethics & Governance. Springer, Cham. https://doi.org/10.1007/978-3-030-68386-3_5
Download citation
DOI: https://doi.org/10.1007/978-3-030-68386-3_5
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-030-68385-6
Online ISBN: 978-3-030-68386-3
eBook Packages: Business and ManagementBusiness and Management (R0)