Participation, Corporate governance (CG) models and Participation, Corporate governance (CG) models and practices in relationship to corporate social responsibility practices in relationship to corporate social responsibility

(CSR) and sustainable management in transforming countries(CSR) and sustainable management in transforming countries 0. Introduction

1. Empiric base2. Participation, linkage with CG, CSR and SM – terms, discussions

and histories in the West, in Europe and transforming (CEE- and developing) countries

3. Changes and developments after German and European Unification and globalization

4. Criterion’s of Participation, CG and CSR- attitudes and SM- dealing with state influences

5. Different conditions and examples of Participation, CG, CSR and SM development in some Western, transformation- and developing countries

6. Relationship between Participation, CG and CSR-Rethorik as well as SM in different countries connected with development of business ethics based on some empiric studies

7. Summary and outlook

Participation Participation linkage with CG, CSR and SM – terms, linkage with CG, CSR and SM – terms, discussions and histories in Europe and CEE- and discussions and histories in Europe and CEE- and

developing countriesdeveloping countries

Participation:Participation: ClientsClients – workers, representations, councils –

management, owners Fields of activitiesFields of activities: HRM-decisions, work force regulations,

enterprise regulations, work conditions, internal regulations and rights of participation, information and co-management, quality management, individual and collective work conditions, labor contracts

Fields of decisionsFields of decisions: worldwide operating enterprises, European enterprises, national and local operating enterprises

Form of Co-managementForm of Co-management by workers/employees and their representations (direct and delegate)

CG - linkage with CSR and SM – terms, discussions and CG - linkage with CSR and SM – terms, discussions and histories in Western and CEE- and developing countrieshistories in Western and CEE- and developing countries

CGCG- ordinal frame and practices of the management and the supervision of enterprises regulated by state for business rights linked with participation legislation and practices (advisory boards)

CSR CSR -form of corporate self-regulation integrated into a national and international business models

- process with the aim to embrace international responsibility for the company's actions

- encourages a positive impact through its activities on the environment, consumers, employees, communities, stakeholders and all other members of the public sphere who may also be considered as stakeholders

-SMSM takes concepts from sustainability and synthesizes them with the concepts of management in different branches which are dealing with the environment of present and future generations and the economy - The responsibilities of an sustainable managed enterprise include economic, legal, ethic as well as philanthropic factors.

Corporate Social ResponsibilityCorporate Social ResponsibilityEconomic, legal, ethical & discretionary

expectationsof society regarding organizations

Sustainable ManagementSustainable ManagementConcept of sustainability

Synthesized withConcepts of management

CorporateCorporateGovernanceGovernance

Good Corporate GovernanceGood Corporate Governance functioning enterprise management true of the interests of different groups (advisory boards, shareholders, workers

representations, stakeholders) transparency in the enterprise communication adequate risks management - decisions on long-term added value clear procedure for proposal and choice of the Board members no cross interweaving between the rembursement committees of different

enterprises

Changes and developments after German and European Changes and developments after German and European Unification and GlobalizationUnification and Globalization

- From state plane and party controlled management to independent on politics only to the old and new markets, costs and quality oriented, marketing based and supported management

- take over western works-councils legislation in East Germany after unification and introduction of European works councils in CEE-countries

- privatization and investments followed firms from western states which take over some participation regulations and focused with the discussion of CG and CSR - to their new branches in transforming countries.

-Monterrey consensus in Mexico 2002, UN global Compact, European ISO 26000 provided guidance for social responsibility of enterprises in the establishment of CSR- and SM in a long term perspective of profit-making of entrepreneurship in transforming countries.

- change of short term profit enterprise strategies orientation into new social wider expectations in a middle or long term perspective.

Transformation and development - countries and Transformation and development - countries and Participation institutions, CG - linked with CSR and Participation institutions, CG - linked with CSR and SMSM

CEE-countries came into European Community, NATO and Euro-Zone or in close to them operating geographical areas in different moments, shape, economic and social potentials, management structures and financial support and foreign investments opportunities

- German Unification case, Czechoslovak Republic, Hungary, Poland, Baltic states, Slovenia 2004,Romania&Bulgaria 2007-EU; Russia, Belarus, Moldova, Ukraine, Caucasian states, middle Asian former soviet republics – CIS, other former close states to COMECON in South East Asia, Near East, Latin America, Africa – each one different development and conditions – cases

-developing countries followed international operating firms national and international legislation and agreements

- Examples and cases-Volkswagen worldwide works council (Brazil,Mexico, Lufthansa worldwide etc.)

ParticipationParticipationLegislation &Legislation &

practicespractices

CSRCSRCGCG

Legislation &Legislation &practicespractices

Conditions of economicConditions of economic& social life & social life

transformationtransformationPrivatization & privatePrivatization & private

Company establishmenCompany establishmentt

Legal frameworkLegal frameworkdevelopmentdevelopment

State influencesState influences

Enterprise &Enterprise &frameworkframework

developmentdevelopmentDiscussions &Discussions &

realitiesrealities

SMSM

Criterion’s of Participation, CG and CSR-attitudes and Criterion’s of Participation, CG and CSR-attitudes and SM- dealing with state influencesSM- dealing with state influences

Conditions of the begin of economic and social life transformation in different European, CEE- and development-countries

Tempo and forms of the privatization, investment and of private company new establishment and development

Tempo and contents of the creation of a legal framework, of compliance, codex’s etc. and of Participation, CG and of CSR-management and owners attitudes

Direct influence of the state politics on Participation and CG conditions

Immediate enterprise constitutions development and frameworks of Participation and CG in the different European, transformation- and development-countries

Connection of Participation, CG-development with CSR and SM- discussions and realities.

Different conditions and examples of Participation and Different conditions and examples of Participation and CG - development in some European, CEE- and CG - development in some European, CEE- and

development- countriesdevelopment- countries

tempo's and conditions of privatization and investments tempo's and conditions of foreign investment and internal

accumulation of capital as well national investment tempo's and conditions of foreign management transfers

and ideas of Participation, CG, CSR and SM mentalities of new entrepreneurship and of the share –

and stakeholders legal frameworks of investment and businesses – spread

blockages of opening new businesses and foreign investment by administrative barriers as observed in Russia, Belarus, Bulgaria, Syria, Kenya, Laos.

Relationship between Participation, CG & CSR-Rethorik Relationship between Participation, CG & CSR-Rethorik & SM in different Transformation (CEE- and development & SM in different Transformation (CEE- and development

countries connected with development of business countries connected with development of business ethics in these countries - empiric studiesethics in these countries - empiric studies

strong relationships in transformation-and development countries to foreign partners which produces often more Participation-, CSR- and CG- and SM- Lyric than realities

Transformation- and development countries mostly have predator-capitalism without own material responsibility & doesn't produce CG-, CSR&SM – responsibilities of the managers and new owners

Participation-, CG-, CSR-attitudes and SM-debate in transformation and development countries came later than in the western states and was strongly marked by the transfer of business contexts above all by western companies as well as by academically theoretical considerations

Originally there is in general another understanding of the business, participation, CG&CSR among formerly state - socialist leaders, development countries capitalists and new founders as in the EU, Japan and the USA ( for instance in Emirates, Saudi Arabia,India, China, Bangladesh)

Relationship between Participation-, CG- & CSR-Rethorik Relationship between Participation-, CG- & CSR-Rethorik & SM in different transformation-and developing-& SM in different transformation-and developing-

countries connected with development of business countries connected with development of business ethics in these countries - empiric studiesethics in these countries - empiric studies

Learning processes in the transformation and developing countries were focused and training were carried out by managers in the west to educate managers (for Russia, developing countries etc.)Implementations by new founded Business-schools

Mutual exchange relations developed between the West, transformation- and developing countries

European Union relations are just young to these countries after break down of Berlin wall & influence of NATO and their monopolized armament markets has also carried transfer of enterprise cultures and Governance-practices

The takeover and orientation of the European and other western regulation and value systems goes slowly and with obstacles

Different management styles were in these countries imported and improved and also mixed with new capitalist and post-soviet styles.

Relations between Participation, CG, CSR and SMRelations between Participation, CG, CSR and SM

ObligatoryLegal impact

level clients forms

Participation high -Enterprise-branches

-Workers representatives& Works councils-Management

Decisions &Agreements on enterprise level

Corporate Governance - CG

High -medium

-Multinational-InternationalEnterprises

-Supervisory boards-Shareholders meetings -Stakeholders-Workers representation

Decisions on companies world wide levels

Corporate social responsibility- CSR

low worldwide -Governments-International management -communities-citizens

Reports and different changes

Sustainable Management- SM

low enterprise -Management-Citizens-consumers-workers

Different cases

Summary and outlookSummary and outlook mosaic of main streams of Participation, CG, CSR and SM

development in transformation- and development countries is incoherent

Majority of cases are open, best cases and practices are rare

Depends on forms of transfer and internal developments if there will be a main stream to types as German social market economy or as China-Asian dominated oligarchic post-communist model

majority will be hybrid models connected with these two extreme different streams

transfers and internal development of Participation, CG, CSR and SM in CEE-countries depend strongly on younger generation of managers and owners with experiences in such developments in western countries

transfer can be more stronger, when economic relationships develop stronger ties between West, East, South and when international rules were more and more accepted.