Social Environmental Accounting and Reporting: MNC's Governance, Absorptive Capacity and Learning

Gabriela Gutierrez Huerter O, Jeremy Moon, Stefan Gold, Wendy Chapple

    Research output: Contribution to conferencePaperResearchpeer-review

    Abstract

    Based on an embedded multiple case study of a UK-based MNC, FINEST, informed by 24 semi-structured interviews, this paper investigates the antecedents and outcome of subsidiaries’ absorptive capacity (ACAP) in the context of the intra-MNC transfer of social and environmental accounting and reporting (SEAR) knowledge from the HQ to acquired subsidiaries. Drawing from a range of literatures such as agency theory, knowledge-based theory, socialisation theory, as well as organizational learning, social capital and psychology, we specify the governance mechanisms (hierarchical and relational) that influence the development of subsidiary’s potential absorptive capacity (PACAP) and realized absorptive capacity (RACAP) and their impact on subsidiary learning. Our cross-case analysis shows that a mix of relational and hierarchical governance mechanisms put in place by the HQ may be useful to achieve the development of ACAP and consequently of organizational learning by enabling the connection and integration of the potential and realized components of ACAP
    Original languageEnglish
    Publication date2015
    Number of pages52
    Publication statusPublished - 2015
    EventThe Academy of Management Annual Meeting 2015: Opening Governance - Vancouver, Canada
    Duration: 7 Aug 201511 Aug 2015
    Conference number: 75
    http://aom.org/annualmeeting/

    Conference

    ConferenceThe Academy of Management Annual Meeting 2015
    Number75
    CountryCanada
    CityVancouver
    Period07/08/201511/08/2015
    Internet address

    Keywords

    • Absorptive capacity
    • Knowledge transfer
    • MNC

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