Corporate Political Responsibility

by Thomas P. Lyon (Editor)

Overview

Behind closed doors, many large companies quietly use their political clout to influence public policy on social and environmental issues – often in a negative direction. This book seeks to create a new norm for responsible political behaviour by corporations. It brings together leading scholars of corporate political responsibility with leading organizations that have been working to support companies in adopting more responsible political practices. The contributors present new evidence on what motivates firms to become more responsible and how markets view corporate 'dark money' spending. They also explain how activists have pressed companies to play a more responsible role in politics. With a particular focus on climate change and the important role of corporate lobbying in supporting or blocking climate policy, this volume leads the way forward for researchers, activists and citizens who seek a future in which corporate political influence is transparent, accountable and responsible.

Product Details

ISBN-13:	9781009420839
Publisher:	Cambridge University Press
Publication date:	11/30/2023
Pages:	225
Product dimensions:	6.10(w) x 9.25(h) x 0.94(d)

About the Author

Thomas P. Lyon holds the Dow Chair of Sustainable Science, Technology and Commerce at the University of Michigan, with appointments in the Ross School of Business and the School for Environment and Sustainability. He is a leader in the field of corporate sustainability, having coined the phrase 'corporate political responsibility' (CPR) in an award-winning article. Under his leadership, the University of Michigan's Erb Institute is bringing CPR into the world of business practice.

Table of Contents

Section I. Foundations of CPR: Metrics for Disclosure and Good Governance: 1. The meaning of CPR Thomas P. Lyon; 2. Targeting private sector influence in politics: corporate accountability as a risk and governance problem Bruce F. Freed, William S. Laufer and Karl J. Sandstrom; 3. Measuring corporate political responsibility Thomas P. Lyon and William Mandelkorn; Section II. Transparency: Causes and Consequences: 4. What drives firms to disclose their political activity? Edward T. Walker; 5. Promise and peril: lessons from shareholder reactions to corporate political activity disclosure Timothy Werner; Section III. Accountability: Linking CSR, Employee Relations, and CPR: 6. Responsible lobbyists? CSR commitments and the quality of corporate parliamentary testimony in the UK Alvise Favotto, Kelly Kollman and Fraser McMillan; 7. License to give: the relationship between organizational reputation and stakeholders' support for corporate political activity Samantha Darnell and Mary-Hunter McDonnell; 8. Multinational companies as responsible political actors in global business: challenges and implications for human resource management Andreas Georg Scherer and Christian Voegtlin; Section IV. Responsibility: CPR and Climate: 9. Measuring climate policy alignment: a study of the S&P 100 Yamika Ketu and Steven Rothstein; 10. From Kyoto to Paris: business and climate change David Vogel; 11. Disclosure of political responsibility: the case of climate change Magali A. Delmas and Henry L. Friedman; Section V. Implementing CPR: Opportunities and Challenges: 12. Practitioner views of CPR: towards a new social contract Elizabeth A. Doty.

Editorial Reviews

‘Corporations not only need to follow the ‘rules of the game’, they need to act responsibly and transparently in their efforts to shape the rules of the game through corporate political actions. This book points the way toward enlisting business leaders themselves in the cause of corporate political responsibility.’ Ed Dolan, Senior Fellow, Niskanen Center

‘This collection tackles one of the central problems of our time: namely whether, given that a significant number of corporations are already vigorously engaged political actors, firms should be required to be responsible citizens and - if so - can they be made so? Carefully researched, thoughtfully presented and eminently practical, this is a masterful introduction to a critically important subject.’ Rebecca Henderson, Natty and John McArthur University Professor, Harvard University

‘This book is the first of its kind on one of the most critical topics of our day: the billions of dollars in so-called ‘dark money’ that US companies pour into political coffers and how to create much needed transparency and accountability around these massive corporate expenditures. Lyon has gathered contributions from a broad array of experts in the field (himself included) and offers thoughtful solutions in the face of the ongoing failure of politicians and regulators to step up to this challenge. I highly recommend this book to both corporate executives and those who invest in their firms.’ Allison Herren Lee, Former Acting Chair, Securities and Exchange Commission

‘The great challenges of the modern era - from affordable health care, to climate change and functional democracy - are inextricably tied to profit. That makes the question at the heart of this book - the proper role of business in society - the essential stuff of our time. I can think of no better guide than Tom Lyon, one of our leading thinkers on the topic.’ Auden Schendler, Senior Vice President of Sustainability at Aspen Skiing Company and author of Getting Green Done: Hard Truths from the Front Lines of the Sustainability Revolution

‘As a former U.S. Congresswoman, who served on perhaps the first Campaign Finance Reform Task Force, I assure you our democracy would be enhanced if corporate campaign contributions ended and companies assumed ‘political responsibility’. I have long felt that the G of ESG (Environment, Social & Governance) needed to incorporate measures of political responsibility in how corporations govern themselves. Tom Lyon and his co-authors clarify the criticality of doing so, especially at this moment in time.’ Claudine Schneider, Former Congresswoman (R-R.I.)

‘In a world that is overheating dangerously fast, it’s no longer enough for companies to simply reduce their own social and environmental impacts. The systemic changes we need require companies to step up and use their political clout not for narrow self-interest, but to advocate for the policies that drive innovative solutions to our biggest challenges. This is the first book on this critical topic, and it brings together leading scholarly voices with accounts from the front lines by leading practitioners. This is essential reading for understanding the challenges companies will face in the decade ahead.’ Andrew Winston, Sustainability strategist and best-selling author of Net Positive and Green to Gold

‘Readable and insightful, the book presents numerous real-world examples and interesting empirical results. Recommended.’ J. Fitzpatrick, CHOICE

From the Publisher