Is the Precautionary Principle Really Incoherent?

The Precautionary Principle has been an increasingly important principle in international treaties since the 1980s. Through varying formulations, it states that when an activity can lead to a catastrophe for human health or the environment, measures should be taken to prevent it even if the cause‐and‐effect relationship is not fully established scientifically. The Precautionary Principle has been critically discussed from many sides. This article concentrates on a theoretical argument by Peterson (2006) according to which the Precautionary Principle is incoherent with other desiderata of rational decision making, and thus cannot be used as a decision rule that selects an action among several ones. I claim here that Peterson's argument fails to establish the incoherence of the Precautionary Principle, by attacking three of its premises. I argue (i) that Peterson's treatment of uncertainties lacks generality, (ii) that his Archimedian condition is problematic for incommensurability reasons, and (iii) that his explication of the Precautionary Principle is not adequate. This leads me to conjecture that the Precautionary Principle can be envisaged as a coherent decision rule, again.     

Following the Herd or Not?: Patterns of Renewal in the Netherlands and the UK

How do large firms conduct their strategic renewal journeys in an increasingly turbulent environment? Are there generic industry patterns, or are these renewal journeys country- or firm-specific? To answer these questions, we examine the relative incidence of external versus internal and explorative versus exploitative renewal actions, and their speed, in leading Dutch and UK financial service companies using longitudinal data. The context, content and process dimensions of strategic renewal are distinguished, and research questions about these attributes are formulated and investigated using new metrics. Findings show that while exploration/exploitation ratios are fairly similar for firms across the entire industry, systematic differences are evident between the external/internal renewal ratios of Dutch and UK firms, and that speed of renewal is largely determined at the firm level. Thus we find that industry-, country- and firm-specific factors all influence journeys of strategic renewal in distinctive and complementary ways.     

Should You Buy Your Customer's Values? On the Transfer of Moral Values in Industrial Purchasing

This article discusses a transfer of moral values between purchasing and supplying organisation in the manufacturing sector. In the first part, the relevant literature is discussed to glean criteria, which could facilitate such a transfer. Given a scarcity of research into ethics in purchasing, the literature review is extended into related fields, such as total quality management, environmental purchasing in retailing and minority vendor programmes in the U.S. In the second part, the question is raised whether such a transfer can at all lay claim to being of moral value. The process is screened against established ethical theories, which are found to support it. Finally, the financial impact of such a policy on the supplier is considered. This revised version was published online in July 2006 with corrections to the Cover Date.     

Bending over Backwards? Using a Pluralistic Framework to Explore the Management of Flexible Working in the UK Police Service

Professional reduced-hours working is a form of flexible working that runs counter to the increasing trend of employer-led flexibility, and exemplifies the rise of the so-called 'idiosyncratic' employment deal. Although an emerging body of literature, there is evidence to suggest that despite the claim that professional reduced-hours working provides 'better' part-time employment than usually typifies this pattern, it actually confers considerable costs to both individuals and organizations. Some academics have called for a more strategic approach to the introduction and management of professional reduced-hours working, in order to combat these problems. Utilizing a pluralistic perspective on the employment relationship, I draw on data from research in three metropolitan UK police forces to argue that the needs of the part-time employee and the organization will be difficult to integrate. Showing how the negotiation context of the employment relationship has changed and resulted in a power shift from the manager to the part-timer, I argue that the best that can be achieved is a minimal integration of the needs of both parties, and draw out the theoretical and practical implications of this position.     

‘Management Standards’ work-related stress in the UK: practical development

Research commissioned for the UK's Health & Safety Executive (HSE) supports the view that a preventative, risk-assessment based approach would be more effective than case-based methods in achieving a nationwide reduction in work-related stress. The background to this approach is described and discussed in a companion paper in this issue (Mackay, Cousins, Kelly, Lee, & McCaig, ). The present paper describes the development of HSE's new stress Management Standards—which offer organizations continuous improvement through a three-phase stress preventative process—and the development of a supporting ‘Indicator Tool’ (a two-phase questionnaire to assess employee perceptions of working conditions). The Management Standards comprise a series of ‘states to be achieved’, which are statements of good practice in six key stressor areas: demands, control, support, relationships, role and organizational change. For each stressor area there is also a ‘platform statement’ that outlines the main aims to be achieved by the organization. This statement may include a target percentage of employees finding that the organization meets the standard: this matter will be settled after the standards have been assessed in a public consultation campaign. To use the new process, an organization's state can first be assessed using the Indicator Tool; liaising with workers in focus groups enables a further exploration of issues raised; finally, there may be formulation of interventions and subsequent review. It is not intended that the standards will be legally enforceable. HSE's aim is that they and the associated methodology will enable organizations to effectively tackle work-related stress, and subsequently reduce both its incidence and prevalence.     

Education,training and development policies and practices in medium-sized companies in the UK: do they really influence firm performance?

This paper sets out to examine the relationship between training and firm performance in middle-sized UK companies. It recognises that there is evidence that “high performance work practices” appear to be associated with better performance in large US companies, but argues that this relationship is less likely to be present in middle-sized companies. The paper's key contribution is to justify the wider concept of education, training and development (ETD) as applicable to such companies. It then finds that clusters of some ETD variables do appear to be associated with better middle-sized company performance.     

Effective Regulation and Support to Economic Growth: Are These Aims Mutually Exclusive in the Regulation of the UK’s Nuclear Industry?

This paper is a reflection on the UK governments’ latest regulatory intervention affecting all non-financial institutions, including the Office of Nuclear Regulation (ONR). The intervention forms part of the government’s response to the economic downturn experienced in the UK and requires regulators to take into account not only their responsibilities for maintaining safety, but also the impact of their actions on economic growth. While this may be a valid proposition for some organisations, the paper suggests that the unique characteristics of the nuclear industry should exempt its regulator from these government provisions. The paper identifies existing and historic regulatory and governance weaknesses that would suggest regulatory intervention should be reviewed but not from a need to enhance economic growth. Rather a need exists to redesign the regulatory process so that the industry’s hazards and risks arising are mitigated. An inherent conflict of interest is also identified that compounds historic governance problems where publicly-funded, government-appointed regulators attempt to regulate publicly-funded, government-appointed third-party organisations. While in neoliberal terms this may not be seen as an issue, I examine notable, generic, regulatory incidents where managerial and regulatory action failed to resolve resource allocation issues between the need to improve levels of economic growth or safety.     

How Innovative are UK Firms? Evidence from the Fourth UK Community Innovation Survey on Synergies between Technological and Organizational Innovations

Using data from the Fourth UK Community Innovation Survey this paper explores the diffusion of a range of innovative activities (encompassing process, product, machinery, marketing, organization, management and strategic innovations) across 16,383 British companies in 2004. Building upon a simple theoretical model it is shown that the use of each innovation is correlated with the use of all other innovations. It is shown that the range of innovations can be summarized by two multi‐innovation factors, labelled here ‘organizational’ and ‘technological’, that are complements but not substitutes for each other. Three clusters of firms are identified where intensity of use of the two sets of innovations is below average (56.9% of the sample); intermediate but above average (23.7%); and highly above average (19.4%). Distinctive characteristics are found to be common to the companies in each cluster. Finally, it is shown that innovativeness tends to persist over time.     

Employee-of-the-Month Programs: Do They Really Work?

This article investigates Employee-of-the-Month as a technique for sustaining improved performance on a data entry task in two experiments. In both experiments, participants competed as members of a fabricated team for a “Check Processor of the Week” incentive. The first experiment assessed the impact of receiving this incentive. In the second experiment, the incentive was enhanced to include a $50 bonus for the winner. Participants always placed between 2nd and 5th place in order to assess the impact of being an unrewarded runner-up. Overall, results suggest that Employee-of-the-Month programs do not sustain improved performance and may even have detrimental effects.     

Work-related stress in the UK: a new, ‘Management Standards’ approach

Abstract

Workplace victimization has recently emerged as an important topic in occupational health psychology. One of the major limitations of this research is that it generally employs cross-sectional designs. The current study, however, used a 13-month two-wave prospective design to examine the relationship between target personality and workplace interpersonal conflict in a sample of 166 non-faculty employees at a Midwestern university in the United States. Results suggested that victims' positive affectivity, negative affectivity, and core self-evaluations were associated with interpersonal conflict. Furthermore, employee personality was related to subsequent interpersonal conflict from supervisors even after initial levels of interpersonal conflict were controlled. Analyses further suggested that target negative affectivity might be an especially strong predictor of interpersonal conflict. Consistent with past theorizing, we found evidence that initial interpersonal conflict with co-workers can result in subsequent interpersonal conflict with supervisors. We conclude with a discussion of the practical and theoretical implications of our findings.     

Triaging overflow: A case study of the ‘Gateway Assessment’ in the UK Citizens Advice Service

This article explores the impact upon the work of the UK Citizens Advice Service of the ‘Gateway Assessment’ system, a ‘triage device’ rolled out across Citizens Advice Bureaux in England and Wales from 2007 onwards designed to deal with an overflow of client needs.The paper addresses the history of ‘triage’ as a method for dealing with an excess of problematic bodies, before describing how a demonstrable need for systems to organise an overflow of advice needs within Citizens Advice Bureaux led to the emergence of triage as a ‘technique of government’ that would re-shape the advice process. Yet, as an attempt to regulate ‘from above’ the front-line of the Citizens Advice service, it met forms of resistance as existing practices of advice work and local situations fell into conflict with the inflexibility of the Gateway Assessment Process. The paper describes how implementation of the Gateway Assessment involved acts of compliance and acts of resistance, followed by a jostling between actors and a reshaping of the spaces of regulation, resulting in the ‘Gateway Plus’ model in which triage can slip into advice where necessary. We argue that this process displayed a conflict between a framing of overflow as an excess of countable bodies and one of problem-bearing subjects, the latter being derived from the relational and voluntary practice of advice.     

Do Shareholders Really Prefer Their Executives to Maximize the Equity Value? A Newsvendor Case*

In this article, we study how the operational decisions of a firm manager depend on her own incentives, the capital structure, and financial decisions in the context of the newsvendor framework. We establish a relationship between the firm’s cost of raising funds and the riskiness of the inventory decisions of the manager. We consider four types of managers, namely, profit, equity, firm value, and profit‐equity maximizers, and initially assume that they may raise funds to increase the inventory level only by issuing debt. We show that the shareholders are indifferent between the different types of managers when the coefficient of variation (CV) of demand is low. However, this is not the case when the CV of demand is high. Based on the demand and the firm’s specific characteristics such as profitability, leverage, and bankruptcy costs, the shareholders might be better off with the manager whose compensation package is tied to the firm value as opposed to the equity value. We, then, extend our model by allowing the manager to raise the required funds by issuing both debt and equity. For this case we focus on the equity and firm value maximizer managers and show that our earlier results (for the debt only case) still hold subject to the cost of issuing equity. However the benefit of the firm value maximizer manager over the equity maximizer manager for shareholders is considerably less in this case compared to the case where the manager can only issue debt. The Board of Directors can take these factors into consideration when establishing/modifying the right incentive package for the managers. We also incorporate the notion of the asymmetric information to capture its impact on the board of directors’ decision about the managers’ incentive package.     

‘Management Standards’ and work-related stress in the UK: policy background and science

In the late 1990s, the Health and Safety Commission, as the lead authority in the UK responsible for Health and Safety at Work, conducted an extensive consultation exercise to elicit views about how work-related stress should be tackled. The Commission subsequently decided that regulation was not justified and opted for an approach with four strands. One of these was to work with stakeholders to develop clear, agreed standards of good management practice. This paper describes and discusses the rationale behind a standards-based approach that is essentially based on a method of controlling hazards. The Management Standards approach uses a taxonomy of six stressors that has evolved out of extensive research carried out on behalf of the UK's Health and Safety Executive (HSE) and in conjunction with stakeholders, and a three-phase risk assessment methodology. Further developmental work on the standards (which are to be subjected to public consultation) and associated measurement tools is described in a companion paper in this issue of Work & Stress (Cousins, Mackay, Clarke, Kelly, Kelly, & McCaig, ). The emphasis is on prevention towards reducing stress in the UK working population. We review current thinking on models of work stress, consider evidence linking workplace psychosocial factors and various health and organizational outcomes, and examine the effectiveness of organizational interventions. We argue that the literature supports an approach that aims to move organizational states (represented by the current situation) to more desirable ones (represented by the six Management Standards), and that this is an effective ‘population’ based approach to tackling workplace stress and promoting individual and organizational health.     

Does the Public Sector Lead the Wage Evolution in the French Economy?

Has the wage policy of the State in the French public sector (government services and State owned enterprises) had a leading effect on wages in the private sector up until the early 1980s? This paper firstly aims at verifying the existence and analysing the causes of this leading effect. The second aim is to estimate the scope of the changes which took place from the early 1980s. It shows that the wage policy of the State did influence disinflation in the 1980s and early 1990s. Indeed, it not only slowed down the growth of wages in the public sector but, by this means, it also influenced indireclty the growth of wages in the private sector.