Abstract
In this conceptual paper I address the question of how business should approach issues of sustainability. I present a theoretical perspective marrying three elements: First, the realization that economic metrics alone are an inadequate basis for environmental choices. Second, I contend that management should adopt stakeholder theory which views the corporation as a vehicle to improve the welfare of all those affected by its actions. Finally, I contend that leaders holding stakeholder views are best served by the Aristotelian notion of practical wisdom – phronêsis. Phronêsis is a quality of character that applies well in the case of managerial attitudes to environmental concerns, since incorporating sustainability imperatives into corporate decision-making requires practical discernment and leadership in addition to technical skill. I will briefly illustrate my case by examining the values exhibited by Ray Anderson, CEO of the international carpet manufacturer, Interface.
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The author gratefully acknowledges the assistance of Ms. Elizabeth Lentini and Ms. Jennifer Fenton.
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Gibson, K. (2012). Stakeholder Management, Sustainability and Phronêsis . In: Prastacos, G., Wang, F., Soderquist, K. (eds) Leadership through the Classics. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-32445-1_16
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DOI: https://doi.org/10.1007/978-3-642-32445-1_16
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