Leading Socially Neglectful, Alienated Organizations

Abstract

This chapter demonstrates the importance of socially responsible executive leadership by modeling the absence of it. It builds on the new model of corporate social performance (CSP) in Chapter 3 to illustrate the downfalls of amoral executive decision making. More specifically, this chapter illustrates the organizational dynamics that are inevitable when the executive manager ignores, suppresses, or denies the role of values in decision making, a mind-set dubbed “normative myopia.”¹ This mind-set inevitably leads to socially neglectful organizations that cannot respond to the value-based expectations of the company’s stakeholders. As will be seen, the executive’s influence on corporate culture drives this outcome.