International Journal of Business Law, Business Ethic, Business Communication & Green Economics (IJBGE)
Vol. 1 No. 3 (2024): September : International Journal of Business Law, Business Ethic, Busines Comu

Shifting Horizons: The Impact of Constituency Statutes on Managerial Decision-Making and Operational Investments

Tanti Sugiharti (STIE Kasih Bangsa)
Grace Yulianti (Management STIE Kasih Bangsa, Jakarta)
Mohammad Chaidir (Management STIE Kasih Bangsa, Jakarta)



Article Info

Publish Date
30 Sep 2024

Abstract

This qualitative literature review investigates the impact of constituency statutes on managerial decision-making and operational investments in corporate governance. As organizations increasingly adopt constituency statutes, a significant shift from traditional shareholder primacy to a stakeholder-oriented approach has emerged. This review synthesizes findings from various empirical studies, highlighting how constituency statutes facilitate a broader engagement with stakeholders, thus enhancing decision-making processes and promoting sustainable operational practices. The review identifies key themes, including the improved risk management capabilities, the fostering of transparency and collaboration, and the challenges of balancing diverse stakeholder interests. It underscores the importance of aligning organizational strategies with stakeholder expectations to ensure long-term value creation and corporate resilience. Despite the positive implications, the review also acknowledges limitations, including the variability of outcomes across different sectors and the potential complexities in stakeholder engagement. This study contributes to the understanding of how constituency statutes can reshape corporate governance frameworks, emphasizing the need for ongoing research to navigate the evolving landscape of managerial decision-making.

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Journal Info

Abbrev

IJBGE

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance

Description

International Journal of Business Law, Business Ethic, Business Communication & Green Economics (IJBGE) is a peer-reviewed international journal published by STIE Kasih Bangsa Institute of Research and Community Services/Lembaga Penelitian dan Pengabdian kepada Masyarakat. The journal serves as an ...