Order without law? the role of certified management standards in shaping socially desired firm behaviors

Abstract

Certified management standards (CMS), like norms, rely on decentralized enforcement processes to guide firm behaviors. I analyze how two elements of CMS—codification and certification—enable this institution to shape firm behaviors in settings where norms are ineffective. I further theorize that these same two elements limit the effectiveness of CMS by weakening enforcement processes. I contribute to institutional theory by identifying possibilities and limitations for normlike institutions to function beyond established boundary conditions.

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