Corporate sustainability performance measurement based on a new multicriteria sorting method

Füsun Küçükbay · Ebru Surucu-Balci

50 citations0/0 files storedCorporate Social Responsibility and Environmental Management

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Multi-Criteria Decision Making Corporate Social Responsibility Reporting Sustainability and Innovation in Business

Abstract

Abstract The concept of sustainability deals with protecting and sustaining society and environment for future generations while trying to meet the maximization of market capitalization objective. Despite the increased awareness of corporate sustainability, questions remain on how to measure performance. The objective of this paper is to propose a new measurement method, which is Multimoora Sort, for corporate sustainability performance and make an empirical case with the 25 companies listed in Fortune 500 USA. We chose four economic subcriteria, two environmental subcriteria, and four social subcriteria for the methodology. The results of the study show that the proposed methodology is a practical and efficient decision method. The most important contribution of the study to the literature is to present a new evaluation method in the measurement of sustainability performance as well as the results of the empirical case are supported by the resource dependency theory, institutional theory, and stakeholder theory.

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References

1991Firm Resources and Sustained Competitive Advantage 1983The Iron Cage Revisited: Institutional Isomorphism and Collective Rationality in Organizational Fields 1984A resource‐based view of the firm 1995Toward a New Conception of the Environment-Competitiveness Relationship 1993The cornerstones of competitive advantage: A resource‐based view 1979A Three-Dimensional Conceptual Model of Corporate Performance 1991The Resource-Based Theory of Competitive Advantage: Implications for Strategy Formulation 1999Cannibals with forks: the triple bottom line of 21st century business

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