Philosophy_of_Management_and_Sustainability_Rethin_._-_Chapter_2_Sustainability_and_Business_Ethics_in_a_Global_Society.pdf

Chapter 2 Sustainability and Business Ethics in a Global Society...

Chapter 2 Sustainability and Business Ethics in a Global Society In this chapter, I will present the outline of a comprehensive theory of respon- sibility, ethics, and legitimacy of corporations in the context of sustainability a globalized society (De George, 1999; Rendtorff, 2009, 2018).1 This approach to sustainability and business ethics is based on an ethical liberalism or a “com- munitarian Kantianism,” inspired of the philosophy of Paul Ricœur, including the four ethical principles of protection of the human person: autonomy, dignity, integrity, and vulnerability (Rendtorff & Kemp, 2000). This normative theory of business ethics approaches ethics at different levels of society, individuals, organi- zations, and market institutions. Business ethics and corporate social responsibil- ity (CSR) should not only be applied at the level of human personal choices. It is indeed necessary to construct common values and concepts of responsibility for business organizations and institutions in order to justify the old saying that “good ethics is good business” as a reaction to the opportunistic challenge of economic theories of individualist utility maximization (Rendtorff 2005a, b). 1. Methodology of Sustainability and Business Ethics This concept of sustainable business ethics adopts the methodology of busi- ness ethics as “critical hermeneutics” combined with an interdisciplinary insti- tutionalist approach to economics and social sciences (Rendtorff, 2009). Critical hermeneutics mediates between structural and intentionalist explanations of cau- salities of actions in institutional theory (Ulrich, 2008). However, it is important Copyright © 2019. Emerald Publishing Limited. All rights reserved. to go beyond mere institutional analysis and proposing a normative perspective of applied ethics and analysis of ethical argument as basis for my approach to business ethics. Ethics has been defined as a normative study about what norms should guide decision-making and CSR in business and economics (Sen, 1987; Solomon, 1997). The normative theory simultaneously works at the micro- and 1 Previous versions and preparatory works for this chapter include Rendtorff (2005a, 2009, 2012a). Philosophy of Management and Sustainability: Rethinking Business Ethics and Social Responsibility in Sustainable Development, 19–28 Copyright © 2019 by Emerald Publishing Limited All rights of reproduction in any form reserved doi:10.1108/978-1-78973-453-920191002 Rendtorff, J. D. (2019). Philosophy of management and sustainability : Rethinking business ethics and social responsibility in sustainable development. Emerald Publishing Limited. Created from nwssuph on 2024-08-14 02:23:35.  20 Philosophy of Management and Sustainability macro-levels of organizational behavior, business systems, and market structures and influences the political economy of different societies or states. Business eth- ics includes a critical evaluation of formulations of guidelines and codes of con- duct for companies at national and international markets. This broad approach to sustainable business ethics also implies a critical evaluation of neoclassical economics of efficiency and utility and it leads to a broader interdisciplinary, institutional, and historical perspective on the norms and values of corporations. The argument is theoretical in nature, but it would also be necessary to follow up with work on plenty of empirical material, which can be used for case-oriented, qualitative illustrations of the theoretical argu- ment. The approach to this textual material is – according to the method of critical hermeneutics – based on literature review and interpretation rather than quantitative analysis of surveys of dominant values of major actors (Rendtorff, 2009). Although it recognizes the explanatory potential of this tradition, critical her- meneutics does not think that descriptive positivist economics is sufficient. We need discussion about goals and values, and business ethics emerges as a kind of normative economics to accomplish the insights of business economics. Business ethics therefore agrees in considering normative economics a science of conversa- tion based on theoretical arguments about ethical principles, values, and good business practice. Accordingly, a vision of sustainable business should adopt the concept of “integrative business ethics” in order to mediate among ethics, political, and eco- nomic rationality (Ulrich, 2008). This integrative approach can be considered as the application of “communitarian Kantianism” and critical hermeneutics as the basis for ethical reflection on the foundations of economics as a truly value- creating science. In this perspective, business ethics integrates the rationalities of law, economics, and politics in order to promote sustainability and the good life of humanity. Integrative business ethics is not only about external limitations on business activity, but it also implies internal guidance for economic value- creation. It implies not only a deontology of correct business rules but also an argument for the morality of just institutions of free economic markets (Powell & Copyright © 2019. Emerald Publishing Limited. All rights reserved. DiMaggio, 1991). Thus integrative business ethics aims at formulating principles for CSR of the good citizen corporation. Business ethics is defined as a critical practical rationality integrating ethics in the disciplines of economics and the social sciences. Such a discussion of the relation of economics and ethics in the perspective of critical hermeneutics aims at a justification of the rationality of ethical lead- ership in business institutions (Paine, 1994a, b, 1997, 2003). We can perceive the emergence of a close link between ethics and economics as new strategy for CSR and moral management. However, there remains a tension between ethics and economics (Sen, 1987). Therefore, we need external political and legal constraints on economic markets. Ethics is the foundation of economic action. At the same time, we should admit that there is an ethical dimension within economic notions of utility and efficiency, which should be taken into account when dealing with the ethics of economic markets. Therefore, there may be an economic dimension Rendtorff, J. D. (2019). Philosophy of management and sustainability : Rethinking business ethics and social responsibility in sustainable development. Emerald Publishing Limited. Created from nwssuph on 2024-08-14 02:23:35.  Sustainability and Business Ethics 21 to ethics and ethics and economics are in a “dialectical relation” where they mutu- ally shape one another. In the light of economic anthropology this implies a critical examination of the concept of “homo economicus” of egoistic utility maximizing individuals in traditional economic theory (Lütz & Lux, 1979; Sen, 1987). Economic anthro- pology should rather be considered in the perspective of ethical liberalism where individuals interact in complex networks of reciprocity in social community. Accordingly, economic action is based on the vision of the “good life in com- munity for and with the other person in just institutions” (Ricœur, 1990). This vision is evaluated in the Kantian perspective of universal rules of the categorical imperative (Bowie, 1999; Rendtorff, 2018a). Utilitarian welfare analysis is only possible in the perspective of this framework of “communitarian Kantianism.” It is the task of Kantian determinate and reflective judgment as the bridge between micro- and macro-economic rationality to make the convenient application of ethical theories and principles to concrete situations of choice and decision- making in business organizations. This is the basis for our concept of the rationality of what we can call “moral management” or “ethical leadership” in the perspective of “Cosmopolitan busi- ness ethics” (Rendtorff, 2018a). Therefore, business ethics is not only about internal market behavior but also about finding external principles of political governance to regulate economic markets. Accordingly, I would propose to adopt John Rawls’ concept of political justice as the ultimate horizon of business ethics (Rawls, 1971). 2. The Values of Business Corporations Based on these principles of critical hermeneutics, integrative business ethics, and communitarian Kantianism, we can begin an analysis of the need for business ethics and CSR with regard to globalization in post-industrial society. Moral management can be considered as important in order to formulate univer- sal norms for different cultures and to cope with economic and social changes and developments in international markets because of increased globalization Copyright © 2019. Emerald Publishing Limited. All rights reserved. (Donaldson & Dunfee, 1999). In the age of global capitalism, companies have increased power and responsibility to contribute to social values and sustain- able development. Emergence of global publics and media awareness represent a challenge to companies to deal responsibly with issues of human rights and the environment. From the institutional perspective, the result of these social expec- tations to corporations has been the emergence of norms of a global civil society with its own laws and norms (Dienhart, 2000). Development of codes of conduct and policies of moral management represents the contribution of corporations to establishment of these norms of civil society to reinforce the social foundations of economic interactions (Driscoll & Hoffman, 2000). In order to conceive the function of moral management or ethical leadership we can propose to look more closely the concept of value and its role in business ethics. An ethical vision of values and moral management is necessary. This dis- cussion of values, organizations, and management can be related to the problem Rendtorff, J. D. (2019). Philosophy of management and sustainability : Rethinking business ethics and social responsibility in sustainable development. Emerald Publishing Limited. Created from nwssuph on 2024-08-14 02:23:35.  22 Philosophy of Management and Sustainability of how to define the meaning, function, and goal of values in organizations. There are many different values in organizational life and it is the role of business ethics to clarify the relation between these different values in the institutional perspective (Dienhart, 2000). As the basis for individual action institutions reflect values in their culture and decision-making structure. The values of economizing, power-aggrandizing, and ecologizing have been proposed as the original values of the corporation (Frederick, 1995). This debate about values in organizations implies discussions of the relation between economic, legal, social, and ethical values. The question is how these values should be realized in moral management and business ethics. We need a reflective view of morality trying to overcome the danger of management ideology and conceive ethics as the integrating force of business life (Lipovetsky, 1991). Moral management is about the good life in organizations based on universal norms of responsibility seeking to find the right balance between individuals and organizations and indeed between corporations, society, and political democracy. Based on this preliminary definition of values in corporations it is possible to formulate the theoretical basis for business ethics and moral management. Here, it is possible to defend an integrative approach to these theories, combin- ing elements of stakeholder theory, communitarian moral management, and Kantian business ethics in a republican theory of business ethics based on the democratic ideal of the “good citizen corporation” (Crane & Matten, 2015). Arguing for an integration of different theories of business ethics as major steps toward the concept of the good citizen corporations we are able to present a progressive structuring of the major concepts of the corporation within busi- ness ethics. The movement from rational choice theory over stakeholder theory, communitarianism, Kantian universalism, and integrated contract theory to the republican (or cosmopolitan) theory of business ethics may be viewed as steps toward a comprehensive concept of business ethics as the basis for good cor- porate citizenship in modern complex societies (Rendtorff, 2018a). This social responsibility and responsiveness is in the forefront of the license to operate of the firm (Frederick, 1994). Responding to expectations of different stake- holders, the good citizen corporations is involved in public reasoning and Copyright © 2019. Emerald Publishing Limited. All rights reserved. deliberative public communication (Ulrich, 2008). Republican business eth- ics or ethical liberalism between communitarianism and Kantian universalism aims at making democratic values the core of moral management of responsible corporations. 3. Application in the Different Fields of Sustainability and Business Ethics After these foundational reflections, we can propose an application of this theory of corporate citizenship in the different fields of business ethics (Rendtorff, 2009, 2018). In the framework of the concept of sustainable business ethics, we can rethink the concepts of CSR and sustainable development as based on the tri- ple bottom line can be promoted as a framework for justice and basic ethical principles (Elkington, 1999; Rendtorff, 2009, 2018). CSR, business ethics, moral Rendtorff, J. D. (2019). Philosophy of management and sustainability : Rethinking business ethics and social responsibility in sustainable development. Emerald Publishing Limited. Created from nwssuph on 2024-08-14 02:23:35.  Sustainability and Business Ethics 23 management, and social and ethical accounting are based on policies of leader- ship that include different stakeholders (Caroll, 1979). Accordingly, CSR cannot be reduced to strategic profit-making and some- thing external to the core of the ideal of the corporation, as suggested by Fried- man (Friedman, 1970). Rather it is central to good business to be focused on ethics and sustainability. This framework can be applied in relation to internal and external constituen- cies of the firm. Internal constituencies include owners, investors, management, and employees. Among external constituencies we have to look at relations to other businesses, consumers, marketing, public relations, and to local commu- nity. Moreover, in the perspective of sustainable development and concern for a triple bottom line of economic, social, and environmental responsibility I think the relations of the firm to the environment viewed as a stakeholder should be included into the ethics of the firm. Concepts of CSR, stakeholder justice, and sustainable development can be seen as a practical application of the concept of the good citizen corporation in business ethics. The idea of “justice as fairness” is an appropriate framework for inclusion of stakeholders in corporate decision-making (Philips, 2003). Basic ethical princi- ples of autonomy, dignity, integrity, and vulnerability are important expressions of the concept of justice as fairness (Rendtorff, 2009). These basic ethical principles can be directed toward protection of human persons in organizational structures. Therefore it is considered important to move from CSR to corporate social respon- siveness (Frederick, 1994; Rendtorff, 2018a). Corporate social responsiveness lays emphasis on the company’s practical contribution to social management rather on its capacity to talk about it (Carroll, 1979). This is not only about government initiative to make incentives for social responsibility, but also proposals for cor- porations to make concrete contributions to social betterment. Business ethics is not only about ideal theory but must be realized in concrete practice and make a difference for good management strategy. Analyzing relations to internal constituencies of the corporation we can per- ceive how ethical values are mixed with the original values of economizing, power- aggrandizing, and ecologizing (Frederick, 1994; Rendtorff, 2018a). In addition to Copyright © 2019. Emerald Publishing Limited. All rights reserved. the perspective of the ethical principles, relations to internal constituencies were investigated in the light of the tension between economic rationality and ethical rationality. The relation to internal stakeholders can also be viewed in relation to the theory of the firm in business economics. Moreover, issues of corporate governance between shareholders and stakeholders, ownership, and the ethics of finance, socially responsible investments and the ethics of the workplace can be analyzed in the perspective of CSR, sustainability, justice as fairness, and ethical principles for protection of the human person. In particular, the need for respect of the dignity and integrity of the human person in the workplace, for example by promoting workplace democracy and participatory rights has to be promoted. Concerning the business ethics of external constituencies, we can emphasize the importance of social responsiveness and application of ethical principles to the ethics of not only consumer and customers but indeed more generally to the ethics of public relations to governments, local community, and to the building Rendtorff, J. D. (2019). Philosophy of management and sustainability : Rethinking business ethics and social responsibility in sustainable development. Emerald Publishing Limited. Created from nwssuph on 2024-08-14 02:23:35.  24 Philosophy of Management and Sustainability of norms and trust relations to civil society. Indeed, the efforts of developing new proposals for accounting ethics and triple bottom-line reporting are important for establishing such relations. Accounting ethics is an instrument to improve trans- parency and trust, but it is also an instrument to create knowledge and reflective self-perception of the firm. Such multilevel measurement of the performance of the firm can also be developed in the strategies of moral management of the firm implying repeated dialogue with different stakeholders of the firm. There are many important international initiatives in order to improve accounting ethics, but there is also still much to be done in order to develop general international standards. Environmental issues related to the question of sustainable development are indeed very important applications of a sustainability theory of values, stake- holder management, and ethical principles. Here, it is possible to argue that CSR and moral management also include the environment as stakeholder (Rendtorff, 2009, 2018; Rendtorff & Kemp, 2000). In the framework of responsibility and sustainability, the ethical principles of protection of dignity, integrity, and vulner- ability emerge as central values for environmental business ethics. From the point of view of environmental ethics, CSR is about how organizations relate ethically to animals and nature. Environmental ethics has an institutional dimension in so far it deals with the relation between organizations and nature searching for means to integrate bioethics, environmental ethics, and business ethics. In this context, we can propose basic ethical principles for interpreting the concept of sustainable development in the perspective of triple bottom-line management. Environmental ethics of organizations should not be conceived uniquely in the light of utility and enlightened self-interest, but rather include ethical sustain- ability accounts of the intrinsic value of nature and animals. In order to cope efficiently with the quest for environmental ethics development of compliance programs for environmental protection is an important way to increase corpo- rate responsibility for protection of the environment. The symbolic nature of criminal law can help to increase the efficiency of such a requirement of compli- ance with high environmental standards. 4. International Legal Developments of Business Ethics and Copyright © 2019. Emerald Publishing Limited. All rights reserved. CSR We can perceive different legal developments in the United States, Europe, and in the international community that document this normative framework for the role of corporations in society. They express the difference between the dif- ferent approaches to moral management and CSR in different countries. In the United States, the legal system has been used extensively to create a strong legal framework for promotion of ethics and compliance programs. In 1991 the United States Federal Sentencing Guidelines for Organizations (FSGO) were enacted by Congress. FSGO represent a strong combination of “stick and carrot” measures to motivate and enforce corporations in establishing compliance and ethics pro- grams (Rafalko, 1994). The FSGO were decisive in creating more focus on cor- porate ethics and organizational integrity. This development was continued with recent Sarbanes-Oxley legislation on corporate governance, transparency, and Rendtorff, J. D. (2019). Philosophy of management and sustainability : Rethinking business ethics and social responsibility in sustainable development. Emerald Publishing Limited. Created from nwssuph on 2024-08-14 02:23:35.  Sustainability and Business Ethics 25 accountability after the scandals of Enron and World Com. This legislation has increased corporate awareness and focus on ethical behavior of employees. Such compliance and ethics programs represent a new development of corporate law considering regulation as dialogue and self-regulation rather than strict enforce- ment of state power. Moreover, FSGO may be considered as a reinforcement of the legal subjectivity of corporations (Rafalko, 1994). Legal regulation is more aware of the corporation as a collective unit and a from individual actors inde- pendent entity with its own moral and legal responsibility. European initiatives with regard to moral management and CSR have been promoted from the document Promoting a European Framework for CSR Green Paper from 2002 (European Commission, 2001a,b). This document was followed be a communication about CSR from the European commission and the establishment of the European Stakeholder Forum. The ideas of “vol- untary self-­regulation” and stakeholder dialogue lie in the center of legislative approach of the European commission. The legislative framework of the Euro- pean approach is much weaker than the guidelines that have been implemented in the United States. The emergent European paradigm of CSR focuses on devel- oping a new morality of ethical virtue rather than direct legal enforcement. As such the approach of the European Union tries to reflect the traditions of CSR and engagement in local community, which is central to the business tradition of European societies (Lipovetsky, 1991). There is an effort to develop a culture of virtue where ethics is an integrated part of business economics and management. In order to avoid criticism as an instrumental tool we can say that basic ethical principles are integrated in CSR as in element of post-conventional virtue moral- ity in European social economies. We can consider this process of creating norms and legal rules of CSR in United States and Europe as a part of an effort of establishing global and inter- national norms and guidelines of business ethics (Enderle, 1999). In order to suc- ceed it is important that these norms are extended to be valid all over the global market. Liberalization of international economics and business requires greater ethical responsibility among corporate actors in international relations. We can perceive the institutionalization of international regimes of business ethics based Copyright © 2019. Emerald Publishing Limited. All rights reserved. on universal rules and human rights as a moral minimum while leaving some space for differences in substantial norms of local cultures as long these norms do not conflict with universal standards. As normative basis for international business conduct, communitarian Kan- tianism contributes to establishment of such international regimes of good norms for moral management and multinational business practice. We are mov- ing toward the creation of a cosmopolitan view of business ethics considering the firm as a world citizen in cosmopolitan society. Many international organizations and corporations have contributed to the establishment of such an international regime of business ethics. We can mention OECD, World Economic Forum, and the UN Global Compact principles, the work of the UN human rights commis- sion on CSR and human rights (Rendtorff, 2009, 2018). In particular we can consider the Caux Round-table principles (founded on a universal concept of human dignity) as an important effort to promote Rendtorff, J. D. (2019). Philosophy of management and sustainability : Rethinking business ethics and social responsibility in sustainable development. Emerald Publishing Limited. Created from nwssuph on 2024-08-14 02:23:35.  26 Philosophy of Management and Sustainability self-imposed norms of high integrity of powerful multinational corporations in international guidelines for business ethics that are mediating and bridging between east and west (Rendtorff, 2009, 2018). 5. Integrity, Trust, Accountability, and Legitimacy What is the foundation of the morality of the corporation? This issue concerns the ethical and legal foundations of the idea of CSR considered in the framework of an institutional concept of corporate identity and personhood (French, 1984; Laufer, 1996). In this context, we can argue that a collectivist and constructivist concept of corporate identity is a useful foundation of the organizational integ- rity of the good citizen corporation (or the corporation as a world citizen). At the institutional level organizational integrity can be considered as a result of efforts to establish successful strategies of moral management (Paine, 1994a, b). This is also the basis for trust and accountability of corporations and it makes it possible to formulate an institutional and communicative concept of social legitimacy of corporations. Accordingly, we can argue for an evolvement of the idea of CSR on the basis of recent developments in the ethics and law of moral management (Rendtorff, 2018a). We can analyze the conception of CSR in the current economy on the basis of an institutional theory of organizations in society (Mitchel, Agle, & Wood, 1997). The problem is what conception of the firm and corporate inten- tionality that is implied in recent developments of CSR. I would like to propose a dialectical concept of corporate intentionality finding a way to overcome the oppositions between the collectivist and the nominalist view on CSR. This position can be considered as an institutional concept of CSR, which constitutes the theoretical foundation of the concept of corporate citizenship (Rendtorff, 2009, 2018). This view on CSR represents a criticism of a concept of responsibility where it is not possible to ascribe any institutional ethical responsi- bility to corporations. Such a concept of institutional responsibility can be con- sidered as an expression of the legal concept of “due diligence” being present through compliance and ethics programs of the organization where the organiza- Copyright © 2019. Emerald Publishing Limited. All rights reserved. tion expresses its good intention and standards of integrity. Accordingly, we can put forward the notion of organizational integrity on the basis of the ideas of moral management and CSR. This can be conceptualized as the foundation of good corporate citizenship. The notion of integrity implies the idea of a virtuous and responsible organization (Paine, 2002). There is a close connection between individual and organizational integrity. Integrity strategies should be distinguished from compliance strategies because they deal with values and ethics rather than rules and regulations (Paine, 1994a, b). In organizations, there should be formulated strategies for implementation of organizational val- ues program according to specific values, histories, and contexts of specific firms. Moreover, integrity expresses organizational commitment to justice and fairness with regard to different stakeholders. Indeed, there is also close link between lead- ership, ethical judgment, triple bottom-line management, and the evolvement of organizational integrity (Paine, 1994a, b). Establishment of organizational integrity Rendtorff, J. D. (2019). Philosophy of management and sustainability : Rethinking business ethics and social responsibility in sustainable development. Emerald Publishing Limited. Created from nwssuph on 2024-08-14 02:23:35.  Sustainability and Business Ethics 27 and managerial judgment contributes to formulate a framework for coping with organizational dilemmas in daily practice of leadership. Organizational integrity in judgment is aiming at the ideals of openness, honesty, wholeness, and thought- fulness (Rendtorff, 2018a). We may say that programs of moral management are useful tools in order to promote a culture of integrity, accountability, and trust in organizations (Bidault, Gomez, & Marion, 1997). I think that genuine trust relations should be consid- ered as important results of moral management and ethics in organizational culture. Due to globalization and greater public awareness, there has been estab- lished a stronger link between accountability, trust, and social expectations of corporations. The need to build trustworthy business practices includes manage- ment of problems of corporate governance, accountability, and transparency as a deep crisis of public trust and social acceptance of corporations. Therefore, it is necessary to discuss the significance of trust in order to restore corporate image, develop good corporate governance, and to get social acceptance of business in democratic society. I think that trust should not only be considered as an instru- ment of economic action, but also seen as an important social glue and informal lubricant of business organizations. To consider business practices as based on ethical values moves trust in the center of CSR as the background for accountability and integrity of corporations. This is due to the fact that generalized mistrust and opportunistic behavior con- stitutes the limits of fair business practice and cannot be considered as the basis for internal unity and external legitimacy of business corporations (Boatright, 2003). Therefore, I would like to defend an ethical definition of trust considering that what is trustworthy is based on the accountability and responsibility of the firm. I think that to trust someone implies means to hold that person or organiza- tion accountable over time believing that they will perform actions of integrity and honesty. Moreover, trust is developed out of mutual expectations and prom- ises for reciprocity and collaboration in the future. Thus, there is a close connec- tion between integrity and the accountability of transparent business institutions. The ideas of responsibility, integrity, accountability, and trust can be promoted as constituting elements in a theory of the legitimacy of corporations in modern Copyright © 2019. Emerald Publishing Limited. All rights reserved. society. Legitimacy in global society is an important element of the requirements for the good citizen corporation (Rendtorff, 2018a; Suchman, 1995 ). The quest for legitimacy is about not only the economic efficiency of transaction costs, but also the proposed theory of communitarian Kantianism or ethical liberalism based on the four ethical principles of autonomy, dignity, integrity, and vulnerability constitutes an effort to formulate the basis for social and political legitimacy of corporations in democratic societies (Rendtorff, 2009, 2018). The good citizen corporation uses these political ideas as the basis for a theory of rationality of corporations at economic markets in complex societies. We can analyze the impact of different views of the firm and economic life in different theories of management and economics in the twentieth century. The views of legitimacy in some of the most influential theories of economics and management can be used in order to promote an institutionalist and stake- holder-oriented view on corporate legitimacy (Freeman, 1984), which is based on Rendtorff, J. D. (2019). Philosophy of management and sustainability : Rethinking business ethics and social responsibility in sustainable development. Emerald Publishing Limited. Created from nwssuph on 2024-08-14 02:23:35.  28 Philosophy of Management and Sustainability the idea of the good citizen corporation. In the perspective of communitarian Kantianism the idea of communicative rationality and stakeholder dialogue is viewed as the normative basis of the concept of good corporate citizenship. These ideas makes us escape the “Weberian iron cage” of instrumental ration- ality opening for market regimes based on “integrative business ethics” with a broader social basis. Legitimacy is founded on the social community and the human lifeworld based on views on justice as fairness, protection of rights, and the promotion of the common good for society. Thus, according to this alterna- tive view of the legitimacy of business in society, responsibility, integrity, and accountability emerges out of the idea of republican (or cosmopolitan) business ethics where the license of operate and good business of the firm is to be a good servant of society. How do we move from CSR and business ethics towards sustainability and UN sustainable development goals (SDGs) in business? With the SDGs we see an important turn and development of CSR and business ethics. The SDGs con- stitute a common language for business combining sustainability and CSR. After having developed a strong framework for CSR and business ethics many business corporations include the SDGs in the strategic implementation of CSR and ethi- cal values in business. Here, the SDGs can be seen as a new language of business ethics and CSR, where sustainability and responsible management concepts are formulated in a general language of understanding, communication and imple- mentation of sustainability in business culture, management and leadership as well as measurement of the performance of ethics and responsibility of the business organization. In order to integrate sustainability with business ethics and CSR management, it is important to integrate sustainability concerns in leadership and management at all levels of the company. This concern for sustainability should be more than a nice vocabulary or an illusionary language of branding or sustain- ability washing. SDG management combined with CSR and business ethics gives a new purpose of the firm where CSR and business ethics integrate into a new reality of the organizational culture, leadership and management of the SDGs. In this context of SDGs management concepts of strategic CSR and business ethics can be included to define the creation of shared value of the SDGs. With Copyright © 2019. Emerald Publishing Limited. All rights reserved. focus on sustainability companies are entitled to create value for sustainability, business and society as an integrated part of their strategy. In order to understand this value creation, it is important to consider the SDGs as a new language of global responsibility to which businesses are committed. The SDGs extend the considerations of the importance of the triple bottom-line for business to general framework of strategic concern for people, planet and profit with focus on important contemporary concerns like mitigating climate change and protecting human rights. In this context, we can see the SDGs as a contribution to a new formulation of aim and purposes of corporate governance and corporate citizenship in global society. With the SDGs the United Nations provides businesses with a value framework to be forerunners for creating shared value for business and society. As good corporate citizens following the framework provided by the SDGs in the formulation of their values and visions of CSR and business ethics businesses are contributing to the important global transition towards a sustainable future. Rendtorff, J. D. (2019). Philosophy of management and sustainability : Rethinking business ethics and social responsibility in sustainable development. Emerald Publishing Limited. 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