Stakeholder Theory

A new paper by Ed Freeman, Yael Grushka-Cockayne and Prem Menghwar outlines the six principles of Stakeholder Theory that can guide projects toward creating value for all stakeholders, including marginalized stakeholders.

Writing for Fortune, R. Edward Freeman, professor at the University of Virginia’s Darden School of Business, says we are approaching a pivotal moment for stakeholder capitalism. As several leaders who have championed a more inclusive, stakeholder-driven approach to business near retirement, who will carry this torch forward?

Is power inherently bad? Why do social class disparities emerge in organizations, and how can those organizations mitigate inequality — do they change hearts and minds or internal structure? Darden Professors Ed Freeman and Peter Belmi discuss power, leadership and inequality on The Stakeholder Podcast.

Darden Professor Dennie Kim looks at the opportunities and challenges organizations will face as they adapt to the rise of Web3 and work to get ahead of the curve.

The United Nations’ Intergovernmental Panel on Climate Change issued its assessment report on the increasing urgency of addressing climate change. Here Ed Freeman connects with Mike Lenox on the urgency around climate change and why stakeholder engagement is vital to solving one of the toughest political, engineering and technological problems.

Leading in the face of crisis and uncertainty is a different practice from daily management and decision-making. But good managers can learn to anticipate and manage through such high-stress experiences and embed lessons learned in the enterprise. A Darden expert shares best practices — do’s as well as don’ts — for successful crisis management.

Spotify is under scrutiny for content on Joe Rogan’s podcast and talent compensation. Darden experts explain how crises can be tempered with good governance — who’s on the board, how it thinks about risk, the business model, strategy, process and culture. Ultimately, “Governance is the way a firm organizes around and executes on its purpose.”

In The Stakeholder Podcast, Professor Ed Freeman interviews Bill Shelton, who leveraged his success for social good. They discuss race in business, sports in society and how the habits of elite athletes can translate into career performance. Shelton’s EOS helps female athletes translate their success into corporate careers and sponsorships.

Despite interest in responsible capitalism, promises on stakeholder value are being tested as COVID-19 scars economies across the globe. Professor Parmar sees a mixture of tensions — including matters of health and safety, stresses of pandemic life, issues of justice and equality — as the acid test for companies’ commitment to the stakeholder model