What happens when there is not a catalyst? How the interaction effects of multiple stakeholders’ interests can be managed: the case of crowdsourced placemaking.Presented at the 2nd NordicSymposium on CorporateSocial Responsibility –cbsCSR Riccardo Maiolini LUISS Copenhagen17.06.2011
17.06.2011| Riccardo MaioliniWhat happens where there is not a catalystAGENDA • INTRODUCTION • RESEARCH QUESTION • LITERATURE REVIEW ON STAKEHOLDER THEORY • RESEARCH CONTEXT: THE CROWDSOURCED PLACEMAKING • RESULTS • CONTRIBUTIONS • LIMITATIONS
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst INTRODUCTIONThe debate on stakeholder literature is recently moved fromstudying how to manage singular sets of interests (Rowley,1997)to understand relations among multiple subjects associated tocomplex organizational environments (Andriof et al., 2003)and considering multiplicity of interests (Garriga & Melé,2004).
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst INTRODUCTIONFrom the Freeman’s perspective (1984):A company is the central hub and the stakeholdersare the spokes around the wheel (Frooman, 1999),selected through the degree of legitimacy as a meansof responding to external interests (Luoma &Goodstein, 1999).The Freeman’s perspective considers stakeholders as related to a focal organization (Roloff, 2008).
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst RESEARCH QUESTIONIn the presence of a multiple stakeholder context,where is not evident the clearness of the hub and spoke relationship, how can both organizations and stakeholders address their interests?
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst ABOUT STAKEHOLDER THEORYAs argued by Johnson-Cramer et al. (2003: 149) “The essence ofstakeholder dialogue is the co-creation of shared understandings”.The organizational environment is a source of constant inputs andstimulus for the organizations, but individuals and organizations havelimited cognitive capabilities to deal wit all available stimuli (Simon,1947).For this reason individuals and organizations enact events and factsthrough a selective perspective of the objective features of theirsurroundings (Fiske & Taylor, 1991).Enactment is not possible without a collaborative engagement ofstakeholders (Greenwood, 2007) but also it is not possible withoutconsidering the targeted interests of both organizations andstakeholders (Eesley & Lenox, 2006).
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst ABOUT STAKEHOLDER THEORYJulia Roloff (2008) introduced the concept of multi-stakeholdernetworks.From this perspective, the proliferation of multi-stakeholdernetworks is interests driven and is a result of coalitions amongmultiple subjects based on the detection of economic propertyof risk (Orts & Strudler, 2002Stakeholders groups compete against or complement eachother as a cumulative activity of congruence or diversity ofinterests (Neville & Menguc, 2006).
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst RESEARCH CONTEXT: CROWDSOURCED PLACEMAKINGThe term crowdsourcing is a contraction of the words crowd andoutsourcing, which indicate the process of outsourcing to thecrowd.• Crowdsourcing shares its basic principles with web-based social media, where a user gets feedback from other users on a topic of their choice (Howe, 2006).• Based on the concept of the open innovation, model internal decision making changes from a knowledge generation model to a knowledge brokering model (Maiolini ad Naggi, 2010)• The strengths of this model are based on the open centrality that means: “participation is non-discriminatory” (Pènin, 2008).
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst RESEARCH CONTEXT: CROWDSOURCED PLACEMAKING“Placemaking is a multi-faceted approach to the planning,design and management of public spaces.Put simply, it involves looking at, listening to, and askingquestions of the people who live, work and play in a particularspace, to discover their needs and aspirations.This information is then used to create a common vision forthat place.The vision can evolve quickly into an implementation strategy,beginning with small-scale, doable improvements that canimmediately bring benefits to public spaces and the people whouse them”.
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst RESEARCH CONTEXT: CROWDSOURCED PLACEMAKINGFrom a technical perspective, placemaking consists in adecision-making tool that provides instruments to plan betterdecisions (Boyd, 2002).Placemaking works as taxonomy for communities based osocial, economic, infrastructural and natural issues, whereall the parts are engaged within the three distinctive phases of(1) communication(2) Design(3) Analysis.
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst RESEARCH CONTEXT: CROWDSOURCED PLACEMAKINGCrowdsourced placemaking highline and stress themechanisms that facilitate stakeholders’ balance (Näsi, 1995)inside the multi-stakeholder network.Crowdsourced placemaking can be considered as a“participated model where there is a multitude of subjects thathave legitimated interests or stakes in […] how the objectivesare reached […] and a social and technical system wheredifferent stakeholders play a part (Carrol & Näsi, 1997: 50).
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst RESEARCH CONTEXT: CROWDSOURCED PLACEMAKING Composition of companies Company Placemaking service’s Usage of the service Stakeholders’ Profile typology identification Closed Based on the usage of an internal Available after a registration. The Stakeholders are identified by platform owned and programmed by company allows participating to internal categories of the internal computer programmers. the placemaking services only platform subjects registered. Open Developed inside the general Every one can get part to the There is not a structured organization of the Internet site. contests and give suggestions or categorization for different Because the totally User Generated comments to the placemaking groups of stakeholders. Content approach of the platform, projects presented on the site. Normally who writes explains every block and page is structured to their positions and clarify receive feedback on it. who they are (unofficial categorization of stakeholders)!
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst RESEARCH CONTEXT: CROWDSOURCED PLACEMAKINGCompany Placemaking Issues Stressed Goal of the project Temporal Progress Profile Project Duration Closed Community Place Based Develop efficient services useful for the Six months Concluded Playground project Consensus research community Service project Stakeholders Vote No External experts supports Closed Urban Alternative Stakeholders Vote Choose the best project that satisfy the One year In progress Design choice Suggestions for new zoning regulation highest number of subjects External experts support: 5 alternative solutions with explanations and technical data. Residential places value 3D modeling Closed Urban Alternative Design objectives: Stakeholders narratives of their Design and obtain suggestion for a One year Concluded Design project experiences based on daily experience. second step: propone alternative Services projects suggestions models that the community will choose No external experts supports 3D modeling Open Urban Alternative Consensus Research Design local community based Not specified In progress Design project External Suggestions characteristics to develop a project of Experience with alternative scenarios (future experience urban design. and also comments from who is experiencing similar in Study the relation between “citizens other contexts) and sense of place” Open Transit Oriented Stakeholder consensus Find new area to develop new Not specified In progress development Externalities impact scenarios infrastructures considering the land Exploit local growth and sustainability area that is under regional protected Develop sustainable culture growth needs Open Incorporate Develop sustainable culture Renovate a Memorial Building to make Not specified Concluded Sustainable Practices Develop green Behaviors it a more sustainable place to work in a community Consensus Research Stakeholders consensus
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst THE DEVELOPMENT OF COLLECTIVE MUTUAL DECISION-MAKING APPROACHESThe general goal of classical 2.0 users is to collectively expand the generalamount of knowledge and information available in the web.There is a sort of non-single-utilitarian approach to this kind of contributions.On the other hand, what characterizes and distinguishes crowdsourcedplacemaking is the effort to persuade different users to underline theiropinion and open a discussion on how do they consider differently the issueselected, explaining their opinion and giving example of their real lifeexperience. Generation of Contents Goal Modalities User Generated Content Contribute to the Add a single development of web contribution to the knowledge collective knowledge Crowdsourced placemaking Resolve a concrete Stress differences problem among interests and real life expectations !
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst MULTIDISCIPLINARITY AND THE DIFFERENT PERSPECTIVESThe platforms where created to achieve the largest number ofsubjects interested in specific local and community basedproblems that are “encouraged to give suggestions, describetheir real life experiences and mobilize externalcompetences” (cit. closed company manager).The geographical proximity is an element that characterizesthe quality of the comments: from real life experiences tobenchmarks and evaluation of possible alternative scenarios.
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst COLLECTIVE-MUTUAL SELECTIVE DECISION-MAKINGAs suggested by Pedersen (2006) all the stakeholders cannot besatisfied simultaneously; the process is called a collective-mutualselective form of decision-making because:• It starts from different sets of interests that are selected by a dialogue among the stakeholders that try to justify why some interests are more significant than others.• After the justification, they start to discuss on how the decision and the outcomes can impact in terms of externalities, trying to understand how to manage the negative externalities developing a compensatory strategy.• In the last stage, the stakeholders that have convoyed to a specific set of decisions start to discuss about the concrete implementation of their choices
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst CONTRIBUTIONSThe expected contribution is therefore twofold:• on one side the paper builds on (and hopefully helps expanding) one of the building blocks of organization theory, trying to understand the mechanisms that facilitate multiple stakeholders engagement.• On the other side it engages with a real-world phenomenon that is getting more and more relevance in practice, when discussing about the heterogeneity of stakeholder groups and their relative interests within a complex organizational environment.
17.06.2011| Riccardo Maiolini What happens where there is not a catalyst LIMITATIONSthe main limitation lies in the exploratory approach that Idecided to adopt.However, I am working on the development of the case studies,where each case serves as a distinct experiment that stands onits own as an analytic unit (Eisenhardt 1989) central to buildingtheory.Crowdsourced placemaking is a new profession, but haspotentials to assume a relevant role in the stakeholders’engagement methods.