SlideShare a Scribd company logo
1 of 88
Designing Curriculum Instruction and Assessment
Assignment
1. Make the corrections in the highlight area of your
instructional plan.
2. Create assessment data from instructional plan. Highlight
area.
Setting/Grade Level: Grade 6
Subject(s): Reading/Language Arts School: Florida
Theme/Title: Poem- Lincoln the Leader
1. PLANNING
Standards Addressed
This lesson Address the History of United States of America
and the poem that describes President Abraham Lincoln.
1. The National Center For History in Schools- the student gets
the opportunity to engage in historical study and interpretation
hence is able to understand diverse historical information.
2. NCTE Standards for English Language Arts- Students read
widely to develop their understanding of texts, themselves and
the cultures of the United States and other countries of the
world, to gain knowledge on how to respond to various needs of
the society and for personal fulfillment.
3. Florida State Standards: Students will use primary and
secondary information sources to study and interpret the history
of United States, to describe important events in the past and to
interpret different perspectives.
LAFS.6.L.3.5: Demonstrate understanding of figurative
language, word relationships, and nuances in word meanings.
a) LAFS.6.RL.1.1: Cite textual evidence to support analysis of
what the text says explicitly as well as inferences drawn from
the text.
b) LAFS.6.RL.2.6: Explain how an author develops the point of
view of the narrator or speaker in a text.
c) LAFS.6.SL.2.4: Present claims and findings, sequencing
ideas logically and using pertinent descriptions, facts, and
details to accentuate main ideas or themes; use appropriate eye
contact, adequate volume, and clear pronunciation.
d) LAFS.6.RL.2.4: Determine the meaning of words and
phrases, as they will; be used in a text including figurative and
connotative meanings; analyze the impact of a specific word
choice on meaning and tone.
e) LAFS.6.W.3.9 Draw evidence from literary or information
texts to support analysis, reflection and research. (a) Apply
grade 6 reading standards to literature.
1. PLANNING
Learning Outcomes/SMART Goals
Instructional Time: 4 hours.
Make corrections: Add smart goals in this lesson.
What should students know and be able to do because of this
lesson?
· Using the poem “Lincoln Walks at midnight,” students will
understand that poet depicts the ghost of Lincoln pacing the
streets of Springfield, Illinois his hometown tormented by the
dreadful slaughter of the war.
· Student will be able to identify how figurative language,
vocabulary and imagery affect the mood and tone of the poem.
· Using the poem, student will be able to visualize the events
that formed Lincoln.
· Using the poem students will be able to write a position paper
using textual evidence to support their claim about Lincoln in
the poem.
1. PLANNING
Learning Objectives (at least two)
a) Students will understand the use of figurative language,
vocabulary and historical connotations to form images and
enhance understanding of the main ideas presented in a poem.
(Make corrections: How is this measureable?
b) Students will understand what a poem is and how it is wrote.
c) Be able to visualize the events and symbols that formed
Lincoln's burdens.( This is not specific enough)
1. PLANNING
Bloom’s Revised Taxonomy
☐ Remembering
☐ Understanding
☐ Applying
☐ Analyzing
☐ Evaluating
☐ Creating
1. PLANNING
Real World Contexts
Real world context included in this lesson is the
existence of warlords around the world. This lesson makes the
readers understand Lincoln’s desire for world peace. The
student has the opportunity to improve their vocabulary, reading
ability as well as improve their comprehension of literary
works. These skills are of great important for their college life.
1. PLANNING
Collaboration
Students can also learn through collaboration:
· By using heterogeneous small group activities, student can
learn through collaboration and cooperation with peers.
· Listen to and Read. The second Inaugural Address of President
Abraham Lincoln, Washington, DC, and March 4, 1865.
Students will use a Venn diagram or T-Chart discuss the
similarities and differences regarding Lincoln’s character as
found in the poem.
2. METHODOLOGY
Learning Experience/ Activity
Introductory/Anticipatory Set ( Make corrections add sensory
chart)
The teacher will introduce Abraham Lincoln to the class,
providing an overview of his work using mind map to facilitate
discussion as well as to assess the student’s prior knowledge.
The student will be expected to respond to questions such as;
a) Who was Lincoln?
b) What were some notable events during his presidency?
c) What was his professional background?
d) What do you know about the civil war?
Building/Applying Knowledge and Skills by engaging students
in their learning.
a) The teacher will make use of a portrait of Abraham Lincoln
to introduce Lincoln, activate prior knowledge regarding the
civil war and Lincoln himself.
b) The teacher will divided into heterogeneous groups
consisting of low performing and high performing students. The
poem “Lincoln Walks at Midnight” will be introduce to the
students. Each student is the provided with a copy of the poem.
The teacher will then read the poem loud and provide the
students with an audio copy of the poem.
c) Students proceed to read the poems in their respective groups
first as an individual then as a group.
d) The teacher will then model a think-aloud situation for
students to enable them comprehend the idea that are expected
of them when analyzing a poem stanzas. The reading &
understanding poetry the teacher document walks teacher
through the questions and answers need for the think-aloud of
the first stanza.
e) The teacher will also show the sensory details charts that may
assist student comprehension. The sensory details chart is
scaffold to support students to identify the senses used in the
poem to understand the mood and tone of the piece as well as
the images created by the poet.
f) The teacher will then ask each small group to continue with
the reading of the poem. Students will take marginal notes in
their groups and discuss their finding with their groups.
Students will use their reading and understanding poetry
document and the sensory detail charts to make their notes.
g) The teacher will then give a whole group final oral reading or
presentation of the poem or opt for the audio link. Both teacher
and student share their thoughts and finding. Students will
clarify vocabulary and reference. In order to fully comprehend
the poem and its message. The teacher will share the
presentation rubric with students before students return to work
in their small groups.
Extension/Enrichment/Transfer or Generalization of Knowledge
that engages students in their learning.
a) At the end of the lesson, post a memorable quote of Lincoln
on the board every day for a week with a minute reference to it
and its meaning. Students could react to each quotation in their
journals.
b) Encourage students to do further research and independent
studies on Abraham Lincoln using references listed in lesson
plan.
c) Invite a Lincoln historical interpreter to speak to the class.
d) Organize a student trip to Abraham Lincoln Birthplace
National Historic Site to allow students view historical
artifacts, photographs, curriculum guides and other resources.
Diversity of instruction in the lesson:
Audio recording facilities will be availed to students to assist
those who need further assistance to improve their listening
comprehension skills.
Think-Pair-Share: Students will divided into heterogeneous
groups to work on their understanding of the poem and share
their findings with the whole class.
Synthesis/Closure:
a) Students engage in a final oral discussion to analyze poetry,
poetic language as well as express their final thoughts about the
contribution of Abraham Lincoln to the country as well as the
image painted of Abraham Lincoln in the poem.
b) Review concepts of the lesson and refer to the essential
questions written on the board. Ask students to respond to the
on-demand writing prompt. Use rubric on prompt to score
writing and assess learning of lesson concepts
2. METHODOLOGY
Instructional Strategies
☐
Constructions
Standard:
Objective:
☐
Nonlinguistic Representations
Standard:
Objective:
☐
Cooperative Learning
Standard: LAFS.6.RL.2.6
Objective: Explain how an author develops the point of view of
the narrator or speaker in a text.
☐
Peer Editing
Standard:
Objective:
☐
Discovery
Standard:LAFS.6.RL.2.4
Objective: Determine the meaning of words and phrases as they
are used in a text, including figurative and connotative
meanings
☐
Practice/Drill
Standard:
Objective:
☐
Discussion/Questioning
Standard: LAFS.6.RL.2.4
Objective: analyze the impact of a specific word choice on
meaning and tone.
☐
Practicum
Standard:
Objective:
☐
Experiment
Standard:
Objective:
☐
Problem Solving
Standard:
Objective:
☐
Field Study
Standard:
Objective:
☐
Questions, Cues, and Advance Organizers
Standard: LAFS.6.SL.2.4
Objective: Present claims and findings, sequencing ideas
logically and using pertinent descriptions, facts, and details to
accentuate main ideas or themes; use appropriate eye contact,
adequate volume, and clear pronunciation
☐
Graphic Organizers
Standard:
Objective:
☐
Reflection/Response
Standard: LAFS.6.L.3.5
Objective: Demonstrate understanding of figurative language,
word relationships, and nuances in word meanings
☐
Generating and Testing Hypothesis
Standard:
Objective:
☐
Reinforcing Effort and Providing Recognition
Standard:
Objective:
☐
Homework and Practice
Standard: LAFS.6.L.3.5
Objective:
☐
Reporting
Standard:
Objective:
☐
Identifying Similarities and Differences
Standard:
Objective:
☐
Role-playing
Standard:
Objective:
☐
Independent Learning
Standard:LAFS.6.RL.1.1
Objective: Cite textual evidence to support analysis of what the
text says explicitly as well as inferences drawn from the text.
☐
Setting Objectives and Providing Feedback
Standard: LAFS.6.L.3.5
Objective: Demonstrate understanding of figurative language,
word relationships, and nuances in word meanings.
☐
Journal
Standard:
Objective:
☐
Simulation
Standard:
Objective:
☐
Laboratory
Standard:
Objective:
☐
Summarizing and Note Taking
Standard: LAFS.6.L.3.5
Objective: Demonstrate understanding of figurative language,
word relationships, and nuances in word meanings.
☐
Lecture
Standard: LAFS.6.SL.2.4
Objective: Present claims and findings, sequencing ideas
logically and using pertinent descriptions, facts, and details to
accentuate main ideas or themes; use appropriate eye contact,
adequate volume, and clear pronunciation
☐
Viewing/Listening/Answering
Standard: LAFS.6.SL.2.4
Objective: Present claims and findings, sequencing ideas
logically and using pertinent descriptions, facts, and details to
accentuate main ideas or themes; use appropriate eye contact,
adequate volume, and clear pronunciation
☐
Library Research
Standard:
Objective:
☐
Other (Please specify)
:
Standard:
Objective:
The strategies takes the student through the six levels of Bloom
Taxonomy: Knowledge, Comprehension, Application, Analysis,
Synthesis and evaluation. The students reached the evaluation
level of taxonomy.
The activities that support these areas of Bloom taxonomy
includes individual reading, group reading, discussion, and
class presentation and teacher guidance.
Teacher will divide the class into groups. The groups shall be
heterogeneous consisting both low performing and high
performing students. This will allow the students learn through
collaboration and cooperation with peer.
3. MATERIALS
Materials Used
T = FOR TEACHER
S = FOR STUDENT
Include at least one digital material.
T
S
Materials used
T
S
Technology utilized
☐
☐
Lincoln Walks at Midnight
☐
☐
Cassettes/CDs
☐
☐
Mood and Tone
☐
☐
Graphing or Scientific Calculator
☐
☐
Position Paper Rubric
☐
☐
Slides
☐
☐
Lincoln 4 corners
☐
☐
Tape Recorder
☐
☐
Lincoln Guiding Questions
☐
☐
VCR/TV/DVD/Laser disc
☐
☐
Lincoln Presentation Rubric
☐
☐
Assistive Technology
☐
☐
Lincoln Reading and Understanding Poetry
☐
☐
Cell Phone/Mobile Device
☐
☐
Lincoln sensory details chart
☐
☐
Digital/Video Camera
☐
☐
☐
☐
Concept Mapping Software
☐
☐
☐
☐
Social Networking
☐
☐
☐
☐
Virtual World (e.g., Second Life)
☐
☐
☐
☐
Interactive Gaming
☐
☐
☐
☐
Interactive White Board (e.g., SMART Board)
☐
☐
☐
☐
Distance Learning/Webcast
☐
☐
☐
☐
Computer Software
☐
☐
☐
☐
Weblog (Blog)
☐
☐
☐
☐
Wiki
☐
☐
☐
☐
Internet Research/Website
☐
☐
☐
☐
Podcast/Vodcast
☐
☐
☐
☐
E-mail
☐
☐
☐
☐
Presentation Software (e.g., PowerPoint)
☐
☐
☐
☐
Virtual Field Trip
☐
☐
☐
☐
Interactive Gaming
☐
☐
☐
☐
Other (Please specify):
Worksheet
Why did you choose these materials?
The materials will aid the student identify how figurative
language, vocabulary and imagery affect the mood and tone of a
poem. Using the materials the students will be able to visualize
the events and symbols that formed Lincoln's burdens. The
materials will enable the students write a position paper using
textual evidence to support their claim about Lincoln in the
poem.
1. ASSESSMENT/EVALUATION
Assessment Options
☐
☐
Application Exam
Standard:
Objective:
☐
☐
Objective Test
Standard:
Objective:
☐
☐
Concept Mapping
Standard:LAFS.6.L.3.5
Objective: Demonstrate understanding of figurative language,
word relationships, and nuances in word meanings
☐
☐
Observation
Standard:
Objective:
☐
☐
Parent Evaluation
Standard:
Objective:
☐
☐
Contract
Standard:
Objective:
☐
☐
Peer Evaluation
Standard:LAFS.6.L.3.5
Objective: Demonstrate understanding of figurative language,
word relationships, and nuances in word meanings
☐
☐
Checklist
Standard:
Objective:
☐
☐
Self-Evaluation
Standard: LAFS.6.L.3.5
Objective: Demonstrate understanding of figurative language,
word relationships, and nuances in word meanings
☐
☐
Performance Task
Standard: LAFS.6.SL.2.4
Objective: Present claims and findings, sequencing ideas
logically and using pertinent descriptions, facts, and details to
accentuate main ideas or themes; use appropriate eye contact,
adequate volume, and clear pronunciation
☐
☐
Inventory
Standard:
Objective:
☐
☐
Portfolio
Standard:
Objective:
☐
☐
Quantitative Scale
Standard:
Objective:
☐
☐
Rating Scales
Standard:
Objective:
☐
☐
Rubric
Standard:
Objective:
☐
☐
Scored Discussion
Standard:
Objective:
☐
☐
Journal
Standard:
Objective:
☐
☐
Problem-Solving Assessment
Standard:
Objective:
☐
☐
Other (Please specify):
Standard:
Objective:
Teacher will use series of tasks that measure student
achievement of one or more objectives. They will include
formative and summative assessment.
Summative Assessment: Essay
· What kind of image does the poet create when describing
Abraham Lincoln? Cite evidence from the poem to support your
point of view.
· Because students are familiar with the peer-editing model and
teacher provided rubric from the previous lesson in this unit.
Students will work in their identified small groups and give, and
receive feedback from teacher and peers regarding their position
papers by using the peer-editing model and the teacher will
provide rubric.
· Student will then re-write their papers base on the feedback.
Teacher will then provide feedback to students via the position
paper rubric with a final grade.
Formative Assessment:
· Teacher will introduce who Lincoln was as well as his work
and era by using web/mind map to activate prior knowledge and
to enable discussion. Teacher will let students’ responses to the
following questions: Who was Lincoln? What was his original
profession? If students have no or limited background
knowledge, teacher will use the link from the lesson content
section to assist with the information.
· Students will read the poem and take marginal notes in order
to answer the questions regarding imagery and vocabulary for
understanding and inference. The teacher will model this
activity to ensure that students understand the expectation and
requirements. The teacher will monitor comprehension of the
activity by interacting with small groups and by asking
questions. The teacher may use the presentation rubric to ensure
that all students in small groups are participating.
· Students will work on highlighted vocabulary on the teacher
copy of the poem with the assistance of four comer graphic
organizer in their reading response journals. The teacher will
model activity using the attachment “Four Comers First Stanza”
so that students will be familiar with understanding the meaning
of the archaic language found in the poem.
Feedback to Students:
· Teacher will use “Think-A-Louds” and complete the Lincoln
“Web” on board with the assistance of students.
· Teacher will give written feedback in reading response
journals to address the comprehension of guiding questions,
vocabulary and using the four corners graphic organizer. The
teacher will choose a few journals daily to review while
students work on guiding questions and vocabulary.
These assessments will help me determine if my students have
achieved the goals that I set for this lesson. This lesson’s main
objective to be ensures that students are able to read and
comprehend poems.
These assessments are, done in the initial stages of the lesson
and towards the end of the lesson. This way the tutor is able to
gauge improvements that the students have gained because of
the lesson.
How will you use this assessment data to inform your
instruction? Use current literature (within the last five years) to
support your rationale.
The use of student data to improve instruction is a central tenet
of current education policy. Current efforts to improve school
performance are calling on teachers to base their instructional
decisions on data. Assessment drives instruction since it
provides information that helps the teacher develop the next
steps for varied learners and the class. Assessment should be
continuous from the time the class begins, throughout the unit
and towards the end of the unit. Assessments are, carried out to
determine the readiness, interest and learning capabilities of the
students.
Means, B., Chen, E., DeBarger, A., & Padilla, C. (2011).
Teachers' Ability to Use Data to Inform Instruction: Challenges
and Supports. Office of Planning, Evaluation and Policy
Development, US Department of Education.
1. LEARNERS
Differentiation
Curriculum may vary in complexity to align to the
respectable level of every student in the class. The teacher will
differentiate the curriculum by putting in place clear academic
criteria that students understand. The curriculum will, be
aligned to learning target of this topic to ensure it addresses
significant content.
How will you differentiate instruction to meet diverse student
needs?
a) Allow time for plenty of practice and learning.
b) Use peer tutors.
c) Underline important directions, key words.
d) Tape-record stories and use other technologies of recording
audio classes and poems
e) Keep directions simple, write them out, or give them orally.
f) Provide low reading level, high-interest reading material
geared to the student’s interests.
g) Use visuals and manipulative materials when available.
h) Use cooperative learning strategies.
How will you differentiate assessment to meet diverse student
needs?
a) Give shorter assignments, and allow more time for
completion.
b) Break assignments into smaller, manageable parts.
c) Give immediate feedback and lots of encouragement
5. LEARNERS
Diversity
The teacher will be at all times sensitive to cultural diversity of
the students. Ensure that the student is able to translate,
comprehend and interpret the information correctly.
· The audio recording will assist students who are struggling
readers and who need additional assistance with listening
comprehensions skills with the reading and re-reading of the
poem.
· Teacher will discuss interpreting elements of prose and poetry
with students so that they understand the difference between
literal meaning and figurative meaning as well as the elements
that create images in the reader’s head.
Student Work Samples
Assess the students’ knowledge of the subject prior to the
learning activities.
Administer a test at the end of the lesson to assess the student’s
comprehension of the lesson. Student assessment based on the
lesson goals.
Performance task
In this assessment, students should be able to:
Students should be able to clearly, describe whom Lincoln was.
Know what kind of image the poet creates when describing
Abraham Lincoln citing relevant evidences from the poem.
Students should be able to remember some notable events
during Lincoln presidency.
Students should be able to explain professional background of
Lincoln about civil war.
Students should be in a position to fully understand and analyze
the poem.
Students should be in a position to identify and explain the
stylistic devices used by the poet through the help of
illustrations from the poem.
Performance rubric
Criteria
Levels of achievement
3 points
2 points
1 points
Content
All the questions are well covered. The student is able to
analyze the content clearly. The student is able to bring extra-
points. Ability to analyze the poem extremely good fully with
all the required points
All the questions are covered. The student is able to analyze
content. Major points, were brought up, correctly. Points are,
brought out correctly. the poem is analyzed correctly
Almost all questions are covered. Fair analysis of the poem with
few major points brought up. The student fairly analyzes the
poem
Quality of information
Discussion was detailed, thorough, and supported with peer-
reviewed, research and examples.
Well discussed points with few illustrations
Fairly discussed points with very few or no
example/illustrations
Organization
Introduction and conclusion are included. Information is very
organized with well-constructed paragraphs
Introduction and conclusion are included and the work is quite
organized
No introduction and conclusion and fairly organized work
Format
Minimal or no grammatical, spelling, or punctuation errors are
present
Some grammatical errors and few punctuation error
Poor grammar and numerous punctuation errors
Section 2: Create assessment data of your instructional plan
Reference
Means, B., Chen, E., DeBarger, A., & Padilla, C. (2011).
Teachers' Ability to Use Data to Inform Instruction: Challenges
and Supports. Office of Planning, Evaluation and Policy
Development, US Department of Education.
Bloom’s Taxonomy action verbs.
California State University, Fresno. (n.d.). Bloom’s taxonomy
action verbs. Retrieved December 6, 2015, from
http://www.fresnostate.edu/academics/oie/documents/assesment
s/Blooms%20Level.pdf
Lincoln the Leader
http://www.cpalms.org/Public/PreviewResourceLesson/Preview/
44310
Copy of Smart goal chart: Need to be added in lesson plan.
The Wal-Mart Effect and Business, Ethics, and
Society
R. Edward Freeman*
S
ome time around 1980 or so, when the business
world was abuzz with In Search of Excellence, I
happened to work on an executive education
program with Tom Peters. He told me that I just
had to go and visit a Wal-Mart. This crazy guy,
Sam Walton, was going to change the landscape
of business, and in Peters’ eyes the guy was “bril-
liant.” Taking Peters seriously, and as a former
K-Mart employee, I sought out a Wal-Mart. I
walked in with a “scientific” mindset to see what
the fuss was about. The greeter welcomed me with
a friendly smile and a “Welcome to Wal-Mart.” I
found myself looking to buy something within 5
minutes. A lot of water has gone over the Wal-
Mart dam in the last 25 years. And, recently, we
have been treated to articles, books, films, and
cases on what is now an American icon.
The rise of Wal-Mart has produced a number of
effects that many commentators find surprising. I
want to argue that our understanding of Wal-Mart
illuminates a large gap in our understanding of
business organizations. However, I want to suggest
that what a recent observer calls “the Wal-Mart
effect” (Fishman 2006a; 2006b) can be better de-
scribed as “the stakeholder effect.” If we can un-
derstand Wal-Mart with a stakeholder context,
then we can see what is wrong with our current
understanding of business; what went wrong at
Wal-Mart; and what the company is currently
doing to make things right.
The Wal-Mart Effect
I
n a recent essay, Charles Fishman has suggested
that Wal-Mart is reshaping how we see business
(Fishman 2006a). He takes us conceptually in-
side Wal-Mart and asks us to make some judg-
ments about how the company is managed and
what its effects really are. What he is really doing
is a kind of clinical case study complete with real
people. Wal-Mart and its stakeholders are human-
ized, not made into qualitative variables that have
inter-rater reliability. The stakeholders that Fish-
man writes about portray what McVea and Free-
man (2005) call “a names and faces approach.”
This approach is especially important for re-
search in business, ethics, and society. Too much
work has already been done in the spirit of making
the field legitimate—i.e., conducting studies that
are “acceptable” to mainstream management jour-
nals. Yet, business, ethics, and society as a field
is— or should be—profoundly critical. Scholars in
this area should be critical of the research meth-
ods— or “methodolatry” as some have suggested
(Freeman 2005)—assumptions, conceptual
schemes, and requisite apparatus of mainstream
scholarship. Fishman shows us one path to accom-
plish such a critical perspective. His analysis yields
insight and is enormously pragmatic.
Unlike many scholars in business, ethics, and
society, Fishman has an open mind about Wal-
Mart. Unfortunately, he seems to have missed the
fact that a number of scholars simply “know” that
Wal-Mart is the cause of much of the misery that
goes on in the world, from poverty to outsourcing.
Fishman fails to recognize that what he is really
arguing against is the traditional theory of business
and capitalism.
This traditional theory, or standard story, or
“narrow economic view of business,” holds that we
should be able to understand what goes on at
Wal-Mart in purely economic terms. The tradi-
tional theory says that Wal-Mart, like any busi-
ness is trying to maximize returns for shareholders,
that it provides benefits to customers and employ-
* R. Edward Freeman ([email protected]) is the Elis and Signe
Olsson Professor of Business Administration & Director,
Olsson Center for Applied Ethics at the Darden School of
Business of the University of Virginia.
38 AugustAcademy of Management Perspectives
ees which are understandable in purely economic
terms. Of course there may be some “knock-on”
effects, but for the most part these will be minimal
and manageable by government. Wal-Mart is no
different from any other business, according to
this standard account.
Nothing could be further from today’s business
reality. The traditional theory simply can’t ac-
count for the growth and development of eco-
nomic, political, social, and technological enter-
prises like Wal-Mart, Hewlett Packard, Citibank,
and others. The impact, which Fishman calls “the
Wal-Mart effect,” reaches far beyond economic
consequences and motivations. Not only does
Wal-Mart affect its customers through offering
“everyday low prices,” its employees by their jobs
and benefits, and its shareholders through returns,
it also impacts communities, suppliers, NGOs,
media, governments, critics, and a host of others.
In fact, what Fishman discovers is less about Wal-
Mart and more about our common (and flawed)
understanding of business and capitalism.
The Stakeholder Effect
F
ishman claims that the sheer scope and scale of
Wal-Mart is what gives rise to these effects. He
is correct that the scope and scale of Wal-Mart
makes these effects impossible to miss, but they
have been present since the opening of the first
Wal-Mart and every other business start-up. Any
business is a set of relationships among at least
customers, suppliers, employees, communities,
and financiers (the people with the money). At
some particular points along a business’ develop-
ment one or some of these stakeholders may be
more important than another. Once a business is
established, all of these stakeholders become im-
portant to the value creation process and the
management’s job is to keep these stakeholder
interests all moving in the same direction. As
companies get even bigger, other groups become
stakeholders. In Wal-Mart’s case these include
governments, NGOs, critics, academics, media,
and others. Let’s call this idea the Stakeholder
Effect and define it in the following way:
Any business affects or can be affected by the actions
of customers, employees, suppliers, communities, fin-
anciers, and possibly others. As companies grow and
develop, some stakeholders become more important
than others, and new stakeholders sometimes emerge.
If you expect the stakeholder effect to be visible
in purely economic terms, you will have ignored
most of the actual practice of business during the
past century. The stakeholder effect is not new.
Perhaps at the turn of the twentieth century it
might have been called the “Carnegie effect” or
later the “DuPont effect.” In some industries we
may have called it the “Medicare effect” or “oil
shock effect.” From the old adage about “What’s
good for General Motors is good for the USA,” to
the current public policy about oil prices, global
warming, and environmental policy, business has
never been “just about the economics.”
Until very recently we had little systematic way
to account for and understand these stakeholder
effects. However, for the past 40 years a group of
scholars, working primarily in the area of manage-
ment known as “Business, Ethics, and Society”
have developed a way of advancing our conversa-
tion about the stakeholder effects of business.
They have employed a variety of concepts such as
stakeholder theory, corporate social responsibility,
the triple bottom line, social contracts, and oth-
ers. The point here is not that one or more of
these are correct, but that there is a body of work
that validates exactly what Fishman is telling us.
Wal-Mart and the Stakeholder Effect
T
hrough this lens, we can see what has really
gone wrong at Wal-Mart. By focusing its busi-
ness strategy within the context of the tradi-
tional theory, Wal-Mart executives could come to
see their fanatical emphasis on “Always low
prices. Always.” as clearly acceptable. In fact, we
should not be surprised to find that they are in fact
surprised when their critics take them to task for
being “good businesspersons.” Fishman tells us as
much. The Wal-Mart executives would naturally
see themselves as acting within the accepted
bounds of our common understanding of capital-
ism. Competition is supposed to lower prices. Cus-
tomers are supposed to win. Businesses are ex-
pected to continually build better mousetraps to
stay ahead of the competition. And, Wal-Mart
has been a continuous source of innovation that
2006 39Freeman
has affected all stakeholders that it touches. And,
all is expected to be right with the world if this is
done.
Business is just more complex. In today’s world
the first and most important question for a busi-
ness executive to ask is: “What is our purpose, and
how does it make each of our stakeholders better
off?” At a minimum a business should be able to
articulate a clear and agreeable answer for custom-
ers, employees, suppliers, financiers, and commu-
nities. If there is no answer, then in a relatively
free and open society, these groups or their repre-
sentatives (some self-appointed) will use the po-
litical process to try and find redress.
And, that is the current mess in which Wal-
Mart finds itself. It can’t do much right, simply
because it is trying to tell its story in the narrow
economic mode. Wal-Mart’s response to critics
who say it is ruinous of communities should be,
according to the standard theory: “Well, mom and
pop shops have been ripping you off for years, and
people vote for us by shopping at Wal-Mart, even
those who don’t like us.” Unfortunately, this re-
sponse is beside the point. It couches the new
“stakeholder reality” in the old economic story.
Fortunately, there is a clear and compelling
path for Wal-Mart, one on which they have al-
ready embarked. They must adopt a philosophy of
“stakeholder engagement” and apply the same
level of passion and engagement to making the
rest of their stakeholders better off, in addition to
customers. There is little reason to believe that
Wal-Mart cannot do this, if they see the need.
Already, they have undertaken to work on the
community issue by addressing the environmental
impacts of their stores and goods, as well as their
impact on existing businesses in new communities
in which they want to locate. They have begun a
process to repair the relationship with their asso-
ciates, and I’m sure there are other initiatives of
which I am unaware.
Is it too late? Only if Wal-Mart’s executives
and critics alike fail to see that the stakeholder
effect is in fact the reality of twenty-first century
business. Executives ignore stakeholders at the
peril of the survival of their companies. Critics
need to see companies as better able to engage
their concerns directly, rather than through the
coercive power of government. All of us need to
come to see capitalism and business for what it
really is: a system of voluntary social cooperation
through which we create value for each other.
The old story about Wal-Mart is long dead. Long
live the new Wal-Mart.
References
Fishman, C. 2006a. Wal-Mart and the decent society: Who
knew shopping was so important? Academy of Manage-
ment Perspectives, 21(3).
Fishman, C. 2006b. The Wal-Mart effect. New York: Penguin
Press.
Freeman, R. E. 2004. The relevance of Richard Rorty to
management research. Academy of Management Review,
29: 127–130.
McVea, J. F. & Freeman, R. E. 2005. A names-and-faces
approach to stakeholder management: How focusing on
stakeholders as individuals can bring ethics and entre-
preneurial strategy together. Journal of Management In-
quiry, 14: 57– 69.
40 AugustAcademy of Management Perspectives
Unconventional
Insights for Managing
Stakeholder Trust
S U M M E R 2 0 0 8 V O L . 4 9 N O . 4
R E P R I N T N U M B E R 4 9 4 1 3
Michael Pirson and Deepak Malhotra
Please note that gray areas reflect artwork that has
been intentionally removed. The substantive content of
the article appears as originally published.
SUMMER 2008 MIT SLOAN MANAGEMENT REVIEW 43
I
nitiatives to build and maintain trust with various stakehold-
ers — customers, employees, suppliers and investors — have
risen to the top of the executive agenda at many organiza-
tions. We continually hear about “tr ansparency”
initiatives, open-door policies and 360-degree evaluations,
customer-retention programs, voluntary product recalls,
initiatives for corporate social responsibility, rethinking of
“customers as partners” and other trust-building moves. But
the problem is that most companies don’t really understand
how to manage stakeholder trust effectively. In fact, our
research suggests that many of the trust-building initiatives and
approaches that organizations invest in may be of questionable
value. Others might actually destroy trust.
One of the reasons managing stakeholder trust is difficult is
because there are many different stakeholder groups, each with
its own particular needs and perspective. That is, trust is multi-
dimensional, and it’s not obvious which dimension executives
need to focus on when dealing with any particular constituency.
Consider
the following: An employee might trust his supervisor because
he believes
that she expresses genuine concern for his well-being, or
because she is a
very competent manager, or for both reasons. In turn, the
supervisor might
trust the employee because she perceives that his values are
congruent with
hers, or because she can rely on him to get work done
efficiently, or for both
reasons. In a different context, the investment community might
trust
a company because top executives are perceived as having
integrity, or
because they possess superior management skills, or because
they have
taken steps to increase transparency, or because of some other
reason
entirely. And so on.
So which dimension of trust should companies target?
Specifically, what’s
more important for building trust: a reputation for kind-hearted
benevolence
or for fair-minded integrity? Which is more critical: managerial
proficiency
or technical competence? When does value congruence matter?
And are
initiatives aimed at increasing transparency worth the effort?
Unconventional Insights for
Managing Stakeholder Trust
Michael Pirson is a research fellow with the Hauser Center for
Nonprofit Organizations at
the John F. Kennedy School of Government, Harvard University
and a lecturer at the Harvard
Extension School. Deepak Malhotra is an associate professor of
business administration at
the Harvard Business School and the coauthor of Negotiation
Genius (Bantam Books, 2007).
Comment on this article or contact the authors at
[email protected]
Many companies
invest considerable
time and energy
trying to build trust
with customers,
employees, suppliers
and investors. Why are
some of those efforts
doomed to fail?
Michael Pirson
and Deepak Malhotra
M A N A G I N G R E P U T A T I O N
SLOANREVIEW.MIT.EDU
www.sloanreview.mit.edu
44 MIT SLOAN MANAGEMENT REVIEW SUMMER 2008
SLOANREVIEW.MIT.EDU
To investigate such issues, we conducted a study of stake-
holder trust in four different organizations. (See “About the
Research,” p. 47.) The research analyzed the relevance (if any)
of
various factors (benevolence, integrity, managerial competence,
technical competence, transparency and value congruence) to
different stakeholders (customers, suppliers, employees and
investors). In essence, we asked what matters — and to whom.
Some of the results were unsurprising. Customers, for instance,
stated that a company’s level of technical competence strongly
influences the degree to which they trust the company. Other
findings were unexpected, and a few were even counterintuitive,
leading us to the following key insights: Transparency is over-
rated; integrity is not enough; the right kind of competence
matters; building trust with one group can destroy it with
another; and value congruence matters across the board. (See
“The Truth About Stakeholder Trust.”) A closer look at each
insight provides important lessons for companies trying to build
and sustain trusting relationships with stakeholders.
Transparency Is Overrated
The 2001 collapse of Enron Corp. and a slew of other corporate
scandals in the United States helped usher in an era of general
distrust of big business. Most observers, including many public
policymakers, concluded quickly that a lack of transparency was
the problem. As a consequence, most of the proposed remedies
have focused on increasing the availability of information to
stake-
holders who might be vulnerable. Thus, the Sarbanes-Oxley Act
of 2002 requires companies to follow better reporting standards;
the U.S. Securities and Exchange Commission’s Regulation Fair
Disclosure regulates against the selective disclosure of
information
to analysts and influential stockholders; and corporate
governance
codes call for the publication of executive compensation
packages.
These remedies presumably increase transparency, making it
difficult for executives to engage in illicit activities. If this is
so,
they serve a very important purpose.
We have found, however, that transparency seems to have little
relevance in terms of building stakeholder trust. That is,
whether
M A N A G I N G R E P U T A T I O N
Conventional Wisdom Reality
To increase stakeholder trust,
companies need to make their
operations more transparent.
Transparency actually can diminish trust depending on what is
disclosed.
Transparency with respect to executive compensation, for
example,
might easily decrease trust if it reveals no apparent link
between pay
and performance.
Integrity is crucial for building trust. Integrity is important, but
stakeholders who engage with the company on a
regular basis (many employees and customers, for example)
must also feel that
the organization cares about their personal well-being. Even
well-meaning, ethical
organizations can destroy trust if they are perceived as being
fair but callous.
To engender trust, businesses must
continually display competency in
what they do.
Nobody trusts the incompetent, but people don’t all demand the
same kind of
know-how. Employees and investors look most for managerial
competence,
whereas customers and suppliers are more concerned about
technical proficiency.
When trust is compromised, a company
should act quickly to remedy the situa-
tion with the stakeholder group that’s
been affected.
Managers first need to determine who all the relevant
stakeholder groups are.
Only then can they deploy a balanced approach to managing
trust that takes into
account the various concerns and interests of the different
parties. Otherwise, an
organization might find itself exacerbating one problem even as
it solves another.
The desire to identify with the values of
an organization is an important factor
in building trust only for employees,
regular customers and others who have
a close relationship with the company.
Identification (or value congruence) is important for all
stakeholders. That is, not
only employees and customers, but also suppliers, investors and
stakeholders of all
types are interested in associating with organizations that they
can identify with —
and that they perceive match their values.
The Truth About Stakeholder Trust
www.sloanreview.mit.edu
SUMMER 2008 MIT SLOAN MANAGEMENT REVIEW
45SLOANREVIEW.MIT.EDU
companies disclose information may have little effect on their
perceived trustworthiness. In fact, of the various factors we
stud-
ied, transparency was the only one that did not affect trust for
any
stakeholder group. What explains this?
First, consider that forced disclosure might actually reduce the
quality of what is disclosed. Although fair-disclosure
procedures
ensure that every investor is provided with the same information
at the same time, there is some evidence that the quality of
infor-
mation shared has diminished since Regulation Fair Disclosure
went into effect.1 Some Wall Street observers complain that
companies that used to share sensitive information willingly
(with at least a subset of stakeholders) are now delaying or
with-
holding important information. In addition, past research
suggests that career concerns among executives can create
perverse incentives in the face of financial disclosure:
Executives
might focus more on managing the visible numbers (the stock
price, market share and so on) than on strategic initiatives that
could improve the long-term survival and profitability prospects
of the company but that are not rewarded in the short run.2
Second, whether information is disclosed might matter less
than what is disclosed. For example, transparency regarding
executive compensation might do little to build trust if it
reveals vast disparities between the pay of people on the front
lines versus those in the corner offices. Fairness perceptions are
crucial to building trust within organizations, and seemingly
oversized executive pay packages make it difficult for
employees
to identify with management.3 Especially when there is no
apparent link between executive compensation and perfor-
mance, perceptions of fairness are damaged and trust
diminishes.
In such cases, attempts to build trust through transparency can
easily backfire.
Finally, some empirical evidence suggests that disclosure, far
from being a remedy, can in fact exacerbate the problems it is
supposed to fix. In a fascinating experiment inspired by recent
accounting scandals, participants playing the role of “adviser”
had to tell their “clients” that they had a vested stake in
overstat-
ing the value of a particular asset. Theoretically, the disclosure
of
a potential conflict of interest should result in a more honest
interaction, eventually leading to a more trusting relationship.
But what really happened? Advisers who were required to dis-
close their bias felt more comfortable exaggerating information.
After all, they reasoned, “I already told them I was biased.”
Worse
still, clients perceived these advisers as more trustworthy
because
they had disclosed their conflict of interest. In other words,
advisers would have been more truthful, and clients would have
been more careful, if there had been no disclosure at all.4
For a real-life example of the disconnect between transpar-
ency and trust, consider Porsche Automobil Holding SE, the
German luxury-car manufacturer. Ever since Deutsche Börse
AG, the German stock exchange, implemented new reporting
standards in 2001, Porsche has refused to submit the required
quarterly reports. The company contends that quarterly num-
bers can be misleading because of its highly cyclical business,
and it has criticized Deutsche Börse for placing more value on
formal rules than on the quality of information disclosed.5 As a
result of its stand, Porsche has been excluded from the mid-cap
index and has faced threats of being delisted, but the company
still refuses to comply and continues to publish only six-month
and full-year results.
The result of the standoff? Following its exclusion from the
mid-cap index in 2001, Porsche share prices plummeted by 40%
in six weeks. But the stock then rebounded, returning to its pre-
exclusion level within four months, and it has steadily advanced
to new heights each year since. Not only do investors continue
to
trust the company, but prospective employees do as well:
Porsche
remains among the most popular potential employers in Europe.
In one study, graduating engineers placed the company on the
top of their employer wish list.6 Other stakeholders concur. The
general public consistently lists Porsche as one of the most
repu-
table businesses in Germany, and customers worldwide have
rewarded the company with continuously rising profits at a time
when many other car manufacturers around the world have seen
their profits decline.7
Integrity Is Not Enough
Not surprisingly, perceptions of honesty and integrity are
crucial to trust for all stakeholders. However, for people who
engage with an organization on a regular basis, integrity is not
enough. These “high-intensity” stakeholders also must perceive
that the organization cares about their well-being. In other
words, benevolence toward the individual, not just good
character and fair dealing, is critical.
Product recalls are a case in point. In 2007 alone, hundreds of
products were recalled for reasons ranging from Salmonella
bacteria in spinach to exploding batteries in computers. Com-
panies that recall defective products early and proactively are
likely to be perceived as having greater integrity than those that
deny or ignore the problem until action is forced on them by
public or governmental pressure. But even some high-integrity
companies that issue voluntary recalls find that they have
irrevo-
cably damaged consumer trust, whereas others walk away from
the experience unscathed — or in some cases with enhanced
consumer trust. The difference is in the degree to which a com-
pany is able to signal concern for the well-being of individual
consumers.
Consider what happened to The Coca-Cola Co. in Europe. In
early June 1999, more than 240 people in Belgium and France
reported intestinal problems after drinking Coke, prompting the
Belgian government to ban Coke products for 10 days. Even
though there was no clear evidence that Coke products were the
www.sloanreview.mit.edu
46 MIT SLOAN MANAGEMENT REVIEW SUMMER 2008
SLOANREVIEW.MIT.EDU
culprit, the company decided to recall beverages from five
Euro-
pean countries, 17 million cases in total, making it the biggest
recall
in the company’s history. CEO M. Douglas Ivester publicly
stated
that ensuring the quality of its products was Coca-Cola’s
highest
priority. “For 113 years our success has been based on the trust
that
consumers have in that quality,” he said. “That trust is sacred to
us.”8 Coca-Cola quickly apologized and assumed responsibility,
citing two quality-control issues (impure carbon dioxide and
contaminated wooden pallets) as potential causes. Although it
was
later found that Coke products were not responsible for the
reported health problems, the company had proactively demon-
strated benevolence not just in word but also in deed by offering
to
cover health care costs for anyone who had been affected by the
incident. Moreover, as a gesture of goodwill, Coca-Cola also
offered free products to each of Belgium’s 4.4 million homes.
Less
than two months after the initial incidents, research indicated
that
core consumers of Coke products reported the same levels of
intent to purchase as before the crisis had hit.9 Three years
later,
sales in Belgium were reportedly better than ever.10
Contrast that with Coca-Cola’s experience in India. In August
2003, a report by the Centre for Science and Environment, a
New
Delhi, India-based environmental advocacy group, argued that
Coca-Cola and other producers of soft drinks were selling
bever-
ages containing high levels of pesticides. Here, Coke decided to
approach the problem differently. Along with other soft-drink
producers, Coca-Cola quickly refuted CSE’s claims, presented
its
own data to the public, accused the CSE of attacking it to
further
CSE’s own cause and announced it would sue the organization.
Those actions might have bolstered the public’s perceptions of
Coca-Cola’s integrity, but they displayed a conspicuous lack
of concern for the well-being of individual consumers. The
result:
Sales dropped by 30% to 40% in only two weeks, leading to a
yearly
sales decline of 15% in 2003 (compared with prior annual
growth
rates of 25% to 30%).11 Moreover, even after India’s health
minister had questioned the validity of CSE’s methods12 and
governmental as well as independent research labs had cleared
Coca-Cola of the allegations, the company still paid for a loss
of
consumer trust. In 2006, it reported continuously declining sales
volumes and losses that far exceeded the investments made.13
Other companies have also learned the importance of demon-
strating concern for the well-being of customers. In July 2007,
Apple Inc. introduced the iPhone, a much anticipated product,
and priced it at $599. But only two months later — sooner than
anyone had anticipated — the price dropped to $399. People
who
had already purchased the product felt mistreated and sent angry
e-mails to the company. In response, CEO Steve Jobs issued an
open letter to Apple customers. He first defended the price cut
as
the right strategic move for Apple and justified the decision by
stating that substantive drops in price were standard in the
technology industry — in other words, that Apple had not acted
unethically. But Jobs then acknowledged that Apple needed
“to do a better job taking care of our early iPhone customers. …
Our early customers trusted us, and we must live up to that trust
with our actions in moments like these.” He then offered $100
in
store credit for Apple products to anyone who had purchased the
iPhone at the higher price. In doing so, he helped maintain
a sense of trust among the company’s most ardent fans and
customers.14 Without that gesture of benevolence, Apple might
have faced a huge consumer backlash.
The Right Kind of Competence Matters
Nobody trusts the incompetent, but people don’t all demand
the same kind of know-how. Internal stakeholders, such as
employees and investors, look most for evidence of managerial
competence: executives’ ability to control costs and lead the
work
force in the organization’s efforts to be competitive and create
value. External stakeholders, such as customers and suppliers,
typically care less about managerial competence and much more
about technical know-how: the organization’s ability to produce
goods and services of high quality and deal effectively with
supply-chain issues. Even high levels of competence in one area
can’t offset insufficient competence in the other, sometimes
leading to stakeholder distrust and organizational failure.
Delta Air Lines Inc. provides a vivid example. Hailed widely
for its operational excellence, Delta has been credited with the
invention of the hub-and-spoke model for airlines and for
being at the forefront of state-of-the-art technology, including
internal management software, ticket kiosks and online travel
agencies. Delta has also been touted as a pioneer in travel
comforts, being among the first to offer iPod plug-ins and
airline seats that allow passengers to lie flat. Such technical
accomplishments helped Delta gain the trust of its external
stakeholders, especially customers.15
Unfortunately, Delta failed to demonstrate similar levels of
managerial competence. Among its various missteps were a
highly publicized executive compensation scandal that
destroyed
trust between management and workers, massive layoffs in 2004
that continued through 2006 and a delay in pursuing cost-
cutting
strategies even in the face of rising fuel costs and increased
competition from low-fare carriers.16 Not only did such
episodes
of managerial incompetence eventually force the airline to
declare bankruptcy in September 2005 (it later emerged from
bankruptcy and announced its intention to merge with North-
west Airlines), they also severely shook the trust of internal
stakeholders — both employees and investors.
On the other hand, managerial proficiency without technical
competency can be equally damaging. In early 2004, Sprint was
the third largest wireless phone company in the United States,
serving about 20 million customers. Its primary competitors had
each managed to acquire twice as many customers due to a
series
M A N A G I N G R E P U T A T I O N
www.sloanreview.mit.edu
SUMMER 2008 MIT SLOAN MANAGEMENT REVIEW
47SLOANREVIEW.MIT.EDU
of mergers (Cingular Wireless, which acquired AT&T Wireless
Systems, had approximately 46 million customers, and Verizon
Wireless served about 41 million people). Sprint responded by
acquiring Nextel Communications, the fifth largest wireless
phone provider, which had 15 million customers, becoming
Sprint Nextel Corp. Sprint’s management was determined to
boost investor confidence by building market share with a deal
that was expected to create synergies and
reduce costs. Analysts applauded the merger,
and the company’s stock rose by almost 30%
over the next 15 months.
But others weren’t so enthusiastic. Motorola
Inc., one of Nextel’s key suppliers, soon discov-
ered that its proprietary network would be
phased out within two years of the merger in
favor of a system run by Sprint. This reduced
Motorola’s commitment to the relationship,
and the transition was beset with technical
problems.17 In 2006, 300,000 customers can-
celed their service, mostly blaming the poor
quality of the former Nextel network, and
Sprint’s reputation for customer service took a
huge hit.18 In an April 2007 poll by Zogby Inter-
national Inc., Sprint ranked lowest in a customer
service satisfaction rating of all industry players
in the United States. Customer complaints
became so frequent that in an unprecedented
move, Sprint itself decided to terminate at least
1,000 service contracts with people who had
called customer service “too often.”
In the case of Delta, no amount of technical
competence and innovation could have
salvaged the trust lost with employees and
investors due to perceived managerial incom-
petence. With Sprint, a focus on long-term
viability and competitiveness (managerial
competence) did little to offset the distrust of
customers who had suffered from a lack of
technical competence.
Building Trust With One Group Can
Destroy It With Another
Managing trust is a complex process because
stakeholder groups have different needs, and
efforts aimed at solving one trust problem
can exacerbate others. Consider the case of
Deutsche Bundesbahn, the German railway,
which was once a state-owned organization
known for its technical excellence. Customers
trusted its service and reliability so much that
they used the compliment, “You are as punctual as the Deutsche
Bundesbahn.” Unfortunately, though, the organization was not
being run as efficiently as it could be, suffering high operating
losses. In an effort to boost managerial competence, the railway
was privatized as Deutsche Bahn Aktiengesellschaft in 1994.
The result? The organization is now earning substantial profits
and is preparing for an initial public offering. According to
We have studied trust in organizations across four major
categories of stakeholders:
customers, employees, suppliers and investors. (Note: We
define trust as the psycho-
logical willingness of a party to be vulnerable to the actions of
another individual or
organization based on positive expectations regarding the other
party’s motivation
and/or behavior.) To aid in our analysis, we developed a
framework that differenti-
ated across stakeholder groups along two dimensions. The first
measures the
intensity of a relationship, based on length and frequency of
interactions. The
second relates to whether a stakeholder is inside or outside the
organization.
The two dimensions — intensity and locus — create four
archetypes of stake-
holders. (See “Categorization of Stakeholders,” p. 48.) It should
be noted that actual
stakeholder groups will not necessarily be perfectly aligned
with any of the four
archetypes. For example, a stakeholder’s relationship with an
organization can be
of “moderate” intensity (instead of “high” or “low”), and some
stakeholders will have
multiple affiliations (for example, as an employee and a
customer). As such, the four
quadrants of stakeholders should be viewed more as a general
“map” rather than as
a table of four clearly demarcated cells. As an example that
approximates the model
case in reality, each stakeholder group in our study can be
associated with one of the
archetypes: customers (high-intensity, external), suppliers (low-
intensity, external),
employees (high-intensity, internal) or investors (low-intensity,
internal).
We investigated trust across the different categories of
stakeholders at four
differently structured organizations: a small- to medium-sized
manufacturer in
Switzerland, a large logistical company in Germany, a Western
European branch of
an international consulting firm and a public university in
Switzerland. In particular,
we studied the importance of six factors — integrity,
managerial competence,
technical competence, benevolence, transparency and
identification (or value
congruence) — to the different stakeholders.
Nearly 1,300 stakeholders — employees, customers, investors
and suppliers —
from the four organizations participated in the study. People
who reported more
than 100 interactions and more than three years of contact with
the organization
were classified as having a high-intensity relationship. Those
with fewer than 100
interactions or less than three years of contact were classified as
low-intensity
stakeholders. In addition, by definition people were classified
as either internal
(employees and investors) or external (customers and
suppliers). (Note: Investors
are classified as internal because they are, in effect, owners of
the organization.)
From the data, we were able to determine what factors were
important to which
stakeholders. (See “What Matters to Whom,” p. 49.) For
instance, we found that people
in low-intensity relationships did not base their trust on
benevolence (the perceived
concern of the organization toward the stakeholder), but people
in high-intensity rela-
tionships did. And integrity was significantly more relevant for
people in low-intensity
relationships than in high-intensity ones. Some of the findings
were surprising and a
few were even counterintuitive. Those results are discussed in
detail in this article.
About the Research
www.sloanreview.mit.edu
SLOANREVIEW.MIT.EDU
almost any standard, it is a successfully managed operation. But
there’s a problem: Customer trust has plummeted. Poor service
and constant delays have led to consistently poor reputation
ratings even as profits have increased. The lesson is that unless
a company takes a balanced approach to managing stakeholder
trust, it can find itself exacerbating one problem even as it
solves another.
Consider toymaker Mattel Inc.’s painful saga. In August 2007,
consumers learned that several of Mattel’s toy products were
defective and that others were contaminated with lead paint. In
the following weeks, the company issued three major product
recalls involving more than 20 million items.19 In an effort to
rebuild customer trust, CEO Robert A. Eckert publicly declared
that Mattel itself had been “betrayed” by its Chinese suppliers.
He
asserted that these subcontractors had violated the company’s
standards and had used unauthorized lead-based paint. To avoid
future problems, Mattel management promised to implement
a strict system that would include pre- and post-production
controls aimed at suppliers and products.20 In addition, Mattel
terminated its relationship with several suppliers.
The aggressive response might have helped salvage customer
goodwill, but the consequences for trust with other important
stake-
holders were devastating. The Chinese government was
outraged by
Mattel’s attack on Chinese businesses and institutions, and the
owner of one Chinese toy factory reportedly committed suicide.
Later, after it was found that most of the recalled items (17.4
million)
had nothing to do with lead paint but rather with malfunctioning
magnets, Chinese governmental officials demanded an
apology.21
On September 21, Thomas Debrowski, Mattel’s executive vice
presi-
dent for worldwide operations, flew to Beijing and publicly
issued
the following mea culpa: “Mattel takes full responsibility …
and
apologizes personally to you, the Chinese people. ... it’s
important for
everyone to understand that the vast majority of these products
that
we recalled were the result of a flaw in Mattel’s design, not
through
a manufacturing flaw by Chinese manufacturers.”22 This time,
Mattel’s strategy was aimed at rebuilding trust with the Chinese
government and the Chinese suppliers, but this too led to its
share of
backlash. Sen. Charles Schumer echoed the reaction of
consumer
advocates across the United States when he likened Debrowski’s
words to a “bank robber apologizing to his accomplice rather
than
the person who was robbed.”
Although trust trade-offs are sometimes unavoidable, they can
often be anticipated and their negative consequences mitigated.
The key is to avoid defining the set of relevant stakeholders too
narrowly. If Mattel had, from the outset, identified the multiple
stakeholder groups that were affected by the recalls — and
which
would thus be affected by the company’s response — it might
have
taken a more balanced approach that considered the various
concerns and interests of all those parties.
Value Congruence Matters Across the Board
One of the most underestimated determinants of trust is the
desire of stakeholders to identify with the values of an
organiza-
tion. Many people believe that value congruence is important
only in relatively few, close relationships, for example, between
spouses, friends or close business partners. But we have found
that although value congruence matters most to employees (that
is, to individuals who are indeed closest to the organization), it
is
also an important factor for every other stakeholder group we
studied. In other words, stakeholders of all types are interested
in
associating with organizations with whom they can identify —
and with whom they perceive a match in values.
Google Inc. illustrates the critical role that value congruence
can
play — both positively and negatively. When Sergey Brin and
Larry
Page took Google public in 2004, they created two share
classes: Class
A (for outside investors) would have just one-tenth the voting
rights
of Class B (for insiders). This sent a signal that Google insiders
would
remain in charge and that no outsiders could impose their
values.23
48 MIT SLOAN MANAGEMENT REVIEW SUMMER 2008
M A N A G I N G R E P U T A T I O N
Stakeholders can be categorized according to the intensity
of their relationship with the company (based on length
and frequency of interactions) and their locus (that is,
whether they are inside or outside the organization). Those
two dimensions — intensity and locus — can be plotted to
create four archetypes. It should be noted that actual stake-
holder groups will not necessarily be perfectly aligned with
any of the four archetypes. For example, a stakeholder’s
relationship with an organization can be of “moderate”
depth, instead of “high” or “low.” But as a rough simplifica-
tion that approximates the modal case in reality, the major
categories of stakeholders — customers, suppliers, employ-
ees and investors — can be loosely associated with one of
the archetypes.
Categorization of Stakeholders
Locus
Intensity
External
Internal
Low High
Investors Employees
Suppliers Customers
www.sloanreview.mit.edu
SUMMER 2008 MIT SLOAN MANAGEMENT REVIEW
49SLOANREVIEW.MIT.EDU
“[We] intend to operate Google differently, applying the values
it has
developed as a private company to its future as a public
company,”
Page explained. “We will live up to our ‘don’t be evil’ principle
by
keeping user trust and not accepting payment for search results.
…
[We] will do our best to make Google a long-term success and
the
world a better place.”24 Various stakeholders embraced
Google’s
values, which engendered high levels of trust. The company was
named the best place to work;25 in several surveys it received
stellar
marks for its reputation;26 and its stock price soared.
Recently, however, Google has come under fire, and a big
source of the problem appears to be the company’s espoused
values. In order to serve the Chinese market, Google made a
deal
with the government there to accept self-censorship for certain
topic areas, such as the Tiananmen Square massacre, Tibet and
the independence of Taiwan. Although competitors Microsoft
Corp. and Yahoo! Inc. had made similar concessions, Google’s
actions were seen as particularly reprehensible by many users
because of the company’s values pledge (“don’t be evil”).27 As
a
consequence, people’s trust was severely shaken. Google execu-
tives were compared to Nazi collaborators and had to appear in
Congressional hearings to explain their actions. Protestors
marched at the company’s headquarters in Mountain View,
California.28 Later, Sergey Brin would admit that, “on a
business
level, that decision to censor ... was a net negative.”29
The online classified service craigslist inc. is another organiza-
tion that views value congruence as a core company asset.
Founder
Craig Newmark is more likely to reference “the golden rule”
than
“the profit motive” when discussing appropriate guides for
iden-
tifying and achieving organizational objectives, and CEO Jim
Buckmaster has told investment bankers and Wall Street
analysts
that monetizing its services and finding additional revenue
sources in an effort to maximize profits is “not part of the
goal.”30
This approach appeals to craigslist’s customer base and employ-
ees. (Our own data suggests that many stakeholders mistrust
businesses in part because companies have a fiduciary responsi-
bility — and usually strong incentives — to maximize
shareholder
value, and their behavior is hence perceived as
opportunistic.31)
But, of course, investors have a different perspective altogether.
How might companies deal with this dilemma?
On the one hand, craigslist has been growing at a remarkable
rate and its expected market value (were it to issue an IPO)
continues to increase even as it clings to the values it espoused
at
its founding. This suggests that a company can be values-driven
without necessarily incurring a penalty in its market value.
Furthermore, the success of “socially conscious funds”32
suggests
that the conflict between investor values and the values of other
stakeholders might be diminishing. On the other hand, unless
a business is privately held (which craigslist is), it will likely
encounter great difficulty if it continually resolves trust trade-
offs
by giving short shrift to investors. Rather, a more effective
long-
term approach might favor values-congruent operations and
objectives within the constraints of fiduciary responsibility.
Research has shown that, despite their fiduciary duty to maxi-
mize shareholder value, managers have much more latitude in
managing social responsibility than is often assumed. Moreover,
a meta-analysis of past studies has found that the effect of
corpo-
rate social responsibility on financial performance is small but
positive.33 In other words, companies can appease a diverse set
of
stakeholders (at least to a degree) without offending investors.
Unfortunately, businesses seem to be doing poorly in terms of
perceived value congruence and trust, and the overall reputation
of
corporations in the United States (and throughout the world)
leaves
much to be desired. In 2005, 71% of respondents in an annual
survey rated the reputation of U.S. businesses as “not good” or
“ter-
rible.”34 Global businesses, meanwhile, were awarded negative
trust
ratings by a majority of respondents in more than 14 countries
surveyed by the World Economic Forum in 2006.35 This is
certainly
bad news for businesses as a whole. But it also suggests an
Different stakeholder groups do not place the same impor-
tance on the different factors of trust studied: integrity,
managerial competence, technical competence, benevo-
lence, transparency and identification (or value congruence).
For example, people in low-intensity relationships with a com-
pany do not base their trust on benevolence, whereas people
in high-intensity relationships do.
What Matters to Whom
Identification
Managerial
Competence
Technical
Competence
Benevolence
Integrity
Identification
Managerial
Competence
Technical
Competence
Benevolence
Integrity
Identification
Managerial
Competence
Technical
Competence
Integrity
Identification
Managerial
Competence
Technical
Competence
Integrity
Locus
Intensity
External
Internal
Low High
Indicates that a specific trust element matters relatively more
in this type of relationship than in another type of relationship.
www.sloanreview.mit.edu
50 MIT SLOAN MANAGEMENT REVIEW SUMMER 2008
SLOANREVIEW.MIT.EDU
opportunity to build trust and leverage it as a core asset for any
company that can successfully balance fiduciary responsibility
with
a strong emphasis on stakeholder value congruence.
STAKEHOLDERS DIFFER WITH REGARDS to the kinds and
degrees of
vulnerability they face. What they need to believe before they
will
trust a company also differs. Managers need to consider those
varying needs and anticipate the trade-offs that exist in
strength-
ening relationships with employees, customers, suppliers,
investors and others. In short, companies can’t take a one-size-
fits-all approach to managing stakeholder trust. Nor can they
simply leverage conventional wisdom.
Our work provides an initial step toward building a stakeholder-
specific model of organizational trust. The framework
challenges
some existing beliefs and sheds light on a number of areas that
companies would be wise not to ignore. In particular, our
results
suggest that managers need to better understand the seemingly
expansive role of value congruence and identification, more
fully
consider the contexts in which integrity without benevolence is
a recipe for distrust, more carefully investigate the distinction
between managerial and technical competence, and more rigor-
ously evaluate the costs and benefits of transparency initiatives.
Deeper knowledge in these and other areas will help companies
become more adept at managing stakeholder trust so that they
might reap the numerous benefits, including improved coopera-
tion with suppliers, increased motivation and productivity
among
employees, enhanced loyalty from customers and higher levels
of
support from investors.
REFERENCES
1. J. Weber, “Commentary: Give ‘Fair Disclosure’ Time to
Work,” Busi-
ness Week, Jan. 8, 2001.
2. See, for example, A. Brandenburger and B. Polak, “When
Managers
Cover Their Posteriors: Making the Decisions the Market Wants
to See,”
RAND Journal of Economics 27, no. 3 (autumn 1996): 523-541.
3. W. George, “Bill George: Nonperforming CEOs,” Sept. 6,
2007, www.
businessweek.com.
4. D.M. Cain, G. Loewenstein and D.A. Moore, “The Dirt On
Coming
Clean: Perverse Effects of Disclosing Conflicts of Interests,”
Journal
of Legal Studies 34 (2005): 1-25.
5. “Porsche Faces Delisting From Index as Deutsche Boerse
Readies
Decision,” Aug. 7, 2001, www.cfo.com.
6. “Porsche Is Highly Regarded By Students in Europe,” July
30, 2007,
www.automotoportal.com.
7. “Porsche Tops Quality Survey,” June 8, 2006,
http://money.cnn.com;
“Porsche Earnings Rise,” January 18, 2002,
http://archives.cnn.com;
and R. Alsop, “Corporate Reputation Survey: Best-Known
Companies
Aren’t Always Best Liked,” Wall Street Journal, Nov. 15, 2004,
p. B4.
8. “Ivester Responds to Belgian Product Withdrawal,’’ KO
Now, June 16,
1999; and “Coca-Cola ‘Regrets’ Contamination,” June 17, 1999,
http://
news.bbc.co.uk.
9. V. Johnson and S.C. Peppas, “Crisis Management in Belgium:
The
Case of Coca-Cola,” Corporate Communications 8 (2003): 18-
22.
10. S. Leith, “Three Years After Recall, Coca-Cola Sales in
Belgium Are
Better Than Ever,” Atlanta Journal-Constitution, Aug. 26, 2002.
11. J. Kaye and P. Argenti, “Coca-Cola India,” Tuck School of
Business
at Dartmouth case no. 1-0085 (Hanover, New Hampshire: Tuck
School
of Business, 2004).
12. “India: Behind the Scare Over Pesticides in Pepsi and
Coke,” Busi-
ness Week, Sept. 4, 2006.
13. I. Basu, “Coke Still Floundering in India,” Asia Times, June
23, 2006.
14. J. Pine and J. Gilmore, “Apple’s ‘Phony’ Reaction to iPhone
Custom-
ers,” Sept. 10, 2007, http://conversationstarter.hbsp.com; and J.
Martellaro, “iPhone Pricing: No Conspiracy, Rather Nimble
Reactions,”
Sept.14, 2007, www.ipodobserver.com.
15. P. Williams and J. Williams, “Why Good Companies Go
‘Bad’ —
By Trying to Be Somebody They’re Not,”
www.ravenwerks.com.
16. Williams and Williams, “Good Companies.”
17. J.E. Lappin, “The Unmaking of Motorola,” Jan. 25, 2007,
www.forbes.com.
18. C. Oster, “The Customer Service Hall of Shame,” April 26,
2007,
http://moneycentral.msn.com.
19. P.B. Kavilanz, “U.S. Biz Blamed for Dangerous Chinese
Products,”
Aug. 2, 2007, http://money.cnn.com.
20. “Mattel Recalls 18.2 Million Chinese-Made Toys,” Aug. 14,
2007,
www.ctv.ca.
21. C. Chandler, “Why Mattel’s ‘Apology’ to China Only Makes
It Worse,”
Sept. 25, 2007, http://chasingthedragon.blogs.fortune.cnn.com.
22. “Mattel Sorry for ‘Design Flaws,’” Sept. 21, 2007,
http://news.bbc.co.uk.
23. M. Lewis, “The Irresponsible Investor,” New York Times
Magazine,
June 6, 2004.
24. L. Page and S. Brin, “Letter From the Founders,” Aug. 18,
2004,
http://investor.google.com.
25. “100 Best Companies to Work for: 2007,” Fortune, Jan. 22,
2007.
26. “How Boss’s Deeds Buff Firm’s Reputation,” Wall Street
Journal,
Jan. 31, 2007; and R. Alsop, “Ranking Corporate Reputations —
Tech
Companies Score High in Yearly Survey As Google Makes Its
Debut in
Third Place,” Wall Street Journal, Dec. 6, 2005, p. B1.
27. “Don’t Be Evil: Restoring the Public Trust in Business,
Politics and
the Media,” June 6, 2006, www.dontbeevil.com.
28. C. Thompson, “Google’s China Problem (and China’s
Google
Problem),” New York Times Magazine, April 23, 2006.
29. J. Martinson, “China Censorship Damaged Us, Google
Founders
Admit,” Guardian, Jan. 27, 2007.
30. “Craigslist Meets the Capitalists,” Dec. 8, 2006,
http://dealbook.
blogs.nytimes.com.
31. M. Pirson, “Facing the Trust Gap: Measuring and Managing
Stake-
holder Trust” (Ph.D. diss., University of St. Gallen, 2007),
www.unisg.
ch/www/edis.nsf/.
32. S. Asci, “Socially Conscious Fund Firms Spread Their
Asset-Class
Wings,” Investment News, Dec. 10, 2007.
33. J. Margolis and J.P. Walsh, “Misery Loves Companies:
Rethinking
Social Initiatives By Business,” Administrative Science
Quarterly 48, no.
2 (June 2003): 268-305.
34. Alsop, “Ranking Corporate Reputations.”
35. B. Coursey, “Trust Trends: Confidence in NGOs On the
Rise,” Feb.
13, 2006, www.ethicalcorp.com.
Reprint 49413.
Copyright © Massachusetts Institute of Technology, 2008. All
rights reserved.
M A N A G I N G R E P U T A T I O N
www.sloanreview.mit.edu
www.businessweek.com
www.cfo.com
www.automotoportal.com
http://news.bbc.co.uk
www.ethicalcorp.com
www.unisg.ch/www/edis.nsf/
http://dealbook.blogs.nytimes.com
www.dontbeevil.com
http://news.bbc.co.uk
www.ctv.ca
http://money.cnn.com
http://moneycentral.msn.com
www.forbes.com
www.ravenwerks.com
www.ipodobserver.com
http://conversationstarter.hbsp.com
http://chasingthedragon.blogs.fortune.cnn.com
PDFs ■ Reprints ■ Permission to Copy ■ Back Issues
Articles published in MIT Sloan Management Review are
copyrighted by the Massachusetts Institute of Technology.
Electronic copies of MIT Sloan Management Review
articles as well as traditional reprints and back issues can
be purchased on our Web site: sloanreview.mit.edu or
you may order through our Business Service Center
(9 a.m.-5 p.m. ET) at the phone numbers listed below.
To reproduce or transmit one or more MIT Sloan
Management Review articles by electronic or mechanical
means (including photocopying or archiving in any
information storage or retrieval system) requires written
permission. To request permission, use our Web site
(sloanreview.mit.edu), call or e-mail:
Toll-free in U.S. and Canada: 877-727-7170
International: 617-253-7170
Fax: 617-258-9739
e-mail: [email protected]
Posting of full-text SMR articles on publicly accessible
Internet sites is prohibited. To obtain permission to post
articles on secure and/or password-protected intranet sites,
e-mail your request to [email protected]
Hyperlinking to SMR content: SMR posts abstracts of
articles and selected free content at www.sloanreview.mit.edu.
Hyperlinking to article abstracts or free content does not
require written permission.
MIT Sloan Management Review
77 Massachusetts Ave., E60-100
Cambridge, MA 02139-4307
e-mail: [email protected]
www.sloanreview.mit.edu
www.sloanreview.mit.edu
Reproduced with permission of the copyright owner. Further
reproduction prohibited without permission.
Instructions:
Answer the following two essay questions. Be sure to answer
all parts of each question thoroughly and to cite your sources
using APA citation formatting. You are welcome to use this
document and type your answers right underneath the question
you are answering.
Stakeholder vs. Stockholder Theory
a. Explain both the stakeholder theory (stakeholder model of
business) and stockholder theory (stockholder model of
business) and discuss the differences
between the two.
b. Discuss some of the potential benefits of the stakeholder
theory. Discuss some of the potential challenges of the
stakeholder theory. (note: benefits and challenges are plural)
c. Discuss some of the potential benefits of the stockholder
theory. Discuss some of the potential challenges of the
stockholder theory. (note: benefits and challenges are plural)
d. Provide an example of an organization that we have not yet
studied in this class that exemplifies either the stakeholder or
the stockholder model. Be sure to explain why you have
reached your conclusion.
Ethical Theories/Decision Making
Read the following ethical dilemma and write an essay response
to the questions posed at the end of the narrative.
WHOLE FOODS RAHODEB
(Robbins and Judge, 2012)
In this class we’ve read about and discussed Whole Foods and
its co-founder and past CEO John Mackey. Whole Foods is a
fast-growing chain of upscale grocery stores and has long been
a Wall Street and business press favorite. It regularly appears
high on Fortune’s list of 100 Best Companies to Work For, and
it has spawned its share of competitors, including Fresh Market,
Trader Joe’s, and Wild Oats.
Given that most industry analysts see a bright future for
upscale, organic markets like Whole Foods, it’s no surprise that
the market has attracted its share of investor blogs. One of the
prominent bloggers (posting hundreds of blog entries)
“Rahodeb” has consistently extolled the virtues of Whole
Food’s stock and derided its competitor Wild Oats. Rahodeb
predicted that Wild Oats would eventually be forced into
bankruptcy and that the stock price of Whole Foods would grow
at an annual rate of 18 percent. Rahodeb’s Yahoo! Finance blog
entries were widely read because he seemed to have special
insight into the industry and into Whole Foods in particular.
In 2007, Rahodeb was exposed as Whole Foods co-founder and,
at the time, CEO, John Mackey. (“Rahodeb” is an anagram of
“Deborah,” Mackey’s wife.) What’s more, while Rahodeb was
talking down Wild Oats stock, Whole Foods was in the process
of acquiring Wild Oats, and talking down the company may
have made the acquisition easier and cheaper. Because the
companies often have stores in the same cities, the Federal
Trade Commission (FTC) attempted to block the acquisition,
and the FTC was responsible for “outing” Mackey. In response,
Mackey said: “I posted on Yahoo! under a pseudonym because I
had fun doing it. Many people post on bulletin boards using
pseudonyms. The views articulated by Rahodeb sometimes
represented what I believed and sometimes they didn’t.”
a. Were Mackey’s actions ethical? Be sure to use the ethical
theories we discussed in class (e.g., utilitarianism, free-market
ethics) and the discussions about ethical decision making (and,
of course, any other relevant topics) to analyze this ethical
dilemma and to support your conclusion.
b. Given what you already know about Mackey from this course,
are you surprised by his actions? Explain why or why not? As
always, be sure to use course readings/concepts/theories to
explain your answer.
Designing Curriculum Instruction and AssessmentAssignment1. Ma.docx

More Related Content

Similar to Designing Curriculum Instruction and AssessmentAssignment1. Ma.docx

lesson plan grade 7 about literary appreciation skills
lesson plan grade 7 about literary appreciation skillslesson plan grade 7 about literary appreciation skills
lesson plan grade 7 about literary appreciation skillsAdelaideRefugio
 
21st1stWeek.docx
21st1stWeek.docx21st1stWeek.docx
21st1stWeek.docxVERNALOU
 
DLL GRADE 8 CITATIONS.docx edited.docx
DLL GRADE 8 CITATIONS.docx edited.docxDLL GRADE 8 CITATIONS.docx edited.docx
DLL GRADE 8 CITATIONS.docx edited.docxElysaMicu
 
DLL GRADE 8 SECOND QUARTER. grade 8 lesson
DLL GRADE 8 SECOND QUARTER. grade 8 lessonDLL GRADE 8 SECOND QUARTER. grade 8 lesson
DLL GRADE 8 SECOND QUARTER. grade 8 lessonElysaMicu
 
grade-7-english-dll-third-quarter-1.docx
grade-7-english-dll-third-quarter-1.docxgrade-7-english-dll-third-quarter-1.docx
grade-7-english-dll-third-quarter-1.docxLenieCMartillana
 
WEEK 7 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 7 ENGLISH 9 AND 7 VERY FINAL.docxWEEK 7 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 7 ENGLISH 9 AND 7 VERY FINAL.docxCristyGascoSumpay
 
21ST DLL WEEK 1.doc
21ST DLL WEEK 1.doc21ST DLL WEEK 1.doc
21ST DLL WEEK 1.docRufaBrelata
 
DLL Grade 9 English 4th Quarter.docx
DLL Grade 9 English 4th Quarter.docxDLL Grade 9 English 4th Quarter.docx
DLL Grade 9 English 4th Quarter.docxNixonFerrer3
 
WEEK 4 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 4 ENGLISH 9 AND 7 VERY FINAL.docxWEEK 4 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 4 ENGLISH 9 AND 7 VERY FINAL.docxCristyGascoSumpay
 
Daily Lesson Log English 10 Quarter 3 L3esson 5LL Q3 L5.docx
Daily Lesson Log English 10 Quarter 3 L3esson 5LL Q3 L5.docxDaily Lesson Log English 10 Quarter 3 L3esson 5LL Q3 L5.docx
Daily Lesson Log English 10 Quarter 3 L3esson 5LL Q3 L5.docxRosendaNGulane
 
WEEK 2 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 2 ENGLISH 9 AND 7 VERY FINAL.docxWEEK 2 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 2 ENGLISH 9 AND 7 VERY FINAL.docxCristyGascoSumpay
 
toaz.info-21st-century-literature-from-the-philippines-and-the-world-pr_21546...
toaz.info-21st-century-literature-from-the-philippines-and-the-world-pr_21546...toaz.info-21st-century-literature-from-the-philippines-and-the-world-pr_21546...
toaz.info-21st-century-literature-from-the-philippines-and-the-world-pr_21546...KarenRRoyo
 
DLL on Elements of Fiction by Jerald Fernandez.docx
DLL on Elements of Fiction by Jerald Fernandez.docxDLL on Elements of Fiction by Jerald Fernandez.docx
DLL on Elements of Fiction by Jerald Fernandez.docxJERALDFERNANDEZ7
 
Rachael hall's student teaching instructional checklist
Rachael hall's student teaching instructional checklistRachael hall's student teaching instructional checklist
Rachael hall's student teaching instructional checklistRachaelHall27
 
WEEK 7 ENGLISH 8 AND 10 VERY FINAL.docx
WEEK 7 ENGLISH 8 AND 10 VERY FINAL.docxWEEK 7 ENGLISH 8 AND 10 VERY FINAL.docx
WEEK 7 ENGLISH 8 AND 10 VERY FINAL.docxCristyGascoSumpay
 

Similar to Designing Curriculum Instruction and AssessmentAssignment1. Ma.docx (20)

lesson plan grade 7 about literary appreciation skills
lesson plan grade 7 about literary appreciation skillslesson plan grade 7 about literary appreciation skills
lesson plan grade 7 about literary appreciation skills
 
dll-21st-century-lit2.docx
dll-21st-century-lit2.docxdll-21st-century-lit2.docx
dll-21st-century-lit2.docx
 
21st1stWeek.docx
21st1stWeek.docx21st1stWeek.docx
21st1stWeek.docx
 
To chapter 1 new year
To chapter 1  new yearTo chapter 1  new year
To chapter 1 new year
 
DLL GRADE 8 CITATIONS.docx edited.docx
DLL GRADE 8 CITATIONS.docx edited.docxDLL GRADE 8 CITATIONS.docx edited.docx
DLL GRADE 8 CITATIONS.docx edited.docx
 
DLL GRADE 8 SECOND QUARTER. grade 8 lesson
DLL GRADE 8 SECOND QUARTER. grade 8 lessonDLL GRADE 8 SECOND QUARTER. grade 8 lesson
DLL GRADE 8 SECOND QUARTER. grade 8 lesson
 
grade-7-english-dll-third-quarter-1.docx
grade-7-english-dll-third-quarter-1.docxgrade-7-english-dll-third-quarter-1.docx
grade-7-english-dll-third-quarter-1.docx
 
WEEK 7 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 7 ENGLISH 9 AND 7 VERY FINAL.docxWEEK 7 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 7 ENGLISH 9 AND 7 VERY FINAL.docx
 
COT_PARAISO.docx
COT_PARAISO.docxCOT_PARAISO.docx
COT_PARAISO.docx
 
21ST DLL WEEK 1.doc
21ST DLL WEEK 1.doc21ST DLL WEEK 1.doc
21ST DLL WEEK 1.doc
 
DLL Grade 9 English 4th Quarter.docx
DLL Grade 9 English 4th Quarter.docxDLL Grade 9 English 4th Quarter.docx
DLL Grade 9 English 4th Quarter.docx
 
WEEK 4 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 4 ENGLISH 9 AND 7 VERY FINAL.docxWEEK 4 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 4 ENGLISH 9 AND 7 VERY FINAL.docx
 
Daily Lesson Log English 10 Quarter 3 L3esson 5LL Q3 L5.docx
Daily Lesson Log English 10 Quarter 3 L3esson 5LL Q3 L5.docxDaily Lesson Log English 10 Quarter 3 L3esson 5LL Q3 L5.docx
Daily Lesson Log English 10 Quarter 3 L3esson 5LL Q3 L5.docx
 
WEEK 2 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 2 ENGLISH 9 AND 7 VERY FINAL.docxWEEK 2 ENGLISH 9 AND 7 VERY FINAL.docx
WEEK 2 ENGLISH 9 AND 7 VERY FINAL.docx
 
toaz.info-21st-century-literature-from-the-philippines-and-the-world-pr_21546...
toaz.info-21st-century-literature-from-the-philippines-and-the-world-pr_21546...toaz.info-21st-century-literature-from-the-philippines-and-the-world-pr_21546...
toaz.info-21st-century-literature-from-the-philippines-and-the-world-pr_21546...
 
DLL on Elements of Fiction by Jerald Fernandez.docx
DLL on Elements of Fiction by Jerald Fernandez.docxDLL on Elements of Fiction by Jerald Fernandez.docx
DLL on Elements of Fiction by Jerald Fernandez.docx
 
Rachael hall's student teaching instructional checklist
Rachael hall's student teaching instructional checklistRachael hall's student teaching instructional checklist
Rachael hall's student teaching instructional checklist
 
ENG 8- Q1-WEEK 1.docx
ENG 8- Q1-WEEK 1.docxENG 8- Q1-WEEK 1.docx
ENG 8- Q1-WEEK 1.docx
 
WEEK 7 ENGLISH 8 AND 10 VERY FINAL.docx
WEEK 7 ENGLISH 8 AND 10 VERY FINAL.docxWEEK 7 ENGLISH 8 AND 10 VERY FINAL.docx
WEEK 7 ENGLISH 8 AND 10 VERY FINAL.docx
 
LP- EAPP.pdf
LP- EAPP.pdfLP- EAPP.pdf
LP- EAPP.pdf
 

More from simonithomas47935

Hours, A. (2014). Reading Fairy Tales and Playing A Way of Treati.docx
Hours, A. (2014). Reading Fairy Tales and Playing A Way of Treati.docxHours, A. (2014). Reading Fairy Tales and Playing A Way of Treati.docx
Hours, A. (2014). Reading Fairy Tales and Playing A Way of Treati.docxsimonithomas47935
 
How are authentication and authorization alike and how are the.docx
How are authentication and authorization alike and how are the.docxHow are authentication and authorization alike and how are the.docx
How are authentication and authorization alike and how are the.docxsimonithomas47935
 
How are self-esteem and self-concept different What is the or.docx
How are self-esteem and self-concept different What is the or.docxHow are self-esteem and self-concept different What is the or.docx
How are self-esteem and self-concept different What is the or.docxsimonithomas47935
 
How are morality and religion similar and how are they different.docx
How are morality and religion similar and how are they different.docxHow are morality and religion similar and how are they different.docx
How are morality and religion similar and how are they different.docxsimonithomas47935
 
How are financial statements used to evaluate business activities.docx
How are financial statements used to evaluate business activities.docxHow are financial statements used to evaluate business activities.docx
How are financial statements used to evaluate business activities.docxsimonithomas47935
 
How are Japanese and Chinese Americans similar How are they differe.docx
How are Japanese and Chinese Americans similar How are they differe.docxHow are Japanese and Chinese Americans similar How are they differe.docx
How are Japanese and Chinese Americans similar How are they differe.docxsimonithomas47935
 
Hot Spot PolicingPlace can be an important aspect of crime and.docx
Hot Spot PolicingPlace can be an important aspect of crime and.docxHot Spot PolicingPlace can be an important aspect of crime and.docx
Hot Spot PolicingPlace can be an important aspect of crime and.docxsimonithomas47935
 
HOSP3075 Brand Analysis Paper 1This is the first of three assignme.docx
HOSP3075 Brand Analysis Paper 1This is the first of three assignme.docxHOSP3075 Brand Analysis Paper 1This is the first of three assignme.docx
HOSP3075 Brand Analysis Paper 1This is the first of three assignme.docxsimonithomas47935
 
Hou, J., Li, Y., Yu, J. & Shi, W. (2020). A Survey on Digital Fo.docx
Hou, J., Li, Y., Yu, J. & Shi, W. (2020). A Survey on Digital Fo.docxHou, J., Li, Y., Yu, J. & Shi, W. (2020). A Survey on Digital Fo.docx
Hou, J., Li, Y., Yu, J. & Shi, W. (2020). A Survey on Digital Fo.docxsimonithomas47935
 
How (Not) to be Secular by James K.A. SmithSecular (1)—the ea.docx
How (Not) to be Secular by James K.A. SmithSecular (1)—the ea.docxHow (Not) to be Secular by James K.A. SmithSecular (1)—the ea.docx
How (Not) to be Secular by James K.A. SmithSecular (1)—the ea.docxsimonithomas47935
 
Hopefully, you enjoyed this class on Digital Media and Society.Q.docx
Hopefully, you enjoyed this class on Digital Media and Society.Q.docxHopefully, you enjoyed this class on Digital Media and Society.Q.docx
Hopefully, you enjoyed this class on Digital Media and Society.Q.docxsimonithomas47935
 
hoose (1) one childhood experience from the list provided below..docx
hoose (1) one childhood experience from the list provided below..docxhoose (1) one childhood experience from the list provided below..docx
hoose (1) one childhood experience from the list provided below..docxsimonithomas47935
 
honesty, hard work, caring, excellence HIS 1110 Dr. .docx
honesty, hard work, caring, excellence  HIS 1110      Dr. .docxhonesty, hard work, caring, excellence  HIS 1110      Dr. .docx
honesty, hard work, caring, excellence HIS 1110 Dr. .docxsimonithomas47935
 
hoose one of the four following visualsImage courtesy o.docx
hoose one of the four following visualsImage courtesy o.docxhoose one of the four following visualsImage courtesy o.docx
hoose one of the four following visualsImage courtesy o.docxsimonithomas47935
 
HomeworkChoose a site used by the public such as a supermark.docx
HomeworkChoose a site used by the public such as a supermark.docxHomeworkChoose a site used by the public such as a supermark.docx
HomeworkChoose a site used by the public such as a supermark.docxsimonithomas47935
 
Homework 2 Please answer the following questions in small paragraph.docx
Homework 2 Please answer the following questions in small paragraph.docxHomework 2 Please answer the following questions in small paragraph.docx
Homework 2 Please answer the following questions in small paragraph.docxsimonithomas47935
 
HomeNotificationsMy CommunityBBA 2010-16J-5A21-S1, Introductio.docx
HomeNotificationsMy CommunityBBA 2010-16J-5A21-S1, Introductio.docxHomeNotificationsMy CommunityBBA 2010-16J-5A21-S1, Introductio.docx
HomeNotificationsMy CommunityBBA 2010-16J-5A21-S1, Introductio.docxsimonithomas47935
 
HomeAnnouncementsSyllabusDiscussionsQuizzesGra.docx
HomeAnnouncementsSyllabusDiscussionsQuizzesGra.docxHomeAnnouncementsSyllabusDiscussionsQuizzesGra.docx
HomeAnnouncementsSyllabusDiscussionsQuizzesGra.docxsimonithomas47935
 
Homeless The Motel Kids of Orange CountyWrite a 1-2 page pa.docx
Homeless The Motel Kids of Orange CountyWrite a 1-2 page pa.docxHomeless The Motel Kids of Orange CountyWrite a 1-2 page pa.docx
Homeless The Motel Kids of Orange CountyWrite a 1-2 page pa.docxsimonithomas47935
 
Home work 8 Date 042220201. what are the different between.docx
Home work  8 Date 042220201. what are the  different between.docxHome work  8 Date 042220201. what are the  different between.docx
Home work 8 Date 042220201. what are the different between.docxsimonithomas47935
 

More from simonithomas47935 (20)

Hours, A. (2014). Reading Fairy Tales and Playing A Way of Treati.docx
Hours, A. (2014). Reading Fairy Tales and Playing A Way of Treati.docxHours, A. (2014). Reading Fairy Tales and Playing A Way of Treati.docx
Hours, A. (2014). Reading Fairy Tales and Playing A Way of Treati.docx
 
How are authentication and authorization alike and how are the.docx
How are authentication and authorization alike and how are the.docxHow are authentication and authorization alike and how are the.docx
How are authentication and authorization alike and how are the.docx
 
How are self-esteem and self-concept different What is the or.docx
How are self-esteem and self-concept different What is the or.docxHow are self-esteem and self-concept different What is the or.docx
How are self-esteem and self-concept different What is the or.docx
 
How are morality and religion similar and how are they different.docx
How are morality and religion similar and how are they different.docxHow are morality and religion similar and how are they different.docx
How are morality and religion similar and how are they different.docx
 
How are financial statements used to evaluate business activities.docx
How are financial statements used to evaluate business activities.docxHow are financial statements used to evaluate business activities.docx
How are financial statements used to evaluate business activities.docx
 
How are Japanese and Chinese Americans similar How are they differe.docx
How are Japanese and Chinese Americans similar How are they differe.docxHow are Japanese and Chinese Americans similar How are they differe.docx
How are Japanese and Chinese Americans similar How are they differe.docx
 
Hot Spot PolicingPlace can be an important aspect of crime and.docx
Hot Spot PolicingPlace can be an important aspect of crime and.docxHot Spot PolicingPlace can be an important aspect of crime and.docx
Hot Spot PolicingPlace can be an important aspect of crime and.docx
 
HOSP3075 Brand Analysis Paper 1This is the first of three assignme.docx
HOSP3075 Brand Analysis Paper 1This is the first of three assignme.docxHOSP3075 Brand Analysis Paper 1This is the first of three assignme.docx
HOSP3075 Brand Analysis Paper 1This is the first of three assignme.docx
 
Hou, J., Li, Y., Yu, J. & Shi, W. (2020). A Survey on Digital Fo.docx
Hou, J., Li, Y., Yu, J. & Shi, W. (2020). A Survey on Digital Fo.docxHou, J., Li, Y., Yu, J. & Shi, W. (2020). A Survey on Digital Fo.docx
Hou, J., Li, Y., Yu, J. & Shi, W. (2020). A Survey on Digital Fo.docx
 
How (Not) to be Secular by James K.A. SmithSecular (1)—the ea.docx
How (Not) to be Secular by James K.A. SmithSecular (1)—the ea.docxHow (Not) to be Secular by James K.A. SmithSecular (1)—the ea.docx
How (Not) to be Secular by James K.A. SmithSecular (1)—the ea.docx
 
Hopefully, you enjoyed this class on Digital Media and Society.Q.docx
Hopefully, you enjoyed this class on Digital Media and Society.Q.docxHopefully, you enjoyed this class on Digital Media and Society.Q.docx
Hopefully, you enjoyed this class on Digital Media and Society.Q.docx
 
hoose (1) one childhood experience from the list provided below..docx
hoose (1) one childhood experience from the list provided below..docxhoose (1) one childhood experience from the list provided below..docx
hoose (1) one childhood experience from the list provided below..docx
 
honesty, hard work, caring, excellence HIS 1110 Dr. .docx
honesty, hard work, caring, excellence  HIS 1110      Dr. .docxhonesty, hard work, caring, excellence  HIS 1110      Dr. .docx
honesty, hard work, caring, excellence HIS 1110 Dr. .docx
 
hoose one of the four following visualsImage courtesy o.docx
hoose one of the four following visualsImage courtesy o.docxhoose one of the four following visualsImage courtesy o.docx
hoose one of the four following visualsImage courtesy o.docx
 
HomeworkChoose a site used by the public such as a supermark.docx
HomeworkChoose a site used by the public such as a supermark.docxHomeworkChoose a site used by the public such as a supermark.docx
HomeworkChoose a site used by the public such as a supermark.docx
 
Homework 2 Please answer the following questions in small paragraph.docx
Homework 2 Please answer the following questions in small paragraph.docxHomework 2 Please answer the following questions in small paragraph.docx
Homework 2 Please answer the following questions in small paragraph.docx
 
HomeNotificationsMy CommunityBBA 2010-16J-5A21-S1, Introductio.docx
HomeNotificationsMy CommunityBBA 2010-16J-5A21-S1, Introductio.docxHomeNotificationsMy CommunityBBA 2010-16J-5A21-S1, Introductio.docx
HomeNotificationsMy CommunityBBA 2010-16J-5A21-S1, Introductio.docx
 
HomeAnnouncementsSyllabusDiscussionsQuizzesGra.docx
HomeAnnouncementsSyllabusDiscussionsQuizzesGra.docxHomeAnnouncementsSyllabusDiscussionsQuizzesGra.docx
HomeAnnouncementsSyllabusDiscussionsQuizzesGra.docx
 
Homeless The Motel Kids of Orange CountyWrite a 1-2 page pa.docx
Homeless The Motel Kids of Orange CountyWrite a 1-2 page pa.docxHomeless The Motel Kids of Orange CountyWrite a 1-2 page pa.docx
Homeless The Motel Kids of Orange CountyWrite a 1-2 page pa.docx
 
Home work 8 Date 042220201. what are the different between.docx
Home work  8 Date 042220201. what are the  different between.docxHome work  8 Date 042220201. what are the  different between.docx
Home work 8 Date 042220201. what are the different between.docx
 

Recently uploaded

The Most Excellent Way | 1 Corinthians 13
The Most Excellent Way | 1 Corinthians 13The Most Excellent Way | 1 Corinthians 13
The Most Excellent Way | 1 Corinthians 13Steve Thomason
 
Computed Fields and api Depends in the Odoo 17
Computed Fields and api Depends in the Odoo 17Computed Fields and api Depends in the Odoo 17
Computed Fields and api Depends in the Odoo 17Celine George
 
Sanyam Choudhary Chemistry practical.pdf
Sanyam Choudhary Chemistry practical.pdfSanyam Choudhary Chemistry practical.pdf
Sanyam Choudhary Chemistry practical.pdfsanyamsingh5019
 
History Class XII Ch. 3 Kinship, Caste and Class (1).pptx
History Class XII Ch. 3 Kinship, Caste and Class (1).pptxHistory Class XII Ch. 3 Kinship, Caste and Class (1).pptx
History Class XII Ch. 3 Kinship, Caste and Class (1).pptxsocialsciencegdgrohi
 
Organic Name Reactions for the students and aspirants of Chemistry12th.pptx
Organic Name Reactions  for the students and aspirants of Chemistry12th.pptxOrganic Name Reactions  for the students and aspirants of Chemistry12th.pptx
Organic Name Reactions for the students and aspirants of Chemistry12th.pptxVS Mahajan Coaching Centre
 
Paris 2024 Olympic Geographies - an activity
Paris 2024 Olympic Geographies - an activityParis 2024 Olympic Geographies - an activity
Paris 2024 Olympic Geographies - an activityGeoBlogs
 
POINT- BIOCHEMISTRY SEM 2 ENZYMES UNIT 5.pptx
POINT- BIOCHEMISTRY SEM 2 ENZYMES UNIT 5.pptxPOINT- BIOCHEMISTRY SEM 2 ENZYMES UNIT 5.pptx
POINT- BIOCHEMISTRY SEM 2 ENZYMES UNIT 5.pptxSayali Powar
 
CARE OF CHILD IN INCUBATOR..........pptx
CARE OF CHILD IN INCUBATOR..........pptxCARE OF CHILD IN INCUBATOR..........pptx
CARE OF CHILD IN INCUBATOR..........pptxGaneshChakor2
 
Mastering the Unannounced Regulatory Inspection
Mastering the Unannounced Regulatory InspectionMastering the Unannounced Regulatory Inspection
Mastering the Unannounced Regulatory InspectionSafetyChain Software
 
Class 11 Legal Studies Ch-1 Concept of State .pdf
Class 11 Legal Studies Ch-1 Concept of State .pdfClass 11 Legal Studies Ch-1 Concept of State .pdf
Class 11 Legal Studies Ch-1 Concept of State .pdfakmcokerachita
 
internship ppt on smartinternz platform as salesforce developer
internship ppt on smartinternz platform as salesforce developerinternship ppt on smartinternz platform as salesforce developer
internship ppt on smartinternz platform as salesforce developerunnathinaik
 
Presiding Officer Training module 2024 lok sabha elections
Presiding Officer Training module 2024 lok sabha electionsPresiding Officer Training module 2024 lok sabha elections
Presiding Officer Training module 2024 lok sabha electionsanshu789521
 
Incoming and Outgoing Shipments in 1 STEP Using Odoo 17
Incoming and Outgoing Shipments in 1 STEP Using Odoo 17Incoming and Outgoing Shipments in 1 STEP Using Odoo 17
Incoming and Outgoing Shipments in 1 STEP Using Odoo 17Celine George
 
Biting mechanism of poisonous snakes.pdf
Biting mechanism of poisonous snakes.pdfBiting mechanism of poisonous snakes.pdf
Biting mechanism of poisonous snakes.pdfadityarao40181
 
Crayon Activity Handout For the Crayon A
Crayon Activity Handout For the Crayon ACrayon Activity Handout For the Crayon A
Crayon Activity Handout For the Crayon AUnboundStockton
 
Introduction to AI in Higher Education_draft.pptx
Introduction to AI in Higher Education_draft.pptxIntroduction to AI in Higher Education_draft.pptx
Introduction to AI in Higher Education_draft.pptxpboyjonauth
 
18-04-UA_REPORT_MEDIALITERAСY_INDEX-DM_23-1-final-eng.pdf
18-04-UA_REPORT_MEDIALITERAСY_INDEX-DM_23-1-final-eng.pdf18-04-UA_REPORT_MEDIALITERAСY_INDEX-DM_23-1-final-eng.pdf
18-04-UA_REPORT_MEDIALITERAСY_INDEX-DM_23-1-final-eng.pdfssuser54595a
 
Kisan Call Centre - To harness potential of ICT in Agriculture by answer farm...
Kisan Call Centre - To harness potential of ICT in Agriculture by answer farm...Kisan Call Centre - To harness potential of ICT in Agriculture by answer farm...
Kisan Call Centre - To harness potential of ICT in Agriculture by answer farm...Krashi Coaching
 
Final demo Grade 9 for demo Plan dessert.pptx
Final demo Grade 9 for demo Plan dessert.pptxFinal demo Grade 9 for demo Plan dessert.pptx
Final demo Grade 9 for demo Plan dessert.pptxAvyJaneVismanos
 

Recently uploaded (20)

The Most Excellent Way | 1 Corinthians 13
The Most Excellent Way | 1 Corinthians 13The Most Excellent Way | 1 Corinthians 13
The Most Excellent Way | 1 Corinthians 13
 
Computed Fields and api Depends in the Odoo 17
Computed Fields and api Depends in the Odoo 17Computed Fields and api Depends in the Odoo 17
Computed Fields and api Depends in the Odoo 17
 
Sanyam Choudhary Chemistry practical.pdf
Sanyam Choudhary Chemistry practical.pdfSanyam Choudhary Chemistry practical.pdf
Sanyam Choudhary Chemistry practical.pdf
 
History Class XII Ch. 3 Kinship, Caste and Class (1).pptx
History Class XII Ch. 3 Kinship, Caste and Class (1).pptxHistory Class XII Ch. 3 Kinship, Caste and Class (1).pptx
History Class XII Ch. 3 Kinship, Caste and Class (1).pptx
 
Organic Name Reactions for the students and aspirants of Chemistry12th.pptx
Organic Name Reactions  for the students and aspirants of Chemistry12th.pptxOrganic Name Reactions  for the students and aspirants of Chemistry12th.pptx
Organic Name Reactions for the students and aspirants of Chemistry12th.pptx
 
Paris 2024 Olympic Geographies - an activity
Paris 2024 Olympic Geographies - an activityParis 2024 Olympic Geographies - an activity
Paris 2024 Olympic Geographies - an activity
 
POINT- BIOCHEMISTRY SEM 2 ENZYMES UNIT 5.pptx
POINT- BIOCHEMISTRY SEM 2 ENZYMES UNIT 5.pptxPOINT- BIOCHEMISTRY SEM 2 ENZYMES UNIT 5.pptx
POINT- BIOCHEMISTRY SEM 2 ENZYMES UNIT 5.pptx
 
CARE OF CHILD IN INCUBATOR..........pptx
CARE OF CHILD IN INCUBATOR..........pptxCARE OF CHILD IN INCUBATOR..........pptx
CARE OF CHILD IN INCUBATOR..........pptx
 
Mastering the Unannounced Regulatory Inspection
Mastering the Unannounced Regulatory InspectionMastering the Unannounced Regulatory Inspection
Mastering the Unannounced Regulatory Inspection
 
Class 11 Legal Studies Ch-1 Concept of State .pdf
Class 11 Legal Studies Ch-1 Concept of State .pdfClass 11 Legal Studies Ch-1 Concept of State .pdf
Class 11 Legal Studies Ch-1 Concept of State .pdf
 
Model Call Girl in Tilak Nagar Delhi reach out to us at 🔝9953056974🔝
Model Call Girl in Tilak Nagar Delhi reach out to us at 🔝9953056974🔝Model Call Girl in Tilak Nagar Delhi reach out to us at 🔝9953056974🔝
Model Call Girl in Tilak Nagar Delhi reach out to us at 🔝9953056974🔝
 
internship ppt on smartinternz platform as salesforce developer
internship ppt on smartinternz platform as salesforce developerinternship ppt on smartinternz platform as salesforce developer
internship ppt on smartinternz platform as salesforce developer
 
Presiding Officer Training module 2024 lok sabha elections
Presiding Officer Training module 2024 lok sabha electionsPresiding Officer Training module 2024 lok sabha elections
Presiding Officer Training module 2024 lok sabha elections
 
Incoming and Outgoing Shipments in 1 STEP Using Odoo 17
Incoming and Outgoing Shipments in 1 STEP Using Odoo 17Incoming and Outgoing Shipments in 1 STEP Using Odoo 17
Incoming and Outgoing Shipments in 1 STEP Using Odoo 17
 
Biting mechanism of poisonous snakes.pdf
Biting mechanism of poisonous snakes.pdfBiting mechanism of poisonous snakes.pdf
Biting mechanism of poisonous snakes.pdf
 
Crayon Activity Handout For the Crayon A
Crayon Activity Handout For the Crayon ACrayon Activity Handout For the Crayon A
Crayon Activity Handout For the Crayon A
 
Introduction to AI in Higher Education_draft.pptx
Introduction to AI in Higher Education_draft.pptxIntroduction to AI in Higher Education_draft.pptx
Introduction to AI in Higher Education_draft.pptx
 
18-04-UA_REPORT_MEDIALITERAСY_INDEX-DM_23-1-final-eng.pdf
18-04-UA_REPORT_MEDIALITERAСY_INDEX-DM_23-1-final-eng.pdf18-04-UA_REPORT_MEDIALITERAСY_INDEX-DM_23-1-final-eng.pdf
18-04-UA_REPORT_MEDIALITERAСY_INDEX-DM_23-1-final-eng.pdf
 
Kisan Call Centre - To harness potential of ICT in Agriculture by answer farm...
Kisan Call Centre - To harness potential of ICT in Agriculture by answer farm...Kisan Call Centre - To harness potential of ICT in Agriculture by answer farm...
Kisan Call Centre - To harness potential of ICT in Agriculture by answer farm...
 
Final demo Grade 9 for demo Plan dessert.pptx
Final demo Grade 9 for demo Plan dessert.pptxFinal demo Grade 9 for demo Plan dessert.pptx
Final demo Grade 9 for demo Plan dessert.pptx
 

Designing Curriculum Instruction and AssessmentAssignment1. Ma.docx

  • 1. Designing Curriculum Instruction and Assessment Assignment 1. Make the corrections in the highlight area of your instructional plan. 2. Create assessment data from instructional plan. Highlight area. Setting/Grade Level: Grade 6 Subject(s): Reading/Language Arts School: Florida Theme/Title: Poem- Lincoln the Leader 1. PLANNING Standards Addressed This lesson Address the History of United States of America and the poem that describes President Abraham Lincoln. 1. The National Center For History in Schools- the student gets the opportunity to engage in historical study and interpretation hence is able to understand diverse historical information. 2. NCTE Standards for English Language Arts- Students read widely to develop their understanding of texts, themselves and the cultures of the United States and other countries of the world, to gain knowledge on how to respond to various needs of the society and for personal fulfillment. 3. Florida State Standards: Students will use primary and secondary information sources to study and interpret the history of United States, to describe important events in the past and to interpret different perspectives. LAFS.6.L.3.5: Demonstrate understanding of figurative language, word relationships, and nuances in word meanings.
  • 2. a) LAFS.6.RL.1.1: Cite textual evidence to support analysis of what the text says explicitly as well as inferences drawn from the text. b) LAFS.6.RL.2.6: Explain how an author develops the point of view of the narrator or speaker in a text. c) LAFS.6.SL.2.4: Present claims and findings, sequencing ideas logically and using pertinent descriptions, facts, and details to accentuate main ideas or themes; use appropriate eye contact, adequate volume, and clear pronunciation. d) LAFS.6.RL.2.4: Determine the meaning of words and phrases, as they will; be used in a text including figurative and connotative meanings; analyze the impact of a specific word choice on meaning and tone. e) LAFS.6.W.3.9 Draw evidence from literary or information texts to support analysis, reflection and research. (a) Apply grade 6 reading standards to literature. 1. PLANNING Learning Outcomes/SMART Goals Instructional Time: 4 hours. Make corrections: Add smart goals in this lesson. What should students know and be able to do because of this lesson? · Using the poem “Lincoln Walks at midnight,” students will understand that poet depicts the ghost of Lincoln pacing the streets of Springfield, Illinois his hometown tormented by the dreadful slaughter of the war.
  • 3. · Student will be able to identify how figurative language, vocabulary and imagery affect the mood and tone of the poem. · Using the poem, student will be able to visualize the events that formed Lincoln. · Using the poem students will be able to write a position paper using textual evidence to support their claim about Lincoln in the poem. 1. PLANNING Learning Objectives (at least two) a) Students will understand the use of figurative language, vocabulary and historical connotations to form images and enhance understanding of the main ideas presented in a poem. (Make corrections: How is this measureable? b) Students will understand what a poem is and how it is wrote. c) Be able to visualize the events and symbols that formed Lincoln's burdens.( This is not specific enough) 1. PLANNING Bloom’s Revised Taxonomy ☐ Remembering ☐ Understanding ☐ Applying ☐ Analyzing
  • 4. ☐ Evaluating ☐ Creating 1. PLANNING Real World Contexts Real world context included in this lesson is the existence of warlords around the world. This lesson makes the readers understand Lincoln’s desire for world peace. The student has the opportunity to improve their vocabulary, reading ability as well as improve their comprehension of literary works. These skills are of great important for their college life. 1. PLANNING Collaboration Students can also learn through collaboration: · By using heterogeneous small group activities, student can learn through collaboration and cooperation with peers. · Listen to and Read. The second Inaugural Address of President Abraham Lincoln, Washington, DC, and March 4, 1865. Students will use a Venn diagram or T-Chart discuss the similarities and differences regarding Lincoln’s character as found in the poem.
  • 5. 2. METHODOLOGY Learning Experience/ Activity Introductory/Anticipatory Set ( Make corrections add sensory chart) The teacher will introduce Abraham Lincoln to the class, providing an overview of his work using mind map to facilitate discussion as well as to assess the student’s prior knowledge. The student will be expected to respond to questions such as; a) Who was Lincoln? b) What were some notable events during his presidency? c) What was his professional background? d) What do you know about the civil war? Building/Applying Knowledge and Skills by engaging students in their learning. a) The teacher will make use of a portrait of Abraham Lincoln to introduce Lincoln, activate prior knowledge regarding the civil war and Lincoln himself. b) The teacher will divided into heterogeneous groups consisting of low performing and high performing students. The poem “Lincoln Walks at Midnight” will be introduce to the students. Each student is the provided with a copy of the poem. The teacher will then read the poem loud and provide the students with an audio copy of the poem. c) Students proceed to read the poems in their respective groups first as an individual then as a group.
  • 6. d) The teacher will then model a think-aloud situation for students to enable them comprehend the idea that are expected of them when analyzing a poem stanzas. The reading & understanding poetry the teacher document walks teacher through the questions and answers need for the think-aloud of the first stanza. e) The teacher will also show the sensory details charts that may assist student comprehension. The sensory details chart is scaffold to support students to identify the senses used in the poem to understand the mood and tone of the piece as well as the images created by the poet. f) The teacher will then ask each small group to continue with the reading of the poem. Students will take marginal notes in their groups and discuss their finding with their groups. Students will use their reading and understanding poetry document and the sensory detail charts to make their notes. g) The teacher will then give a whole group final oral reading or presentation of the poem or opt for the audio link. Both teacher and student share their thoughts and finding. Students will clarify vocabulary and reference. In order to fully comprehend the poem and its message. The teacher will share the presentation rubric with students before students return to work in their small groups. Extension/Enrichment/Transfer or Generalization of Knowledge that engages students in their learning. a) At the end of the lesson, post a memorable quote of Lincoln on the board every day for a week with a minute reference to it and its meaning. Students could react to each quotation in their journals. b) Encourage students to do further research and independent studies on Abraham Lincoln using references listed in lesson
  • 7. plan. c) Invite a Lincoln historical interpreter to speak to the class. d) Organize a student trip to Abraham Lincoln Birthplace National Historic Site to allow students view historical artifacts, photographs, curriculum guides and other resources. Diversity of instruction in the lesson: Audio recording facilities will be availed to students to assist those who need further assistance to improve their listening comprehension skills. Think-Pair-Share: Students will divided into heterogeneous groups to work on their understanding of the poem and share their findings with the whole class. Synthesis/Closure: a) Students engage in a final oral discussion to analyze poetry, poetic language as well as express their final thoughts about the contribution of Abraham Lincoln to the country as well as the image painted of Abraham Lincoln in the poem. b) Review concepts of the lesson and refer to the essential questions written on the board. Ask students to respond to the on-demand writing prompt. Use rubric on prompt to score writing and assess learning of lesson concepts 2. METHODOLOGY Instructional Strategies ☐ Constructions Standard: Objective:
  • 8. ☐ Nonlinguistic Representations Standard: Objective: ☐ Cooperative Learning Standard: LAFS.6.RL.2.6 Objective: Explain how an author develops the point of view of the narrator or speaker in a text. ☐ Peer Editing Standard: Objective: ☐ Discovery Standard:LAFS.6.RL.2.4 Objective: Determine the meaning of words and phrases as they are used in a text, including figurative and connotative meanings
  • 9. ☐ Practice/Drill Standard: Objective: ☐ Discussion/Questioning Standard: LAFS.6.RL.2.4 Objective: analyze the impact of a specific word choice on meaning and tone. ☐ Practicum Standard: Objective: ☐ Experiment Standard: Objective: ☐
  • 10. Problem Solving Standard: Objective: ☐ Field Study Standard: Objective: ☐ Questions, Cues, and Advance Organizers Standard: LAFS.6.SL.2.4 Objective: Present claims and findings, sequencing ideas logically and using pertinent descriptions, facts, and details to accentuate main ideas or themes; use appropriate eye contact, adequate volume, and clear pronunciation ☐ Graphic Organizers Standard: Objective: ☐ Reflection/Response Standard: LAFS.6.L.3.5 Objective: Demonstrate understanding of figurative language,
  • 11. word relationships, and nuances in word meanings ☐ Generating and Testing Hypothesis Standard: Objective: ☐ Reinforcing Effort and Providing Recognition Standard: Objective: ☐ Homework and Practice Standard: LAFS.6.L.3.5 Objective: ☐ Reporting Standard: Objective: ☐ Identifying Similarities and Differences
  • 12. Standard: Objective: ☐ Role-playing Standard: Objective: ☐ Independent Learning Standard:LAFS.6.RL.1.1 Objective: Cite textual evidence to support analysis of what the text says explicitly as well as inferences drawn from the text. ☐ Setting Objectives and Providing Feedback Standard: LAFS.6.L.3.5 Objective: Demonstrate understanding of figurative language, word relationships, and nuances in word meanings. ☐ Journal Standard: Objective: ☐ Simulation
  • 13. Standard: Objective: ☐ Laboratory Standard: Objective: ☐ Summarizing and Note Taking Standard: LAFS.6.L.3.5 Objective: Demonstrate understanding of figurative language, word relationships, and nuances in word meanings. ☐ Lecture Standard: LAFS.6.SL.2.4 Objective: Present claims and findings, sequencing ideas logically and using pertinent descriptions, facts, and details to accentuate main ideas or themes; use appropriate eye contact, adequate volume, and clear pronunciation ☐ Viewing/Listening/Answering Standard: LAFS.6.SL.2.4 Objective: Present claims and findings, sequencing ideas
  • 14. logically and using pertinent descriptions, facts, and details to accentuate main ideas or themes; use appropriate eye contact, adequate volume, and clear pronunciation ☐ Library Research Standard: Objective: ☐ Other (Please specify) : Standard: Objective: The strategies takes the student through the six levels of Bloom Taxonomy: Knowledge, Comprehension, Application, Analysis, Synthesis and evaluation. The students reached the evaluation level of taxonomy. The activities that support these areas of Bloom taxonomy includes individual reading, group reading, discussion, and class presentation and teacher guidance. Teacher will divide the class into groups. The groups shall be heterogeneous consisting both low performing and high performing students. This will allow the students learn through collaboration and cooperation with peer. 3. MATERIALS
  • 15. Materials Used T = FOR TEACHER S = FOR STUDENT Include at least one digital material. T S Materials used T S Technology utilized ☐ ☐ Lincoln Walks at Midnight ☐ ☐ Cassettes/CDs ☐ ☐ Mood and Tone ☐ ☐ Graphing or Scientific Calculator ☐ ☐ Position Paper Rubric ☐
  • 16. ☐ Slides ☐ ☐ Lincoln 4 corners ☐ ☐ Tape Recorder ☐ ☐ Lincoln Guiding Questions ☐ ☐ VCR/TV/DVD/Laser disc ☐ ☐ Lincoln Presentation Rubric ☐ ☐ Assistive Technology ☐ ☐ Lincoln Reading and Understanding Poetry ☐ ☐ Cell Phone/Mobile Device ☐ ☐ Lincoln sensory details chart ☐ ☐
  • 17. Digital/Video Camera ☐ ☐ ☐ ☐ Concept Mapping Software ☐ ☐ ☐ ☐ Social Networking ☐ ☐ ☐ ☐ Virtual World (e.g., Second Life) ☐ ☐ ☐ ☐ Interactive Gaming ☐ ☐ ☐ ☐ Interactive White Board (e.g., SMART Board) ☐ ☐ ☐ ☐
  • 18. Distance Learning/Webcast ☐ ☐ ☐ ☐ Computer Software ☐ ☐ ☐ ☐ Weblog (Blog) ☐ ☐ ☐ ☐ Wiki ☐ ☐ ☐ ☐ Internet Research/Website ☐ ☐ ☐ ☐ Podcast/Vodcast ☐ ☐ ☐ ☐
  • 19. E-mail ☐ ☐ ☐ ☐ Presentation Software (e.g., PowerPoint) ☐ ☐ ☐ ☐ Virtual Field Trip ☐ ☐ ☐ ☐ Interactive Gaming ☐ ☐ ☐ ☐ Other (Please specify): Worksheet Why did you choose these materials? The materials will aid the student identify how figurative language, vocabulary and imagery affect the mood and tone of a poem. Using the materials the students will be able to visualize the events and symbols that formed Lincoln's burdens. The materials will enable the students write a position paper using textual evidence to support their claim about Lincoln in the poem.
  • 20. 1. ASSESSMENT/EVALUATION Assessment Options ☐ ☐ Application Exam Standard: Objective: ☐ ☐ Objective Test Standard: Objective: ☐ ☐ Concept Mapping Standard:LAFS.6.L.3.5 Objective: Demonstrate understanding of figurative language, word relationships, and nuances in word meanings ☐ ☐ Observation Standard: Objective: ☐ ☐ Parent Evaluation Standard: Objective: ☐ ☐
  • 21. Contract Standard: Objective: ☐ ☐ Peer Evaluation Standard:LAFS.6.L.3.5 Objective: Demonstrate understanding of figurative language, word relationships, and nuances in word meanings ☐ ☐ Checklist Standard: Objective: ☐ ☐ Self-Evaluation Standard: LAFS.6.L.3.5 Objective: Demonstrate understanding of figurative language, word relationships, and nuances in word meanings ☐ ☐ Performance Task Standard: LAFS.6.SL.2.4 Objective: Present claims and findings, sequencing ideas logically and using pertinent descriptions, facts, and details to accentuate main ideas or themes; use appropriate eye contact, adequate volume, and clear pronunciation ☐ ☐ Inventory Standard: Objective: ☐ ☐ Portfolio
  • 22. Standard: Objective: ☐ ☐ Quantitative Scale Standard: Objective: ☐ ☐ Rating Scales Standard: Objective: ☐ ☐ Rubric Standard: Objective: ☐ ☐ Scored Discussion Standard: Objective: ☐ ☐ Journal Standard: Objective: ☐ ☐ Problem-Solving Assessment Standard: Objective: ☐
  • 23. ☐ Other (Please specify): Standard: Objective: Teacher will use series of tasks that measure student achievement of one or more objectives. They will include formative and summative assessment. Summative Assessment: Essay · What kind of image does the poet create when describing Abraham Lincoln? Cite evidence from the poem to support your point of view. · Because students are familiar with the peer-editing model and teacher provided rubric from the previous lesson in this unit. Students will work in their identified small groups and give, and receive feedback from teacher and peers regarding their position papers by using the peer-editing model and the teacher will provide rubric. · Student will then re-write their papers base on the feedback. Teacher will then provide feedback to students via the position paper rubric with a final grade. Formative Assessment: · Teacher will introduce who Lincoln was as well as his work and era by using web/mind map to activate prior knowledge and to enable discussion. Teacher will let students’ responses to the following questions: Who was Lincoln? What was his original profession? If students have no or limited background knowledge, teacher will use the link from the lesson content section to assist with the information. · Students will read the poem and take marginal notes in order to answer the questions regarding imagery and vocabulary for understanding and inference. The teacher will model this activity to ensure that students understand the expectation and
  • 24. requirements. The teacher will monitor comprehension of the activity by interacting with small groups and by asking questions. The teacher may use the presentation rubric to ensure that all students in small groups are participating. · Students will work on highlighted vocabulary on the teacher copy of the poem with the assistance of four comer graphic organizer in their reading response journals. The teacher will model activity using the attachment “Four Comers First Stanza” so that students will be familiar with understanding the meaning of the archaic language found in the poem. Feedback to Students: · Teacher will use “Think-A-Louds” and complete the Lincoln “Web” on board with the assistance of students. · Teacher will give written feedback in reading response journals to address the comprehension of guiding questions, vocabulary and using the four corners graphic organizer. The teacher will choose a few journals daily to review while students work on guiding questions and vocabulary. These assessments will help me determine if my students have achieved the goals that I set for this lesson. This lesson’s main objective to be ensures that students are able to read and comprehend poems. These assessments are, done in the initial stages of the lesson and towards the end of the lesson. This way the tutor is able to gauge improvements that the students have gained because of the lesson. How will you use this assessment data to inform your instruction? Use current literature (within the last five years) to support your rationale. The use of student data to improve instruction is a central tenet
  • 25. of current education policy. Current efforts to improve school performance are calling on teachers to base their instructional decisions on data. Assessment drives instruction since it provides information that helps the teacher develop the next steps for varied learners and the class. Assessment should be continuous from the time the class begins, throughout the unit and towards the end of the unit. Assessments are, carried out to determine the readiness, interest and learning capabilities of the students. Means, B., Chen, E., DeBarger, A., & Padilla, C. (2011). Teachers' Ability to Use Data to Inform Instruction: Challenges and Supports. Office of Planning, Evaluation and Policy Development, US Department of Education. 1. LEARNERS Differentiation Curriculum may vary in complexity to align to the respectable level of every student in the class. The teacher will differentiate the curriculum by putting in place clear academic criteria that students understand. The curriculum will, be aligned to learning target of this topic to ensure it addresses significant content. How will you differentiate instruction to meet diverse student needs? a) Allow time for plenty of practice and learning. b) Use peer tutors. c) Underline important directions, key words. d) Tape-record stories and use other technologies of recording audio classes and poems e) Keep directions simple, write them out, or give them orally. f) Provide low reading level, high-interest reading material
  • 26. geared to the student’s interests. g) Use visuals and manipulative materials when available. h) Use cooperative learning strategies. How will you differentiate assessment to meet diverse student needs? a) Give shorter assignments, and allow more time for completion. b) Break assignments into smaller, manageable parts. c) Give immediate feedback and lots of encouragement 5. LEARNERS Diversity The teacher will be at all times sensitive to cultural diversity of the students. Ensure that the student is able to translate, comprehend and interpret the information correctly. · The audio recording will assist students who are struggling readers and who need additional assistance with listening comprehensions skills with the reading and re-reading of the poem. · Teacher will discuss interpreting elements of prose and poetry with students so that they understand the difference between literal meaning and figurative meaning as well as the elements that create images in the reader’s head. Student Work Samples Assess the students’ knowledge of the subject prior to the learning activities.
  • 27. Administer a test at the end of the lesson to assess the student’s comprehension of the lesson. Student assessment based on the lesson goals. Performance task In this assessment, students should be able to: Students should be able to clearly, describe whom Lincoln was. Know what kind of image the poet creates when describing Abraham Lincoln citing relevant evidences from the poem. Students should be able to remember some notable events during Lincoln presidency. Students should be able to explain professional background of Lincoln about civil war. Students should be in a position to fully understand and analyze the poem. Students should be in a position to identify and explain the stylistic devices used by the poet through the help of illustrations from the poem. Performance rubric Criteria Levels of achievement 3 points 2 points 1 points Content All the questions are well covered. The student is able to analyze the content clearly. The student is able to bring extra- points. Ability to analyze the poem extremely good fully with all the required points All the questions are covered. The student is able to analyze content. Major points, were brought up, correctly. Points are, brought out correctly. the poem is analyzed correctly Almost all questions are covered. Fair analysis of the poem with few major points brought up. The student fairly analyzes the
  • 28. poem Quality of information Discussion was detailed, thorough, and supported with peer- reviewed, research and examples. Well discussed points with few illustrations Fairly discussed points with very few or no example/illustrations Organization Introduction and conclusion are included. Information is very organized with well-constructed paragraphs Introduction and conclusion are included and the work is quite organized No introduction and conclusion and fairly organized work Format Minimal or no grammatical, spelling, or punctuation errors are present Some grammatical errors and few punctuation error Poor grammar and numerous punctuation errors Section 2: Create assessment data of your instructional plan Reference Means, B., Chen, E., DeBarger, A., & Padilla, C. (2011). Teachers' Ability to Use Data to Inform Instruction: Challenges and Supports. Office of Planning, Evaluation and Policy Development, US Department of Education. Bloom’s Taxonomy action verbs. California State University, Fresno. (n.d.). Bloom’s taxonomy action verbs. Retrieved December 6, 2015, from http://www.fresnostate.edu/academics/oie/documents/assesment s/Blooms%20Level.pdf
  • 29. Lincoln the Leader http://www.cpalms.org/Public/PreviewResourceLesson/Preview/ 44310 Copy of Smart goal chart: Need to be added in lesson plan. The Wal-Mart Effect and Business, Ethics, and Society R. Edward Freeman* S ome time around 1980 or so, when the business world was abuzz with In Search of Excellence, I happened to work on an executive education program with Tom Peters. He told me that I just had to go and visit a Wal-Mart. This crazy guy, Sam Walton, was going to change the landscape of business, and in Peters’ eyes the guy was “bril- liant.” Taking Peters seriously, and as a former K-Mart employee, I sought out a Wal-Mart. I walked in with a “scientific” mindset to see what the fuss was about. The greeter welcomed me with a friendly smile and a “Welcome to Wal-Mart.” I found myself looking to buy something within 5 minutes. A lot of water has gone over the Wal- Mart dam in the last 25 years. And, recently, we have been treated to articles, books, films, and
  • 30. cases on what is now an American icon. The rise of Wal-Mart has produced a number of effects that many commentators find surprising. I want to argue that our understanding of Wal-Mart illuminates a large gap in our understanding of business organizations. However, I want to suggest that what a recent observer calls “the Wal-Mart effect” (Fishman 2006a; 2006b) can be better de- scribed as “the stakeholder effect.” If we can un- derstand Wal-Mart with a stakeholder context, then we can see what is wrong with our current understanding of business; what went wrong at Wal-Mart; and what the company is currently doing to make things right. The Wal-Mart Effect I n a recent essay, Charles Fishman has suggested that Wal-Mart is reshaping how we see business (Fishman 2006a). He takes us conceptually in- side Wal-Mart and asks us to make some judg- ments about how the company is managed and what its effects really are. What he is really doing is a kind of clinical case study complete with real people. Wal-Mart and its stakeholders are human- ized, not made into qualitative variables that have inter-rater reliability. The stakeholders that Fish- man writes about portray what McVea and Free- man (2005) call “a names and faces approach.” This approach is especially important for re- search in business, ethics, and society. Too much
  • 31. work has already been done in the spirit of making the field legitimate—i.e., conducting studies that are “acceptable” to mainstream management jour- nals. Yet, business, ethics, and society as a field is— or should be—profoundly critical. Scholars in this area should be critical of the research meth- ods— or “methodolatry” as some have suggested (Freeman 2005)—assumptions, conceptual schemes, and requisite apparatus of mainstream scholarship. Fishman shows us one path to accom- plish such a critical perspective. His analysis yields insight and is enormously pragmatic. Unlike many scholars in business, ethics, and society, Fishman has an open mind about Wal- Mart. Unfortunately, he seems to have missed the fact that a number of scholars simply “know” that Wal-Mart is the cause of much of the misery that goes on in the world, from poverty to outsourcing. Fishman fails to recognize that what he is really arguing against is the traditional theory of business and capitalism. This traditional theory, or standard story, or “narrow economic view of business,” holds that we should be able to understand what goes on at Wal-Mart in purely economic terms. The tradi- tional theory says that Wal-Mart, like any busi- ness is trying to maximize returns for shareholders, that it provides benefits to customers and employ- * R. Edward Freeman ([email protected]) is the Elis and Signe Olsson Professor of Business Administration & Director, Olsson Center for Applied Ethics at the Darden School of Business of the University of Virginia.
  • 32. 38 AugustAcademy of Management Perspectives ees which are understandable in purely economic terms. Of course there may be some “knock-on” effects, but for the most part these will be minimal and manageable by government. Wal-Mart is no different from any other business, according to this standard account. Nothing could be further from today’s business reality. The traditional theory simply can’t ac- count for the growth and development of eco- nomic, political, social, and technological enter- prises like Wal-Mart, Hewlett Packard, Citibank, and others. The impact, which Fishman calls “the Wal-Mart effect,” reaches far beyond economic consequences and motivations. Not only does Wal-Mart affect its customers through offering “everyday low prices,” its employees by their jobs and benefits, and its shareholders through returns, it also impacts communities, suppliers, NGOs, media, governments, critics, and a host of others. In fact, what Fishman discovers is less about Wal- Mart and more about our common (and flawed) understanding of business and capitalism. The Stakeholder Effect F ishman claims that the sheer scope and scale of Wal-Mart is what gives rise to these effects. He is correct that the scope and scale of Wal-Mart makes these effects impossible to miss, but they
  • 33. have been present since the opening of the first Wal-Mart and every other business start-up. Any business is a set of relationships among at least customers, suppliers, employees, communities, and financiers (the people with the money). At some particular points along a business’ develop- ment one or some of these stakeholders may be more important than another. Once a business is established, all of these stakeholders become im- portant to the value creation process and the management’s job is to keep these stakeholder interests all moving in the same direction. As companies get even bigger, other groups become stakeholders. In Wal-Mart’s case these include governments, NGOs, critics, academics, media, and others. Let’s call this idea the Stakeholder Effect and define it in the following way: Any business affects or can be affected by the actions of customers, employees, suppliers, communities, fin- anciers, and possibly others. As companies grow and develop, some stakeholders become more important than others, and new stakeholders sometimes emerge. If you expect the stakeholder effect to be visible in purely economic terms, you will have ignored most of the actual practice of business during the past century. The stakeholder effect is not new. Perhaps at the turn of the twentieth century it might have been called the “Carnegie effect” or later the “DuPont effect.” In some industries we may have called it the “Medicare effect” or “oil shock effect.” From the old adage about “What’s good for General Motors is good for the USA,” to the current public policy about oil prices, global
  • 34. warming, and environmental policy, business has never been “just about the economics.” Until very recently we had little systematic way to account for and understand these stakeholder effects. However, for the past 40 years a group of scholars, working primarily in the area of manage- ment known as “Business, Ethics, and Society” have developed a way of advancing our conversa- tion about the stakeholder effects of business. They have employed a variety of concepts such as stakeholder theory, corporate social responsibility, the triple bottom line, social contracts, and oth- ers. The point here is not that one or more of these are correct, but that there is a body of work that validates exactly what Fishman is telling us. Wal-Mart and the Stakeholder Effect T hrough this lens, we can see what has really gone wrong at Wal-Mart. By focusing its busi- ness strategy within the context of the tradi- tional theory, Wal-Mart executives could come to see their fanatical emphasis on “Always low prices. Always.” as clearly acceptable. In fact, we should not be surprised to find that they are in fact surprised when their critics take them to task for being “good businesspersons.” Fishman tells us as much. The Wal-Mart executives would naturally see themselves as acting within the accepted bounds of our common understanding of capital- ism. Competition is supposed to lower prices. Cus- tomers are supposed to win. Businesses are ex- pected to continually build better mousetraps to
  • 35. stay ahead of the competition. And, Wal-Mart has been a continuous source of innovation that 2006 39Freeman has affected all stakeholders that it touches. And, all is expected to be right with the world if this is done. Business is just more complex. In today’s world the first and most important question for a busi- ness executive to ask is: “What is our purpose, and how does it make each of our stakeholders better off?” At a minimum a business should be able to articulate a clear and agreeable answer for custom- ers, employees, suppliers, financiers, and commu- nities. If there is no answer, then in a relatively free and open society, these groups or their repre- sentatives (some self-appointed) will use the po- litical process to try and find redress. And, that is the current mess in which Wal- Mart finds itself. It can’t do much right, simply because it is trying to tell its story in the narrow economic mode. Wal-Mart’s response to critics who say it is ruinous of communities should be, according to the standard theory: “Well, mom and pop shops have been ripping you off for years, and people vote for us by shopping at Wal-Mart, even those who don’t like us.” Unfortunately, this re- sponse is beside the point. It couches the new “stakeholder reality” in the old economic story. Fortunately, there is a clear and compelling
  • 36. path for Wal-Mart, one on which they have al- ready embarked. They must adopt a philosophy of “stakeholder engagement” and apply the same level of passion and engagement to making the rest of their stakeholders better off, in addition to customers. There is little reason to believe that Wal-Mart cannot do this, if they see the need. Already, they have undertaken to work on the community issue by addressing the environmental impacts of their stores and goods, as well as their impact on existing businesses in new communities in which they want to locate. They have begun a process to repair the relationship with their asso- ciates, and I’m sure there are other initiatives of which I am unaware. Is it too late? Only if Wal-Mart’s executives and critics alike fail to see that the stakeholder effect is in fact the reality of twenty-first century business. Executives ignore stakeholders at the peril of the survival of their companies. Critics need to see companies as better able to engage their concerns directly, rather than through the coercive power of government. All of us need to come to see capitalism and business for what it really is: a system of voluntary social cooperation through which we create value for each other. The old story about Wal-Mart is long dead. Long live the new Wal-Mart. References Fishman, C. 2006a. Wal-Mart and the decent society: Who knew shopping was so important? Academy of Manage- ment Perspectives, 21(3).
  • 37. Fishman, C. 2006b. The Wal-Mart effect. New York: Penguin Press. Freeman, R. E. 2004. The relevance of Richard Rorty to management research. Academy of Management Review, 29: 127–130. McVea, J. F. & Freeman, R. E. 2005. A names-and-faces approach to stakeholder management: How focusing on stakeholders as individuals can bring ethics and entre- preneurial strategy together. Journal of Management In- quiry, 14: 57– 69. 40 AugustAcademy of Management Perspectives Unconventional Insights for Managing Stakeholder Trust S U M M E R 2 0 0 8 V O L . 4 9 N O . 4 R E P R I N T N U M B E R 4 9 4 1 3 Michael Pirson and Deepak Malhotra Please note that gray areas reflect artwork that has been intentionally removed. The substantive content of the article appears as originally published.
  • 38. SUMMER 2008 MIT SLOAN MANAGEMENT REVIEW 43 I nitiatives to build and maintain trust with various stakehold- ers — customers, employees, suppliers and investors — have risen to the top of the executive agenda at many organiza- tions. We continually hear about “tr ansparency” initiatives, open-door policies and 360-degree evaluations, customer-retention programs, voluntary product recalls, initiatives for corporate social responsibility, rethinking of “customers as partners” and other trust-building moves. But the problem is that most companies don’t really understand how to manage stakeholder trust effectively. In fact, our research suggests that many of the trust-building initiatives and approaches that organizations invest in may be of questionable value. Others might actually destroy trust. One of the reasons managing stakeholder trust is difficult is because there are many different stakeholder groups, each with its own particular needs and perspective. That is, trust is multi-
  • 39. dimensional, and it’s not obvious which dimension executives need to focus on when dealing with any particular constituency. Consider the following: An employee might trust his supervisor because he believes that she expresses genuine concern for his well-being, or because she is a very competent manager, or for both reasons. In turn, the supervisor might trust the employee because she perceives that his values are congruent with hers, or because she can rely on him to get work done efficiently, or for both reasons. In a different context, the investment community might trust a company because top executives are perceived as having integrity, or because they possess superior management skills, or because they have taken steps to increase transparency, or because of some other reason entirely. And so on. So which dimension of trust should companies target?
  • 40. Specifically, what’s more important for building trust: a reputation for kind-hearted benevolence or for fair-minded integrity? Which is more critical: managerial proficiency or technical competence? When does value congruence matter? And are initiatives aimed at increasing transparency worth the effort? Unconventional Insights for Managing Stakeholder Trust Michael Pirson is a research fellow with the Hauser Center for Nonprofit Organizations at the John F. Kennedy School of Government, Harvard University and a lecturer at the Harvard Extension School. Deepak Malhotra is an associate professor of business administration at the Harvard Business School and the coauthor of Negotiation Genius (Bantam Books, 2007). Comment on this article or contact the authors at [email protected] Many companies invest considerable time and energy trying to build trust with customers,
  • 41. employees, suppliers and investors. Why are some of those efforts doomed to fail? Michael Pirson and Deepak Malhotra M A N A G I N G R E P U T A T I O N SLOANREVIEW.MIT.EDU www.sloanreview.mit.edu 44 MIT SLOAN MANAGEMENT REVIEW SUMMER 2008 SLOANREVIEW.MIT.EDU To investigate such issues, we conducted a study of stake- holder trust in four different organizations. (See “About the Research,” p. 47.) The research analyzed the relevance (if any) of various factors (benevolence, integrity, managerial competence, technical competence, transparency and value congruence) to different stakeholders (customers, suppliers, employees and investors). In essence, we asked what matters — and to whom.
  • 42. Some of the results were unsurprising. Customers, for instance, stated that a company’s level of technical competence strongly influences the degree to which they trust the company. Other findings were unexpected, and a few were even counterintuitive, leading us to the following key insights: Transparency is over- rated; integrity is not enough; the right kind of competence matters; building trust with one group can destroy it with another; and value congruence matters across the board. (See “The Truth About Stakeholder Trust.”) A closer look at each insight provides important lessons for companies trying to build and sustain trusting relationships with stakeholders. Transparency Is Overrated The 2001 collapse of Enron Corp. and a slew of other corporate scandals in the United States helped usher in an era of general distrust of big business. Most observers, including many public policymakers, concluded quickly that a lack of transparency was the problem. As a consequence, most of the proposed remedies have focused on increasing the availability of information to stake-
  • 43. holders who might be vulnerable. Thus, the Sarbanes-Oxley Act of 2002 requires companies to follow better reporting standards; the U.S. Securities and Exchange Commission’s Regulation Fair Disclosure regulates against the selective disclosure of information to analysts and influential stockholders; and corporate governance codes call for the publication of executive compensation packages. These remedies presumably increase transparency, making it difficult for executives to engage in illicit activities. If this is so, they serve a very important purpose. We have found, however, that transparency seems to have little relevance in terms of building stakeholder trust. That is, whether M A N A G I N G R E P U T A T I O N Conventional Wisdom Reality To increase stakeholder trust, companies need to make their operations more transparent.
  • 44. Transparency actually can diminish trust depending on what is disclosed. Transparency with respect to executive compensation, for example, might easily decrease trust if it reveals no apparent link between pay and performance. Integrity is crucial for building trust. Integrity is important, but stakeholders who engage with the company on a regular basis (many employees and customers, for example) must also feel that the organization cares about their personal well-being. Even well-meaning, ethical organizations can destroy trust if they are perceived as being fair but callous. To engender trust, businesses must continually display competency in what they do. Nobody trusts the incompetent, but people don’t all demand the same kind of know-how. Employees and investors look most for managerial competence, whereas customers and suppliers are more concerned about technical proficiency. When trust is compromised, a company should act quickly to remedy the situa- tion with the stakeholder group that’s been affected. Managers first need to determine who all the relevant stakeholder groups are. Only then can they deploy a balanced approach to managing
  • 45. trust that takes into account the various concerns and interests of the different parties. Otherwise, an organization might find itself exacerbating one problem even as it solves another. The desire to identify with the values of an organization is an important factor in building trust only for employees, regular customers and others who have a close relationship with the company. Identification (or value congruence) is important for all stakeholders. That is, not only employees and customers, but also suppliers, investors and stakeholders of all types are interested in associating with organizations that they can identify with — and that they perceive match their values. The Truth About Stakeholder Trust www.sloanreview.mit.edu SUMMER 2008 MIT SLOAN MANAGEMENT REVIEW 45SLOANREVIEW.MIT.EDU companies disclose information may have little effect on their perceived trustworthiness. In fact, of the various factors we stud- ied, transparency was the only one that did not affect trust for any
  • 46. stakeholder group. What explains this? First, consider that forced disclosure might actually reduce the quality of what is disclosed. Although fair-disclosure procedures ensure that every investor is provided with the same information at the same time, there is some evidence that the quality of infor- mation shared has diminished since Regulation Fair Disclosure went into effect.1 Some Wall Street observers complain that companies that used to share sensitive information willingly (with at least a subset of stakeholders) are now delaying or with- holding important information. In addition, past research suggests that career concerns among executives can create perverse incentives in the face of financial disclosure: Executives might focus more on managing the visible numbers (the stock price, market share and so on) than on strategic initiatives that could improve the long-term survival and profitability prospects of the company but that are not rewarded in the short run.2
  • 47. Second, whether information is disclosed might matter less than what is disclosed. For example, transparency regarding executive compensation might do little to build trust if it reveals vast disparities between the pay of people on the front lines versus those in the corner offices. Fairness perceptions are crucial to building trust within organizations, and seemingly oversized executive pay packages make it difficult for employees to identify with management.3 Especially when there is no apparent link between executive compensation and perfor- mance, perceptions of fairness are damaged and trust diminishes. In such cases, attempts to build trust through transparency can easily backfire. Finally, some empirical evidence suggests that disclosure, far from being a remedy, can in fact exacerbate the problems it is supposed to fix. In a fascinating experiment inspired by recent accounting scandals, participants playing the role of “adviser” had to tell their “clients” that they had a vested stake in overstat-
  • 48. ing the value of a particular asset. Theoretically, the disclosure of a potential conflict of interest should result in a more honest interaction, eventually leading to a more trusting relationship. But what really happened? Advisers who were required to dis- close their bias felt more comfortable exaggerating information. After all, they reasoned, “I already told them I was biased.” Worse still, clients perceived these advisers as more trustworthy because they had disclosed their conflict of interest. In other words, advisers would have been more truthful, and clients would have been more careful, if there had been no disclosure at all.4 For a real-life example of the disconnect between transpar- ency and trust, consider Porsche Automobil Holding SE, the German luxury-car manufacturer. Ever since Deutsche Börse AG, the German stock exchange, implemented new reporting standards in 2001, Porsche has refused to submit the required quarterly reports. The company contends that quarterly num-
  • 49. bers can be misleading because of its highly cyclical business, and it has criticized Deutsche Börse for placing more value on formal rules than on the quality of information disclosed.5 As a result of its stand, Porsche has been excluded from the mid-cap index and has faced threats of being delisted, but the company still refuses to comply and continues to publish only six-month and full-year results. The result of the standoff? Following its exclusion from the mid-cap index in 2001, Porsche share prices plummeted by 40% in six weeks. But the stock then rebounded, returning to its pre- exclusion level within four months, and it has steadily advanced to new heights each year since. Not only do investors continue to trust the company, but prospective employees do as well: Porsche remains among the most popular potential employers in Europe. In one study, graduating engineers placed the company on the top of their employer wish list.6 Other stakeholders concur. The general public consistently lists Porsche as one of the most repu-
  • 50. table businesses in Germany, and customers worldwide have rewarded the company with continuously rising profits at a time when many other car manufacturers around the world have seen their profits decline.7 Integrity Is Not Enough Not surprisingly, perceptions of honesty and integrity are crucial to trust for all stakeholders. However, for people who engage with an organization on a regular basis, integrity is not enough. These “high-intensity” stakeholders also must perceive that the organization cares about their well-being. In other words, benevolence toward the individual, not just good character and fair dealing, is critical. Product recalls are a case in point. In 2007 alone, hundreds of products were recalled for reasons ranging from Salmonella bacteria in spinach to exploding batteries in computers. Com- panies that recall defective products early and proactively are likely to be perceived as having greater integrity than those that deny or ignore the problem until action is forced on them by
  • 51. public or governmental pressure. But even some high-integrity companies that issue voluntary recalls find that they have irrevo- cably damaged consumer trust, whereas others walk away from the experience unscathed — or in some cases with enhanced consumer trust. The difference is in the degree to which a com- pany is able to signal concern for the well-being of individual consumers. Consider what happened to The Coca-Cola Co. in Europe. In early June 1999, more than 240 people in Belgium and France reported intestinal problems after drinking Coke, prompting the Belgian government to ban Coke products for 10 days. Even though there was no clear evidence that Coke products were the www.sloanreview.mit.edu 46 MIT SLOAN MANAGEMENT REVIEW SUMMER 2008 SLOANREVIEW.MIT.EDU culprit, the company decided to recall beverages from five Euro- pean countries, 17 million cases in total, making it the biggest recall
  • 52. in the company’s history. CEO M. Douglas Ivester publicly stated that ensuring the quality of its products was Coca-Cola’s highest priority. “For 113 years our success has been based on the trust that consumers have in that quality,” he said. “That trust is sacred to us.”8 Coca-Cola quickly apologized and assumed responsibility, citing two quality-control issues (impure carbon dioxide and contaminated wooden pallets) as potential causes. Although it was later found that Coke products were not responsible for the reported health problems, the company had proactively demon- strated benevolence not just in word but also in deed by offering to cover health care costs for anyone who had been affected by the incident. Moreover, as a gesture of goodwill, Coca-Cola also offered free products to each of Belgium’s 4.4 million homes. Less than two months after the initial incidents, research indicated that
  • 53. core consumers of Coke products reported the same levels of intent to purchase as before the crisis had hit.9 Three years later, sales in Belgium were reportedly better than ever.10 Contrast that with Coca-Cola’s experience in India. In August 2003, a report by the Centre for Science and Environment, a New Delhi, India-based environmental advocacy group, argued that Coca-Cola and other producers of soft drinks were selling bever- ages containing high levels of pesticides. Here, Coke decided to approach the problem differently. Along with other soft-drink producers, Coca-Cola quickly refuted CSE’s claims, presented its own data to the public, accused the CSE of attacking it to further CSE’s own cause and announced it would sue the organization. Those actions might have bolstered the public’s perceptions of Coca-Cola’s integrity, but they displayed a conspicuous lack of concern for the well-being of individual consumers. The result:
  • 54. Sales dropped by 30% to 40% in only two weeks, leading to a yearly sales decline of 15% in 2003 (compared with prior annual growth rates of 25% to 30%).11 Moreover, even after India’s health minister had questioned the validity of CSE’s methods12 and governmental as well as independent research labs had cleared Coca-Cola of the allegations, the company still paid for a loss of consumer trust. In 2006, it reported continuously declining sales volumes and losses that far exceeded the investments made.13 Other companies have also learned the importance of demon- strating concern for the well-being of customers. In July 2007, Apple Inc. introduced the iPhone, a much anticipated product, and priced it at $599. But only two months later — sooner than anyone had anticipated — the price dropped to $399. People who had already purchased the product felt mistreated and sent angry e-mails to the company. In response, CEO Steve Jobs issued an open letter to Apple customers. He first defended the price cut as
  • 55. the right strategic move for Apple and justified the decision by stating that substantive drops in price were standard in the technology industry — in other words, that Apple had not acted unethically. But Jobs then acknowledged that Apple needed “to do a better job taking care of our early iPhone customers. … Our early customers trusted us, and we must live up to that trust with our actions in moments like these.” He then offered $100 in store credit for Apple products to anyone who had purchased the iPhone at the higher price. In doing so, he helped maintain a sense of trust among the company’s most ardent fans and customers.14 Without that gesture of benevolence, Apple might have faced a huge consumer backlash. The Right Kind of Competence Matters Nobody trusts the incompetent, but people don’t all demand the same kind of know-how. Internal stakeholders, such as employees and investors, look most for evidence of managerial competence: executives’ ability to control costs and lead the work
  • 56. force in the organization’s efforts to be competitive and create value. External stakeholders, such as customers and suppliers, typically care less about managerial competence and much more about technical know-how: the organization’s ability to produce goods and services of high quality and deal effectively with supply-chain issues. Even high levels of competence in one area can’t offset insufficient competence in the other, sometimes leading to stakeholder distrust and organizational failure. Delta Air Lines Inc. provides a vivid example. Hailed widely for its operational excellence, Delta has been credited with the invention of the hub-and-spoke model for airlines and for being at the forefront of state-of-the-art technology, including internal management software, ticket kiosks and online travel agencies. Delta has also been touted as a pioneer in travel comforts, being among the first to offer iPod plug-ins and airline seats that allow passengers to lie flat. Such technical accomplishments helped Delta gain the trust of its external stakeholders, especially customers.15
  • 57. Unfortunately, Delta failed to demonstrate similar levels of managerial competence. Among its various missteps were a highly publicized executive compensation scandal that destroyed trust between management and workers, massive layoffs in 2004 that continued through 2006 and a delay in pursuing cost- cutting strategies even in the face of rising fuel costs and increased competition from low-fare carriers.16 Not only did such episodes of managerial incompetence eventually force the airline to declare bankruptcy in September 2005 (it later emerged from bankruptcy and announced its intention to merge with North- west Airlines), they also severely shook the trust of internal stakeholders — both employees and investors. On the other hand, managerial proficiency without technical competency can be equally damaging. In early 2004, Sprint was the third largest wireless phone company in the United States, serving about 20 million customers. Its primary competitors had each managed to acquire twice as many customers due to a
  • 58. series M A N A G I N G R E P U T A T I O N www.sloanreview.mit.edu SUMMER 2008 MIT SLOAN MANAGEMENT REVIEW 47SLOANREVIEW.MIT.EDU of mergers (Cingular Wireless, which acquired AT&T Wireless Systems, had approximately 46 million customers, and Verizon Wireless served about 41 million people). Sprint responded by acquiring Nextel Communications, the fifth largest wireless phone provider, which had 15 million customers, becoming Sprint Nextel Corp. Sprint’s management was determined to boost investor confidence by building market share with a deal that was expected to create synergies and reduce costs. Analysts applauded the merger, and the company’s stock rose by almost 30% over the next 15 months. But others weren’t so enthusiastic. Motorola Inc., one of Nextel’s key suppliers, soon discov-
  • 59. ered that its proprietary network would be phased out within two years of the merger in favor of a system run by Sprint. This reduced Motorola’s commitment to the relationship, and the transition was beset with technical problems.17 In 2006, 300,000 customers can- celed their service, mostly blaming the poor quality of the former Nextel network, and Sprint’s reputation for customer service took a huge hit.18 In an April 2007 poll by Zogby Inter- national Inc., Sprint ranked lowest in a customer service satisfaction rating of all industry players in the United States. Customer complaints became so frequent that in an unprecedented move, Sprint itself decided to terminate at least 1,000 service contracts with people who had called customer service “too often.” In the case of Delta, no amount of technical
  • 60. competence and innovation could have salvaged the trust lost with employees and investors due to perceived managerial incom- petence. With Sprint, a focus on long-term viability and competitiveness (managerial competence) did little to offset the distrust of customers who had suffered from a lack of technical competence. Building Trust With One Group Can Destroy It With Another Managing trust is a complex process because stakeholder groups have different needs, and efforts aimed at solving one trust problem can exacerbate others. Consider the case of Deutsche Bundesbahn, the German railway, which was once a state-owned organization known for its technical excellence. Customers trusted its service and reliability so much that they used the compliment, “You are as punctual as the Deutsche
  • 61. Bundesbahn.” Unfortunately, though, the organization was not being run as efficiently as it could be, suffering high operating losses. In an effort to boost managerial competence, the railway was privatized as Deutsche Bahn Aktiengesellschaft in 1994. The result? The organization is now earning substantial profits and is preparing for an initial public offering. According to We have studied trust in organizations across four major categories of stakeholders: customers, employees, suppliers and investors. (Note: We define trust as the psycho- logical willingness of a party to be vulnerable to the actions of another individual or organization based on positive expectations regarding the other party’s motivation and/or behavior.) To aid in our analysis, we developed a framework that differenti- ated across stakeholder groups along two dimensions. The first measures the intensity of a relationship, based on length and frequency of interactions. The second relates to whether a stakeholder is inside or outside the organization.
  • 62. The two dimensions — intensity and locus — create four archetypes of stake- holders. (See “Categorization of Stakeholders,” p. 48.) It should be noted that actual stakeholder groups will not necessarily be perfectly aligned with any of the four archetypes. For example, a stakeholder’s relationship with an organization can be of “moderate” intensity (instead of “high” or “low”), and some stakeholders will have multiple affiliations (for example, as an employee and a customer). As such, the four quadrants of stakeholders should be viewed more as a general “map” rather than as a table of four clearly demarcated cells. As an example that approximates the model case in reality, each stakeholder group in our study can be associated with one of the archetypes: customers (high-intensity, external), suppliers (low- intensity, external), employees (high-intensity, internal) or investors (low-intensity, internal). We investigated trust across the different categories of stakeholders at four
  • 63. differently structured organizations: a small- to medium-sized manufacturer in Switzerland, a large logistical company in Germany, a Western European branch of an international consulting firm and a public university in Switzerland. In particular, we studied the importance of six factors — integrity, managerial competence, technical competence, benevolence, transparency and identification (or value congruence) — to the different stakeholders. Nearly 1,300 stakeholders — employees, customers, investors and suppliers — from the four organizations participated in the study. People who reported more than 100 interactions and more than three years of contact with the organization were classified as having a high-intensity relationship. Those with fewer than 100 interactions or less than three years of contact were classified as low-intensity stakeholders. In addition, by definition people were classified as either internal (employees and investors) or external (customers and
  • 64. suppliers). (Note: Investors are classified as internal because they are, in effect, owners of the organization.) From the data, we were able to determine what factors were important to which stakeholders. (See “What Matters to Whom,” p. 49.) For instance, we found that people in low-intensity relationships did not base their trust on benevolence (the perceived concern of the organization toward the stakeholder), but people in high-intensity rela- tionships did. And integrity was significantly more relevant for people in low-intensity relationships than in high-intensity ones. Some of the findings were surprising and a few were even counterintuitive. Those results are discussed in detail in this article. About the Research www.sloanreview.mit.edu SLOANREVIEW.MIT.EDU almost any standard, it is a successfully managed operation. But there’s a problem: Customer trust has plummeted. Poor service
  • 65. and constant delays have led to consistently poor reputation ratings even as profits have increased. The lesson is that unless a company takes a balanced approach to managing stakeholder trust, it can find itself exacerbating one problem even as it solves another. Consider toymaker Mattel Inc.’s painful saga. In August 2007, consumers learned that several of Mattel’s toy products were defective and that others were contaminated with lead paint. In the following weeks, the company issued three major product recalls involving more than 20 million items.19 In an effort to rebuild customer trust, CEO Robert A. Eckert publicly declared that Mattel itself had been “betrayed” by its Chinese suppliers. He asserted that these subcontractors had violated the company’s standards and had used unauthorized lead-based paint. To avoid future problems, Mattel management promised to implement a strict system that would include pre- and post-production controls aimed at suppliers and products.20 In addition, Mattel
  • 66. terminated its relationship with several suppliers. The aggressive response might have helped salvage customer goodwill, but the consequences for trust with other important stake- holders were devastating. The Chinese government was outraged by Mattel’s attack on Chinese businesses and institutions, and the owner of one Chinese toy factory reportedly committed suicide. Later, after it was found that most of the recalled items (17.4 million) had nothing to do with lead paint but rather with malfunctioning magnets, Chinese governmental officials demanded an apology.21 On September 21, Thomas Debrowski, Mattel’s executive vice presi- dent for worldwide operations, flew to Beijing and publicly issued the following mea culpa: “Mattel takes full responsibility … and apologizes personally to you, the Chinese people. ... it’s important for everyone to understand that the vast majority of these products that
  • 67. we recalled were the result of a flaw in Mattel’s design, not through a manufacturing flaw by Chinese manufacturers.”22 This time, Mattel’s strategy was aimed at rebuilding trust with the Chinese government and the Chinese suppliers, but this too led to its share of backlash. Sen. Charles Schumer echoed the reaction of consumer advocates across the United States when he likened Debrowski’s words to a “bank robber apologizing to his accomplice rather than the person who was robbed.” Although trust trade-offs are sometimes unavoidable, they can often be anticipated and their negative consequences mitigated. The key is to avoid defining the set of relevant stakeholders too narrowly. If Mattel had, from the outset, identified the multiple stakeholder groups that were affected by the recalls — and which would thus be affected by the company’s response — it might have taken a more balanced approach that considered the various
  • 68. concerns and interests of all those parties. Value Congruence Matters Across the Board One of the most underestimated determinants of trust is the desire of stakeholders to identify with the values of an organiza- tion. Many people believe that value congruence is important only in relatively few, close relationships, for example, between spouses, friends or close business partners. But we have found that although value congruence matters most to employees (that is, to individuals who are indeed closest to the organization), it is also an important factor for every other stakeholder group we studied. In other words, stakeholders of all types are interested in associating with organizations with whom they can identify — and with whom they perceive a match in values. Google Inc. illustrates the critical role that value congruence can play — both positively and negatively. When Sergey Brin and Larry Page took Google public in 2004, they created two share
  • 69. classes: Class A (for outside investors) would have just one-tenth the voting rights of Class B (for insiders). This sent a signal that Google insiders would remain in charge and that no outsiders could impose their values.23 48 MIT SLOAN MANAGEMENT REVIEW SUMMER 2008 M A N A G I N G R E P U T A T I O N Stakeholders can be categorized according to the intensity of their relationship with the company (based on length and frequency of interactions) and their locus (that is, whether they are inside or outside the organization). Those two dimensions — intensity and locus — can be plotted to create four archetypes. It should be noted that actual stake- holder groups will not necessarily be perfectly aligned with any of the four archetypes. For example, a stakeholder’s relationship with an organization can be of “moderate” depth, instead of “high” or “low.” But as a rough simplifica- tion that approximates the modal case in reality, the major
  • 70. categories of stakeholders — customers, suppliers, employ- ees and investors — can be loosely associated with one of the archetypes. Categorization of Stakeholders Locus Intensity External Internal Low High Investors Employees Suppliers Customers www.sloanreview.mit.edu SUMMER 2008 MIT SLOAN MANAGEMENT REVIEW 49SLOANREVIEW.MIT.EDU “[We] intend to operate Google differently, applying the values it has developed as a private company to its future as a public company,” Page explained. “We will live up to our ‘don’t be evil’ principle
  • 71. by keeping user trust and not accepting payment for search results. … [We] will do our best to make Google a long-term success and the world a better place.”24 Various stakeholders embraced Google’s values, which engendered high levels of trust. The company was named the best place to work;25 in several surveys it received stellar marks for its reputation;26 and its stock price soared. Recently, however, Google has come under fire, and a big source of the problem appears to be the company’s espoused values. In order to serve the Chinese market, Google made a deal with the government there to accept self-censorship for certain topic areas, such as the Tiananmen Square massacre, Tibet and the independence of Taiwan. Although competitors Microsoft Corp. and Yahoo! Inc. had made similar concessions, Google’s actions were seen as particularly reprehensible by many users because of the company’s values pledge (“don’t be evil”).27 As
  • 72. a consequence, people’s trust was severely shaken. Google execu- tives were compared to Nazi collaborators and had to appear in Congressional hearings to explain their actions. Protestors marched at the company’s headquarters in Mountain View, California.28 Later, Sergey Brin would admit that, “on a business level, that decision to censor ... was a net negative.”29 The online classified service craigslist inc. is another organiza- tion that views value congruence as a core company asset. Founder Craig Newmark is more likely to reference “the golden rule” than “the profit motive” when discussing appropriate guides for iden- tifying and achieving organizational objectives, and CEO Jim Buckmaster has told investment bankers and Wall Street analysts that monetizing its services and finding additional revenue sources in an effort to maximize profits is “not part of the goal.”30
  • 73. This approach appeals to craigslist’s customer base and employ- ees. (Our own data suggests that many stakeholders mistrust businesses in part because companies have a fiduciary responsi- bility — and usually strong incentives — to maximize shareholder value, and their behavior is hence perceived as opportunistic.31) But, of course, investors have a different perspective altogether. How might companies deal with this dilemma? On the one hand, craigslist has been growing at a remarkable rate and its expected market value (were it to issue an IPO) continues to increase even as it clings to the values it espoused at its founding. This suggests that a company can be values-driven without necessarily incurring a penalty in its market value. Furthermore, the success of “socially conscious funds”32 suggests that the conflict between investor values and the values of other stakeholders might be diminishing. On the other hand, unless a business is privately held (which craigslist is), it will likely
  • 74. encounter great difficulty if it continually resolves trust trade- offs by giving short shrift to investors. Rather, a more effective long- term approach might favor values-congruent operations and objectives within the constraints of fiduciary responsibility. Research has shown that, despite their fiduciary duty to maxi- mize shareholder value, managers have much more latitude in managing social responsibility than is often assumed. Moreover, a meta-analysis of past studies has found that the effect of corpo- rate social responsibility on financial performance is small but positive.33 In other words, companies can appease a diverse set of stakeholders (at least to a degree) without offending investors. Unfortunately, businesses seem to be doing poorly in terms of perceived value congruence and trust, and the overall reputation of corporations in the United States (and throughout the world) leaves much to be desired. In 2005, 71% of respondents in an annual
  • 75. survey rated the reputation of U.S. businesses as “not good” or “ter- rible.”34 Global businesses, meanwhile, were awarded negative trust ratings by a majority of respondents in more than 14 countries surveyed by the World Economic Forum in 2006.35 This is certainly bad news for businesses as a whole. But it also suggests an Different stakeholder groups do not place the same impor- tance on the different factors of trust studied: integrity, managerial competence, technical competence, benevo- lence, transparency and identification (or value congruence). For example, people in low-intensity relationships with a com- pany do not base their trust on benevolence, whereas people in high-intensity relationships do. What Matters to Whom Identification Managerial Competence Technical Competence
  • 77. Locus Intensity External Internal Low High Indicates that a specific trust element matters relatively more in this type of relationship than in another type of relationship. www.sloanreview.mit.edu 50 MIT SLOAN MANAGEMENT REVIEW SUMMER 2008 SLOANREVIEW.MIT.EDU opportunity to build trust and leverage it as a core asset for any company that can successfully balance fiduciary responsibility with a strong emphasis on stakeholder value congruence. STAKEHOLDERS DIFFER WITH REGARDS to the kinds and degrees of vulnerability they face. What they need to believe before they will trust a company also differs. Managers need to consider those varying needs and anticipate the trade-offs that exist in
  • 78. strength- ening relationships with employees, customers, suppliers, investors and others. In short, companies can’t take a one-size- fits-all approach to managing stakeholder trust. Nor can they simply leverage conventional wisdom. Our work provides an initial step toward building a stakeholder- specific model of organizational trust. The framework challenges some existing beliefs and sheds light on a number of areas that companies would be wise not to ignore. In particular, our results suggest that managers need to better understand the seemingly expansive role of value congruence and identification, more fully consider the contexts in which integrity without benevolence is a recipe for distrust, more carefully investigate the distinction between managerial and technical competence, and more rigor- ously evaluate the costs and benefits of transparency initiatives. Deeper knowledge in these and other areas will help companies become more adept at managing stakeholder trust so that they
  • 79. might reap the numerous benefits, including improved coopera- tion with suppliers, increased motivation and productivity among employees, enhanced loyalty from customers and higher levels of support from investors. REFERENCES 1. J. Weber, “Commentary: Give ‘Fair Disclosure’ Time to Work,” Busi- ness Week, Jan. 8, 2001. 2. See, for example, A. Brandenburger and B. Polak, “When Managers Cover Their Posteriors: Making the Decisions the Market Wants to See,” RAND Journal of Economics 27, no. 3 (autumn 1996): 523-541. 3. W. George, “Bill George: Nonperforming CEOs,” Sept. 6, 2007, www. businessweek.com. 4. D.M. Cain, G. Loewenstein and D.A. Moore, “The Dirt On Coming Clean: Perverse Effects of Disclosing Conflicts of Interests,” Journal of Legal Studies 34 (2005): 1-25. 5. “Porsche Faces Delisting From Index as Deutsche Boerse Readies Decision,” Aug. 7, 2001, www.cfo.com.
  • 80. 6. “Porsche Is Highly Regarded By Students in Europe,” July 30, 2007, www.automotoportal.com. 7. “Porsche Tops Quality Survey,” June 8, 2006, http://money.cnn.com; “Porsche Earnings Rise,” January 18, 2002, http://archives.cnn.com; and R. Alsop, “Corporate Reputation Survey: Best-Known Companies Aren’t Always Best Liked,” Wall Street Journal, Nov. 15, 2004, p. B4. 8. “Ivester Responds to Belgian Product Withdrawal,’’ KO Now, June 16, 1999; and “Coca-Cola ‘Regrets’ Contamination,” June 17, 1999, http:// news.bbc.co.uk. 9. V. Johnson and S.C. Peppas, “Crisis Management in Belgium: The Case of Coca-Cola,” Corporate Communications 8 (2003): 18- 22. 10. S. Leith, “Three Years After Recall, Coca-Cola Sales in Belgium Are Better Than Ever,” Atlanta Journal-Constitution, Aug. 26, 2002. 11. J. Kaye and P. Argenti, “Coca-Cola India,” Tuck School of Business at Dartmouth case no. 1-0085 (Hanover, New Hampshire: Tuck School of Business, 2004). 12. “India: Behind the Scare Over Pesticides in Pepsi and
  • 81. Coke,” Busi- ness Week, Sept. 4, 2006. 13. I. Basu, “Coke Still Floundering in India,” Asia Times, June 23, 2006. 14. J. Pine and J. Gilmore, “Apple’s ‘Phony’ Reaction to iPhone Custom- ers,” Sept. 10, 2007, http://conversationstarter.hbsp.com; and J. Martellaro, “iPhone Pricing: No Conspiracy, Rather Nimble Reactions,” Sept.14, 2007, www.ipodobserver.com. 15. P. Williams and J. Williams, “Why Good Companies Go ‘Bad’ — By Trying to Be Somebody They’re Not,” www.ravenwerks.com. 16. Williams and Williams, “Good Companies.” 17. J.E. Lappin, “The Unmaking of Motorola,” Jan. 25, 2007, www.forbes.com. 18. C. Oster, “The Customer Service Hall of Shame,” April 26, 2007, http://moneycentral.msn.com. 19. P.B. Kavilanz, “U.S. Biz Blamed for Dangerous Chinese Products,” Aug. 2, 2007, http://money.cnn.com. 20. “Mattel Recalls 18.2 Million Chinese-Made Toys,” Aug. 14, 2007, www.ctv.ca. 21. C. Chandler, “Why Mattel’s ‘Apology’ to China Only Makes
  • 82. It Worse,” Sept. 25, 2007, http://chasingthedragon.blogs.fortune.cnn.com. 22. “Mattel Sorry for ‘Design Flaws,’” Sept. 21, 2007, http://news.bbc.co.uk. 23. M. Lewis, “The Irresponsible Investor,” New York Times Magazine, June 6, 2004. 24. L. Page and S. Brin, “Letter From the Founders,” Aug. 18, 2004, http://investor.google.com. 25. “100 Best Companies to Work for: 2007,” Fortune, Jan. 22, 2007. 26. “How Boss’s Deeds Buff Firm’s Reputation,” Wall Street Journal, Jan. 31, 2007; and R. Alsop, “Ranking Corporate Reputations — Tech Companies Score High in Yearly Survey As Google Makes Its Debut in Third Place,” Wall Street Journal, Dec. 6, 2005, p. B1. 27. “Don’t Be Evil: Restoring the Public Trust in Business, Politics and the Media,” June 6, 2006, www.dontbeevil.com. 28. C. Thompson, “Google’s China Problem (and China’s Google Problem),” New York Times Magazine, April 23, 2006. 29. J. Martinson, “China Censorship Damaged Us, Google Founders Admit,” Guardian, Jan. 27, 2007.
  • 83. 30. “Craigslist Meets the Capitalists,” Dec. 8, 2006, http://dealbook. blogs.nytimes.com. 31. M. Pirson, “Facing the Trust Gap: Measuring and Managing Stake- holder Trust” (Ph.D. diss., University of St. Gallen, 2007), www.unisg. ch/www/edis.nsf/. 32. S. Asci, “Socially Conscious Fund Firms Spread Their Asset-Class Wings,” Investment News, Dec. 10, 2007. 33. J. Margolis and J.P. Walsh, “Misery Loves Companies: Rethinking Social Initiatives By Business,” Administrative Science Quarterly 48, no. 2 (June 2003): 268-305. 34. Alsop, “Ranking Corporate Reputations.” 35. B. Coursey, “Trust Trends: Confidence in NGOs On the Rise,” Feb. 13, 2006, www.ethicalcorp.com. Reprint 49413. Copyright © Massachusetts Institute of Technology, 2008. All rights reserved. M A N A G I N G R E P U T A T I O N www.sloanreview.mit.edu www.businessweek.com www.cfo.com www.automotoportal.com
  • 84. http://news.bbc.co.uk www.ethicalcorp.com www.unisg.ch/www/edis.nsf/ http://dealbook.blogs.nytimes.com www.dontbeevil.com http://news.bbc.co.uk www.ctv.ca http://money.cnn.com http://moneycentral.msn.com www.forbes.com www.ravenwerks.com www.ipodobserver.com http://conversationstarter.hbsp.com http://chasingthedragon.blogs.fortune.cnn.com PDFs ■ Reprints ■ Permission to Copy ■ Back Issues Articles published in MIT Sloan Management Review are copyrighted by the Massachusetts Institute of Technology. Electronic copies of MIT Sloan Management Review articles as well as traditional reprints and back issues can be purchased on our Web site: sloanreview.mit.edu or you may order through our Business Service Center (9 a.m.-5 p.m. ET) at the phone numbers listed below. To reproduce or transmit one or more MIT Sloan Management Review articles by electronic or mechanical means (including photocopying or archiving in any information storage or retrieval system) requires written permission. To request permission, use our Web site (sloanreview.mit.edu), call or e-mail: Toll-free in U.S. and Canada: 877-727-7170 International: 617-253-7170
  • 85. Fax: 617-258-9739 e-mail: [email protected] Posting of full-text SMR articles on publicly accessible Internet sites is prohibited. To obtain permission to post articles on secure and/or password-protected intranet sites, e-mail your request to [email protected] Hyperlinking to SMR content: SMR posts abstracts of articles and selected free content at www.sloanreview.mit.edu. Hyperlinking to article abstracts or free content does not require written permission. MIT Sloan Management Review 77 Massachusetts Ave., E60-100 Cambridge, MA 02139-4307 e-mail: [email protected] www.sloanreview.mit.edu www.sloanreview.mit.edu Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. Instructions: Answer the following two essay questions. Be sure to answer all parts of each question thoroughly and to cite your sources using APA citation formatting. You are welcome to use this document and type your answers right underneath the question you are answering. Stakeholder vs. Stockholder Theory a. Explain both the stakeholder theory (stakeholder model of
  • 86. business) and stockholder theory (stockholder model of business) and discuss the differences between the two. b. Discuss some of the potential benefits of the stakeholder theory. Discuss some of the potential challenges of the stakeholder theory. (note: benefits and challenges are plural) c. Discuss some of the potential benefits of the stockholder theory. Discuss some of the potential challenges of the stockholder theory. (note: benefits and challenges are plural) d. Provide an example of an organization that we have not yet studied in this class that exemplifies either the stakeholder or the stockholder model. Be sure to explain why you have reached your conclusion. Ethical Theories/Decision Making Read the following ethical dilemma and write an essay response to the questions posed at the end of the narrative. WHOLE FOODS RAHODEB (Robbins and Judge, 2012) In this class we’ve read about and discussed Whole Foods and its co-founder and past CEO John Mackey. Whole Foods is a fast-growing chain of upscale grocery stores and has long been a Wall Street and business press favorite. It regularly appears high on Fortune’s list of 100 Best Companies to Work For, and it has spawned its share of competitors, including Fresh Market, Trader Joe’s, and Wild Oats. Given that most industry analysts see a bright future for
  • 87. upscale, organic markets like Whole Foods, it’s no surprise that the market has attracted its share of investor blogs. One of the prominent bloggers (posting hundreds of blog entries) “Rahodeb” has consistently extolled the virtues of Whole Food’s stock and derided its competitor Wild Oats. Rahodeb predicted that Wild Oats would eventually be forced into bankruptcy and that the stock price of Whole Foods would grow at an annual rate of 18 percent. Rahodeb’s Yahoo! Finance blog entries were widely read because he seemed to have special insight into the industry and into Whole Foods in particular. In 2007, Rahodeb was exposed as Whole Foods co-founder and, at the time, CEO, John Mackey. (“Rahodeb” is an anagram of “Deborah,” Mackey’s wife.) What’s more, while Rahodeb was talking down Wild Oats stock, Whole Foods was in the process of acquiring Wild Oats, and talking down the company may have made the acquisition easier and cheaper. Because the companies often have stores in the same cities, the Federal Trade Commission (FTC) attempted to block the acquisition, and the FTC was responsible for “outing” Mackey. In response, Mackey said: “I posted on Yahoo! under a pseudonym because I had fun doing it. Many people post on bulletin boards using pseudonyms. The views articulated by Rahodeb sometimes represented what I believed and sometimes they didn’t.” a. Were Mackey’s actions ethical? Be sure to use the ethical theories we discussed in class (e.g., utilitarianism, free-market ethics) and the discussions about ethical decision making (and, of course, any other relevant topics) to analyze this ethical dilemma and to support your conclusion. b. Given what you already know about Mackey from this course, are you surprised by his actions? Explain why or why not? As always, be sure to use course readings/concepts/theories to explain your answer.