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- 2024
- Working Paper
Second- versus Third-party Audit Quality: Evidence from Global Supply Chain Monitoring
By: Maria R. Ibanez, Ashley Palmarozzo, Jodi L. Short and Michael W. Toffel
Capitalizing on the superior credibility and flexibility and potential lower cost of external assessments, many global buyers are relying less on their own employee (“second-party”) auditors and more on third-party auditors to monitor and prevent environmental and... View Details
Keywords: Auditing; Audit Quality; Working Conditions; Sustainability; Empirical Operations; Empirical Service Operations; Sustainability Management; Corporate Accountability; Corporate Social Responsibility and Impact; Supply Chain Management
Ibanez, Maria R., Ashley Palmarozzo, Jodi L. Short, and Michael W. Toffel. "Second- versus Third-party Audit Quality: Evidence from Global Supply Chain Monitoring." Working Paper, August 2024.
- August 2020
- Article
Improving Working Conditions in Global Supply Chains: The Role of Institutional Environments and Monitoring Program Design
By: Jodi L. Short, Michael W. Toffel and Andrea R. Hugill
Activism seeking to improve labor conditions in global supply chains has led many transnational corporations to adopt codes of conduct and monitor suppliers for compliance. Drawing on thousands of audits conducted by a major social auditor, we identify structural... View Details
Keywords: Monitoring; Supplier Relationship; Sustainability; Sustainability Management; Sustainable Operations; Sustainable Supply Chains; NGO; Operations; Supply Chain Management; Governance Compliance; Corporate Social Responsibility and Impact; Global Range; Working Conditions
Short, Jodi L., Michael W. Toffel, and Andrea R. Hugill. "Improving Working Conditions in Global Supply Chains: The Role of Institutional Environments and Monitoring Program Design." ILR Review 73, no. 4 (August 2020): 873–912.
- July–August 2019
- Article
Coupling Labor Codes of Conduct and Supplier Labor Practices: The Role of Internal Structural Conditions
By: Yanhua Bird, Jodi L. Short and Michael W. Toffel
Exploitive working conditions have spurred companies to pressure their suppliers to adopt labor codes of conduct and to conform their labor practices to the standards set forth in those codes. Yet little is known about whether organizational structures such as codes... View Details
Keywords: Organization Theory; Economic Sociology; Social Responsibility; Sustainability; Auditing; Process Improvement; Organizational Structure; Corporate Social Responsibility and Impact; Supply Chain; Labor; Working Conditions
Bird, Yanhua, Jodi L. Short, and Michael W. Toffel. "Coupling Labor Codes of Conduct and Supplier Labor Practices: The Role of Internal Structural Conditions." Organization Science 30, no. 4 (July–August 2019): 847–867. (Best Paper Award at ComplianceNet Conference 2019, 2020 Responsible Research in Management Award Finalist.)
- Fall 2016
- Article
The Integrity of Private Third-party Compliance Monitoring
By: Jodi L. Short and Michael W. Toffel
Government agencies are increasingly turning to private, third-party monitors to inspect and assess regulated entities’ compliance with law. The integrity of these regulatory regimes rests on the validity of the information third-party monitors provide to regulators.... View Details
Keywords: Regulation; Compliance; Compliance Policies; Conflict Of Interest; Independent Third Party; Inspection; Audit Quality; Auditor; Audit; Environment; Safety; Conflict of Interests; Working Conditions; Labor; Corporate Social Responsibility and Impact; Governance Compliance; Accounting Audits
Short, Jodi L., and Michael W. Toffel. "The Integrity of Private Third-party Compliance Monitoring." Administrative & Regulatory Law News 42, no. 1 (Fall 2016): 22–25.
- September 2016
- Article
Monitoring Global Supply Chains
By: Jodi L. Short, Michael W. Toffel and Andrea R. Hugill
Firms seeking to avoid reputational spillovers that can arise from dangerous, illegal, and unethical behavior at supply chain factories are increasingly relying on private social auditors to provide strategic information about suppliers' conduct. But little is known... View Details
Keywords: Monitoring; Transaction Cost Economics; Industry Self-regulation; Auditing; Codes Of Conduct; Supply Chains; Corporate Social Responsibility; Corporate Social Responsibility and Impact; Supply Chain; Globalization
Short, Jodi L., Michael W. Toffel, and Andrea R. Hugill. "Monitoring Global Supply Chains." Strategic Management Journal 37, no. 9 (September 2016): 1878–1897. (Video abstract (4 minutes). Working Knowledge article for practitioners.)
- 2019
- Working Paper
Improving Working Conditions in Global Supply Chains: The Role of Institutional Environments and Monitoring Program Design
By: Jodi L. Short, Michael W. Toffel and Andrea R. Hugill
Activism seeking to improve labor conditions in global supply chains has led transnational corporations to adopt codes of conduct and monitor suppliers for compliance, but it is unclear whether these formal organizational structures raise labor standards. Drawing on... View Details
Keywords: Monitoring; Supplier Relationship; Sustainability; Sustainability Management; Sustainable Operations; Sustainable Supply Chains; NGO; Globalization; Corporate Accountability; Operations; Supply Chain; Supply Chain Management; Labor; Working Conditions; Business Processes; Corporate Social Responsibility and Impact; Performance Evaluation; Safety; Risk and Uncertainty; Apparel and Accessories Industry; Electronics Industry; China; Indonesia; India; Bangladesh
Short, Jodi L., Michael W. Toffel, and Andrea R. Hugill. "Improving Working Conditions in Global Supply Chains: The Role of Institutional Environments and Monitoring Program Design." Harvard Business School Working Paper, No. 17-001, July 2016. (Revised September 2019. Formerly titled "Code Contingencies: Designing Monitoring Regimes to Promote Improvement in Supply Chain Working Conditions" and "Beyond Symbolic Responses to Private Politics.")
- January 2016 (Revised February 2016)
- Course Overview Note
The Sustainable Core: Operations Management
By: Michael W. Toffel and L. Beril Toktay
This note is designed to help faculty embed environmental sustainability content into their core Operations Management course at the MBA or undergraduate level. It can also be used to identify cases with environmental content that can be used in operations electives... View Details
Keywords: Environmental Management; Operations Management; Sustainable Operations; Environmental Regulation; Operations; Supply Chain; Supply Chain Management; Agriculture and Agribusiness Industry; Biotechnology Industry; Food and Beverage Industry; Construction Industry; Forest Products Industry; Retail Industry
Toffel, Michael W., and L. Beril Toktay. "The Sustainable Core: Operations Management." Harvard Business School Course Overview Note 616-022, January 2016. (Revised February 2016.)
- 2015
- Working Paper
The Integrity of Private Third-party Compliance Monitoring
By: Jodi L. Short and Michael W. Toffel
Government agencies are increasingly turning to private, third-party monitors to inspect and assess regulated entities’ compliance with law. The integrity of these regulatory regimes rests on the validity of the information third-party monitors provide to regulators.... View Details
Keywords: Regulation; Compliance; Compliance Policies; Conflict Of Interest; Independent Third Party; Inspection; Audit Quality; Auditor; Audit; Environment; Production; Supply Chain; Quality; Government Administration; Working Conditions; Safety; Labor; Governing Rules, Regulations, and Reforms; Governance Compliance; Manufacturing Industry; Public Administration Industry; Accounting Industry; Service Industry; United States
Short, Jodi L., and Michael W. Toffel. "The Integrity of Private Third-party Compliance Monitoring." Harvard Kennedy School Regulatory Policy Program Working Paper, No. RPP-2015-20, November 2015. (Revised December 2015.)
- September 2015
- Article
Codes in Context: How States, Markets, and Civil Society Shape Adherence to Global Labor Standards
By: Michael W. Toffel, Jodi L. Short and Melissa Ouellet
Transnational business regulation is increasingly implemented through private voluntary programs—like certification regimes and codes of conduct—that diffuse global standards. But little is known about the conditions under which companies adhere to these standards. We... View Details
Keywords: Transnational Regulation; Labor Standards; Consumer Politics; Codes Of Conduct; Compliance; Governance Compliance; Operations; Globalization; Labor
Toffel, Michael W., Jodi L. Short, and Melissa Ouellet. "Codes in Context: How States, Markets, and Civil Society Shape Adherence to Global Labor Standards." Regulation & Governance 9, no. 3 (September 2015): 205–223.
- July 22, 2014
- Article
Monitoring the Monitors
By: Jodi L. Short, Michael W. Toffel and Andrea Hugill
Short, Jodi L., Michael W. Toffel, and Andrea Hugill. "Monitoring the Monitors." Harvard Law School Forum on Corporate Governance (July 22, 2014).
- 17 Jul 2014
- Panel Discussion
Monitoring the Monitors: How Social Factors Influence Supply Chain Auditors
By: Jodi L. Short and Michael W. Toffel
Keywords: CSR; Corporate Accountability; Corporate Social Responsibility; Outsourced Production; Outsourcing; Sustainability; Sustainability Management; Auditing; Audit Quality; Gender; Conflicts Of Interest; Bias; Apparel and Accessories Industry; Electronics Industry; Manufacturing Industry; China; India; Pakistan; Bangladesh; Mexico; Brazil; Viet Nam; Indonesia; Philippines; Sri Lanka; Taiwan; South Korea
Short, Jodi L., and Michael W. Toffel. "Monitoring the Monitors: How Social Factors Influence Supply Chain Auditors." Elevate Limited Webinar, July 17, 2014. (Webinar coordinated by Elevate Limited.)
- May–June 2013
- Article
Can Global Brands Create Just Supply Chains? Response: Promoting Political Mobilization
By: Jodi L. Short and Michael W. Toffel
Codes of conduct indicate that working conditions are improving overall at the factories being monitored by multinational corporations, and that these codes of conduct also create possibilities for political mobilization that can improve labor conditions more broadly. View Details
Keywords: Regulation; Auditing; Labor Relations; Occupational Safety; Environmental Operations; Environmental Regulation; Employees; Labor; Labor and Management Relations; Governing Rules, Regulations, and Reforms; Manufacturing Industry; China; Bangladesh; India; Honduras; Nicaragua; Pakistan; Guatemala; Malaysia; Viet Nam
Short, Jodi L., and Michael W. Toffel. "Can Global Brands Create Just Supply Chains? Response: Promoting Political Mobilization." Boston Review 38, no. 3 (May–June 2013).
- 2012
- White Paper
Robust Enforcement Should Complement Voluntary Regulation
By: Jodi L. Short and Michael W. Toffel
Spurred by the anti-regulation movement that started in the 1970s, voluntary self-regulation programs have emerged in many regulatory agencies, seeking to increase cooperation between government and industry to achieve greater and more cost-effective compliance.... View Details
Short, Jodi L., and Michael W. Toffel. "Robust Enforcement Should Complement Voluntary Regulation." Georgetown University Economic Policy Vignette, September 2012.
- August 2011
- Article
Coming Clean and Cleaning Up: Does Voluntary Self-Reporting Indicate Effective Self-Policing
By: Michael W. Toffel and Jodi L. Short
Regulatory agencies are increasingly establishing voluntary self-reporting programs both as an investigative tool and to encourage regulated firms to commit to policing themselves. We investigate whether voluntary self-reporting can reliably indicate effective... View Details
Keywords: Environmental Sustainability; Governing Rules, Regulations, and Reforms; Programs; Governance Compliance; Corporate Disclosure; Law Enforcement
Toffel, Michael W., and Jodi L. Short. "Coming Clean and Cleaning Up: Does Voluntary Self-Reporting Indicate Effective Self-Policing." Journal of Law & Economics 54, no. 3 (August 2011): 609–649.
- September 2010
- Article
Making Self-Regulation More Than Merely Symbolic: The Critical Role of the Legal Environment
By: Jodi L. Short and Michael W. Toffel
Using data from a sample of U.S. industrial facilities subject to the federal Clean Air Act from 1993 to 2003, this article theorizes and tests the conditions under which organizations' symbolic commitments to self-regulate are particularly likely to result in improved... View Details
Keywords: Adoption; Code Law; Environmental Sustainability; Governing Rules, Regulations, and Reforms; Organizations; Governance Compliance; Strategy; Motivation and Incentives; United States
Short, Jodi L., and Michael W. Toffel. "Making Self-Regulation More Than Merely Symbolic: The Critical Role of the Legal Environment." Administrative Science Quarterly 55, no. 3 (September 2010): 361–396. (Lead article; Featured in the Stanford Social Innovation Review (Summer 2011) and in Behind the scenes of the Administrative Science Quarterly.)
- Article
The Causes and Consequences of Industry Self-Policing
By: Jodi L. Short and Michael W. Toffel
Innovative regulatory programs are encouraging firms to police their own regulatory compliance and voluntarily disclose, or "confess," the violations they find. Despite the "win-win" rhetoric surrounding these government voluntary programs, it is not clear why... View Details
Short, Jodi L., and Michael W. Toffel. "The Causes and Consequences of Industry Self-Policing." Yale Economic Review 4, no. 2 (Summer 2008).
- May 2008
- Article
Coerced Confessions: Self-Policing in the Shadow of the Regulator
By: Jodi L. Short and Michael W. Toffel
As part of a recent trend toward more cooperative relations between regulators and industry, novel government programs are encouraging firms to monitor their own regulatory compliance and voluntarily report their own violations. In this study, we examine how regulatory... View Details
Keywords: Governance Compliance; Law Enforcement; Corporate Disclosure; Governing Rules, Regulations, and Reforms; Environmental Sustainability; Programs; Power and Influence; Organizations; Decisions; Business and Government Relations; United States
Short, Jodi L., and Michael W. Toffel. "Coerced Confessions: Self-Policing in the Shadow of the Regulator." Journal of Law, Economics & Organization 24, no. 1 (May 2008): 45–71.
- 2006
- Chapter
Coerced Confessions: How Regulatory Deterrence Drives Self-Policing
By: Jodi L. Short and Michael W. Toffel
Short, Jodi L., and Michael W. Toffel. "Coerced Confessions: How Regulatory Deterrence Drives Self-Policing." In Best Paper Proceedings of the Sixty-fifth Annual Meeting of the Academy of Management, edited by K. Mark Weaver. Academy of Management, 2006. (Winner of Charles H. Levine Award for Best Conference Paper presented by Academy of Management. Previously titled "Turning Themselves In: Why Some Firms Self-disclose Regulatory Violations".)