**3. Why do cognitive and social traits in top management positions matter?**

CSR and innovation are the key drivers of responsible and sustainable competitive advantages. Hence during this last decade investigations about their linkage presented a significant strand of research. Based on several real examples, studies [17, 67–69] highlighted the crucial influence of the managerial characteristics (the entrepreneurial orientations, cognition, perspective, culture, and so on) on the CSR and innovation nexus. Indeed, managers' characteristics provide the exact CSR age to which the firm belongs. Yang et al. [68] focused on the managerial cognition association with the CSR and innovation link. According to their study, the proactive environmental strategy focus is positively linked to two factors the managers' perceived business and social pressures. This association prompts the corporate innovation capacities. Similarly, Pedersen et al. [69] tested the mediating effect of organizational values such as the management style or the organizational structure and culture on the CSR and innovation nexus. They concluded that the CSR and innovation association depends deeply on the managers' rooted values and flexibility.

The age of CSR in which the company is positioned depends on the managerial characteristics. Furthermore, managers' perspective is able to create the appropriate climate to facilitate the CSR conception transformation. However, this managerial perspective can be oriented due to the legal and social framework pressure, consistent with the institutional theory. Scott [70] indicated that the normative, regulative, and cognitive elements form different kinds of pressures shape the managers' cognition in strategy establishment. Indeed, the existence of unavoidable restraints can make the CSR and environmental management unsustainable [71].

#### **3.1 The CEO traits**

System builders such as the corporate innovators, managers and board members are the main actors that orient the firms' decision-making. Their attitudes and actions influence corporate strategies and the interaction between its decisions. The CEO position is considered as the highest in the company's organogram. Hence, we

#### *CSR and Innovation: Two Sides of the Same Coin DOI: http://dx.doi.org/10.5772/intechopen.94344*

focus on its traits' effects on the CSR-innovation nexus. Cho and Kim [72] mentioned that the CEO's career is significantly affected by risky strategies such as innovation, research and development, CSR and capital expenditures. Consequently, young and less experienced CEOs are less likely to undertake innovative or social investments. Nevertheless, the exploitation of the old knowledge and the CEOs' willingness to preserve their value and success may alleviate this negative impact. In a similar vein, Lin et al., [73] provided evidence for the positive association between the CEO educational degree and innovation initiative. Bendell and Huvaj [74] emphasized that CEOs with high tenure are more likely to invest in innovation when they adopt CSR strategies. Their position allows them to bring more attention to the organizational network with different external stakeholders, which increases their innovation incentive. They concluded that the CSR and innovation linkage is strong when CEOs have long execution periods. Thus, the CEO experience, knowledge and network moderate the CSR–innovation linkage, which explains the universities current development. We notice that universities' curricula, specifically management and corporate programs have been updated and have become more focused on social performance and CSR. Managers aim to acquire legitimacy through their social practices while gaining competitive advantages through innovation.
