Strategic supply management,quality initiatives,and organizational performance

Researchers in supply chain management have found over the past two decades that supply management should be not merely a purchasing function but a strategic tool for supply chain integration. Supply management, the cornerstone of the integration of industrial supply chains, has evolved as a key research area. Based on quantitative and qualitative investigations of 225 electronics manufacturing firms, we examine the organizational impacts of strategic supply management (SSM) and the contexts of company size, process type, ISO 9000 certification, and quality management (QM) implementation that facilitate such an endeavor. We reveal that SSM is essentially a quality management initiative that requires bilateral efforts for continuous improvement and thus is not associated with the basic requirements of ISO 9000. We find that SSM improves on-time shipments, reduces operational costs, and leads to customer satisfaction and improved business performance. Developed based on contemporary premises in supply chain and QM, this research refines our understanding of the relationships among quality initiatives, SSM, and organizational performance.     

The role of organizational control in outsourcing practices: An empirical study

Recent case study research has examined the role of organization control as a critical component of outsourcing performance (Kang et al. 2012a. Journal of Business Research 65, 1195–1201). In contrast to case study methodology, this paper aims to empirically examine the relationships among outsourcing strategies and organizational control in the Chinese context and refine the theoretical and managerial implications of the current research model. Based on data collected from 158 firms operating in China, this paper examines the impact of two types of outsourcing strategies on different organizational control measures. Our findings suggest that for efficiency-seeking outsourcing, output control and process control are appropriate in creating successful outsourcing practices. As for innovation-seeking outsourcing, social control and process control are the most effective options. Theoretical and managerial implications for strategic outsourcing are also discussed.     

Quality management practices and their relationship to buyer’s supplier ratings: a study in the Korean automotive industry

This research explores if quality management practices are different among suppliers whose performance is rated high, medium, or low by a common buying company and identifies which specific practices contribute to the differences. The entire population of first-tier suppliers to a Korean auto assembler was surveyed to measure use of quality management practices. Useable returns were received from 25% of the suppliers surveyed. To measure conformance quality and overall rating, suppliers were categorized into high, medium, and low performing groups based on the buying company’s data. Multivariate analysis of variance was done using general linear model (GLM-MANOVA) to explore differences in the high-, medium-, and low-performing supplier groups based on their use of quality management practices. No statistically significant differences were found when suppliers were categorized based on conformance quality. However, when categorized based on overall rating, the highest rated suppliers were found to emphasize process management and employee satisfaction to a greater degree than the lowest rated suppliers.     

Project success and project team management: Evidence from capital projects in the process industries

Efficient project execution is a key business objective in many domains and particularly so for capital projects in the process industries, but existing project management research gives little direction about how project team factors influence three important capital project outcomes: cost, schedule, and operability. After an extensive cross-disciplinary review of the general team and project management literatures, we constructed and tested a theoretically based, five-dimensional model of organizational context, project team design, project team leadership, project team processes, and project outcome factors. We examined the model by means of an empirical study of 56 newly completed capital projects executed by 15 Fortune 500 companies in the process industries. The results indicate the value of disaggregating project outcomes for research purposes. Different bundles of project team factors were found to drive project cost, schedule, and operability. Project team efficacy, cross-functional project teams, autonomous project team structure, and virtual office usage were the strongest predictors of project cost effectiveness. Continuity of project leadership, cross-functional project teams, and project manager incentives were the strongest predictors of project construction schedule. In contrast, clear project goals and an office design to facilitate effective communication were the main predictors of plant operability. Implications of these findings for researchers and project practitioners are discussed. One major practical implication of our findings is that project managers need to clearly focus and prioritize their goals for each project so they can adopt the appropriate bundles of project team practices that will facilitate their goal achievement.     

Shaping the organisational context for corporate entrepreneurship and performance in Iran: the interplay between social context and performance management

Abstract

Prior research highlighted the importance of an organisational context stimulating autonomous behaviour when trying to increase levels of corporate entrepreneurship. From a social exchange perspective, we argue that firms in developing countries need to complement such supportive practices with performance-oriented practices. Our findings indicate that Iranian firms with an organisational context characterised by an interaction of social context and performance management have more engagement in corporate entrepreneurship, and that corporate entrepreneurship mediated the relationship between the organisational context and firm performance. This provides a better understanding of the way firms in developing economies can shape their organisational context to promote corporate entrepreneurship in order to achieve better firm performance.     

Inclusion and inclusion management in the Chinese context: an exploratory study

This study explored the concept of inclusion at both the individual and the organizational levels in the Chinese context. Using interview data from managers and employees of 12 companies located in China with various ownership structures, we conducted content analysis and found similarities between Chinese and Western conceptions of inclusion, as well as some unique characteristics of China. In addition, we identified seven inclusion management practices and three challenges for implementing inclusion management. Finally, the conceptions of inclusion were different across organizational positions and firm ownerships. Overall, this study sheds light on the understanding and management of inclusion for both Chinese companies and multinational companies in China and lays the foundation for future research.     

在华跨国公司企业文化对组织公民行为的影响研究

进入新世纪以来,经济全球化己成为不可逆转的发展趋势,跨国公司作为主要推动力量以其特有的核心竞争力日益彰显出强大的生命力。企业文化在被视为企业发展的引擎、企业的无形资源的同时,由于其对企业长期经营业绩的重要作用。本文重点研究在华跨国公司企业文化与组织公民行为的关系,并以组织信任为中介变量进行研究,研究结果表明企业文化与组织信任有显著的相关性,组织信任对组织公民行为也有显著的预测作用。最后通过改变企业文化维度为提高企业组织公民行为提供合理建议。     

The impact of employee satisfaction on quality and profitability in high-contact service industries

The extant operations management literature has extensively investigated the associations among quality, customer satisfaction, and firm profitability. However, the influence of employee attributes on these performance dimensions has rarely been examined. In this study we investigate the impact of employee satisfaction on operational performance in high-contact service industries. Based on an empirical study of 206 service shops in Hong Kong, we examined the hypothesized relationships among employee satisfaction, service quality, customer satisfaction, and firm profitability. Using structural equations modeling, we found that employee satisfaction is significantly related to service quality and to customer satisfaction, while the latter in turn influences firm profitability. We also found that firm profitability has a moderate non-recursive effect on employee satisfaction, leading to a “satisfaction–quality–profit cycle”. Our empirical investigation suggests that employee satisfaction is an important consideration for operations managers to boost service quality and customer satisfaction. We provide empirical evidence that employee satisfaction plays a significant role in enhancing the operational performance of organizations in the high-contact service sector.     

The interactive effects of organizational and leadership career management support on job satisfaction and turnover intention

In the organizational career management literature, scholars have focused on career management policies, with little attention given to practices that can vary within organizations. And despite its recognized importance, research on the role of leaders in the career management process is also scant. In this study, we investigate the effects of career management practices (OCPs) and leadership career support (LCS) on employee attitudes. Grounded on coping theory, we propose that career support received from line managers can be particularly consequential when OCPs are lacking. We analyze the moderating effects of LCS on the relationship between OCPs and both job satisfaction and turnover intention in a sample of employees from a large Brazilian organization, applying multiple regression analyses. Results showed that OCPs and LCS are positively related to job satisfaction and that OCPs are negatively related to turnover intention. In addition, we confirmed that LCS moderates the relationship between OCPs and both job satisfaction and turnover intention. Finally, we observed that the relationship between OCPs and turnover intention is mediated by job satisfaction. Theoretical and practical implications are discussed.     

Relationships between organizational justice,organizational trust and organizational commitment: a cross-cultural study of China,South Korea and Australia

In an increasingly globalized world, organizations that operate in more than one country are a substantial part of the world economy. It is therefore beneficial to understand the attitudes of employees in different countries and their impact on the organization. One important area is organizational justice and its relationships with organizational trust (OT) and organizational commitment. This empirical study collected survey data from university employees across China, South Korea and Australia. We proposed that OT would mediate the relationships between affective organizational commitment (AOC) and both distributive justice (DJ) and procedural justice (PJ) in all three countries. In Australia, we found that PJ and AOC were significantly related, and OT fully mediated the PJ-AOC relationship. In China and South Korea, both DJ and PJ were significantly related to AOC, and OT fully mediated the PJ-AOC relationship. OT partially mediated the DJ-AOC relationship in China but fully mediated this relationship in South Korea. Implications for theory and for management practitioners are discussed, and areas for future investigation are identified.     

An empirical study of the dimensionality of organizational justice and its relationship with organizational citizenship behaviour in the Indian context

Cross-cultural research shows that while the concerns about organizational justice may be universal, operationalization of justice standards is highly particularistic (Greenberg 2001). The present study explores the dimensionality of organizational justice in the Indian context. Apart from procedural justice, interpersonal justice and informational justice, another justice dimension, labelled as empowerment justice, emerged during the study. Next, the study tests the relationships between justice dimensions and Organ's (1988) 5-factor conceptualization of organizational citizenship behaviour (OCB), namely helping, compliance, sportsmanship, courtesy and civic virtue behaviours. The perception of empowerment justice influences helping, compliance, sportsmanship, and civic virtue dimensions of OCB. Interpersonal justice significantly predicts courtesy behaviour. Implications for theory and practice are discussed.     

The moderating effects of organizational context on the relationship between voluntary turnover and organizational performance: Evidence from Korea

Scholars have suggested that the relationship between voluntary turnover and organizational performance can be moderated by the organizational context in which turnover occurs. However, there are few empirical studies that examine such moderating effects. Using a sample of 161 firms in South Korea, this study investigates how the relationship between voluntary turnover and organizational performance is moderated by three context variables: (1) the degree of organizational usage of employee involvement practices, (2) the degree of organizational investment in employee training and development, and (3) the availability of potential workers. The results demonstrate that employee involvement practices significantly amplify the negative relationship between voluntary turnover and organizational performance, give marginal support for moderation from the availability of potential workers, and provide no support for moderation from the degree of organizational investment in employee training and development. We discuss theoretical and practical implications of this study for enriching our understanding of the relationship between voluntary turnover and organizational performance. © 2012 Wiley Periodicals, Inc.     

Organizational sponsorship and service co-development: A contingency view on service co-development directiveness of business incubators

We address the lack of studies focusing on internal organizational sponsorship mechanisms, while considering environmental influencers and focus on a specific type of organizational sponsorship to do so: Business incubators. We argue that to be able to offer a customized incubatee-strengthening service pack, incubator-incubatee interaction is key, requiring clear-cut and directive service co-development instructions, which is our focal construct. To better understand the functioning of this focal construct, we adopt a contingency approach to examine how the incubator's human capital, and the institutional environment impact the incubator's service co-development directiveness. A quantitative empirical study reveals that both human capital and an entrepreneurially-minded regulative and cognitive institutional environment allow an incubator to be directive, thereby laying a foundation for co-development of customized service offerings. Moreover, the incubator's human capital turns out to further stimulate the positive effects of an entrepreneurially-minded regulative environment. All in all, we find that both internal organizational and external institutional elements are pivotal for first-best implementation of the internal sponsorship mechanism ‘service co-development directiveness’.     

A resource-based view of human resource management and organizational capabilities development

The aim of this research work was to analyse the role of human resource management in the development of organizational capabilities and its influence on the firm's performance from a resource-based view. Our results, from empirical research on a nation-wide sample of Spanish savings banks, suggest that human resource decisions, integrated in a human resource system, have an important influence on the development of organizational capabilities and on the firm's performance.     

The effect of training on organizational performance: differences by age composition and cultural context

This paper examines the effects of two training-related measures (i.e. average days spent on training an employee per year and the extent of concentration) on three aspects of organizational performance: level of productivity, rate of innovation, and rate of turnover for organizations in Anglo, Germanic, Nordic, and Eastern European cultures, as defined by the Global Leadership and Organization Behavior Effectiveness project. Analysis of the 2004 Cranet survey data indicates that both training-related measures positively affected the level of productivity in Anglo nations, but that the effect of extent of concentration was smaller for organizations with older age profiles.     

Quality management effectiveness in Asia: The influence of culture

Globalization forces managers to utilize manufacturing capabilities from countries with different cultures than their own, particularly from Asia. Yet quality problems in China have raised concerns among managers and researchers as to how to assure product quality from Asian facilities. Implementing quality management practices may accomplish this, but such practices assume specific cultural values exist in certain Asian cultures. Using global manufacturing and cultural data, this study examines if cultural values in Asian and non-Asian countries moderate how effective quality management practices are at improving quality performance. Through the use of multilevel modeling, differences in quality management effectiveness are found among the East Asian cultures of China, South Korea, and Taiwan. Moreover, this study finds that specific cultural dimensions are statistically related to quality management effectiveness. The results of this study will assist managers in devising plans to assure higher quality from East Asian facilities and in predicting where problems may occur in other countries around the world.     

Predicting excellent management performance in an intercultural context: a study of the influence of multicultural personality on transformational leadership and performance

What makes a manager in an intercultural context an excellent performer? This question is the subject of the present study. The study examines the influence of the five dimensions of multicultural personality via transformational leadership on excellent performance in a sample of managers (N = 138) working in an expatriate assignment or in a job dealing with subordinates of different cultural backgrounds. As expected, cultural empathy, open-mindedness and social initiative were found to have a positive effect on transformational leadership. However, no significant effects were found from emotional stability and flexibility on transformational leadership. Furthermore, a more transformational leadership style led to higher performance in an intercultural context, which was measured using management performance appraisals. Since an indirect effect of cultural empathy, open mindedness and social initiative on performance via transformational leadership has been found in this study, it seems that both these dimensions of multicultural personality and transformational leadership are needed for excellent managerial performance in an international environment.     

The role of institutional pressures and organizational culture in the firm's intention to adopt internet-enabled supply chain management systems

Drawing upon organizational culture and institutional theory, this study investigates how institutional pressures motivate the firm to adopt Internet-enabled Supply Chain Management systems (eSCM) and how such effects are moderated by organizational culture. The results of a survey of 131 firms suggest that the dimensions of institutional pressures (i.e., normative, mimetic, and coercive pressures) have differential effects on eSCM adoption intention. While mimetic pressures are not related to eSCM adoption intention, normative and coercive pressures are positively associated with eSCM adoption intention. In addition, organizational culture (i.e., flexibility orientation and control orientation) plays different roles in the relationships between these three dimensions of institutional pressures and eSCM adoption intention. While flexibility orientation negatively moderates the effects of coercive pressures and positively moderates the effects of mimetic pressures, control orientation positively moderates the effects of coercive and normative pressures and negatively moderates the effects of mimetic pressures. Implications and suggestions for future research are provided.     

Human resource management and the performance of Western firms in China

The study examines the relationship between human resource management and organizational performance in sixty-two manufacturing Chinese-Western joint ventures and wholly owned subsidiaries located in different parts of the People's Republic of China. A positive relation was found between firm performance and the extent to which firms used a 'high-performance' HRM system as well as the degree to which they engaged in the integration of HRM and firm strategy.     

ERP systems success: an empirical analysis of how two organizational stakeholder groups prioritize and evaluate relevant measures

Organizations worldwide are adopting enterprise resource planning (ERP) systems. A number of studies discuss the implementation and success of such systems, but our study of the literature indicates that discussions about ERP systems success from the perspectives of key organizational stakeholders are not easy to come across. This study is designed to fill this gap in research. Using surveys in Finland and Estonia, we obtained empirical data from 66 respondents in 44 diverse, private, industrial organizations. Our objective was to determine whether differences exist between two organizational stakeholder groups, i.e. business managers and IT professionals, concerning how each group believe ERP success measures and dimensions are prioritized and evaluated in their respective organizations. Prior literature suggests that differences exist between the two groups with regard to how each perceives organizational information technology (IT) issues. Our study indicates that no significant statistical differences exist between the two groups with the exception of one dimension of ERP success, i.e. vendor/consultant quality. The implications of our findings for both practice and research are discussed.