A Blessing and a Curse: Institutional Embeddedness of Longstanding MNE Subsidiaries in Emerging Markets

This article examines the institutional strategies of multinational enterprises (MNEs) operating in an emerging market, drawing attention to how longstanding foreign subsidiaries proactively negotiate their involvement with socio-political actors. We build on institutional logics to explain how MNE subsidiaries develop sustained political, cultural, and cognitive embeddedness. Using an inductive, interpretive study of four century-old Dutch MNE subsidiaries with a colonial legacy in Indonesia, we examine these three dimensions of the institutional environment, finding that local employees embedded in both the MNE and the host country sets of logics ‒ rather than expatriate managers ‒ most effectively facilitated sustained institutional embeddedness. Our findings also suggest that embedding practices in host institutional contexts and developing structures that align with host institutional expectations provided a platform for the unfolding of institutional strategies by local employees. However, MNE subsidiaries face contrasting logics between home and host country institutions, placing significant strains on MNEs’ ability to enact change.     

Institutional Change and State-Owned Enterprises: Reflections from the Petrobras case study

Abstract

The Brazilian oil and gas (O&G) sector has experienced institutional changes that put an end to the state monopoly. The purpose of this article is to explain why Petrobras has remained dominant after the sector had been opened to competition. We consider that it is possible to explain this paradox via two ideas that emanate from North’s analysis on institutional change: first, by explaining institutional change as a continuous interrelation between formal and informal institutions and the political and economic organizations involved; second, by considering institutional change as a path-dependent process marked by a dialectic between elements of change and continuity.     

Rethinking Institutions and Organizations

In this Point–Counterpoint article we argue that institutional scholarship has become overly concerned with explaining institutions and institutional processes, notably at the level of the organization field, rather than with using them to explain and understand organizations. Especially missing is an attempt to gain a coherent, holistic account of how organizations are structured and managed. We also argue that when institutional theory does give attention to organizations it inappropriately treats them as though they are the same, or at least as though any differences are irrelevant for purposes of theory. We propose a return to the study of organizations with an emphasis upon comparative analysis, and suggest the institutional logics perspective as an appropriate means for doing so.     

The role of mutual trust in effective downsizing strategies

Several factors that explain differences in the downsizing strategies utilized in organizations are examined in this study of 91 organizations in the automotive industry. Specifically, mutual trust within a top management team is positively associated with a strategy based on organization redesign. Mutual trust between members of an organization and its key customers and suppliers is positively associated with a strategy based on systemic change. Moreover, these two strategies are positively associated with performance outcomes in the areas of cost reduction and quality improvement.     

Does Institutional Theory Need Redirecting?

Greenwood, Hinings and Whetten (2014) present two major criticisms of current institutional scholarship, and see need for a broad redirection: institutional organization theory, they argue, has lost sight of the claim to study organizations and, with its overwhelming focus on isomorphism and similarity, has fallen short on adequately theorizing differences across organizations. In our article, we offer support as well as a riposte. First, while we agree that the organizing of collective efforts needs to be at the core of organization research, we warn that focusing on formal organization – a rationalized cultural product itself – may direct attention away from studying alternative modes of organizing, and underestimates the dynamic developments that have transformed contemporary organizations into increasingly complex objects of inquiry. Second, we are concerned that, by abandoning the analysis of similarities in favour of differences, institutional theory may eventually lose sight of its pivotal quest: to study institutions.     

Institutional Regime,Opportunity Space and Organizational Path Constitution: Case Studies of the Conversion of Military Firms in China

This study examines organizational path constitution from an institutional regime view. The research setting is the conversion of military firms to the civilian market in China since the country's economic reform in 1978. We begin with a questionnaire survey to better understand the situation and context of military conversion, and then conducted an embedded multiple‐case study method that shows how different patterns of organizational path constitution arise from a process of change efforts, change outcomes and opportunity space. Our context further allows us to examine how heterogeneous locally‐based institutional regimes affect the opportunity space of embedded organizations, enabling or constraining their change actions. The overall contribution is a theoretical model that reveals the relations between heterogeneous institutional regimes, opportunity spaces and organizational path constitution. Our findings have implications for the path dependence literature.     

Showdown at Kykuit: Field-Configuring Events as Loci for Conventionalizing Accounts

abstract    Despite the centrality of fields as a concept in organizational research, the processes by which fields form and change have not been studied in great depth. By situating action in time and space, field-configuring events (FCEs) offer valuable settings for researchers seeking insight into such processes. This paper develops a theory of accounts as a way to understand a mechanism by which institutional entrepreneurs seek to shape fields and influence the institutions that govern them. Actors produce and distribute justified accounts – narratives that describe the way work in the field ought to be done – and attempt to persuade powerful actors in the field to adopt them as conventions. FCEs can thus be understood as loci for conventionalizing accounts. The theory of accounts and field-level change is illustrated with a case study of a turning point FCE during which competing institutional entrepreneurs in the field of 'non-profit technology assistance providers' present alternative accounts. Successful institutional entrepreneurship comes from recognizing political opportunities to align one's account with the dominant orders of worth in the field, thereby convincing powerful actors to accept one's account as convention.     

Institutions in building projects: Implications for flexibility and change

Building practice is often studied from a project management perspective, a view that stresses the temporary and unique aspects of the project organizations. However, the organization of building projects, as well as the buildings produced, varies little between projects. This homogeneity suggests that the building sector is subject to strong institutionalization. The findings of a building project case study are used to illustrate the different kinds of institutions in Swedish building. It is concluded that the strong institutions are related to a great need for coordination and communication in complex project organizations. The institutionalization could explain why initiatives generated by individual projects and companies seldom bring about long-term change in building.     

A preliminary framework for studying mergers of public organizations.

In times of fiscal retrenchment, it is often necessary for two or more public organizations to merge. Not surprisingly, this need is not often met favorably by the organizations involved. This paper discusses reasons why such a response might not be unreasonable if one objectively views the pressures acting upon the organization, as well as strategies which representatives of society could use to make, merger a more desirable option for the public organization. It is generally suggested herein that the best actions include rather subtle efforts on the part of society and the targeting of smaller, less prestigious public organizations.     

Meanings on Multiple Levels: The Influence of Field-Level and Organizational-Level Meaning Systems on Diffusion

abstract    This study considers how organization-level and field-level meaning systems affect when firms adopt administrative innovations. We use a sample of over 1200 manufacturing sites to test hypotheses regarding the timing of adoption of Manufacturing Best Practice programmes. The results indicate that compatibility of the diffusing practice with the organization's internal meaning system is an important predictor of when firms adopt such programmes. However, the influence of such compatibility declines for later adopters – consistent with institutional pressures in the form of field-level meaning systems playing an increasing role over time. We also find that this decline occurs for sites with high exposure to institutional pressures, but not for sites with lower exposure. The findings suggest that internal meaning systems and differential exposure moderate the role of institutional pressures in the diffusion of administrative innovations. We discuss implications for theory and research on institutionalization and the diffusion of innovations.     

Institutional strategies for dealing with sexual harassment

Sexual harassment is being recognized as a pervasive and highly visible problem at an institutional level. As a consequence institutions are establishing policies and procedures to address this issue. In view of recent legal decisions, sexual harassment can have negative consequences for the institution as well as the harassee; thus, in some institutions, sexual harassment is viewed as a common problem shared by employers and employees. This article addresses institutional strategies that have proven effective in proactively dealing with sexual harassment in the workplace.     

Between advocacy,compliance and commitment: A multilevel analysis of institutional logics in work environment management

In this study we explore the development and enactment of institutional logics in the field of work environment management. We show how three historically developed logics constitute different values and practices that guide professionals’ organizational action. Using both historical and contemporary qualitative data, we show how the three institutional logics are present in the field of work environment, and how the logics are enacted simultaneously by actors within four large organizations in Denmark. The study contributes to the literature on institutional logics. The logics perspective is combined with critical realism to describe the inter-relatedness between the levels of society, institutional fields, and organizations, and by elaborating the near-decomposable relations between institutional logics and orders. The study contributes to the literature on work environment management by investigating the ideational lenses through which regulations and interventions are perceived by organizational actors, and how these perceptions may lead to different organizational outcomes and outlooks in work environment management.     

Knowledge management technology as a stage for strategic self-presentation: Implications for knowledge sharing in organizations

This article explores why it is often difficult for organizations to capture, store, and share employees' individually held expertise. Drawing on studies of the social construction of expertise and theories of transactive memory systems and self-presentation in computer-mediated environments, we argue that knowledge management technologies are not simple containers for the storage of expertise, but that they are stages upon which individuals enact performances of expertise. Through a longitudinal study of the work of IT technicians we show that users of a knowledge management technology strategically craft their own information entries to position themselves as experts vis-à-vis their coworkers. The data suggest that proactive self-presentations enacted by a few actors early on may spur reactive behaviors of strategic self-presentation across the organization. We explore implications of these findings for theories of transactive memory systems and technology use in organizations.     

事业单位固定资产核算探析

本文针对我国事业单位实行企业化管理的改革,从固定资产核算入手,探讨适合企业化管理的事业单位的核算模式。认为事业单位固定资产核算应该充分借鉴西方发达国家非营利组织会计制度经验,结合我国经济发展的实际,完善固定资产核算制度。     

NOTES ON CONTRIBUTORS

Abstract

Within public administration and policy sciences the concept of policy networks nowadays is well accepted. Not much attention has been paid so far to strategies aimed at institutional design. Therefore, in this article, we develop a conceptual framework to study institutional design more thoroughly. We do this by specifying the nature and variety of institutional rules that guide the behaviour of actors within networks. Given this categorization of rules, we identify possible strategies to change network rules. Next, we focus on the strategic context of attempts to influence the nature of institutional rules: the process of institutional design. We conclude with suggestions to apply the conceptual framework to empirical research into the forms, impacts and implications of attempts to change the institutional features of policy networks.     

Precipitating events leading to voluntary employee turnover among information technology professionals

Voluntary turnover rate of information technology (IT) professionals within defense contracting organizations has increased by 12.6% since 2003. The perceptions and lived experiences of IT professionals in the defense contracting industry were explored in a phenomenological study to better understand the precipitating events, or shocks, that led to their decision to voluntarily leave an organization. Twenty IT professionals at a small, service‐based, government contracting organization supporting the intelligence community in Ft. Meade, Maryland, were interviewed until data saturation was achieved. Analysis of interview responses revealed that managing relationships at multiple levels between employees, corporate management, and the direct supervisor or manager is one way that organizations can decrease their overall voluntary employee turnover. The results of the study can be used by business leaders to create innovative retention plans and enact positive organizational change to reduce the voluntary employee turnover of IT professionals.     

Urban Commoning as a Vehicle Between Government Institutions and Informality: Collective Gardening Practices in Tampere and Narva

This article examines the processes of urban commoning and its co-produced features of urbanity, making the claim that, through these processes, informality becomes translated into institutionalized city planning. Commoning is analysed through a comparative study that utilizes contingent features of urbanity and three modalities accommodating the informality–formality meshwork during urban change. The article contributes to research on urban transformations by integrating commons, informality dynamics and the constitution of state institutions. This focus is elaborated with reference to collective gardening practices in the context of two of the less studied European cities, Narva in Estonia and Tampere in Finland. The results of the study indicate that urban commoning takes place through delegating a public mandate and enacting uncertainty, two processes that informalize city government practices. Particular differences appeared in regard to the institutional porosity that enables unregulated spaces of collective gardening to be mobilized as part of urban politics. We argue that networked movements appear as an essential part of the urban logic of action producing meaningful connections in an informal–formal meshwork and bringing together multiple sites in the commoning process.     

内部控制研究：一个基于经济学视角的框架

内部控制经历一个曲折的发展历程,形成了一定的理论。为了对内部控制有更直接更本质的认识,本文借鉴经济学特别是新制度经济学有关理论,对内部控制的内涵、产生的源泉、制度变迁以及内部控制的优化等问题进行了深入、全面的探讨。