Business group characteristics and affiliated firm innovation: The case of Taiwan

This paper investigates the relationship between business group factors and affiliated firm innovation in terms of patents granted. We examine the following factors for business groups: group affiliation, group diversification, inside ownership, and family ties. In emerging markets, business groups act not only as an internal capital market, but also as a platform for resource sharing among affiliates. We use Taiwan's business groups as a research sample to investigate how these group factors affect affiliated firms' innovation. The findings indicate that firms that are affiliated with business groups innovate better than their unaffiliated counterparts. Group diversification and family ties have positive effects on firm innovation, while inside ownership has no significant positive effect. Our study contributes to the innovation literature by shedding light on business group factors and firm innovation.     

Designing flexible work practices for job satisfaction: the relation between job characteristics and work disaggregation in different types of work arrangements

The literature on flexible work practices has not yet evaluated in detail how the characteristics of a job affect job satisfaction. This study makes a distinction between two types of flexible work practices according to their aims: the accommodation of employees’ personal lives (employment practice) and the operational reasons of a firm (work practice). Based on this distinction, we studied how the characteristics of a job, which reflect the use of ICT to support the spatial disaggregation of business processes, influence the relationship between the two types of flexible work practices and job satisfaction. We show, through a survey conducted on 987 workers, that the characteristics of a job that favour work disaggregation positively moderate the influence of flexible work as a work practice on job satisfaction, but they do not moderate the influence of flexible work as an employment practice. The implications for managers, workers and scholars are discussed.     

Achieving relational governance effectiveness: An examination of B2B management practices in Taiwan

This study examines the antecedents of relational governance effectiveness in a country context where the prevalence of Confucian values is expected to create a culturally ingrained preference for relational governance. We also explore whether different management practices are better predictors of relational governance effectiveness under different collaborative inter-firm relationship configurations. Results from an analysis of 182 alliance relationships in Taiwan, a dynamic newly developed economy, reveal that, generally, demonstrating trustworthiness, establishing just and fair procedures, and building effective platforms for connectivity are management practices that are good predictors of relational governance effectiveness. The multi-group analysis provided more nuanced insights. The findings suggest that different inter-firm relationship configurations require different subsets of management practices. Building effective platforms for connectivity is a strong predictor of relational governance effectiveness in equity-based alliances with foreign partners. In equity-based alliances with domestic partners, establishing fair and just procedures is emphasized. In contractual alliances with foreign partners, ensuring contractual clarity and building effective platforms for connectivity are found to be facilitators of relational governance effectiveness. Last, contractual alliances with domestic partners seem to rely on a portfolio of management practices encompassing demonstrating trustworthiness, establishing just and fair procedures, and building effective platforms for connectivity.     

The effects of integrated manufacturing on job characteristics

From a sample of 203 Spanish plants in all manufacturing sectors empirical results show that integrated manufacturing (IM) has a positive effect on job variety, job autonomy and job interdependence for production workers. It is also found that IM is associated with greater job complexity, this effect being mainly mediated by the three abovementioned job characteristics.     

Spectrum management reform: Rethinking practices

Unparalleled growth in wireless communications has increased the pressure for more spectrum to support more users, more uses and more capacity. To alleviate that pressure, major regulatory changes were introduced in several countries in two key areas of spectrum management, namely spectrum assignment and allocation. This paper analyzes those changes and discusses strategies and tactics for deregulating the use of radio spectrum. Spectrum management reforms are considered within the theoretical framework of transition economics, which is concerned with optimal reform speed and sequencing. The paper shows how Anglo-Saxon and European countries have been implementing gradual reforms. Meanwhile, Central American reformers have chosen a fast transition from command-and-control regulation to market mechanisms. Transition economics is used to evaluate the advantages and drawbacks of different spectrum reform strategies.     

Using R&D portfolio management to deal with dynamic risk

We develop a theoretical framework for understanding why firms adopt specific approaches for the management of innovation project portfolios. Our theory focuses on a key contingency factor for innovation, namely the dynamics of competitive environments. We use four dimensions to characterize the patterns of environmental dynamics: velocity, turbulence, growth and instability. The paper then proposes the concept of dynamic risk as a determinant of portfolio management processes. Dynamic risk results from second‐order learning by a firm confronted with a specific dynamic pattern in its environment. This learning concerns the likely nature of threats and the required updating of cognitive frameworks in such environments. Attempts to deal with dynamic risk enable various actors inside the firm to understand what kind of dynamic capabilities are needed in their innovation portfolio management processes. As a result of this diffuse learning, firms tend to favor certain common characteristics in their concrete portfolio management activities. To advance the theorizing of these characteristics, the paper also proposes four dimensions of portfolio management: structure, commitment, emergence and integration. Based on arguments inspired by the dynamic capability and related literatures, we advance a series of hypotheses, that relate environmental dynamics dimensions and portfolio management dimensions. These hypotheses are tested based on a survey of 795 firms in a variety of sectors and on four continents, using original scales and structural equation modeling methods. The results show, among other findings, that high‐velocity environments favor structured as well as integrated portfolio management approaches, while high‐growth environments favor approaches that are structured but commit significant resources to each project as well. Turbulent environments favor approaches that are emergent, but also, contrary to our expectations, have high resource commitment levels. Finally, firms in unstable environments have a marginal preference for emergent approaches. Results could help advance the dynamic contingency theoretical perspective on dynamic capabilities, as well as improve the practice of innovation portfolio management.     

Stock market surveillance and market performance: The case of Taiwan

In this paper we investigate the effect of warning announcements on the price behaviour of stocks. We also study the effects of various corrective treatments (trading halts, call trading and 100% payment/delivery with order) on the performance of stocks in the Taiwan stock market. It is found that warning announcements serve to improve the performance of stocks, except in the case of consecutive warnings. Generally speaking, the corrective measures taken after the consecutive warnings are able to reduce the volatility, the abnormal returns and the excess liquidity of the stocks.The authors are Professors from the National Sun Yat-sen University, and the Securities and Exchange Commission respectively.     

Uniform accounting system for state-owned enterprises: The case of Taiwan

This article describes the uniform accounting system adopted by government enterprises in Taiwan. Several key elements of the system including the uniform chart of accounts, uniform accounting procedures, and external financial reports are discussed. Some unique accounting practices and special accounts used in the system are also described. The system is compared with the French and Norwegian uniform accounting systems. Similarities and differences among these systems are highlighted. The paper concludes with an evaluation of the effectiveness of the Taiwanese accounting system.The authors are respectively Associate Professor of Accounting at the University of Calgary and Professor and Chairman of the Department of Industrial Management, National Taiwan Institute of Technology. They are grateful to Professors Herbert L. Jensen and Haim Falk for their helpful comments on earlier versions of this paper.     

Japanese management in Singapore: Convergence of human resource management practices

This paper discusses the transfer and adaptation of Japanese human resource management practices to Singapore. By comparing Japanese parent companies, their subsidiary companies in Singapore, and comparable local Singaporean companies, the modifications to the practices of the Japanese parent companies and the adoption of local practices by Japanese management are made evident. The findings seem to uphold both the convergence and the contingency theses.Dr. Chong Li Choy is a Senior Lecturer in the School of Management, National University of Singapore. Prof. Hem C. Jain is from the Faculty of Administration, University of New Brunswick.     

Linking key account management practices to performance outcomes

Many suppliers practice relational strategies that aim to achieve competitive advantage through a collaborative business relationship with their customers. Key account management (KAM) is one such relational strategy that suppliers rely upon to manage their relationships with strategically important customers. Yet suppliers still struggle to put such programs into practice effectively, most likely because academic investigation has yet to report on what actions explain the performance of KAM initiatives. Aiming to fill this gap, we first identify a set of key KAM practices at the strategic, organizational, tactical and control levels of management. Next, we examine how these practices explain the performance of KAM through the mediating effect of the supplier's relational capabilities and the relational outputs that such capabilities produce. The results provide support for most of the hypothesized relationships, showing that the identified practices positively affect performance and dyadic outcomes through the mediation coming from the variables examined. From a theoretical perspective, the study adds to our understanding of the factors underlying effective KAM practices. From a managerial perspective, the results provide insights into how suppliers can achieve KAM effectiveness through relationship-oriented activities, skills and outcomes.     

Management practices of Taiwanese firms: As compared to those of American and Japanese subsidiaries in Taiwan

The management practices of local Taiwanese firms were evaluated by Negandhi in 1973 as the least developed as compared to those of the American and Japanese subsidiaries. Since then, the local Taiwanese firms have undergone a phenomenal change. In comparison to the American and Japanese subsidiaries, the current management practices — organisational structure, decision making and human resource management of the local Taiwanese firms are a mixture of those of the American and Japanese subsidiaries. The local Taiwanese firms have adapted very well to the impact of the West (the United States) and the East (Japan) and contributed greatly to the economic prosperity of Taiwan.The author wishes to thank the Council for Economic Planning and Development, Republic of China (Taiwan) for financial support.     

浅谈服务等待

排队等待现象在当今服务业中已成为一个焦点问题,各服务行业纷纷提出改革措施对此进行整顿,以减少消费者的等待时间并达到顾客满意的目的。本文从理论角度,通过分析国外学者已有的相关研究成果,指出我国学术界对此问题的研究建议,以期对服务等待管理具有指导和借鉴意义。     

New technology and job design: the case of CNC

This article is based on a three-year study of the introduction and use of computer numerically controlled machine tools (CNC) into nine engineering companies. It rejects the view that technology determines job design and instead highlights the role of managerial values and competence and organisations'own structures and practices .     

Strategic management cycle: The underlying process building aligned linkage among operations practices

This study explores the mechanism of building an effective linkage among manufacturing practices that is a basic attribute of high performance manufacturing. High performance manufacturing companies are those that sustain high levels of performance over time. We propose a strategic management cycle, which explains how a firm establishes and maintains sustainable performance. We hypothesize and demonstrate how the cycle creates an effective linkage that integrates strategic activities and operational practices, which in turn yields high performance. We also argue and show how the first stage of the cycle, visionary planning, supported by the cross-functional culture, is a key to the high performance manufacturing company.     

Doing R&D and/or Importing Technologies: The Critical Importance of Firm Size in Taiwan’s Manufacturing Industries

We analyze the relationship between firm size and innovation inputs in Taiwan. Two inputs are considered: R&D and technology imports. Building on an existing theoretical framework, we test this relationship by estimating bivariate Tobit models in twenty 2-digit industries, using a panel of 27,754 firms observed from 1992 to 1995. We find that, in all industries, R&D intensity and/or technology imports intensity depend strongly on firm size, following an “inverted-U” pattern. Moreover, we find that most industries are only “mildly Schumpeterian”. Finally, our results provide some empirical evidence for complementarity between R&D and technology imports in the innovation process.     

A survey of sales management practices

When ascertaining what sales management tools and practices to use, one approach would be for sales managers to compare the tools and practices they are presently using (or contemplating) with those used in other firms. This article provides sales managers with the opportunity for such a comparison by presenting the results of a study that examined what tools and practices sales managers are currently employing.     

The national innovation system and foreign R&D: the case of Taiwan

R&D internationalization has increasingly involved countries outside the developed world. In addition, there has been a growing trend for countries in East Asia to seek to attract the R&D facilities of multinationals (MNCs). For such countries, they are faced with a fundamental question as to what kinds of impact MNCs' offshore R&D facilities will have on their own countries, especially in terms of technological innovation and industrial development. Set against the above backdrop, this paper sets out to examine a relatively new aspect of R&D internationalization related to global innovation networks and to open up the blackbox of the spillover effect regarding foreign R&D by examining the interplay of foreign R&D and Taiwan's national innovation system. The empirical part of the paper draws mainly upon intensive case studies of four high-profile foreign R&D facilities in the IT industry. The way foreign R&D interplays with Taiwan's NIS is examined in terms of the market & technology linkages.