From Local to Global: Developing a Business Model for Indian MNCs to Achieve Global Competitive Advantage

In view of turbulent market responses, building resilient business models for global competitiveness is a crucial challenge for firms in emerging economies. This article examines how Indian firms can build resilient business models that can facilitate global competitiveness. The article presents a research model that defines requirements of domestic advantage. Key issues related to building a more responsive, resilient, and agile businesses in Indian context are discussed. To promote future research issues, the authors develop propositions that explain the relationships between relevant constructs. Using a single firm, extensive case study methodology, the authors illustrate the growth processes for domestic advantage and global competitiveness.     

Organizing for external technology exploitation in diversified firms

Besides applying technology in their own products, industrial firms increasingly exploit their technologies externally, for example through out-licensing. Earlier studies cannot explain the discrepancies between a few pioneering firms in active technology licensing and the managerial difficulties of many others. In diversified firms, diverging interests of the corporate and business unit level in the keep-or-sell decision constitute a central barrier to active licensing. Therefore, this article examines two essential dimensions of designing the corporate/business unit interface in diversified firms: the centralization of the activities on the corporate level and the alignment between the organizational levels. The study tests three hypotheses regarding the interaction and consequences of these organizational dimensions with data from 152 firms. Consistent with the hypotheses, the data provide support for the benefits from medium levels of corporate centralization and corporate/business unit alignment. The results have implications for technology exploitation, open innovation, markets for technology, and corporate strategy.     

Assessing and managing the university technology business incubator: An integrative framework

This article provides a conceptual framework for assessing and managing the university technology business incubator (UTBI) as a tool for new venture creation. It is widely believed that UTBIs contribute to the nurturing of new technology-based firms (NTBFs). However, they have escaped systematic review in the United States due to a lack of historical data. To fill this gap, a new UTBI performance assessment framework is proposed, which is drawn from a combined survey of the existing body of knowledge in the areas of business incubation, the university's involvement in technology and business development support, and the commonly accepted approaches to organizational assessment that provide the necessary building blocks for the integrative framework. The proposed model is comprised of three performance dimensions: (1) program sustainability and growth; (2) tenant firm's survival and growth; and (3) contributions to the sponsoring university's mission. Further, the scope and effectiveness of the facility management policies, and the provision of services are assessed. The application of this framework is illustrated using four representative UTBI cases selected from a field of 30 five-year or older U.S.-based facilities and their 29 tenant firms out of the 84 firms contacted for the survey (35%). A comparative review of these four cases reveals that the framework provides a flexible methodology to assess the performance of UTBIs. The article concludes with a set of elements identified for evaluating UTBIs under the aforementioned three performance dimensions providing measurement indicators. This framework seeks to provide conceptual clarity for those responsible for assessing UTBI performance, directing their operations, or endeavoring to create them.     

Corporate Social Performance, Stakeholder Orientation, and Organizational Moral Development

This article begins with an explanation of how moral development for organizations has parallels to Kohlberg's categorization of the levels of individual moral development. Then the levels of organizational moral development are integrated into the literature on corporate social performance by relating them to different stakeholder orientations. Finally, the authors propose a model of organizational moral development that emphasizes the role of top management in creating organizational processes that shape the organizational and institutional components of corporate social performance. This article represents one approach to linking the distinct streams of business ethics and business-and-society research into a more complete understanding of how managers and firms address complex ethical and social issues.     

Distribution of Integrated Business Applications

New corporate developments, such as globalization, diversification and process orientation, are posing a challenge to the degree of integration of business application software. International standard software designed to meet the requirements of all types of business is acquiring greater strategic significance. The increased need for flexibility, localization, and scalable growth makes it necessary for highly integrated businesses applications to be distributable. Possible scenarios reflect managerial and organizational requirements. Additional mechanisms must be incorporated and business processes adapted to compensate for the increased autonomy of sub-applications. Reprint of an article from WIRTSCHAFTSINFORMATIK 35(5)1993:455–464. This article is also available in German in print and via http://www.wirtschaftsinformatik.de: Kagermann H (2008) Verteilung integrierter Anwendungen. WIRTSCHAFTSINFORMATIK. doi: 10.1007/s11576-008-0134-x.     

Digital transformation: Five recommendations for the digitally conscious firm

Digital transformation is one of the key challenges facing contemporary businesses. The need to leverage digital technology to develop and implement new business models forces firms to reevaluate existing capabilities, structures, and culture in order to identify what technologies are relevant and how they will be enacted in organizational processes and business offerings. More often than not, these profound changes require firms to revisit old truths as they develop strategies that thread the needle between beneficial innovation and harmful disruption. This article uses the Internet of Things (IoT) as a backdrop to demonstrate the concerns associated with transformative technologies and offers five recommendations as to how firms can develop the strategies needed for digital transformation and become digitally conscious: (1) Start small and build on firsthand benefits; (2) team up and create competitive advantage from brand recognition; (3) engage in standardization efforts; (4) take responsibility for data ownership and ethics; and (5) own the change and ensure organization-wide commitment. As such, this article shows that digital transformation should be a top management priority and a defining trait of corporate business strategy, and that by becoming digitally conscious, firms may get a head start on their transformation journey.     

Market Orientation and Organizational Learning Capabilities

The platform of contemporary marketing thought is founded upon the marketing concept. While there has been much debate about the precise nature of this concept, related discussion concerning its manifestation, in the form of a firm's market orientation, has developed to suggest that it is a feature exhibited by organizations possessing superior skills in understanding and satisfying customer needs. Despite the favourable externalities likely to accrue to an organization that is market oriented, it has been claimed that for a firm to achieve its full potential to learn about the marketplace, instilling a market orientation is only a first principle. While market orientation provides the norms for responding to the marketplace, this needs to be complemented by appropriate mechanisms and processes for higher-order learning to occur. This article examines such a conceptual argument and empirically investigates the relationship between two key constructs: market orientation and organizational learning capabilities. Data were generated from a survey of medium and large industrial firms and five dimensions of organizational learning capability items are tested against two different groups of firms in terms of their degree of market orientation. As contrasted with low market orientation firms, organizations characterized by high levels of market orientation perceived greater organizational learning capability with regard to the dimensions of strategic awareness, operational flexibility, strategic development processes and managerial skills. Discussion is given to these findings and implications are drawn for business executives and future research.     

Asymmetric roles of business ties and political ties in product innovation

This study investigates the asymmetric roles of business ties and political ties in innovation processes. The study posits that business ties strengthen organizational competence and enhance the environmental fit. In contrast, political ties increase the environmental fit but ossify organizational internal routines. The study uses an extensive survey on 766 Chinese firms across multiple sectors to test hypotheses. The empirical results provide strong supports for hypotheses by showing that: (1) business ties have a positive impact on product innovation, indicating that despite different types of business ties, they share common features in enhancing product innovation; (2) political ties have an inverted U-shaped relationship with product innovation, indicating that the positive effect of political ties on product innovation would diminish as the costs of political ties outweigh the benefits.     

Why do firms train? Empirical evidence on the relationship between training and technological and organizational change

We explore the relationship between training and innovation using key insights from the resource‐based approach, organizational learning and labour studies. By using data from 304 large enterprises in Italy, the study highlights a twofold role of training in favouring technological and organizational changes. First, training plays a role in allowing the acquisition and the assimilation of new knowledge. Consequently, firms in which the provision of training is part of a bundle of high‐performance management practices are more likely to undertake technological and organizational changes and to develop new competencies internally. Second, training supports firms in the assimilation of technological and organizational changes. Consequently, firms that undertake these changes exhibit a superior participation rate for employees and greater time intensity of their training programmes. Firms' inclination to develop new competencies internally does not affect, however, the intensity of training, thereby suggesting that organizational learning processes do not start by a broad involvement of employees in formalized training programmes.     

基于Petri Net和BPR的企业过程建模研究与应用

企业过程建模、分析和优化是企业过程重组BPR的基础,行之有效的建模技术是成功实施BPR的关键。为了对企业过程建模技术进行系统研究,在深入分析BPR特点的基础上,主要结合PetriNet技术,提出企业进行过程建模的阶梯层次方法,建立了BPPN模型,描述了Petri Net在企业过程中的形式化表示,并运用一个实例来验证模型的实用性,可以使管理者了解企业的生产细节和流程,更好地做出决策。     

The mediating role of communication satisfaction in relational demography – a study in Macao,SAR context

Challenges in the global market and sensitive cross-Straits relations negatively influence Taiwanese industries. Continuous learning is the way to respond to the challenges posed by the rise of China in the world economy. Learning is the process by which knowledge is refreshed. A learning organization is a more competitive organization. Many researchers have discussed the relationship between organizational learning and business performance, but few of them have explored the issue in practice. This article provides a more thorough assessment of the link between organizational learning and organizational performance for industry comparisons. It also aims to determine the status of Taiwan's industries with regard to organizational learning. The findings of the study demonstrate that applying organizational learning influences corporate performance; however, only high-tech and financial firms have consistently applied the organizational learning concept throughout their organizations. Our investigation may offer new insights into organizational learning, and enable leaders and scholars alike to develop strategies to enhance competitiveness.     

Foreign subsidiaries' status: Distinctive determinants and implications for subsidiary performance

The purpose of this article is to develop a theoretical framework for understanding what determines foreign subsidiaries' status, and how status affects their performance. The basic argument is that foreign subsidiaries have several unique characteristics that distinguish them from local firms in terms of the factors determining organizational status and the implications status has for subsidiaries' performance. This conceptual article first reviews the three existing determinants of organizational status as theorized by existing status research and makes the case for an extension of the three determinants to account for the special situation of foreign subsidiaries. Having examined the determinants of subsidiary status, this study explores the effect of organizational status on firm performance, and finds that it reduces the liability of foreignness (LoF) that foreign subsidiaries encounter. The study contributes to multiple research streams, including organizational status, LoF, country of origin (CoO), and the international business literature in general. Practically, this study highlights the importance of obtaining high organizational status and provides valuable suggestions for multinational managers in general and subsidiary managers in particular.     

Organizational creativity as a crucial resource for building international business competence

We aim to elucidate the roles that organizational creativity plays in the development of firms’ international business competence (IBC). We conducted an investigation grounded in the resource-based view of how this intangible resource supports the development of capabilities and competences. We surveyed 77 Brazilian audiovisual SMEs and analyzed our data using OLS regression analysis. The results partially support the hypothesis that organizational creativity is a building block for IBC but show that its effect is mostly exerted through the mediation of some of the dimensions of innovative and entrepreneurial capabilities. This study has implications both for organizations and public policies, contributing to the debate on how firms stimulate innovation and entrepreneurship and how public agents can leverage SMEs’ internationalization process.     

Business Incubation Centers and New Firm Growth in the Basque Country

The purpose of this article is an attempt to identify those factors related to human capital and organizational resources which help in overcoming barriers to survive during the infancy period of firm start-ups. The paper aims to find out the extent to which the support received by entrepreneurs from incubator centers is critical to ensure firm life. Primary data have been used to conduct an empirical analysis on a sample of 114 start-up firms participating in a business assistance program (i.e., business incubation centers). Results from regression analyses suggest that human capital attributes of entrepreneurs and certain start-up firm characteristics seem to be critical to explain business success. An important implication of this study is that, despite the economic advantages derived from this policy based on the promotion of business incubation centers policy makers should be cautious in its application. Empirical evidence from our study suggests that a portion of new firms being nurtured in business incubation centers may cause the exit of more efficient incumbent firms not receiving such policy support.     

Can outstanding performance also be long‐standing?

Best practices in the business world are often identified by benchmarking in relation to products and the processes by which those products are created and delivered. This can take place inside a specific industry, but also in other industries and different countries. There, the main challenge for global firms is to decide how and how far to adapt those practices to the local environment, which is, in most cases, very different from their domestic markets. This article examines the performance of selected companies from various industries that have, in recent years, successfully developed and implemented new business concepts and new business processes in both their domestic and global markets while implementing their global strategy. The article also seeks to identify and evaluate the pitfalls or difficulties they had to face, as well as to compare their results with the objectives they wanted to achieve. © 2008 Wiley Periodicals, Inc.     

Corporation and Polis

Given the problems in the business world, it might be time to rethink business from a perspective that is not (neo)Marxist or capitalist. This article does just that by rethinking the ideology of human freedom in business. This article argues that corporations are freer than humans under capitalism. Moreover, corporations, more so than humans, engage in free action, as Arendt defines action. To return to the place where human freedom is an actuality not ideology, we must understand the nature of freedom and how the present situation arose. From that we can then develop solutions. One solution posited here is that managers must treat employees as worthy of empowerment. This solution gives organizational behavior theory the ethical status that it has not had earlier. Even if the solution set out in this review is not functional, the view of business developed in this article is new and merits further examination in order that business can functional more ethically, including the treatment of people.     

Aligning Organizational Structure to the Market

As part of the overall configuration of the firm, structure plays a powerful role in creating a market-driven organization. The wrong structure can doom all other market-driven initiatives in the organization to failure. This article analyses the trade-offs between different organizational structures and highlights the ways in which many firms are adopting hybrid structures based around horizontal business processes backed up with deep functional strengths. In today's context, this hybrid form involves fast decentralized decision-making using widely dispersed and shared information. The article also describes some of the ways in which information technology can enable firms to achieve greater market effectiveness without losing economic efficiency. The implications of the analysis for the role of the marketing function are considered in an Appendix.     

A Comparative Study of Web-Based Technology Applications in Corporations

Due to the complexity of international trade and intense global competition, businesses today are facing challenges that were unthinkable a decade ago. To effectively respond to these challenges, companies continue to explore new ways to measure and extend value to their existing and new customer base. In the past, business practices have used expensive and time consuming tools to manage day-to-day operations. However, with technology advancing at a rapid speed, companies are forced to incorporate new technologies into their organizational decision processes to remain competitive and to maintain or expand market share. One technological tool that has become increasingly valuable to business firms is the internet. The evolution of the internet has resulted in numerous web-based tools that have proven to be flexible and data rich enhancements in a wide variety of business applications. This research examines how corporations utilize the internet in their internal and external business decision processes. The study highlights the benefits, similarities, and differences between SMEs and large firms with regard to the applications of these technologies.     

Organizational innovation as an enabler of technological innovation capabilities and firm performance

This study assesses the relationship between organizational innovation and technological innovation capabilities, and analyzes their effect on firm performance using a resource-based view theoretical framework. The article presents empirical evidence from a survey of 144 Spanish industrial firms and modeling of a system of structural equations using partial least squares. The results confirm that organizational innovation favors the development of technological innovation capabilities and that both organizational innovation and technological capabilities for products and processes can lead to superior firm performance.     

Determinants of organizational performance: some implications for top executive leadership in Korean firms

ABSTRACT

Leadership, although commonly assumed to be greatly significant, is not typically studied in terms of structural characteristics accounted for in organizational performance. The effect of top executive leadership is explored here as a key factor that reflects organizational characteristics by offering a new framework and presenting an empirical test of Korean business firms. This research can be possibly made by focusing on the size of the leadership which explicates the difference between structural, resource and contextual variables in organizations. The multivariate regression analysis shows that firm size, leadership, debt and export significantly affect organizational performance, as measured by net income. The mechanism of Korean business firms needs to readjust to the new environment for organizational performance.