The ‘textual attitude’ and new technology

One of the most important tasks information systems executives face is making sense of emerging opportunities for organizational innovation through information technology. However, the parlance of information systems practitioners yields a variety of metaphors suggesting that this crucial task is a perilous one, in which success is far from assured. This paper reports on an interpretive study of these metaphors, using data from field interviews. Five images are identified, which evoke certain hazards and illuminate aspects of a successful executive response. The subsequent analysis of these images reveals how they serve constructively in promoting rationality in sensemaking, against a background that includes an ontologically problematic innovation and belief formation under institutional pressure. The paper concludes with some thoughts on the wider role of discourse in innovation sensemaking.     

Specifying and assessing a formative measure for Hofstede’s cultural values: a Malaysian study

The growing interest on Hofstede’s cultural values has dominated the area of management and organizational research. However, the extant literature with disappointing psychometric results have provoked a pressing need to re-examine its measurement model specification. To fill this gap, this study attempts to specify the epistemic nature of Hofstede’s cultural values and its underlying dimensions, and to assess a proposed second-order reflective–formative model for Hofstede’s cultural values at individual level in the school organizational context. The stratified sample consisted of 1,154 teachers selected from 30 Malaysian primary schools. The analysis was conducted using Partial Least Square analysis with SmartPLS 2.0 software program. Findings revealed the absence of multicollinearity with the convergent, nomological and discriminant validity were affirmed. This study has confirmed Hofstede’s cultural values as formative second-order hierarchical latent construct which are commonly operationalized by means of reflective dimensions would be better captured using a formative measure perspective by providing rigorous empirical evidence. Limitations and thoughts to stimulate future studies are discussed.     

Recontextualising a strategic concept within a globalising company: a case study on Carlsberg's ‘Winning Behaviours’ strategy

A corporate strategy is often formulated on the executive floor at headquarters. However, in order to make it live in an organisation, middle management and employees must be involved and make sense of it. These actors thus contribute to, participate in and enact the strategy in processes where it may take on new meanings and forms. This article investigates how ‘Winning Behaviours’, a strategic concept developed on the initiative of top management at the Carlsberg Group in order to improve global integration in the multinational organisation, was recontextualised. It draws upon interviews and observations as well as documents collected at the company headquarters in Denmark and in its subsidiaries in China and Malaysia. Here, expatriate and local managers tried to give sense to the Winning Behaviours in various ways, and employees brought their own local leadership ideals into play when they tried to make sense of the preferred behaviours and turn them into daily practices. The process of creating a new strategic concept and making it live in other sociocultural contexts was facilitated by headquarters staff in the Human Resources and Communications departments, who thus played an important role as change agents in the ‘glocal’ strategy process.     

Rejuvenating clusters with ‘sleeping anchors’: The case of nanoclusters

This article investigates how competition for network orchestration sustains high tech clusters rejuvenation by avoiding early lock-in and stimulating exploration. Based on evidences drawn from the comparison of the evolution of two nano-electronics clusters, i.e., Grenoble (France) and Catania (Italy) clusters that share the same anchor tenant firm, namely STMicroelectronics, this article infers that cluster rejuvenation comes from scientific and technological diversity, competition for orchestration, overlap amongst networks and the ability of sleeping anchor tenant organizations to renew actors and technologies. As soon as the process of specialization (asset specificity, network specificity and technology speciation) starts, competition for orchestration stimulates sleeping anchor tenant organizations to influence research avenues within the cluster, and shape new networks within and outside the cluster.     

‘Types’ of private family firms: an exploratory conceptual and empirical analysis

Family firms that can leverage entrepreneurial experience and knowledge can shape local economic development. Practitioners concerned with fostering enterprise sustainability need to be aware that family firms cite contrasting goals, resource profiles and requirements. Family firms are not a homogeneous entity. The ‘targeting’ of support to ‘types’ of family firms could enable practitioners to satisfy their wealth creation and social inclusion objectives. To stimulate increased critical reflection, insights from agency and stewardship theories were drawn upon to illustrate six conceptualized ‘types’ of private firms based on company ownership and management structures as well as company objectives. Cross-sectional survey evidence was gathered from key informants in family firms in the UK. An agglomerative hierarchical QUICK CLUSTER analysis identified seven empirical ‘types’ of family firms. Four out of the six conceptualized ‘types’ were validated by the exploratory empirical taxonomy. Implications for policy-makers and practitioners as well as researchers are discussed.     

The role of wasta in repatriates’ perceptions of a breach to the psychological contract: a Saudi Arabian case study

This study examines the influence of a national cultural dimension, specifically a strong orientation towards collectivism/reliance on network relationships, referred to as ‘wasta’, on the way in which psychological contracts form and change in a Saudi organisation. Specifically, it focuses upon how the psychological contract is perceived to have been breached by repatriates because of the role that wasta plays in shaping formal and informal HR practices pre- and post-assignment. The analysis demonstrates that prior to international assignment, wasta was taken for granted and only implicitly acknowledged as influencing selection criteria for assignments and individuals’ expectations and obligations associated with their psychological contract. Once repatriated, wasta was foregrounded and perceived as highly problematic in terms of career advancement. This shaped repatriates’ perceptions that their psychological contract had been breached, influencing their intentions to leave. These findings suggest that the psychological contract can be viewed as highly context-specific, as well as a person-centred phenomenon. We consider the implications of our research in terms of the influence of national cultural characteristics on individual’s perceptions of breaches to the psychological contract and highlight the possible implications generally for Saudi Arabia, which is aiming to be less reliant on foreign labour.     

The ‘yawning abyss’ between surface and substance: Organizational life as ‘pseudo-reality’

Organizational scholars have long studied and theorized the apparent divergence of discourse and practice in organizational settings, and how it affects leadership, management, and professional work. In this article, we review this work and connect it to an hitherto unexplored philosophical line of thought from the writings of the late Czech playwright, dissident and president Václav Havel. In 1978, Havel published an essay that discussed the consequences of the disconnect between official discourse, promoted by the communist regime, and the everyday life of Czechoslovak citizens. His ideas about the ‘yawning abyss’ between the two, and the resulting ‘pseudo-reality’, are explored in this article, as food for thought about organizational life in late modern capitalism.     

Women victims of self-immolation: a ‘Grounded Theory’ study in Iran

This study aims to examine the sociological aspects of the phenomenon of women self-immolation in Lorestan, Iran. The methodology of ‘Grounded Theory’ was used to analyze data gathered from 11 women who had attempted self-immolation. Data analysis yielded ten categories including patriarchy, divorce as a stigma, family maladjustment, economic frustration, access to fire, prevalence of self-immolation, self-immolation for emancipation, self-immolation as a threat, reorganization of social relations, and remorsefulness. Generally, in societies where patriarchy is dominant, divorce is considered a stigma, and life style pattern is pastoral or rural, when family maladjustment and economic frustration emerge as well, the occurrence of the phenomenon of women self-immolation becomes more likely.     

The ‘wrong skewness’ problem: a re-specification of stochastic frontiers

In this paper, we study the ‘wrong skewness phenomenon’ in stochastic frontiers (SF), which consists in the observed difference between the expected and estimated sign of the asymmetry of the composite error, and causes the ‘wrong skewness problem’, for which the estimated inefficiency in the whole industry is zero. We propose a more general and flexible specification of the SF model, introducing dependences between the two error components and asymmetry (positive or negative) of the random error. This re-specification allows us to decompose the third moment of the composite error into three components, namely: (i) the asymmetry of the inefficiency term; (ii) the asymmetry of the random error; and (iii) the structure of dependence between the error components. This decomposition suggests that the wrong skewness anomaly is an ill-posed problem, because we cannot establish ex ante the expected sign of the asymmetry of the composite error. We report a relevant special case that allows us to estimate the three components of the asymmetry of the composite error and, consequently, to interpret the estimated sign. We present two empirical applications. In the first dataset, where the classic SF has the wrong skewness, an estimation of our model rejects the dependence hypothesis, but accepts the asymmetry of the random error, thus justifying the sign of the skewness of the composite error. More importantly, we estimate a non-zero inefficiency, thus solving the wrong skewness problem. In the second dataset, where the classic SF does not yield any anomaly, an estimation of our model provides evidence for the presence of dependence. In such situations, we show that there is a remarkable difference in the efficiency distribution between the classic SF and our class of models.     

Why locate manufacturing in a high-cost country? A case study of 35 production location decisions

In this paper, we examine in detail 35 final assembly location decisions to gain understanding of the manufacturing location decision from strategy and economic policy perspectives. We are particularly interested in the decision to locate final assembly specifically in a high-cost (high GDP per capita) environment. In contrast with the earlier literature, we focus not just on manufacturing activities themselves, but also the key linkages between production, market, supply chain, and product development. These linkages are examined using three key concepts from theories of organization design: formalization, specificity, and coupling. Using these concepts, an analysis of the micro-structure of each case reveals important commonalities that inform our understanding of location decisions. We conclude by discussing the policy implications of our findings.     

Syrian refugee women’s profile and their expectations in their host country: a case study in Turkey

Due to inner conflicts and national or international political instability in their regions, hundreds of thousands of civilians flee from their home countries to some neighboring and safer countries. Among this huge number of migrants women seem to be the most disadvantaged groups because of their social status, their cultural roles as well as their educational background. In this study, a questionnaire was developed and administered to 47 Syrian refugee women living in the Cappadocia region of Turkey. Their profile and their expectations such as the social inclusion were reported. For this purpose, the data were collected via a questionnaire and a detailed review of literature. The quantitative data were analysed using SPSS package program, and the qualitative data were pre-analysed and, subsequently, the code system was adapted. The result of the data analysis illustrated serious social/personal problems and expectations related with communication with the local or inclusion in the social life because of their status in the family, unemployment, or their expectations to go back to their home country.

     

The relative decline of a Musgrave ‘Merit Good:’ the case of public support of flagship public universities

Fifty years ago, Richard Musgrave put forward the notion of a “merit good”—one that despite its virtue would be undersupplied and under consumed in a free market economy driven by traditional notions of consumer sovereignty. Higher education is considered by many to be a merit good because they believe it generates highly desirable spin-off effects. If higher education has been a merit good, then that status appears to be disappearing. Declining state funding for higher education, increasing tuition rates and highly successful fund-raising by independent institutions have diminished public flagship universities, at least relatively. Consequently, their rankings have declined.

High-investment HR values and firm performance among local firms and U.S. MNCs’ subsidiaries in South Asia: a comparative study

Grounded in institutional theory, this study investigates the differential adoption and internalization of high-investment human resource (HR) values by local companies and by subsidiaries of US firms located throughout South Asia; and the impact of these HR values on firms’ performance. In line with our predictions, results suggest that US subsidiaries have a greater rate of adoption of high-investment HR values compared to local South Asian firms. Contrary to our predictions, however, both types of firms are similar in the level of internalization of their respective HR values. Finally, while greater levels of high-investment HR value adoption is associated with firm performance across the board, this relationship tends to be stronger for US MNCs’ subsidiaries compared to local South Asian companies. Theoretical and practical implications for the transfer and diffusion of high-investment HR values in institutionally and culturally distant contexts are discussed.     

The impact of appointment-based CEO connectedness on firms’ performance and profitability

This paper investigates whether the performance variables of newly added intangible capital elements give the appointment relationship a deeper impact on the firms’ performance and profitability. We document that after correcting for endogeneity, when considering intangible capital, Total Q is a better proxy than Tobin’s Q for explaining the effect of appointment-based CEO connectedness on firm performance and profitability. Furthermore, we show that the influence of directors on company performance and profitability is more important than that of executives or managers. We also find that the stronger the appointment relationship, the worse the company’s performance and profitability. We further provide a series of alternative interpretations and robustness test evidence showing that intangible capital is more important for high technology and internet firms than industrial firms. Further, we find that the greater the number of executives appointed by the CEO, the better the firm’s research and development, but the worse the firm’s investment policy.     

Are innovation and R&D the only sources of firms’ knowledge that increase productivity? An empirical investigation of French manufacturing firms

The economic literature presents knowledge accumulation as one of the most important characteristics of innovation. The accumulation of knowledge arises from complex and dynamic interactions between a firm??s own internal capacity and external expertise. Research and development (R&D) remains important in the innovation process, but it must be integrated with knowledge from other sources, such as training and knowledge capitalization. This paper investigates the relationship between such knowledge sources and the productivity of French firms. Using asymptotic least squares, a Cobb-Douglas function including R&D, innovation, training expenditure and ISO 9000 certification is estimated for 1,213 French manufacturing firms. Our results show that innovation, training and ISO 9000 certification have a positive and significant impact on firms?? productivity.     

Modeling the effect of competition on US manufacturing sectors’ efficiency: an order-m frontier analysis

Journal of Productivity Analysis - The study applies the probabilistic framework of nonparametric frontier estimation to model the effect of competitive conditions on sectors’ production...     

Digitalisation,unions and participation: the German case of ‘industry 4.0’

This article tackles the question of how labour representatives cope with the implementation of ‘Industrie 4.0’ in German manufacturing plants. Digitalisation of manufacturing is going along with challenges for employment, work organisation and working conditions. The article analyses one of the main strategies German unions have developed, the project ‘Work 2020’, which was to raise works councils' awareness of the workplace impact of digitalisation, improve their knowledge of the changes, raise their capacity to respond and, finally, lead to the negotiation of workplace agreements on this issue with employers. The results of the analysis show that a strong interplay between unions and works councils and the activation of works councils by the unions have become indispensable preconditions for coping with the new challenges both of digitalisation and of the ongoing erosion of the German system of labour relations.     

The dynamics of entrepreneurs’ networks in a transitioning economy: the case of Russia

Despite its theoretical and practical importance, the evolution and development of entrepreneurs’ networks has attracted a little attention of researchers. The emerging research literature on this topic found that the dynamics of entrepreneurial networks were contingent upon venture lifecycle, industry and region, and resource needs of the firm. In addition and contrast to the previous research, this article examines the effects of the initial network structure, and firm performance of previous years on the changes in entrepreneurs' network structure, relations, and resources over 4 years. The empirical data is composed of the face-to-face interviews with 75 Russian entrepreneurs in 1995, and the follow-up interviews with 56 original respondents in 1999. I found that the greater the initial network size, the less the increase in network size, strong and weak ties, and resources over time. Further, the findings indicate that revenue growth of previous years predicts the changes in networks in the reverse manner. Thus, I found that the greater the average revenue growth, the less the increase in network size, weak ties, and resources over time.     

Fiscal decentralization and multinational firms’ ownership: evidence from China

China’s fiscal decentralization increases the incentive for local governments to maintain economic prosperity and improve institutional environments for multinational firms. This study investigates the impact of fiscal decentralization on the ownership shares of multinational firms in China. Multinational firms located in regions with higher degrees of fiscal decentralization are found to own larger shares of their foreign subsidiaries. This result is consistent under various robustness checks, including instrumental variables estimations. The finding suggests that multinational firms respond to local fiscal decentralization by increasing their participation in investment. This study therefore provides additional evidence for the beneficial effect of fiscal decentralization on China’s economic growth by highlighting the risk-mitigating role of fiscal decentralization.