Innovating Beyond the Horizon: CEO Career Horizon,Top Management Composition,and R&D Intensity

Decreasing research and development (R&D) can impair the ability of firms to remain innovative in the long run. CEOs have been accused of curtailing R&D investments as they approach expected retirement, yet received findings on R&D investment behaviors of late‐career CEOs are mixed. We argue that one reason for these inconsistent findings could be that traditional approaches overlook the fact that CEOs are not isolated agents in making R&D decisions. We build on the premise that CEOs interact with their top management team (TMT) when shaping R&D strategy and advance a contextualized view of CEO dispositions in their late career stages as being constrained or enabled by their TMT. We hypothesize that some TMT attributes (e.g., tenure and age) may amplify, whereas others (e.g., functional experience and education) may mitigate inclinations to reduce R&D. Our findings, based on a longitudinal sample of 100 US manufacturing firms from 1998 to 2008, provide nuanced insights into how different TMT characteristics influence CEO‐TMT dynamics, with TMT age and TMT tenure playing particularly pronounced roles. We discuss implications of our CEO‐TMT interface approach for theory and practice. © 2015 Wiley Periodicals, Inc.     

Learning outcomes in affective domain within contemporary architectural curricula

Contemporary architectural education has shifted from the traditional focus on providing students with specific knowledge and skill sets or ‘inputs’ to outcome based, student-centred educational approach. Within the outcome based model, students’ performance is assessed against measureable objectives that relate acquired knowledge and skills to performance expectations in higher level courses or real world architectural practice. Bloom’s taxonomy has been widely accepted as a useful tool for defining learning outcomes. It references three domains that impinge on the learning process including the ‘cognitive,’ ‘affective’ and ‘psychomotor.’ In practice, most of the attention is paid to the cognitive domain. Considering the interdisciplinary and multivalent character of architecture (as discipline), curriculum design cannot be founded primarily on cognitive-based outcomes. This paper argues that affective domain, especially in the field of building learners’ personalized value systems, is essential to designing outcome based architectural programs. Interactive studio-based education provides a platform to integrate cognitive and behavioural skills that are necessary for professional practice.     

Joint learning in R&D collaborations and the facilitating relational practices

The present study considers joint learning as a relational dynamic capability and examines the role of relational practices as enablers of joint learning in R&D collaboration between suppliers and their customers. The study applies a qualitative comparative case method to analyze seven dyadic cases, selected based on a quantitative dataset and cluster analysis. Our results indicate that in dyadic relationships, firms would benefit from developing practices related to relational investments, relational structures, and relational capital that facilitate joint learning and yield collaborative advantages from R&D interactions. This paper contributes to the existing literature on joint learning in R&D collaborations by defining joint learning as a relational dynamic capability and by focusing on the practices that facilitate it in R&D collaboration.     

Output gaps,inflation and financial cycles in the UK

Empirical Economics - This paper aims at constructing potential output and output gap measures for the UK which are pinned down by macroeconomic relationships as well as financial indicators. The...     

Tax incentives in fiscal federalism: an integrated perspective

Abstract Models of fiscal federalism rarely account for the efficiency implications of intergovernmental fiscal ties for federal tax policy. This paper shows that fiscal institutions such that federal tax deductibility, vertical revenue‐sharing, and fiscal equalization (being common features of existing federations) encourage local taxation, but may discourage federal taxation. Furthermore, the structure of public spending is skewed towards local spending. We also show that, when considering Leviathan governments, fiscal institutions reduce confiscatory taxation by the federal government. The result is contrary to the Cartelization Hypothesis ( Brennan and Buchanan 1980 ). Finally, we characterize the efficient design of intergovernmental fiscal ties.     

Do fiscal transfers alleviate business tax competition? Evidence from Germany

According to theory, capacity equalization grants cause local governments to internalize the effects of their tax policies on revenues of neighboring jurisdictions and so raise equilibrium tax rates. This paper empirically analyzes the incentive effects of equalizing transfers on business tax policy by exploiting a natural experiment in the state of Lower Saxony which changed its equalization formula as of 1999. We resort to within-state and across-state difference-in-difference estimates to identify the reform effect on municipalities' business tax rates. Confirming the theoretical prediction, the reform had a significant impact on the municipalities' tax policy in the 4 years after the reform with the effect stabilizing in the fourth to fifth years. The finding is robust to various alternative specifications.     

Developing an abduction-based method for futures research

Futures research is an established field of knowledge with a wealth of methods and techniques. However, foresight, future outlooks and scenarios are, as a rule, based on inductivist or deductivist methods, making looking into the future a form of conservative projecting of past and present probabilities onto the road of development lying ahead of us. Closed past or present outlooks give birth to open futures, but these futures usually are little more than exercises in organizational learning. In this paper we present and develop a method for futures research that is based on abductive logic. Abduction-based futures research approach proceeds from closed, imaginary future states to alternative, open theoretical frameworks or explanations. Unlike inductivists and deductivists believe, this procedure from the unknown to the known is rational, and therefore something that can be systematized and learned. There is a logic of discovery, and what could be a better place to apply and develop it than futures research.     

Communication as a determinant of organizational innovation

This study of 32 small and medium-sized industrial enterprises explored eight distinct aspects of communication, as appraised by the staff ( n  = 493), and innovative performance, assessed by two indicators: perceived innovation effectiveness and patent statistics obtained from the Patent Register at the National Board of Patents and Registration of Trademarks. The results showed that intra-organizational aspects of communication, such as encouragement of initiatives and critical evaluation of performance, were associated with both indicators of innovative performance. In addition, a participative climate and interaction between the personnel in R&D, marketing and production were related to perceived innovative effectiveness, whereas interaction with clients and other firms related to the number of patents in the organization. The link between communication and innovation was interdependent with the organizational and staff characteristics including the number of personnel, administrative and R&D intensity, the level of vocational training, and the age distribution of the staff.     

Patent and publishing activity sequence over a technology's life cycle

The use of multiple indicators in analyzing technological developments and exploiting the increasing availability of information has been recommended widely in order to decrease systematic biases between single measures. One of the few frameworks that take multiple sources into account is the Technology Life Cycle indicators that provide a measure for the totality of sources available for analysis and take their timeliness into account, although the linear model that the framework represents is often questioned. The aim of this paper is to provide bibliometric studies with insight into the timely relevance of using different databases. To assess the reporting sequence between different databases, this paper measures the reporting activity of three case technologies in different databases and analyzes the yearly reporting volumes of a number of items that mention the technology in the databases as suggested by the TLC indicators. The results of this paper suggest that, when science is the source of new ideas and the driver for technological development and innovations, communication can happen in the order suggested by the TLC indicators. However, this model does not seem to be a general model for detecting and forecasting a technological life cycle. In addition, the results of the paper point to the possibility of studying non-linear models of innovation and contexts where this type of dynamics might take place.