Organizational Culture and Innovation: A Meta‐Analytic Review

The relationship of organizational culture and innovation has been subject to extensive research over the last decades. The multitude of cultural variables under investigation has led to a fragmented concept of culture for innovation, and an inclusion into management theory is still missing. Further, managerial practice requires an underlying structure in order to decide what culture should be implemented in order to foster innovation, and to assess if a specific culture is an effective and efficient coordination instrument. Hence, a framework is needed which allows classification of cultural values without residuals, to draw expedient comparisons with reference to the criteria by which they are grouped, and to assess their relationship with organizational innovation. This meta‐analysis, which comprises 43 studies with a combined sample size of 6341 organizations, reveals that Quinn and Rohrbaugh's Competing Values Framework provides a meaningful structure for the ideational aspects of organizational culture. The Competing Values Framework describes value systems based on two main dimensions. Those two pairs of opposing values are flexibility versus control and internal versus external orientation. The analysis shows that the congruence of different cultures with organizational goals of innovation can be described based on that framework. Control theory is used to explain the relationship of organizational culture and innovation. While culture describes the ideational aspects of organizational values, clan control describes their coordinative effect. Managers may choose different clan control strategies according to the Competing Values Framework. They will most likely follow the strategy that provides a high level of congruence between the goals of management and the goals of their organization's social system. Individuals that have internalized the organizational values apply them as a form of self‐control. Those values will also be applied in groups, such as product development teams. While development teams may be formed and disbanded with certain projects and individuals may leave the company, the organization forms the steady frame of those activities. The cumulative data confirms the hypothesis that managers of innovative organizations most likely implement a developmental culture, which emphasizes an external and a flexibility orientation. Yet also group and rational cultures are to a certain extent consistent with the goals of an innovative organization and may thus be appropriate social control strategies. Hierarchical cultures emphasize control and an internal orientation and are less likely to be found in innovative organizations. A moderator analysis of the culture–innovation relationship revealed that it is not influenced by the differentiation between radical and incremental innovation, and only weak evidence exists for an influence of innovation adoption versus innovation generation. A potential reason is that those organizations that are geared toward innovation will pursue it consequently, without differentiating between different kinds of innovation. Therefore, managers that follow a (radical) innovation strategy should establish a developmental culture in their organization. If innovation rather represents a minor aspect of the firm's long‐term objectives, the efficiency‐oriented rational culture or a group culture may also be the right choice.     

Soziale Pflegeversicherung und Beihilfeverordnungen: Ein Leistungsvergleich

Zusammenfassung   Im Pflegefall werden Beamte und Angestellte von unterschiedlichen Versorgungseinrichtungen unterstützt. Wie sind die Regelungen für diese beiden Besch?ftigungsgruppen ausgestaltet? Wo liegen die Unterschiede? Schneiden Beamte bei einem Leistungsvergleich besser ab? Dr. Jasmin H?cker, 29, Tobias Hackmann, 27, Dipl.-Volkswirt, und Thorsten Henne, 25, sind Mitarbeiter am Institut für Volkswirtschaftslehre und Finanzwissenschaft I an der Albert-Ludwigs-Universit?t Freiburg.     

An evolutionary explanation of the value premium puzzle

As early as 1934 Graham and Dodd conjectured that excess returns from value investment originate from a tendency of stock prices to converge towards a fundamental value. This paper confirms their insights within the evolutionary finance model of Evstigneev et al. (Econ Theory 27:449–468, (Evstigneev et al. 2006)). Our empirical results show the predictive power of the evolutionary benchmark valuation for the relative market capitalization and its dynamics in the sample of firms listed in the Dow Jones Industrial Average index in 1981–2009.     

Rahmenbedingungen, Charakteristika und Konsequenzen freiwilliger Unternehmenspublizit?t – State of the Art und neue Perspektiven der empirischen Forschung

Die freiwillige Unternehmenspublizit?t dient vor allem der Information der Investoren zum Abbau von Informationsasymmetrien und einer Minderung von Prinzipal-Agent-Konflikten. Vor diesem Hintergrund analysiert der vorliegende Beitrag Befunde zu den mit einer Ver?ffentlichung einhergehenden Kapitalmarktkonsequenzen. Dabei werden gezielt bisherige Erkenntnisse für den deutschen Kapitalmarkt berücksichtigt. Zur Systematisierung der Ergebnisse werden die Studien anhand eines aus drei Komponenten (Rahmenbedingungen, Charakteristika und Konsequenzen) bestehenden konzeptionellen Bezugsrahmens geordnet. Es zeigt sich, dass internationale Studien meist zwei oder sogar drei Komponenten der freiwilligen Publizit?t gleichzeitig berücksichtigen und so umfassendere Aussagen treffen k?nnen, w?hrend für den deutschen Kontext Nachholbedarf zu konstatieren ist. Darüber hinaus werden weitere Forschungsfelder aufgezeigt, die bis dato auch international wenig Beachtung gefunden haben, obgleich sie zunehmend an Relevanz gewinnen.     

Mean-variance hedging for continuous processes: New proofs and examples

Let be a special semimartingale of the form and denote by the mean-variance tradeoff process of . Let be the space of predictable processes for which the stochastic integral is a square-integrable semimartingale. For a given constant and a given square-integrable random variable , the mean-variance optimal hedging strategy by definition minimizes the distance in between and the space . In financial terms, provides an approximation of the contingent claim by means of a self-financing trading strategy with minimal global risk. Assuming that is bounded and continuous, we first give a simple new proof of the closedness of in and of the existence of the F?llmer-Schweizer decomposition. If moreover is continuous and satisfies an additional condition, we can describe the mean-variance optimal strategy in feedback form, and we provide several examples where it can be computed explicitly. The additional condition states that the minimal and the variance-optimal martingale measures for should coincide. We provide examples where this assumption is satisfied, but we also show that it will typically fail if is not deterministic and includes exogenous randomness which is not induced by .     

The Dawn of the AI Robots: Towards a New Framework of AI Robot Accountability

Journal of Business Ethics - Business, management, and business ethics literature pay little attention to the topic of AI robots. The broad spectrum of potential ethical issues pertains to using...     

The EU and Turkey—Economic Effects of Turkey’s Full Membership

Since October 2005 the EU and Turkey have been negotiating the accession of Turkey to the EU. In June 2006 they reached agreement on the provisional closure of the “science and research” chapter, a matter which was relatively easy to handle. Thirty-four chapters remain to be negotiated, indicating that the path to Turkey’s full membership will be a long one. What are the main economic challenges facing both Turkey and the EU?     

Vom „Aufbau Ost“ zur Föderalismusreform?

Ohne Zusammenfassung     

Evolutionary stable stock markets

Summary. This paper shows that a stock market is evolutionary stable if and only if stocks are evaluated by expected relative dividends. Any other market can be invaded in the sense that there is a portfolio rule that, when introduced on the market with arbitrarily small initial wealth, increases its market share at the incumbents expense. This mutant portfolio rule changes the asset valuation in the course of time. The stochastic wealth dynamics in our evolutionary stock market model is formulated as a random dynamical system. Applying this theory, necessary and sufficient conditions are derived for the evolutionary stability of portfolio rules when relative dividend payoffs follow a stationary Markov process. These local stability conditions lead to a unique evolutionary stable portfolio rule according to which assets are evaluated by expected relative dividends (with respect to the objective probabilities).Received: 7 October 2003, Revised: 18 January 2005, JEL Classification Numbers: G11, D52, D81. Correspondence to: Klaus Reiner Schenk-HoppéWe are grateful to Jarrod Wilcox and William Ziemba for valuable comments. Financial support by the national center of competence in research Financial Valuation and Risk Management is gratefully acknowledged. The national centers in research are managed by the Swiss National Science Foundation on behalf of the federal authorities.