of THE RIGHT PEOPLE IN THE WRONG PLACES: THE PARADOX OF ENTREPRENEURIAL ENTRY AND SUCCESSFUL OPPORTUNITY REALIZATION By amr.aom.org Published On :: Thu, 16 Apr 2015 16:04:47 +0000 We advance a model that highlights contingent linkages between overconfidence and narcissism, entrepreneurial entry, and the successful realization of venture opportunities. Overall, our proposals point to a paradox in which entrepreneurs high in overconfidence and narcissism are propelled toward more novel venture contexts—where these qualities are most detrimental to venture success, and are repelled from more familiar venture contexts—where these qualities are least harmful, and may even facilitate venture success. To illuminate these patterns of misalignment, we attend to the defining characteristics of alternative venture contexts and the focal mechanisms of overconfidence and narcissism. Full Article
of Relational changes during role transitions: The interplay of efficiency and cohesion By amj.aom.org Published On :: Fri, 01 May 2015 15:34:42 +0000 This study looks at what happens to the collection of relationships (network) of service professionals during a role transition (promotion to a management role). Our setting is three professional service firms where we examine changes in relations of recently promoted service professionals (auditors, consultants, and lawyers). We take a comprehensive look at the drivers of two forms of network changes - tie loss and tie gain. Looking backward we examine the characteristics of the contact, the relationship, and social structure and identify which forces are at play in losing ties, revealing an overarching tendency for both cohesion and efficiency forces to play a role. Looking forward, we identify the effect of previous network structures that act as a "shadow of the past" and impact the quality of newly gained relations during the role transitions. Findings demonstrate that role transitions are not only influenced by a few key contacts but that the entire (extant) network of professional relationships shapes the way people reconfigure their workplace relations during a role transition. Full Article
of Ready, AIM, acquire: Impression offsetting and acquisitions By amj.aom.org Published On :: Wed, 06 May 2015 21:13:49 +0000 Drawing on expectancy violation theory, we explore the effects of anticipatory impression management in the context of acquisitions. We introduce impression offsetting, an anticipatory impression management technique organizational leaders employ when they expect a focal event will negatively violate the expectations of external stakeholders. Accordingly, in these situations, organizational leaders will announce the focal event contemporaneously with positive, but unrelated information. We predict impression offsetting will generally occur in the context of acquisitions, but also more frequently for specific acquiring firms and acquisitions that are more likely to lead to an expectancy violation. We also posit that offsetting will effectively inhibit observers' perceptions of events as negative expectancy violations by positively influencing shareholder reactions to acquisition announcements. Consistent with our hypotheses, in a sample of publicly traded acquisition targets, we find evidence for impression offsetting, in which characteristics of both acquirers and their announced acquisitions predict its frequency of use. We also find evidence that impression offsetting is efficacious; on average, it reduces the negative market reaction to acquisition announcements by over 40 percent, which translates into approximately $246 million in market capitalization. Full Article
of It's Personal: An Exploration of Students' (Non)Acceptance of Management Research By amle.aom.org Published On :: Thu, 07 May 2015 18:37:47 +0000 Management educators often assume that research-based arguments ought to be convincing to students. However, college students do not always accept even well-documented research findings. Among the reasons this might happen, we focus on the potential role of psychological mechanisms triggered by scholarly arguments that affect students' self-concepts, leading them to engage in self-enhancing or self-protective responses. We investigated such processes by examining students' reactions to a research argument emphasizing the importance of intelligence to job performance, in comparison to their reactions to research arguments emphasizing the importance of emotional intelligence and/or fit. Consistent with our predictions, students were less likely to accept the argument for the importance of intelligence compared to the alternative, less threatening, arguments (i.e., the importance of emotional intelligence or fit). Further, acceptance of the argument about the importance of intelligence was affected by students' grade point average (GPA) and moderated by their emotional stability. Specifically, consistent with self-enhancement theory, students with lower GPAs were more likely to reject the argument for intelligence and give self-protective reasons for their responses, whereas students with higher GPAs were more likely to accept the argument and give self-enhancing reasons. Implications for future research and for management teaching are discussed. Full Article
of Financial Regulation and Social Welfare: The Critical Contribution of Management Theory By amr.aom.org Published On :: Wed, 27 May 2015 19:06:18 +0000 While many studies explain how social science theories shape social reality, few reflect critically on how such theories should shape social reality. Drawing on a new conception of social welfare and focusing on financial regulation, we assess the performative effects of theories on public policy. We delineate how research that focuses narrowly on questions of efficiency and stability reinforces today's technocratic financial regulation that undermines social welfare. As a remedy, we outline how future management research can tackle questions of social justice and thereby promote an inclusive approach to financial regulation that better serves social welfare. Full Article
of STAKEHOLDER RELATIONSHIPS AND SOCIAL WELFARE: A BEHAVIORAL THEORY OF CONTRIBUTIONS TO JOINT VALUE CREATION By amr.aom.org Published On :: Mon, 01 Jun 2015 15:38:05 +0000 Firms play a crucial role in furthering social welfare through their ability to foster stakeholders' contributions to joint value creation, i.e., value creation that involves a public-good dilemma due to high task and outcome interdependence - leading to what economists have labeled the 'team production problem'. We build on relational models theory to examine how individual stakeholders' contributions to joint value creation are shaped by stakeholders' mental representations of their relationships with the other participants in value creation, and how these mental representations are affected by the perceived behavior of the firm. Stakeholder theory typically contrasts a broadly-defined 'relational' approach to stakeholder management with a 'transactional' approach based on the price mechanism - and has argued that the former is more likely to contribute to social welfare than the latter. Our theory supports this prediction for joint value creation, but also implies that the dichotomy on which it is based is too coarse-grained: there are three distinct ways to trigger higher contributions to joint value creation than through a 'transactional' approach. Our theory also helps explain the tendency for firms and their stakeholders to converge on 'transactional' relationships, despite their relative inefficiency in the context of joint value creation. Full Article
of Spilling Outside the Box: The Effects of Individuals' Creative Behaviors at Work on Time Spent with their Spouses at Home By amj.aom.org Published On :: Thu, 04 Jun 2015 14:48:41 +0000 Most research on creativity describes it as a net positive: producing new products for the organization and satisfaction and positive affect for creative workers. However, a host of anecdotal and historical evidence suggests that creative work can have deleterious consequences for relationships. This raises the question: how does creativity at work impact relationships at home? Relying on work-family conflict and resource allocation theory as conceptual frameworks, we test a model of creative behaviors during the day at work and the extent to which employees spend time with their spouses at home in the evening, using 685 daily matched responses from 108 worker-spouse pairings. Our results reveal that variance-focused creative behaviors (problem identification, information searching, idea generation) lead to a decline in time spent with spouse at home. In contrast, selection-focused creative behaviors (idea validation) lead to an increase in time spent with spouse. Further, openness to experience moderates these relationships. Overall, the results raise questions about the possible relational costs of creative behaviors at work on life at home. Full Article
of Empowered to Perform: A multi-level investigation of the influence of empowerment on performance in hospital units By amj.aom.org Published On :: Thu, 04 Jun 2015 14:48:41 +0000 Psychological empowerment has been studied extensively over the past few decades in a variety of contexts and appears to be especially salient within dynamic and complex environments such as healthcare. However, a recent meta-analysis found that psychological empowerment relationships vary significantly across studies, and there is still a rather limited understanding of how empowerment operates across levels. Accordingly, we advance and test a multi-level model of empowerment which seeks to better understand the unique and synergistic effects between unit and individual empowerment in hospital units. Analysis of data involving 544 individuals in 78 units, collected from multiple sources over three different time periods, revealed that unit empowerment evidenced a synergistic interaction with individual-level psychological empowerment as related to individuals' job performance, as well as an indirect effect on performance via individual empowerment, while controlling for previous performance levels. Notably, these effects were significant at relatively high, but not at relatively low levels of unit empowerment. Furthermore, we found that unit voice climate increased unit empowerment and thereby enhanced individual psychological empowerment. These findings suggest that, in complex and dynamic environments, empowering work units is an important means by which leaders can enhance individuals' performance. Full Article
of DIFFERENT VIEWS OF HIERARCHY AND WHY THEY MATTER: HIERARCHY AS INEQUALITY OR AS CASCADING INFLUENCE By amj.aom.org Published On :: Tue, 09 Jun 2015 20:12:33 +0000 Hierarchy is a reality of group life, for humans as well as for most other group-living species. And yet, there remains considerable debate about whether and when hierarchy can promote group performance and member satisfaction. We suggest that progress in this debate has been hampered by a lack of clarity about hierarchy and how to conceptualize it. Whereas prevailing conceptualizations of hierarchy in the group and organization literature focus on inequality in member power or status (i.e., centralization or steepness), we build on the ethological and social network traditions to advance a view of hierarchy as cascading relations of dyadic influence (i.e., acyclicity). We further suggest that hierarchy thus conceptualized is more likely to capture the functional benefits of hierarchy whereas hierarchy as inequality is more likely to be dysfunctional. In a study of 75 teams drawn from a wide range of industries, we show that whereas acyclicity in influence relations reduces conflict and thereby enhances both group performance and member satisfaction, centralization and steepness have negative effects on conflict, performance, and satisfaction, particularly in groups that perform complex tasks. The theory and results of this study can help to clarify and advance research on the functions and dysfunctions of hierarchy in task groups. Full Article
of The Natural Environmental Strategies of International Firms: Controversies and New Evidence on Performance and Disclosure By amp.aom.org Published On :: Tue, 16 Jun 2015 19:38:25 +0000 Previous academic and popular literature has raised important debates concerning the contradictory incentives of international firms to reduce their environmental impacts and offer transparent environmental information about their operations. As an exhaustive review of this literature reveals mixed and partial evidence, we compared the individual corporate environmental performance and disclosure of the 100 most international non-financial firms in the world to those of 16,023 firms in their industries and a group of matched pairs of firms for three different years. Our results show that although the top international firms have a much better record of environmental disclosure than the firms within their industries and the matched pairs, the top international firms also show worse environmental performance than their peers. The results suggest that the top international firms seek legitimation for their environmental activities by means of voluntary disclosure. Full Article
of ORGANIZATIONAL HOSTILITY: A FRAMEWORK OF ATYPICAL COMPETITIVE ENGAGEMENTS By amp.aom.org Published On :: Tue, 16 Jun 2015 21:27:10 +0000 Competitive dynamics theory overlooks an entire class of attackers who pose a serious threat to commercial firms—nonmarket players (NMPs) such as activists, environmentalists, social entrepreneurs, and NGOs. Using an institutional perspective, this conceptual manuscript advances competitive dynamics theory by developing a framework of organizational hostility. The framework profiles NMPs according to their propensity to engage firms; it also classifies firms based on their vulnerability and initial reaction to NMP attacks. Corroborated with a mathematical model (Appendix), the conceptual framework explains which NMPs are most hostile to firms; why some NMPs issue threats whereas others quickly strike commercial firms; and which firms are most vulnerable to such hostility. Full Article
of A Study of Anglo Expatriate Managers' Learning, Knowledge Acquisition, and Adjustment in Multi-National Companies in China By amle.aom.org Published On :: Tue, 16 Jun 2015 22:03:24 +0000 This study investigates Anglo expatriate managers learning, knowledge acquisition, and adjustment to the host culture when working within Anglo multi-national companies operating in China. A structural equation model based on data from 121 expatriate managers reveal that Anglo managers adjust more effectively when their learning styles are congruent with the demands of the host culture. Their levels of accumulated managerial tacit knowledge and adaptive flexibility were also associated with their learning styles which in turn led to more effective adjustment to the host culture. Implications for theory, global manager development, and expatriate management are provided. Full Article
of The Transition from the Soviet Higher Education System to the European Higher Education Area: The Case of Estonia By amle.aom.org Published On :: Tue, 16 Jun 2015 22:47:52 +0000 The interview questions deal with the means by which Estonia and other republics of the former Soviet Union managed to transform their educational systems and the impact of the Soviet heritage on this transformation. An interview was conducted with Professor Olav Aarna. In 1991 Professor Olav Aarna became the rector of TUT. From 2000 to 2003 he held the position of rector of the first private university in Estonia - Estonian Business School (EBS). From 2003 to 2007 Olav Aarna was member of the Estonian Parliament, serving also as Chairman of the Committee for Cultural Affairs responsible for education, research, culture and sports affairs. From 1998-2000 he was Vice Chairman of Estonian National Council for Research and Development. His experience in the field of educational legislation stems from his advisory position to the Minister of Education of Estonia from 1990 to1992. His competence in the field of the Bologna process results from the development of higher education legislation in Estonia (2002-...) and the development of a higher education quality assurance system for Estonia (2008-...). Olav Aarna has consulted third countries in the national qualifications framework (NQF) development as a European Training Foundation (ETF) expert. Full Article
of Better Together? Signaling Interactions in New Venture Pursuit of Initial External Capital By amj.aom.org Published On :: Wed, 17 Jun 2015 15:36:21 +0000 After new ventures have exhausted the limited financial resources of founders, family, and friends, they often pursue initial external capital. To secure investment, entrepreneurs can signal about their venture's latent potential by aligning themselves with reliable third parties. Such affiliations affirm the new venture's legitimacy and provide substantive benefits in the form of mentoring, access to resources, and ongoing monitoring. However, early stage financing is an especially "noisy" signaling environment owing to the large number of startups seeking funding, many of which will not survive. The real value of third party affiliations in this context resides in their ability to unlock the potential of other more pedestrian signals, such as the entrepreneur's characteristics and actions that might otherwise go unnoticed. We borrow from the sensemaking literature to explain how third party affiliation signals disambiguate signals with multiple possible interpretations so that potential investors interpret them positively. Findings support our theory that a startup's characteristics and actions are signals that remain relatively unnoticed unless a startup combines them with a third party affiliation that enhances the signal's value, thus increasing the likelihood of receiving external capital. Full Article
of Fuzzy Logic and the Market: A Configurational Approach to Investor Perceptions of Acquisition Announcements By amj.aom.org Published On :: Thu, 18 Jun 2015 20:06:28 +0000 Prior research on mergers and acquisitions (M&As) has substantially advanced our understanding of how isolated acquirer- and deal-specific factors affect abnormal returns. However, investors are likely to perceive and evaluate M&As holistically—that is, as complex configurations (i.e., Gestalts) of characteristics, rather than as a list of independent factors. Yet, extant M&A literature has not addressed why and how configurations of factors elicit positive or negative reactions. In other words, overlooking the interdependent nature of factors known to influence acquisition success has limited our understanding of both M&As and investor judgment. Taking an inductive approach to addressing this important issue, this study relies on fuzzy set methodology. Our results provide compelling evidence that investor perceptions of M&A announcements are not only configurational in nature but also characterized by equifinality - or the presence of multiple paths to success - and asymmetric causality - that is, configurations that represent bad deals are not simply a mirror image of good deals, but differ fundamentally. By constructing a typology of "good" and "bad" deals as perceived by market participants, we develop a mid-range theory of M&A stock market performance. As such, this study offers novel theoretical and empirical insights to scholars, and implications for practitioners. Full Article
of Taking Off The Blinders: A Comparative Study of University Students' Changing Perceptions of Gender Discrimination in the Workplace from 2006 to 2013 By amle.aom.org Published On :: Wed, 24 Jun 2015 18:36:12 +0000 As evidenced by recent legislation and media attention, eradicating gender inequity in the workforce is of significant importance today. However, this interest in justice stands in bold contrast to the continued wage gap, the steady number of gender discrimination suits filed, and the plethora of cases exposed in the media. Previous data collected in 2006 suggests that university students do not perceive gender discrimination as a threat of major significance to themselves or others. University students tend to minimize or even disregard the likelihood that they will witness or experience gender bias or discrimination in their career. The current study serves as a continuation of and a comparison to the 2006 study, with the goal of determining whether the perspective of university students has shifted, or whether they continue to consider themselves to be immune to the injustice of gender discrimination at work. Our findings suggest that students in this cohort are not only more acutely aware of these issues, but that this awareness has expanded to include increased concern over gender discrimination against men as well. The reluctance of students to believe that they personally will be unaffected by gender discrimination has been and continues to be surprisingly high. Full Article
of WHAT DO I TAKE WITH ME?: THE MEDIATING EFFECT OF SPIN-OUT TEAM SIZE AND TENURE ON THE FOUNDER-FIRM PERFORMANCE RELATIONSHIP By amj.aom.org Published On :: Mon, 29 Jun 2015 16:57:09 +0000 We extend the knowledge-based perspective to consider the impact of spin-out founders on knowledge transfer to new ventures. We argue that existing theory largely ignores the founder's role as team catalyst who mobilizes a team and transmits the team's knowledge to a new venture. We address this gap by building theory on the role of a spin-out founder as a facilitator of co-mobility, and whose impact on firm outcomes is mediated by the size and organizational experience of the recruited team. The support for our hypotheses, through use of linked employee-employer US Census data from the legal services industry, has theoretical and practical implications for the knowledge-based view and human resource strategies for both existing and entrepreneurial firms. Full Article
of How does leader humility influence team performance? Exploring the mechanisms of contagion and collective promotion focus By amj.aom.org Published On :: Mon, 29 Jun 2015 17:12:05 +0000 Using data from 607 subjects organized in 161 teams (84 laboratory teams and 77 organizational field teams), we examined how leader humility influences team interaction patterns, emergent states, and team performance. We developed and tested a theoretical model arguing that when leaders behave humbly, followers emulate their humble behaviors, creating a shared interpersonal team process (collective humility). This collective humility in turn creates a team emergent state focused on progressively striving toward achieving the team's highest potential (collective promotion focus), which ultimately enhances team performance. We tested our model across three studies wherein we manipulated leader humility to test the social contagion hypothesis (Study 1), examined the impact of humility on team processes and performance in a longitudinal team simulation (Study 2), and tested the full model in a multistage field study in a health services context (Study 3). The findings from these lab and field studies collectively supported our theoretical model, demonstrating that leader behavior can spread via social contagion to followers, producing an emergent state that ultimately affects team performance. Our findings contribute to the leadership literature by suggesting the need for leaders to lead by example, and showing precisely how a specific set of leader behaviors influence team performance, which may provide a useful template for future leadership research on a wide variety of leader behaviors. Full Article
of Understanding the Direction, Magnitude, and Joint Effects of Reputation When Multiple Actors' Reputations Collide By amj.aom.org Published On :: Tue, 07 Jul 2015 17:24:28 +0000 Despite the extensive research into the effects of reputation, virtually all of this research has examined the effect of one type of reputation on one or more specific outcomes. In this study we ask the question: How do the reputations of analysts, CEOs, and firms individually and jointly affect firm outcomes? To answer this question we focus on a context where reputations are particularly relevant - changes in analyst recommendations and the effect of those changes on stock market reactions. Our study makes contributions to the growing reputation literature by being one of the first studies to recognize and measure how the market accounts for multiple reputations. Further, we argue and find that the reputations of different actors interact with each other when determining particular firm outcomes. We find that different actor's reputations influence the reactions of observers. Full Article
of MANAGING THE RISKS OF PROACTIVITY: A MULTILEVEL STUDY OF INITIATIVE AND PERFORMANCE IN THE MIDDLE MANAGEMENT CONTEXT By amj.aom.org Published On :: Thu, 09 Jul 2015 15:03:18 +0000 Drawing on theories of behavioral decision making and situational strength, we developed and tested a multilevel model that explains how the performance outcomes of personal initiative tendency depend on the extent of alignment between organizational control mechanisms and proactive individuals' risk propensities. Results from a sample of 383 middle managers operating in 34 business units of a large multinational corporation indicated that risk propensity weakens the positive relationship between personal initiative tendency and job performance. This negative moderating effect was further amplified when middle managers receive high job autonomy but was attenuated in business units with a strong performance management context. We discuss the implications of these findings for research on proactivity, risk taking, and organizational control. Full Article
of CHANGING WITH THE TIMES: AN INTEGRATED VIEW OF IDENTITY, LEGITIMACY AND NEW VENTURE LIFE CYCLES By amr.aom.org Published On :: Mon, 13 Jul 2015 18:48:17 +0000 In order to acquire resources, new ventures need to be perceived as legitimate. For this to occur, a venture must meet the expectations of various audiences with differing norms, standards, and values as the venture evolves and grows. We investigate how the organizational identity of a technology venture must adapt to meet the expectations of critical resource providers at each stage of its organizational life cycle. In so doing, we provide a temporal perspective on the interactions between identity, organizational legitimacy, institutional environments, and entrepreneurial resource acquisition for technology ventures. The core assertion from this conceptual analysis is that entrepreneurial ventures confront multiple legitimacy thresholds as they evolve and grow. We identify and discuss three key insights related to entrepreneurs' efforts to cross those thresholds at different organizational life cycle stages: institutional pluralism, venture-identity embeddedness and legitimacy buffering. Full Article
of "I IDENTIFY WITH HER," "I IDENTIFY WITH HIM": UNPACKING THE DYNAMICS OF PERSONAL IDENTIFICATION IN ORGANIZATIONS By amr.aom.org Published On :: Tue, 14 Jul 2015 15:03:16 +0000 Despite recognizing the importance of personal identification in organizations, the literature has rarely explored its dynamics. We define personal identification as perceived oneness with another individual, where one defines oneself in terms of the other. While many scholars have found that personal identification is associated with helpful effects, others have found it harmful. To resolve this contradiction, we distinguish between three paths to personal identification -threat-focused, opportunity-focused, and closeness-focused - and articulate a model that includes each. We examine the contextual features, how individuals' identities are constructed, and the likely outcomes that follow in the three paths. We conclude with a discussion of how the threat-, opportunity-, and closeness-focused personal identification processes potentially blend, as well as implications for future research and practice. Full Article
of Pull the Plug or take the Plunge: Multiple Opportunities and the Speed of Venturing Decisions in the Australian Mining Industry By amj.aom.org Published On :: Thu, 16 Jul 2015 15:54:28 +0000 Effectively capturing opportunities requires rapid decision-making. We investigate the speed of opportunity evaluation decisions by focusing on firms' venture termination and venture advancement decisions. Experience, standard operating procedures, and confidence allow firms to make opportunity evaluation decisions faster; we propose that a firm's attentional orientation, as reflected in its project portfolio, limits the number of domains in which these speed-enhancing mechanisms can be developed. Hence firms' decision speed is likely to vary between different types of decisions. Using unique data on 3,269 mineral exploration ventures in the Australian mining industry, we find that firms with a higher degree of attention toward earlier-stage exploration activities are quicker to abandon potential opportunities in early development but slower to do so later, and that such firms are also slower to advance on potential opportunities at all stages compared to firms that focus their attention differently. Market dynamism moderates these relationships, but only with regard to initial evaluation decisions. Our study extends research on decision speed by showing that firms are not necessarily fast or slow regarding all the decisions they make, and by offering an opportunity evaluation framework that recognizes that decision makers can, in fact often do, pursue multiple potential opportunities simultaneously. Full Article
of SEEING YOU IN ME AND ME IN YOU: PERSONAL IDENTIFICATION IN THE PHASES OF MENTORING RELATIONSHIPS By amr.aom.org Published On :: Thu, 16 Jul 2015 20:12:16 +0000 Identification is integral to mentoring relationships, yet we know relatively little about the process through which mentors and protégés identify with each other, how this mutual identification shifts through the phases of the mentoring relationship, and how identification impacts the quality of the relationship over time. In this paper, we integrate theories of the self, relationships, and relational mentoring to consider the role of identification in informal mentoring. Specifically, we theorize how the process of personal identification occurs in mentoring from the perspective of both the mentor and protégé and offer a model that demonstrates how shifts in identification relate to the quality of the relationship that develops over time. We conclude with a discussion of implications for research and theory in mentoring. Full Article
of Perceptions of employee volunteering: Is it "credited" or "stigmatized" by colleagues? By amj.aom.org Published On :: Fri, 17 Jul 2015 15:09:21 +0000 As research begins to accumulate on employee volunteering, it appears that this behavior is largely beneficial to employee performance and commitment. It is less clear, however, how employee volunteering is perceived by others in the workplace. Do colleagues award volunteering "credit"- for example, associating it with being concerned about others - or do they "stigmatize" it - for example, associating it with being distracted from work? Moreover, do those evaluations go on to predict how colleagues actually treat employees who volunteer more often? Adopting a reputation perspective, we draw from theories of person perception and attribution to explore these research questions. The results of a field study revealed that colleagues gave credit to employee volunteering when they attributed it to intrinsic reasons and stigmatized employee volunteering when they attributed it to impression management reasons. Ultimately, through the awarded credits, volunteering was rewarded by supervisors (with the allocation of more resources) and coworkers (with the provision of more helping behavior) when it was attributed to intrinsic motives - a relationship that was amplified when stigmas were low and mitigated when stigmas were high. The results of a laboratory experiment further confirmed that volunteering was both credited and stigmatized, distinguishing it from citizenship behavior, which was credited but not stigmatized. Full Article
of Misfit and Milestones: Structural Elaboration and Capability Reinforcement in the Evolution of Entrepreneurial Top Management Teams By amj.aom.org Published On :: Mon, 20 Jul 2015 15:21:30 +0000 We examine how top management team (TMT) misfit, defined as discrepancies between the TMT's functional roles and the qualifications of the managers who fill those roles, affects the evolution of TMT composition and structure in a longitudinal study of entrepreneurial ventures. We distinguish two types of misfit - overqualification and underqualification - and study how each is associated with TMT changes. We further consider the moderating effect of firm development. Results reveal that underqualified TMTs hire new managers to reinforce existing capabilities whereas overqualified TMTs elaborate their role structures. However, achieving developmental milestones (i.e., obtaining venture capital funding and staging an initial public offering) is a critical contingency to TMT change: absent these milestones, firms neither hire new managers nor add roles, even when they seemingly need to do so. These findings contribute to knowledge of how TMTs and new ventures evolve by underscoring the importance of simultaneously attending to TMT composition and structure. Full Article
of THE ONLINE SHADOW OF OFFLINE SIGNALS: WHICH SELLERS GET CONTACTED IN ONLINE B2B MARKETPLACES? By amj.aom.org Published On :: Wed, 22 Jul 2015 14:48:34 +0000 This article extends the understanding of what impels buyers to contact particular sellers in online business-to-business (B2B) marketplaces, which are typically characterized by sparse social structures and concomitant limitations in observing social cues. Integrating an institutional perspective with signaling theory, our core argument is that offline seller characteristics that are visible online—in particular, geographic location and legal status—convey credible signals of seller behavior because they provide buyers with information on sellers' local institutional quality and the institutionally-induced obligations and controls acting on sellers. Using unique data from a large Italian online B2B marketplace between the fourth quarter of 1999 and July 2001, we find that both sellers' local institutional quality and their legal statuses affect a buyer's likelihood of contacting a seller. Moreover, consistent with the idea that a buyer's own local institutional quality generates a relevant reference point against which sellers are evaluated, we find that a buyer is progressively more likely to contact sellers the higher their local institutional quality relative to the buyer. Jointly, our findings imply that in online B2B marketplaces, signals conveyed by sellers' geographic locations and legal statuses may be substantive sources of competitive heterogeneity and market segmentation. Full Article
of The Art of Representation: How Audience-Specific Reputations Affect Success in the Contemporary Art Field By amj.aom.org Published On :: Thu, 23 Jul 2015 18:21:26 +0000 We study the effects of actors' audience-specific reputations on their levels of success with different audiences in the same field. Extending recent work that has emphasized the presence of multiple audiences with different concerns, we demonstrate that considering audience specificity leads to an improved understanding of reputation effects. Using data on emerging artists in the field of contemporary art from 2001 to 2010, we investigate the manner in which artists' audience-specific reputations affect their subsequent success with two distinct audiences: museums and galleries. Our findings suggest that audience-specific reputations have systematically different effects with respect to success with museums and galleries. Our findings also illuminate the extent to which audience-specific reputations are relevant for emerging research on the contingent effects of reputation. In particular, our findings support our predictions that audiences differ from one another in terms of the extent to which other signals (specifically, status and interaction with other audiences) enhance or reduce the value of audience-specific reputations. Our study thus advances theory by providing empirical evidence for the value of incorporating audience-specific reputations into the general study of reputation. Full Article
of REPUTATION AS A BENEFIT AND A BURDEN? HOW STAKEHOLDERS' ORGANIZATIONAL IDENTIFICATION AFFECTS THE ROLE OF REPUTATION FOLLOWING A NEGATIVE EVENT By amj.aom.org Published On :: Fri, 24 Jul 2015 15:30:26 +0000 Research about the effects of an organization's general reputation following a negative event remains equivocal: Some studies have found that a high reputation is a benefit because of the stock of social capital and goodwill it generates; others have found it to be a burden because of the greater stakeholder attention and violation of expectations associated with a negative event. We theorize that stakeholders' level of organizational identification helps explain which mechanisms are more dominant. We test our hypotheses on a sample of legislative references associated with NCAA major infractions from 1999-2009. Our results indicate that a high reputation is a burden for an organization when considering low-identification stakeholder support: As the number of legislative references increases, a high-reputation university will receive fewer donations from non-alumni donors than universities without this asset. In contrast, a high reputation is a benefit when considering high-identification stakeholder support: As the number of legislative references increases, a high-reputation university will receive more donations from alumni donors than universities without this asset. However, an exploratory investigation reveals that alumni donations to high-reputation universities decline as the number of legislative references increases, suggesting that the benefit of a high reputation has a limit. Full Article
of PROBLEMATIZING FIT AND SURVIVAL: TRANSFORMING THE LAW OF REQUISITE VARIETY THROUGH COMPLEXITY MISALIGNMENT By amr.aom.org Published On :: Mon, 27 Jul 2015 20:57:55 +0000 The law of requisite variety is widely employed in management theorizing, and is linked with core strategy themes such as contingency and fit. We reflect upon requisite variety as an archetypal borrowed concept. We contrast its premises with insights from institutional and commitment literatures, draw propositions that set boundaries to its applicability, and review the ramifications of what we term "complexity misalignment." In this way, we contradict foundational assumptions of the law, problematize adaptation- and survival-centric views of strategizing, and theorize the role of human agency in variously complex regimes. Full Article
of Devolution of Researcher Care in Organization Studies and the Moderation of Organizational Knowledge By amle.aom.org Published On :: Tue, 28 Jul 2015 14:46:07 +0000 In this paper, we critically assess how the devolution of researcher care moderates knowledge development in organization studies. Defining researcher care as what scholars are concerned and passionate about, we consider the extent to which individuals researchers lose their personal voice in researching organizations. This bounding of care by the research community is a reflection of the way that researchers knowingly alter their care in researching organizations to gain associated career and reputational benefits. We describe how the field's institutional logic for researching organizations enables this devolution to take hold and how larger institutional forces reinforce how it progressively moderates organizational knowledge. We offer preliminary suggestions for addressing the devolution of researcher care in organization studies and ameliorating its threat to knowledge development. Full Article
of STATUS MATTERS: THE ASYMMETRIC EFFECTS OF SUPERVISOR-SUBORDINATE DISABILITY INCONGRUENCE AND CLIMATE FOR INCLUSION By amj.aom.org Published On :: Mon, 03 Aug 2015 20:37:14 +0000 Growing workforce diversity increases the likelihood that supervisors and subordinates will differ along demographic lines, a situation that has important implications for their relationship quality and individual outcomes. In a sample of 1,253 employees from 54 work-units, we investigate the effects of differences in disability status between supervisors and subordinates on leader-member-exchange (LMX) quality and subsequent performance ratings, and find that incongruence in general is related to lower LMX quality and lower performance. In addition, we propose and find an asymmetrical effect of disability incongruence, such that LMX quality is worse in dyads in which the supervisor has a disability than in dyads in which the subordinate has a disability. Furthermore, we investigate the moderating role of unit-level climate for inclusion on this relationship and find support for a buffering effect of inclusive climates on the negative incongruence-LMX relationship for scenarios in which the supervisor, but not the subordinate, has a disability. We build relevant theory for the relational demography, disability, LMX, and organizational climate literatures by predicting these effects on the basis of status mechanisms. These findings have important practical implications, as they provide companies with a feasible way to manage their diverse workforce. Full Article
of Engaged and productive misfits: How job crafting and leisure activity mitigate the negative effects of value incongruence By amj.aom.org Published On :: Thu, 20 Aug 2015 18:21:38 +0000 The work life of misfits - employees whose important values are incongruent with the values of their organization - represents an under-researched area of the person-environment fit literature. The unfortunate reality is that these individuals are likely to be disengaged and unproductive at work. In this manuscript, we entertain the possibility that employees can protect themselves from this situation if they engage in alternative actions that supplement the fundamental needs that go unmet from value incongruence. We integrate theorizing about the motivational role of need fulfillment and work/non-work behaviors in order to examine whether two actions in particular - job crafting and leisure activity - can potentially mitigate the negative effects of value incongruence on employee performance. In a field study of employees from diverse organizations and industries, the results suggest that both job crafting and leisure activity indeed act as a buffer, mitigating the otherwise negative effects of value incongruence on employee engagement and job performance (both task performance and citizenship behavior). Full Article
of STORIES ABOUT VALUES AND VALUABLE STORIES: A FIELD EXPERIMENT OF THE POWER OF NARRATIVES TO SHAPE NEWCOMERS' ACTIONS By amj.aom.org Published On :: Thu, 20 Aug 2015 22:00:16 +0000 This study draws on social identity theories of behavioral contagion and research concerning narratives in organizations to present and test a framework for understanding how narratives embed values in organizational newcomers' actions. Employing a field experiment using 632 newly-hired employees in a large IT firm that prioritizes self-transcendent values, this study explores how narratives varying in terms of the organizational level of main characters and the values-upholding or values-violating behaviors of those characters influence newcomers' tendencies to engage in behaviors that uphold or deviate from the values. Results indicate that stories about low-level organizational characters engaging in values-upholding behaviors are more positively associated with self-transcendent, helping behaviors and negatively associated with deviant behaviors, than are similar stories about high-level members of the organization. Stories in which high-level members of the organization violate values are negatively related to newcomers' engagement in both helping and deviance more strongly than are values-violating stories about lower-level members. Content analyses of the stories suggest that they convey values in different and potentially important ways. Implications, future directions, and limitations are discussed. Full Article
of THE OPERATIONAL AND SIGNALING BENEFITS OF VOLUNTARY LABOR CODE ADOPTION: RECONCEPTUALIZING THE SCOPE OF HUMAN RESOURCE MANAGEMENT IN EMERGING ECONOMIES By amj.aom.org Published On :: Mon, 24 Aug 2015 20:57:37 +0000 Labor codes have been voluntarily adopted and used by manufacturers in emerging economies for the past two decades, as a means of ensuring minimally acceptable or core labor standards for workers. However, far too little is known of the potential benefits from the voluntary adoption of labor codes to the manufacturer, and prior human resource management research has been virtually silent on the business implications of their use for emerging economy manufacturers participating in global supply chains. Drawing on previous work across multiple disciplines and proposing a framework that extends human resource management theory more explicitly and rigorously to the context of emerging economy manufacturing, I theorize and demonstrate that the voluntary adoption of a labor code may constitute an effective human resource investment in emerging economies in improving establishment-level employee outcomes and operational and financial performance. The hypotheses are tested using longitudinal data on a sample of apparel manufacturing plants in Sri Lanka. Implications of this study include providing insight into how to expand the scope and relevance of human resource management theory to better understand research and practice in emerging economies. Full Article
of Come Aboard! Exploring the Effects of Directorships in the Executive Labor Market By amj.aom.org Published On :: Fri, 28 Aug 2015 19:12:40 +0000 In this study, we examine the question: What do executives gain from serving on boards? We propose that board service will benefit non-CEO level executives in the executive labor market by acting as a certification mechanism and also by providing access to unique knowledge, skills, and connections. We argue that non-CEO executives who gain directorships will be more likely to be promoted to CEO both inside and outside their home firm, will be more likely to be promoted internally, and will receive higher pay from their home firms. To test our ideas, we employ propensity score matching to construct a longitudinal sample of 2,104 top executives of large, publicly traded companies in the United States over the period 1996 to 2012. Results provide consistent support for our theory. Full Article
of Creative, Rare, Entitled, and Dishonest: How Commonality of Creativity in One's Group Decreases an Individual's Entitlement and Dishonesty By amj.aom.org Published On :: Thu, 03 Sep 2015 15:06:26 +0000 We examine when and why creative role identity causes entitlement and unethical behaviors and how this relationship can be reduced. We found that the relationships among the creative identity, entitlement, and dishonesty are contingent on the perception of creativity being rare. Four experiments showed that individuals with a creative identity reported higher psychological entitlement and engaged in more unethical behaviors. Additionally, when participants believed that their creativity was rare compared to common, they were more likely to lie for money. Moreover, manipulation of rarity of creative identity, but not practical identity, increased psychological entitlement and unethical acts. We tested for the mediating effect of psychological entitlement on dishonesty using both measurement of mediation and experimental causal chain approaches. We further provide evidence from organizations. Responses from a sample of supervisor-subordinate dyads demonstrated that employees reporting strong creative identities who perceived creativity as rare in their work-group rather than common were rated as engaging in more unethical behaviors by their supervisors. This paper extends prior theory on negative moral consequences of creativity by shedding new light on assumption regarding the prevalence of creativity and the role psychological entitlement plays. Full Article
of On the Forgetting of Corporate Irresponsibility By amr.aom.org Published On :: Tue, 08 Sep 2015 14:33:13 +0000 Why are some serious cases of corporate irresponsibility collectively forgotten? Drawing on social memory studies, we examine how this collective forgetting process can occur. We propose that a major instance of corporate irresponsibility leads to the emergence of a stakeholder mnemonic community that shares a common recollection of the past incident. This community generates and then draws upon mnemonic traces to sustain a collective memory of the past event over time. In addition to the natural entropic tendencies toward forgetting, collective memory is also undermined by instrumental 'forgetting work', which we conceptualize in this paper. Forgetting work involves manipulating short-term conditions of the event, silencing vocal 'rememberers' and undermining collective mnemonic traces that sustain a version of the past. This process can result in a reconfigured collective memory and collective forgetting of corporate irresponsibility events. Collective forgetting can have positive and negative consequences for the firm, stakeholders and society. Full Article
of After the Break-Up: The Relational and Reputational Consequences of Withdrawals from Venture Capital Syndicates By amj.aom.org Published On :: Thu, 10 Sep 2015 15:15:25 +0000 Organizational theorists are increasingly interested in the antecedents of terminating interorganizational relationships, but have paid little attention to the disruptive consequences of such terminations on future tie formation. To redress this imbalance, the present study focuses on how venture capital (VC) firms' withdrawals from VC syndicates are associated with their subsequent syndication over the 1985 through 2008 period. We argue that withdrawals disrupt the relationships of the withdrawing VC firms with the coinvestors and reduce the likelihood of them entering into subsequent exchange (relational consequences). Furthermore, public information on the withdrawals can undermine the withdrawing VC firm's reputation for reliability, making it a less desirable exchange partner overall (global reputational consequences). Finally, we find that abandoned coinvestors can spread negative, private information about the withdrawing firm, reducing its chances of syndication with their other network contacts (local reputational consequences). We also show that the global and local reputational consequences attenuate each other, due to redundancy in the content of information each provides. We discuss the implications of our theory for the research on network dynamics and reputation. Full Article
of An Approach/Avoidance Framework of Workplace Aggression By amj.aom.org Published On :: Thu, 10 Sep 2015 16:18:15 +0000 The number of constructs developed to assess workplace aggression has flourished in recent years, leading to confusion over what meaningful differences exist (if any) between the constructs. We argue that one way to frame the field of workplace aggression is via approach/avoidance principles, with various workplace aggression constructs (e.g., abusive supervision, supervisor undermining, and workplace ostracism) differentially predicting specific approach or avoidance emotions and behaviors. Using two multi-wave field sample of employees, we demonstrate the utility of approach/avoidance principles in conceptualizing workplace aggression constructs, as well as the processes and boundary conditions through which they uniquely influence outcomes. Implications for the workplace aggression literature are discussed. Full Article
of Competition, regulatory policy, and firms' resource investments: The case of renewable energy technologies By amj.aom.org Published On :: Fri, 11 Sep 2015 14:42:21 +0000 We study the interplay between regulatory mandates and competition on a focal firm's new resource investments. While prior literature has separately pointed to the influence of competition and regulatory policy on a focal firm's resource decisions, less is known about how the policy effect interacts with the competitive effect. Studying how regulatory mandates moderate the effect of competition on a focal firm's new resource investments, we show that resource redeployment is not simply a function of internal firm decisions but a response to external forces. We find that regulatory mandates dampen the effect of competitors' new resource investments on a focal firm's new resource investments. Distinguishing between different clean technology types, we show that this dampening effect is the stronger, the more distant the new resource is from incumbents' old resource base, and the more established the mandate is. We test our hypotheses in the context of renewable energy investments in waste-to-energy, wind, and solar in the U.S. electricity industry. Our data comprises 1542 utilities and private energy firms and their renewable investments from 1999 to 2010. Full Article
of Dual Directors and the Governance of Corporate Spinoffs By amj.aom.org Published On :: Mon, 14 Sep 2015 18:39:48 +0000 This paper investigates how "dual directors" enable firms that undertake corporate spinoffs to manage their post-spinoff relationships with the firms they divest, as well as the performance implications of dual directors serving simultaneously on these companies' boards. While the presence of dual directors is positively associated with the average stock market returns of parent and spinoff firms, their presence is increasingly positively associated with parent firm performance but increasingly negatively associated with spinoff firm performance as the share of sales a spinoff firm makes to its parent firm rises. These findings show that while dual directors give a parent firm power over its spinoff firm, dual directors only exercise that power at the spinoff firm's expense when that company is highly dependent on its parent firm. Full Article
of Values in Business Schools:The Role of Self-selection and Socialization By amle.aom.org Published On :: Wed, 16 Sep 2015 15:03:42 +0000 Contemporary business schools are expected to educate their students to embrace ethical and pro-social values. But can business schools rise to this challenge? Comparing a business school to another professional school that encourages pro-social values, social work, we investigated value profiles as reflected in school websites and among their students. The findings show that the business school expresses self-enhancement values (power and achievement) more, and pro-social values (benevolence and universalism) less than the social work school. We further investigated self-selection and socialization as complementary organizational processes that may lead to, and sustain, the value profile of each school. Our findings show that as early as the first week of studies, freshmen's values are congruent with the value profile of their department, indicating a value-based self-selection process. To investigate socialization, we compared freshmen and seniors and conducted a yearlong study among freshmen. The findings revealed a small change in students' values throughout their training, providing only some support for value socialization. Altogether, our findings suggest that business schools that are interested in pro-social students should attract and select students that emphasize these values, rather than rely on socialization attempts. Full Article
of COMING FULL CIRCLE WITH REACTIONS: UNDERSTANDING THE STRUCTURE AND CORRELATES OF TRAINEE REACTIONS THROUGH THE AFFECT CIRCUMPLEX By amle.aom.org Published On :: Tue, 22 Sep 2015 16:51:24 +0000 Research suggests that the structure of trainee reactions is captured with as few as one or as many as eleven dimensions. It is commonly understood that reactions contain both affective and cognitive components. To date, however, training research focuses largely on affective reactions that range from pleasant to unpleasant (i.e., valence). Here, we expand and further refine the construct of affective trainee reactions by including reactions that are more and less activating versions of pleasantness (e.g., excitement and calm, respectively) and unpleasantness (e.g., stress and boredom, respectively). We develop and validate a new measure based on this model and argue that the structure of affective reactions has implications for better understanding learning and course reputation outcomes. Results from a short online training indicate that reactions were best explained by four factors: pleasant activation (e.g., excitement), pleasant deactivation (e.g., calm), unpleasant activation (e.g., stress), and unpleasant deactivation (e.g., boredom). The relationships between these reactions and training outcomes suggest what is most beneficial for course reputation outcomes (i.e., pleasant activating reactions) may not benefit learning; what is most beneficial for learning (i.e., pleasant deactivating reactions) may benefit course reputation outcomes but slightly less so. Full Article
of THE IMPACT OF CEO SUCCESSION WITH GENDER CHANGE ON FIRM PERFORMANCE AND SUCCESSOR EARLY DEPARTURE: EVIDENCE FROM CHINA'S PUBLICLY LISTED COMPANIES IN 1997-2010 By amj.aom.org Published On :: Thu, 24 Sep 2015 16:04:04 +0000 Female corporate leadership has drawn increasing attention from academia and practitioners. We contribute to the literature by examining the impact of CEO succession with gender change—i.e., a male CEO succeeded by a female or vice versa. We propose that due to gender differences in executive leadership positions, CEO succession with gender change may amplify the disruption of the CEO succession process and thus adversely affect post-succession firm performance and increase the likelihood of successor early departure. Using data from 3,320 CEO successions in companies listed in China's Shanghai and Shenzhen Stock Exchanges from 1997 to 2010, we find evidence to support this argument. We also find that the negative (positive) impact of male-to-female succession on firm performance (the likelihood of successor early departure) may be weakened by positive organizational attitudes toward female leadership as indicated by the presence of other female leaders on the firm's board of directors and/or top management team, and the successor's inside origin. Full Article
of Magnification and Correction of the Acolyte Effect: Initial Benefits and Ex Post Settling up in NFL Coaching Careers By amj.aom.org Published On :: Mon, 28 Sep 2015 14:36:41 +0000 What are the long-term consequences of initially beneficial high-reputation workplace ties? Under uncertainty, acolytes (i.e., subordinates with work connections to high-reputation industry leaders) are likely to benefit in terms of signaling fitness for promotion in the external job market. Analysis of promotion outcomes of coaches in the NFL over 31 years showed that the acolyte effect was reduced for individuals for whom uncertainty was the least (acolytes with considerable industry experience or high centrality in the co-worker industry network). There was no support for either a knowledge-transfer or an intrinsic quality explanation for why acolytes initially gained advantage. Rather, the evidence supported the idea that ties to high-reputation leaders were somewhat randomly distributed so that acolytes faced ex post settling up consequences after their promotions: fewer further promotions or lateral moves, more demotions. Thus, acolytes initially benefited from a loose-linkage between their unobservable quality and signals offered by their industry-leader ties, but they also suffered as the unreliability of social network signals became evident. The results suggest that a competitive job market may exhibit self-correction over time. We offer countervailing theory and evidence to the prevailing view that high-reputation third-party endorsements perpetuate a rich-get-richer social structure resistant to performance outcomes. Full Article
of The Dark Side of Board Political Capital: Enabling Blockholder Rent Appropriation By amj.aom.org Published On :: Mon, 28 Sep 2015 15:33:36 +0000 Resource dependence theorists argue that boards of directors with political capital can benefit focal firms by reducing uncertainty and providing preferential resources. Here, we develop theory regarding the downside of board political capital. As the principal-principal agency problem characterizes many parts of the world, we argue that board political capital can exacerbate this problem by enabling large blockholders to undertake more appropriation of firm wealth. Further, we explore how this enabling effect is moderated by ownership-, industry-, and environment-level contingencies. We find empirical support for our arguments using 32,174 directors in 1,046 Chinese listed firms over the period 2008 - 2011. Our study sheds light on new ways in which resource dependence and agency theories can be integrated to advance the extant research on board governance and corporate political strategy. Full Article
of Ethical and legal aspects of computing: a professional perspective from software engineering By www.computingreviews.com Published On :: Thu, 17 Oct 2024 12:00:00 PST With this book, O’Regan efficiently addresses a wide range of ethical and legal issues in computing. It is well crafted, organized, and reader friendly, featuring many recent, relevant examples like tweets, fake news, disinformation Full Article
of Societal impacts of artificial intelligence and machine learning By www.computingreviews.com Published On :: Tue, 22 Oct 2024 12:00:00 PST Carlo Lipizzi’s Societal impacts of artificial intelligence and machine learning offers a critical and comprehensive analysis of artificial intelligence (AI) and machine learning’s effects on society. This book provides a balanced perspective, cutting through the Full Article
of Mathematical theory of finite elements By www.computingreviews.com Published On :: Fri, 01 Nov 2024 12:00:00 PST Mathematical theory of finite elements is a comprehensive and rigorous exploration of the mathematical foundations of finite element methods (FEMs). The book focuses on two central topics: the concept of discrete stability, and the theory of conforming elements that Full Article