This study empirically investigates marketing department power in U.S. firms throughout 1993–2008 and assesses its impact on firm performance. Using a new objective measure of marketing department power and a cross-industry sample of 612 public firms in the United States, the results reveal that, in general, marketing department power increased during this time period. Furthermore, the analyses show that a powerful marketing department enhances firms' longer-term future total shareholder returns beyond its positive effect on firms' short-term return on assets (ROA). The findings also reveal that a firm's long-run market-based-asset-building and short-run market-based- asset-leveraging capabilities partially mediate the effect of a firm's marketing department power on its longer-term shareholder value performance and fully mediate the effect on its short-term ROA performance. This research provides new insights for marketing scholars and managers with regard to both marketing's influence within the firm an...

/pdf/marketing-department-power-and-firm-performance-1ns4r9kmfo.pdf

Marketing Department Power and Firm Performance

This article provides a conceptual framework for understanding key psychological barriers to implementing sustainable development in procurement process by local government and health care authorities. This task is an important one as a comprehension of psychological barriers is a prerequisite for understanding how individuals engage with the often more visible technical, budgetary or regulatory barriers in sustainable procurement. The article highlights how progress towards sustainable procurement is hampered by a combination of (1) individual factors; (2) organizational factors; (3) small group adaptation processes; (4) adaptation processes within the organization; and (5) external adaptation processes between organizations. The framework thus contributes to filling the conceptual space between human agent and organizational structure by pointing to the importance of cognitive filters and ideational resources that interact at various levels within an organization and in the complex network of formal or informal partners that surround it.

Psychological barriers in the road to sustainability: evidence from public sector procurement

Responsibilities in construction projects are not entirely predetermined by construction contracts. Many emerge arbitrarily from the resolution of power struggles between opposing interest groups who are trying to minimize their exposure to an unexpected resourcing demand. These struggles contain the seeds of conflict because those with relatively little power tend to emerge with relatively high levels of responsibility. For the weak, this inequality causes financial strain, anxiety, resentment, frustration and malevolence.

Responsibility, power and construction conflict

This chapter reviews 889 organizational communication journal articles published in 61 journals from 1980 through 1991. The superior-subordinate communication relationship and communication skills were the most frequently discussed topics, with culture showing the largest increase in published articles. Articles have consistently linked communication to positive outcomes. As the decade progressed, culture-related articles increasingly focused on positive outcomes. Interest grew in some areas (e.g., cross-cultural communication, networks) and decreased in others (e.g., nonverbal communication, structure). Increasingly, various areas (e.g., power) focused on the socially constructed nature of reality. Few articles focused on workplace diversity and ethics-related issues.

A Decade of Organizational Communication Research: Journal Articles 1980–1991

This paper examines the exercise of power in organizational decision making. Four case studies are presented in the text and are analyzed in terms of the power plays of senior managers who were centrally involved in the decision-making process. In particular, the analysis distinguishes between bounded and unbounded decisions. In the former case the power plays of interests are constrained by preestablished organizational rules and procedures, while in the latter case unbounded decisions are relatively free from such organizational parameters and allow actors to exercise power selectively to secure their own interests. The data suggest that decisions may become unbounded in four ways: through unaccustomed forms of data, individual conflict, and novel topics for decision and where the problem is initiated from an unexpected or unusual source. Where decisions become unbounded the data suggest that those actors who are existing power holders through the control of critical contingencies are also able to take ...

Breaking the Bounds of Organization in Strategic Decision Making

This paper examines the extent to which managerial influence over group-interdepartmental decisions is derived from sub-unit contingencies or is due to more individualistic characteristics of the manager. Both individual and sub-unit perspectives are presented in a framework composed of seven power factors each of which is investigated empirically. The major finding from a survey of 142 departmental managers is that individual managerial expertise is more important than sub-unit-based power with access to and control of information being of equal importance. We suggest that the investigation of managerial influence from a sub-unit perspective alone may be insufficient and that, in certain circumstances, both individualistic and sub-unit perspectives should be taken into account.

The interdepartmental influence of managers: individual and sub‐unit perspectives

The perceived importance of seven power factors to two types of intradepartmental decision are examined: those which a manager takes alone and those which are taken in a group composed of departmental members only. the major findings from this examination are that while formal authority is important in the former situation it is of lesser importance in the latter situation; the reverse is true for personality. We conclude that decision method has a pronounced effect upon the relative importance of power factors. Secondary analysis of the data suggests that group composition also has a marked effect but that issue domain has a negligible effect. Nevertheless, managerial expertise remains dominantly important throughout the whole range of decision-making situations; this finding also concurs with the results from our companion paper (Kenny and Wilson, 1984).

Managerially perceived influence over intradepartmental decisions

While it is often claimed that participative management systems have a substantial effect upon employee perceptions and attitudes, and labour productivity, there has been little empirical research conducted on this issue. The purpose of this article is to describe the functioning of a company which changed to a participative management system and to examine the effectiveness of this change. Effectiveness is judged in terms of changes in employee perceptions and attitudes and in labour productivity.

The Effectiveness of a Participative Management System

As any organisation chart illustrates, two essential features of organisations are formal authority and division of labour. “Formal authority” specifies those individuals and positions which have institutionalised power over others, while “division of labour” specifies those individuals and positions who are responsible for certain tasks in an organisation. In these respects organisations are a reflection of their environmental contexts of which class is a major feature (Clegg and Dunkerley, 1980). Broadly speaking what emerges in organisations are two classes of participants. One such class is represented by those who own the means of production (or capital) while the other such class is represented by those who own labour. This difference in capital ownership leads to disparities in the rights, powers and privileges—prerogatives—of the two classes (Clegg and Dunkerley, 1980). In practice, however, the capitalists are represented in organisations by “the management” who act as their agents. Thus the active participants in organisations become “management” and “labour” (Strauss and Rosenstein, 1970). Management with its power base grounded in its role as the owner's agent becomes the “elite” in the organisation.

Graham K. Kenny

Papers

The interdepartmental influence of managers: individual and sub‐unit perspectives

Managerially perceived influence over intradepartmental decisions

The Effectiveness of a Participative Management System

Who Gains? A Case Analysis of Employee Ownership and Managerial Prerogatives