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Research methods in social relations

This study examined the influence of internal capabilities and external networks on firm performance by using data from 137 Korean technological start-up companies. Internal capabilities were operationalized by entrepreneurial orientation, technological capabilities, and financial resources invested during the development period. External networks were captured by partnership- and sponsorship-based linkages. Partnership-based linkages were measured by strategic alliances with other enterprises and venture capitalists, collaboration with universities or research institutes, and participation in venture associations. Sponsorship-based linkages consisted of financial and nonfinancial support from commercial banks and the Korean government. Sales growth indicated the start-up's performance. Regression results showed that the three indicators of internal capabilities are important predictors of a start-up's performance. Among external networks, only the linkages to venture capital companies predicted the start-up's performance. Several interaction terms between internal capabilities and partnership-based linkages have a statistically significant influence on performance. Sponsorship-based linkages do not have individual effects on performance but linkage with financial institutions has a multiplicative effect with technological capabilities and financial resources invested on a start-up's performance. Implications and directions for future research were discussed. Copyright © 2001 John Wiley & Sons, Ltd.

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Internal capabilities, external networks, and performance: a study on technology‐based ventures

Currently two models of innovation are prevalent in organization science. The "private investment" model assumes returns to the innovator results from private goods and efficient regimes of intellectual property protection. The "collective action" model assumes that under conditions of market failure, innovators collaborate in order to produce a public good. The phenomenon of open source software development shows that users program to solve their own as well as shared technical problems, and freely reveal their innovations without appropriating private returns from selling the software. In this paper we propose that open source software development is an exemplar of a compound model of innovation that contains elements of both the private investment and the collective action models. We describe a new set of research questions this model raises for scholars in organization science. We offer some details regarding the types of data available for open source projects in order to ease access for researchers who are unfamiliar with these, and also offer some advice on conducting empirical studies on open source software development processes.

Open Source Software and the 'Private-Collective' Innovation Model: Issues for Organization Science

Like all teams, knowledge teams must acquire and manage critical resources in order to accomplish their work. The most critical resource for knowledge teams is expertise, or specialized skills and knowledge, but the mere presence of expertise on a team is insufficient to produce high-quality work. Expertise must be managed and coordinated in order to leverage its potential. That is, teams must be able to manage their skill and knowledge interdependencies effectively through expertise coordination, which entails knowing where expertise is located, knowing where expertise is needed, and bringing needed expertise to bear. This study investigates the importance of expertise coordination through a cross-sectional investigation of 69 software development teams. The analysis reveals that expertise coordination shows a strong relationship with team performance that remains significant over and above team input characteristics, presence of expertise, and administrative coordination.

Coordinating Expertise in Software Development Teams

We define cultural entrepreneurship as the process of storytelling that mediates between extant stocks of entrepreneurial resources and subsequent capital acquisition and wealth creation. We propose a framework that focuses on how entrepreneurial stories facilitate the crafting of a new venture identity that serves as a touchstone upon which legitimacy may be conferred by investors, competitors, and consumers, opening up access to new capital and market opportunities. Stories help create competitive advantage for entrepreneurs through focal content shaped by two key forms of entrepreneurial capital: firm-specific resource capital and industry-level institutional capital. We illustrate our ideas with anecdotal entrepreneurial stories that range from contemporary high technology accounts to the evolution of the mutual fund industry. Propositions are offered to guide future empirical research based on our framework. Theoretically, we aim to extend recent efforts to synthesize strategic and institutional perspectives by incorporating insights from contemporary approaches to culture and organizational identity.

Cultural Entrepreneurship: Stories, Legitimacy and the Acquisition of Resources

As software development projects continue to be over budget and behind schedule, researchers continue to look for ways to improve the likelihood of project success. In this research we juxtapose two different views of what influences software development team performance during the requirements development phase. In an examination of 66 teams from 15 companies we found that team skill, managerial involvement, and little variance in team experience enable more effective team processes than do software development tools and methods. Further, we found that development teams exhibit both positive and negative boundary-spanning behaviors. Team members promote and champion their projects to the outside environment, which is considered valuable by project stakeholders. They also, however, guard themselves from their environments; keeping important information a secret from stakeholders negatively predicts performance.

Enabling Software Development Team Performance During Requirements Definition: a Behavioral Versus Technical Approach

This paper examines the link between a firm's resources and its efficient organization form with a focus on entrepreneurial resources. Entrepreneurial resources are defined as the propensity of an individual to behave creatively, act with foresight, use intuition, and be alert to new opportunities. This paper assumes that these entrepreneurial resources can be distributed in two ways throughout the firm: they can be held by one or a few individuals- "individual entrepreneurial resources "-or they can be dispersed among a team of individuals- "team entrepreneurial resources. " Agency theory is used to consider how various organizational characteristics-such as the assignment of decision responsibilities, incentives and risk bearing, the number of hierarchical levels, horizontal linking structures, mutual monitoring and bonding devices, and information systems-will differ in the individual and team entrepreneurial forms. Generally, the individual entrepreneurial form resembles the"classic entrepreneurial firm " (Fama and Jensen 1983) in which various decision making roles and risk bearing are performed by a single entrepreneur. The team entrepreneurial form is similar to what Bartlett and Ghoshal (1993) call"beyond the m-form. " Responsibility for steps in the decision process is dispersed in the team form, and monitoring the decision process will occur at the organization's apex. The CEO will not make operational or strategic decisions; instead, he manages the internal market for managers and develops an organization's cultural context and information systems. Below the CEO level, team entrepreneurs are responsible for ratifying innovative decisions, and below this team entrepreneurs are responsible for initiating innovative decisions. After presenting these two entrepreneurial forms, this paper relates them to extant research on corporate entrepreneurship and organizational forms.

Entrepreneurial Resources, Organizational Choices, and Competitive Outcomes

Solving the crisis of immediacy: How digital technology can transform the customer experience

This paper presents data that describe the effects on software development performance due to both the production methods of software development and the social processes of how software developers work together. Data from 40 software development teams at one site that produces commercial software are used to assess the effects of production methods and social processes on both software product quality and team performance. Findings indicate that production methods, such as the use of software methodologies and automated development tools, provide no explanation for the variance in either software product quality or team performance. Social processes, such as the level of informal coordination and communication, the ability to resolve intragroup conflicts, and the degree of supportiveness among the team members, can account for 25 percent of the variations in software product quality. These findings suggest two paradoxes for practice: (1) that teams of software developers are brought together to create variability and production methods are used to reduce variability, and (2) that team-level social processes may be a better predictor of software development team performance than are production methods. These findings also suggest that factors such as other social actions or individual-level differences must account for the large and unexplained variations in team performance.

Software development: processes and performance

The increasing popularity of Web 2.0 tools, such as blogs, wikis, and virtual worlds, is fundamentally changing how consumers use the Web. The basic core of Web 2.0, that users can generate and share their own content, often regarding company brands and products, provides both potential value and challenges to marketing practitioners. Along with conducting secondary research, we interviewed 30 marketing executives and senior managers at companies at the forefront of using this technology. We found that there were four principles which guided managers' marketing actions: 1) facilitate users in generating content, 2) focus on building a community, 3) ensure authenticity of the message, and 4) look for marketing opportunities through experimentation.

Patricia J. Guinan

Papers

Enabling Software Development Team Performance During Requirements Definition: a Behavioral Versus Technical Approach

Entrepreneurial Resources, Organizational Choices, and Competitive Outcomes

Solving the crisis of immediacy: How digital technology can transform the customer experience

Software development: processes and performance

Marketing Using Web 2.0