Showing papers in "Management Decision in 1998"
TL;DR: In this paper, an empirical pilot study that explores the development of several conceptual measures and models regarding intellectual capital and its impact on business performance is presented, which can help both academics and practitioners more readily understand the components of Intellectual Capital and provide insight into developing and increasing it within an organization.
Abstract: This paper details an empirical pilot study that explores the development of several conceptual measures and models regarding intellectual capital and its impact on business performance. The objective of this pilot study is to explore the development of items and constructs through principal components analysis and partial least squares (PLS). The final retained, subjective measures and optimal structural specification show a valid, reliable, significant and substantive causal link between dimensions of intellectual capital and business performance. These results should help both academics and practitioners more readily understand the components of intellectual capital and provide insight into developing and increasing it within an organization. Suggestions are then made to advance and improve this research programme.
2,837 citations
TL;DR: In this paper, the authors examined the customer orientation performance link in small and medium-sized businesses and tested for the possible effects of innovation orientation, market dynamism and competitive intensity on the degree of customer orientation among these firms.
Abstract: This study examined the customer orientation ‐ performance link in small‐ and medium‐sized businesses and tested for the possible effects of innovation orientation, market dynamism and competitive intensity on the degree of customer orientation among these firms. Specific performance measures used were new product success, sales growth and return on investment (ROI). Based on constructs of these measures, a research scale was developed for the study and data were collected via a self‐administered mail survey among a UK samples of small‐ and medium‐sized enterprises (SMEs). The results show a positive effect of customer orientation on SME performance. There are also findings on the varied influences of innovation orientation and the competitive environment on the levels of SME customer orientation. In the light of existing literature, implications of our findings for SME managers, the study’s limitations and future research directions are subsequently addressed.
464 citations
TL;DR: The authors argued that the difficulty of organisational change is often exacerbated by the mismanagement of resistance derived from a simple set of assumptions that misunderstand resistance's essential nature and suggested that management may greatly benefit from techniques that carefully manage resistance to change by looking for ways of utilising it rather than overcoming it.
Abstract: Traditionally, resistance has been cast as adversarial ‐ the enemy of change that must be defeated if change is to be successful. While it is apparent that classical management theory viewed resistance in such a manner, recent literature contains much evidence that suggests resistance may indeed be useful and is not to be simply discounted. Present day suggestions and prescriptions for managing resistance have evidently disregarded this research and left little room for utility in resistance. This paper argues that the difficulty of organisational change is often exacerbated by the mismanagement of resistance derived from a simple set of assumptions that misunderstand resistance’s essential nature. It is suggested that management may greatly benefit from techniques that carefully manage resistance to change by looking for ways of utilising it rather than overcoming it.
437 citations
TL;DR: A review of the literature of motivational theorists and draws from their approaches to job satisfaction and the role of motivation within job satisfaction can be found in this article, where the theories of Frederick Herzberg and Edwin Locke are presented chronologically to show how Locke's theory was a response to Herzberg's theory.
Abstract: The movement of workers to act in a desired manner has always consumed the thoughts of managers. In many ways, this goal has been reached through incentive programs, corporate pep talks, and other types of conditional administrative policy, However, as the workers adjust their behaviour in response to one of the aforementioned stimuli, is job satisfaction actualized? The instilling of satisfaction within workers is a crucial task of management. Satisfaction creates confidence, loyalty and ultimately improved quality in the output of the employed. Satisfaction, though, is not the simple result of an incentive program. Employees will most likely not take any more pride in their work even if they win the weekend getaway for having the highest sales. This paper reviews the literature of motivational theorists and draws from their approaches to job satisfaction and the role of motivation within job satisfaction. The theories of Frederick Herzberg and Edwin Locke are presented chronologically to show how Locke’s theory was a response to Herzberg’s theory. By understanding these theories, managers can focus on strategies of creating job satisfaction. This is followed by a brief examination of Kenneth Blanchard and Paul Hersey’s theory on leadership within management and how this art is changing through time.
414 citations
TL;DR: In this paper, the authors present a model which encourages practitioners and academics alike to treat innovations as they exist, possessing multiple dimensions, such as product, radical and technological, and call into question the practice of researchers, which treats innovation unidimensionally such as a process innovation or a product innovation.
Abstract: A major emphasis of modern strategic thinking involves the role innovation plays in the profile of the organization. Academics and practitioners alike have devoted significant amounts of time and organizational resources for nearly four decades to the identification of organizational and individual correlates of innovation. This work calls into question the practice of researchers, which treats innovation unidimensionally, such as a process innovation or a product innovation. A model is presented which encourages practitioners and academics alike to treat innovations as they exist, possessing multiple dimensions, such as product, radical and technological.
389 citations
TL;DR: In this article, the authors present an overview of strategic organizational change and its managerial impact on leadership, learning, motivation and productivity, and propose a model that explains the relationships between SOC, leadership and learning.
Abstract: Presents an overview of strategic organizational change (SOC) and its managerial impact on leadership, learning, motivation and productivity. Theoretical and empirical data presented are: the sources and determinants of strategic organizational change; the management implications of SOC; organizational leadership within the context of SOC; learning aspects of SOC; the impact of SOC on organizational and individual productivity; a model that explains the relationships between SOC, leadership, learning, motivation and productivity. Depicts strategic organizational change as an integrative process with all organizational elements such as human resources, systems and technologies being considered for successful change to occur. The proposed model for strategic organizational change is an attempt to link the software and hardware components of organizations. In view of the pressures being expected from the external environment and the critical vision of organizations, research suggests that top management needs to establish a flexible and adaptive infrastructure that should lead contemporary and complex organizations to optimum levels of performance. The largest barrier to “change” is not changes to technologies and work processes but changes involving people.
172 citations
TL;DR: In this paper, the authors compare and contrast MBO and the balanced scorecard and conclude that MBO suffers from two main problems: partial implementation and a patent disregard for MBO's core philosophy that calls for goal congruence through collaboration.
Abstract: Drucker introduced management by objectives (MBO) in the late 1950s. Kaplan and Norton introduced the Balanced Scorecard in the early 1990s. MBO and the Balanced Scorecard are management systems that align tangible objectives with an organisation’s vision. This article compares and contrasts the two management systems. The examination concludes that the philosophical intents and practical application of MBO and the Balanced Scorecard stem from similar precepts. The examination of patterns of MBO implementation also illuminates possible problems in the application of the Balanced Scorecard. Implementation of MBO suffers from two main problems. Partial implementation: taking a portion of a prescription does not provide the cure. Second, a patent disregard for MBO’s core philosophy that calls for goal congruence through collaboration. Our forecast is that partial implementation will remain as a problem for the Balanced Scorecard. An increasing rate of change in business encourages this (because development of organisation‐wide scorecards takes too long). However, we think that current management will use more collaboration than was the case with MBO, because of the influence of total quality management (TQM which encourages collaboration).
119 citations
TL;DR: This article investigated the relationship between environmental strategy and company performance using samples from a nationwide survey and classified companies into two groups; environmentally conscious and non-environmental companies Environmental companies reported better performance scores and also were more inclined to incorporate various performance improvement strategies and techniques into their operations.
Abstract: This study investigates the relationship between environmental strategy and company performance using samples from a nationwide survey The companies were classified into two groups; environmentally conscious and non‐environmental companies Environmental companies reported better performance scores and also are more inclined to incorporate various performance improvement strategies and techniques into their operations
110 citations
TL;DR: In this article, the authors present a system of decision making to achieve this integration which uses an "interest assessment" that involves the analysis of the ethical, social and legal obligations of an organization.
Abstract: Using ethical considerations in strategic decision making will result in the development of the most effective long term and short term strategies. Specifically, ethical criteria must be included as part of the strategic process in before‐profit decisions rather than after‐profit decisions in order to maximize corporate profits and improve strategy development and implementation. This paper presents a system of decision making to achieve this integration which uses an “interest assessment” that involves the analysis of the ethical, social and legal obligations of an organization.
109 citations
TL;DR: How an organisation can enhance its creativity by developing a creative culture within the company is described, which describes six different CPS techniques ‐ two paradigm preserving, two paradigm stretching and two paradigm breaking techniques.
Abstract: Creative problem solving (CPS) and innovation are very important to companies who want to gain flexibility and competitive advantage. This article describes how an organisation can enhance its creativity by developing a creative culture within the company. In addition, the paper discusses group creative problem solving. A creativity continuum is presented which describes three different types of techniques ‐ paradigm preserving, paradigm stretching and paradigm breaking. It is important to know which type of technique should be chosen for a particular type of situation. Paradigm preserving techniques are deemed to be more comfortable but less innovative whereas paradigm breaking techniques encourage participants to develop highly novel ideas. They can, however, be uncomfortable to use and should therefore not be utilised by the unwary. This article describes six different CPS techniques ‐ two paradigm preserving, two paradigm stretching and two paradigm breaking techniques.
108 citations
TL;DR: Ephases have been placed on the classification of benchmarking and the benchmarking process model to help in identifying the sources of best practices as a result of assisting in promoting management perspectives and facilitating the formation of various specific goals.
Abstract: This paper aims at introducing benchmarking to management practitioners Emphases have been placed on the classification of benchmarking and the benchmarking process model The former will help in identifying the sources of best practices as a result of assisting in promoting management perspectives and facilitating the formation of various specific goals The latter, on the other hand, systematically introduces all necessary components in a benchmarking project Additionally, effort is put in to clarify the meaning of benchmarking by introducing three useful working definitions Some materials of benchmarking, including its background and benefits, are also given Finally, some hints are provided to organizations that want to conduct first‐time benchmarking project
TL;DR: In this paper, the authors suggest that the real value of tacit knowledge and intuition to managers in the upper reaches of the organization can be found when groups of managers can exchange and share the different types of knowledge, a complementary and synergistic learning process occurs.
Abstract: Strategic decision making is a rather unstructured process with a wide variety of conflicting and equivocal considerations and inputs. Managers, usually working in top management teams, are asked to form an “interpretation” or working knowledge of the internal and external influences on the organization. This article suggests the real value of tacit knowledge and intuition to managers in the upper reaches of the organization. Tacit knowledge, based on the cumulative experiences of the manager, is equivalent to the intuitive feel and “softer” ways of knowing that all humans experience. It has been found to be quite valuable to upper‐level managers, but especially when intermingled with sound data analysis and more formal insight. When groups of managers can exchange and share the different types of knowledge, a complementary and synergistic learning process occurs. Managers are able to draw from a broader, more diverse set of possibilities and insights.
TL;DR: This paper will present Saaty’s Analytical Hierarchy Process as a means of dealing with difficulties in evaluating job and/or promotion candidates and discuss some of the practical problems encountered in applying the method.
Abstract: One of the more difficult problems facing academic, business and government institutions is that of evaluating job and/or promotion candidates A typical evaluation consists of several tasks First, applications must be gathered Then, they must be evaluated using a number of criteria such as education, experience, personality, etc Finally, a weighted average of the various criteria must be developed for each applicant or promotion candidate which represents the individual’s overall desirability Two of the chief difficulties in the above process are: rating individuals for each of the criteria; and developing a logical and consistent set of weights for the various criteria In this paper we will present Saaty’s Analytical Hierarchy Process as a means of dealing with these difficulties We will also discuss some of the practical problems encountered in applying the method
TL;DR: In this article, the authors discuss how interrelationships can be developed for synergy and horizontal strategy as a way to achieve competitive advantage in the context of a horizontal organization, and emphasize that organizational structure and processes are significant in developing interrelationship with the potential to reach the goals of synergy and competitive advantage.
Abstract: Discusses how interrelationships can be developed for synergy. Also focuses on horizontal strategy as a way to achieve competitive advantage. Organizational context can determine a firm’s motivation and ability to develop interrelationships that result in overall competitive advantage. Corporate strategy must move beyond the idea that the primary way of creating synergy is the combination of related businesses (by buying and selling businesses). Corporate strategy must focus on creating value that is independent of business unit value. This means developing horizontal strategies that have the objective of coordinating activities and developing programs that encourage the sharing of resources and skills. An understanding of the horizontal organization helps to emphasize that organizational structure and processes are significant in developing interrelationships with the potential to reach the goals of synergy and competitive advantage.
TL;DR: In this paper, the authors empirically tested the relationship between a company's social responsibility (CSR) performance as measured by the company's reputation index, and the degree of downsizing of employees and discriminatory practices, on the other.
Abstract: This research empirically tests the relationship between a company’s social responsibility (CSR) performance as measured by the company’s reputation index, on the one hand, and the degree of downsizing of employees and a company’s discriminatory practices, on the other. The sample consists 178 large publicly‐held US‐based corporations which announced their intentions to downsize during the 1990‐1992 period. The statistical analysis does support the hypothesis that as companies eliminate jobs and layoff workers, they are perceived as being less reputable, hence, less socially responsible. The analysis, further, supported previous research which revealed a positive association between a company’s social performance (CSP), as measured by a company’s reputation index, and its financial performance as measured by its return on equity (ROE). The analysis, however, did not support the hypothesis of a negative relationship between CSP and a company’s discriminatory practices. Further, our statistical analysis failed to support the results of previous research which revealed a positive relationship between a company’s size and its CSP. This unexpected result may have been biased by the choice of companies in our sample.
TL;DR: In this paper, the authors examine the place of organizational politics in general and ingratiation specifically as a tactic in which there is an attempt by individuals to increase their attractiveness and upward influence in the eyes of other organizational members (management).
Abstract: This article examines the place of organizational politics in general and ingratiation specifically as a tactic in which there is an attempt by individuals to increase their attractiveness and upward influence in the eyes of other organizational members (management). Four common tactics of ingratiators were identified: other enhancement, rendering favors, opinion conformity and self‐presentation. Suggests that ingratiation is influenced by individual variables such as: Machiavellianism, locus of control and work task uniqueness. Furthermore, situational variables affect this political behavior There were mixed research results on the impact of ingratiation on further career success. Some recent research concluded that this tactic has little or no effect on extrinsic and intrinsic rewards available to the individual.
TL;DR: In this paper, the ontology of market orientation and the evidence used to support it are questioned and the authors challenge market orientation supporters to show why it would be in the social interests to adopt it, even if their arugments concerning its efficacy were to be accepted.
Abstract: Since Shapiro’s vexed question, “What the hell is market‐orientated?” several marketing scholars have revamped their concepts and found empirical evidence to demonstrate the superior performance of firms closest to their new prescriptions. This paper questions the ontology of market orientation and the evidence used to support it. It also challenges supporters of market orientation to show why it would be in the social interests to adopt it, even if their arugments concerning its efficacy were to be accepted.
TL;DR: In this paper, the impact of technology in the provision of services is scrutinised and the common characteristics of the service experience in such applications are identified, as customers become more proficient at taking on an IT role.
Abstract: Consumers in a wide range of contexts whether purchasing goods or services are increasingly using technology. The role of people in the delivery of services is diminishing as companies strive to lower costs and consumers become less inclined to wait or queue. Through a number of case studies, the impact of technology in the provision of services is scrutinised and the common characteristics of the service experience in such applications are identified. As customers become more proficient at taking on an IT role, traditional models of the service experience may need to be revisited. Specifically, models will need to reflect a greater participation by the customer, a diminishing role for service personnel, and the blurring of the back and front office divide.
TL;DR: The concept of trust has attracted a great deal of attention in recent studies of interorganisational relations as mentioned in this paper, and it has been suggested that the establishment and maintenance of trust is central to building business to business relationships.
Abstract: The concept of “trust” has attracted a great deal of attention in recent studies of inter‐organisational relations. In particular it has been suggested that the establishment and maintenance of trust is central to building business to business relationships. Using a well‐known case study the additional insights which a trust approach to the analysis of a business to business relationship offers are considered.
TL;DR: In this paper, the authors described the derivation of a competence list for the development of Euromanagement in SMEs and illustrated the potential of the model with reference to two small scale surveys, one in Bradford, UK and the other in the Rhone-Alpes region of France.
Abstract: Having noted the importance of small‐ and medium‐sized enterprises (SMEs) in Europe, this paper describes the derivation of a competence list for the development of Euromanagement in SMEs. The potential of the model is illustrated with reference to two small scale surveys, one in Bradford, UK and the other in the Rhone‐Alpes region of France.
TL;DR: In this article, the authors present a set of foundations in which the effectiveness of a total organization may be assessed from the strategic decisions made by its senior executives, based on managerial attitudes toward a given strategic choice and the process from which it originates.
Abstract: Strategic decisions represent the most important product of managerial endeavors; and strategic choice is the most critical variable in strategic management. This article advances a set of foundations in which the effectiveness of a total organization may be ascertained from the effectiveness of the strategic decisions made by its senior executives. A categorization of strategic decision effectiveness is presented that is derived from managerial attitudes toward a given strategic choice and the process from which it originates.
TL;DR: In this paper, the authors investigated the relationship between group cognitive make-up, co-operative context, and the development of interpersonal trust and found that groups composed of individuals with similar cognitive processes are more trusting and achieve higher levels of performance than heterogeneous groups.
Abstract: This research investigates relationships between group cognitive make‐up, co‐operative context, and the development of interpersonal trust. Results show that groups composed of individuals with similar cognitive processes are more trusting and achieve higher levels of performance than heterogeneous groups. Outlines the motivation and results of this study. Technological advancements are changing the competitive landscape in most industries. Many organizations are modifying both inter‐ and intra‐organizational structures to address the resultant competition. These modifications largely focus on increased small group co‐operation. In the execution of these changes managers frequently assume that employees will adapt to new co‐operative forms. In the adaptive process, previous research documents the importance of trust for successful co‐operation during organizational changes. Recognizes the importance of evaluating and considering two important factors prior to assigning groups to change teams: cognitive flexibility; and front loading group activities with collaborative decision processes.
TL;DR: In this paper, a contingency framework for the empowerment of contact service employees is presented, where the appropriate levels and the types of empowerment given to employees depend on a combination of the complexity or variability of customer needs, and the degree of task complexity and variability involved in delivering the customer needs.
Abstract: A great deal has been written on the subject of empowerment of employees in the manufacturing industries, yet its application in the services area is relatively under‐developed Any rigorous examination of the literature shows that empowerment is not suitable for all occasions or all types of employees as it can have both positive and negative consequences for employees and the organization This paper outlines a contingency framework for the empowerment of contact service employees It is argued that the appropriate levels and the types of empowerment given to employees depends on a combination of the complexity or variability of customer needs, and the degree of task complexity or variability involved in delivering the customer needs It is also argued that in any empowerment framework it is essential for the degree and the type of empowerment to be included The paper also outlines the implications of empowerment for the type and style of managerial control exercised by managers and the implications for recruitment of customer contact service employees
TL;DR: In this article, the authors analyse and illustrate selected aspects of management in South Korea and discuss the changing role of the taipan, the family, the clan, and professional management within the context of the ownership and management of Korean enterprises.
Abstract: The purpose of this article is to analyse and illustrate selected aspects of management in South Korea. South Korean management is placed within its South East Asian context; but western influences on it are also identified. Parallels with French management are drawn. The article describes the national and business culture of South Korea. It analyses prevailing approaches to organisation and communication. It discusses and illustrates the changing role of the taipan, the family, the clan, and professional management within the context of the ownership and management of Korean enterprises. It examines working practices and relations. It analyses and comments on style of management. It deals with issues of internationalisation and globalisation. The article concludes by analysing a number of issues that are likely to affect South Korean management after the crisis of 1997‐1998, and more generally in the foreseeable future. The analysis is illustrated by a variety of case examples.
TL;DR: The collapse of project Taurus, the London Stock Exchange's £500 million IT venture, ranks as one of the major fiascos of business history as discussed by the authors, highlighting key mistakes in the project's design and construction and discusses their implications for management.
Abstract: The collapse of project Taurus, the London Stock Exchange’s £500 million IT venture, ranks as one of the major fiascos of business history. This paper highlights key mistakes in the project’s design and construction and discusses their implications for management.
TL;DR: In this paper, the authors draw on the work of influential writers in the area of environmental change and knowledge management and attempt to trace the linkages between the need to actively manage knowledge and the resultant changes in organisations.
Abstract: Much has been written about the impact of the millennium. The plain fact is that much of what will happen in the early part of the next millennium is already happening. This is not to underestimate the effects of such change. Perhaps chief among all of the major forces for change which will affect organisations and the way in which they are managed will be the impact of knowledge. The need to base competitive strategies on intellectual capacity will directly influence management processes and organisational forms. The paper draws on the work of influential writers in the area of environmental change and knowledge management and attempts to trace the linkages between the need to actively manage knowledge and the resultant changes in organisations. Finally the point is made that although we may be in a new information age the concept of knowledge based strategies is not new and predates the industrial revolution.
TL;DR: In this article, the authors examine the following question: is Body Shop International a socially responsible organization? This exploration includes a description of the concept of corporate social responsibility and an investigation of some specific actions by Body shop International to ascertain whether or not these actions are in fact socially responsible in nature.
Abstract: Attempts to examine the following question: is Body Shop International a socially responsible organization? This exploration includes a description of the concept of corporate social responsibility and an investigation of some specific actions by Body Shop International to ascertain whether or not these actions are in fact socially responsible in nature.
TL;DR: In this paper, the authors discuss team work and self-directed work teams and make recommendations for companies to adopt work teams in manufacturing organizations and present some of the key findings from a survey conducted in Australia.
Abstract: Over the past decade many manufacturing organisations around the world have been changing their structures from the traditional hierarchical pyramid structure to a flatter, more responsive and lean structure. Team work and employee participation have become the key tasks for managers in all types of industries. This paper discusses team work and self‐directed work teams. It presents some of the key findings from a survey conducted in Australia and describes the four stages of developing self‐directed work teams. Some recommendations for companies adopting work teams are also made.
TL;DR: In this paper, the authors argue that the type of decision is a function of administrative level, and the style of organizational culture is a functional function of the organizational culture, and that effective decision-making styles are likely to be dictative in paternalistic, directive in bureaucratic, and deliberative in synergistic organizational cultures.
Abstract: Administrative decision making is contextual both in terms of the type of decisions a position holder must make as well as how they should be made (style). This paper argues that the type of decision is a function of administrative level, and the style is a function of organizational culture. Significant decisions are likely to be intuitive at the executive level, compromise at the managerial level, and computational at the supervisory level. Effective decision‐making styles are likely to be dictative in paternalistic, directive in bureaucratic, and deliberative in synergistic organizational cultures.
TL;DR: In this paper, the authors take a new look at classical theory on the nature of competition and develop an outline set of new competitive forces centred on the reinvention of individual organisations, rather than wide-scale interactive competition.
Abstract: Reporting on original research, this paper takes a new look at classical theory on the nature of competition. Using the electricity sector as a case study, this work develops an outline set of “new” competitive forces centred on the reinvention of individual organisations, rather than wide‐scale interactive competition.