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Structural Differentiation and Ambidexterity: The Mediating Role of Integration Mechanisms

TL;DR: The findings suggest that the previously asserted direct effect of structural differentiation on ambidexterity operates through informal senior team and formal organizational integration mechanisms, and contributes to a greater clarity and better understanding of how organizations may effectively pursue exploration and exploitation simultaneously to achieve ambideXterity.
Abstract: textPrior studies have emphasized that structural attributes are crucial to simultaneously pursuing exploration and exploitation, yet our understanding of antecedents of ambidexterity is still limited. Structural differentiation can help ambidextrous organizations to maintain multiple inconsistent and conflicting demands; however, differentiated exploratory and exploitative activities need to mobilized, coordinated, integrated, and applied. Based on this idea, we delineate formal and informal senior team integration mechanisms (i.e. contingency rewards and social integration) and formal and informal organizational integration mechanisms (i.e. cross-functional interfaces and connectedness) and examine how they mediate the relationship between structural differentiation and ambidexterity. Overall, our findings suggest that the previously asserted direct effect of structural differentiation on ambidexterity operates through informal senior team (i.e. senior team social integration) and formal organizational (i.e. cross-functional interfaces) integration mechanisms. Through this richer explanation and empirical assessment, we contribute to a greater clarity and better understanding of how organizations may effectively pursue exploration and exploitation simultaneously to achieve ambidexterity.

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Citations
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Journal ArticleDOI
TL;DR: In this paper, the authors examine the performance implications of combinations of internal and external exploratory and exploitative search in resource-scarce environments, under conditions of high and low dynamism.

4 citations

Book ChapterDOI
01 Jan 2019
TL;DR: In this article, the introduction of an automated parcel sorting system in a major company in the logistic and parcel delivery industry was explored, and a grounded theory of ambidexterity in an automation enhancement program was presented.
Abstract: In this paper, we explored the introduction of an automated parcel sorting system in a major company in the logistic and parcel delivery industry. Adopting a Grounded Theory approach, we carried out a study that highlighted profound and unexpected organizational implications and management challenges connected to the introduction of the new technology. Our analysis revealed the key role of the Industrial Engineering function as a change agent in devising and managing the introduction of the automated system. In particular, Industrial Engineering actually managed the organizational change by determining the right balance between several opposite dimensions (manual vs. automated; planned vs. emergent; local vs. global). Handling these tensions with a holistic approach may constitute a crucial factor for the change program effectiveness. Contrasting our findings with extant literature, we found resonance with latest works on ambidexterity, interpreted as a firm’s ability to manage tensions. The resulting outcome is a substantive grounded theory of ambidexterity in an automation enhancement program.

4 citations

Journal ArticleDOI
TL;DR: Huang et al. as mentioned in this paper found that cross-functional ambidexterity is constructed by prioritizing exploration in the product domain ahead of that in the market domain, and that it generates learning, brand and channel extension, matching, and brand alliance benefits at the business unit level.
Abstract: ABSTRACT During technology transitions, incumbents are frequently faced with the ambidextrous challenge of exploiting existing capabilities and exploring new ones. While extant studies focus on radical changes in the product domain, we notice radical changes can happen in both product and market domains. Pioneering studies indicate that cross-functional ambidexterity addresses this challenge at the business-unit level by juxtaposing exploration and exploitation across different functional domains (particularly in product and market domains) and that complementary assets address this challenge at the organizational level. However, how efforts at two levels can be combined to build cross-functional ambidexterity and what roles complementary assets play remain unclear. Therefore, this study conducts an in-depth case study of Huawei Mobile, which managed to achieve superior performance during a technology transition that triggers radical changes in both product and market domains. We find that multi-level synergies contribute to the transition process. Specifically, cross-functional ambidexterity is constructed by prioritizing exploration in the product domain ahead of that in the market domain, and that it generates learning, brand and channel extension, matching, and brand alliance benefits at the business-unit level. Complementary assets help to reduce the uncertainty of exploration and resolve functional conflicts at the organizational level. 摘要 在技术转型过程中,在任企业往往面临利用已有能力和探索新能力的双元困境。已有研究所讨论的激进式技术转型主要发生在产品领域,而我们的研究则关注在产品和市场领域同时发生激进式变革的技术转型。早期研究提出,在业务单元层构建的跨职能双元能力和在组织层构建的互补性资产,能够共同推进不同职能领域的探索和利用活动。但这两个层面的组织努力如何结合起来构建组织层的跨边界双元能力以及互补性资产在其中发挥何种作用尚不清楚。为此,本文针对华为手机业务进行深度案例研究,因为该业务历经产品和技术领域的激进式变革却仍然取得卓越绩效。我们发现多层次的协同促成了其转型过程。具体而言,跨职能双元能力得益于在产品领域优先进行探索活动,在业务单元层形成学习效应、品牌渠道扩展、匹配效应和品牌联盟效应。互补性资产则在组织层面发挥降低探索活动不确定性和缓解部门冲突的作用。 АННОТАЦИЯ В процессе технологических преобразований должностные лица часто сталкиваются с неоднозначной задачей, а именно использовать имеющийся потенциал и одновременно искать новые возможности. В то время как существующие исследования сосредоточены на радикальных изменениях в области производства, мы отмечаем, что радикальные изменения могут произойти как в области производства, так и в сфере рыночных отношений. Новейшие исследования показывают, что межфункциональная амбидекстрия решает эту проблему на уровне организационных подразделений, сопоставляя изучение и освоение в различных функциональных областях (особенно в сфере производства и рыночных отношений), и что дополнительные активы решают эту проблему на уровне организации. Однако остается неясным, как можно объединить усилия на двух уровнях для создания межфункциональной амбидекстрии и какую роль играют дополнительные активы. Таким образом, в данном исследовании проводится углубленное изучение ситуации в компании Huawei Mobile, которой удалось достичь превосходной производительности во время технологического перехода, который вызывает радикальные изменения как в области производства, так и в сфере рыночных отношений. Мы считаем, что многоуровневый синергизм способствует процессу технологического перехода. В частности, межфункциональная амбидекстрия строится на том, что процессу изучения в области производства придается большее значение, чем в рыночной сфере, и это способствует приобретению знаний, укреплению бренда и расширению рыночных каналов, обеспечению соответствия, а также развитию преимуществ альянса брендов на уровне организационного подразделения. Дополнительные активы помогают снизить неопределенность в процессе изучения и разрешить функциональные конфликты на уровне организации. RESUMEN Durante las transiciones tecnológicas, los titulares se enfrentan con frecuencia al reto ambidiestro de explotar las capacidades existentes y explorar otras nuevas. Mientras que los estudios existentes se centran en los cambios radicales en la esfera del producto, observamos que los cambios radicales pueden producirse tanto en la esfera del producto como en la del mercado. Los estudios pioneros indican que la ambidestreza interfuncional aborda este reto a nivel de la unidad de negocio yuxtaponiendo la exploración y la explotación a través de diferentes esferas funcionales (especialmente en las esferas de producto y de mercado) y que los activos complementarios abordan este reto a nivel organizacional. Sin embargo, si no siendo claro cómo pueden combinarse los esfuerzos en ambos niveles para crear ambidestreza interfuncional o qué papel desempeñan los activos complementarios. Por consiguiente, este estudio lleva a cabo un estudio de caso en profundidad sobre Huawei Mobile, que logró alcanzar un desempeño superior durante una transición tecnológica que desencadena cambios radicales tanto en la espera del producto como en el mercado. Encontramos que las sinergias a varios niveles contribuyen al proceso de transición. En concreto, la ambidestreza interfuncional se construye dando prioridad a la exploración en la esfera del producto antes que en la del mercado, y que genera beneficios de aprendizaje, extensión de la marca y del canal, alineamiento y alianza de marcas a nivel de unidad de negocio. Los activos complementarios ayudan a reducir la incertidumbre de la exploración y a resolver los conflictos funcionales a nivel organizacional.

4 citations

19 Apr 2011
TL;DR: In this article, the authors empirically investigated antecedents of the research of physicians using the example of surgeons and found that different resource types, forms of diversity and organizational strategies such as exploration, exploitation and ambidexterity have varying influence on individual research performance of surgeons.
Abstract: Based on findings that academic medical centers (AMCs) that strategically focus on research tend to perform well in the delivery of patient care as well as with respect to the overall performance, this dissertation empirically investigates antecedents of the research of physicians using the example of surgeons Hypothesizing that antecedents can be found on individual, team and AMC levels of analysis the empirical analysis is based on multi-level modeling, conceptualizing influence factors with reference to organizational theories such as the resource based view, the diversity approach or the ambidexterity hypothesis Data is collected accordingly on each analytical level on over 11000 surgeons in the US and Germany The analysis reveals that different resource types, forms of diversity and organizational strategies such as exploration, exploitation and ambidexterity have varying influence on individual research performance of surgeons Managers of AMCs who aim to create a research-friendly environment should therefore pursue a comprehensive approach in consideration of individual-, team-, and organizational-level influence factors when implementing processes and strategies that aim to stimulate the research performance of their physicians Basierend auf der Erkenntnis, dass solche Universitatsklinika mit strategischer Fokussierung auf Forschung eine hohe Performanz in der Krankenversorgung als Gesamtperformanz aufweisen untersucht diese Arbeit empirisch Erfolgsfaktoren der Forschungsleistung von Arzten in Universitatsklinika am Beispiel von Chirurgen Annehmend, dass die Forschungsleistung von Faktoren auf individueller, Team- und Klinikebene beeinflusst wird ist das zentrale Analyseinstrument der empirischen Analyse die Mehrebenen-Analyse Die Hypothesen werden getrieben von verschiedenen Organisationstheorien wie dem Resource-based View, dem Diversity-Ansatz und der Ambidexterity-Hypothese Hierzu wurden Daten von uber 11000 Chirurgen auf allen drei analytischen Ebenen in deutschen und US-amerikanischen Universitatsklinika erhoben Die Analyse zeigt, dass verschiedene Ressourcenarten, Diversity-Typen und organisationale Strategien wie Exploration, Exploitation und Ambidexterity das Forschungsverhalten unterschiedlich beeinflussen Klinikmanager, die ein forschungsfreundliches Arbeitsumfeld implementieren wollen, sollten deshalb Einflussfaktoren auf individueller, Team- und Klinikebene berucksichtigen, wenn Sie Masnahmen und Strategien entwerfen, die die Forschungsleistung ihrer Arzte stimulieren sollen

4 citations

References
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"Structural Differentiation and Ambi..." refers background in this paper

  • ...A four-item scale ( = 0 70) measures firmlevel exploitative innovation (Jansen et al. 2006) and captures the extent to which organizations build on existing knowledge and pursue incremental innovations that meet the needs of existing customers (Abernathy and Clark 1985, Benner and Tushman 2003,…...

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TL;DR: In this article, the authors examined the link between firm resources and sustained competitive advantage and analyzed the potential of several firm resources for generating sustained competitive advantages, including value, rareness, imitability, and substitutability.

46,648 citations


"Structural Differentiation and Ambi..." refers background in this paper

  • ...provides organizations with competitive advantages over time (Barney 1991)....

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  • ...Our study broadens the conceptual interpretation of organizational ambidexterity and suggests that it is difficult to achieve yet rare and not easily imitated, and 797 provides organizations with competitive advantages over time (Barney 1991)....

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TL;DR: In this paper, the authors argue that the ability of a firm to recognize the value of new, external information, assimilate it, and apply it to commercial ends is critical to its innovative capabilities.
Abstract: In this paper, we argue that the ability of a firm to recognize the value of new, external information, assimilate it, and apply it to commercial ends is critical to its innovative capabilities. We label this capability a firm's absorptive capacity and suggest that it is largely a function of the firm's level of prior related knowledge. The discussion focuses first on the cognitive basis for an individual's absorptive capacity including, in particular, prior related knowledge and diversity of background. We then characterize the factors that influence absorptive capacity at the organizational level, how an organization's absorptive capacity differs from that of its individual members, and the role of diversity of expertise within an organization. We argue that the development of absorptive capacity, and, in turn, innovative performance are history- or path-dependent and argue how lack of investment in an area of expertise early on may foreclose the future development of a technical capability in that area. We formulate a model of firm investment in research and development (R&D), in which R&D contributes to a firm's absorptive capacity, and test predictions relating a firm's investment in R&D to the knowledge underlying technical change within an industry. Discussion focuses on the implications of absorptive capacity for the analysis of other related innovative activities, including basic research, the adoption and diffusion of innovations, and decisions to participate in cooperative R&D ventures. **

31,623 citations


"Structural Differentiation and Ambi..." refers background in this paper

  • ...Organizational integration mechanisms not only facilitate new value creation through linking previously unconnected knowledge sources (Cohen and Levinthal 1990), but also through providing opportunities to leverage common resources and obtaining synergies across exploratory and exploitative units…...

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TL;DR: The dynamic capabilities framework as mentioned in this paper analyzes the sources and methods of wealth creation and capture by private enterprise firms operating in environments of rapid technological change, and suggests that private wealth creation in regimes of rapid technology change depends in large measure on honing intemal technological, organizational, and managerial processes inside the firm.
Abstract: The dynamic capabilities framework analyzes the sources and methods of wealth creation and capture by private enterprise firms operating in environments of rapid technological change. The competitive advantage of firms is seen as resting on distinctive processes (ways of coordinating and combining), shaped by the firm's (specific) asset positions (such as the firm's portfolio of difftcult-to- trade knowledge assets and complementary assets), and the evolution path(s) it has aflopted or inherited. The importance of path dependencies is amplified where conditions of increasing retums exist. Whether and how a firm's competitive advantage is eroded depends on the stability of market demand, and the ease of replicability (expanding intemally) and imitatability (replication by competitors). If correct, the framework suggests that private wealth creation in regimes of rapid technological change depends in large measure on honing intemal technological, organizational, and managerial processes inside the firm. In short, identifying new opportunities and organizing effectively and efficiently to embrace them are generally more fundamental to private wealth creation than is strategizing, if by strategizing one means engaging in business conduct that keeps competitors off balance, raises rival's costs, and excludes new entrants. © 1997 by John Wiley & Sons, Ltd.

27,902 citations


"Structural Differentiation and Ambi..." refers background in this paper

  • ...…capabilities, which are embedded in the distinct ways that organizations integrate, build, and recombine competences flexibly across boundaries, are fundamental to long-term strategic advantage (Eisenhardt and Martin 2000, Henderson and Cockburn 1994, Kogut and Zander 1992, Teece et al. 1997)....

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TL;DR: In this article, structural equation models with latent variables are defined, critiqued, and illustrated, and an overall program for model evaluation is proposed based upon an interpretation of converging and diverging evidence.
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19,160 citations