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Structural Differentiation and Ambidexterity: The Mediating Role of Integration Mechanisms
05 Nov 2008-ERIM report series research in management Erasmus Research Institute of Management (Erasmus Research Institute of Management)-
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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01 Jan 2017
TL;DR: This chapter discusses how the flexible matrix structure developed in Chap.
Abstract: This chapter discusses how the flexible matrix structure developed in Chap. 6 (with two modes of decision-making) can support building a more ambidextrous organization. Ambidexterity means winning simultaneously, in the short run through more efficient exploitation and in the long run through exploration and adaptation to a changing competitive environment. The existing literature on ambidexterity tends to address the subject at the business unit level or lower. In this chapter we discuss how ambidexterity might also be developed at the macro level of large, complex organizations like MNCs by using a flexible matrix structure.
1 citations
27 Nov 2019
TL;DR: In this article, the authors investigated the relationship between strategic orientation and organizational ambidexterity practices of mobile communication firms in Port Harcourt and found that strategic orientation has significant relationship with organisational ambideXterity.
Abstract: The purpose of the study was to investigate the relationship between strategic orientation and organizational ambidexterity practices of mobile communication firms in Port Harcourt. One research question was asked deemed very important and one hypothesis was also tested. A sample size of 112 was used from a population of 162 employees which consisted of 4 top level managers, 37 middle level managers and 121 supervisors in the regional offices of four mobile communication firms in Port Harcourt. A cross-sectional survey technique was adopted, questionnaire distributed and data generated were analyzed using Pearson Product Moment Correlation Coefficient. Result revealed that strategic orientation has significant relationship with organisational ambidexterity. It was therefore recommended that strategic orientation of the firms should be predicted on the dynamics of market competitiveness and the environment to effectively influence organizational ambidexterity.
1 citations
Cites background from "Structural Differentiation and Ambi..."
...…institutional arrangement, but refers to “the routines and processes by which ambidextrous institutions assemble, harmonise and combine spread conflicting hard work, assign, reassign, join, and re-join resources and assets across separated exploratory and exploitative units” (Jansen et al., 2009a)....
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...As a consequence, ambidexterity is a dynamic capability of an institution that enables them to incessantly transfer their management of exploitation and exploration functions over time, depending on the short and long term market needs (Jansen et al., 2009a; O'Reilly & Tushman, 2008)....
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...General results on structural ambidexterity has demonstrated that it consists of autonomous units for investigation and exploration with the leadership that could manage the emotional stress connected with realising possible adjustments, Jansen et al. (2009a)....
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DOI•
01 Oct 2019TL;DR: In this paper, an agent-based modeling approach was used to assess the performance of an ambidextrous bank using AnyLogic software environment, and the simulation model was processed using the agent based modeling approach in anyLogic environment.
Abstract: Banks are the financial institutions that collect assets from various sources and allocate them to the sectors that require liquidity. Therefore, banks are an inherent element in the system of every country. As private banks enter financial markets, the demand for diverse banking services increases dramatically. Banks seek to use various techniques to improve their performance in attracting customers to increase their market share and profitability. In this regard, assessing the performance of banks is of utmost importance and has become a major activity of bank managers. With the constant changes in the modern world and incessant attempts of competitors to increase their market share by gaining competitive advantage, special attention should be paid to ambidexterity as a key strategy to increase competitive advantage and achieve high performance in dynamic business environments. The present study aimed to identify the ambidextrous factors affecting the performance of banks and present a model to assess the performance of an ambidextrous bank using an agent-based modeling approach. The main objective of the research is to achieve an applied model for managing the performance of the banking industry. The simulation model is processed using the agent-based modeling approach in AnyLogic software environment.
1 citations
Cites background from "Structural Differentiation and Ambi..."
...Ambidexterity Investing on Setting Up a New Branch Physical features Structuring[31,32]...
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...exploration Investing on New Products New services Connecting[31,32]...
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TL;DR: In this article, the authors uncovered the question of how to realize organizational ambidexterity from the perspective of structure and context, which is referred to as Structural AmbideXterity.
Abstract: Existing research has uncovered the question of how to realize organizational ambidexterity from the perspective of structure and context. Structural ambidexterity refers to dividing the organization system into multiple subsystems, each subsystem implements specific exploration and exploitation activities according to the external environment needs. The context perspective holds that achieving organizational ambidexterity depends on creating such a high performance context within the firm as discipline, stretch, support, and trust.
1 citations
Posted Content•
01 Jan 2015
TL;DR: In this article, a systematic review is conducted to identify the antecedents of knowledge seeking and offer, and then the review is structured according to its relevance in the knowledge adoption process.
Abstract: Vast research is dedicated to enable companies to exploit existing knowledge to optimize processes as well as to explore new ways to conduct business. In other words how to achieve organisational ambidexterity. Previous research focuses mainly on ambidexterity at organisational or business unit level. Only few papers provide answers for academics or practitioners, what specific individual activities have to be pursuit for ambidexterity. The aim of the paper is to mitigate this research gap by screening research on organisational ambidexterity and filter out findings concerning individual ambidexterity. Applying a systematic review approach, the paper reviews academic literature and identifies knowledge seeking and knowledge offer as the core activities of individual ambidexterity. Building on this, a review is conducted to identify the antecedents of knowledge seeking and offer. Finally, the antecedents are structured according to its relevance in the knowledge adoption process. Thus, the paper contributes to research by providing a state of the art, conceptual base for further investigations into the individual ambidexterity topic.
1 citations
Cites background from "Structural Differentiation and Ambi..."
...The understanding of how to achieve ambidexterity differs significantly between the different research streams of ambidexterity: contextual ambidexterity (e.g. Gibson and Birkinshaw, 2004) and structural ambidexterity (e.g. Jansen et al., 2009)....
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References
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TL;DR: This article seeks to make theorists and researchers aware of the importance of not using the terms moderator and mediator interchangeably by carefully elaborating the many ways in which moderators and mediators differ, and delineates the conceptual and strategic implications of making use of such distinctions with regard to a wide range of phenomena.
Abstract: In this article, we attempt to distinguish between the properties of moderator and mediator variables at a number of levels. First, we seek to make theorists and researchers aware of the importance of not using the terms moderator and mediator interchangeably by carefully elaborating, both conceptually and strategically, the many ways in which moderators and mediators differ. We then go beyond this largely pedagogical function and delineate the conceptual and strategic implications of making use of such distinctions with regard to a wide range of phenomena, including control and stress, attitudes, and personality traits. We also provide a specific compendium of analytic procedures appropriate for making the most effective use of the moderator and mediator distinction, both separately and in terms of a broader causal system that includes both moderators and mediators.
80,095 citations
"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.
Abstract: Criteria for evaluating structural equation models with latent variables are defined, critiqued, and illustrated. An overall program for model evaluation is proposed based upon an interpretation of converging and diverging evidence. Model assessment is considered to be a complex process mixing statistical criteria with philosophical, historical, and theoretical elements. Inevitably the process entails some attempt at a reconcilation between so-called objective and subjective norms.
19,160 citations