Showing papers on "Resource dependence theory published in 1998"

A typology of the theories of the roles of governing boards

Abstract: he main focus of this paper is to analyzethe mainstream academic thoughts onthe roles of governing boards. Six majorroles are identified: linking, coordinating,control, strategic, maintenance and supportroles. These roles are consistent with, andat the same time reflecting one of themain arguments of six different schools ofthoughts: resource dependency theory, stake-holder theory, agency theory, stewardship theory,institutional theory and managerial hegemony.A classification of the relationship betweenthese theories and the six identified roles ismade by using a typological approach. Thetypological parameters used are extrinsic andintrinsic influences, the impact of externaland internal environments, as well as func-tional and behavioural approaches. Thetypology gives rise to the need of a newtheory on the roles and functions of govern-ing boards.

A Theoretical Exploration of the Adoption and Design of Flexible Benefit Plans: A Case of Human Resource Innovation

Abstract: In this article we explore theoretical explanations of managers' decisions about flexible benefit plans First, we examine the adoption and design of flexible benefit plans through four theoretic lenses: (1) institutional, (2) resource dependence, (3) agency, and (4) transaction cost We then integrate the relevant insights gained from these theories into a more complete model and derive propositions for future research Finally, we generalize the insights gained from exploring a specific innovation to broader questions surrounding decisions about other human resource innovations

Constitutions As Relational Contracts: Explaining Procedural Safeguards in Municipal Charters

Abstract: Theory: According to transaction resource theory, constitutions are relational contracts that facilitate long-term relationships. Transaction resource theory identifies 1) three types of risk in cooperation: coordination, division, and defection; 2) contextual factors, such as increasing population size and heterogeneity, that hinder the ability of the primary parties to mitigate these risks; and 3) the ability of third-party governance to facilitate cooperation. Procedural safeguards in a constitution create incentives -- albeit at a cost -- that mitigate the risks of third-party governance in the relationship between a governor and the governed. In that relationship, the three risks take the form of instability, unresponsiveness, and inefficiency. The theory draws upon collective choice theory, bargaining theory, and the economics of information. Hypothesis: As contextual constraints increase the three risks of governance, constitutions are more likely to contain safeguards crafted to mitigate them: allocations of authority across the branches of government, as in the veto, safeguard against instability; electoral rules, as in district versus at-large elections, safeguard against unresponsiveness; and provisions for direct democracy, as in initiatives, referenda and recalls, safeguard against inefficiency. Method: Factor analysis, logistic and multiple linear regression are applied to a sample of 145 municipal charters in 1970 for cities with populations of at least 25,000 in 1960. Results: Factor analysis discriminates among procedural safeguards in municipal charters consistent with their predicted purposes in mitigating the three risks. Regression analysis reveals the interdependence of the safeguards and their heightened likelihood under conditions where contextual factors heighten the risks. Significant contextual factors include constraints on municipal competition under state laws and increasing population size and income inequality.

A Strategic Choice–resource Dependence Analysis of Union Mergers in the British and Australian Broadcasting and Film Industries

Abstract: Since the late 1980s there has been a marked increase in the rate of union restructuring and merger in both Britain and Australia. This has been particularly prevalent in the film and broadcasting industries in both countries. This organizational change has largely been triggered by environmental turbulence which has altered the availability and control of resources required for organizational survival. Accepting the concept from strategic choice theory that trade unions are able to exercise a degree of choice over the way in which they manage and adapt to changes in their external and internal environments, the paper demonstrates how an integration of strategic choice and resource dependence perspectives can explain why organizations behave in different ways and, in particular, why trade union mergers in the film and broadcasting industries have occurred. Further, the perspective also explains why some trade unions chose not to merge. An integration of resource dependence theory with strategic choice theory explains why trade unions make particular strategic decisions. Conversely, strategic choice explains how organizations acquire resources and manage dependencies. The paper concludes by making the case for an integration of the two perspectives for future studies of organizational behaviour and change.

Bandwagon or Band-Aid? A Model of Nonprofit Incorporation by State:

Abstract: What accounts for the addition of new nonprofit organizations in different US states? Do new nonprofit organizations answer calls for help (Band-Aid) or calls for proposals (bandwagon) at their inception? Are nonprofit entrepreneurs pushed by the failures of government and the market or pulled by the legitimacy of the organizational form? This comparative research models the level of nonprofit incorporation in different US states given fragmented legal environments, variable organizational legitimacy, and different levels of social needs Drawing from institutional, resource dependence, population ecology, and social movement theories and using data from state legal codes, judicial decisions, the US census, the Bureau of Labor Statistics, and the Nonprofit Almanac, 1992-1993, we explore the environmental and interorganizational forces that influence the level of nonprofit incorporation by state

The impact of institutionalized resources, rules and practices on the performance of non-profit sport organizations

Abstract: The paper focuses on the external pressures and constraints which impinge upon the performance of non-profit sport organizations. Qualitative and quantitative data were collected from 20 Hellenic national sport organizations, which operate in a highly institutionalized context as they are regularly funded and controlled by the state agency for sport. The results demonstrate a restrictive resource dependence on the state, which is accompanied by a lack of performance inducements, poorly defined technical arrangements and state intervention in sport-related activities. The low performance of the sport organizations is explained in terms of the influence of the institutional processes on their internal organizational behaviour.

Identity and Resources

Abstract: The overall problem discussed in this article is that due to external resource dependence there is a problem for management to manifest an organisation’s identity. This is a particular problem for many voluntary organisations in Third World contexts receiving aid for societal development. The paper summarises a research which theoretically tries to contribute to the development of resource dependence theory by applying a new institutional perspective. Management and policies are adopted from a fragmented external resource environment rather than designed on the basis of overall identity and local context.

Local-to-Local Partnerships among Swedish Municipalities: Why and How Neighbours Join to Alleviate Resource Constraints

Abstract: Networks are important institutional features in local community affairs. They function as information centres and bargaining structures in politics. Through networks, local political actors can furthermore build a reputation which becomes an asset — sometimes even a form of veto power — in the decision-making process (Knoke 1990: 133, 138-9). Elected municipal leaders hold central positions vis-a-vis important local groups and organizations, and are at the hub of important inter-organizational relationships in the community. From this central institutional position, they engage in strategic activities to establish contacts with, and to create networks among, the important holders and/or claimants to resources deemed necessary to fulfil political objectives. Politicians must particularly strive to establish such relations with individual and collective resource holders over whom they have limited political leverage. Networking can thus be seen as a strategy of using contacts to gain influence over structural factors in the local government’s environment, first and foremost in order to alleviate the eternal problem of scarcity and resource dependence (Pierre 1994: 163f). Looking at networking as a strategic activity implies that there is a dubious relationship between networks, networking, and cooperation.

A Field Study of Control System 'Redesign': The Impact of Institutional Processes on Strategic Choice

Abstract: This paper studies the role of an organization's accounting control system (ACS) as part of an interrelated control "package", in which other control systems function either as substitutes or complements. Drawing on resource dependence and institutional theories, it argues that this control mix is not only contingent on the organization's technical environment but on its institutional environment. In addition, the paper draws on empirical evidence to demonstrate how the design of the "package" is actively shaped by the strategic choices of its dominant coalition. The empirics are based on a longitudinal field study of one large, public, teaching hospital in Australia, which underwent material changes in its governance structure, culture, and accounting control systems.

Determinants of Managerial Intensity in the Early Years of Organizations

Abstract: This paper examines how founding conditions shape subsequent organizational evolution— specifically, the proliferation of management and administrative jobs. Analyzing quantitative and qualitative information on a sample of young technology start-ups in California’s Silicon Valley, we examine the enduring imprint of two aspects of firms’ founding conditions: the employment blueprints espoused by founders in creating new enterprises; and the social capital that existed among key early members of the firm—their social composition and social relations. We find that the initial gender mix in start-ups and the blueprint espoused by the founder influence the extent of managerial intensity that develops over time. In particular, firms whose founders espoused a bureaucratic model from the outset subsequently grew more administratively intense than otherwise-similar companies, particularly companies whose founders had initially championed a “commitment” model. Also, firms with a higher representation of women within the first year subsequently were slower to bureaucratize than otherwise-similar firms with a predominance of males. Our analyses thus provide compelling evidence of path-dependence in the evolution of organizational structures and underscore the importance of the “logics of organizing” that founders bring to new enterprises. Implications of these results for organizational theory and research are discussed.

La Configuration Stratégique de l’entreprise mixte: pour la distinction public vs privé au plan organisationnel

Abstract: The present document attempts to provide a global understanding of the ways in which the mixed corporation differs from public and private firms. Its main objectives are to: 1) identify how organizational theory specialists distinguish mixed firms from those which are purely public or private; 2) redefine the lines of thought which can serve to classify public, mixed and private firms from an organizational perspective; 3) formulate research proposals related to the functioning and survival of mixed firms operating alongside public and private firms. This document aims to constitute a synthesis of the ideas and empirical knowledge already acquired about the nature and functioning of mixed firms, in order to identify the means by which this type of firm can become specific and distinct from public and private firms as an object of study. Specifically, our review of the literature is intended to lead to the development of an organizational approach which will distinguish between public, mixed and private enterprises. We undertake the integration of hybrid, resource dependence, strategic choice, organizational ecology and institutionalism theories in order to develop criteria of distinction between the public, mixed and private categories, as well as between sub-categories of mixed firms, so as to arrive at a strategic configuration perspective of the organization. Use of the model is illustrated by examples taken from observation of a number of mixed Western European and Canadian firms. Research proposals on the distinctive character and variety of mixed firms are also outlined in view of future empirical verification.

Understanding and managing physician restructuring through organizational theory

Abstract: Physician restructuring is occurring rapidly as physicians are readily leaving solo practice and joining group practices, including multi-specialty group practices. Organizational theory provides a framework for the rationale and management of physician restructuring in this environment of managed care. Through studying Open Systems Theory, Population Ecology and Strategic Adaptation Models, Institutional Theory, Resource Dependency Theory, Group Theory, Exchange Theory, and Transaction Costs Economics, one can better understand the environment, and operational and management issues which surround physician group restructuring.

Measures of Effectiveness: The Impact of External & Organizational Beliefs, Values, and Interests

Abstract: Organizations usually consist of multiple internal constituencies and are dependent on numerous external constituencies. Each constituency tries to produce, promote and institutionalize measures of effectiveness that conform to its values and beliefs, and also meet its interests. The measures of effectiveness that are accepted and institutionalized in the organization reflect most closely the values, beliefs and interests of a dominant coalition, which consists of representatives from powerful internal and external constituencies. The study described examined the complex relationship among the values, beliefs and interests and the measures of effectiveness used in hospitals in a province in Canada. It reaffirms the notion that measures of effectiveness are outcomes of a process of negotiation among various internal and external constituencies of an organization, and that the measures reflect the values and beliefs of the dominant coalition and serve its interests. The results indicate the need to integrate the arguments of resource dependence and institutional theories in order to provide a more comprehensive explanation of organizational actions, and suggest that there is a need for more research to examine processes of institutionalization and deinstitutionalization in organizations.