Resource dependence theory

About: Resource dependence theory is a research topic. Over the lifetime, 2732 publications have been published within this topic receiving 184871 citations.

Institutional Analyses of Organizations: Legitimate but not Institutionalized

Abstract: We review institutional theory to assess the direction of theory and research on institutional structures and processes. Our primary goal is to suggest an overall frame within which a coherent and interrelated body of theory and research might develop that would address institutional processes underlying stability and change of organizational structure. We select two theoretical threads, phenomenological and neo-functional approaches to organizations, and weave these in with rational choice to develop a coherent explanation of the conditions under which similar structures diffuse across organizations facing very different environments (or have very different structures when facing the same environment). We argue that resource dependence theory already provides a parsimonious explanation of why organizational structure becomes so similar across organizations facing similar environments; institutional theory has little to add to this scenario, except perhaps for a theory of organization-level ingratiation. Social does not imply non-rational, and socially-embedded does not mean unanalyzable. It is costly for each organization to de novo create its own structure, yet it also generally costly for an organization to adopt structure that is ill-suited to its main tasks and which may thus lower its performance. An efficient strategy for an organization, then, is to evaluate structures carefully by observing the effects of these structures in other organizations it deems similar, making an independent decision about whether or not to adopt those structures depending on assessment of the risk that adoption entails. There is a built-in bias toward stability of structure, since assessment is costly itself, leading to the often observed inertia of organizations. But at the same time, given renewal in the competition set, such a strategy may lead to organizational failure.

International Political Risk Management: Perspectives, Approaches and Emerging Agendas

Abstract: This paper reviews the extant and emerging perspectives on, and approaches to, political risk management, particularly in the context of foreign direct investment. The authors identify and classify the various theoretical lenses in the domain of political risk management, and suggest a future research agenda. The paper contributes by conceptually categorizing and mapping the extant research onto three approaches to the management of political risk. Through conducting a narrative literature review, the authors suggest three theoretical perspectives on political risk management: institutions; resources and capabilities; and resource dependence. They argue that the institutions approach to political risk management is reactive, responding to external stimuli, whereas the resources- and capabilities-based approach is proactive, preparing and acting in anticipation. The resource dependence domain offers an intermediate approach – the active management of political risk. The authors also suggest that the effectiveness of the domains’ approaches may vary across different national contexts.

Resource-efficient supply chains: a research framework, literature review and research agenda

Abstract: Purpose – The study aims to define a research agenda for creating resource-efficient supply chains (RESCs) by identifying and analysing their key characteristics as well as future research opportunities. Design/methodology/approach – We follow a systematic review method to analyse the literature and to understand RESC, taking a substantive theory approach. Our approach is grounded in a specific domain, the agri-food sector, because it is an intensive user of an extensive range of resources. Findings – The review shows that works of literature has looked at the use of resources primarily from the environmental impact perspective. There is a need to explore whether or not and how logistics/supply chain decisions will affect the overall configuration of future food supply chains in an era of resource scarcity and depletion and what the trade-offs will be. Research limitations/implications – The paper proposes an agenda for future research in the area of RESC. The framework proposed along with the key charact...

Institutional fields as linked arenas: Inter-field resource dependence, institutional work and institutional change

Abstract: Theories of institutional change have paid limited attention to the ways in which relations between institutional fields might facilitate or hinder institutional change. I introduce inter-field resource dependence as an important condition explaining institutional change between fields. Building on resource dependence theory, I conceptualize two dimensions of inter-field resource dependence: mutual dependence and power imbalance. I argue that these two dimensions have opposite effects on the likelihood of institutional change between fields. Mutual dependence between two fields increases the chances of institutional change by inducing actors in both the fields to work at creating new shared institutions in order to regulate their mutual dependence. Power imbalance between two fields decreases the chances of institutional change by inducing actors in the dominant field to work at maintaining existing institutions in order to preserve their power. Thus, different types of inter-field resource dependence motivate actors to undertake different forms of institutional work, which in turn shape the likelihood of institutional change between fields. Developing this core argument, I theorize that whether the institutional change occurring between two fields is radical or incremental is a function of the type of resource dependence linking the two fields; for example, when power imbalance is high, institutional change is unlikely but when it occurs it tends to be radical.

Political Advocacy by Nonprofit Organizations: A Strategic Management Explanation

Abstract: Nonprofit organizations serve as a voice for their constituent publics in the political arena, even though advocacy practices remain outside their core mission. Some nonprofits embrace their advocacy roles and engage in these activities frequently, while others choose to avoid these activities altogether. What organizational capacities enable nonprofits to pursue an advocacy agenda? Drawing on theoretical perspectives in organizational behavior, public management, and political science, we propose a strategic management explanation of nonprofit advocacy. Using survey data from nonprofit organizations in Michigan, we test an empirical model in which factors of organizational learning, structure, resource dependence, and resource competitiveness contribute to nonprofits' advocacy activities. Findings suggest that experience with collaborative networking, productive exchange relations with funding principals, representation of lobbying skills at the managerial level, dependence on government resources, and competition in the resource environment all shape nonprofits' advocacy practices in important ways. These findings have important implications for both theory and practice of nonprofit management.