Business Commons^™

The Chro Role In 2023: Findings From The Hr@Moore Survey Of Chief Human Resource Officers, Patrick M. Wright, Donald J. Schepker, Anthony J. Nyberg, Adam Steinbach, Marcia Avedon, Adam Bailey

Reports

The 2023 HR@Moore Survey of Chief Human Resource Ofcers (CHROs) gained responses from 171 CHROs, and this report focuses on the results regarding the CHRO Role. Using the updated Gartner “Model of a World Class CHRO” the CHRO participants indicated that the most critical and diferentiating roles they play in terms of driving business outcomes are the Board’s Leader of Human Capital, Driver of Culture and Purpose, Trusted Advisor and Coach, and Enterprise Change Leader. These roles stand in contrast to The Functional Business Leader role, which respondents largely considered table stakes or important but expected as opposed to critical …

Navigating The Political And Cultural Landscape: How Companies Decide When To Engage, Patrick M. Wright, Donald J. Schepker, Anthony J. Nyberg, Adam Steinbach, Marcia Avedon, Adam Bailey

Reports

Companies today increasingly feel pressured to take public positions on potentially divisive sociopolitical topics. Whether they choose to stay silent on these issues or weigh in, they face significant risk. The 2023 HR@Moore Survey of CHROs explored how companies typically go about making decisions in this arena, before focusing on how they responded to a specific issue – the Supreme Court’s recent Dobbs v. Jackson decision overturning Roe v. Wade regarding abortion rights in the U.S. The report shows that most companies have developed either formal or informal criteria to evaluate whether or not to take a public position on …

The Formal Institutional Context Of Informal Entrepreneurship: A Cross-National, Configurational-Based Perspective, Joshua K. Ault, Andrew Spicer

Faculty Publications

While previous comparative research has identified the formal institutional conditions that differentiate countries on their degree of informal entrepreneurship, this paper examines the characteristics that shape cross-national diversity in its type. Based on a series of fuzzy-set qualitative comparative analyses (fs/QCA) of 138 country cases, we find evidence of causal heterogeneity in the configuration of institutional conditions associated with entrepreneurial outcomes that are informal and growth-oriented and those that are informal and subsistence-oriented. Given our results, we propose that the formal institutional-based conditions that differentiate between types of informal sectors are best identified by the conjoint mixture of strength and …

Revisiting Institutional Voids: Advancing The International Business Literature By Leveraging Social Sciences, Marleen Dieleman, Stanislav Markus, Tazeeb Rajwani, George O. White Iii

Faculty Publications

Institutions are vital for solving collective action problems and enabling functioning markets. Based on this notion, the institutional voids literature has offered a dynamic research agenda for international business scholarship. In this perspective article, we leverage work from political science, development economics, legal studies, and anthropology to: (a) expose hidden assumptions about institutional voids in the management literature; (b) propose new directions for research based on our revised assumptions; and (c) provide direction-specific theoretical constructs from other social sciences to stimulate theory-building and empirical inquiry into institutional voids. We develop a framework that identifies four revised assumptions about institutional voids …

Populist Syndrome And Nonmarket Strategy, Daniel J. Blake, Stanislav Markus, Julio Martinez-Suarez

Faculty Publications

Although recognized as a defining feature of the current political era, populism and its implications for non-market strategy remain undertheorized. We offer a framework that (a) conceptualizes populism and its progression over time; (b) outlines the risks populism generates for firms; and (c) theorizes effective nonmarket strategies under populism. Our framework anchors the political risk profile of populism in three interdependent elements: anti-establishment ideology, de-institutionalization, and short-term policy bias. These elements jointly shape the policymaking dy-namics and institutional risks for firms under populism. Our analysis shows how firms can calibrate two nonmarket strategies – political ties and corporate social responsibility …

Unrestricted Factor Analysis: A Powerful Alternative To Confirmatory Factor Analysis, Jan-Benedict E.M. Steenkamp, Alberto Maydeu-Olivares

Faculty Publications

The gold standard for modeling multiple indicator measurement data is confirmatory factor analysis (CFA), which has many statistical advantages over traditional exploratory factor analysis (EFA). In most CFA applications, items are assumed to be pure indicators of the construct they intend to measure. However, despite our best efforts, this is often not the case. Cross-loadings incorrectly set to zero can only be expressed through the correlations between the factors, leading to biased factor correlations and to biased structural (regression) parameter estimates. This article introduces a third approach, which has emerged in the psychometric literature, viz., unrestricted factor analysis (UFA). UFA …

Long-Term Business Implications Of Russia’S War In Ukraine, Stanislav Markus

Faculty Publications

Following its invasion of Ukraine, Russia’s macroeconomic stability will worsen; foreign trade and Russia-bound investment will dry up; and human capital will become scarce. Russia will not fully compensate these losses with increased economic engagement with China, with particular deficiencies likely in high-tech areas for Russia. Import substitution is also unlikely to allow Russia to innovate its way out of economic isolation or escape the resource curse. As Kremlin-connected elites further dominate the impoverished economy, crony state capitalism and kleptocracy will rise. The global repercussions of Russia’s war will include commodity shocks and the attendant supply chain disruptions and inflationary …

The Current State Of Ceo Succession Planning Practices: Results Of The 2022 Hr@Moore Survey Of Chros, Donald J. Schepker, Patrick M. Wright, Adam Steinbach, Anthony J. Nyberg, Adam Bailey

Reports

The 2022 HR@Moore Survey of Chief Human Resource Officers (CHROs) received 106 CHRO respondents answering questions on a number of issues regarding the current state of CEO succession planning practices at the board, CEO, and CHRO level. CHROs report spending on average 11.3% of their time as a liaison to the boards of directors. Of the time spent with the board, CHROs report approximately 16.2% of the time is spent on CEO succession, while 12.8% of the time is spent on other C-suite executive succession planning. On average, this means that CHROs spend roughly 3.29% of their total time on …

Esg Trends: Results Of The 2022 Hr@Moore Survey Of Chros, Adam Steinbach, Donald J. Schepker, Anthony J. Nyberg, Patrick M. Wright

Reports

There has been incredible momentum in recent years for the expectation that major companies should be attentive to and deliver results on Environmental, Social, and Governance (ESG) issues. For their part, companies and their executive leadership teams (ELTs) seem responsive to these expectations, developing ESG strategies and devoting resources to making progress in these areas. Perhaps the most notable commitment along these lines came in 2019, when the Business Roundtable (BRT) issued a statement to “redefine the purpose of a corporation” to focus on all stakeholders rather than be predominantly centered on shareholders. Much of the conversation around corporations in …

Managing High Potentials And Executives: Results Of The 2022 Hr@Moore Survey Of Chief Human Resource Officers, Patrick M. Wright, Anthony J. Nyberg, Donald J. Schepker, Sam Strizver

Reports

Part of the 2022 HR@Moore Survey of Chief Human Resource Ofcers focused on the management of three pools of talent: high potentials, executives, and potential CEO successors. In terms of identifying high potentials, CHROs reported that the most important aspect is ensuring a diverse pool of talent. They also noted that providing access to senior executives serves as the most efective development tool for high potentials. CHROs also noted the importance of tracking retention of high potentials. In terms of executives, the survey asked a number of questions to understand turnover issues among executive-level talent. CHROs expressed a high priority …

The Chief Human Resources Officer Role: Results Of The 2022 Hr@Moore Survey Of Chros, Patrick M. Wright, Anthony J. Nyberg, Donald J. Schepker, Adam Steinbach, Adam Bailey

Reports

The 2022 HR@Moore Survey of Chief Human Resources Ofcers (CHROs) received responses from approximately 150 CHROs answering questions on a number of issues regarding the CHRO role. CHROs stand out as one of, if not the most diverse C-suite populations, as our respondents are 67% female and 14% nonwhite. While more racially diverse than most other C-suite roles, the latter number suggests this may still be an area of opportunity. CHROs have made very little changes in how they allocate their time to diferent CHRO roles over the past fve years, with them spending slightly more time leading the HR …

Leading Through Paradox In A Covid-19 World: Human Resources Comes Of Age, David G. Collings, Anthony J. Nyberg, Patrick M. Wright, John Mcmackin

Faculty Publications

The impact of the coronavirus disease (COVID-19) pandemic is unprecedented. At an organisational level, the crisis has been hugely disruptive, complex and fraught with ambiguity for leaders. The crisis is fundamentally a human one, making human resource (HR) leaders central in enabling organisations to manage through and ultimately exit the crisis successfully. We apply a paradox lens to understand the HR leadership challenges posed by the COVID-19 crisis. We argue that how the HR function responds to the challenges of the crisis and its role in mapping the exit route from the crisis are likely to shape the trajectory of …

Strategic Human Resource Management And Covid-19: Emerging Challenges And Research Opportunities, David G. Collings, John Mcmackin, Anthony Nyberg, Patrick M. Wright

Faculty Publications

No abstract provided.

Cyber Social Threats 2021: Ai, Covid-19 Vaccine, Detection And Countering Strategies, Ugur Kursuncu, Jeremy Blackburn, Yelena Mejova, Megan Squire, Amit Sheth

Publications

In recent years, online platforms have been utilized for promoting harmful content and behavior such as extremism, harassment, mis/disinformation, human trafficking, genderbased violence among others affecting our society, often leading to real-world events. Such content and behaviors are inherently complex, making the recognition of these narratives challenging for researchers as well as social media companies. The Cyber Social Threats (CySoc) Workshop 2021 aimed to facilitate a rich forum for researchers and practitioners from both academia and industry in the areas of computing and social science, to discuss novel avenues for research on interdisciplinary aspects of harmful communications on social media, …

Investors’ Reactions To Csr News In Family Versus Nonfamily Firms: A Study On Signal (In)Credibility, Naciye Sekerci, Jamil Jaballah, Marc Van Essen, Nadine Kammerlander

Faculty Publications

We study family firm status as an important condition in signaling theory; specifically, we propose that the market reacts more positively to positive, and more negatively to negative, CSR news (i.e., signals) from family firms than to similar news from nonfamily firms. Moreover, we propose that during recessions, the direction of these relationships reverses. Based on an event study of 1247 positive and negative changes in the CSR ratings for all firms listed on the French SFB120 stock market index (2003-2013), we find support for our hypotheses. Moreover, a post hoc analysis reveals that the relationships are contingent on whether …

Beverage Bottle Capacity, Packaging Efficiency, And The Potential For Plastic Waste Reduction, Rafael Becerril Arreola, R. E. Bucklin

Faculty Publications

Plastic pollution is a pressing issue because authorities struggle to contain and process the enormous amount of waste produced. We study the potential for reducing plastic waste by examining the efficiency with which different polyethylene terephthalate (PET) bottles deliver beverages. We find that 80% of the variation in bottle weight is explained by bottle capacity, 16% by product category, and 1% by brand. Bottle weight is quadratic and convex function of capacity, which implies that medium capacity bottles are most efficient at delivering consumable product. Local data on PET bottle sales and municipal waste recovery validate the findings. A 20% …

The Chief Diversity Equity And Inclusion Office: Results Of The 2021 Hr@Moore Survey Of Chros, Patrick M. Wright, Anthony J. Nyberg, Donald J. Schepker, Kenneth R. Carrig, Spenser Essman

Reports

In response to the racial unrest and increased focus on social justice, organizations increased their emphasis on diversity issues in 2020. To understand one way in which organizations responded to this focus, we explored how the Chief Diversity, Equity, and Inclusion Officer (CDO) role changed and the background characteristics of those in the role. The results indicate that the role increased in both internal and external visibility during this time, and that a large percentage of companies elevated the talent in the role. A majority of respondents indicated that the CDO role has become more influential and visible. In addition, …

Organizational Responses To Say-On-Pay Votes: Results Of The 2021 Hr@Moore Survey Of Chros, Donald J. Schepker, Patrick M. Wright, Anthony J. Nyberg, Sam Strizver

Reports

"Since the passage of the Dodd-Frank Act in 2010, US publicly traded companies subject to proxy rules must allow shareholders to submit an advisory vote on the compensation of their most highly compensated executives at least every three years (known as Say-on-Pay votes), and on how often shareholders would like to be presented with Say-on-Pay votes. Given the potential interplay between executive compensation and succession planning, as illustrated in recent Center for Executive Succession research that shows executive compensation and executive succession decisions appear to be related when it comes to the selection of internal CEO appointments, we sought to …

The Chro Role And Ceo Generativity: Results From The 2021 Hr@Moore Survey Of Chief Human Resource Officers, Patrick M. Wright, Anthony J. Nyberg, Donald J. Schepker, Sam Strizver

Reports

The 2021 HR@Moore Survey of CHROs examined a number of aspects of the CHRO role, ELT and Board climate, and CEO Generativity. Results showed that the COVID crisis may have resulted in CHROs spending more time as a Strategic Advisor. In addition, over time CHROs are spending less time with the board around executive compensation and more time on CEO and executive succession. In addition, many reported spending time with the board on DE&I issues. Finally, CHROs continue to come into their role as direct outside hires, and while more CFOs are internally promoted, relative to CHROs, the number of …

The Impact Of The 2020 Crises On Executive And Board Dynamics: Results Of The 2021 Hr@Moore Survey Of Chros, Patrick M. Wright, Donald J. Schepker, Anthony J. Nyberg, Sam Strizver

Reports

As part of the 2021 HR@Moore Survey of Chief Human Resource Officers (CHROs) we sought to identify how the COVID pandemic impacted CEO Succession Processes, Board member relationships, and aspects of the Executive Leadership Team (ELT). We compared our results on the same measures from 2019 (pre-pandemic/racial justice crises), 2020 (midst of the pandemic/racial justice crises) and 2021 (post crises). The results from both direct questions about the impact of COVID on CEO succession and measures of the effectiveness of the processes over time suggest that the pandemic had little effect on CEO succession processes, other than causing firms to …

The Chief Hr Officer Role: Results Of The 2020 Hr@Moore Survey Of Chief Human Resources Officers, Patrick M. Wright, Anthony J. Nyberg, Donald J. Schepker, Spenser Essman, Kenneth R. Carrig

Reports

The 2020 HR@Moore Survey of Chief Human Resources Officers (CHROs) was conducted during the COVID crisis, an unusual time for businesses. Because of this, fewer CHROs responded than usual (100), but still provided useful data for exploring the changing nature of the CHRO role. We explored the demographic composition of CHROs based on the past three years of survey data as well as our own gathering of data on S&P 500 companies. Regardless of the data set, women comprised the majority (approximately 60%) of these roles and these roles also were predominantly white (over 80%). Interestingly, black females had greater …

Virtual Board Meetings: Reverberations Resulting From Covid-19, Anthony J. Nyberg, Donald J. Schepker

Reports

The COVID-19 pandemic has driven boards to meeting virtually. Consequently, to better understand the challenges of virtual board meetings, we conducted semi-structured interviews with eight board members. These directors had an average of 14 years of board experience while serving on 27 boards of large, publicly traded, multinational organizations. The directors offered highly consistent responses. Interviews were supplemented with a survey administered to 22 directors that provided support for the core themes identified in the interviews.

Building The High-Performing Executive Leadership Team: Results Of The 2020 Hr@Moore Survey Of Chief Human Resources Officers, Patrick M. Wright, Donald J. Schepker, Anthony J. Nyberg, Spenser Essman, Kenneth R. Carrig

Reports

Over the past two years researchers in the Center for Executive Succession have conducted interviews with CEOs, former CEOs, board members, and CHROs regarding how they build their executive leadership teams (ELT) and accelerate those teams to become high-performing. In addition, the 2020 HR@Moore Survey of CHROs assessed a number of relevant characteristics of the CEO and the ELT. This report provides a summary of this multi-method research stream. First, the interviews reveal that CEOs must first build a team whose skill sets match the needs of the strategy and whose motivations prioritize the outcomes of the organization and the …

The Impact Of The Covid-19 Crisis On Executive Succession: Results Of The 2020 Hr@Moore Survey Of Chief Hr Officers, Patrick M. Wright, Donald J. Schepker, Anthony J. Nyberg, Spenser Essman

Reports

The COVID crisis impacted just about every aspect of how firms do business. We have explored through Zoom meetings and a survey of Chief HR Officers how the crisis has impacted a variety of components of executive succession. We find that the crisis caused many firms to develop business continuity plans separate from their ongoing and emergency succession plans. Going through this process may encourage firms to look more broadly and deeply into the people and roles in their ongoing succession processes. The crisis also revealed more positive than negative characteristics in their leaders. CHROs noted that the crisis has …

Building Diversity Into The Talent Pipeline For Senior Operating Roles: Results Of The 2020 Hr@Moore Survey Of Chief Hr Officers, Patrick M. Wright, Anthony J. Nyberg, Donald J. Schepker, Kenneth R. Carrig, Spenser Essman

Reports

Organizations seek to build diverse pipelines of talent comprised of individuals who can rise to attain senior operating roles (i.e., positions running large businesses within the corporation.) The 2020 HR@Moore Survey of Chief HR Officers sought to assess the level of diversity in terms of women and racial minorities in these pipelines, identify the obstacles to increasing the number of diverse candidates and strategies for successfully building diversity in these pipelines. Our results show a lack of diversity in these pipelines with 60% white males, 22% white females and no more than 5% in any other sex/race categories. CHROs primarily …

Combat And Trajectories Of Physical Health Functioning In Us Service Members, Ben Porter, George A. Bonanno, Paul D. Bliese, Christopher J. Philips, Susan P. Proctor

Faculty Publications

Introduction

Previous research has demonstrated that different forms of mental health trajectories can be observed in service members, and that these trajectories are related to combat. However, limited research has examined this phenomenon in relation to physical health. This study aims to determine how combat exposure relates to trajectories of physical health functioning in U.S. service members.

Methods

This study included 11,950 Millennium Cohort Study participants who had an index deployment between 2001 and 2005. Self-reported physical health functioning was obtained 5 times between 2001 and 2016 (analyzed in 2017), and latent growth mixture modeling was used to identify longitudinal …

Toward A Temporal Theory Of Faultlines And Subgroup Entrenchment, Alyson Meister, Sherry Thatcher, Jieun Park, Mark Maltarich

Faculty Publications

A wealth of scholarship shows that faultlines drive important outcomes for groups. However, despite mounting calls for incorporating time in the group literature, our understanding of faultlines is bound by assumptions that constrain our ability to incorporate the crucial role of time as it relates to faultlines and their effects. Drawing together guidance for exploring temporal phenomena, with the faultline and group literatures, we embark on an understanding of the temporal nature of faultlines. We distinguish faultlines from specific subgroup configurations by introducing the concept of subgroup entrenchment – the agreement among group members about the existence and composition of …

Building The Board: Result Of The 2019 Hr@Moore Survey Of Chief Human Resource Officers, Patrick M. Wright, Donald J. Schepker, Anthony J. Nyberg, Kenneth R. Carrig, Spenser Essman

Reports

The 2019 HR@Moore Survey of Chief HR Officers examined a number of aspects of the Board of Directors (BOD). This report describes the results of this survey. We find that 64% of the companies surveyed have an independent Chair of the board with the other 36% having the CEO also hold the Chair title. CHROs do not evaluate boards as being particularly effective regarding the major tasks entailed in CEO succession. We found that responsibility for CEO succession is most often housed with the board chair/ lead director (rather than a committee), both as an ongoing process and as the …

Managing Mergers And Acquisitions: Perspectives From Human Resources, Brian Burgess, Stefan Wuorinen, Patrick M. Wright

Reports

Mergers & acquisitions (M&A) are common means for businesses to increase the scale and scope of their operations. However, research and practice suggest that a large percentage of acquisitions fail to meet their financial targets (Haleblian, Devers, McNamara, Carpenter, & Davison, 2009). While our understanding of when acquisitions are likely to succeed has improved, the lack of insider information has left researchers and practitioners with little insight into how to effectively navigate the most challenging processes in mergers – namely, assuaging potential human efficiency losses as members of the acquired firm lose the brand, leadership, policies, and practices that they …

In Search Of The Perfect Leader: Selecting The Next Ceo, Patrick M. Wright

Reports

Knowing how to choose new people for a company is a challenge that is never finished. Strategies for finding and choosing talent are as diverse as the pool of people available; and approaches to the task range from the primeval ‘gut instinct’, to a battery of personality, reasoning (verbal and numerical), and structured evaluations. When that ‘job’ is the role of CEO in, say, a major Fortune 500 company, the stakes are immense. A square peg in a round hole can quickly break a company; an inspired leader, on the other hand, can breathe new life into a drifting business …