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Rethinking Governance In Management Research: From The Editors, Laszlo Tihanyi, Scott Graffin, Gerard George Dec 2014

Rethinking Governance In Management Research: From The Editors, Laszlo Tihanyi, Scott Graffin, Gerard George

Research Collection Lee Kong Chian School Of Business

In the field of management, the study of governance has primarily dealt with decision-making by boards of directors, chief executives, and senior managers. The corporate governance literature has generated important insights regarding incentive alignment, risk taking, and coordination challenges. Emerging trends, highlighted in this issue, raise new questions regarding managerial roles, organizational contexts, internal and social processes, and changes in governance over time. We encourage management scholars to rethink their approach to governance research by considering stakeholder engagement, the implications of big data, social impact, global dimensions, and comparative analysis of governance. A broadened conceptualization of governance may also deal …


Substitutes Or Complements? A Configurational Examination Of Corporate Governance Mechanisms, Vilmos Misangyi, Abhijith G. Acharya Dec 2014

Substitutes Or Complements? A Configurational Examination Of Corporate Governance Mechanisms, Vilmos Misangyi, Abhijith G. Acharya

Research Collection Lee Kong Chian School Of Business

We conduct an exploratory qualitative comparative case analysis of the S&P 1500 firms with the aim of elaborating theory on how corporate governance mechanisms work together effectively. To do so, we integrate extant theory and research to specify the bundle of mechanisms that operate to mitigate the agency problem among publicly traded corporations and review what previous research has said about how these mechanisms combine. We then use the fuzzy-set approach to qualitative comparitive analysis (QCA) to explore the combinations of governance mechanisms that exist among the S&P 1500 firms that achieve high (and not-high) profitability. Our findings suggest that …


Cash Is Suprisingly Valuable As A Strategic Asset, Changhyun Kim, Richard A. Bettis Dec 2014

Cash Is Suprisingly Valuable As A Strategic Asset, Changhyun Kim, Richard A. Bettis

Research Collection Lee Kong Chian School Of Business

Academics, politicians, and journalists are often highly critical of U.S. firms for holding too much cash. Cash holdings are stockpiled free-cash flow and incur substantial opportunity costs from the perspectives of economics. However, behavioral theory highlights the benefits of cash holdings as fungible slack resources facilitating adaptive advantages. We use the countervailing forces embodied in these two theories to hypothesize and test a quadratic functional relationship of returns to cash measured by Tobin's q. We also build and test a related novel hypothesis of scale-dependent returns to cash based on the competitive strategy concept of strategic deterrence. Tests for both …


Efficacy Of R&D Work In Offshore Captive Centers: An Empirical Study Of Task Characteristics, Coordination Mechanisms, And Performance, Deepa Mani, Kannan Srikanth, Anandhi Bharadwaj Dec 2014

Efficacy Of R&D Work In Offshore Captive Centers: An Empirical Study Of Task Characteristics, Coordination Mechanisms, And Performance, Deepa Mani, Kannan Srikanth, Anandhi Bharadwaj

Research Collection Lee Kong Chian School Of Business

Seizing the latest technological advances in distributed work, an increasing number of firms have set up offshore captive centers (CCs) in emerging economies to carry out sophisticated R&D work. We analyse survey data from 132 R&D CCs established by foreign multinational companies in India to understand how firms execute distributed innovative work. Specifically, we examine the performance outcomes of projects using different technology-enabled coordination strategies to manage their interdependencies across multiple locations. We find that modularization of work across locations is largely ineffective when the underlying tasks are less routinized, less analyzable, and less familiar to the CC. Coordination based …


How Firms Respond To Financial Restatement: Ceo Successors And External Reactions, David Gomulya, Warren Boeker Dec 2014

How Firms Respond To Financial Restatement: Ceo Successors And External Reactions, David Gomulya, Warren Boeker

Research Collection Lee Kong Chian School Of Business

Although past studies have paid considerable attention to firms' reputations, few have investigated the actions that firms take following a reputation-damaging event. We identify firms involved in financial earnings restatements and examine whether naming a successor CEO with specific qualities serves to signal the seriousness of a firm's efforts to restore its reputation. Using theories of market signaling, we argue that attributes of successor CEOs significantly influence the reactions of key external constituencies. In particular, firms with more severe restatement tend to name successors who have prior CEO or turnaround experience and a more elite education. The naming of such …


The Role Of Operations Executives In Strategy Making, Lieven Demeester, Arnoud De Meyer, Jovan Grahovac Nov 2014

The Role Of Operations Executives In Strategy Making, Lieven Demeester, Arnoud De Meyer, Jovan Grahovac

Research Collection Lee Kong Chian School Of Business

Creating competitive advantage based on operations capabilities is likely to require much analysis and communication within the operations function. At the same time, much communication and joint strategizing with the top and other functional executives is likely to be needed as well. Hence, given that operations executives have limited time and also have to perform many other routine tasks, they need to manage two tradeoffs. The first one is between the time spent on strategy making and the time spent on everything else. The other is within strategy making, between the time spent on "functional deliberation" within the operations function …


Kinship In Entrepreneur Networks: Performance Effects Of Resource Assembly In Africa, Jane N. O. Khayesi, Gerard George, John Antonakis Nov 2014

Kinship In Entrepreneur Networks: Performance Effects Of Resource Assembly In Africa, Jane N. O. Khayesi, Gerard George, John Antonakis

Research Collection Lee Kong Chian School Of Business

We examine the relationship among structural social capital, resource assembly, and firm performance of entrepreneurs in Africa. We posit that social capital primarily composed of kinship or family ties helps the entrepreneur to raise resources, but it does so at a cost. Using data drawn from small firms in Kampala, Uganda, we explore how shared identity among the entrepreneur's social network moderates the relationship between social capital and outcomes. A large network contributed a higher quantity of resources raised, but at a higher cost when shared identity was high. We discuss the implications of these findings for the role of …


Rethinking Cross-Border Talent Management: The Emerging Markets Perspective, Tejpavan Gandhok, Richard Raymond Smith Nov 2014

Rethinking Cross-Border Talent Management: The Emerging Markets Perspective, Tejpavan Gandhok, Richard Raymond Smith

Research Collection Lee Kong Chian School Of Business

A closer look at the relatively little understood issue of how and why emerging market MNCs manage their senior talent for international growth leads us to question the conventional wisdom on talent management practices.


Organizations With Purpose: From The Editors, Elaine Hollensbe, Charles Wookey, Loughlin Hickey, Gerard George, Vincent Nichols Oct 2014

Organizations With Purpose: From The Editors, Elaine Hollensbe, Charles Wookey, Loughlin Hickey, Gerard George, Vincent Nichols

Research Collection Lee Kong Chian School Of Business

Trust in business is improving from its nadir in 2009, but still remains dishearteningly low. Recent surveys report that only one in four members of the general public trusts business leaders to correct issues, and only one in five trusts them to tell the truth and make ethical and moral decisions. The 2014 Edelman Trust Barometer, a 27-country survey with more than 33,000 respondents, finds that overall trust declined across countries and sectors, with CEOs ranking second lowest at 43% and government officials the lowest at 36% as credible spokespeople to win public trust (Edelman Berland, 2014). This public distrust …


Firm Litigation Risk And The Insurance Value Of Corporate Social Performance, Ping-Sheng Koh, Cuili Qian, Heli Wang Oct 2014

Firm Litigation Risk And The Insurance Value Of Corporate Social Performance, Ping-Sheng Koh, Cuili Qian, Heli Wang

Research Collection Lee Kong Chian School Of Business

This paper advances the risk management perspective that superior social performance enhances firm value by serving as an ex ante valuable insurance mechanism. We posit that good social performance is more valuable as an insurance mechanism for firms with higher litigation risks. Moreover, value generation of corporate social performance (CSP) depends on whether a firm has gained pragmatic legitimacy (i.e., a firm's financial health) and moral legitimacy (i.e., whether or not a firm operates in a socially contested industry) among its stakeholders. We find that the value of CSP as insurance against litigation risk is practically significant, adding 2 to …


Outward Foreign Direct Investment By Emerging Market Firms: A Resource Dependence Logic, Jun Xia, Xufei Ma, Jane W. Lu, Daphne W. Yiu Sep 2014

Outward Foreign Direct Investment By Emerging Market Firms: A Resource Dependence Logic, Jun Xia, Xufei Ma, Jane W. Lu, Daphne W. Yiu

Research Collection Lee Kong Chian School Of Business

This study examines and extends the resource dependence logic of diversification for a better understanding of outward foreign direct investment (OFDI) activities by emerging market firms. We contend that the diversification logic is bounded by state ownership, an important but less considered component of interdependence. Our empirical results, based on panel data analysis of Chinese listed firms, suggest that the level of interdependence between Chinese and foreign firms in China in multiple forms, including symbiotic, competitive, and partner interdependencies, is positively associated with the level of the Chinese firms' OFDI activities. However, Chinese firms with higher levels of state ownership …


Dueling Institutional Logics And The Effect On Strategic Entrepreneurship In Chinese Business Groups, Daphne W. Yiu, Robert E. Hoskisson, Garry D. Bruton, Yuan Lu Sep 2014

Dueling Institutional Logics And The Effect On Strategic Entrepreneurship In Chinese Business Groups, Daphne W. Yiu, Robert E. Hoskisson, Garry D. Bruton, Yuan Lu

Research Collection Lee Kong Chian School Of Business

Focusing on a period of institutional friction when institutions are in transition, this study examines the dueling institutional logics that simultaneously operated as business groups were implemented to foster strategic entrepreneurship activities in China. Our findings from 1,095 Chinese business group-affiliated firms show that the original institutional logic of state control and ownership remains a potent factor, while the new institutional logic in support of strategic entrepreneurship takes place through business groups' informal and formal organization controls. Further, the state logic causes rigidity and inflexibility for firms to react to the new institutional demands, thus weakening the positive effects of …


Mobility, Retention And Productivity Of Genomics Scientists In The United States, Kenneth Guang-Lih Huang, Gokhan Ertug Sep 2014

Mobility, Retention And Productivity Of Genomics Scientists In The United States, Kenneth Guang-Lih Huang, Gokhan Ertug

Research Collection Lee Kong Chian School Of Business

Scientific and technological innovations by highly skilled scientists and inventors are critical to the long-term economic health of the United States. These scientists enable the creation and flow of scientific research and technologies from public institutions such as universities to private firms and vice versa by forming vital linkages between them. The exchange of new ideas and the commercialization of promising scientific and technological innovations have resulted in the formation of new high-technology startups, growth opportunities within entrepreneurial and established science-based firms, and jobs creation. These form the backbone of the scientific innovation ecosystem in the United States. A potential …


Coordinated Exploration: Organizing Joint Search By Multiple Specialists To Overcome Mutual Confusion And Joint Myopia, Thorbjørn Knudsen, Kannan Srikanth Sep 2014

Coordinated Exploration: Organizing Joint Search By Multiple Specialists To Overcome Mutual Confusion And Joint Myopia, Thorbjørn Knudsen, Kannan Srikanth

Research Collection Lee Kong Chian School Of Business

In this paper, we use an agent-based simulation model to investigate how coordinated exploration by multiple specialists, as in new product development, is different from individual search. We find that coordinated exploration is subject to two pathologies not present in unitary search: mutual confusion and joint myopia. In joint search, feedback to one agent’s actions is confounded by the actions of the other agent. Search therefore leads to increasing mutual confusion because agents are unable to learn from feedback to correct their faulty mental models of the search space. Incorrect beliefs held by one agent lead to mistakes, and because …


Aging Populations And Management: From The Editors, Carol T. Kulik, Susan Ryan, Sarah Harper, Gerard George Aug 2014

Aging Populations And Management: From The Editors, Carol T. Kulik, Susan Ryan, Sarah Harper, Gerard George

Research Collection Lee Kong Chian School Of Business

The human population is aging at a rate “without parallel in the history of humanity” (United Nations, Department of Economic and Social Affairs, Population Division, 2001: xxviii). The aging of the world population is driven by two trends. First, there has been a dramatic increase in life expectancy. In the United Kingdom, for example, 10 million people are over 65 years old (roughly, 1 in 6 individuals). The latest projections are for 5½ million more elderly people in 20 years' time, and the number will have nearly doubled to around 19 million (roughly, 1 in 4 individuals) by 2050 (Cracknell, …


A Template For Invention: Renewing & Recycling Knowledge Components, Tufool Alnuaimi, Gerard George, Simon J.D. Schillebeeckx Aug 2014

A Template For Invention: Renewing & Recycling Knowledge Components, Tufool Alnuaimi, Gerard George, Simon J.D. Schillebeeckx

Research Collection Lee Kong Chian School Of Business

We explore how old technologies can be recombined to generate new inventions. We consider four ways by which old technologies can serve as templates: subtraction, reconfiguration, addition, and replacement. Subtraction and reconfiguration do not require changing a prior combination of components, whereas for the latter two, new components are introduced. We test these ideas using patent data from the US semiconductor industry. The study’s findings suggest that re-using previous combinations results in higher impact. However, not all prior technologies are equally useful; inventions that recombine components from recently developed technologies were found to have a higher impact. We also show …


Nurturing High Performance Teams, Richard Raymond Smith Jul 2014

Nurturing High Performance Teams, Richard Raymond Smith

Research Collection Lee Kong Chian School Of Business

HR can play a more proactive and critical role in identifying high performance teams, and help accelerate their growth through specific actions.


Firm As A Coordination System: Evidence From Offshore Software Services, Kannan Srikanth, Phanish Puranam Jul 2014

Firm As A Coordination System: Evidence From Offshore Software Services, Kannan Srikanth, Phanish Puranam

Research Collection Lee Kong Chian School Of Business

To examine what, if any, are the differences in how activities are coordinated within versus between firms, we conducted interviews with 32 project managers regarding 60 projects in the offshore software services industry. Uniquely, our projects were sampled along two dimensions: (1) colocation versus spatial distribution and (2) delivery by groups of individuals from a single firm versus from multiple firms. Our evidence suggests that in colocated projects, the same broad categories of coordination mechanisms are used both within and between firms. However, there is a qualitative difference in how geographically (i.e., spatially) distributed projects are coordinated within versus between …


Are Public-Private Partnerships A Healthy Option? A Systematic Review., Jens K. Roehrich, Michael A. Lewis, Gerard George Jul 2014

Are Public-Private Partnerships A Healthy Option? A Systematic Review., Jens K. Roehrich, Michael A. Lewis, Gerard George

Research Collection Lee Kong Chian School Of Business

Governments around the world, but especially in Europe, have increasingly used private sector involvement in developing, financing and providing public health infrastructure and service delivery through public–private partnerships (PPPs). Reasons for this uptake are manifold ranging from rising expenditures for refurbishing, maintaining and operating public assets, and increasing constraints on government budgets stifle, seeking innovation through private sector acumen and aiming for better risk management. Although PPPs have attracted practitioner and academic interest over the last two decades, there has been no attempt to integrate the general and health management literature to provide a holistic view of PPPs in healthcare …


Climate Change And Management: From The Editors, Jennifer Howard-Grenville, Simon J. Buckle, Brian J. Hoskins, Gerard George Jun 2014

Climate Change And Management: From The Editors, Jennifer Howard-Grenville, Simon J. Buckle, Brian J. Hoskins, Gerard George

Research Collection Lee Kong Chian School Of Business

Climate change is one of the greatest challenges we confront in the 21st century. On current trends, by the end of the century, the warming effect of our greenhouse gas emissions will have taken us far away from pre-industrial climatic conditions. In fact, our climate will be as different from pre-industrial conditions as it was when the Earth emerged from the last ice age some 20,000 years ago. In other words, just over 200 years of human and industrial activity will have wrought fundamental change to our climate system. The rise of organizations and industrialized production has set us on …


Agile Business Model Innovation, Adam J. Bock, Gerard George Jun 2014

Agile Business Model Innovation, Adam J. Bock, Gerard George

Research Collection Lee Kong Chian School Of Business

Business model innovation (BMI) is risky, but when companies do it with agility, they thrive. This article looks at how Return Path, the global leader in email marketing, met the challenge of applying BMI successfully. The authors interviewed up to 700 CEOs to better understand BMI drivers.


An Oreo With Chinese Characteristics, Srinivas K. Reddy May 2014

An Oreo With Chinese Characteristics, Srinivas K. Reddy

Research Collection Lee Kong Chian School Of Business

In late 2005, Shawn Warren, head of biscuits, Asia Pacific for Kraft, was in desperate need of a quick turnaround strategy. Oreo, after nearly 10 years in the China market was facing the imminent disaster of being completely pulled from the shelves. Local retail channels, along with company headquarters near Chicago, had finally grown impatient of the iconic product's lacklustre sales. When Warren described the turnaround in March 2012, he said, "The first step to solving a problem is to admit you have one. We are committed to have this brand and put resources behind it."


Friends And Foes: The Dynamics Of Dual Social Structures, Maxim Sytch, Adam Tatarynowicz Apr 2014

Friends And Foes: The Dynamics Of Dual Social Structures, Maxim Sytch, Adam Tatarynowicz

Research Collection Lee Kong Chian School Of Business

This paper investigates the evolutionary dynamics of a dual social structure encompassing collaboration and conflict among corporate actors. We apply and advance structural balance theory to examine the formation of balanced and unbalanced dyadic and triadic structures, and to explore how these dynamics aggregate to shape the emergence of a global network. Our findings are threefold. First, we find that existing collaborative or conflictual relationships between two companies engender future relationships of the same type, but crowd out relationships of the different type. This results in (a) an increased likelihood of the formation of balanced (uniplex) relationships that combine multiple …


Big Data And Management: From The Editors, Gerard George, Martine R. Haas, Alex Pentland Apr 2014

Big Data And Management: From The Editors, Gerard George, Martine R. Haas, Alex Pentland

Research Collection Lee Kong Chian School Of Business

Big data is everywhere. In recent years, there has been an increasing emphasis on big data, business analytics, and "smart" living and work environments. Though these conversations are predominantly practice driven, organizations are exploring how large-volume data can usefully be deployed to create and capture value for individuals, businesses, communities, and governments (McKinsey Global Institute, 2011). Whether it is machine learning and web analytics to predict individual action, consumer choice, search behavior, traffic patterns, or disease outbreaks, big data is fast becoming a tool that not only analyzes patterns, but can also provide the predictive likelihood of an event.


Sentimental Drivers Of Social Entrepreneurship: A Study Of China's Guangcai (Glorious) Program, Daphne W. Yiu, William P. Wan, Frank W. Ng, Xing Chen, Jun Su Mar 2014

Sentimental Drivers Of Social Entrepreneurship: A Study Of China's Guangcai (Glorious) Program, Daphne W. Yiu, William P. Wan, Frank W. Ng, Xing Chen, Jun Su

Research Collection Lee Kong Chian School Of Business

Social entrepreneurship plays an important role in local development in emerging economies, but scholars have paid little attention to this emerging phenomenon. Under the theory of moral sentiments, we posit that some entrepreneurs are altruistically motivated to promote a morally effective economic system by engaging in social entrepreneurial activities. Focusing on China's Guangcai (Glorious) Program, a social entrepreneurship program initiated by China's private entrepreneurs to combat poverty and contribute to regional development, we find that private entrepreneurs are motivated to participate in such programs if they have more past distressing experiences, including limited educational opportunities, unemployment experience, rural poverty experience, …


The Power Of The Weak, Martin Gargiulo, Gokhan Ertug Feb 2014

The Power Of The Weak, Martin Gargiulo, Gokhan Ertug

Research Collection Lee Kong Chian School Of Business

Weak organizational actors can overcome the consequences of their dependence by securing the control of valuable resources or by embedding dependence relationships into social networks. While these strategies may not eliminate the underlying dependence, they can curtail the ability or the willingness of the stronger party to use power. Embedding strategies, however, can also have unintended consequences. Because the network structures that confer power to the weak are inherently more stable, they can persist beyond the point of being beneficial, trapping weak actors into unsuitable network structures. The power of the weak can thus become the weakness of the strong.


Exploring The Locus Of Invention: The Dynamics Of Network Communities And Firms' Invention Productivity, Maxim Sytch, Adam Tatarynowicz Feb 2014

Exploring The Locus Of Invention: The Dynamics Of Network Communities And Firms' Invention Productivity, Maxim Sytch, Adam Tatarynowicz

Research Collection Lee Kong Chian School Of Business

Departing from prior research analyzing the implications of social structure for actors' outcomes by applying either an ego network or a global network perspective, this study examines the implications of network communities for the invention productivity of firms. Network communities represent dense and nonoverlapping structural groups of actors in a social system. A network community lens helps identify new ways to study firms' access to diverse knowledge inputs in a dynamic system of interorganizational relationships. Specifically, we examine how the membership dynamics of a network community affect the invention productivity of member firms by either enabling or constraining access to …


Rethinking Management Scholarship: From The Editors, Gerard George Feb 2014

Rethinking Management Scholarship: From The Editors, Gerard George

Research Collection Lee Kong Chian School Of Business

Rethinking management scholarship is perhaps a tad bit bold as an opening statement for the 20th editorial team of the Academy of Management Journal, but it does capture the spirit and aspiration of the incoming team. It is not that this team intends to recast decades of cumulative knowledge, but instead the goal is to experiment on what we as an Academy collectively consider as good empirical research and the way in which we examine or present management scholarship. Our proposal is not quite as drastic as it might sound; perhaps what is new is how we plan to articulate …


Adapting To Change: The State Of Singapore Private Enterprise In China, Wilfred How, Caroline Yeoh Jan 2014

Adapting To Change: The State Of Singapore Private Enterprise In China, Wilfred How, Caroline Yeoh

Research Collection Lee Kong Chian School Of Business

One of the most affluent and developed nations in its region, the city-state of Singapore relies largely on tapping global resources for economic growth, to ameliorate its tiny land area and accompanying lack of natural resources. Its current prominence is to a great degree owing to an early recognition of the need for such, and a well-documented stratagem of expanding its foreign direct investments (FDIs) as a means to stimulate economic development (Huff, 1995; Murray and Pereira, 1995) and strengthen the city-state’s ‘external economy’ - one which saw the island progress through a number of distinct phases of overseas investment …


Making Big Change In Small Sizes: Critical Success Factors For Managing Change In Smes, Richard Raymond Smith, Ting Wang Jan 2014

Making Big Change In Small Sizes: Critical Success Factors For Managing Change In Smes, Richard Raymond Smith, Ting Wang

Research Collection Lee Kong Chian School Of Business

Managing change can be a challenge especially for the SME with limited resources. Here are five factors that have proven to be powerful in execution.