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1 – 10 of over 96000Yanghao Zhu, Lirong Long, Wenxing Liu, Peipei Shu and Siyuan Chen
In the period of organizational change and transformation, the attitude of employees towards change has become a key factor in the success of organizational change. Based on the…
Abstract
Purpose
In the period of organizational change and transformation, the attitude of employees towards change has become a key factor in the success of organizational change. Based on the uncertainty management theory (UMT), the paper considers authentic leadership as an important antecedent of employee resistance to change and explores the mediating role of perceived uncertainty and the moderating role of uncertainty avoidance between authentic leadership and employee resistance to change.
Design/methodology/approach
The paper conducted a questionnaire survey study and a scenario experimental study. In study 1, the authors collected two stages of data from 256 employees in Central China, one month apart. In study 2, the authors designed a scenario experiment and invited 130 Chinese adults to participate.
Findings
The authors find that authentic leadership can effectively reduce employee resistance to change by reducing employee perceived uncertainty. In addition, for individuals with a higher (vs lower) degree of uncertainty avoidance, the direct impact of authentic leadership on perceived uncertainty and the indirect impact of authentic leadership on resistance to change through perceived uncertainty are both stronger (vs lower).
Originality/value
The presented results reveal the mechanism between authentic leadership and employee resistance to change from cognitive perspective and depict an important step toward understanding how authentic leadership and employee uncertainty avoidance interact and how they interact with employee resistance to change.
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Kleanthis K. Katsaros and Athanasios Tsirikas
Both uncertainty reduction theory and uncertainty management theory suggest that uncertainty reduction during organizational change is imperative as it may influence positively…
Abstract
Purpose
Both uncertainty reduction theory and uncertainty management theory suggest that uncertainty reduction during organizational change is imperative as it may influence positively employees’ attitudes and behaviors. By drawing on the theory of planned behavior that links individual’s beliefs and behavior, the study seeks to examine how employees’ self- and other-interest in change may reduce perceptions of change uncertainty and consequently, foster their behavioral change support (i.e. compliance, cooperation and championing).
Design/methodology/approach
The study hypothesizes that employees’ self- and other-interest in change mediate the relationship between perceptions of change uncertainty and behavioral change support. The research was conducted in two large IT companies co-located in a big science park in an EU country in South-eastern Europe. Data were collected from 105 employees and their supervisors in three sequential phases.
Findings
The research findings suggest that both self- and other-interest in change partially mediate the negative relationship between perceptions of change uncertainty and behavioral change support.
Practical implications
The findings indicate that change management practitioners will benefit considerably if they try to decrease employees’ perceived change uncertainty by increasing their self- and other-interest in change to provoke supportive behaviors. Relevant suggestions are made.
Originality/value
The findings provide new insights into how perceptions of change uncertainty and self- and other-interest in change can affect employees’ change participation. Further, the research findings add to the uncertainty reduction theory and uncertainty management theory as well as, other related notions.
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Jeffrey J. Haynie, Stanley G Harris and Christopher Brian Flynn
The purpose of this paper is to examine the impact of core self-evaluations (CSE) and change uncertainty on job satisfaction and turnover intentions within the context of an…
Abstract
Purpose
The purpose of this paper is to examine the impact of core self-evaluations (CSE) and change uncertainty on job satisfaction and turnover intentions within the context of an organizational change. Because individuals high in CSE are expected to be able to cope better with uncertainty, the authors also tested the mitigating effect of CSE on the change uncertainty-attitude relationships.
Design/methodology/approach
Surveys were completed and returned by 398 employees in the midst of a merger containing measures of CSE, change uncertainty, job satisfaction, and turnover intentions. The survey was voluntary and administered cross-sectionally.
Findings
Change uncertainty was found to negatively influence job satisfaction and positively influence turnover intentions. Additionally, CSE positively impacted job satisfaction and negatively impacted turnover intentions. High CSE was also found to minimize the negative impact of examined change uncertainty-job attitude relationships.
Research limitations/implications
The research has implications for the role of CSE in attitude formation within a change context and adds to existing literature supporting the detrimental effects of change uncertainty on job attitudes. Also, the study provided evidence of how CSE interacts with change uncertainty reducing the detrimental impact on job attitudes. Future research should continue to examine the role of CSE in the way employees react to other change-related stressors.
Originality/value
The relationships among change uncertainty, CSE, and job attitudes were explored through a theoretical lens and tested empirically using employees in the midst of an organizational change.
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Kleanthis Konstantinos Katsaros and Athanasios N. Tsirikas
Drawing from uncertainty reduction theory and uncertainty management theory, the aim of the research is to investigate the influence of positive change orientation (i.e. change…
Abstract
Purpose
Drawing from uncertainty reduction theory and uncertainty management theory, the aim of the research is to investigate the influence of positive change orientation (i.e. change self-efficacy, positive attitudes toward change, perceived control) on the perceived change uncertainty and behavioral change support (i.e. compliance, cooperation and championing) relationship.
Design/methodology/approach
The paper hypothesizes that employees' positive change orientation partially mediates the relationship between perceived change uncertainty and behavioral change support. The research data were collected from employees and their supervisors in three sequential phases. The research model was tested with the use of Structural Equation Modeling.
Findings
The research findings suggest that employees' change self-efficacy and attitudes toward change partially mediates the negative relationship between perceived change uncertainty and behavioral change support.
Practical implications
The results support that change management practitioners will benefit significantly if they manage to influence their employees' positive change orientation as well as to decrease the perceived uncertainty to provoke change supportive behaviors. Relevant suggestions are made.
Originality/value
The originality of this study lies in the finding that employees' change self-efficacy as well as their attitudes toward change partially mediates the relationship between perceived change uncertainty and behavioral change support. Further, the research findings add to the uncertainty reduction theory and uncertainty management theory as well as other related notions.
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Recent empirical studies by Antonakakis, Chatziantoniou and Filis (2013), Brogaard and Detzel (2015) and Christou et al. (2017) present evidence, which supports the notion that a…
Abstract
Purpose
Recent empirical studies by Antonakakis, Chatziantoniou and Filis (2013), Brogaard and Detzel (2015) and Christou et al. (2017) present evidence, which supports the notion that a rise in economic policy uncertainty (EPU) will lead to a decline in stock prices. The purpose of this paper is to examine US categorical policy uncertainty on stock returns while controlling for implied volatility and downside risk. In addition to the domestic impacts of policy uncertainty, this paper also presents evidence that changes in US policy uncertainty promptly propagates to the global stock markets.
Design/methodology/approach
This study uses a GED-GARCH (1, 1) model to estimate changes of uncertainties in US monetary, fiscal and trade policies on stock returns for the sample period of January 1990–December 2018. Robustness test is conducted by using different set of data and modeling techniques.
Findings
This paper contributes to the literature in several aspects. First, testing of US aggregate data while controlling for downside risk and implied volatility, consistently, shows that responses of stock prices to US policy uncertainty changes, not only display a negative effect in the current period but also have at least a one-month time-lag. The evidence supports the uncertainty premium hypothesis. Second, extending the test to global data reveals that US policy uncertainty changes have a negative impact on markets in Europe, China and Japan. Third, testing the data in sectoral stock markets mainly displays statistically significant results with a negative sign. Fourth, the evidence consistently shows that changes in policy uncertainty present an inverse relation to the stock returns, regardless of whether uncertainty is moving upward or downward.
Research limitations/implications
The current research is limited to the markets in the USA, eurozone, China and Japan. This study can be extended to additional countries, such as emerging markets.
Practical implications
This paper provides a model that uses categorical policy uncertainty approach to explain stock price changes. The parametric estimates provide insightful information in advising investors for making portfolio decision.
Social implications
The estimated coefficients of changes in monetary policy uncertainty, fiscal policy uncertainty and trade policy uncertainty are informative in assisting policymakers to formulate effective financial policies.
Originality/value
This study extends the existing risk premium model in several directions. First, it separates the financial risk factors from the EPU innovations; second, instead of using EPU, this study investigates the effects from monetary policy, fiscal policy and trade policy uncertainties; third, in additional to an examination of the effects of US categorical policy uncertainties on its own markets, this study also investigates the spillover effects to global major markets; fourth, besides the aggregate stock markets, this study estimates the effects of US policy uncertainty innovations on the sectoral stock returns.
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Viput Ongsakul, Pandej Chintrakarn, Suwongrat Papangkorn and Pornsit Jiraporn
Taking advantage of distinctive text-based measures of climate policy uncertainty and firm-specific exposure to climate change, this study aims to examine the impact of…
Abstract
Purpose
Taking advantage of distinctive text-based measures of climate policy uncertainty and firm-specific exposure to climate change, this study aims to examine the impact of firm-specific vulnerability on dividend policy.
Design/methodology/approach
To mitigate endogeneity, the authors apply an instrumental-variable analysis based on climate policy uncertainty as well as use additional analysis using propensity score matching and entropy balancing.
Findings
The authors show that an increase in climate policy uncertainty exacerbates firm-specific exposure considerably. Exploiting climate policy uncertainty to generate exogenous variation in firm-specific exposure, the authors demonstrate that companies more susceptible to climate change are significantly less likely to pay dividends and those that do pay dividends pay significantly smaller dividends. For instance, a rise in firm-specific exposure by one standard deviation weakens the propensity to pay dividends by 5.11%. Climate policy uncertainty originates at the national level, beyond the control of individual firms and is thus plausibly exogenous, making endogeneity less likely.
Originality/value
To the best of the authors’ knowledge, this study is the first attempt in the literature to investigate the effect of firm-specific exposure on dividend policy using a rigorous empirical framework that is less vulnerable to endogeneity and is more likely to show a causal influence, rather than a mere correlation.
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Forrest Briscoe and Sean Safford
This paper develops an argument about how contentious changes unfold in organizational fields, focusing on the role of uncertainty – and the networks people use to address…
Abstract
This paper develops an argument about how contentious changes unfold in organizational fields, focusing on the role of uncertainty – and the networks people use to address uncertainty. We propose that as controversial practice gains traction and spreads, the nature of uncertainty facing organizational decision makers also evolves. This dynamic has important implications for how different actors and networks can influence change. We illustrate our argument with a mixed-methods case study on the diffusion of domestic partner benefits across US Fortune 500 companies. Our findings shed light on how – and when – social activists, corporate elites, and middle managers can influence the corporate decision-making process.
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The purpose of this paper is to interpret organizational change from a co-evolutionary perspective. It examines the co-evolution between institutional environments and…
Abstract
Purpose
The purpose of this paper is to interpret organizational change from a co-evolutionary perspective. It examines the co-evolution between institutional environments and organizational change with the mediating role of uncertainty as perceived by managers.
Design/methodology/approach
The author employed an inductive case study to explore how institutional environments interact with organizational change in a novel context: a Chinese state-owned enterprise.
Findings
The author developed a co-evolutionary model of organizational change that emphasizes the interaction between institutional-level factors and organizational-level change as bridged by top management perceptions of uncertainty. The model also illustrates the dynamics of organizational uncertainty and its effects on organizational change.
Practical implications
The study implies that uncertainty may not be an inevitable negative influence on organizational development, and tell managers how to manages the dynamics of uncertainty through two principles.
Originality/value
This study contributes to the organizational change literature by interpreting organizational change as the results of interaction between multi-level factors from institutional, organizational, and team levels. The author also expand the understanding of uncertainty from a dynamic perspective.
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In spite of the significance of the strategic change, its high rate of failure inspires us to explore how to successfully enact new strategic change in a different environment…
Abstract
Purpose
In spite of the significance of the strategic change, its high rate of failure inspires us to explore how to successfully enact new strategic change in a different environment. Based on strategy as practice perspective and effectuation theory, this study aims to extend extant literature by identifying two approaches performing strategic change (e.g. causation strategic change or effectuation strategic change) and investigating their effects on firm performance and also boundary conditions (e.g. market uncertainty or technological uncertainty).
Design/methodology/approach
Based on a data set from 238 firms in China, the authors empirically test the hypotheses through regression analysis.
Findings
The findings indicate that causation and effectuation strategic changes can promote firm performance. However, the roles of the two approaches vary with the external environment. Specifically, market uncertainty strengthens while technological uncertainty weakens the positive effect of causation strategic change. In contrast, technological uncertainty strengthens the positive effect of effectuation strategic change on firm performance.
Originality/value
This study extends research literature of strategic change by identifying causation and effectuation strategic changes and investigating how their roles vary with market uncertainty and technological uncertainty. The findings guide firms to adopt a fit approach to perform a strategic change in different external environments.
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S.C. Lenny Koh and Mike Simpson
The aim of this paper is to investigate how enterprise resource planning (ERP) systems could create a competitive advantage for small and medium‐sized enterprises (SMEs). The…
Abstract
Purpose
The aim of this paper is to investigate how enterprise resource planning (ERP) systems could create a competitive advantage for small and medium‐sized enterprises (SMEs). The objectives of this study are to examine how responsive and agile the existing ERP systems are to change and uncertainty, and to identify the types of change and uncertainty in SME manufacturing environments.
Design/methodology/approach
A mixed methodology is used in this study, which involves literature review, questionnaire survey and follow‐up, in‐depth telephone interviews. An uncertainty diagnosing business model is applied to collect data from SME manufacturers in make‐to‐stock (MTS), make‐to‐order (MTO) and mixed mode (MM) manufacturing environments in a structured manner, and to analyse the effects of the underlying causes of uncertainty on product late delivery in MTS, MTO and MM manufacturing environments in SMEs. Some 108 enterprises responded (86 per cent response rate), of which 64 are SMEs. Analysis of variance (ANOVA) is carried out in SPSS to analyse the effects of the underlying causes of uncertainty on product late delivery in MTS, MTO and MM manufacturing environments in SMEs.
Findings
ANOVA results show that a different group of underlying causes of uncertainty significantly affects the product late delivery performance in MTS, MTO and MM manufacturing environments in SMEs. This study found that ERP could improve responsiveness and agility to change, but not to uncertainty. SMEs could create a competitive advantage by being more responsive to change in the ERP system before generating purchase and work order. ERP systems could not deal with uncertainty due to its stochastic and unpredictable nature. SMEs use a range of buffering or dampening techniques under uncertainty to be competitive in delivery.
Originality/value
It can be concluded that the application of the business model in SMEs that use ERP has provided useful knowledge about the significant underlying causes of uncertainty that affect product late delivery performance in MTS, MTO and MM manufacturing environments. Using this knowledge, similar SMEs could then prioritise the effort and devise suitable buffering or dampening techniques to manage the causes of uncertainty and hence prevent any changes to the ERP system.
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