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Article
Publication date: 7 March 2024

Péter Kristóf and Chander Nagpal

Exponential organizations (ExOs) are purpose-driven companies that leverage exponential technologies and exponential business practices to grow and scale rapidly, transform…

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Abstract

Purpose

Exponential organizations (ExOs) are purpose-driven companies that leverage exponential technologies and exponential business practices to grow and scale rapidly, transform industries and create massive value and impact. In contrast, non-ExOs follow a linear approach to business and organizational strategy design and execution. This study aims to validate the hypothesis, based on financial metrics, that ExOs outperform their competitors and linear counterparts. Furthermore, it also brings a new understanding of the gap raised in the past eight years about how ExOs can achieve significantly better performance, measured with financial metrics.

Design/methodology/approach

For measuring how exponential an organization is, this study elaborated a completely new assessment tool called Exponential Quotient (ExQ). This study applied ExQ to the 100 largest US headquartered companies as ranked by Fortune magazine in 2014. Calculating the ExQ enabled this study to rank these Fortune 100 companies and identify the most and the least exponential firms. This study tracked these companies as to how they performed on different financial metrics over the eight years of 2014–2021 and analyzed the results.

Findings

Through the analysis, this study revealed that the top 10 ExOs have significantly outperformed their bottom 10 non-exponential peers, delivering 40x higher shareholder returns, 2.6x better revenue growth, 6.8x higher profitability and 11.7x better asset turnover. Furthermore, this study could identify commonalities and similarities between the two groups. This means that ExOs can thrive even in tough times and that accelerating technologies unlock abundance and allow every organization to become a disruptive innovator and stay ahead of the competition. These are novel results in the research focusing on the gap between exponential and traditional organizations.

Research limitations/implications

Using the ExQ diagnostics tool, every organization can see how flexible, scalable and agile they are, which is the starting point for an exponential transformation program. Although this approach has already found its way into practice and is applied globally by thousands of organizations (startups, scaleups and incumbents), so far, the academic establishment is in its nascent phase. With this research, the authors wanted to extend this field of science. On the other hand, because of its novelty, no appropriate previous studies existed to compare the results.

Practical implications

The possible implications showed that there is a plannable way for significantly increasing an organization’s ExQ and advance it from a linear toward an exponential organizational model.

Originality/value

The results validated the robustness of the ExO framework and philosophy and shed light on the importance of exponential transformation – a proven method to increase an organization’s ExQ. This framework is not a “how to be successful” guide. Instead, it uncovered some of the previously unknown and universal mechanisms of scalability – which, in turbulent times, make companies successful (based on financial metrics). To the best of the authors’ knowledge, this study was among the first kind of in-depth analyses to validate the whole ExO model.

Details

International Journal of Organizational Analysis, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1934-8835

Keywords

Article
Publication date: 8 August 2023

Richard Conde, Victor Prybutok, Kenneth Thompson and Cameron Sumlin

The purpose of this study is to extend sales control research to inside sales. Aside from a few notable exceptions (Conde et al., 2022) much of the sales control literature has…

Abstract

Purpose

The purpose of this study is to extend sales control research to inside sales. Aside from a few notable exceptions (Conde et al., 2022) much of the sales control literature has focused on a single control mechanism rather than a sales control portfolio perspective. The authors add multiple layers to Conde et al. (2022) by capturing secondary operational data and manager interviews to access sales control theory in practice.

Design/methodology/approach

With operational data from a Fortune 100 financial services company and sales manager interviews, the authors present evidence that managers apply a portfolio of controls to ensure sales agents’ overall performance.

Findings

Findings support that cultural controls have a greater influence on overall performance than a focus solely on process and outcome controls. Inside sales managers can generate better results when they focus on creating an employee-centric culture rather than controlling sales agents with formal sales controls.

Originality/value

This study extends sales control research by examining inside sales managers’ formal and informal sales controls. Historically, inside sales had sales leaders balance a myriad of sales controls grounded in strict oversight. With a few notable exceptions, the limited inside sales control research provides the opportunity to display an inside sales manager’s need to jointly focus on operational results and sales outcomes, illustrating the importance of cultural controls compared to other sales process and outcome controls. This research considerably extends sales controls research by focusing on inside sales.

Details

Journal of Business & Industrial Marketing, vol. 39 no. 2
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 21 February 2024

Nicolas Aubert, Miguel Cordova and Gonzalo Hernandez

This study aims to investigate how a French multinational enterprise (MNE) is developing employee stock ownership (ESO) in its subsidiaries in Peru and Mexico, both Latin American…

Abstract

Purpose

This study aims to investigate how a French multinational enterprise (MNE) is developing employee stock ownership (ESO) in its subsidiaries in Peru and Mexico, both Latin American countries with deep social and economic inequalities.

Design/methodology/approach

This is a qualitative case study which conducted interviews with representatives of the French MNE and its subsidiaries in Peru and Mexico.

Findings

The employee stock purchase plans offered by the company to its employees support the achievement of the sustainable development goals (SDGs) 1, 8 and 10 in these countries.

Social implications

The authors argue that MNEs could become flagships in the SDG achievement in emerging economies.

Originality/value

By contributing to better workplace outcomes and enhanced corporate performance, ESO is in line with SDG 8. ESO also fulfills SDGs 1 and 10 by allowing employees to build up savings and wealth, whose lack is the main source of inequality and poverty. Reciprocity and binary economics theories explain these relationships.

Details

Critical Perspectives on International Business, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1742-2043

Keywords

Article
Publication date: 15 February 2024

Anjala S. Krishen, Jesse L. Barnes, Maria Petrescu and Shaheena Janjuha-Jivraj

This interdisciplinary study aims to analyze how service organizations communicate sustainable beliefs in their social media narratives and use them to generate brand awareness…

Abstract

Purpose

This interdisciplinary study aims to analyze how service organizations communicate sustainable beliefs in their social media narratives and use them to generate brand awareness, customer recognition and ongoing demand for sustainable service.

Design/methodology/approach

A two-phase exploratory analysis of 10,342 tweets from 2019–2020 was conducted by sustainable global corporations to identify best practices for their social media teams operating within a service-based business model. First, the significant themes were identified using an unguided machine learning approach of three types of firms: services, goods and mixed. Next, the full set of tweets with linguistic sentiment analysis was analyzed followed by a deeper view of the services-based organizations based on their strategic focus (business-to-business [B2B] versus mixed).

Findings

The findings indicate that tweets that appear to create the highest customer engagement are characterized as having high levels of analytical language, high clout (i.e. are socially relevant), a positive tone, a high number of words and a high number of words per sentence. On the other hand, having complex language in terms of six-letter words does not seem to associate with customer engagement. The last level of analysis shows that B2B services-based corporations with positive tone and higher word count exhibit higher levels of retweets. Implications include providing rational and informational tweets to increase engagement and highlight societal relevance.

Originality/value

Climate change has negative consequences on human and physical capital, and ecosystems across the globe. This study provides specific recommendations for how services corporations can increase their sustainable communications and actions.

Practical implications

The key implication of our research is that corporations must strategically design social media narratives about climate change as part of their online branding and communications process.

Details

Journal of Research in Interactive Marketing, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2040-7122

Keywords

Article
Publication date: 23 January 2024

Phela Townsend, Douglas Kruse and Joseph Blasi

This paper offers a new perspective on the potential motivation for the adoption of employee ownership based on market power. Employee ownership may be linked to market power…

Abstract

Purpose

This paper offers a new perspective on the potential motivation for the adoption of employee ownership based on market power. Employee ownership may be linked to market power, either through contributing to firm growth that leads to market power or through industry leaders adopting employee ownership as part of rent sharing or a broader consolidation of market position. Both employee stock ownership plan (ESOP) coverage and product market concentration (PMC) have been increasing in the past two decades, providing a good opportunity to see if and how these are related.

Design/methodology/approach

The authors predict ESOP adoption and termination using multilevel regressions based on 2002–2012 firm- and industry-level data from the Census Bureau, Compustat and Form 5500 pension datasets.

Findings

The authors find that the top four firms in concentrated industries are more likely to adopt Employee Stock Ownership Plans (ESOPs), while having an ESOP does not predict entering the top four, apart from firm-level predictors. Tests indicate the first result does not reflect simple rent sharing with employees but instead appears to reflect an effort by firms to consolidate market power through the attraction and retention (or “locking in”) of industry talent. Other positive predictors of ESOPs include company size, being in a high-wage industry and having a defined benefit (DB) pension.

Research limitations/implications

To better distinguish among hypotheses, it would be helpful to have firm-level data on managerial attitudes, strategies, networks and monopsony measures. Therefore, future research using such data would be highly useful and encouraged.

Practical implications

The paper includes implications for the potential usefulness of ESOPs in attracting and retaining talent and for the design of nuanced policy to encourage more broadly based sharing of economic rewards.

Originality/value

While prior research focuses on firm-level predictors of employee ownership, this study uses market concentration and other industry-level variables to predict the use of ESOPs. This study makes a unique contribution, broadening the current thinking on firm motives and environmental conditions predictive of firm ESOP adoption.

Details

Journal of Participation and Employee Ownership, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2514-7641

Keywords

Article
Publication date: 18 September 2023

Yu Wang, Daqing Zheng and Yulin Fang

The advancement of enterprise social networks (ESNs) facilitates information sharing but also presents the challenge of managing information boundaries. This study aims to explore…

Abstract

Purpose

The advancement of enterprise social networks (ESNs) facilitates information sharing but also presents the challenge of managing information boundaries. This study aims to explore the factors that influence the information-control behavior of ESN users when continuously sharing information.

Design/methodology/approach

This study specifies the information-control behaviors in the “wall posts” channel and applies communication privacy management (CPM) theory to analyze the effects of the individual-specific factor (disposition to value information), context-specific factors (work-relatedness and information richness) and risk-benefit ratio (public benefit and public risk). Data on actual information-control behaviors extracted from ESN logs are examined using multilevel mixed-effects logistic regression analysis.

Findings

The study's findings show the direct effects of the individual-specific factor, context-specific factors and risk-benefit ratio, highlighting interactions between the individual motivation factor and ESN context factors.

Originality/value

This study reshapes the relationship of CPM theory boundary rules in the ESN context, extending information-control research and providing insights into ESNs' information-control practices.

Article
Publication date: 29 November 2023

Jacques Bughin

Most companies struggle to meet the dual goals of sustaining competitive advantage and ensuring high resilience during crises. Those that do, research tells, adapt their…

Abstract

Purpose

Most companies struggle to meet the dual goals of sustaining competitive advantage and ensuring high resilience during crises. Those that do, research tells, adapt their operational practices along the crisis cycle, combining an effective cost approach at the start of a crisis, while quickly relaunching their investment to grow ahead of competition, just when they learn that the crisis is peaking, and not too late, when the crisis is over. This cycle alignment is possibly the crucial, but not the only, factor for success. We update early research to show that companies succeeding in this dual objective also take a proactive strategy approach of capturing the complementarities between both performance and resilience during a period of high turbulence. This complementarity relies on exploiting dynamic capabilities common to both resilience and performance, and on leveraging the resilience process as a foundation for strategic renewal going forward.

Design/methodology/approach

The research relies on case studies, complemented by an original survey sample, collected just after the peak of the covid-19 pandemic, of 4,000 multinational firms spread across 18 industries termed NACE2, a statistical classification of economic activities in the European Community. This study included 10 countries outside the European Community. The sample collects information on five core enterprise capabilities (agility, innovativeness, active ecosystem play and digital/sustainability maturity, flexible work practices) and uses a variety of quantitative techniques to assess that existence and size of synergies captured by firms.

Findings

Companies meeting the dual goal of resilience and performance are more than doubling their rate of profit growth relatively to peers, after the peak of the crisis, by leveraging of synergies between performance and resilience.

Originality/value

The topic is essential for management, given the elevated turbulence. This research confirms that resilience and performance are synergistic and helps make companies using each crisis boost performance forward.

Details

Journal of Business Strategy, vol. 45 no. 2
Type: Research Article
ISSN: 0275-6668

Keywords

Article
Publication date: 15 February 2024

Rajwinder Kaur, Sameer Pingle and Anand Kumar Jaiswal

This research aims to investigate the relationship between employer branding and its antecedent organisational culture within the context of the private banking sector. The study…

Abstract

Purpose

This research aims to investigate the relationship between employer branding and its antecedent organisational culture within the context of the private banking sector. The study also investigates the relationship between employer branding and employee brand equity as a consequential construct. Additionally, the mediating role of trust and the moderating role of gender in the relationship between employer branding and employee brand equity has been examined.

Design/methodology/approach

The present study’s findings result from data analysis collected from a sample of 454 employees working in private banks in India. The data analysis was conducted utilising the structural equation modelling technique with the assistance of analysis of moment structures (AMOS) software.

Findings

The study’s findings indicate that supportive and bureaucratic (formal) culture in private banks exhibit a significant relationship with employer branding. However, the relationship between innovative culture and employer branding was found to be insignificant. The research also reveals a significant positive association between employer branding and employee brand equity variables: brand consistent behaviour, brand endorsement and brand allegiance. Further, the study highlights the mediating role of employee trust in management in the relationship between employer branding and employee brand equity. Examining demographic variables suggests that gender moderates the relationship between employer branding and employee brand equity.

Originality/value

The originality of this study lies in its exploration of the critical role of organisational culture variables in shaping employer branding within the context of private banks. The findings highlight that cultivating supportive and bureaucratic cultures can effectively enhance the employer branding of private banks. The study emphasises the outcomes of employer branding initiatives, signifying that they contribute to developing brand equity among employees. This leads to long-term employee commitment and advocacy towards the organisation, as employees become brand advocates for the bank with which they are affiliated. The study contributes to a better understanding of the relationship between organisational culture, employer branding and employee brand equity, providing valuable implications for the private banking sector aiming to reinforce their employer brand and increase employee engagement.

Details

International Journal of Bank Marketing, vol. 42 no. 2
Type: Research Article
ISSN: 0265-2323

Keywords

Content available
Book part
Publication date: 8 March 2024

Abstract

Details

Humanizing Businesses for a Better World of Work
Type: Book
ISBN: 978-1-83797-333-0

Article
Publication date: 2 April 2024

Jong-Hyeong Kim and Hanqun Song

Restaurant operators often use auspicious connotations embedded in the names and shapes of dishes to increase consumers’ purchase intentions. However, the interaction effect of…

Abstract

Purpose

Restaurant operators often use auspicious connotations embedded in the names and shapes of dishes to increase consumers’ purchase intentions. However, the interaction effect of multiple auspicious cues (i.e. food name and shape) on purchase intentions has rarely been examined in the restaurant context. Thus, grounded in processing fluency theory, this study investigates the direct influence of the two-way interaction effect of food name (auspicious vs nonauspicious) and shape (auspicious vs. nonauspicious) on purchase intentions and its indirect influence via perceived auspiciousness and positive emotions.

Design/methodology/approach

Utilizing a 2 (food name: auspicious name vs. nonauspicious name) × 2 (food shape: auspicious shape vs. nonauspicious shape) between-subjects design, the authors conducted two experimental studies with 356 Chinese customers. In Study 1, which focused on a main dish, we investigated the two-way interaction effect food name × food shape on purchase intentions. In Study 2, we replicated this experimental study by focusing on a different food type (i.e. dessert) to test the direct and indirect influences of the two-way interaction of food name × food shape on purchase intentions through perceived auspiciousness and positive emotions.

Findings

The results reveal that the congruity condition of auspicious names and shapes significantly influences consumers’ purchase intentions. Congruity with auspicious food cues also indirectly affects purchase intentions through consumers’ perceived auspiciousness and positive emotions. These effects were consistently observed in two experimental studies analyzing different dish types (main dish and dessert).

Practical implications

Restaurateurs should consider utilizing auspicious food cues to attract customers. Specifically, they should combine both food name and shape to increase their perceived auspiciousness and sales.

Originality/value

This study tested processing fluency theory using auspicious food cues. This study contributes to the hospitality literature by improving our understanding of the congruence effect by exemplifying the conceptual alignment between food name and food shape.

Details

Asia Pacific Journal of Marketing and Logistics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1355-5855

Keywords

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