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Article
Publication date: 30 August 2011

Yishuo Hung, Heh Jason Huang and Mark Gosling

It seems that the only constant of this rapid‐changing world is the “change” itself – whether it is from the organization itself or from its outer environment. From multinational…

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Abstract

Purpose

It seems that the only constant of this rapid‐changing world is the “change” itself – whether it is from the organization itself or from its outer environment. From multinational corporation managers to local franchise investors, abilities to cope with changes are definitely essential. The purpose of this paper is to provide no magic but a framework that helps decision makers watch their steps while making strategic plans.

Design/methodology/approach

Working from the perspective of the resource‐based view (RBV) for sustained competitive advantage, the paper looks into the decision‐making process by considering constraints and illusions. The journey of deviation from the ideal goal starts when the decision maker is attracted by a maze of illusions. The paper illustrates the phenomena of escalation of commitment in static and in deterioration‐in‐motion.

Findings

For the recovery from an errant path, awareness is of the essence and a constant awareness of the organization's chances and pitfalls would be the only way to regain competitive advantage.

Originality/value

By bringing together the concept of the RBV of competitive advantages and the phenomena of escalation of commitment, the paper provides a concise framework and illustration that is easy to be reminded of for organization decision makers who are constantly facing challenges in this ever‐changing world.

Details

Journal of Organizational Change Management, vol. 24 no. 5
Type: Research Article
ISSN: 0953-4814

Keywords

Article
Publication date: 1 July 2006

Heh Jason Huang and Ali Dastmalchian

The purpose of this paper is to examine the associations of societal trust and distrust with customer orientation. This paper also examines the impact of the above associations on…

4002

Abstract

Purpose

The purpose of this paper is to examine the associations of societal trust and distrust with customer orientation. This paper also examines the impact of the above associations on organizational and HRM aspects of cautiousness, culture for change and job satisfaction in the banking industry.

Design/methodology/approach

The data for this paper were collected from 812 bank employees in China, Taiwan, Hong Kong, and the USA. Based on the suggestions in the literature this paper provides evidence to support the assertion that concepts of trust and distrust are not part of the same continuum.

Findings

The results show a positive association between trust and customer orientation, and provide support for the conceptual distinction between societal trust and distrust. In addition, the study shows that the presence of a culture for change in banks moderates the relationship between societal trust and customer orientation. The results also suggest the overall importance of exercising cautiousness in the banking industry.

Research limitations/implications

Limitations of this research include collection of data from single sources (bank employees) and the cross‐sectional nature of the design. Implications of the results are: the distinction between trust and distrust and its implications for management of trust in organizations; the connection between trust, customer orientation and company performance; specific issues relating to banks – e.g. importance of culture of change, cautiousness and trust.

Practical implications

Impact of developing trust in banks is not just for the quality of the relationships among bank employees. It is also perceived by the bank's customers and will have positive implications for the performance of the bank. Also, minimizing or removing “distrust” before expecting a working environment characterized by trust can be achievable. Also, importance of creating a culture that is conducive to change is a key component of a developing and maintaining trust in organizations.

Originality/value

The evidence that shows the conceptual distinction between trust and distrust is a key finding. Also, cross national data on banks in which trust is shown to be connected to customer orientation and by implication to bank's performance in a unique finding.

Details

Personnel Review, vol. 35 no. 4
Type: Research Article
ISSN: 0048-3486

Keywords

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Article
Publication date: 30 August 2011

Slawomir Magala

557

Abstract

Details

Journal of Organizational Change Management, vol. 24 no. 5
Type: Research Article
ISSN: 0953-4814

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