Search results

Internal auditors are struggling to maintain their identity and purpose as the organizations they audit undergo drastic changes. Total quality management, business process reengineering, globalization, and self‐directed teams are dismantling hierarchical command and control structures. Advances in information technology continuously render control procedures obsolete. The ‘value’ of traditional internal audit is seriously questioned from the board room to the show room. CoActive audit is an internal audit model designed for team/technology based organization cultures, where the focus is on process enhancement rather than assessment and reporting. It provides synergistic solutions to real problems, rather than a quasi‐independent appraisal offering recommendations of potentially marginal value. Auditing has its origins in antiquity, apparently when rulers with wealth had the objective of maintaining their wealth by detecting fraud on the part of their servants. While external auditing was originally formulated with the same objective, through the years it changed its primary objective to emphasize the ‘professional review of financial statements by an independent expert, so that a professional opinion indicating that financial condition and results of operation have been fairly presented can be given.’ While internal auditing formulated its objective to ‘assist members of the organization in the effective discharge of their responsibilities,’ it continued the basic doctrine that auditing is an expert, independent, appraisal function. While many internal auditors today keep auditing as they have in the past, the organizations they are auditing are undergoing drastic changes. Total Quality Management, Self Directed Teams, and Business Process Reengineering are dismantling the old hierarchical command and control systems that depended on auditors to verify compliance. Advances in Information Technology have rendered manual control procedures obsolete. While most internal auditors have successfully made the transition from a reactive audit process that basically reported on history to a proactive approach based on risk assessment and focused on the present, the changes occurring within our organizations demand even more fundamental changes. Contemporary internal auditors openly acknowledge that they feel change must occur within the internal auditing community, and these leaders are venturing forward trying new philosophies and approaches. CoActive Audit is a combination of these new philosophies and methodologies, with its roots in the teachings of the primary management visionaries of the times. It is a vehicle to help internal audit grow, to re‐energize, to expand both its reach and grasp. It is about change, about recognizing the world has drastically changed, about realizing that some of our most basic assumptions are no longer valid, about understanding that some of our codified standards may hinder rather than help, and about replacing the old that is no longer appropriate with a new that is. It is time to focus on enhancing internal control, not merely reporting on it. It is time to build control into business processes, not simply assessing compliance with policies and procedures. It is time to recognize that the traditional internal audit methodology may be counterproductive to the goal of ensuring a reliable internal control system. It is time for CoActive Audit: the next critical step for internal audit. CoActive Audit enhances management control processes using today's management philosophies and methodologies. It represents a fundamental transformation of traditional internal audit philosophy, a 180 shift in mental models and paradigms. The essential components are an audit approach that is: Concurrent — rather than historical; Collaborative — rather than autonomous; Consultative — rather than judgmental; Client‐based — rather than standards‐based; A Catalyst — rather than an inhibitor.

This study examines factors that influence organizations’ choices of an internal human capital development strategy and an external human capital acquisition strategy. The human resource architecture indicates that organizations will use different human capital acquisition strategies. Following the resource-based view, human capital theory and the human resource architecture, we examine factors that impact the choices of different human capital acquisition strategies.

We examine these important human capital decisions in the context of Major League Soccer. Data to test the hypotheses were collected from a variety of publicly available sources. We tested the hypotheses with regression analyses.

We find that while organizations employ both internal and external human capital strategies, organizations may have one dominant human capital strategy and the other strategy may be used to supplement the human capital needs of organizations. Additionally, our results indicate that organizations with an older workforce tend to use an internal human capital development strategy, while higher performing organizations are less likely to use an internal human capital development strategy.

This study makes contributions by examining the choices between internal and external human capital strategies and factors that influence the choice of an internal or external human capital strategy.

Integrating relationship marketing and management research, the author explores internal selling (i.e., a salesperson’s internally focused efforts intended to identify, solicit, and use internal sales resources to support external selling activities) as a unique source of salespeople role stress and examine its contingent outcomes. The conceptual model suggests that internal selling as a job demand and stressor leads to increased salespeople role stress. However, a number of situational (i.e., selling organization market orientation, service climate, and seller–buyer relationship) and individual factors (i.e., networking ability and psychological capital of the salespeople) serve as job and personal resources to moderate the internal selling–outcome relationships, such that when such resources are adequate, internal selling will reduce role stress and increase sales performance. The author also examines situational (i.e., customer solutions offering and formalization of the selling organization) and individual (i.e., salespeople power and social status) antecedents of internal selling. The model provides useful insights and practical guidance for selling organizations to recognize mechanisms associated with internal selling in their organizations, and to intentionally design within organization support systems to enhance salespeople well being and enable them to participate effectively in the relational process of selling. The chapter stresses the need to develop context-specific stress models for different occupations and job roles.

The time is right for renewed and updated attention to the relationship between public relations (PR) and human resources (HR) departments in the context of corporate social responsibility (CSR) and sustainability. For too long, conflict between the two practice areas has obscured opportunities for collaboration which benefits organizations and stakeholders. This chapter offers theoretical underpinnings for examining an interdepartmental, cross-unit working relationship between HR and PR – and advances a vision for why it is needed now.

This study aims to investigate how an organic cotton production network learns to maintain its hybrid network and its sustainability in the face of internal and external pressures.

A qualitative case study was conducted in Justa Trama, a Brazilian‐based organic cotton production network formed by six members with different roles and organisational logics.

The study contributes to the literature on hybrid organisations by suggesting that in the case of networks, a compromise strategy is required at the internal level and a manipulation strategy is required at the external level. The network has to learn how to engineer a compromise among internal members and to enforce change among external institutions to maintain its sustainability.

The study was performed in Brazil, a country with serious social and environmental problems. The study thus informs managers of social economy organisations on how to deal with internal and external pressures to maintain their organisation's sustainability as well as policy makers on the importance of these alternative organisations and the importance of specific legislation to stimulate this type of initiative.

The body of research on how hybrid organisations learn to deal with the mutual influence of internal organisational responses and changes in external institutions is limited. Furthermore, this mutual influence has rarely been studied in the context of networks, in which multiple members have to work together to achieve organisational and network‐level objectives as well as to respond to institutional pressures.

The purpose of this paper is to focus on the identification of different types of crises, their impact on project-based organizations' (PBOs) performance and exploring PBOs' capabilities to influence the effects of those crises.

This study presents results from a large-scale survey (n = 283) comprising PBOs in the information technology, telecom and construction industries. The data analysis relies on structural equation modeling.

The study indicates that internal (as well as external) crises are negatively (as well as positively) associated with performance, which demonstrates the different effects that different kinds of crises have on performance. Furthermore, project-based organizational capabilities moderate the crisis–performance relation. In particular, the study demonstrates the contrasting effects that capabilities have on the management of crises indicating that some capabilities might worsen the effects of crises.

This paper contributes to dynamic capability and project management literature by identifying different types of crises that could impact short-and long-term performance and explore a set of capabilities required by PBOs to manage crises.

The purpose of this paper is to explore the roles of internal lean consultants in western organizations during lean transformation processes and how these roles affect the outcomes of the changes.

Findings are based on a qualitative study of four Norwegian public organizations.

Characteristics of western organizations put internal lean consultants in important roles during the project initiation and change phases. However, consultants have less impact in the last phase of the transformation process while transferring the responsibilities over to line management. The organizations struggle to “make lean stick” due to the distribution of responsibilities between managers and internal consultants.

The distribution of responsibilities between managers and consultants should be carefully considered in lean transformation processes. Internal lean consultants should serve the managers as teachers and coaches, rather than doing their jobs for them.

The paper contributes with in-depth knowledge of the roles of internal consultants in lean transformation processes, a topic that the literature has left unexplored and undebated.

This study aims to examine the effects of internal corporate social responsibility (CSR) on the two types of communicative behaviors of employees, namely, scouting and advocative behaviors. Guided by social exchange theory, the study also explored the mediating role of social exchange relationships between an organization and its employees and employee engagement.

An online survey was conducted with 405 full-time employees in the USA across industry sectors.

Results show the following: internal CSR practices, including employment stability, working environment, skill development, workforce diversity and work–life balance, improve social exchange relationships and employee engagement; social exchange relationship mediates the positive association between internal CSR and engagement and advocative behavior; and employee engagement also mediates the association between internal CSR and the scouting and advocative behaviors of employees.

This study is among the first attempts to explore the effectiveness of organizations’ internal corporate social responsibility practices on employees’ informal communicative behaviors, information seeking and transmitting within and outside of their organization.

Previous crisis communication research has primarily examined the external dimension of crisis communication, i.e. the crisis response strategies applied by organizations to protect and/or restore their image or reputation among external stakeholders in a crisis situation. The purpose of this paper is to set up an integrative framework for the study of internal crisis communication in private and public organizations.

The paper takes a theoretical approach reviewing the literature on crisis management and crisis communication and discussing the concept of internal stakeholder and the implications of a staged approach.

An integrative framework for the study of internal crisis communication is developed based on two assumptions: first, that internal crisis communication research must start with a detailed study of the relationship between an organization and its internal stakeholders (in this case: the employees) to clarify to what extent internal crisis communication differs from external crisis communication; and second, that internal crisis communication research can best be systematized applying a staged approach (precrisis stage, crisis event, postcrisis stage) as an heuristic method.

Apart from a few exceptions, the internal dimension of crises, crisis management, and crisis communication has, by and large, been unexplored.

Organizations increasingly rely on cross-functional teams to deal with supply chain (SC) disruptions. These teams may use their broad range of connections and expertise to gather or scout relevant information, enabling them to develop integrative countermeasures and increase their organization’s resilience. Despite their potential, cross-functional teams often struggle to attain information scouting’s prospective benefits for effectively resolving disruptions. By drawing from group information-processing theory, this study aims to explore when and how cross-functional teams can realize information scouting’s full potential for ensuring their organization’s resilience.

Multisource, multi-informant data were collected from 80 cross-functional teams exposed to SC disruptions in a realistic SC management simulation.

The results show that a cross-functional team’s ability to effectively use information scouting for ensuring its organization’s resilience is contingent upon the degree to which the team’s members share information and align decisions internally (i.e. internal integration). The findings further reveal that this moderating role of internal integration is strengthened when the cross-functional team faces a volatile environment in which multiple SC disruptions are likely to occur (i.e. higher SC vulnerability).

This study contributes by advancing a more complete perspective on how a cross-functional team may contribute to its organization’s resilience. Specifically, the present research reveals how the benefits of a cross-functional team’s information scouting for dealing with SC disruptions are critically dependent upon internal conditions within the team, as well as external conditions related to its organization’s overall SC (i.e. beyond individual dyadic relationships).