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Extant research supports the importance of dynamic managerial capabilities in capturing managers’ individual roles in organisations’ adjustments to change. This paper develops a multidimensional scale for measuring dynamic managerial capabilities consisting of sensing, seizing and reconfiguration capacities that mediate between managers’ affective states and their firms’ performance.

The scale is validated in a survey-based study among 204 managers in companies in the United States of America (USA). We applied a multiple regression model (a triple mediation) using each of DMCs’ three dimensions to test the effects of managers’ affective states on their firms’ performance.

The multidimensional construct of DMCs adds about 15 % of variance explained to a firm’s performance, as perceived by its managers. So managers’ affective states do have an impact on DMCs and, later, on their firms’ performance.

We show the impact of negative and positive affect on DMCs. We also show that DMCs’ three dimensions should be treated in a formative manner that advances discussion on DMCs and their role in a firm’s performance.

Understanding managers’ affective states helps incorporate “hot cognition” into firms’ strategising processes. Although both positive and negative emotions can be helpful, depending on the situation, positive affect is generally more valuable than negative affect as it relates to a firm’s performance.

Our work proposes measuring DMCs based on Teece’s (2007) disaggregation of DMCs into sensing, seizing and reconfiguration capacities. We approach each of these dimensions separately and show that managers’ affective states influence each dimension differently.

This study aims to investigate the relationships between managers’ cognitive styles, dynamic managerial capabilities and firms’ perceived international performance. The study is based on cognitive-experiential self-theory, dynamic managerial capabilities and international entrepreneurship.

Data were collected from 283 managers of small medium enterprises (SMEs) in Türkiye, an emerging economy. The research was conducted using quantitative methods, and Smart partial least squares (PLS) 4 software was used for data analysis. The data were examined through structural equation modelling and mediation analyses.

Findings indicate that rational cognitive styles positively influence managerial human capital, managerial social capital, managerial cognition and perceived international performance. However, the effect of intuitive cognitive styles was confirmed only on managerial cognition. Additionally, it was found that managerial cognition positively affects perceived international performance, whereas managerial social capital has a negative impact. However, the effects of managerial human capital could not be confirmed. Moreover, a full mediation relationship of managerial cognition between intuitive cognitive styles and perceived international performance was identified.

This research carves out a unique niche by synergizing cognitive-experiential self-theory with dynamic managerial capabilities to investigate their conjoined effect on firms’ international performance, an area previously underexplored. Unveiling insights from burgeoning economies like Türkiye enriches the existing body of knowledge, offering substantial contributions to the field of international business.

Participative leadership's influence on employee task performance has garnered significant attention in a rapidly evolving organizational landscape. This study explores the multilevel dynamics of participative leadership congruence between unit managers and direct supervisors and its effects on employee task performance.

Drawing on two longitudinal studies based on the firms randomly selected from the Taiwan Economic Journal (TEJ) database, the research observes the mediating role of Person-Unit fit and the moderating influence of Unit-Member Exchange in the participative leadership-performance relationship.

The findings reveal how participative leadership congruence enhances person-unit fit, which in turn benefits employee task performance. Unit-member exchange plays a critical role in augmenting the participative leadership congruence? Person-unit fit? Employee task performance relationship.

The study extends leadership literature by highlighting the significance of leadership alignment across levels and the interplay between psychological and social factors in improving employee performance.

Are there smart ways to find heuristics? What are the common principles behind heuristics? We propose an integrative definition of heuristics, based on insights that apply to all heuristics, and put forward meta-heuristics for discovering heuristics.

We employ Herbert Simon’s metaphor that human behavior is shaped by the scissors of the mind and its environment. We present heuristics from different domains and multiple sources, including scholarly literature, practitioner-reports and ancient texts.

Heuristics are simple, actionable principles for behavior that can take different forms, including that of computational algorithms and qualitative rules-of-thumb, cast into proverbs or folk-wisdom. We introduce heuristics for tasks ranging from management to writing and warfare. We report 13 meta-heuristics for discovering new heuristics and identify four principles behind them and all other heuristics: Those principles concern the (1) plurality, (2) correspondence, (3) connectedness of heuristics and environments and (4) the interdisciplinary nature of the scissors’ blades with respect to research fields and methodology.

We take a fresh look at Simon’s scissors-metaphor and employ it to derive an integrative perspective that includes a study of meta-heuristics.

The purpose of this empirical study was to test whether presenting organizational change in a way that enhances employee self-worth will result in increased employee support for the identified change. In doing so, we developed a new measure, which includes a novel baseline element.

Items were developed, and then categorical validation data were collected through an online cross-sectional survey in which 222 respondents (adults over 18 years of age, and at least 6 months tenure) participated.

Within the items, we framed the activation of self-worth bias as requests for employee comments regarding change efforts. Results indicate there is a difference between asking for employee comment on change efforts, compared to asking for employee comment on change efforts and also providing feedback considerate of that input.

This study explores and presents a convergence between behavioral economics, management and applied psychology research – using both self-worth bias, and organizational change management communications; no other such comparable study or analysis could be found during the preparation of this research effort. Furthermore, a novel measure and innovative method is presented for developing and measuring self-worth bias during organizational change management communications.

In this study, we examine the influence of a firm’s environmental, social, and governance (ESG) performance on analysts’ stock recommendations and earnings forecast accuracy in the Chinese context.

We take a textual analysis approach to analyst research reports issued between 2010 and 2019, and differentiate between two distinct analyst categories: “sustainability analysts,” which refer to those more inclined to incorporate ESG information into their analyses, and “other analysts.”

Our evidence indicates that sustainability analysts tend to be significantly more likely than others to provide positive stock recommendations and demonstrate enhanced accuracy in forecasting earnings for companies with superior ESG performance. Our additional analyses reveal that this finding is particularly prominent for analysts who graduated from institutions emphasizing the protection of the environment, those recognized as star analysts, those affiliated with ESG-oriented brokerages, and forecasts made by analysts in the later part of the sample period. Our findings further indicate that sustainability analysts exhibit a more pronounced negative response when confronted with a negative ESG event.

In general, the evidence from this study reveals the interplay between ESG factors and analyst behavior, offering valuable implications for both financial analysts and sustainable investment strategies.

How can managers reduce information asymmetry in dyadic manager-external stakeholder relationships in a complex and evolving environment? Addressing this question has significant implications for firm survival, growth, and competitive advantage.

We have adopted a multiparadigm approach to theory building, known as metatriangulation. We integrate the dynamic capabilities, sensemaking, and evolutionary theory literatures to theorize how managers can relate to stakeholders in a complex and evolving environment.

We propose, via a conceptual framework and three propositions, “evolutionary sensemaking” as the managerial metacognitive dynamic capability that helps managers hone their understanding based on the evolutionary changes in the stakeholder’s interpretations of information quality preferences. The framework unfolds across three evolutionary stages: sensing preferences' variation of the stakeholder, seizing preferences, and transforming for complexity alignment and retention. The propositions focus on managing complexity in stakeholder information quality preference, employing cognitive capabilities to simplify, interpret, and align interpretations for effective information asymmetry reduction.

To develop the metacognitive dynamic capability of evolutionary sensemaking, managers need to train for and foster the underlying complex cognitive capabilities by enhancing their (1) perception and attention skills, (2) problem-solving and reasoning skills, and (3) language, communication, and social cognition skills, focusing specifically on reducing the complexity embedded in stakeholder cognition and diverse stakeholder preferences for information quality. Contrary to the current advice to “keep things simple” and provide “more” information to the stakeholders for opportunism reduction, trust-building, and superior governance, our framework suggests that managers hone their cognitive capabilities by learning to deal with the underlying complexity.

The proposed framework and propositions address research gaps in reducing information asymmetry. It enriches the dynamic capabilities literature by recognizing complexity (as opposed to opportunism) as an alternative source of information asymmetry, which needs to be addressed in this stream of research. It extends the sensemaking literature by identifying the complexity sources – i.e. stakeholder preferences for diverse information quality attributes and the associated cognitive preference interpretation processes. The article enhances evolutionary theory by delving into microprocesses related to information asymmetry reduction, which the existing literature does not thoroughly investigate.

This study aims to explore the mechanism of boundary-spanning search on firm’s innovation performance under environmental dynamics from the perspective of strategic knowledge integration.

A survey was conducted among Chinese firm managers and R&D personnel, resulting in the collection of 315 valid samples. Hierarchical regression analysis was mainly adopted to demonstrate the hypothesized relationships, while the Sobel test and bootstrap method were used to further validate the mediating effects.

The results demonstrate that boundary-spanning search in different dimensions is a critical factor in the improvement of firm innovation performance (FIP). Two types of strategic knowledge integration are the main factors causing FIP and mediate the influence of boundary-spanning search on FIP. Furthermore, environmental dynamics moderate the relationship among boundary-spanning search, strategic knowledge integration and FIP.

Managers need to strengthen the boundary-spanning search for market and technical knowledge, which will promote firm innovative performance. Managers also need to implement strategic knowledge integration, which specifically includes using planned strategic knowledge integration to compensate for knowledge deficiencies, thereby achieving predetermined objectives; and using emergent strategic knowledge integration to update their understanding of internal and external environments, and to reset strategic objectives. In dynamic environments, managers should emphasize strategic knowledge management activities more.

From a strategic management perspective, this study categorizes strategic knowledge integration into planned and emergent forms. By applying the logic of knowledge acquisition, integration and creation, it explores how boundary-spanning search affects FIP through strategic knowledge integration as the intermediary and the boundary conditions of environmental dynamics. This not only provides a deeper understanding of the nature and effects of boundary-spanning research but also enhances the theory of strategic knowledge management.

This paper investigates the relationship between climate finance and climate ergodicity. More specifically the paper examines how climate ergodicity as measured by a mean-reverting Ornstein–Uhlenbeck process affects the value of climate-linked bonds.

Bond valuation is evaluated using Monte Carlo methods of the Ornstein–Uhlenbeck process. The paper describes climate risk in terms of the Hurst coefficient and derives a direct linkage between the Ornstein–Uhlenbeck process and the Hurst measure.

We use the Ornstein–Uhlenbeck mean reversion relationship in its OLS form to estimate Hurst coefficients for 5 × 5° grids across the US for monthly temperature and precipitation. We find that the ergodic property holds with Hurst coefficients between 0.025 and 0.01 which implies increases in climate standard deviation in the range of 25%–50%.

The approach provides a means to stress-test the bond prices to uncover the probability distribution about the issue value of bonds. The methods can be used to price or stress-test bonds issued by firms in climate sensitive industries. This will be of particular interest to the Farm Credit System and the Farm Credit Funding Corporation with agricultural loan portfolios subject to spatial climate risks.

This paper examines bond issues under conditions of rising climate risks using Hurst coefficients derived from an Ornstein–Uhlenbeck process.

While the career literature does acknowledge that personal strengths may function as protective factors that increase the likelihood of positive career outcomes, the topic of strengths has predominantly been studied in the context of career guidance for adolescents and young adults. However, the evolution of strengths persists throughout the entire career and individuals’ awareness and inclination to leverage their strengths change when aging. This paper aims to examine strengths over the (career) lifespan.

For this purpose, a conceptual analysis was made of the interplay between age and strengths application within the work environment, based on a narrative review of both empirical and conceptual literature on strengths and lifespan (career) development.

Based on lifespan development theory and results from studies that investigate the relationship between age and strengths, it can be expected that the prominence, awareness and use of strengths, as well as the active engagement in strengths development increase with age. Also, based on the corresponsive principle it is proposed that strengths prominence is reciprocally related to the awareness, use and development of strengths. Implications for future research and practice are discussed.

Whereas positive psychology has contributed to research on career development by its focus on healthy functioning, human potential and well-being the implications from theorizing and research on strengths for the career-lifespan are still relatively unclear. This paper develops testable propositions regarding the relationship between age and strengths and discusses implications for the types of organizational support for strengths that workers of different ages might need.