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1 – 10 of over 24000This paper analyzes a multidimensional model of organizational legitimacy, competencies, and resources in order to develop the linkage between institutional and resource-based…
Abstract
This paper analyzes a multidimensional model of organizational legitimacy, competencies, and resources in order to develop the linkage between institutional and resource-based perspectives by systematically detailing relationships among these factors and organizational viability. The underlying mechanisms of isomorphism and market partitioning serve as a point of departure by which the effects on organizational persistence of two sociocultural processes, cultural (constitutive) legitimation and sociopolitical (regulative) legitimation, are distinguished. Using data on 589 national self-help/mutual-aid organizations, this chapter explores how isomorphism and market partitioning foster legitimacy and promote organizational viability. Results show that the more differentiated an organization’s core competencies and resources, the greater the sociopolitical legitimacy; the more isomorphic an organization’s competencies and resources, the greater the cultural legitimacy. The latter isomorphic processes, however, do not promote greater organizational viability. In fact, while isomorphism legitimates with respect to cultural recognition, it is heterogeneity, not homogeneity, that promotes organizational survival.
Constance Elizabeth Kampf, Charlotte J. Brandt and Christopher G. Kampf
The purpose is to explore how the process of action research (AR) can support building legitimacy and organizational learning in innovation project management and portfolio…
Abstract
Purpose
The purpose is to explore how the process of action research (AR) can support building legitimacy and organizational learning in innovation project management and portfolio practices in merger contexts.
Design/methodology/approach
Meta-reflection on method issues in Action Research through an action research case study with an innovation group during an organizational change process. This case demonstrates an example of an action research cycle focused on building practitioner legitimacy rather than problem-solving.
Findings
Key findings include (1) demonstrating how AR can be used for building legitimacy through visualizing the innovation process, and embedding those visuals in top management practices of the organization; and (2) demonstrating how AR can work as an organizational learning tool in merger contexts.
Research limitations/implications
This study focuses on an action research cooperation during a two-and-a-half-year period. Thus, findings offer the depth of a medium term case study. The processes of building legitimacy represent this particular case, and can be investigated in other organizational contexts to see the extent to which these issues can be generalized.
Practical implications
For researchers, this paper offers an additional type of AR cycle to consider in their research design which can be seen as demonstrating a form of interplay between practitioner action and organizational level legitimacy. For practitioners, this paper demonstrates a connection between legitimacy and organizational learning in innovation contexts. The discussion of how visuals were co-created and used for building legitimacy for an innovation process that differs from the standard stage gate model demonstrates how engaging in AR research can contribute to developing visuals as resources for building legitimacy and organizational learning based on connections between theory and practice.
Originality/value
This case rethinks AR practice for innovation project management contexts to include legitimacy and organizational learning. This focus on legitimacy building from organizational learning and knowledge conversion contributes to our understanding of the soft side of innovation project management. Legitimacy is demonstrated to be a key concern for innovation project management practices.
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Gulizhaer Aisaiti, Ling Liang, Luhao Liu, Jiaping Xie and Tingting Zhang
This paper aims to propose a social enterprise legitimation mechanism by combining the established logic and transformational logic to test the validity of the conceptual model.
Abstract
Purpose
This paper aims to propose a social enterprise legitimation mechanism by combining the established logic and transformational logic to test the validity of the conceptual model.
Design/methodology/approach
The authors construct the theoretical framework based on integrating organizational identity theory, attention-based view and collected 128 social enterprises data during the post-pandemic period in China. The authors applied multiple hierarchical regression analysis and mediation analysis to test the research hypothesis.
Findings
The results show that strong organizational identity contributes significantly to the cognitive legitimacy of social enterprise. Besides, we found that social welfare logic and digital transformation can positively mediate the correlation between organizational identity and cognitive legitimacy.
Practical implications
Social enterprises enhance legitimacy significantly by social welfare logic comparing with commercial logic, which indicates that social enterprises should allocate more internal resources and attention to present the organization's social value through various distributions. More importantly, social enterprises should embrace digital transformation to enhance transparency and efficiency, decrease transaction costs, enlarge organizational social impact to strengthen cognitive legitimacy.
Originality/value
The paper first proposed and empirically tested that digital transformation is an important mechanism to enhance the social enterprise's cognitive legitimacy.
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Abstract
Purpose
Organizational identity and organizational legitimacy are related constructs, but comprehensive studies of the relationship have been lacking in the literature of organizational studies. This paper aims to propose a framework that includes four possible relationships between organizational legitimacy and identity.
Design/methodology/approach
The authors evaluate the causes of each of these relationships and an important consequence of the relationship: their influences on organizational adaptation.
Findings
With a series of propositions, the authors make a tentative, but valuable, move toward integrating two broad streams of social perspective of organizing, institutional theory and organizational identity and call for research efforts in this direction.
Originality/value
The paper is the first one that explores the relationship between organizational identity and organizational legitimacy in a comprehensive way.
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David M. Herold, C. Keith Harrison and Scott J. Bukstein
A perceived misalignment between socially responsible fans and football club management has recently led to a major crisis during the annual meeting in 2021 of Bayern Munich, one…
Abstract
Purpose
A perceived misalignment between socially responsible fans and football club management has recently led to a major crisis during the annual meeting in 2021 of Bayern Munich, one of the largest professional football teams in Europe. In an unprecedented scenario, Bayern Munich fans demanded that management drop one of its largest sponsors due to alleged violation of human rights. The goal of this paper is to examine this particular phenomenon, as it not only demonstrates a discrepancy between the social organizational identity and its image, but more importantly, how it impacts legitimation strategies and the fans' loyalty attitudes towards the club.
Design/methodology/approach
Using the underlying concepts of legitimacy and loyalty, this conceptual model paper proposes two frameworks for social responsibility in professional football clubs: (1) analyzing how the (mis-)alignment between organizational identity and image impacts fan loyalty and (2) depicting four different types of social responsibility strategies to align organizational identity and image.
Findings
The authors identify various theoretical concepts that influence organizational identity and image in and for social responsibility and combine the two critical concepts of legitimacy and loyalty to categorize the social responsibility strategies for professional football clubs.
Originality/value
Both frameworks advance the understanding of the decision-making behind social responsibility strategies and also synthesize the current literature to offer conceptual clarity regarding the varied implications and outcomes linked to the misalignment between organizational identity and image.
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This paper aims to explore the complete process and underlying mechanism that social enterprises obtain legitimacy during interactions with stakeholders from theoretical…
Abstract
Purpose
This paper aims to explore the complete process and underlying mechanism that social enterprises obtain legitimacy during interactions with stakeholders from theoretical integration of institutional theory and organization ecology perspective.
Design/methodology/approach
Based on theoretical classification, this paper selects six typical Chinese social enterprises and conducts a multi-case analysis.
Findings
The study finds that social enterprises aim at legitimizing single entity or industry and shaping stakeholders’ cognitive boundary simultaneously. Therefore, by adopting constrained cooperation and competition activities, social enterprises use normative isomorphism to achieve personal legitimation and combining ecological niche construction, social enterprises achieve organizational legitimation. By adopting fragmented cooperation-dominant or competition-dominant activities, social enterprises use mimic isomorphism supplemented by competitive isomorphism or population structure creation to obtain industry legitimation. By adopting dynamically integrated coopetition activities, social enterprises use mimic isomorphism and reflexive isomorphism to reach field legitimation.
Originality/value
This paper proposes a mechanism model that the coopetition with stakeholders influences the legitimation process, identifies four stages of social enterprise’s legitimation process and the types of legitimacy obtained in each stage and fills the gap of Chinese indigenous social enterprise research.
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Christopher Wilson and Devin Knighton
This study aims to examine the effect of publics' legitimacy evaluations on Arthur W. Page's conceptualization of “reasonable freedom of action” by breaking it into two parts: (1…
Abstract
Purpose
This study aims to examine the effect of publics' legitimacy evaluations on Arthur W. Page's conceptualization of “reasonable freedom of action” by breaking it into two parts: (1) perceived organizational autonomy and (2) trust in the organization.
Design/methodology/approach
This study conducted an online experiment using a 2 (legitimacy: low, high) × 2 (legitimacy type: institutional, actional) between-subjects design. Measured variables included perceived organizational autonomy and trust.
Findings
Organizations acting in their own self-interest while ignoring community norms and expectations were perceived to be exercising higher levels of organizational autonomy and have lower levels of trust. The interaction between legitimacy type and level had an effect on perceived organizational autonomy and trust.
Research limitations/implications
Public's view their relationships with organizations from a perspective that prioritizes responsibility and conformity to community norms and expectations. Also, organizations have more to lose by acting in their own self-interest to resolve institutional legitimacy concerns and more to gain by handling them in a way that includes the public interest than when they are managing an actional legitimacy situation.
Practical implications
Societal norms, values and beliefs, which may have accommodated, or even supported, an organization's approach to doing business in the past, can change over time, calling into question an organization's legitimacy and its ability to operate in the public interest. As a result, organizational leaders need the Chief Communication Officer to help them understand current societal norms, values and beliefs.
Originality/value
This study addresses a core assumption of the organization–public relationship paradigm that has not yet been studied empirically. It also expands the understanding of organizational autonomy from a public perspective and examines the effect of legitimacy on organizational autonomy and trust.
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Hong Liu, Jinfan Zhou, Huanchen Liu and Beining Xin
This research aims to investigate whether the uncertainty of gaining legitimacy from organizational change is an important antecedent of resistance to change and to explore why…
Abstract
Purpose
This research aims to investigate whether the uncertainty of gaining legitimacy from organizational change is an important antecedent of resistance to change and to explore why some enterprises are reluctant to choose institutional entrepreneurship for transformation when the uncertainty of gaining legitimacy from organizational change is high.
Design/methodology/approach
The hypotheses are tested by multiple regression analysis and structural equation model, using data collected from a big company with 14 subsidiaries undergoing organizational change.
Findings
Uncertainty of gaining legitimacy from organizational change not only results in resistance to change through the mediating variable – organizational readiness for change but also is an important influencing factor for enterprises’ choices of change strategy.
Research limitations/implications
Transformational change may alter original organizational legitimacy so that some enterprises prefer isomorphic change and decoupling change to maintain original organizational legitimacy, rather than institutional entrepreneurship to seek new organizational legitimacy.
Practical implications
To foster innovation and a new form of creation for firms, governments should provide enterprises with legitimacy in time by establishing a rapid legitimacy learning mechanism to supplement institutional voids, whereas enterprises should promote organizational readiness for change to reduce the negative influence of the uncertainty of gaining legitimacy.
Originality/value
This research reveals that the uncertainty of gaining legitimacy from organizational change is an antecedent of resistance to change and enriches antecedent categorical presupposition of resistance to change. These findings provide valuable insight for explaining why enterprises in economic entities with institutional voids such as China chose similar change strategies rather than institutional entrepreneurship.
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Noorlailie Soewarno, Bambang Tjahjadi and Febrina Fithrianti
The purpose of this paper is to explore whether green innovation strategy has a positive effect on green innovation. Furthermore, this study investigates whether both green…
Abstract
Purpose
The purpose of this paper is to explore whether green innovation strategy has a positive effect on green innovation. Furthermore, this study investigates whether both green organizational identity and environmental organizational legitimacy mediate the relationship between green innovation strategy and green innovation.
Design/methodology/approach
This study is designed as a quantitative research using questionnaires to collect data and employing a variance-based or partial least squares structural equation modeling to test the hypotheses.
Findings
The empirical results show that green innovation strategy positively affects green innovation. This study also demonstrates that green innovation strategy positively affects green innovation indirectly via green organizational identity and environmental organizational legitimacy in manufacturing companies in Indonesia as a developing country. This study suggests that firms should develop green innovation strategy and it must be reflected as green organizational identity to get environmental organizational legitimacy, and then firms will achieve a better green innovation performance.
Research limitations/implications
This study has the following limitations. First, a structural equation modeling is used as an approach to test the hypotheses and this may raise the issue of causality. Second, although examining the antecedents of green innovation, this study does not investigate its consequences. Third, the sample size used in this study is relatively small and limited to companies in the Surabaya Industrial Estate Rungkut, Indonesia. Finally, this study employs a cross-sectional survey and the data obtained are based on the Likert scales that may raise the issue of perception bias of the sampled managers.
Practical implications
The results of this study suggest that managers need to verify the roles of green organizational identity and environmental organizational legitimacy in their companies. In the era of environmentally conscious society, managers need to start with developing a green innovation strategy. However, managers also need to understand that having a strategy is not sufficient enough to directly enhance green innovation performance. Managers need to seek approaches on how to cultivate a strong green organizational identity and use the identity to get environmental organizational legitimacy from the stakeholders.
Social implications
This research model and results provide the empirical evidence of the importance of green innovation and its antecedents, namely, a green innovation strategy, green organizational identity and environmental organizational legitimacy. When manufacturing companies in Indonesia implement this model of managing environmental issues, the society will get more benefits in terms of the reduction of environmental degradation, the availability of more green products and programs, the improvements in resource efficiencies and economic development and the enhancement of the quality of life.
Originality/value
A research framework exploring the mediating roles of green organizational identity and environmental organizational legitimacy on green innovation strategy–green innovation relationship is developed to provide the empirical evidence for the organizational identity theory and the organizational legitimacy theory. This study also provides practical implications for managers who are facing the environmental awareness business environment. If they want to achieve a better green innovation performance, managers should enhance their awareness in managing the antecedents of green innovation performance, namely, green innovation strategy, green organizational identity and environmental organizational legitimacy.
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Xin Chen, Yuanqiong He, Lihua Wang and Jie Xiong
The purpose of this paper is to examine how customer socialization strategies can help social enterprises (SEs) to establish different types of organizational legitimacy and how…
Abstract
Purpose
The purpose of this paper is to examine how customer socialization strategies can help social enterprises (SEs) to establish different types of organizational legitimacy and how different types of organizational legitimacy in turn can encourage customers' positive in-role behavior (such as repurchasing) and extra-role citizenship behavior (such as referral, feedback and forgiveness of quality problems).
Design/methodology/approach
A survey of 381 customers in Chinese SEs is used to examine the research questions. The paper uses structural equation modeling and bootstrap method to analyze the hypothesized relationships among customer socialization strategies, organizational legitimacy and customers' in-role and extra-role behaviors.
Findings
This study finds that various customer socialization strategies can differentially enhance different types of organizational legitimacy of a SE, which in turn positively affects customers' in-role repeated purchase behavior and extra-role citizenship behavior. The study also finds that three types of organizational legitimacy are highly accumulative; gaining relational and market legitimacy might be a precondition for obtaining social legitimacy for SEs.
Originality/value
This study is one of the first to empirically investigate the important role of customer socialization strategies in the acquisition of different types of organizational legitimacy in the context of SEs. It also shows how different types of organizational legitimacy, in turn, can positively affect customers' in-role and extra-role behaviors. In addition, this is one of the first empirical studies to investigate the accumulative nature of three types of organizational legitimacy in SEs: relational legitimacy, market legitimacy and social legitimacy.
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