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Article
Publication date: 2 May 2023

Sven Januszek, Torbjørn H. Netland and Andrea Furlan

Do managers at different hierarchical levels in a firm perceive the effectiveness of a lean program differently, and does it matter for their commitment to it and the resulting…

Abstract

Purpose

Do managers at different hierarchical levels in a firm perceive the effectiveness of a lean program differently, and does it matter for their commitment to it and the resulting lean implementation? This study answers these questions by analyzing the perceptions and behaviors of top and middle managers in a manufacturer deploying a global lean program.

Design/methodology/approach

The authors hypothesize that managers at different levels perceive lean programs differently, which, in turn, should affect their commitment to lean and the resulting implementation. To test these relationships empirically, the authors collect survey data from a global manufacturer in the process industry and analyze them using hierarchical linear regression and structural equation modeling.

Findings

The findings show that middle managers perceive lean programs as more effective than top managers do. They further show that higher commitment from the top and middle managers to the lean program is positively related to building the organizational infrastructure needed for lean implementation.

Research limitations/implications

This research is conducted in one global company. Although the research setting implicitly controls for many possible confounding variables, such as the product and process complexity or organizational culture, future research can explore and test the findings in other organizational contexts.

Originality/value

This study is the first to empirically study the relations between perceptions of and commitment to lean programs across different hierarchical levels and what it means for program implementation. The paper contributes new plausible explanations for why many lean programs slow down.

Details

International Journal of Operations & Production Management, vol. 44 no. 1
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 6 October 2022

Yantai Chen, Yanlin Guo and Xuhui Hu

This study proposes that the three core underpinnings of dynamic managerial capabilities (DMCs) – managerial cognition, managerial human capital and managerial social capital …

Abstract

Purpose

This study proposes that the three core underpinnings of dynamic managerial capabilities (DMCs) – managerial cognition, managerial human capital and managerial social capital – represent individual-level micro-foundations that influence corporate social responsibility (CSR). It further explores the interaction mechanism between the three underpinnings in influencing CSR, and their influence depends on the technological turbulence caused by big-data-related technologies.

Design/methodology/approach

This study uses a quantitative research method and partial least squares structural equation modelling (PLS-SEM) to test the relationship between latent factors based on a sample of 270 Chinese top managers.

Findings

The three core underpinnings of DMCs are positively related to CSR. Managerial human capital and managerial social capital mediate the relationship between managerial cognition and CSR. Technological turbulence's moderating effects are also tested. Specifically, technological turbulence amplifies the positive relationship between managerial cognition, managerial human capital and CSR but negatively moderates the relationship between managerial social capital and CSR.

Originality/value

Why are some firms more willing to participate in CSR than others mainly depend on the fact that the actual participants of CSR are the top managers who formulate strategies and implement CSR plans. This study, grounded in the DMCs framework and the upper echelons perspective, is arguably the first to link DMCs' three core underpinnings and CSR, and further explore the multiple drivers' mechanisms and boundary conditions. This study contributes to individual micro-foundation of CSR literature, and advances the understanding of whether and how top managers influence CSR engagement.

Article
Publication date: 13 September 2022

Burcu Felekoglu, Serdar S. Durmusoglu, Anja M. Maier and James Moultrie

This study examines how technical drivers as well as social drivers influence organic communication and top management involvement (TMI) in new product development (NPD) projects…

Abstract

Purpose

This study examines how technical drivers as well as social drivers influence organic communication and top management involvement (TMI) in new product development (NPD) projects. Technical drivers are of strategic importance and product innovativeness and social drivers are of intrinsic and extrinsic relevance. Organic communication is defined as continuous, bidirectional and informal communication between top management and the NPD teams. Further, arguing that TMI must be studied as a multifaceted construct, it is conceptualized to occur as guidance, active motivation and providing resources and creating a tolerant climate. Subsequently, the effect of TMI and organic communication on NPD performance is investigated.

Design/methodology/approach

The data set, collected via surveys from top managers and project managers involved in 86 NPD projects in 85 firms, is analyzed using PLS structural equation modeling.

Findings

The authors show that the strategic importance of the project has a positive influence on TMI through active motivation, providing resources and creating a tolerant climate for innovation, but does not have an effect on guidance. Results also show that active motivation and organic communication improve budget and schedule adherence, whereas providing guidance and stimulating a tolerant climate have detrimental effects. In summary, the results show that only active motivation enhances all types of performance while stimulating a tolerant climate appears to have the opposite effect. The results revealed that organic communication between top management and the NPD team has a strong positive effect on all elements of TMI (providing guidance, actively motivating the NPD team, providing resources and creating a tolerant climate). In other words, when top management communicates with the NPD team throughout the project in an informal way and listens to them in addition to engaging in a one-way communication, they are more likely to be seen by the team as being deeply involved in the project.

Practical implications

Executives must walk a managerial tightrope to actively motivate and to assist in providing resources, yet they must not be overbearing with direct guidance and must limit their tolerance for failures.

Originality/value

Involvement of key organizational actors such as top management and the link to project performance has attracted significant attention in research. However, nuanced empirical insights into the dyad of top management and project teams has so far been absent. The study’s findings detail the effect of technical and social drivers of top management involvement in new product development projects. Most notably, (1) the effect of motivation and stimulating a tolerant climate on performance, and (2) the effect of organic communication on top management involvement. Moreover, this study is unique in that it empirically examines TMI from both top management and team perspectives.

Details

European Journal of Innovation Management, vol. 27 no. 3
Type: Research Article
ISSN: 1460-1060

Keywords

Article
Publication date: 5 June 2017

Anatoli Bourmistrov and Katarina Kaarbøe

The purpose of this paper is to understand how in a situation of a crisis can Management Accounting Systems (MAS) create tensions in attention to information between top and line…

1679

Abstract

Purpose

The purpose of this paper is to understand how in a situation of a crisis can Management Accounting Systems (MAS) create tensions in attention to information between top and line managers.

Design/methodology/approach

The study is based on a field study.

Findings

The findings based on an attention-based view on organizations demonstrate how change to an MAS introduced to handle the crisis failed to integrate top and line managers’ attention toward the common issues. Tightening of budget control was an expected response in such a situation. However, this change produced rather the opposite result – attention to information articulated by the top and line managers became even more disintegrated. This was visible in terms of different interpretations of both the reasons and the strategy of how to get out of the crisis – this is what we call a tension in attention.

Research limitations/implications

The study is subject to the usual limitations of case-based research.

Practical implications

Implications from the study is that there is a need for caution about how managers move in the beginning of the crisis because the initial response sets a tone and trajectory of the crisis. In practice, this means that sense making processes are important in an early stage of a crisis to avoid tensions in attention between different groups in the organization.

Originality/value

The authors argued that little research has been conducted so far regarding what information managers focus their attention on in organizations under financial distress conditions. The originality is the use of an attention-based view together with organizational psychology to understand this area.

Details

Journal of Accounting & Organizational Change, vol. 13 no. 2
Type: Research Article
ISSN: 1832-5912

Keywords

Article
Publication date: 13 April 2023

Sebastian Schneck and Julia Hautz

This study aims to explain the cognitive bias of overconfidence and portray the different ways in which overconfident top managers may affect firm outcomes. This paper outlines…

Abstract

Purpose

This study aims to explain the cognitive bias of overconfidence and portray the different ways in which overconfident top managers may affect firm outcomes. This paper outlines their opportunities and risks and how these managers are surrounded by contextual factors.

Design/methodology/approach

This study draws on a systematic overview of the current literature on senior executives' overconfidence and empirical studies investigating its impact on strategic outcomes.

Findings

This study identifies the opportunities and risks of overconfident top managers in firms and considers the contextual factors that influence firm outcomes. The results provide three important managerial implications for interactions with overly confident top managers.

Practical implications

These findings help us understand top managers' overconfidence. Organizations receive guidance on how to constrain inappropriately confident top managers who are detrimental to their businesses.

Originality/value

This study contributes to a better understanding of overconfidence among top managers, illustrates associated opportunities and risks and provides recommendations for controlling and dealing with top managers characterized by this cognitive bias.

Details

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

Keywords

Article
Publication date: 1 June 1998

Mary Elizabeth Brabston and Gerry McNamara

In today’s dynamic marketplace, top managers need information available at their fingertips. The Internet can provide this information at little cost and with little training…

863

Abstract

In today’s dynamic marketplace, top managers need information available at their fingertips. The Internet can provide this information at little cost and with little training, eliminating the “middleman” effect present today in most organizations. This paper outlines how the Internet can be used as a competitive knowledge tool to provide senior management with needed information on a real‐time basis. Included are obstacles to top managers’ use of the Internet and to obtaining needed information from the Internet, as well as Web sites of potential use to most top managers.

Details

Industrial Management & Data Systems, vol. 98 no. 4
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 15 July 2020

Muhammad Usman, Muhammad Abubakkar Siddique, Muhammad Abdul Majid Makki, Ammar Ali Gull, Ali Dardour and Junming Yin

In this paper, the authors investigate whether an independent and gender-diverse compensation committee strengthens the relationship between top managers' pay and firm performance…

Abstract

Purpose

In this paper, the authors investigate whether an independent and gender-diverse compensation committee strengthens the relationship between top managers' pay and firm performance in Chinese companies. The authors also investigate whether the independent compensation committee composed of all male directors is effective in designing the optimal contract for executives.

Design/methodology/approach

The authors use data from A-share listed companies on the Shenzhen and Shanghai stock exchanges from 2005 to 2015. As a baseline methodology, the authors use pooled ordinary least square (OLS) regression to draw inferences. In addition, cluster OLS regression, two-stage least square regression, the two-stage Heckman test and the propensity score matching method are also used to control for endogeneity issues.

Findings

The authors find evidence that an independent or gender-diverse compensation committee strengthens the link between top managers' pay and firm performance; that the presence of a woman on the compensation committee enhances the positive influence of committee independence on this relationship; that a compensation committee's independence or gender diversity is more effective in designing top managers' compensation in legal-person-controlled firms than they are in state-controlled firms; that gender diversity on the compensation committee is negatively associated with top managers' total pay; and that an independent compensation committee pays top managers more.

Practical implications

The study results highlight the role of an independent compensation committee in designing optimal contracts for top managers. The authors provide empirical evidence that a woman on the compensation committee strengthens its objectivity in determining top managers' compensation. The study finding supports regulatory bodies' recommendations regarding independent and women directors.

Social implications

The study findings contribute to the recent debate about gender equality around the globe. Given the discrimination against women, many regulatory bodies mandate a quota for women on corporate boards. The study findings support the regulatory bodies' recommendations by highlighting the economic benefit of having women in top management positions.

Originality/value

This study contributes to literature by investigating the largely overlooked questions of whether having a gender-diverse or independent compensation committee strengthens the relationship between top managers' pay and firm performance; whether an independent compensation committee is more efficient in setting executives' pay when it is gender-diverse; and whether the effect of independent directors and female directors on top managers' compensation varies based on the firm's ownership structure. Overall, the main contribution of the study is that the authors provide robust empirical evidence in support of the managerial power axiom.

Details

International Journal of Emerging Markets, vol. 16 no. 8
Type: Research Article
ISSN: 1746-8809

Keywords

Article
Publication date: 1 April 1993

A.P. Kakabadse, Siobhan Alderson, Collin Randlesome and Andrew Myers

Presents an analysis of Austrian top managers and top managementteams based on data gathered from Austrian managers in 301 separateorganizations. Through the data collected…

Abstract

Presents an analysis of Austrian top managers and top management teams based on data gathered from Austrian managers in 301 separate organizations. Through the data collected, builds and presents a comprehensive picture of the current state of Austrian management. Also gives a profile of how Austrian managers compare in certain key competence areas with managers from some of the other European countries in which similar research has been conducted. Shows that in general, Austrian management teams have few interpersonal or value‐based interaction difficulties, but that their key problems, and the key development issues facing them, lie in their ability to understand and manage the structure of their organizations, long‐term issues, and the increasingly competitive and global markets and environments into which their companies are entering. Shows that it is these key areas which are the major sources of conflict, sensitivity, and difficulty within Austrian top management teams. Based on these findings, presents some management development recommendations for Austrian managers to assist in broadening their management competences and thus enhancing their personal, organizational, and business success.

Details

Journal of Managerial Psychology, vol. 8 no. 4
Type: Research Article
ISSN: 0268-3946

Keywords

Article
Publication date: 7 September 2021

Wen Pan Fagerlin and Yueqi Wang

The purpose of this study is to map different kinds of tensions in product innovation and investigate how top managers use communication to shape subordinates' attention and…

2151

Abstract

Purpose

The purpose of this study is to map different kinds of tensions in product innovation and investigate how top managers use communication to shape subordinates' attention and thereby respond to these tensions.

Design/methodology/approach

This study adopted an embedded case study of four innovation centers within a Nordic multinational firm.

Findings

This study identifies three kinds of tensions that reside in product innovation, namely dilemma, paradox and trade-off. Further, this study reveals how joint attention (among top managers and subordinates) as a response to tensions can be achieved through different aggregates of top managers' communication efforts.

Originality/value

In opening the black box of tensions in product innovation and identifying multiple tensions, this study contributes to advancing the understanding of the attention-based view. Different from previous studies that simply consider communication as channels for information processing, the findings indicate that the contents and practices of communication can help top managers to shape subordinates' attention and thereby respond to tensions. This study also extends the research focus of attention from top managers to the whole organization, by revealing the importance of building a joint pattern of attention among top managers and subordinates.

Details

Baltic Journal of Management, vol. 16 no. 1
Type: Research Article
ISSN: 1746-5265

Keywords

Article
Publication date: 28 May 2021

Cuizhen Cao, Xiujun Tong, Yunqi Chen and Yue Zhang

Green ambidexterity innovation and green competitive advantage are of great significance to enterprises' sustainable development. From the perspective of upper echelons theory…

1075

Abstract

Purpose

Green ambidexterity innovation and green competitive advantage are of great significance to enterprises' sustainable development. From the perspective of upper echelons theory, This paper aims to investigate the role of top managers in gaining green competitive advantage and the intermediary effect of the green ambidexterity innovation between them.

Design/methodology/approach

This paper uses empirical data from heavily polluting enterprises in China for constructing a model to infer how enterprises achieve the green competitive advantage.

Findings

The paper shows that (a) top managers' environmental awareness and the green ambidexterity innovation are both positively related to the green competitive advantage of enterprises, while there is a difference between the exploitative green innovation and the exploratory green innovation regarding the heterogeneity; the positive effect of the exploratory green innovation on enterprises' green competitive advantage is greater than that of the exploitative green innovation; (b) the green ambidexterity innovation plays a partial intermediary effect between top managers' environmental awareness and enterprises' green competitive advantage and (c) strategic flexibility positively moderates the relation between the green ambidexterity innovation and the green competitive advantage. The study concludes that top managers' environmental awareness has a significantly positive impact on reinforcing green competitive advantages and adopting the green ambidexterity innovation for heavily polluting enterprises in China.

Originality/value

This paper contributes to the green innovation management literature by offering a theoretical framework for examining how top managers' environmental awareness influences enterprises' green competitive advantage.

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