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Managers must make numerous strategic decisions in order to initiate and implement a business model innovation (BMI). This paper examines how managers perceive the management team interacts when making BMI decisions. The paper also investigates how group biases and board members’ risk willingness affect this process.

Empirical data were collected through 26 in-depth interviews with German managing directors from 13 companies in four industries (mobility, manufacturing, healthcare and energy) to explore three research questions: (1) What group effects are prevalent in BMI group decision-making? (2) What are the key characteristics of BMI group decisions? And (3) what are the potential relationships between BMI group decision-making and managers' risk willingness? A thematic analysis based on Gioia's guidelines was conducted to identify themes in the comprehensive dataset.

First, the results show four typical group biases in BMI group decisions: Groupthink, social influence, hidden profile and group polarization. Findings show that the hidden profile paradigm and groupthink theory are essential in the context of BMI decisions. Second, we developed a BMI decision matrix, including the following key characteristics of BMI group decision-making managerial cohesion, conflict readiness and information- and emotion-based decision behavior. Third, in contrast to previous literature, we found that individual risk aversion can improve the quality of BMI decisions.

This paper provides managers with an opportunity to become aware of group biases that may impede their strategic BMI decisions. Specifically, it points out that managers should consider the key cognitive constraints due to their interactions when making BMI decisions. This work also highlights the importance of risk-averse decision-makers on boards.

This qualitative study contributes to the literature on decision-making by revealing key cognitive group biases in strategic decision-making. This study also enriches the behavioral science research stream of the BMI literature by attributing a critical influence on the quality of BMI decisions to managers' group interactions. In addition, this article provides new perspectives on managers' risk aversion in strategic decision-making.

Drawing on conservation of resources theory, this study aims to develop a resource-based model depicting a decreased level of psychological resourcefulness – relational energy, as a novel explanatory mechanism that accounts for the harm of abusive supervision, and we further investigate the role of leader humor as a boundary condition.

We applied multilevel path analysis to test our hypotheses with three-time-point survey data collected from 226 supervisor-employee dyads in a telecommunication company in China across six months.

Our results show that abusive supervision is negatively related to employee relational energy, leading to a subsequent decline in employee job performance. The predictions of the depleting effects get alleviated by leader humor.

This study foregrounds the importance of employee relationship management in the workplace and reveals that some abusive supervisors may manage to sustain employee performance and relational energy by using humor in their interactions, which necessitates immediate intervention.

These findings offer novel insights into the deleterious impact of abusive supervision by demonstrating the critical role of relational energy in dyadic interactions. We also reveal the potential dark side of leader humor in the context of abuse in the workplace.

Although nonwork mastery generates personal resources and improves employee well-being and performance, employees must invest personal resources to experience mastery during nonwork time. Drawing on conservation of resources theory and resource exchange perspectives, the purpose of this study is to examine the role of day-to-day provisions of affiliation resources by the leader in generating the personal resources necessary for employees to engage in nonwork mastery.

Daily diary data were collected from 198 employees (768 days). The proposed model was tested using Bayesian multilevel path analysis.

The results showed that on days when employees perceived that their leader provided more affiliation resources, they reported higher self-esteem and work engagement and, in turn, experienced higher levels of mastery. Furthermore, employees in high-quality (vs low-quality) leader–member exchange (LMX) relationships benefitted more from the affiliation resources provided by their leader in terms of work engagement.

The findings suggest that leaders can actively manage their employees' daily experience and functioning through seemingly ordinary demonstrations of warmth, care, and positive regard.

This study highlights the important role of leaders in improving employee daily work and nonwork experience and functioning and sheds light on the tangible resource provisions in the work context and the associated personal resources that account for daily variations in mastery. By distinguishing between daily affiliation resources and general perceptions of LMX relationship quality, this study contributes to a more nuanced understanding of the implications that resource provisions by the leader have for employees.