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This chapter investigates whether traditional design-oriented coordination instruments or more modern management concepts have a stronger influence on the success of forward technology transfers within MNCs.

We conducted an empirical study analyzing the relative influence of (a) traditional coordination instruments (structural, technocratic, and person-oriented) and (b) modern management concepts (epistemic community and absorptive capacity) on the success of forward technology transfers within MNCs.

The study finds evidence that the traditional coordination instruments relate to specific aspects of the success of such transfers. Comparing the different types of coordination instruments, this chapter shows that not only the person-oriented, but also the structural and technocratic coordination instruments relate positively with the achievement of technology transfer goals. The study finds stronger relationships between the traditional coordination instruments and the technology transfer goals than between the modern management concepts and the technology transfer goals.

We believe that these results have important implications for the management of international technology transfers in particular and for the focus of future (international) management research in general. Future MNC research studies need to include traditional coordination instruments, since they continue to strongly influence organizational behavior and outcomes. This would help to make organizational research on MNCs more cumulative and complete.

In this chapter we develop a conceptual model describing how global teams do more than accomplish discrete tasks, and create “spillover coordination” effects by influencing the amount of work-related direct contact among team members outside the task boundaries of the team. We theorize that spillover coordination is the result of relational and cognitive social capital developed through team interaction. We also propose that the design of the team and the context in which it operates influence the degree to which social capital develops.

We develop a conceptual model including propositions that can be tested empirically. We suggest avenues for future research.

Our model proposes that teams are a more powerful cross-border integration mechanism than originally thought in existing literature in international management and organizational behavior, since they affect social capital that can benefit the broader MNE beyond scope of the task and after the team disbands. Our approach suggests that MNE managers should be mindful of global team spillover effects and intentional in the way they design global teams if those benefits are to be achieved.

Most research on global teams, and teams in general, does not look past the task and time boundary of the team. We expand the view of team effectiveness to encompass those dimensions.

This paper explores the emergence and coordination of synchrony in networked groups like those that develop integrated product platforms in collaborative ecosystems. While synchronized actions are an important objective for many groups, interorganizational network theory has yet to explore synchrony in depth perhaps because it does not fit the typical diffusion models this research relies upon. By adding organizationally realistic features – sparse network structure and intentional coordination – to the firefly model from theoretical biology, I take some first steps in understanding synchrony in organizational groups. Like diffusion, synchrony is more effective in denser networks, but unlike diffusion clustering decelerates synchrony’s emergence. Coordination by a few group members accelerates group-wide synchrony, and benefits the coordinating organizations with a higher likelihood that it converges to the coordinating organization’s preferred rhythm. This likelihood of convergence to an organization’s preferred rhythm – what I term synchrony performance – increases in denser networks, but is not dependent on tie strength and clustering.

Expectations ostensibly lead to the formation of hierarchies, and hierarchies are thought to improve coordination. A simulation model is introduced to determine whether expectations directly improve coordination.

Agent-based simulations of small group behavior are used to determine what rules for expectation formation best coordinate groups. Within groups of agents that have differing but unknown task abilities, pairs take turns playing a coordination game with one another. The group receives a positive payoff when one agent chooses to take a high-importance role (leader) and the other chooses a low-importance role (follower), where the payoff is proportional to the ability of the “leader.” When both individuals vie to be leader, a costly conflict gives the group information about which agent has a higher task-ability.

The rules governing individuals’ formation of expectations about one another often lead to coordination that is suboptimal: They do not capitalize on the differential abilities of group members. The rules do, however, minimize costly conflicts between individuals. Therefore, standard rules of expectation formation are only optimal when conflicts are costly or provide poor information.

Rules that govern the formation of expectations may have served an evolutionary purpose in guiding individuals towards coordination while minimizing conflict, but these psychologically hardwired rules lead to suboptimal hierarchies.

This paper looks at how well empirically observed expectation-generating rules lead to group coordination by adding a game theoretic conception of interaction to the e-state structuralism model of hierarchy formation.

This paper deals with the organizing of interactive product development. Developing products in interaction between firms may provide benefits in terms of specialization, increased innovation, and possibilities to perform development activities in parallel. However, the differentiation of product development among a number of firms also implies that various dependencies need to be dealt with across firm boundaries. How dependencies may be dealt with across firms is related to how product development is organized. The purpose of the paper is to explore dependencies and how interactive product development may be organized with regard to these dependencies.

The analytical framework is based on the industrial network approach, and deals with the development of products in terms of adaptation and combination of heterogeneous resources. There are dependencies between resources, that is, they are embedded, implying that no resource can be developed in isolation. The characteristics of and dependencies related to four main categories of resources (products, production facilities, business units and business relationships) provide a basis for analyzing the organizing of interactive product development.

Three in-depth case studies are used to explore the organizing of interactive product development with regard to dependencies. The first two cases are based on the development of the electrical system and the seats for Volvo’s large car platform (P2), performed in interaction with Delphi and Lear respectively. The third case is based on the interaction between Scania and Dayco/DFC Tech for the development of various pipes and hoses for a new truck model.

The analysis is focused on what different dependencies the firms considered and dealt with, and how product development was organized with regard to these dependencies. It is concluded that there is a complex and dynamic pattern of dependencies that reaches far beyond the developed product as well as beyond individual business units. To deal with these dependencies, development may be organized in teams where several business units are represented. This enables interaction between different business units’ resource collections, which is important for resource adaptation as well as for innovation. The delimiting and relating functions of the team boundary are elaborated upon and it is argued that also teams may be regarded as actors. It is also concluded that a modular product structure may entail a modular organization with regard to the teams, though, interaction between business units and teams is needed. A strong connection between the technical structure and the organizational structure is identified and it is concluded that policies regarding the technical structure (e.g. concerning “carry-over”) cannot be separated from the management of the organizational structure (e.g. the supplier structure). The organizing of product development is in itself a complex and dynamic task that needs to be subject to interaction between business units.

Purpose – The purpose of the chapter is to introduce an actor-centered conflict perspective into research on multinational company (MNC) coordination. We first develop a theoretical framework of conflictual processes in MNC coordination and then use an empirical study of a German MNC in Japan to illustrate how cultural coordination in MNC subsidiaries triggers conflict processes.

Methodology/approach – The chapter integrates conflict theory and models of MNC coordination. The empirical study is based on qualitative data.

Findings – Coordination programs in MNC such as cultural integration through shared values lead to substantial conflictual processes. Local actors apply micro-political tactics to resist, delay or adjust coordination instruments developed by MNC headquarters.

Originality/value of chapter – The chapter applies conflict theory to MNC coordination issues, a field of research which so far is dominated by contingency approaches.

Although interfunctional coordination plays a key role in the performance of the firm, the literature has largely ignored it compared to the other two market orientation components: customer orientation and competitor orientation. The question of whether our current knowledge can be generalized to firms from the developing world has also been neglected since most studies have been conducted in developed countries. To address these issues, a model was developed here to empirically examine the relationship between interfunctional coordination and export performance as well as to identify the key determinants of both constructs. A sample of 201 senior managers of export firms in Brazil was used to test the hypotheses. The results suggest that the legal regulations and technical requirements, competitive intensity, and technological orientation of the product are positively related to interfunctional coordination. Contrary to expectations, the results also confirm that the difference in the stage of the product life cycle is negatively related to interfunctional coordination. In turn, interfunctional coordination has a positive effect on firms' export performance.