http://repub.eur.nl/res/concept/jel-M14/ Recent publications classified by JEL Code M14 en http://repub.eur.nl/static-eur/img/logo.png http://repub.eur.nl http://repub.eur.nl/res/pub/34900/ 2012-05-11T00:00:00Z De Nederlandse versie van de in het Engels uitgesproken rede ter gelegenheid van het afscheid als Full Professor of Management aan de Rotterdam School of Management, Erasmus University, op 11 mei 2012 Bosch, F.A.J. van den http://repub.eur.nl/res/pub/34870/ 2012-05-11T00:00:00Z Abstract. In his Farewell Lecture, referring to the statement “Nothing is as practical as good theory”, Professor Van Den Bosch elaborates on developing “good” Management Theory and its practical application to business and society. Management is likely to be the most valuable resource of goal-oriented organizations. However, nowadays in the media and in public debate the diminishing legitimacy of managers is coming under discussion. This raises the challenging question: are managers losing their societal legitimacy? If this is the case, the second question arises: how can a more solid theoretical foundation of Management contribute to new insights in terms of its role – as an alternative to the Market – as a coordinating mechanism for creating value for business and society? Regarding both questions, the following four scientific challenges are addressed. First, the case is made that a managerial perspective on Research into Management is required. Second, taking a context-neutral approach in defining Management, it is proposed to focus on generic core activities of Management. Third, it is suggested that the creation of strategic value for society should be defined as the purpose of Management of organizations. Fourth, based on recent contributions to the literature, the importance for practice of strategic value creating Management Models are discussed, including a current appli - cation in the context of Shared Value Creation. Finally, the problems and challenges of changing the Management Model of an organization, i.e. Management Innovation, are highlighted. The lecture is concluded with four recommendations. These recommen - dations are directed to scientists in the field of Research in Management, to Schools of Management, to the practice of Management, and to governmental and regulatory agencies. These agencies have to look after Management Models and their strategic value creation for society. In the context of the present financial and economic crisis, it is recommended these agencies have to consider correcting not only the “Invisible Hand” of the Market, but also paying due attention to its close connection with the “Visible Hand” of Management. Bosch, F.A.J. van den http://repub.eur.nl/res/pub/23268/ 2011-05-10T00:00:00Z Despite the importance of trust in economic relations, people often engage in behavior that may violate their interaction partner’s trust. Given that transgressions in economic relations often result in distributive harm for the victim (i.e. loss of economic resources), a common approach in these relations consists of the transgressor providing a financial compensation to the victim: if a customer has complaints about a product, he is reimbursed; when a company is being sued, it often tries to make a financial settlement with the victims. Strangely enough, the high prevalence of financial compensations as a restorative response contrasts sharply with how little is known about their effectiveness. Can financial compensations actually increase trust again and what are the factors that determine their effectiveness? By taking an experimental approach, this dissertation aims to provide some first, much needed empirical answers regarding the effectiveness of financial compensations in restoring trust. In this venture, it was not only studied how aspects of the compensation itself (e.g. size) determine their effectiveness, but also how specific characteristics of the violation, the victim and the transgressor impact victims’ reactions to a compensation. The findings of this dissertation show that even in economic relations, where violations have a clear, quantifiable distributive harm, the process of trust repair is not simply determined by the material, financial value of a compensation. Rather, this dissertation reveals how immaterial aspects such as intent in the violation, whether a compensation was imposed or voluntarily provided or whether or not an apology accompanied the compensation, are all crucial in determining the actual value that victims attach to a financial compensation. Desmet, P.T.M. http://repub.eur.nl/res/pub/22952/ 2011-04-01T00:00:00Z Over the last two decades, management studies on sustainability have grown considerably, including a recent surge of research on climate change. However, environmental problems have not been resolved, and most of the top management journals remain focused on the firm, not the system. This presents both a paradox and an opportunity. The year 2010 was the hottest year on record, making it the warmest decade since 1880. In certain places (like Australia and the Arctic), the impacts of climate change are already apparent. In the future, as CO2 continues to rise, we can expect more extreme events like floods, droughts, fires, and melting ice caps. This has profound implications for the way we manage and organize our societies. Before we can manage something, we have to make sense of the situation. In a complex environment, people need to pay attention to subtle cues, overcome barriers, and collectively develop ‘sensemaking’ across organizations. If people do not pay sufficient attention, they will encounter a ‘predictable surprise’ – a crisis situation that could be avoided but isn’t because of existing social and economic structures. This lecture considers how to make better sense of climate change. Professor Whiteman argues that it essential for managers and academics to take a more systemic approach and collaborate with the natural sciences and local people. She ends with management lessons for the 21st Century. Whiteman, G.M. http://repub.eur.nl/res/pub/22643/ 2011-03-10T00:00:00Z The past two decades have witnessed an exponential growth of research on corporate governance around the world and on the role of the ownership concentration more specifically. In line with a longer tradition of ownership studies in U.S. context, most corporate governance researchers have commonly taken a classical agency theoretical view of ownership concentration. The research presented in this dissertation show that classical view of ownership seems overly crude. I provide a more fine-grained understanding about the role of ownership in different contexts; one that takes into account the subtly different formal and informal institutional that can be found around the world on the one hand, and that distinguish between the identity of concentrated owners on the other. I show, first, that a crucial factor with respect to the ownership concentration – firm strategy and performance relationships involve owner identity: i.e. who owns a firm matters significantly for that firm’s objectives, strategies, and performance. Second, I contribute to emerging institution-based view of corporate governance by expanding its empirical domain and testing empirically the interaction between formal and informal institutions. Essen, M. van http://repub.eur.nl/res/pub/21405/ 2010-11-18T00:00:00Z The port of Rotterdam is the largest seaport in Europe and a huge industrial complex. This seaport has been the focal point of several studies that merely view the port as a transport node. This neglects the fact that it is also a collection of thousands of related businesses that together form the Rotterdam seaport cluster. This PhD thesis deals with the companies in the Rotterdam seaport cluster and their value for the competitiveness of the port. Companies active in many sectors, such as stevedoring, transport, logistics, off-shore and shipbuilding. The competitiveness of the port of Rotterdam is dependent on the behavior of the firms located in the port cluster. Some firms create substantially more positive effects than others and are called ‘leader firms’. The Characteristics and the behavior of these leader firms are analyzed in this study. The Rotterdam port cluster is defined and the business structure is researched to select the leader firms. Nine forms of leader firm behavior are identified in the fields of innovation, internationalization and cluster governance. With the use of a qualitative comparative analysis it is researched which firm characteristics foster leader firm behavior. Conclusions are drawn about the role of leader firms in clusters and the stimulus and obstacles for leader firm behavior. Recommendations are formulated for the business community, government and the leader firms. Nijdam, M. http://repub.eur.nl/res/pub/19882/ 2010-06-30T00:00:00Z Organizational studies emphasizing the role of attention in organizational behavior depart from the idea that organizations, like individuals, have limited capacity to attend to environmental stimuli. The bounded capacity of the organizations to respond to stimuli is conditioned by the limited cognitions of individuals and by the limited capability of organizations to distribute, coordinate and integrate those cognitions. The cross-level nature of organizational attention, its dual character as both a process and an output, means that theories of attention afford interesting insights to explain organizational behavior. This dissertation presents one conceptual and two empirical studies about organizational attention. In the conceptual study entitled “Attention span: expanding the attention-based view to team, organizational and social movements levels”, it is argued that attentional processes have functional equivalence at the team, organizational and social movements level. The study entitled “When a thousand words are (not) enough: an empirical study of the relationship between firm performance and attention to shareholders”, tests the power of the attention-based view combined with resource dependence theory to explain the relationship between financial performance and attention to shareholders. Finally, the study “Sense and sensibility: testing the effects of attention structures and organizational attention on financial performance” tests the process model of situated attention by examining the effects of attention structures and the allocation of attention on organizational social responses and performance/ Together, these studies deepen and expand attentional perspectives on organizational behavior. Moreover, they renew scholars’ interest in organizational attention, indicating some of the strengths and limitations of theories of attention and also revealing a prolific research stream. Carvalho de Mesquita Ferreira, L. http://repub.eur.nl/res/pub/20273/ 2010-06-26T00:00:00Z Based on arguments about long-term orientation and corporate reputation, we argue that family and founder firms differ from other firms with regard to corporate social responsibility. Using Bayesian analysis, we then show that family and founder ownership are associated with a lower level of corporate social responsibility concerns, whereas ownership by institutional investors is associated with a higher level of corporate social responsibility concerns and a lower level of corporate social responsibility initiatives. We conclude that it makes sense to distinguish between family, founder and institutional investors and their roles as owners or managers when analyzing the effects of corporate governance on corporate social responsibility. Block, J.H. Wagner, M. http://repub.eur.nl/res/pub/22098/ 2010-04-08T00:00:00Z This article describes a case study on the Machiguenga, a remote Indigenous tribe affected by the Camisea Gas Project in the Peru. We introduce the anthropological concept of ‘glocalization’ and integrate this with organizational knowledge of ‘identity work’. Our findings demonstrate that identity work is a multi-faceted and boundary spanning process that significantly affects stakeholder relations and contributes to conflict between local communities and oil and gas companies. Indigenous identity can be both threatened and strengthened in response to natural gas development and is related to how individuals, communities and the Machiguenga (as a collective) engage in identity work. We also discuss broader implications for management ethics, including a discussion of how Indigenous self-identify processes create a challenge for stakeholder theory. Bruijn, E. Whiteman, G.M. http://repub.eur.nl/res/pub/17833/ 2010-02-19T00:00:00Z Philanthropic organizations have recently started to focus on how to invest their resources in a way that will really make a difference to society. Strategic philanthropy is the new concept for voluntary action for the public good to create a valuable sustainable impact! This inaugural address presents the future research agenda of the Erasmus Centre for Strategic Philanthropy and focuses on three (strategic) challenges faced by philanthropic organizations: 1) sustaining philanthropic commitment, 2) selecting and executing programmes, and 3) examining the role of management and boards. These are the linking pin between the first two challenges. Governance, accountability and organizational effectiveness are essential for management and boards of individual organizations and for the philanthropic sector as a whole. In the first strategic challenge, philanthropic commitment is seen as a natural resource and Ostrom’s (1990) eight design principles for managing ‘common pool resources’ are applied to philanthropic commitment. The second strategic challenge focuses on the results chain for programme management while the role of management and boards is analyzed from the perspective of ‘resource exchange partnerships’ in the third challenge. Cooperation, especially with the business world, is presented as essential for creating sustainable impact in society. Meijs, L.C.P.M. http://repub.eur.nl/res/pub/18228/ 2010-02-05T00:00:00Z Social dilemmas, or situations in which individual and collective interests collide, elicit strong emotions. But are these emotions socially functional in that they help establish cooperation? Generally, they are, as four empirical chapters showed. In dyadic relations, refusal to return a favour is best reciprocated while expressing disappointment instead of anger or no emotion. This does not even lead to a negative impression. When not recipients but observers can reciprocate cooperative acts, non-cooperation out of anger or disappointment is perceived by observers as a just action to retaliate against defectors and is therefore met cooperatively. In situations where group members have to coordinate their contributions to obtain a public good, anger signals bleaker prospects than guilt does, especially when communicated by an influential fellow group member. This makes that group members are more likely to exit the group or install a democratic leader. Guilt actually promotes successful coordination by signalling that both the person that experiences guilt and the person towards guilt is experienced will contribute, which encourages people to cooperate even when coordination is difficult. Thus, emotions are indispensable, socially informative cues that typically help to establish cooperation, facilitate coordination and implement structural solutions in social dilemmas. Wubben, M.J.J. http://repub.eur.nl/res/pub/19538/ 2009-10-01T00:00:00Z Two large online surveys were conducted among employees in Germany to explore the importance employees and organizations place on aspects of interpersonal respect in relation to other work values. The first study (n = 589) extracted a general ranking of work values, showing that employees rate issues of respect involving supervisors particularly high. The second study (n = 318) replicated the previous value ranking. Additionally, it is shown that the value priorities indicated by employees do not always match their perceptions of actual organizational practices. Particularly, interpersonal respect issues that involve employees’ supervisors diverge strongly negative. Consequences and potentials for change in organizations are discussed. Quaquebeke, N. van Zenker, S. Eckloff, T. http://repub.eur.nl/res/pub/16600/ 2009-08-19T00:00:00Z Putting measures in place to prevent wrongdoing in organizations is important, but detecting and correcting wrongdoing is just as vital. Employees who observe wrongdoing should therefore be encouraged to respond in a manner that supports corrective action. This paper examines the influence of the ethical culture of organizations on employee responses to observed wrongdoing. The findings show that, contrary to transparency and congruency of management, many other dimensions of ethical culture were negatively related to inaction and external whistleblowing and positively related to direct interven-tion, reporting to management and calling an ethics hotline. The model used for ethical culture explained 27.5% of intended responses by employees. Kaptein, S.P. http://repub.eur.nl/res/pub/16098/ 2009-06-16T00:00:00Z The primary objective of financial statements is to provide capital market participants with information that enables them to make informed decisions. They also serve to alleviate the so-called ‘agency problem’ – through true and fair disclosures, financial statements contribute to keeping the interest of outsiders (shareholders) aligned with those of the insiders (executives). Material errors, however, will render these financial statements unreliable and can cause great uncertainties to investors and other stakeholders. Subsequent correction of these errors – restatements – often leads to the following question: Can management still be trusted? And subsequently: Where were the gatekeepers? The avalanche of accounting scandals a few years ago, coupled with the current global credit crises, reiterate that our knowledge of corporate governance failures needs continuous upgrading. This dissertation contributes to understanding why the watchdogs did not bark, and also dissects how common human biases affect the mechanisms of corporate monitoring roles, in particular during restatement crises. Three connected studies were conducted. A first qualitative study develops a model for gauging restatement severity and provides insight into the forces blurring the 20/20 vision on restatement situations. A second quantitative study is the first study to comprehensively elicit analysts’ perceptions of CEO pressures and behaviours during restatements. A third study corroborates our findings through in-depth interviews with analysts. Combined the studies show that bounded awareness and common human biases heavily influence functioning of executives and gatekeepers in safeguarding corporate reputation during restatements. Gertsen, H.F.M. http://repub.eur.nl/res/pub/15909/ 2009-05-01T00:00:00Z A business code of ethics is widely regarded as an important instrument to curb unethical behavior in the workplace. However, little is empirically known about the factors that determine the impact of a code on unethical behavior. Besides the existence of a code, this study proposes five determining factors: the content of the code, the frequency of communication activities surrounding the code, the quality of the communication activities, and the embedment of the code in the organization by senior as well as local management. The full model explains 30.4% of unethical behavior while the explanatory value of a code alone is very modest. Kaptein, S.P. http://repub.eur.nl/res/pub/15405/ 2009-04-01T00:00:00Z The ethics of organizations has received much attention in recent years. This raises the question whether the ethics of organizations has also improved. In 1999, 2004 and 2008, a survey was conducted of 12,196 U.S. managers and employees. The results show that the ethical culture of organizations only improved in the period between 1999 and 2004. Unethical behavior and its consequences, however, declined between 2004 and 2008, while the scope of ethics programs expanded in that period. The paper concludes with a discussion of the implications of these findings for further research and practice. Kaptein, S.P. http://repub.eur.nl/res/pub/14524/ 2009-01-15T00:00:00Z Agriculture in Asia has shown impressive advances over the last two decades. Yet, enormous challenges lie ahead. Rising food prices, climate change, the loss of agricultural land to erosion and urbanization, and a growing and more affluent population will require continuous increases in productivity and improvements in sustainability. To answer those challenges Asian agriculture will need to become much more knowledge intensive and innovative. This study analyzes the theory and practice of agricultural innovation, focusing on the nature of the innovation process, the forces that drive agricultural innovation, the core actors involved, and the key techno-institutional innovation paradigms that have emerged. On the basis of this theoretical framework the study presents an analysis of agricultural innovation in four Asian countries: Indonesia, Pakistan, Sri Lanka and Vietnam, analyzing innovation at the levels of the agricultural production system, the national innovation system, and discussing the roles of public and private actors and innovation networks. The study finds that four different techno-institutional paradigms can be distinguished, based on four revolutions in Asian agriculture: the green revolution, the sustainability revolution, the biotechnology revolution and the supermarket revolution. These paradigms are based on fundamentally different technologies, involve different actors and innovation networks and show different patterns of performance across Asia. To be effective, agricultural research and innovation policies need to reflect the specific opportunities and constraints of the four techno-institutional paradigms. Gijsbers, G.W. http://repub.eur.nl/res/pub/14311/ 2008-12-15T00:00:00Z Two large online surveys were conducted among employees in Germany to explore the importance employees and organizations place on aspects of interpersonal respect in relation to other work values. The first study (N = 589) extracted a general ranking of work values, showing that employees rate issues of respect involving supervisors particularly high. The second study (N = 318) replicated the previous value ranking. Additionally, it is shown that the value priorities indicated by employees do not always match their perceptions of actual organizational practices. Particularly interpersonal respect issues that involve employees’ supervisors diverge strongly negative. Consequences and potentials for change in organizations are discussed. Quaquebeke, N. van Zenker, S. Eckloff, T. http://repub.eur.nl/res/pub/14223/ 2008-12-12T00:00:00Z Why do good people do bad things? The assumption that underlies the research presented in this dissertation is that only some of those who engage in organizational deviance are individuals of dubious morality, and that most of the organizational deviants are good people who are merely trying to make a living. What then drives these people to engage in deviance? The research presented in this dissertation answers this question. Three studies delve into the processes that underlie especially collective forms of deviance that are committed out of other reasons than monetary gain seeking. Each study does so from a different perspective. The first study examines intra-individual drives that unconsciously entice people to commit deviance. The second study advances managerial practices that coerce people into committing deviance, and the third study examines forces in the social context that have that same result. The findings suggest that good people indeed have a shady side capable of doing bad things for the sole reason of doing a good job, earning a living and leading a happy life. This dissertation adds to the growing body of research that focuses on the processes underlying the development of deviance in organizations. It also informs management about how to better prevent organizational deviance. Nieuwenboer, N.A. den http://repub.eur.nl/res/pub/14002/ 2008-12-02T00:00:00Z This paper explores whether websites that offer a global audience virtual access to watering holes in game parks afford African nations opportunities to diminish their international isolation as tourism destinations. The present analysis examines a sample of almost 450 tourism websites representing Rwanda, Uganda and Mozambique. Two aspects are studied in particular: the websites’ technical and social infrastructures, including website ownership and networks, and website content, i.e. the projected destination image and opportunities to bridge the main supplier-consumer gaps in the global tourism value chain. The findings indicate that there is substantial foreign involvement in Africa’s online tourism infrastructure; furthermore, that the current projected images tend to reproduce foreign stereotypes. It concludes that the potential for upgrading branding capabilities could be sourced in indigenous African cultural attributes, both high and low culture, and in contexts of the past and the contemporary. Wijk, J.C.A.C. van Go, F.M. Govers, R.