Drivers of changes in product development rules

2015 ◽  
Vol 18 (2) ◽  
pp. 218-237 ◽  
Author(s):  
John K Christiansen ◽  
Claus J Varnes
Keyword(s):  
Product Development ◽  
Organizational Structures ◽  
Historical Record ◽  
Management Control ◽  
Management Approach ◽  
Rule Based ◽  
Content Type ◽  
Record Keeping ◽  
Dynamic Relationship ◽  
The Relationship

Purpose – The purpose of this paper is to investigate the drivers that induce companies to change their rules for managing product development. Most companies use a form of rule-based management approach, but surprisingly little is known about what makes companies change these rules. Furthermore, this management technology also has developed over time into different versions, but what drives firms from one version to another has only been suggested, not empirically studied. Design/methodology/approach – The dynamics of the rules of five companies are analyzed over a period of more than ten years based on three rounds of interviews with 40 managers. Findings – Previous research has assumed that the dynamics of product development rules are based on internal learning processes, and that increasingly competent management will stimulate the implementation of newer and more complex rule regimes. However, the analysis here indicates that there are different drivers, both internal and external, that cause companies to adopt new rules or modify their existing ones, such as changes in organizational structures, organizational conflicts and changes in ownership or strategy. In addition, contrary to the predictions in previous research, companies sometimes move back and forth between different generations of rules. Companies that have moved to a more flexible third generation of rules might revert to their second generation rules, or supplement their flexibility with an increased level of management control and information systems. A model is proposed to explain the relationship between the drivers of rule change and the actual dynamics of rules, incorporating two sets of moderators: organizational moderators and rule-related moderators. Research limitations/implications – The findings indicate that many factors influence the modification of rules, and that there is no simple linear progression from one generation to another. Organizational learning is one among several other factors that influences the dynamics of rules for managing product development. Further research is needed to explore the dynamic relationship between different factors, the proposed moderators and changes to rules. Lack of historical record keeping in companies puts special requirements on research concerning rules. Practical implications – Companies need to consider how and why their present versions of rules have emerged, whether or not the existing rules can actually solve the challenges they face today, whether or not the rules support the intended company strategy, and what mechanisms influence their product development rules. Originality/value – A great deal of research has investigated the relationship between the uses of structured rule-based approaches to manage product development, but little is known about what makes these rules change. This is the first study to uncover the multitude of drivers that stimulate change in product development rules and to suggest sets of moderators that influence the outcome.

Improving new product development performance by risk management

2016 ◽  
Vol 31 (3) ◽  
pp. 418-425 ◽  
Author(s):  
Mehran Salavati ◽  
Milad Tuyserkani ◽  
Seyyede Anahita Mousavi ◽  
Nafiseh Falahi ◽  
Farshid Abdi
Keyword(s):  
Risk Management ◽  
Product Development ◽  
New Product Development ◽  
Small Sample Size ◽  
New Product ◽  
Small Sample ◽  
Content Type ◽  
Total Performance ◽  
The Relationship ◽  
Npd Performance

Purpose The principal aim of this study is to investigate the relationship between technological, marketing, organizational and commercialization risk management on new product development (NPD) performance. Design/methodology/approach Based on questionnaire, the data were collected from a sample of general automotive industry in Iran. Based on theoretical considerations, a model was proposed and descriptive statistic and hierarchical regression were used to measure the relationship between risk management factors and NPD performance. Findings Data analysis revealed that if organization can amplify their knowledge and information about risk and main factors that affect NPD process, not only can they do their work better but can also increase their ability to predict future happenings that affect performance. Research limitations/implications First, due to the relatively small sample size, caution should be exercised when interpreting the results. Second, the data were collected from automotive producer in Iran, which may restrict to some extent generalizability of the findings. Practical implications The results suggest that managers should consider more attention to risk management. If managers spread the risk management in all aspects of the NPD project, total performance will be increased and it can develop the probability of NPD success. Also organizations should perform great market research due to best commercialization. Originality/value Past researches have presented complete information about NPD process. But identifying and considering the effect of the risk management parameters that are connected to the NPD process were the main thrusts to perform the study. In this paper, based on past research about risk management of NPD, the extra aspect of process that can improve total performance of NPD has been examined.

Role of supplier involvement and project leader in SNPD: a conceptual model and exploratory case study

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yuan Wang ◽  
Jie Yang
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Leadership Style ◽  
Project Leader ◽  
Content Type ◽  
Effective Leaders ◽  
Supplier Involvement ◽  
Sustainable Product Development ◽  
The Relationship

PurposeThis paper focusses on the factors to sustainable product development (SNPD) projects success. More specifically, it aims to explore and understand the role of supplier involvement (SI) within SNPD. Additionally, it investigates how effective project leaders can facilitate effective supplier involvement and enhance focal firm's ability to successfully carry out sustainable achievement in product development.Design/methodology/approachA theoretical framework among SI, SNPD, project leader's personality and leadership style has been established. Six interviews collected from different industries are used to further explore the relationship among SI, SNPD, leader's personality and leadership style.FindingsThe difficulties in managing suppliers, the timing and extent of supplier involvement, communication method and frequency, as well as supplier contribution and challenge in SNPD has been summarized. The interviews also confirmed that effective leaders who possess certain personality traits enable appropriate supplier involvement, promote prosperous SNPD and enhance the relationship between SI and SNPD performance by allowing individual members, teams and organizations to function well.Originality/valueSustainable new product development (SNPD) has been recognized as one of the key factors to achieve environmental and economic success. The paper explores the role of supplier involvement in SNPD project and emphasizes the role of project leaders in the process.

Managers’ stock-based compensation and disclosures of high proprietary cost information

2019 ◽  
Vol 32 (1) ◽  
pp. 96-124
Author(s):  
Luminita Enache ◽  
Jae Bum Kim
Keyword(s):  
Product Development ◽  
Stock Option ◽  
Small Sample ◽  
Cost Information ◽  
Content Type ◽  
Proprietary Costs ◽  
Related Information ◽  
Biotech Industry ◽  
Proprietary Cost ◽  
The Relationship

Purpose The purpose of this study is to examine whether chief executive officers’ (CEOs’) stock-based compensation has any relationship with disclosure of high proprietary information. Design/methodology/approach Drawing on agency and proprietary cost theory, this study examines whether compensating CEOs based on equity value through the grants of stock option and restricted stock will affect different firms with high proprietary costs versus general costs of disclosures. The authors further explore the cross-sectional variation on the relationship between stock-based compensation and disclosures of high proprietary cost information. In particular, the authors examine certain circumstances under which stock-based compensation has a stronger effect in discouraging managers to make disclosures of product-related information. This study conducts an empirical investigation on the relationship by using hand-collected data on the product-related disclosures of biotechnology firms and by developing new disclosure indices to capture the product developments in the preclinical and clinical stages. Findings The authors find that on average, managers’ stock-based compensation does not have any significant relationship with the proxy of high proprietary disclosure index. More importantly, the authors find that managers with more equity-based compensation (in the total pay) make fewer disclosures of high proprietary cost information when they have a stronger need to protect such information. Specifically, the authors find a negative relationship between equity-based compensation and managers’ disclosure of high proprietary cost information when their firms’ product development is in early stage, when the corporate board mainly consists of directors with lack of sufficient knowledge on technology, and when firms are a leader in an industry in terms of market share. Research limitations/implications The authors acknowledge two limitations of the current study. First, the authors cannot completely rule out the possibility that the results are still subject to endogeneity issues such as reverse causality or omitted correlated variables even though the authors control for other important variables that affect disclosures and granting of stock-based compensation (including firm size, leverage, analyst following, institutional ownership and corporate governance) and use the lagged variable of stock-based compensation in the regression model. Second, given that the authors examine a small sample (only 10 per cent of firms in the biotechnology industry) due to the required hand-collection of product-related information, the generalizability of the results may be limited. Originality/value The study contributes to the literature in two important ways. First, the findings can add to the literature on the effect of stock-based compensation on managers’ disclosures. While previous studies suggest that compensating via stock options and restricted stocks can incentivize managers in enhancing firm disclosures in general (e.g. Nagar et al., 2003), the authors provide evidence suggesting that it may not always be the case. When disclosing information involves high proprietary cost, stock-based compensation can sometimes motivate managers not to reveal information. The study also complements Erkens (2011), who finds that firms offer stock-based compensation to their managers as an attempt to prevent the leakage of research and development (R&D)-related information to competitors. Second, the study can contribute to the extant literature that examines the importance of proprietary costs on firms’ disclosure decisions. The authors attempt to respond to the call for more research in this area (Beyer et al., 2010) by focusing on one specific industry, the biotech industry and by using a novel proxy for the proprietary costs based on the stage of product development for a drug-related product in that industry. As it has been challenging for researchers to properly measure proprietary costs of disclosures, the setting of the biotech industry provides a particularly strong empirical identification to potentially pinpoint the proprietary costs.

Joint venture survival in China: the importance of tangible and intangible trust

2018 ◽  
Vol 12 (2) ◽  
pp. 173-192 ◽  
Author(s):  
Bradley James Koch ◽  
Pamela L.T. Koch
Keyword(s):  
Trust Management ◽  
Joint Venture ◽  
Positive Impact ◽  
Performance Measure ◽  
Management Control ◽  
Primary Data ◽  
Content Type ◽  
The Future ◽  
The Relationship ◽  
A Current

Purpose The purpose of this paper is to examine the relationship among joint venture survival in Sichuan and two types of trust: intangible trust and tangible trust. Intangible trust encapsulates the internal affective aspects of trust, whereas tangible trust captures the external and more easily visible willingness to commit resources to the partnership. Design/methodology/approach The primary data used in this research are based on surveys conducted in 2002-2003 of 274 foreign invested firms in Sichuan province and are from a follow-up investigation of firm survival in 2009. Findings The results show that both intangible trust and tangible trust are significant in predicting survival in joint ventures seven years into the future. In addition, the authors explore determinates of intangible and tangible trust. Management control had no impact on intangible trust, but it had a significant positive impact on tangible trust via the presence of a foreign general manager. Cultural distance had the expected negative effect on intangible trust, but an unanticipated positive influence on tangible trust. Originality/value The main contribution of this research is establishing a link between measures of trust taken in 2002 with a performance measure from 2009. Trust today, whether it is tangible or intangible, predicts performance in the future. The majority of prior research linked a current measure of trust with a current measure of performance, which blurs the trust and performance relationship, as it is likely that the relationship is reciprocal and higher levels of trust may be the result of good performance just as much as good performance is a result of higher levels of trust.

The impact of relational norms on information technology project success and its moderation through project governance

2015 ◽  
Vol 8 (1) ◽  
pp. 154-176 ◽  
Author(s):  
Ralf Müller ◽  
Miia Martinsuo
Keyword(s):  
Project Success ◽  
Management Training ◽  
Organizational Structures ◽  
Regression Analyses ◽  
Content Type ◽  
Relational Norms ◽  
Managerial Flexibility ◽  
Project Governance ◽  
The Impact ◽  
The Relationship

Purpose – The purpose of this paper is to identify the impact of relational norms on project success in different project governance contexts. Design/methodology/approach – A worldwide web-based questionnaire yielded 200 responses. Results from regression analyses supported the hypothesis that relational norms impact project success. Hierarchical regression analyses showed the moderating effect of governance and control on the relationship between relational norms and project success. Findings – Relational norms in the buyer-supplier relationship are positively associated with project success. This relationship is moderated by the strictness of project governance, especially the level of flexibility left to the project manager. Lower levels of managerial flexibility are detrimental to project success in cases of weak relational norms and supportive of project success in cases of high relational norms. Research limitations/implications – Academic implications stem from the indication that control has a low influence on the relationship between relational norms and project success, but that the level of managerial flexibility ultimately influences the choice of relational norms needed for a project to be successful. Practical implications – Clear organizational structures and methodologies are supportive of project success in cases of good relational norms. Therefore, project management training should focus on the relationship building capabilities of project managers, to leverage investments in existing methods and organizational structures. Originality/value – The paper extends the insights of the importance of soft aspects in managing projects across organizational borders and different governance structures.

Leadership and the significance of formalized organizational structures

2019 ◽  
Vol 25 (3) ◽  
pp. 341-363
Author(s):  
Jan Gunter Langhof ◽  
Stefan Güldenberg
Keyword(s):  
Leadership Style ◽  
Organizational Structures ◽  
Research Approach ◽  
Content Type ◽  
Authoritarian Leadership ◽  
Red Tape ◽  
Leadership Research ◽  
The Relationship ◽  
Practical Implications ◽  
Historical Examination

Purpose Management literature commonly suggests authoritarian leadership (AL) as the ideal leadership style during crises and extreme situations. This study aims to question this view, exploring servant leadership (SL) as an alternative. Design/methodology/approach In the field of leadership research, surveys and interviews are the most dominant research methods. In light of this dominance, this paper draws on a rather unorthodox research approach: a historical examination. Findings The elaborations in this paper suggest that SL exerts a higher influence on followers than AL, when organizational structures are absent or disregarded. Consequently, the higher influence of SL implies a lower need for regulations and directives within organizations. Practical implications Bureaucracy and red tape can be reduced. Particularly in situations of crises, SL’s relatively reduced reliance on formalized organizational structures can be advantageous to leaders. Originality/value The relationship among leadership (SL and AL) and formalized organizational structures is elaborated and illustrated in a historical examination.

Substitutes or complements? Individual-focused and group-focused transformational leadership in different organizational structures in new firms

2017 ◽  
Vol 38 (5) ◽  
pp. 699-718 ◽  
Author(s):  
Xiumei Zhu ◽  
Mingxu Bao
Keyword(s):  
Transformational Leadership ◽  
Organizational Structure ◽  
Design Methodology ◽  
Organizational Structures ◽  
New Firms ◽  
Comprehensive Understanding ◽  
Content Type ◽  
Significant Performance ◽  
Established Firms ◽  
The Relationship

Purpose The significant performance implications of individual-focused and group-focused transformational leadership have been documented for established firms, but the issue of whether they are complementary or substitutive still remains a puzzle, and whether their relationship differs in new firms remains unanswered. The purpose of this paper is to investigate the relationship between individual-focused and group-focused transformational leadership in different organizational structures in new firms. Design/methodology/approach The study draws on survey data of 209 questionnaires from 63 teams in 63 new firms in China. Findings The results suggest that individual-focused and group-focused transformational leadership are substitutive when the organizational structure is mechanistic, and are complementary when the structure is organic. Originality/value The study contributes to the debate on the relationship between individual-focused and group-focused transformational leadership by comparing organizational structure characteristics and offering a comprehensive understanding of the issue.

scholarly journals Re-visiting the renewable energy–economic growth nexus

2017 ◽  
Vol 11 (3) ◽  
pp. 387-403 ◽  
Author(s):  
Oluwafisayo Alabi ◽  
Ishmael Ackah ◽  
Abraham Lartey
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Ordinary Least Squares ◽  
Renewable Energy Consumption ◽  
Content Type ◽  
Dynamic Relationship ◽  
Long Run ◽  
Short Run ◽  
Opec Member ◽  
The Relationship

Purpose This paper aims to investigate the dynamic relationship between renewable energy and economic growth in African OPEC member countries (Angola, Algeria and Nigeria). Design/methodology/approach The fully modified ordinary least squares technique for heterogeneous cointegrated panels (Pedroni, 2000) is used to estimate the parameters of the model. Findings The study revealed four main findings. First, there is a bidirectional causality between renewable energy and economic growth in the long and the short run. Second, a bidirectional causality exists between non-renewable energy and economic growth in the short and long run. Third, a bidirectional causality exists between CO2 emissions and economic growth. Fourth, a unidirectional causality was also found between CO2 emissions and non-renewable energy consumption with the direction of causality stemming from the consumption of non-renewable energy to CO2 emissions. Practical implications Because renewable consumption enhances growth, OPEC-member Africa countries should encourage investment in modern renewable sources that has high conversion efficiency such as solar, wind and hydro to strengthen their response to mitigating the impacts of climate change. Originality/value This study applies multiple methods to analyze the relationship between renewable energy and economic growth in African OPEC countries.

Gangs and vigilantism

2020 ◽  
pp. 434-448
Author(s):  
Jacob Rasmussen
Keyword(s):  
Organizational Structures ◽  
Age Group ◽  
Social Functions ◽  
Dynamic Relationship ◽  
Wide Range ◽  
Traditional Age ◽  
Political Economy Analysis ◽  
Criminal Groups ◽  
Group Structures ◽  
The Relationship

This chapter highlights how the terms “gangs” and “vigilantes” are used to refer to a wide range of violent actors who display significant variation in terms of their activities and organizational structures. To explain this complexity, the chapter examines the relationship between violence, crime, security provision, and politics, and highlights how “gangs” and “vigilante groups” are involved in politics, while politicians often call upon the same non-state actors to further their own ends. However, the analysis goes beyond a common idea of “gangs” as criminal groups that are sometimes formed and/or used by politicians, to provide a political economy analysis that traces the roots of such groups—not only to crime and politics, but to traditional age-group structures, urbanization, and socio-economic aspirations. The analysis underscores the generational temporalities of membership in, and social functions of, gangs; the transformational qualities of many gangs; and the dynamic relationship between gangs and politics.

Business strategy – MSMEs' performance relationship: innovation and accounting information system as mediators

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lyna Latifah ◽  
Doddy Setiawan ◽  
Y. Anni Aryani ◽  
Rahmawati Rahmawati
Keyword(s):  
Business Strategy ◽  
Structural Equation ◽  
Small And Medium Enterprises ◽  
Accounting Information ◽  
Innovation Process ◽  
Equation Model ◽  
Vital Role ◽  
Management Control ◽  
Content Type ◽  
The Relationship

PurposeThis study provides empirical evidences on the relationship between business strategy and micro, small and medium enterprises (MSMEs) performance. Additionally, the study aims to explore the role of innovation and accounting information systems (AISs) in the strategy performance linkage among MSMEs in Indonesia.Design/methodology/approachA questionnaire-based survey was conducted, which produced 102 valid responses. Surveys were distributed to MSME owners throughout Solo, Yogyakarta and Semarang, Indonesia. Data were analyzed by using structural equation model with partial least squares.FindingsThe result shows that business strategy has indirect impacts on MSMEs' performance. Both innovation and AIS positively mediate the relationship between business strategy and MSMEs’ performance.Research limitations/implicationsThe performance variable was measured based on the owners' perception. This makes the results not to be reflective of the real performance situation.Practical implicationsAlignment between strategy and innovation plays a vital role in improving the performance of MSMEs. The differentiation strategy that focuses on product uniqueness and quality requires innovation to add value to the product and the customer. The innovation process is at high risk of failure, so MSMEs owners need accurate calculations in decision making. AISs are part of management control to reduce risk by identifying standards and directing organizational goals.Originality/valueThis study considers the contingency factors in the relationship between strategy and performance by providing innovation variables and AIS.

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