Resource co-specialization in outsourcing of enterprise systems software

2019 ◽  
Vol 10 (5) ◽  
pp. 1015-1046 ◽  
Author(s):  
Sung Min Kim ◽  
Gopesh Anand ◽  
Eric C. Larson ◽  
Joseph Mahoney
Keyword(s):  
Firm Growth ◽  
Empirical Test ◽  
Enterprise Systems ◽  
Organizational Factors ◽  
Enterprise Software ◽  
Implementation Success ◽  
Data Set ◽  
Planning And Scheduling ◽  
Content Type ◽  
Advanced Planning

Purpose Enterprise systems are commonly implemented by firms through outsourcing arrangements with software vendors. However, deriving benefits from these implementations has proved to be a challenge, and a great deal of variation has been observed in the extent of value generated for client and vendor firms. This research examines the role of co-specialization as a strategy to make the most out of outsourced enterprise systems. The authors develop hypotheses relating resource co-specialization with two indicators of success for implementation of enterprise software: (1) exchange success and (2) firm growth. Design/methodology/approach The hypotheses are tested using a unique panel data set of 175 firms adopting Advanced Planning and Scheduling (APS) software, a type of enterprise system used for managing manufacturing and logistics. The authors identify organizational factors that support co-specialization and then examine how co-specialization is associated with enterprise software implementation success, controlling for the endogenous choice to co-specialize. Findings The empirical results suggest that resource co-specialization is positively associated with implementation success and that the two resource co-specialization pathways that are examined complement each other in providing performance benefits. Originality/value This paper contributes to the research literature on outsourcing. The study also provides a new empirical test using a unique data set of 175 firms adopting APS Software.

Virtuous cycles of service quality: an empirical test

2019 ◽  
Vol 39 (2) ◽  
pp. 357-380 ◽  
Author(s):  
Eve Rosenzweig ◽  
Carrie Queenan ◽  
Ken Kelley
Keyword(s):  
Service Quality ◽  
Complex Dynamics ◽  
Empirical Test ◽  
Feedback Loops ◽  
Working Environment ◽  
Data Set ◽  
Content Type ◽  
Customer Perceptions ◽  
Internal Working ◽  
Research Stream

Purpose Research on the service–profit chain (SPC) provides important insights regarding how organizations attain service excellence. However, this research stream does not shed light on the mechanisms by which service organizations sustain such excellence, despite the struggles of many organizations to do so. Thus, the purpose of this paper is to develop the SPC as a more dynamic system characterized by feedback loops, accumulation processes, and time delays based on the service operations, human resources, and marketing literatures. Design/methodology/approach The authors posit the feedback loops operate as virtuous cycles, such that increases in customer perceptions of service quality and in profit margins lead to subsequent increases in the quality of the internal working environment, which ultimately reimpacts performance in a positive way, and so on. The authors test the hypotheses using five years of archival data on 417 full-service US hotels. The unique data set combines longitudinal data from multiple functions, including employee assessments regarding their tools, practices, and abilities to serve customers, customer perceptions of service quality, and objective measures of financial performance. Findings The authors find support for the idea that some organizations provide customers with high-quality service over time by reinvesting in the inputs responsible for generating the initial success, i.e., in various aspects of the internal working environment. Research limitations/implications The analysis of 417 hotels from a single firm may influence the extent to which the findings can be generalized. Originality/value By expanding the boundaries of previous conceptual and empirical models investigating SPCs, the authors offer a deeper understanding of the cross-functional character of modern operational systems and the complex dynamics that these systems generate.

High leverage and variance of SMEs performance

2019 ◽  
Vol 20 (2) ◽  
pp. 155-175 ◽  
Author(s):  
Mazen Gharsalli
Keyword(s):  
Firm Performance ◽  
Small Business ◽  
Firm Growth ◽  
Family Firms ◽  
Global Financial Crisis ◽  
Cash Flows ◽  
Data Set ◽  
Content Type ◽  
Good Investment ◽  
The Relationship

Purpose The purpose of this paper is to examine the relationship between leverage and firm performance using small business data from France by estimating the effects of leverage on both average firm performance and the variance of firm performance. Design/methodology/approach Focusing on French small- and medium-sized enterprises (SMEs), which tend to be dependent on bank loans, the authors examine the relationship between leverage and firm performance. This study was based on a unique panel data set of more than 2,157 manufacturing SMEs covering the years 2007-2015. The authors estimate the effects of leverage on both average firm performance and the variance of firm performance. Findings Focusing on the average effects of leverage, the authors find that highly leveraged firms suffer from poor performance. In addition, the variance in firm performance is higher if firms are highly leveraged. Results also underline that leveraged firms are better performers when they have sufficient collateral assets. Research limitations/implications The study, however, has also some limitations. The first one is that the findings were obtained for only one industry sector, so attempts should be made to study the issue, as it applies to other sectors as well. Second is the context where the study was conducted. This study has been conducted based on data gathered from SMEs in France within a specific socioeconomic context (2007-2008 global financial crisis), which may also limit the generalizability of the results for different contexts with different socioeconomic situations. It would also be useful, to have a better explanation for the performance of SMEs, to add to the model more financial variables or other types of variables such as those related to managerial skills or to the macro-economic environment. Finally, further research could examine the joint impact of both leverage and ownership structure on firm’s performance as a large number of French firms are family firms. The limitations of this study, however, can in fact be an opportunity for future researchers to conduct studies addressing those limitations. Practical implications This research has some implications for small business lending. SME owners and managers may, on the one hand, be encouraged by the fact that collateral assets can reduce agency costs, thereby positively affecting firm performance. On the other hand, high leverage can facilitate firm growth if firms have collateral assets. This implies that policymakers interested in stimulating SMEs should develop more suitable collaterals for high-risk SMEs with low asset tangibility. Social implications The results also have implications for financial institutions. To prevent unexpected and extensive bankruptcies, banks might classify firms with negative cash flows as borrower in danger of bankruptcy. However, the results show that highly leveraged firms with good investment opportunities and high collateral assets reduce the probability of bankruptcy. This implies that banks need to evaluate the credit risk of very highly leveraged small businesses more carefully. Originality/value It should be noted that the case of France remains marginal in terms of the conducted studies.

Organizational dynamics: exploring the factors affecting knowledge sharing behavior

Kybernetes ◽  
2019 ◽  
Vol 49 (1) ◽  
pp. 165-181 ◽  
Author(s):  
Nóra Obermayer ◽  
Viktoria Erika Toth
Keyword(s):  
Knowledge Sharing ◽  
Organizational Factors ◽  
Organizational Characteristics ◽  
Organizational Dynamics ◽  
Quantitative Methodology ◽  
Data Set ◽  
Content Type ◽  
Factors Affecting ◽  
Effective Manner ◽  
The Individual

Purpose The purpose of this study is to identify the individual and organizational factors that influence knowledge sharing (KS) behavior within Hungarian organizations. Design/methodology/approach The data were obtained from 238 completed questionnaires collected via the LimeSurvey system. The analysis is based on applied quantitative methodology, both descriptive and inferential statistics were used. The research investigated the relationships between individual and organizational characteristics and the KS behavior at individual and global levels. Findings Among individual factors, significant relationships have been identified regarding the generation and position of individuals, and KS behavior, while gender and education do not seem to play a significant role. With respect to organizational factors, the size of the organization and the tenure of individuals are found to be significant. Research limitations/implications The results of the analysis are limited because the data set was not large enough to investigate inter- and intra-industry variability. Practical implications The outcome of this research can support the design of managerial and organizational processes and incentives that will potentially facilitate KS in a more efficient and effective manner. Such improved KS is likely to improve the overall performance of knowledge-intensive organizations. Originality/value The original value of this research is that individual and organizational characteristics have been identified that influence KS behavior. The study focuses on a single country, Hungary, and provides relevant insight into the organizational dynamics of a specific national context.

An examination of organizational and community effects on police response time

2020 ◽  
Vol 43 (6) ◽  
pp. 935-946
Author(s):  
Nicholas Andrew Salimbene ◽  
Yan Zhang
Keyword(s):  
Response Time ◽  
Hierarchical Linear Modeling ◽  
Police Department ◽  
Organizational Factors ◽  
Community Level ◽  
Police Response ◽  
Data Set ◽  
Content Type ◽  
Community Factors ◽  
The Impact

PurposeThe primary objective of the current study is to examine the impact that the size of a police department and workload on a department have on response time. Secondarily, the authors look at the effect that incident-level factors such as the severity of a call for service (CFS) and community-level factors such as ethnic diversity have on police response time.Design/methodology/approachThe current study examined CFSs data collected over a three-year period and organizational information from 26 police departments in Northeast Texas, as well as community-level information. In order to measure the effect of organizational variables, community factors and incident-level variables on police response time, the authors employed the use of hierarchical linear models (HLMs).FindingsThe results of hierarchical linear modeling indicated that incident-level factors and police department size are significant predictors of response time.Research limitations/implicationsThere are two primary limitations: first, there were a lack of available organizational structure correlates such as age and differentiation. Second, the primary data set had a significant number of incomplete or repeating cases, thereby limiting the accuracy of the current study’s analysis.Originality/valueThe most unique aspect of this manuscript is that it examines how organizational factors affect police response time. Numerous studies analyzed determinants of police response time such as incident- and community-level factors, but the importance of organizational factors has not been analyzed.

Using enterprise systems to achieve firm growth

2019 ◽  
Vol 36 (2) ◽  
pp. 4-6
Keyword(s):  
Case Studies ◽  
Design Methodology ◽  
Reading Time ◽  
Firm Growth ◽  
Enterprise Systems ◽  
Content Type ◽  
Systems Software ◽  
Pertinent Information ◽  
Practical Implications ◽  
System Vendor

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings Firms can achieve business objectives through the utilization of outsourced enterprise systems software. Engaging in the process of resource co-specialization with exchange partners offers mutual benefits to both system vendor and client organization and enhance both performance and growth as a result. Originality/value The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

Safety net for agriculture: effect of idiosyncratic income shock on remittance payments

2017 ◽  
Vol 44 (1) ◽  
pp. 2-20 ◽  
Author(s):  
Eric Akobeng
Keyword(s):  
Empirical Test ◽  
Safety Net ◽  
Ordinary Least Squares ◽  
Least Square ◽  
Income Shocks ◽  
Data Set ◽  
Content Type ◽  
Income Shock ◽  
Remittance Flows ◽  
Female Headed Households

Purpose The purpose of this paper is to examine the effect of illness-driven agriculture income shocks on remittance payments in Ghana using a nationally representative household pseudo-panel data set for 1991/1992, 1998/1999 and 2005/2006. Design/methodology/approach The two-stage least square instrumental variable technique is used. This is compared with the ordinary least squares estimator. Findings The author finds that households in Ghana use remittances to protect themselves from negative agriculture income shocks. The study further reveals that the protection is resilient in female-headed households. Research limitations/implications The question of remittances as a safety net mechanism is interesting, but the limitation is the challenges involving the counterfactual setup in studying the effects of endogenous migration choices. Practical implications The study provides that, as far as microeconomic factors are concerned, remittances increase in times of negative agriculture income shocks attributed to illness in Ghana. Social implications The finding points to the fact that remittance payments play an essential role as an informal safety net during illness-driven agriculture income shock especially for female-headed households in Ghana. This has an important implication for poverty reduction in Ghana. Originality/value It provides an empirical test of the claim that remittance flows buffer idiosyncratic shock with micro-level household data that incorporates both internal and international remittances. The paper introduces gender dimension into idiosyncratic shocks’ impact. Also, the data set makes it possible to provide a reliable set of agriculture income shock estimates.

A multilevel analysis of individual and organizational factors that influence the relationship between career development and job-performance improvement

2018 ◽  
Vol 42 (5/6) ◽  
pp. 286-304 ◽  
Author(s):  
Yunsoo Lee ◽  
Jae Young Lee
Keyword(s):  
Career Development ◽  
Job Performance ◽  
Multilevel Analysis ◽  
Performance Improvement ◽  
Organizational Factors ◽  
Individual Factors ◽  
Data Set ◽  
Content Type ◽  
The Relationship ◽  
Practical Implications

Purpose The purpose of this study is to investigate individual and organizational factors that influence the relationship between career development and job performance improvement. Design/methodology/approach This study adopts multilevel analysis, using the 2013 Human Capital Corporate Panel data set compiled by the Korea Research Institute for Vocational Education and Training. Findings Taking into consideration 572 employees over 61 companies, our findings reveal that job satisfaction and organizational commitment are significant individual factors that affect job performance through career development. Moreover, mentoring/coaching is found to be an organizational factor that influences job performance improvement through career development, while job rotation interferes with job performance through career development. Research limitations/implications The framework of the present study is consistent with the framework for organizational career development created by McDonald and Hite (2016), which emphasizes considering both organizational and individual factors together. Practical implications The results of this study provide empirical evidence and practical implications for leaders, line managers and human resource managers who are responsible for employees’ career development when they plan career development interventions. Originality/value This study offers a conceptual framework for career development, paying special attention to multi-level development.

Strategic information disclosure, integrated reporting and the role of intellectual capital

2019 ◽  
Vol 20 (1) ◽  
pp. 125-143 ◽  
Author(s):  
Renato Camodeca ◽  
Alex Almici ◽  
Umberto Sagliaschi
Keyword(s):  
Intellectual Capital ◽  
Voluntary Disclosure ◽  
Value Relevance ◽  
Empirical Test ◽  
Relevant Information ◽  
Specific Reference ◽  
Integrated Reporting ◽  
Data Set ◽  
Content Type

PurposeThe purpose of this paper is to use a theoretical and empirical model to investigate the adoption of the integrated reporting (IR) framework as a strategic choice to signal intellectual capital (IC) to equity investors, with specific reference to the pharmaceutical industry.Design/methodology/approachThe choice of drafting an integrated report is modelled as a means for managers to strategically disclose price-relevant information related to IC. The voluntary disclosure model developed by Verrecchia (1983) is used, also introducing the role of financial analysts to derive a directly reproducible empirical equation.FindingsTheoretically, as IR requires managers to exert an effort in reporting activity, this work shows that in equilibrium, only firms with sufficient IC have decided to adopt IR, resulting in rational investors’ willingness to pay more only for the forecasted earnings of integrated reporters. This theory is tested in the pharmaceutical sector, where the modelling choice is probably more valid, with mixed results.Research limitations/implicationsWhen compliant with the International Integrated Reporting Council’s (IIRC) standards, IR provides the means to disclose IC in a perfectly verifiable way. Furthermore, since the IIRC has only recently been established, the conclusions have only been tested on a limited data set.Originality/valueThis work connects the value relevance of IR to IC by adopting an equilibrium approach, which, in turn, provides specific indications of how to build a consistent empirical test of the theory.

Mapping the organizational factors that support knowledge management in the Brazilian automotive industry

2014 ◽  
Vol 18 (1) ◽  
pp. 152-176 ◽  
Author(s):  
Rodrigo Valio Dominguez Gonzalez ◽  
Manoel Fernando Martins
Keyword(s):  
Knowledge Management ◽  
Automotive Industry ◽  
Quantitative Research ◽  
Organizational Context ◽  
Empirical Test ◽  
Contextual Factors ◽  
Organizational Factors ◽  
Theoretical Background ◽  
Automotive Sector ◽  
Content Type

Purpose – The latest models on knowledge management (KM) recognize four phases for its practice: acquisition, storage, distribution, and knowledge utilization. The KM is characterized as a multidisciplinary discipline, involving both technical and social aspects. Therefore, the purpose of this research is both social and of coordination, aiming to identify contextual factors, internally developed in the organizations, which support the KM process in the Brazilian companies in the automotive sector. Design/methodology/approach – To achieve the research purpose, a quantitative research method was employed, based on a survey research in the automotive sector. Findings – The results point to the existence of eight contextual factors that support the KM process in the organizations. These factors are mainly related to the human being, responsible for the retention and transformation of primary knowledge, and the development of an organizational context that encourages the learning process through the culture and structure designed for this purpose. Research limitations/implications – One of the limitations is that the study is based on constructs derived from a theoretical background, however it does not offer an empirical test to validate the selected constructs. Future studies could create a metric to evaluate the constructs' consistency and use regression analysis to validate them. The second limitation relates to empirical research. The survey achieved a return of 78 companies and a larger sample could provide more robust data. Practical implications – Practitioners need to take cognizance of the fact that KM process must not be confused nor focused on IT deployment. The development of an organizational context is much more complex and important to the success of KM. By characteristics of mapped factors, it is possible to conclude that KM process is focused on the development of individuals. It is from their employees that the organization promotes the knowledge exploitation in problem solving activities and incremental improvements, and knowledge exploration, rebuilding the competences to innovate the processes. Originality/value – The main contribution of this paper is to identify the factors that companies in the Brazilian automotive industry must develop in order to promote KM. Furthermore, the research shows the relationship between these factors and KM process.

Can business counselling help SMEs grow? Evidence from the Swedish business development grant programme

2015 ◽  
Vol 22 (4) ◽  
pp. 652-665 ◽  
Author(s):  
Barbro Widerstedt ◽  
Jonas Månsson
Keyword(s):  
Firm Growth ◽  
Sample Selection ◽  
Value Added ◽  
Business Development ◽  
Data Set ◽  
Content Type ◽  
Growth And Survival ◽  
Level Data ◽  
Quasi Experimental ◽  
Additional Value

Purpose – The purpose of this paper is to evaluate the state funded business counselling on firm growth. Design/methodology/approach – A quasi-experimental difference-in-difference estimation of treatment effects, using a matched sample of comparable untreated firms. Findings – Firms that have been granted counselling vouchers have a higher growth in value added than comparable untreated firms. This effect is mainly due to increased use of labour and capital, rather than increased efficiency. Results are upwardly biased due to sample selection among treated firms. Research limitations/implications – An improved strategy for identifying potential comparison firms from the pool of all firms may be necessary for further impact evaluations on business development programmes. Social implications – Policy makers may have to reconsider the programme design, since the programme currently suffer from a large potential for crowding-out, and low additional value of business counselling. Originality/value – The paper uses a matching procedure in order to infer causal effects of business counselling and compares the effect of, respectively, contamination and selection on estimated impact on firm growth and survival. The data used are an original, rich micro-level data set on state investment support to businesses.

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