Revisiting the strategy-performance linkage

2015 ◽  
Vol 53 (5) ◽  
pp. 1083-1106 ◽  
Author(s):  
Mikko Antero Luoma

Purpose – The linkage between strategy and performance is central to strategic management. Empirical studies have nevertheless produced mixed results on the nature of this relationship, and in recent decades, very little advancement has been made in research aimed at elucidating this relationship. Accordingly, the purpose of this paper is to identify the approaches to the strategy-performance linkage in previous studies and defines five principles that should characterize future research on this relationship. The paper develops a novel research design that follows these principles and tests the usefulness of this research design in practice. Design/methodology/approach – This paper is exploratory in nature and its empirical methods include content analysis, multidimensional scaling, and cluster analysis. The primary difference between this paper and studies in the mainstream literature on the linkage between strategy and performance relates to the application of an endogenous strategy typology instead of predefined strategy categories. Findings – The analysis shows that the adopted research design based on five principles is applicable to research on the linkage between strategy and performance and that such a research design produces meaningful results. The results support the findings of earlier studies regarding the potential of “hybrid” strategies for achieving superior firm performance. Research limitations/implications – This paper challenges the dominance of generic strategies in research on the strategy-performance linkage and provides statistical data that lay the foundation for more detailed investigation on this relationship. The paper argues for a contextually bound view of strategic management. Originality/value – This paper invigorates the discussion on the linkage between strategy and performance, which has long been diminishing as a research topic in the literature because of contradictory results and the lack of fresh research opportunities. This paper further introduces a methodology that has been underutilized in the study of strategic management.

2018 ◽  
Vol 8 (3) ◽  
pp. 298-316 ◽  
Author(s):  
Grazia Lang ◽  
Torsten Schlesinger ◽  
Markus Lamprecht ◽  
Kaisa Ruoranen ◽  
Christoffer Klenk ◽  
...  

Purpose The purpose of this paper is to identify types of professionalization in Swiss national sport federations (NSFs) and analyze organizational characteristics associated with specific types of professionalization. Such types reveal common patterns among the increasingly complex organizational designs of NSFs and thus contribute to the understanding of professionalization in NSFs. Design/methodology/approach An online survey of all Swiss NSFs was conducted to identify types of professionalization in these organizations using hierarchical cluster analysis, based on a multi-dimensional framework of professionalization. Findings The analysis revealed four types of professionalization: formalized NSFs managed by paid staff, NSFs managed by volunteers and a few paid staff off the field, NSFs with differing formalization and paid staff on the field, and moderately formalized NSFs managed by volunteers. The types differ in terms of the NSFs’ organizational characteristics, in particular, size, financial resources, Olympic status, and performance. Originality/value Applying factor and cluster analysis is a new approach to analyzing professionalization in NSFs that makes uncovering distinctive organizational patterns among a large number of NSFs possible. These results lay the foundation for understanding the professionalization of NSFs, counseling NSFs on their organizational development, and conducting future research on the design types of sport organizations.


2014 ◽  
Vol 10 (4) ◽  
pp. 431-465 ◽  
Author(s):  
Oana Alexandra Albertsen ◽  
Rainer Lueg

Purpose – This paper aims to review the literature on the balanced scorecard (BSC) system. The BSC may well be one of the most popular performance measurement systems, but this is not synonymous with successful. The inventors of the BSC, Kaplan and Norton, actually emphasize that a BSC can only really impact the organizational performance if it is linked to the actors’ intrinsic and extrinsic incentives. As BSC has existed for more than 20 years, the authors find it relevant to survey the extant literature which elaborates on the BSC-incentives link within organizations. Design/methodology/approach – This paper identifies 117 empirical studies from leading academic journals published between 1992 and 2012 and then assesses 30 of these studies, which present the BSC-compensation link within the BSC literature. The authors analyze both research design (authors’ perspective) and the actual findings in the field (organizations’ perspective). Findings – First, it was found that only 30 of 117 empirical studies have a research design that is comprehensive enough to capture a full BSC as suggested by Kaplan and Norton, and only six of these studies elaborate on the link between the BSC and compensation. Second, extant research lacks valid constructs for the BSC and focuses too much on planning (ex-ante) with the BSC and not sufficiently on evaluation and control (ex-post). Third, the authors demonstrate that empirical BSC literature relies very strongly on field research in small and medium enterprises compared to similar research. Overall, the authors claim that the “relevance” of the BSC remains unproven. Originality/value – The authors synthesize the empirical BSC literature and derive a future research agenda.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yucheng Zhang ◽  
Zhongwei Hou ◽  
Xingxing Zhou ◽  
Yumeng Yue ◽  
Siqi Liu ◽  
...  

Purpose Despite recent organizational behavior studies have witnessed considerable progress in abusive supervision research; some demerits for both theory and methodology still remain in the past years. To clarify the current state of knowledge in the field, this study aims to analyze the current state of theories and methods on abusive supervision and provides a detailed future research agenda. Design/methodology/approach This paper conducted a literature review for both theory and methodology of the abusive supervision research using a content analysis of 134 publications. Findings For the theory part, this paper summarized the theories that had been applied to explain the relationship between abusive supervision and its consequences as well as antecedents. For the methodology part, this paper outlined some critical issues regarding country of origin, research design, measurement, analysis strategy and also summarized with a discussion of the relationship between methodological issues and article impact. Finally, this paper concluded by presenting an agenda for future abusive supervision research regarding both theory and methodology. Originality/value First, this paper summarizes the main theories, antecedents and consequences often used in abusive supervision research to allow scholars to carry out theoretically driven research investigating abusive supervision in the future. Second, through a content analysis of the methods sections of abusive supervision research in the samples (i.e. country of origin, research design, measurement and analytical procedures), this paper identified the potential reasons underlying the inconsistency in the conclusions of abusive supervision research and provide some guidance for future empirical studies. Third, based on the qualitative review, this paper provides an agenda for future research investigating abusive supervision by developing a content-specific theoretical framework to benchmark abusive supervision research against other research related to leadership and offers an accurate response to scholars’ criticisms of abusive supervision research.


2019 ◽  
Vol 19 (3) ◽  
pp. 471-489
Author(s):  
Klaas Heemskerk

Purpose Over the past decades, growing interest in the behaviour of boards of directors has brought forth empirical studies on actual board behaviour. An important stream within this research followed the model proposed by Forbes and Milliken in 1999 in which the board processes, effort norms, cognitive conflict and the use of knowledge, are hypothesized to influence the performance of boards of directors. This paper aims to take stock of the results from this stream of research. The sometimes inconsistent results, and assumed methodological flaws of this research, leave open the question whether it makes sense to continue with this line of research. Design/methodology/approach Through a research synthesis of 17 primary studies on (parts of) the model proposed by Forbes and Milliken (1999), this question is addressed directly by clarifying what is known from the research done so far and by identifying possible distorting methodological moderators. Findings Strong empirical support is found for the effect of effort norms and the use of knowledge and skills on board task performance. The evidence for cognitive conflicts however was found to be inconclusive. Common method and respondent bias seem to be a lesser concern than often stated. Research limitations/implications Future studies should not only look closely at the construct validity of conflict, but should also have to account for the multidimensionality of conflicts and the interdependency and endogeneity in the relationship between behaviour and performance in boards. Originality/value This is the first paper that systematically integrates and reviews the empirical results of the research following the Forbes and Milliken model and sketches roads for future research on board behaviour.


Author(s):  
Joseph Mpeera Ntayi ◽  
Ephraim Mugume

Purpose – The purpose of this paper is to provide a taxonomy of strategic sourcing using the defense forces from a developing world context as a testing ground. This study builds upon the current resource-based conceptualization of strategic sourcing as a construct to introduce the institutional orientation. Design/methodology/approach – This study adopts a descriptive and analytical research design of cross-sectional nature to collect data from a sample of 120 respondents to examine the taxonomy of strategic sourcing for defense forces in sub-Saharan Africa. Data were collected using an interviewee administered questionnaire and analysed using a confirmatory factor analysis (CFA). The conceptualization of strategic sourcing is presented using a CFA. Findings – Findings reveal that strategic sourcing is a multidimensional construct composed of: information sharing and risk management, strategic purchasing, institutions for sourcing, internal integration and performance assessment, supplier management and sourcing professionalism and ethics. Research limitations/implications – The study used cross-sectional research design which limits monitoring behaviour over time. Cross-sectional data do not allow control in the analysis for residual heterogeneity. Additionally, all item scales adapted in this study were developed in either manufacturing or profit-oriented sector. Originality/value – A taxonomy for strategic sourcing within the defense forces is presented. This study is based on the observation that despite increased research, there remains a certain level of confusion surrounding the conceptualization of “strategic sourcing”. Researchers attach a startling diversity of definitions and measures to the strategic sourcing concept. Its conceptualization and stability remains an important task for scholars to undertake. Besides, much research in strategic sourcing, are conceptual frameworks identifying key elements and procedures or processes to implement strategic sourcing with sparse empirical studies. The results of the study will be used for further research on strategic sourcing in the defense forces in sub-Saharan Africa.


2019 ◽  
Vol 23 (3) ◽  
pp. 429-453 ◽  
Author(s):  
Sanjeewani Sehgal ◽  
Garima Gupta

Purpose The purpose of this paper is to examine healthcare organizations for the improvements in their existing services (incremental innovation) as well as for the new service developments (radical innovation) initiated through the utilization of resources and co-producing behavior. Design/methodology/approach The paper uses an SEM approach to analyze the responses obtained from 257 medical administrators of 50 hospitals registered with National Accreditation Board for Hospitals and Healthcare Providers. Findings The results reflect a positive and significant impact that is more driven by internal resources and is found to be stronger for incremental innovation in healthcare. The study also posits that resource utilization in conjunction with co-production activities has greater potential to bring innovation that is likely to succeed and stay inimitable. Research limitations/implications The paper outlines scope for future research and suggests inclusion of other service sectors, geographical locations and performance indicators to attain a better understanding of the constructs examined. Practical implications The paper outlines implications for policy makers concerned with healthcare. Providers of health services ought to develop a proactive customer-oriented approach so as to deliver value through service innovations. Integrating customer co-production processes may further augment the overall quality of care. Originality/value Empirical studies integrating the resource-oriented view of innovation along with firms’ co-production and collaborative mechanisms are majorly lacking. The study bridges this gap and suggests ways to bring innovation in health services, a pivotal need for health institutions of an emerging economy like India.


2018 ◽  
Vol 38 (7) ◽  
pp. 1562-1588 ◽  
Author(s):  
Weijiao Wang ◽  
Kee-Hung Lai ◽  
Yongyi Shou

Purpose Servitization has been recognized as an effective means for manufacturers to achieve superior performance. However, the servitization-performance relationship is controversial since prior empirical studies have provided inconsistent and even contradictory results. Hence, the purpose of this paper is to provide a quantitative review on the servitization-performance relationship based on research findings reported in the extant literature. Design/methodology/approach Studies from 41 peer-reviewed journal articles were sampled and analyzed. A meta-analytic approach was adopted to conduct a quantitative review on the relationship between servitization and firm performance. Findings The results confirm a positive servitization-performance relationship. In addition, the results reveal that the observed servitization-performance relationship is influenced by the operationalization of constructs (servitization and performance) and control variables (industry and region). Originality/value As the first meta-analysis on the servitization-performance relationship, this study contributes to the servitization literature and provides future research directions.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Md. Mamunur Rashid ◽  
Md. Mohobbot Ali ◽  
Dewan Mahboob Hossain

PurposeThe purpose of this study is to review the empirical studies that have focused on the adoption, benefits and contingencies of strategic management accounting (SMA) practices and the effects of adoption on firm performance.Design/methodology/approachThe study has highlighted empirical studies conducted on SMA practices in the context of both developed [1] and developing economies. In reviewing the literature, the study focuses on the findings of developed economy separately from that of developing economy to get more insight into the differences in the practices of the two set of economies. Based on the review, avenues for future research studies are outlined.FindingsThe review of extant literature reveals that several SMA techniques such as competitor accounting, strategic pricing, benchmarking and customer accounting have been highly or moderately adopted in several developed countries while majority of other techniques remained at the bottom line of the adoption status. However, the review demonstrates substantial differences in the SMA practices between the two set of economies in terms of the level of adoption, contingent factors and the effects of adoption.Originality/valueThe study attempts to focus on empirical studies that have concentrated exclusively on SMA practices. The adoption status, benefits derived, contingent factors affecting the adoption decision and the effect of adopting a package of SMA techniques on several aspects of firm performance are presented in the context of both developed and developing economies.


2017 ◽  
Vol 55 (1) ◽  
pp. 178-202 ◽  
Author(s):  
Patricia Bachiller

Purpose Despite the vast literature on privatization, the relationship between change of ownership and performance is not clear. The purpose of this paper is to understand why divergences are found between the empirical results of papers analyzed. Design/methodology/approach The author applies a meta-analysis to a sample of 60 empirical studies that analyze the performance of privatized companies. The author checks whether different results on performance can be explained by the method of privatization and the level of development of the country of privatized companies. Findings The findings indicate that companies privatized by public offerings obtain a better performance than companies privatized using other methods, such as private sale or voucher privatization, and do not support the common-place assumption that privatization in developing countries does not improve financial performance. Originality/value The study contributes to the literature on privatization because it adds new empirical evidence about the privatization programs and it first applies a meta-analysis to a sample about privatization on state-owned companies. The author discusses theoretical and managerial implications and offers suggestions for future research on privatization.


2017 ◽  
Vol 13 (2) ◽  
pp. 94-118 ◽  
Author(s):  
Nicole Franziska Richter ◽  
Robert Schmidt ◽  
Tina Jessica Ladwig ◽  
Fabian Wulhorst

Purpose This paper aims to contribute to the core research in international business (IB), namely, the relationship between multinationality and performance and is concerned with the quality of past empirical research designs. Design/methodology/approach On the basis of 49 studies, given in a literature review, the match between performance measures used in empirical studies and the underlying theoretical streams that explain the effects on benefits and costs of multinationality is critically evaluated. Findings Findings indicate that authors still largely rely on overall financial performance measures. Theoretical arguments, in contrast, refer to specific benefit and cost positions that might be better reflected in operational performance indicators. The idiosyncratic choice of the performance measures used might contribute to the varying results in past studies. Originality/value Suggestions for improving future research designs are offered.


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