scholarly journals Women on corporate boards and allocation of capital raised through IPOs

2019 ◽  
Vol 57 (3) ◽  
pp. 547-568 ◽  
Author(s):  
Bazeet Olayemi Badru ◽  
Nurwati A. Ahmad-Zaluki ◽  
Wan Nordin Wan-Hussin
Keyword(s):  
Decision Making ◽  
Governance Structure ◽  
Capital Allocation ◽  
Strategic Decision ◽  
Corporate Boards ◽  
Content Type ◽  
Investment Opportunities ◽  
Women On Corporate Boards ◽  
The Impact ◽  
A Company

Purpose The purpose of this paper is to examine whether the differences in men and women, such as risk aversion in decision making, can influence the amount of capital that the board of directors can allocate for investment opportunities. Design/methodology/approach This study sampled 212 IPOs over the period of 2005–2015 and employed the OLS and the quantile regression techniques to examine the impact of female directors on capital allocation. Findings The results show that women on corporate boards have a positive influence on the amount of capital an IPO company can allocate for investment opportunities. These findings suggest that the investment strategies of women in an emerging financial market, like Malaysia, may differ from women in other financial markets. Practical implications The presence of women on corporate boards plays an important role in board involvement in a company’s strategic decision at the time of the IPO. Therefore, regulators and IPO issuers should pay close attention to the corporate governance structure of a company at the time of an IPO. In addition, investors and other stakeholders of a company may consider women on corporate boards as an important factor in financing and investment decisions. Originality/value Despite several studies that have examined the influence of women on corporate boards on corporate outcomes, globally, the presence of women on corporate boards and their influence on corporate decision-making related to allocation of capital to investment opportunities, have not been fully explored in the IPO literature.

Understanding how the contextual variables influence political behaviour in strategic decision-making

2014 ◽  
Vol 7 (3) ◽  
pp. 226-250 ◽  
Author(s):  
Said Elbanna ◽  
Ioannis C. Thanos ◽  
Vassilis M. Papadakis
Keyword(s):  
Decision Making ◽  
Strategic Decision ◽  
Strategic Decision Making ◽  
Strategic Decisions ◽  
Empirical Examination ◽  
Content Type ◽  
Political Behaviour ◽  
Practitioner Education ◽  
The Impact ◽  
Practical Implications

Purpose – The purpose of this paper is to enhance the knowledge of the antecedents of political behaviour. Whereas political behaviour in strategic decision-making (SDM) has received sustained interest in the literature, empirical examination of its antecedents has been meagre. Design/methodology/approach – The authors conducted a constructive replication to examine the impact of three layers of context, namely, decision, firm and environment, on political behaviour. In Study 1, Greece, we gathered data on 143 strategic decisions, while in Study 2, Egypt, we collected data on 169 strategic decisions. Findings – The evidence suggests that both decision-specific and firm factors act as antecedents to political behaviour, while environmental factors do not. Practical implications – The findings support enhanced practitioner education regarding political behaviour and provide practitioners with a place from which to start by identifying the factors which might influence the occurrence of political behaviour in SDM. Originality/value – The paper fills important gaps in the existing research on the influence of context on political behaviour and delineates interesting areas for further research.

Strategic implications of HR role management in a dynamic environment

2016 ◽  
Vol 45 (2) ◽  
pp. 353-373 ◽  
Author(s):  
Cathy Sheehan ◽  
Helen De Cieri ◽  
Brian Cooper ◽  
Tracey Shea
Keyword(s):  
Decision Making ◽  
Role Conflict ◽  
Strategic Decision ◽  
Strategic Decision Making ◽  
Role Overload ◽  
Environmental Dynamism ◽  
Content Type ◽  
Hr Role ◽  
The Impact ◽  
Role Management

Purpose – The purpose of this paper is to consider the impact of human resource (HR) role overload and HR role conflict on the HR function’s involvement in strategic decision making and to examine whether conditions of environmental dynamism moderate the impact of HR role conflict and HR role overload in that relationship. Design/methodology/approach – The authors collected data from two sources, senior HR and top management team (TMT) executives. A total of 180 HR executives and 109 TMT members completed the survey. In all, 102 organisations were included in the sample with matched HR executive and TMT responses. Findings – Results did not support hypothesised negative relationships between HR role management and involvement in strategic decision making but did establish the moderating effect of environmental dynamism, such that these associations were more negative at higher levels of dynamism. Research limitations/implications – The cross-sectional nature of the study precludes making inferences about causality and would need to be replicated with a longitudinal design before stronger inferences could be drawn with regard to the relationships between the variables. A strength of the study however is the use of two sources of data to address the issue of common method variance. Practical implications – The research has implications for the potential value that HR provides in dynamic environments and the risk that HR role conflict and overload pose to the contribution that HR can make during these periods. Originality/value – The research shifts the focus away from the definition of HR roles to considering how these roles are enacted and kept in balance.

Affective states and ecological rationality in entrepreneurial decision making

2016 ◽  
Vol 31 (7) ◽  
pp. 1182-1197 ◽  
Author(s):  
Oana Catalina Fodor ◽  
Petru Lucian Curşeu ◽  
Alina Maria Fleştea
Keyword(s):  
Decision Making ◽  
Design Methodology ◽  
Strategic Decision ◽  
Ecological Rationality ◽  
Affective States ◽  
Content Type ◽  
Final Sample ◽  
Initial Support ◽  
Entrepreneurial Decision ◽  
The Impact

Purpose The purpose of this paper is to explore the impact of affective appraisal dimensions on the use of two ecologically rational, social heuristics: imitate the majority (IMH) and imitate the best (IBH) during an entrepreneurial strategic decision-making process (ESDM). Design/methodology/approach The authors test the hypotheses in a controlled field experiment, on a final sample of 98 entrepreneurs. Findings The study shows that entrepreneurs experiencing affect described by certainty appraisal display a preference for relying on IMH, but not on IBH. Moreover, entrepreneurs who experience unpleasant affect tend to rely more on IMH, rather than IBH. The reverse is true for the entrepreneurs who experience positive affect. Finally, the use of IMH is most likely under unpleasant and certain affect, while the use of IBH is most likely under pleasant and certain affect. Originality/value The main contribution of this study is that it provides initial support for the impact of affective appraisal dimensions on the use of ecologically rational heuristics (i.e. heuristics that save important resources, but bring beneficial results) during an ESDM process.

Would diversified corporate boards add value? The case of banking institutions in Malaysia

2018 ◽  
Vol 10 (2/3) ◽  
pp. 218-228 ◽  
Author(s):  
Ribed Vianneca W. Jubilee ◽  
Roy W.L. Khong ◽  
Woan Ting Hung
Keyword(s):  
Firm Value ◽  
Banking Sector ◽  
Gender Diversity ◽  
Governance Structure ◽  
Corporate Boards ◽  
Board Diversity ◽  
Content Type ◽  
Banking Institutions ◽  
The Government ◽  
The Impact

Purpose Board diversity has gained increasing attention and has been widely posited as a driver for firm value. The purpose of this paper is to provide empirical evidence on the relation of gender diversity of corporate boards with the value of banking institutions in Malaysia. Design/methodology/approach The sample comprised of ten banking institutions listed on Bursa Malaysia with data observations from 2007 to 2016. Panel data techniques were employed to investigate the relationship between having female directors and firm performance in terms of values generated as indicated by Tobin’s Q. Findings The results revealed a positive relationship between the proportion of female director and the value of the bank. Interestingly, this study found that appointment of female independent directors tends to be negatively related to the value of such institutions. Practical implications There remains a shortage of research studying the impact of gender equality on corporate boards in Malaysia generally and in the banking sector specifically. Thus, this study contributes a significant knowledge on the value implication of board diversity. The findings also provide useful insights on the developmental policy initiated by the government to increase female participation in the top management. Originality/value This study contributes to the literature by bridging the knowledge gap on board diversity in the governance structure of banking institutions. It also provides theoretical contributions to the development of regulatory policy in relation to gender diversification in corporate leadership.

scholarly journals The impact of mood on decision-making process

2017 ◽  
Vol 12 (3) ◽  
pp. 242-257 ◽  
Author(s):  
Tony Gear ◽  
Hong Shi ◽  
Barry J. Davies ◽  
Nagah Abdlelaziz Fets
Keyword(s):  
Decision Making ◽  
Emotional State ◽  
Strategic Decision ◽  
Dominant Factor ◽  
Decision Making Process ◽  
Strategic Decisions ◽  
Content Type ◽  
Future Studies ◽  
Relational Factors ◽  
The Impact

Purpose The purpose of this paper is to explore and analyze relationships between contextual factors, and micro-cognitive, emotional and relational factors, influencing the strategic decision-making process. Design/methodology/approach The relative roles of “rationality,” “intuition” and “political behavior” in five recent and critical strategic decisions have been explored using 16 semi-structured interviews with senior decision-makers in three Middle Eastern Arabic commercial banks. Findings Context specific macro-factors were found to influence the emotional state of strategists, leading them to adopt a rational approach, rather than use intuitive judgment, to making all five decisions. Research limitations/implications The study was limited to one contextual situation and business sector in order to maintain these variables relatively constant, with proposals for extending studies to other business situations and contexts. Practical implications The paper provides evidence for the impact of micro emotional and relational factors on decision-making practice, which should lead to increased recognition for strategists, and organizations, of the importance of these influences on strategic decision practice. Social implications A social implication is that organizations should build a level of awareness of the impact of the mood of strategists who are involved with strategic decisions, perhaps through appropriately designed social processes of organizational learning. Originality/value The paper examines the little-researched influence of the mood of strategists on the nature of decision-making process, and demonstrates the importance of including emotional factors in future studies. An explanatory framework is developed which is consistent with an interpretation that places the emotional state (mood) of “concerned attention” which existed within the senior management groups as the dominant factor driving the nature of process. A generalized research framework is proposed to aid future studies of strategic processes.

Organizational adoption of 3D printing technology: a semisystematic literature review

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Desiree Valeria Ukobitz
Keyword(s):  
Decision Making ◽  
3D Printing ◽  
Literature Review ◽  
Strategic Decision ◽  
Future Research ◽  
Managerial Decision ◽  
Organizational Adoption ◽  
Content Type ◽  
Theoretical Concepts ◽  
The Impact

PurposeThree-dimensional (3D) printing (3DP) offers a promising value proposition across multiple manufacturing industries. Despite the variety of production benefits the technology entails, its rate of adoption is still low compared to industry forecasts. In face of this challenge, industry as well as academia requires more information and guidance. This review aims to examine the characteristics of the existing body of research on the organizational adoption of 3DP as well as its underlying theoretical concepts. The most common criteria driving adoption will be derived, such as to facilitate the managerial decision-making process. Pathways for future research will be presented.Design/methodology/approachThis study underlies a bibliometric literature review and additionally applies content analysis to systematically investigate the existing body of research and group decision criteria along the four major pillars of strategic decision-making.FindingsThe contributions of this paper are threefold. First, the bibliometric analysis reveals interesting aspects of the existing body of research. The most prominent characteristics of the contemporary literature are reflected along descriptive indicators, such as industry, method, model, origin, research outlet or adoption drivers, thus granting relevant insights into academia and practice. Second, the most notable adoption models are carefully analyzed on their inherent attributes and their application fit for the context of organizational 3DP adoption. Findings, for instance, revealed the dominance of diffusion of innovation (DOI) across the existing body of research and divulge that this construct is generally applied in combination with user-centered decision frameworks to yield more precise results. Third, an ample range of opportunities for future research are detected and thoroughly explained. Among others, the authors identified a clear lack of information on the impact environmental variables and contingency factors exerted on the organizational adoption of 3DP. Guidance in relation to the sourcing of industry data, usage of adoption frameworks and avenues for future scientific projects is supplied.Originality/valueThis study represents the first semi-systematic literature review on the organizational adoption of 3DP. Thus, it not only offers a valuable evaluation guide for potential adopters but also determines a future research agenda.

CSR in multiple environments: the impact of headquartering

2014 ◽  
Vol 10 (3) ◽  
pp. 124-151 ◽  
Author(s):  
Ralf Barkemeyer ◽  
Frank Figge
Keyword(s):  
Decision Making ◽  
International Business ◽  
Resource Dependence ◽  
Resource Dependence Theory ◽  
Organizational Legitimacy ◽  
Strategic Decision ◽  
Content Type ◽  
Corporate Social ◽  
Global And Local ◽  
The Impact

Purpose – This paper aims to argue that the on-going professionalization and dissemination of the current wave of corporate social responsibility (CSR) concepts and instruments leads to a headquartering effect, i.e. the concentration of CSR-related decision-making within corporate headquarters. This headquartering effect casts doubt on earlier studies suggesting that the “transnational” or “glocal” model can effectively address the multitude of global and local CSR challenges modern multinational companies (MNCs) face. Design/methodology/approach – This conceptual paper uses a stakeholder lens, in turn, drawing from resource dependence theory and organizational legitimacy theory to develop under which conditions claims of Southern stakeholders will be considered by Northern MNCs. It provides evidence for the existence of a headquartering effect as a defining characteristic of mainstream CSR approaches. Findings – The authors argue that the increasing professionalization and dissemination of mainstream CSR approaches among MNCs reinforce the headquartering effect, with strategic decision-making increasingly confined to the companies’ headquarters, while the scope of action within the subsidiaries and the supply chain of MNCs becomes increasingly restricted over time. Ultimately, this headquartering effect strengthens a Northern CSR/sustainability agenda and fails to empower developing country stakeholders. Originality/value – The paper contributes by exploring how international CSR follows a different underlying rationale than international business. While international business research follows an instrumental perspective, international CSR is driven by both instrumental and normative considerations. Thus, international business theories may not be directly applicable to international CSR contexts.

Open strategy: what is the impact of national culture?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Henry Adobor
Keyword(s):  
Decision Making ◽  
Conceptual Framework ◽  
National Culture ◽  
Cultural Dimensions ◽  
Strategic Decision ◽  
Strategic Decision Making ◽  
Content Type ◽  
Different Cultures ◽  
The Impact ◽  
Open Strategy

Purpose This paper aims to argue that national cultural context variables influence open strategy formation processes. This study suggests that country-specific differences may influence open strategy, a form of strategic decision-making and present propositions linking national culture dimensions, national trust orientation and open strategy. Design/methodology/approach The conceptual framework links the literature on Hofstede’s cultural dimensions to the open strategy paradigm. This paper adopts a contingency approach linking national culture to open strategy. Findings The theoretical arguments demonstrate that uncertainty avoidance, time orientation, power distance, individualism versus collectivism and national trust culture all have a moderating influence on the antecedents and outcomes of open strategy. The findings extend the external validity of the open strategy paradigm and show that a culture-bound explanation of open strategy may be useful to the understanding of open strategy. Practical implications The findings highlight the challenges and opportunities that managers face when they adopt open strategy processes in multinational settings and across different cultures. Managers need to be aware that national cultural variables affect how employees behave and how they are likely to act when faced with opportunities for inclusion, shared decision-making and transparency. The findings suggest that training employees ahead of time on the cultural effects of their behavior may aid the successful adoption of open strategy in different cultures. Originality/value This manuscript to our knowledge, maybe one of the first to make a direct link between openness and national cultural values. In the process, the conceptual framework extends research on the role of context on openness, as well as research at the nexus of cross-cultural issues and strategic decision-making.

The Dubai tennis ball machine

2011 ◽  
Vol 1 (1) ◽  
pp. 1-3
Author(s):  
Zeenath Reza Khan
Keyword(s):  
Decision Making ◽  
Information Technology ◽  
United Arab Emirates ◽  
Subject Area ◽  
Strategic Decision ◽  
Strategic Decision Making ◽  
Tennis Ball ◽  
Content Type ◽  
The Impact

Subject area Ethics in IT, community informatics, management. Study level/applicability Undergraduate and postgraduate information technology and citizens' rights, strategic decision making. Case overview This case spotlights Athlete Sports in Dubai, United Arab Emirates (UAE). It focuses on the malfunction of the company's equipment that is rented from ABC Sports Equipment. Athlete Sports has been in the UAE over a decade and has positioned itself fairly at the top due to its qualified coaches and quality of facilities it provides. The case highlights the company's transition from owning equipment to leasing equipment that increases profits. However, it also sheds light on ABC Sports' venture into code reusability in order to upgrade equipments faster. The case looks closely at the ultimate consequences of ABC Sports' practice and the impact it has on Athlete's Sports' clients and the subsequent decisions the managers are expected to make. Expected learning outcomes This case can be used to teach strategic decision making, and ethics in information technology. Supplementary materials A teaching note is available on request.

Quantitative tool for market sector strategic analysis

2018 ◽  
Vol 25 (6) ◽  
pp. 1706-1728 ◽  
Author(s):  
Rogério dos Santos Morais ◽  
Carlos Roberto Camello Lima
Keyword(s):  
Decision Making ◽  
Business Strategy ◽  
Telecommunications Industry ◽  
Strategic Decision ◽  
Strategic Decision Making ◽  
Content Type ◽  
Strategic Factor ◽  
Accurate Quantitative Analysis ◽  
Strategic Factors ◽  
A Company

Purpose A competitive business strategy with a greater chance of success depends on an accurate quantitative analysis of business strategic factors prevailing in a company. The purpose of this paper is to conduct the latter to determine the level of competitiveness in a sector. Design/methodology/approach This study develops a tool based on literature classics and tested in the telecommunications industry to determine market segment competitiveness, market attractiveness and the relative ability of companies to generate profits. Findings The proposed tool allows managers to quantify each strategic factor and, thus, identify positive factors leading to a competitive advantage and weaknesses leading to vulnerability, which enables an improvement in daily strategic decision making. Practical implications Implementing the tool can enable managers to both quantify each strategic factor and improve strategic decision making. Originality/value This methodology employed here is novel. As such, this study provides new insights into how to compete in the telecommunications industry and discusses useful implications for academia, new entrepreneurs, buyers and suppliers.

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