scholarly journals Organizational Ambidexterity in Family-Managed Firms: The Role of Family Involvement in Top Management

2020 ◽  
Vol 33 (4) ◽  
pp. 393-423
Author(s):  
Nadine Kammerlander ◽  
Holger Patzelt ◽  
Judith Behrens ◽  
Christian Röhm
Keyword(s):  
Family Involvement ◽  
Family Firms ◽  
Top Management ◽  
Organizational Ambidexterity ◽  
Firm Innovation ◽  
Nuanced Understanding ◽  
Curvilinear Relationships ◽  
Exploration Exploitation ◽  
Family Centered

Organizational ambidexterity is vital for family firms’ long-term success, yet we still lack sufficient insights into the role of family involvement in top management in this context. Building on research on family firm innovation and diversity, we argue there are curvilinear relationships between family involvement in top management and exploration, exploitation, and organizational ambidexterity. We further propose that these (inverse) U-shaped relationships are affected by family CEOs’ family-centered noneconomic goals. Multisource data on 109 family-managed firms support most of our hypotheses and provide a nuanced understanding of how diversity within top management affects family firms’ innovative behavior.

scholarly journals The role of innovation narratives in accomplishing organizational ambidexterity

2020 ◽  
pp. 147612701989723 ◽  
Author(s):  
Mairi Maclean ◽  
Charles Harvey ◽  
Benjamin D Golant ◽  
John AA Sillince
Keyword(s):  
Real Time ◽  
Dynamic Process ◽  
Top Management Team ◽  
Management Team ◽  
Top Management ◽  
Organizational Ambidexterity ◽  
Top Executives ◽  
Exploration Exploitation ◽  
Polyphonic Model

Persistent tensions arising from the exploration–exploitation paradox continuously threaten the accomplishment of organizational ambidexterity. Structural, contextual, and sequential solutions designed to alleviate these tensions dominate the ambidexterity literature. None of these adequately explains how top executives implement tension-alleviating managerial initiatives or how they respond in real time to tension-induced organizational perturbations. In this article, through analysis of top management team speeches at Procter & Gamble over a 15-year period, we show how the construction and communication of four innovation narratives—contextualizing, mutualizing, dramatizing, and focalizing—reduced tensions and enhanced organizational ambidexterity. We demonstrate the importance of top management team reflexivity in devising and communicating performative narratives, illustrate the polyphonic model of narrative strategizing, and present a cyclical model suggesting that the accomplishment of organizational ambidexterity is an ongoing dynamic process.

scholarly journals Organizational Psychological Capital in Family Firms: the Role of Family Firm Heterogeneity

2021 ◽  
Author(s):  
Denise Fischer-Kreer ◽  
Andrea Greven ◽  
Isabel Catherine Eichwald ◽  
David Bendig ◽  
Malte Brettel
Keyword(s):  
Family Involvement ◽  
Family Firms ◽  
Psychological Capital ◽  
Firm Heterogeneity ◽  
Top Management Team ◽  
Family Firm ◽  
Management Team ◽  
Top Management ◽  
The Family

AbstractOrganizational psychological capital—comprising hope, confidence, resilience, and optimism—is a vital resource for family firms in times of stress. Surprisingly, whether and how family firm idiosyncrasies impact organizational psychological capital remains unclear. Considering the theoretical paradigm of socio-emotional wealth, we investigate two important family firm characteristics as antecedents of organizational psychological capital: the family involvement in the top management team and the generation of the family firm. We further propose that these relationships are moderated by a board of directors’ tenure. Based on an empirical analysis of listed U.S. family firms, our results confirm a negative relationship between family membership in the top management team and organizational psychological capital. In addition, we find that descendant family firms exhibit higher levels of organizational psychological capital than founder family firms. The results also confirm the moderating role of board tenure. This study works toward a more holistic view of family firm heterogeneity and specifically how different types of family involvement shape a firm’s positive strategic resources.

Competitive Strategy Based on Flexibility

2019 ◽  
pp. 129-148
Author(s):  
Marta Pérez-Pérez ◽  
María Concepción López-Fernández ◽  
Ana María Serrano-Bedia
Keyword(s):  
Family Involvement ◽  
Competitive Strategy ◽  
Family Firms ◽  
Implementation Process ◽  
Manufacturing Flexibility

This chapter is intended to analyze the extent to which businesses in Spain have adopted several flexibility-manufacturing practices. Specifically, this study explores firstly, sample-based differences in the results of comparative family firms versus nonfamily firms concerning practices for implementing manufacturing flexibility. Secondly, heterogeneity in this implementation process within different groups of family firms was explored. The gathered evidence suggests that the main differences with respect to practices for implementing manufacturing flexibility appear when specific characteristics surrounding family firms and related to the role of the CEO and family involvement in the management of the firm are considered.

Family Firms and the Choice Between Wholly Owned Subsidiaries and Joint Ventures: A Transaction Costs Perspective

2018 ◽  
Vol 44 (2) ◽  
pp. 211-232 ◽  
Author(s):  
Maria Cristina Sestu ◽  
Antonio Majocchi
Keyword(s):  
Transaction Costs ◽  
Family Involvement ◽  
Family Firms ◽  
Joint Venture ◽  
Entry Modes ◽  
Family Control ◽  
The Family ◽  
Wholly Owned Subsidiary ◽  
Transaction Costs Economics

We examine the effects of family control on entry mode choice by integrating Transaction Costs Economics with the family business literature. Using a dataset of 951 foreign investments, we investigate the role of family involvement on entry modes. After controlling for endogeneity, we find that if both the investing and the local firm are family firms, forming a joint venture is preferred, while if only the investing firm is a family firm, a wholly owned subsidiary is more likely. Results show that family control has an important impact on entry modes, an hypothesis that has not yet been fully explored.

Offshoring and firm innovation: The moderating role of top management team attributes

2012 ◽  
Vol 33 (13) ◽  
pp. 1480-1498 ◽  
Author(s):  
Oli R. Mihalache ◽  
Justin J. J. P. Jansen ◽  
Frans A. J. Van Den Bosch ◽  
Henk W. Volberda
Keyword(s):  
Top Management Team ◽  
Management Team ◽  
Top Management ◽  
Firm Innovation ◽  
Team Attributes ◽  
Moderating Role

scholarly journals Family Involvement in Management and Product Innovation: The Mediating Role of R&D Strategies

2019 ◽  
Vol 11 (7) ◽  
pp. 2162 ◽  
Author(s):  
Julio Diéguez-Soto ◽  
María J. Martínez-Romero
Keyword(s):  
Family Involvement ◽  
Product Innovation ◽  
Family Firms ◽  
Panel Data Analysis ◽  
Investment Strategy ◽  
Family Management ◽  
Mediating Role ◽  
Product Innovations ◽  
Family Involvement In Management

Following calls to capture family firms’ innovative behavior and to specifically clarify how family firms manage product innovations to achieve sustainable economic development, this study empirically investigates the mediating role of Research & Development (R&D) strategies (i.e., intramural R&D investments, extramural R&D investments, and the combination of both intramural and extramural R&D investments) in the relationship between family involvement in the management and likelihood of obtaining product innovations. Carrying out a panel data analysis that is based on 7264 observations of Spanish manufacturing firms throughout the 2000–2015 period, our results suggest a negative effect of the level of family management on the likelihood of introducing product innovations. Moreover, we found that intramural R&D investments and the investment strategy consisting of both intramural and extramural R&D mediated the family involvement in management-likelihood of obtaining product innovations relationship. Our findings contribute important insights to the comprehension of which determinants instigate product innovation in family managed firms.

scholarly journals Family Involvement in the Firm and Exports in the Family SME: Is the Manager’s International Orientation Influential?

2015 ◽  
Vol 7 (3) ◽  
pp. 69-99 ◽  
Author(s):  
Sami Basly
Keyword(s):  
Family Involvement ◽  
Family Firms ◽  
Positive Influence ◽  
International Orientation ◽  
The Family ◽  
Sample Data ◽  
Family Smes ◽  
Family Involvement In Management ◽  
The Relationship

AbstractDoes the family involvement affect exports in the family firm? The literature seems to support this view even if the direction and magnitude of this impact remains controversial. Drawing on the perspectives of agency [Chrisman et al. 2004; Schulze et al. 2001] and stewardship as applied to family firms [Davis, Schoorman and Donaldson 1997] and also on socio-emotional wealth perspective [Gómez-Mejía et al. 2007], this study seeks to contribute to this debate by studying the influence of family involvement on the SME exports intensity. To reconcile the divergent views, our research attempts to assess the role of the manager’s international orientation as a variable moderating the relationship between family involvement and exports in SMEs. Based on a hypothetical-deductive approach, the study uses a sample data of 125 family SMEs obtained through a questionnaire. The results show that even if the positive influence of the manager’s international orientation is corroborated, its moderating role seems to be limited to only one facet of the construct of family involvement i.e. involvement in management. Moreover, owning-family involvement in management seems to negatively influence exports while some results argue for a positive effect of the family involvement in ownership on exports.

scholarly journals The Dynamic Model of Intellectual Capital Creation in Family Business: The Dynamic Capabilities Perspective

2021 ◽  
Vol 4 (2) ◽  
Author(s):  
Tung-Shan Liao ◽  
Thi Thuy Dung Pham ◽  
Juin-Cherng Lu
Keyword(s):  
Competitive Advantage ◽  
Family Involvement ◽  
Family Business ◽  
Intellectual Capital ◽  
Dynamic Capabilities ◽  
Family Firms ◽  
Knowledge Accumulation ◽  
The Subject ◽  
The Relationship

The paper's purpose is to examine the role of knowledge and learning as a dynamic capability that leads to competitive advantage in family firms. It further conceptually develops a model showing the relationship between intellectual capital, firm performance, and dynamic capabilities in family firms. Using past case studies related to the subject, this study highlights the importance of knowledge accumulation, integration, codification, and the preservation of socioemotional wealth as dynamic capabilities that allow a family firm to sense and seize business opportunities that transform the business to a competitive advantage. Findings from the case applications reveal that family businesses benefit from the accumulation of knowledge through expertise, skills, and employment of non-family members and having family involvement as strategic important assets that lead to increased value in family firms’ performance.

The “Most Wanted”: The Role of Family Strategic Resources and Family Involvement in CEO Succession Intention

2020 ◽  
Vol 33 (3) ◽  
pp. 284-309 ◽  
Author(s):  
Giovanna Campopiano ◽  
Andrea Calabrò ◽  
Rodrigo Basco
Keyword(s):  
Family Involvement ◽  
Family Business ◽  
Top Management Team ◽  
Management Team ◽  
Top Management ◽  
Ceo Succession ◽  
Data Set ◽  
Strategic Resources ◽  
Cross Country

Stemming from familiness and the notion of nonimitable strategic resources, we investigate, in the presuccession phase, the role of acquisition and accumulation of family strategic resources, along with the way family involvement in the top management team affects resource mobilization and deployment, in determining the intention to choose either a family or a nonfamily member as the next CEO. Data from a cross-country double-respondent family business data set (Successful Transgenerational Entrepreneurship Practices project) reveal that human capital is a significant family strategic resource reducing the intention to select a family CEO, although leveraging this resource by a top management team dominated by family members enhances this intention.

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