Why are some newly appointed CEOs dismissed from their positions while others are not? Is it hard for newly appointed CEOs to survive in highly diversified firms? Drawing upon the concepts of executive job demands and information-processing theory, we argue that newly appointed CEOs face entirely different degrees of complexity and challenges in their role, and that firms’ product diversification and international diversification predict dismissals of newly appointed CEOs after controlling for other possible explanatory variables. Additionally, we propose that appointment of a new outsider CEO makes newly appointed CEOs more vulnerable to dismissal and consequently strengthens the predicted relationships. The empirical results support our arguments. These results suggest that the demands faced by a high degree of (product or international) diversification are likely to present challenges that increase the likelihood of corporate disruption through the departures of newly appointed CEOs. Contributions to the CEO dismissal and succession literature are discussed.

During the past decade, a great deal of research has been carried out on the importance of employee engagement. In various studies, engagement is viewed as a positive state of mind of overwhelming satisfaction, which is characterized by feelings of vigour, dedication and absorption. In this article, ‘vigour’ refers to a state of mind in which individuals feel energetic, fit, strong and indefatigable. ‘Dedication’ refers to a state of mind in which individuals feel highly engaged by their work, which inspires them, and makes them feel proud and enthusiastic. ‘Absorption’ refers to a pleasant state of mind in which individuals are fully immersed in their work. This article provides an overview of a number of perspectives on leadership and discusses which leadership factors are likely to be the most effective in ensuring that employees remain engaged and productive. It also provides a conceptual model for further research on the relationship between leadership styles and work engagement.

The direct positive relationship between empowering leadership and subordinate empowerment is well established. However, leader–member exchange (LMX) research, which concerns a leader’s relationship-building with subordinates in a work unit, suggests that the direct leader empowering–subordinate empowerment association may be more complex than understood in the current literature. Accordingly, this study examined LMX theory-based mediation and moderation processes occurring between empowering leadership and subordinate empowerment. In a field study employing 132 administrative workers in 26 work groups, as expected, an individual subordinate’s perceived LMX mediated the positive effects of empowering leadership on the subordinate’s psychological empowerment. In addition, LMX differentiation cross-level moderated the linkage between empowering leadership and perceived LMX. Together, study findings suggest that subordinates’ perceived LMX in a dyadic relationship with a leader and in a work group needs to be carefully considered in empowering leadership processes.

This study investigates the effects of servant leadership on employee attitudes, behaviors, and psychological climates. In Study 1, the empirical results are based on data for 284 employees from 12 different organizations, and in Study 2, the results are based on data for 286 employees from 15 different organizations. The results show that servant leadership is positively and significantly related to organizational citizenship behavior, job satisfaction, and psychological climate. The relationship between servant leadership and job satisfaction is also partially mediated by psychological climate. With these results, this study contributes to research showing that leadership has both direct and mediating effects on employee attitudes and behaviors.

We examined how external stakeholder pressure and ethical leadership independently and interactively influence the implementation of corporate social responsibility. Based on data collected from 292 employees from 53 companies (Study 1) and from 224 middle-level managers from 40 companies (Study 2) in mainland China, we found that both ethical leadership and external stakeholder pressure have significant and positive impacts on corporate social responsibility implementation and the positive effect of external stakeholder pressure on corporate social responsibility weakens under a higher level of ethical leadership and strengthens under a low level of ethical leadership. The theoretical and practical implications of these findings are discussed.

Faultline configurations in top management teams are of vital importance in predicting firm outcomes. Grounded in faultline theory, we hypothesise the positive effects of faultlines through the dual routes of coordination and information processing under conditions of various subgroup configuration types. Second-hand data from publicly traded Chinese information technology firms are used to test our hypotheses. The results demonstrate that TMT faultline strength is positively related to a firm’s short-term performance only when both the number and the balance of subgroups are high and is positively related to a firm’s innovation activities only when the number of subgroups is high and the balance of subgroups is low. This study contributes to faultline theory by enriching the connotation of faultlines with the configurational perspective and advancing the debate on the effects of team faultlines as we reveal the benefits of TMT faultlines.

This study employs a dynamic capabilities perspective to examine the relationships among strategy orientation, product innovativeness, and new product development performance. This paper proposes that the role of product innovativeness in these relationships differs between the two dimensions of strategy orientation (market orientation and technology orientation) and new product performance. Regression analysis was used to test the hypotheses in a sample of 118 new product development cases. The empirical findings indicate that product innovativeness positively moderates the relationship between market orientation and new product performance, whereas technology orientation affects new product performance through the mediating effects of product innovativeness. Finally, the study provides a discussion on the managerial implications and directions for future research.

Chinese paternalistic leadership (PL) includes three dimensions: benevolence, morality and authoritarianism. Benevolent leadership positively affects organizational citizenship behaviors through leader–member exchange (LMX). Resource limitations of supervisors bring about LMX differentiations within groups. Little research has addressed the moderating effect of LMX differentiations on the three dimensions of paternalistic leadership and organizational citizenship behaviors. In a study on 307 team members and leaders in 47 teams in two hotels in China, we found that benevolence and moral leadership had a positive effect on organizational citizenship behaviors, whereas authoritarian leadership did not. Team LMX differentiations moderated the relationship between moral leadership, authoritarianism leadership and LMX.

This paper explores empirical data from human resources practitioners and employees to define the ways in which organisations respond to complaints about workplace bullying in New Zealand. Despite recommendations that organisations take workplace bullying seriously and increasing research in recent years, little evidence exists of improvements in the management of this problem. Indeed, this study adds to the gloom by providing an account of the ways in which a group of organisations failed to take responsibility for the welfare of their employees and members. A selection of disappointing responses to requests for help, and some possible explanations for these responses, is presented. Crucially, a set of terms for identifying organisational inaction towards full resolution of workplace bullying is introduced, resolving some aspects of denotative hesitancy in this area. Defining the approaches that hinder resolution of workplace bullying may contribute to its reduction.

In this paper we look at how managers perceive and manage meetings between different institutional logics in three types of hybrid organisations; a savings bank, a municipality and a hospital. The paper contributes to our understanding of organisational hybridity in two ways: First, drawing on Scott’s three institutional pillars, the paper shows how meetings between different institutional logics involve not just the cultural–cognitive pillar, usually highlighted in work on hybrid organisations, but all of them, including the regulative and the normative pillars. Second, the paper suggests a hierarchical relationship between meetings and responses, ranging from less elaborate responses that primarily involve the regulative pillar to more complex and all-encompassing responses that include not only the regulative and the normative but also the cultural–cognitive pillar, triggering questions and issues about identity and purpose.

This study examines the efficacy of the smiling curve, and clarifies the relationship between downsizing strategies (advertising, marketing, and research and development, respectively) and firm performance specifically in an economic downturn. This study tests hypotheses using 1996–2010 data from the Taiwan Economic Journal on 436 listed Taiwanese companies. The results indicate that the benefits for firms to follow the smiling curve may not occur in the short term and that downsizing strategies may not always be the appropriate strategy to improve firm performance. During an economic downturn, downsizing strategies do not appear to enhance firm performance, that is, the smiling curve should not frown during an economic downturn to enhance firm performance.

Employees committed to their organizations are more likely to contribute better and remain longer with their companies. This study examines how to build such organizational commitment through job characteristics, leadership and empowerment. Using a sample of 605 knowledge workers from four countries and various industries, this study probes how leadership complexity and psychological empowerment transform the impact of job characteristics on affective commitment. Results indicate that psychological empowerment partially mediates the effects of job characteristics on affective commitment and that leadership complexity moderates the influence of job characteristics and empowerment on affective commitment. Theoretical and practical implications of the research findings are discussed

In this paper, we examine the increasing global attention being given to the German organizational form of the Mittelstand over the past decade. We do so, especially, in consideration of the construction of Australian analogues to the Mittelstand. Such translations have been posited as a solution to the current crisis facing Australian manufacturing. Translation out of context always poses problems: can a specifically national form of organization, such as the German Mittelstand, be something that can, potentially, be translated to other nations and industrial contexts? The Australian case offers an empirical setting in which to explore understandings of transnational translation of management innovations. Our findings demonstrate how globally theorized models subject to translation align abstract value orientations with local templates. Our discussion focuses on the translation of a Bavarian model of organization into very different locations, such as Geelong, Australia.

This paper explores the role played by a Human Resources (HR) department orchestrating culture change during the merger of two large State departments with dissimilar cultures. A 2-year case study determined what HR strategies were having the greatest impact on embedding new organisational values to produce a more flexible culture and how these practices could be accelerated. This paper indicates how a more strategic approach by HR departments can support and develop relational managing capability that accelerates cultures change towards a more flexible work environment.

This paper describes the context of the change process, the relevant literature, and outlines the research process. The findings from the phases of the data collection are summarised revealing the traumatic perceptions of the change process, but also the instrumental actions of some managers, working creatively with their teams to tackle new tasks and projects. The evidence suggests that these informal practices of task allocation were at the core of change agency in this case study and put the new flexible organisational values into action. The findings illustrate how the organisation moves from valuing managers for their technical competence to valuing managers for their relational competence.

The paper then discusses what strategic HR actions were accelerating this process and illuminates the critical role of building managers as change agents. The paper concludes by confirming the need for a strategic approach by HR during organisational change. Building manager capability and supporting informal change agency practices is presented as a core focus for HR during such organisational cultural change programmes.

Research on corporate governance has attempted to investigate the added value of boards of directors through the lenses of both demographic and behavioral approaches. However, investigations into these two approaches, and the subsequent implications for firm performance, have thus far been mainly decoupled from one another. Therefore, the aim of this paper is to put both approaches to the test in the family business context. Using a sample of 567 Spanish family firms, we find that although both approaches can explain the performance of family firms, the behavioral approach explains a much higher proportion of the variation in the firm’s performance. Furthermore, our findings support our hypotheses that the relationship between the proportion of outside directors and firm performance follows an inverted U-shape in private family firms, and that both business-oriented and family-oriented board role performance are positively related with firm performance.

This study examined how information seeking and proximal adjustment outcomes (role clarity and social integration) mediate the relationship between transformational leadership and distal adjustment outcome (affective organizational commitment) in work group context. The results of hierarchical linear modeling involving 212 newcomers and their 53 immediate supervisors revealed that information seeking mediated the relationship between transformational leadership and proximal adjustment outcomes. These in turn were positively related to distal adjustment outcome. Furthermore, work group structure was found to moderate the relationship between transformational leadership and newcomer information seeking.

This paper investigates the effects of environmental pressure, human capital, and social capital on organizational effectiveness and decline using a population ecology perspective. Panel data with 1,553 observations from 398 companies spanning 4 years in Taiwan were used for analyses. Research results indicate that several environmental pressure indicators significantly affect organization effectiveness and decline. Although human capital and social capital did not predict our outcome variables, human capital plays a moderating role in explaining the variation of the relationship between environmental pressure and organizational effectiveness. This paper provides a new perspective that suggests that organizations should accumulate intangible assets to resist the threat of external environmental pressure. The leading consumer electronics company Samsung is a good example supporting our argument that investment in human capital can produce commercial benefits, especially in tough economic times.

Organization studies have long focused on the problem of understanding the possibility of pursuing effectiveness and resilience at the same time. An emerging perspective, reconciling mindfulness and routines, allows to address these contrasting goals: routines channel the exploratory nature of mindfulness, but they also support it by providing context to its enactment. Despite these results, available empirical evidence from mindful organizations has not helped understand how mindfulness can be supported by routines without losing its broader scope of attention. Moreover, an operational definition of mindfulness is still an open question.

In this paper, we adopt an analytical framework allowing to break down routines into their sensing and reacting components. Using evidence from the flying practices of Tornado crews in the Italian Air Force, we show that mindfulness concerns the parallel activation and re-combination of these components, allowing the rapid deployment of responses but also the continuous reassessment of the situation.