No full-text available
To read the full-text of this research,
you can request a copy directly from the authors.
Trust and Creativity: Understanding the Role of Trust in Creativity-Oriented Joint Developments
Abstract
In this article we report on the design, prototyping and results of a research effort aimed at identifying whether and how trust affects the innovativeness of a partnership between two players. The methodology combined an experiment and two questionnaires. The research aimed to increase our understanding of trust and its impact on the innovative outcome of cooperation and to derive some guidance for economic actors, namely R&D managers and executives who intend to build innovation-oriented relationships with their business partners. Specifically, we investigated the effect of trust on partners' creativity and willingness to invest financially in a joint development. Our results show that more trustful partners invest higher amounts in the alliance, while there seems to be an optimum amount of mutual trust between partners who maximize their joint creativity and innovativeness; if the level of mutual trust is below or above this threshold, their joint creativity seems to increase less or even to decrease. Our findings suggest that joint development projects should always include explicit trust development activities at the beginning of the project, and that the amount of trust in the joint team should be monitored to avoid the negative consequences of excessive trust.
... In fact, generating a new idea requires practicing divergent reasoning, identifying many possible solutions, communicating with others, modifying alternatives, and choosing clever solutions to new problems (Zhou, 2003). Trust is an important trait that increases individual creativity, idea generation, information sharing, and openness (Dirks and Ferrin, 2002;Den Hartog, 2003;Bidault and Castello, 2009). ...
... In other words, interpersonal trust can improve organizational creativity and/or innovation. Building on existing studies, Bidault and Castello (2009) constructed a dual-pathway framework to explain the effect of interpersonal trust on creativity. First, mutual trust between partners of collaborative projects influences partnership creativity; therefore, interpersonal trust can promote collaborative creativity. ...
... In summary, the role of interpersonal trust in facilitating creativity, which brings something both new and useful to an organization, is primarily such that, consistent with the dualpathway framework proposed by Bidault and Castello (2009), interpersonal trust not only facilitates joint creativity but also enhances the creativity of an entire group via mediators such as a collaboration-based shared mind, systematic efforts, and team communication or commitment. In addition, individual willingness or motivation induced by interpersonal trust may be critical in facilitating organizational creativity through the sharing of diverse, distinct, and sometimes unique ideas or perspectives. ...
Examining the trust-creativity relationship is important to promote creativity and organizational innovation. The goal of this study is to investigate how trust influences creativity by summarizing existing findings of diverse empirical studies. The impact of trust at different levels on creativity primarily manifests in three ways: (1) individuals' cognition- and affect-based trust has a positive effect on creativity together with the role of trust-derived perspective taking in creativity; (2) interpersonal trust helps enhance the joint creativity of an entire group via mediators such as team communication and commitment together with trust-evoked safety and the motivation to risk proposing, sharing, accepting or adopting uncommon ideas; (3) group trust has a positive, mostly indirect effect on creativity via mediating variables such as collaborative culture/climate and team communication. Potential implications and avenues for future research are also discussed.
... Researchers contend that creativity requires employees to think and behave differently from the prevailing beliefs or routines in their organizations [17,18] while the creativity-outcome link is unpredictable and ambiguous [19], implying that creativity necessarily involves risk [20][21][22]. The creativity literature suggests that risk-taking is essential to creativity [20,[23][24][25][26][27][28][29]. Thus, we argue that a key precondition of encouraging employees' creativity is building a trust-based relationship between employees and their managers. ...
... The creativity literature indicates that creative ideas and innovative behaviors necessarily involve risk [20,23,24,26]. Researchers have argued that since creative ideas and innovative behaviors deviate from the existing ways or routines [18], such ideas and behaviors necessarily involve risk [20][21][22]. ...
... This is because they feel that their managers are at least not harmful or favorable to risky attempts. [20,[23][24][25][26][27][28]. Accordingly, we argue that employees' trust in their managers is a key precondition of encouraging employees' creativity. ...
This study explores the black box of the relationship between perceived human resource management (HRM) practices and employees’ creativity. Building on the literatures on social exchange and creativity, this study advances a moderated mediation framework of the link between perceived HRM practices and employees’ creativity. We develop the argument that the positive relationship between perceived HRM practices and employees’ creativity is mediated by trust in management and that the mediated relationship is stronger for permanent employees than for temporary employees. Our study finds strong support for the moderated mediation model in a survey study of 285 employees in 14 research institutes funded by the Korean government. We discuss the theoretical and practical implications of our findings.
... This differs from the research conducted by Bukhari & Bhutto (2021), where their results indicated that trust directly contributes to innovative employee behavior. However, another study by Bidault & Castello (2009) found that the positive correlation between trust and performance is not consistently significant. Moreover, Bidault & Castello (2009) noted that the assumption that higher trust between individuals always leads to increased creativity and innovation is not universally valid. ...
... However, another study by Bidault & Castello (2009) found that the positive correlation between trust and performance is not consistently significant. Moreover, Bidault & Castello (2009) noted that the assumption that higher trust between individuals always leads to increased creativity and innovation is not universally valid. This implies that the impact of trust on innovative work behavior may be contingent on contextual factors. ...
Competitiveness in the context of digital business encourages companies to continuesly innovate in their daily operations to achieve market dominance and adapt to changes in environmental forces and competitor strategies. Innovative Work Behavior (IWB) of employees is considered to be an important element for companies to carry out sustainable innovation. This research aims to determine the influence of Servant Leadership (SEL) on IWB as well as the mediating role of Flow at Work (FAW) and Trust (TR) between the relationship between SEL and IWB. This research used the survey of 247 employees from digital business companies using Structural Equation Modeling (SEM) as a data analysis method. The research results show that the majority of employees working in digital business companies feel that their desire to engage in innovative behavior is influenced by the role of their supervisor who demonstrate servant leadership characteristics as well as a feeling of flow that makes employees feel total involvement in completing their work. SEL plays a significant role in increasing employee IWB and FAW is proven to partially mediated the relationship between SEL and IWB. Meanwhile, in the indirect effect of TR, it was identified that TR did not mediate the relationship between SEL and IWB. This research is expected to provide insights for company HR management in increasing the active role of employees' innovative behavior in the workplace.
... The high level of trust among individuals will create a collaborative climate to strengthen the exploitation of knowledge and experimentation, which are the core values and real conditions for innovation (Alsharo et al., 2017;Donate and Guadamillas, 2015). Interpersonal trust increases the emotional space needed for creativity (Bidault and Castello, 2009). When two individuals trust each other, they are more willing to share information or knowledge with the other party (Twyman et al., 2008). ...
... Indeed, the high level of trust among individuals will create a collaborative climate to strengthen the exploitation of knowledge and experimentation, which are the core values and real conditions for innovation (Alsharo et al., 2017;Donate and Guadamillas, 2015). Interpersonal trust increases the emotional space needed for creativity (Bidault and Castello, 2009). When two individuals trust each other, they are more willing to share information or knowledge with the other party (Twyman et al., 2008). ...
Purpose-This paper aims to explore Indonesian students' perceptions of student exchanges or studies abroad regarding cultural intelligence's influence on innovative behavior through interpersonal trust. Design/methodology/approach-This study has used a quantitative research approach. Data analysis uses an approach structural equation modeling-partial least squares (SEM-PLS) supported by program computer software Smart-PLS 3.0. An online questionnaire was distributed to 224 respondents, but only 214 were qualified. In this study, the respondent is Indonesian students who have been completed or are currently conducting student exchanges or studying abroad in the Asia and Australia region. Findings-This pilot study reveals that high cultural intelligence students positively affect their individuals' innovative behavior. Moreover, interpersonal trust levels would mediate the influence of cultural intelligence on individual innovative behavior students. These results indicate that most Indonesian citizen students who took part in student exchanges or studying abroad had high cultural intelligence. Originality/value-This study focused on influence cultural intelligence on individuals' innovative behavior, which is referred to as cross-cultural interaction. Also, this study focused on Indonesian citizen students who took part in student exchanges or studying abroad. This kind of research has not been thoroughly or even not been discussed in academic research. Therefore, it was necessary to put this issue into a science education and management science.
... Furthermore, excessive trust can turn commitment into complacency, which may prevent rapid intervention in declining performance. This argument is in accordance with Bidault and Castello (2009), who assert that when there is a very high level of trust, actors might become too complaisant, leading to diminished levels of task-oriented conflicts and thus lower effectiveness (p. 267). ...
... The results also contrast with the negative finding by Langfred (2004), that an excessively high trust level among autonomous, self-managing work teams leads to diminished monitoring activity and lower overall team performance, as well as the finding by Zaheer et al. (1998) of a positive relationship between interorganizational trust and economic performance. Likewise, the empirical results differ from the existing curvilinear evidence between interpersonal trust at the nation-state level (Roth, 2009) and individual level (Butler et al., 2009), and between interorganizational trust (Bidault & Castello, 2009) and economic performance. A final interpretation of the results, however, should be treated with caution, as the invalidity of the proxy may be affecting the empirical results. ...
Analyzing the sectoral variance in growth rates of total factor productivity in a European country sample from 1996 to 2006, this contribution detects no significant relationship between organizational trust and TFP growth. Yet, the relationship between fear of job loss and TFP growth seems to be significantly associated, in an inverted U-shaped relationship. This relationship proves to be robust to a range of alterations. The analysis concludes that depending on the specific sector, to enhance productivity it might be beneficial to liberalize or regulate employment relations. When analyzing the non-farm market sectors C-K, the relationship takes the form of a significant, negative linear relationship.KeywordsOrganizational trustFear of job lossTFP growthSectoral analysisEUJEL ClassificationsD24J89L23L60L70L80O30O52Z13
... Furthermore, excessive trust can turn commitment into complacency, which may prevent rapid intervention in declining performance. This argument is in accordance with Bidault and Castello (2009), who assert that when there is a very high level of trust, actors might become too complaisant, leading to diminished levels of task-oriented conflicts and thus lower effectiveness (p. 267). ...
... The results also contrast with the negative finding by Langfred (2004), that an excessively high trust level among autonomous, self-managing work teams leads to diminished monitoring activity and lower overall team performance, as well as the finding by Zaheer et al. (1998) of a positive relationship between interorganizational trust and economic performance. Likewise, the empirical results differ from the existing curvilinear evidence between interpersonal trust at the nation-state level ) and individual level (Butler et al., 2009), and between interorganizational trust (Bidault & Castello, 2009) and economic performance. A final interpretation of the results, however, should be treated with caution, as the invalidity of the proxy may be affecting the empirical results. ...
... Trust is considered as an effective governance tool and is able to increase the knowledge transfer between leaders and subordinates, thus it can increase the new ideas and creative products [12,55,59,14]. The ability of leaders to empower their employees can also increase employee selfconfidence. ...
... The ability to empower subordinates can help to create trust and a supportive environment, in which leaders show respect for their subordinates. The empowered employees are willing to make extra efforts and show a greater desire to be involved in creative activities [9,12,50,53]. Note: *** = significance in α ≤ 0.01(highly significant); ** = significance in α ≤ 0.05 (highly significant); * = not significance in α ≤ 0.10 (weakly significant); ns = not significance ...
The purpose of this study was to examine the impact of empowering leadership for the employee creativity through mediating role of motivation to learn, trust in leader, creative self-efficacy, and the moderating role of openness to experience variable. Questionnaire was used as the data collection method. For the sampling technique, it used a multi-stage sampling technique. The number of samples is 220 employees of state-owned banks in the city of Semarang, Indonesia. The data analysis used the Structural Equation Model (SEM) method with WarpPLS 6.0. Result of this research the leader empowerment has a positive effect on motivation to learn, trust in leader, creative self-efficacy and employee creativity. In addition, the results of the study also show that motivation to learn, trust in leader, and creative self-efficacy have a positive impact on employee creativity. The role of motivation to learn, trust in leader and creative self-efficacy is supported to mediate between empowerment on employee creativity. Also, openness to experience variable is supported as a moderation role.
... One of the main objectives of companies seeking to innovate through collaboration is the generation of knowledge (Caloghirou et al., 2004;Cheng & Shiu, 2015;Ghisetti et al., 2015;Ritala et al., 2015). Research and development partnerships favor the obtaining of learning and knowledge, and the development of important skills for the internal process of innovation (Bidault & Castello, 2009;Ingham & Mothe, 1998;Kim et al., 2016;Sherwood & Covin, 2008). ...
... Within the consortium, trust mainly favored the sharing of information necessary for the project progress (Bidault & Castello, 2009;Blomqvist et al., 2005) (C1 indicator). Despite initial barriers caused by low confidence among companies in group 2, an example of an effort of these companies was the sharing of tribology system parts for analysis and tests. ...
Paper aims The collaboration among competitors represents a substantial challenge for most innovation processes of companies. This research aims to explore the factors influencing collaboration for innovation that involves competitors in the Fuzzy Front End phase. Originality This study provides an important advance in three aspects. First, it brings outstanding contributions to the process of generation of ideas and knowledge in a context that involves collaboration and competition simultaneously. In addition, the research examines how this has evolved over time, which were the main difficulties, which were the most significant barriers and necessary efforts to mitigate them. Another important contribution was learning generated on how to work ideas and opportunities in the Fuzzy Front End phase of innovation. Finally, it contributes to the identification of the main roles of Universities in this context. Research method The findings from a detailed case study on a Brazilian University-industry consortium in the automotive sector are presented. Main findings The results indicate a concentration of companies in three main groups with very different operations: the group related to the ring and cylinder lubrificantion system, the automakers and Universities. Implications for theory and practice The main practical and theoretical contributions of this research is exactly the pioneering nature with regard to automakers working collaboratively.
... For example, strong interdependence is postulated to facilitate enhanced 'information flow' as a result of the sometimes inevitable lack of formalism amongst top management in family businesses (e.g., Mckeown, 2023), or when next-generation join the management team (e.g., Mazzola, Marchisio, & Astrachan, 2008). Lack of formalism could be viewed lead to exceptional levels of trust, or lack thereof, positively or negatively affecting creative innovation (e.g., Hoffman, Hoelscher & Sorenson, 2006;Ponroy et al., 2020;Ramachandran, 2019) and collaborative creativity in research and development (e.g., Bidault & Castello, 2009). Family-controlled businesses exhibited better ability to renew and reshape their social capital and interactions within and outside the controlling family to recombine resources to match the evolving innovative needs of the business (e.g., Salvato & Melin, 2008). ...
Objective: Family business research has long established a link between firm performance and its creativity. Whether it be banking and the Rothschilds or children’s entertainment and the Disneys, a family’s entrepreneurial creativity is held to engender transgenerational continuity, long-term orientation and enduring competitiveness. Taking creativity to mean the production of a significant novel and appropriate change in a given field by an individual or collective, we conducted a scoping review of the creativity and creative innovation literatures to better understand family business creativity (n = 140 papers).
Approach: Using a scoping and iterative approach to identify and synthesise both literatures, we specifically examine family business innovation as creative behaviour.
Results: First, we propose clear definitions to describe creativity in the family business context. Second, we demonstrate how the family business context presents a unique testbed for understanding creativity as innovation. Third, we summarise how individual, group and organisational factors may interact to generate or suppress individual and collective family business creativity. Fourth, we explained how the family business context affords unique conditions conducive to creative innovation because of the psychological capital (PsyCap) family businesses possess.
Implications and Value: We discuss the novel proposition that the PsyCap construct is both a driver and propagator of family business creative success within the confines of its socio-ecological context, at the individual and firm level of analysis. To accommodate this complexity we propose a comprehensive research agenda guided by the socio-ecological model of health and the 3-Circle Model of Family Business, namely – The Triangulation Model of Family Business Creativity.
... As such, cooperation necessarily requires actors -independent of the actor being an individual or an organisation (Kroeger, 2012) -to take a certain risk that the action of the other may be harmful (Dietz, 2011). To overcome the state of a paralyzed and reclusive society, it is trust understood as the 'psychological state comprising the intention to accept vulnerability based upon positive expectations of the intentions or behavior of another' (Rousseau et al., 1998, p. 393) that enables cooperation and secures its smooth proceeding (Hardin, 2002;Luhmann, 1988). 1 Generally, the benefit of trust for partnerships has been recognized widely and informed a plethora of empirical studies across the disciplines (Barber, 1983;Bidault & Castello, 2009;Fukuyama, 1995;Kappler & Schomaker, 2023;Lascaux, 2005;Lewis & Weigert, 1985;Luhmann, 1979;Möllering, 2006;OECD, 2011;Putnam, 1993Putnam, , 2000Sztompka, 1999;Zucker, 1986) and also in the specific case of PPPs (Brogaard, 2019;Edelenbos & Klijn, 2007;Klijn et al., 2010;Schomaker & Bauer, 2020;Warsen et al., 2018). Put simply, large parts of the extant literature on the cooperationtrust nexus -independent of the (economic or political) yardstick used -consider trust as an explanatory variable and agree on a positive relationship between trust levels and both procedural and outcome indicators. ...
Trust is known to be beneficial for cooperation, though remains underdeveloped in public-private partnerships (PPPs), which are caught in a trust trap due to the cooperative regime’s internal heterogeneity. Accordingly, PPP’s inherent trust relationship is disentangled, and the burden of divergent actor rationales is introduced. We hypothesize that potential PPPs find themselves ex ante in a situation that requires certain repair mechanisms before the ‘usual’ venues of trust development can become effective. As such, exogenous information is theorized as quasi-substitute for relational experience that may support the development of a ‘leap of faith’. Theoretical considerations are tested by a vignette experiment with representatives of both the public and the private sector. Within and between-group analyses find strong support for the burden of divergent rationales and stable levels of (role-based) trust. However, the effect of the information treatment on trust levels is limited.
... By increasing trust among organizations, opportunities for creating trust (Barczak, Lassk, and Mulki 2010;Shalley and Gilson 2004;Xu, Jiang, and Walsh 2018) and knowledge sharing will increase (Dirks and Ferrin 2002;Huang et al. 2006). As a result, a ground for collaborative innovation will be shaped (Bidault and Castello 2009). ...
... An effect that is counterintuitive to any innovation process which always starts by generating creative ideas (Amabile, Conti, Coon, Lazenby, & Herron, 1996). Although there is no clear consensus in literature as to what degree trust is beneficial to creativity in detail, Bidault and Castello (2009) show that there is a positive U-shaped correlation between the amount of trust in a partner and the creative outcome as well as the innovativeness of a creative venture. As will be discussed later in this thesis, the aspect of trust also is an important subject of investigation in the context of closeness in creative collaboration as well as in the field of virtual teams research. ...
While the phenomenon of hybrid work has been transferred quickly into the practice of professional creative teams, research on the specific challenges and potentials of hybrid work in the creative domain is still scarce. I initiate my thesis with an illustrative case from the creative industry where a hybrid creative collaboration rather enables than hinders creative success. The case opens the ground for a literature review where I synthesize 3 literature streams (team creativity, creative spaces, and virtual/hybrid teams). Based on the insights from my theoretical analysis I argue that an interdisciplinary view on hybrid creative collaboration offers new chances for organizing creativity. I come up with two proposals that may serve as a model for research as well as managerial practice on creativity. Firstly I suggest that certain states of copresence in hybrid collaboration, which so far have been referred to as rather blurred states between the dualities of time and space, can be described and addressed explicitly and thus may leverage new valuable ways of creative collaboration (lucent states of hybrid work). Secondly, I postulate that modern virtual creative environments have an ambiguous quality between the two characteristics space and tool. They can be described as one or the other but in practice, they should be addressed as both at the same time: a creative space as well as a creative tool (tool and space overlap).
... In doing so, it also enhances our understanding of how and why individual employees perform different levels of creativity in the process of evaluating and responding to trust from leadership, influenced by different self-concept orientations (Zhang & Zhou, 2014). Existing research has examined the link between trust and creativity (e.g., Bidault & Castello, 2009;Brattström et al., 2012;Clegg et al., 2002;Hughes et al., 2018;Khazanchi & Masterson, 2011). However, there exists little understanding from the employee's perspective, i.e., feeling trusted, as virtually there is no research examining the feeling trusted-creativity link (Baer et al., 2015). ...
Existing research have revealed the positive impact of trust on employee’s creativity. Given that perception is the precursor of action, influence of trust on creativity tends to occur through employees’ perception and the process of the perceptual reaction of the self, which, however, fail to gain extensive attention in literature. Drawing on theories of social exchange and self-consistency, we develop a model to understand how employees in collectivistic cultures evaluate feeling trusted and regulate themselves in creativity by considering the role of self-concept. We test our model using a time-lagged design to collect data from the supervisor–subordinate dyads in two stages in China. Results show that organization-based self-esteem mediate the positive relationship between feeling trusted and creativity, and interdependent self-construal plays a moderating role in such relationship. Specifically, for subordinates with high interdependent self-construal, the positive relationship between organization-based self-esteem and creativity is not significant. Our research provide insight into how self-concept shapes the impact of leadership in term of trust on creativity theoretically, and practically contribute to management of trust and encouragement on employees’ creativity.
... High dependency on strategic alliances with suppliers hinders efficient supplier risk management in an NPD context (Wang-Mlynek and Foerstl, 2020). In this vein, Bidault and Castello (2009) found a curved linear relationship between mutual trust within the development project team and its innovativeness, demonstrating a positive link between both constructs. But the curve reaches an optimum and declines, suggesting that too much trust might be harmful to innovativeness. ...
Purpose
Buying firms involve suppliers early in New Product Development (NPD) projects to benefit from their capabilities. The authors investigate the joint impact on project performance improvement, of the social capital established throughout the project, and the strategic preferred buyer/supplier statuses awarded prior to the project, from the buyer's perspective.
Design/methodology/approach
The authors propose a conceptual model underlining the complementary contribution to project performance of social capital dimensions and of preferred partners' statuses resulting from social exchange expectations. The model is analyzed with Partial Least Squares using 80 responses of purchasers and R&D managers involved in collaborative NPD projects with suppliers.
Findings
The relational capital built during the project has a positive central role, with a direct impact on NPD project performance and mediating effects through cognitive and structural capitals. The preferred partners' statuses have strong direct impacts on performance, and mediating effects that do not completely supplant the social capital's contribution.
Practical implications
The implications for the efficient management of supplier involvement are twofold. First, the authors encourage strategic investments of buying firms to acquire preferred buyer's status and to support preferred supplier programs. Second, the authors alert them on the importance of establishing trust and shared cognition during the project.
Originality/value
This study captures NPD project performance from the social angle of buyer–supplier relationship management. It demonstrates the complementarity of relationship management at the strategic and operational levels, before and during the project unfolding.
... Trust dynamics can impact performance in several ways, and trust between team members can facilitate positive collaboration (Alsharo et al. 2017;Barczak et al. 2010). If team members do not take each other's words and actions seriously and do not generate new ideas, the team's overall creativity may decline, which can negatively affect team performance (Barczak et al. 2010;Bidault and Castello 2009;Chae 2016;Hattori and Lapidus* 2004). Accordingly, this study defines team trust as the degree to which team members satisfy each other's expectations, demands, beliefs, and promises (or shared knowledge about mutual trust between team members). ...
Based on the self-transcendence theory and immaturity-maturity theory, this study empirically tested the influence of female professional dancers’ workplace spirituality on positive psychological capital, team trust, and self-esteem. The subjects of this study were female professional dancers. We conducted the surveys in two countries—the United States and the United Kingdom—and ultimately obtained 441 samples. To test the hypotheses, we performed a structural equation model analysis using three statistical programs: SmartPLS, GSCA Pro, and jamovi. (1) The workplace spirituality of female professional dancers showed a statistically significant positive influence on positive psychological capital, team trust, and self-esteem. (2) The positive psychological capital of female professional dancers showed a statistically significant positive influence on team trust and self-esteem. (3) The team trust of female professional dancers showed a statistically significant positive influence on self-esteem (except when using jamovi). This study found that fostering workplace spirituality was paramount for female professional dancers in an organization. Accordingly, we outlined four recommendations for the organizations: (1) convey the importance of the organization’s mission and values to organizational members; (2) increase each organizational member’s decision-making and autonomy; (3) encourage members to cooperate while working in the domains of their specific positions; and (4) discourage members from neglecting their organizational responsibilities and resorting to egoism.
... In turn, green creativity, as a fundamental driver of corporate green development, is important for companies to pursue green performance (Chen and Chang, 2013). Employees' ecoinitiatives are a contributing component to organizational green performance since individual creativity serves as a beginning point in innovation processes (Bidault and Castello, 2009). There is empirical support for the association between employee green creativity and the organizational green performance (Alt and Spitzeck, 2016). ...
Due to the increasingly prominent environmental problems caused by excessive carbon dioxide emissions, many countries have put forward higher requirements for the green development of enterprises. Therefore, how to improve the green performance of enterprises has become a hot issue. Based on the social learning perspective, we examine the impact of environmentally-specific servant leadership on organizational green performance and test the mediating role of green creativity and the moderating role of power distance orientation. We test the theoretical framework by means of a questionnaire survey with a research sample of employees and their leaders working in the eastern coastal region of China. The results of the study suggest that: environmentally-specific servant leadership has a positive influence on organizational green performance; green creativity plays a mediating role between environmentally-specific servant leadership and organizational green performance; power distance orientation plays a moderating role between environmentally-specific servant leadership and green creativity; specifically, the higher the power distance orientation, the more significant the influence of environmentally-specific servant leadership on employees’ green creativity. This study enriches the research on environmentally-specific servant leadership and proposes a new perspective on how to improve green performance in organizations.
... A number of scholars have emphasised the importance of trust in the entrepreneurship programme (Agrawal et al., 2018;Sundin et al., 2016). The ability to rely on mutual trust is a fundamental element in determining the success of interfirm partnerships (Bidault & Castello, 2009;Daudi, 2007;Fadol & Sandhu, 2013). Trust is a key aspect of many social interactions and a critical condition that triggers collaboration and efficient organisational performance. ...
Orientation: Indonesia is currently in the industrial revolution 4.0 and 5.0. Woman entrepreneurs must be able to increase creativity, innovative behaviour and trust in digital technology to have sustainable competitive advantage for their firm.
Research purpose: This study aimed to examine and analyse the impact of creativity and innovative behaviour on competitive advantage mediated by trust in digital technology for women entrepreneurs.
Motivation for the study: The literature of creativity, innovative behaviour, trust in digital technology and competitive advantage is still limited in women entrepreneur context.
Research approach/design and method: A quantitative approach with cross-sectional survey design was used to collect data from 300 small and medium enterprises (SMEs) female entrepreneurs in the Special Region of Jogjakarta and West Java, but only 206 were sampled. The data analysis technique used structural equation modelling with partial least squares (SEM-PLS) 23.
Main findings: Creativity and trust in digital technology have no significant effect on competitive advantage, but creativity positively and significantly affects trust in digital technology and innovative behaviour. Innovative behaviour positively and significantly affect trust in digital technology and competitive advantage. Trust in digital technology does not mediate the effect of creativity on competitive advantage.
Practical/managerial implications: Women entrepreneurs are able to increase competitive advantage with innovative behaviour. Likewise, creativity and innovative behaviour require trust in digital technology and become able to increase competitive advantage.
Contribution/value-add: This study fills the literature gap by explaining the relationship between creativity, innovative behaviour, trust in digital technolog, and competitive advantage in the context of women entrepreneurs in Indonesia.
... Innovation relies on the confluence of different technology and knowledge. It's hard for most of firms to possess whole technology and knowledge in-house to response radically transformation of competitive environment [1]. R&D collaboration with external organization has becoming an important source to obtain, combine and leverage different knowledge and technology [2]. ...
... Scholars have found that mutual trust reduces transaction costs and promotes the transfer of knowledge between partners (Bidault & Castello, 2009;Sambasivan et al., 2013;Shakeri & Radfar, 2017) because, in a trustworthy relationship, "no party to an exchange will exploit others even if there is an opportunity to do so" (Kale et al., 2000, p. 222). Extending this line of research, we posit that mutual trust will moderate the relationship between ECs and external knowledge absorption. ...
Strategic alliances are an important option for small and medium-sized enterprises (SMEs) when obtaining knowledge and information. Although existing studies suggest that entrepreneurial competencies (ECs) enable SMEs to form alliances and achieve alliance success, they overlook the role played by external knowledge absorption and mutual trust. Our study was thus aimed to address this issue by exploring and understanding the relationship between ECs and alliance success. The analysis of survey data drawn from 246 UK manufacturing SMEs suggests that the absorption of external knowledge mediates the relationship between ECs and alliance success. Moreover, mutual trust enhances the strength of the relationship between ECs and external knowledge absorption. By drawing on the relational view, our study contributes to the strategic alliance and SMEs literatures and supports a moderated mediation mechanism.
... Scholars have found that mutual trust reduces transaction costs and promotes the transfer of knowledge between partners (Bidault & Castello, 2009;Sambasivan et al., 2013;Shakeri & Radfar, 2017) because, in a trustworthy relationship, "no party to an exchange will exploit others even if there is an opportunity to do so" (Kale et al., 2000, p. 222). Extending this line of research, we posit that mutual trust will moderate the relationship between ECs and external knowledge absorption. ...
Strategic alliances are an important option for small and medium-sized enterprises (SMEs) when obtaining knowledge and information. Although existing studies suggest that entrepreneurial competencies (ECs) enable SMEs to form alliances and achieve alliance success, they overlook the role played by external knowledge absorption and mutual trust. Our study was thus aimed to address this issue by exploring and understanding the relationship between ECs and alliance success. The analysis of survey data drawn from 246 UK manufacturing SMEs suggests that the absorption of external knowledge mediates the relationship between ECs and alliance success. Moreover, mutual trust enhances the strength of the relationship between ECs and external knowledge absorption. By drawing on the relational view, our study contributes to the strategic alliance and SMEs literatures and supports a moderated mediation mechanism.
Keywords
Entrepreneurial competencies, External knowledge absorption, Mutual trust, Alliance success, SMEs
... This is particularly important for high-level strategic decisions in long-term business relationships. Whereas decisions on, e.g., joint investments, have so far been made based on informal mechanisms such as trust (Bidault and Castello, 2009), the increased transparency in digitalized networks can support such strategic decision making processes. New monitoring options due to the enhanced transparency could, for example, reveal hidden actions and intentions of partners and thus provide a better basis for making strategic decisions. ...
Purpose – The purpose of this study is to explore if and how informal governance mechanisms are used for coordinating actors of digitalized supply networks.
Design/methodology/approach – A multiple case study analysis of ten German firms in digitalized supply networks is conducted. Data are collected through semi-structured expert interviews with interviewees having notable years of professional experience in purchasing or sales.
Findings – This research shows that reduced personal contacts in digitalized supply networks decrease the ability to coordinate with informal governance mechanisms. However, the need for informal governance in digitalized supply networks remains when facing supply network disruptions or building new business relationships.
Originality/value – This is the first study examining the role of informal governance mechanisms in digitalized supply networks. Theoretical and practical insights on the changing abilities and needs to use informal governance after the digital transformation are given.
Keywords – Multiple case study, Informal governance mechanism, Digitalization, Transparency, Data analytics
Paper type – Research paper
... In particular, communication and mutual trust are key to sharing ideas collaboratively (Barczak et al., 2010;Boies et al., 2015). In this study, trust was commonly considered to be an essential element embedded in the collective and collaborative dynamics of creativity (Bidault & Castello, 2009). Actually, trust enables interactions between help-seeking and help-giving, which characterize collective creativity (Hargadon & Bechky, 2006). ...
This article explores the role of organizational variables in managing and supporting collective creativity, based on case studies developed through collaborative research projects in two industries: fashion textile design and design consultancy. The findings indicate that five distinct variables may support teams and groups in developing their (collective) creativity: a structured process, work‐related team diversity, boundary openness, adequate resources, and support of relevant technology. The results provide new scientific understanding of collective creativity in organizations, and suggest future research directions, with recommendations for creative companies seeking to support collective creativity.
... An informal working style based on strong relational governance may also lead to omission of necessary contractual amendments to safeguard one's interests, and partners may neglect to discern "whether their objectives are realistic and in line with business drivers and expectations" (Lioliou et al., 2014, p. 528). Further, relationships that are over-managed by relational governance mechanisms may not produce the desired outcomes, because creativity is an important driver of innovation and requires a certain degree of tension and controversy (Bidault and Castello, 2009;Zahra et al., 2006). Over-reliance on relational governance is likely to lead to overly cozy, accommodating, and unchallenging behaviors that thwart the development of new ideas and creative solutions. ...
Innovation in IT outsourcing, in which client and vendor aim at co-creating strategic innovation, is becoming a key ingredient of contemporary sourcing arrangements. However, innovation in ITO is regarded as being a paradox as innovation's dynamic nature conflicts with established guidelines for successful ITO governance. To date, knowledge about how to accommodate innovation in ITO governance is embryonic. Particularly unclear are the differential and interaction effects of contractual and relational governance mechanisms on relationship learning and joint innovation. To investigate these effects, we propose and validate a research model through survey data from 344 senior-level IT employees of firms that collaborate with a vendor on strategic innovation. Results indicate that while contractual mechanisms primarily determine joint innovation performance, relational mechanisms are central to relationship learning. Results show an inverted U-shaped relationship between governance mechanisms and joint innovation and an additive complementary relationship between governance mechanisms and relationship learning.
... e natural features of interorganizational teams cause team members to often have feelings of estrangement with lack of communication and exchange. When team trust is high, it is often able to provide such a mechanism for communication and exchange among team members, which makes team members exchange ideas and viewpoints without reservation, accelerates the process of knowledge sharing, and ultimately improves team creativity [25]. In conclusion, this study presents the following hypotheses. ...
How to promote the creativity of interorganizational teams has always been the focus among scholars and management practitioners. From the perspective of leadership, this study explores the influence of shared leadership on creativity in interorganizational teams. Specifically, this study integrates leadership perspective with trust perspective and explores the mediating role of team trust between shared leadership and creativity at both team and individual level. In addition, this study examines the moderating effect of the leader’s cultural intelligence between shared leadership and team trust based on the perspective of leadership situation. The data comes from 275 employees within 54 interorganizational teams. The results show that shared leadership will promote team trust and team trust plays a key mediating role between shared leadership and creativity. Moreover, the relationship between shared leadership and team trust is moderated by the cultural intelligence of leader, such that the positive relationship will be stronger with high cultural intelligence and weaker with low cultural intelligence.
... An informal working style based on strong relational governance may also lead to omission of necessary contractual amendments to safeguard one's interests, and partners may neglect to discern "whether their objectives are realistic and in line with business drivers and expectations" (Lioliou et al., 2014, p. 528). Further, relationships that are over-managed by relational governance mechanisms may not produce the desired outcomes, because creativity is an important driver of innovation and requires a certain degree of tension and controversy (Bidault and Castello, 2009;Zahra et al., 2006). Over-reliance on relational governance is likely to lead to overly cozy, accommodating, and unchallenging behaviors that thwart the development of new ideas and creative solutions. ...
Innovation in IT outsourcing, in which client and vendor aim at co-creating strategic innovation, is becoming a key ingredient of contemporary sourcing arrangements. However, innovation in ITO is regarded as being a paradox as innovation’s dynamic nature conflicts with established guidelines for successful ITO governance. To date, knowledge about how to accommodate innovation in ITO governance is embryonic. Particularly unclear are the differential and interaction effects of contractual and relational governance mechanisms on relationship learning and joint innovation. To investigate these effects, we propose and validate a research model through survey data from 344 senior-level IT employees of firms that collaborate with a vendor on strategic innovation. Results indicate that while contractual mechanisms primarily determine joint innovation performance, relational mechanisms are central to relationship learning. Results show an inverted U-shaped relationship between governance mechanisms and joint innovation and an additive complementary relationship between governance mechanisms and relationship learning.
... Indeed, the high level of trust among individual will create a collaborative climate to strengthen the exploitation of knowledge and experimentation, which are the core values and real conditions for innovation (Alsharo et al., 2017;Donate and Guadamillas, 2015). Interpersonal trust increase emotional space needed for creativity (Bidault and Castello, 2009). On the contrary, distrust and cynicism between team members restricts emotional space and decreases creativity among team members. ...
Purpose
Because of the rapidly changing environment and fleeting market opportunities, employee's innovative work behavior is increasingly assuming a pivotal role in enhancing organizational effectiveness and competitive advantage. The success of organizations is largely depended on their employees' ability to innovate. The role of cultural intelligence to enhance innovative work behavior is yet to be explored in the innovation research. The purpose of this study is to examine how cultural intelligence enhances employees' innovative work behavior through work engagement and interpersonal trust.
Design/methodology/approach
The study is a cross-sectional design which utilizes data from 381 participants from multinational corporations in Saudi Arabia.
Findings
The results indicate that cultural intelligence can significantly affect employee's innovative work behavior. It further reveals that both work engagement and interpersonal trust partially mediate the effect of cultural intelligence on innovative work behavior.
Originality/value
This study adds to the literature on intelligence by examining an underexplored type of intelligence (i.e. cultural intelligence) in relation to employee's innovative work behavior. It reveals work engagement and interpersonal trust as the psychological mechanisms that can link cultural intelligence to innovative work behaviors.
... This underlines the nature of knowledge flowing through social networks (Brown, Duguid, 2002). Additionally, it is worth stressing that knowledge can also be a valuable source of competitive advantage for business (Bashir, Verma, 2017). ...
Nowadays, creativity has become one of the most important determinants of the development of modern economy. In it lies the potential for economic success not only of entire regions, but above all of business entities. Although creativity is difficult to define, it more frequently becomes the subject of scholarly considerations. In this study, an attempt was made to explore the climate for creativity because it determines the development of creativity and creative attitudes in creative sectors. The main research goal was to show the importance and pattern of the determinants creating a climate conducive to creativity and its impact on the development of creative industries. The method of the study was a critical analysis of the source literature and the author’s own research. The aim of the work became the basis for formulating the following research hypothesis: recognising the components constituting a pattern of the climate conducive to creativity in the city will enable better development of entities included in the creative sector. In order to achieve the set goal and verify the research hypothesis, quantitative and qualitative research was carried out among representatives of creative professions employed in the creative sectors.
... First, the close and frequent interactions allow individuals to share critical information and knowledge, to create a common understanding toward task issues or goals, and to gain access to diverse resources from others, thereby facilitating the creative process (Chen et al. 2008). Second, mutual trust is helpful for mitigating conflicts and for triggering new ideas by giving more freedom for actors (Bidault and Castello 2009). Third, shared vision and language will facilitate efficient communication and exchange of ideas or resources among group members (Tsai and Ghoshal 1998). ...
To understand the factors and their influencing mechanisms on PhD students’ creativity, we propose an extended scientific and technical human capital (STHC) model to examine the structural relationships among different sources of social capital, psychological capital, and PhD students’ creativity and to test the moderating role of gender, industry experience, and interdisciplinary experience on the structural model. Data are collected from 201 respondents enrolled in the Joint Training Pilot Project (JTPP) in 2010 and 2011. The results show that (1) university social capital has a significant direct influence on PhD students’ creativity, while industry social capital has no significant direct effect; (2) psychological capital partially mediates the relationship between university social capital and creativity and fully mediates the industry social capital and creativity linkage; and (3) gender, industry experience, and interdisciplinary experience moderate several paths. Theoretical and practical implications are discussed, and recommended directions for future research are suggested.
... Specifically, employees with high PO fit (assuming that the fit is activated toward creativity by high LMX) exhibit the highest creativity when TMX is high. This favorable context characterized by all high PO fit/LMX/TMX levels may socially facilitate employee creativity by encouraging mutual support, feedback, and collaborative idea generation (Bidault & Castello, 2009). By contrast, employees with low PO fit (with high LMX) become creative when TMX is low. ...
This study investigates the effect of person–organization (PO) fit on employee creativity. We draw on social exchange theory and identify leader–member exchange (LMX) and team–member exchange (TMX) as moderating contingencies. Our empirical analysis based on 167 employee–supervisor dyads confirms that LMX activates the significance of PO fit toward creativity. In addition, under high LMX, PO fit effect on creativity is positive when TMX is high. Subsequent analyses show that employees with high PO fit exhibit the highest level of creativity when LMX and TMX are high. Findings on the three-way interaction among PO fit, LMX, and TMX toward creativity offer new insights into a phenomenon that is mostly neglected in the literature.
... The trust damage caused by negative information is much greater than the trust repair caused by positive information. This asymmetry degree lasts for a long time [119] and is difficult to mitigate [120]. ...
Destination image and safety not only affect tourist decision-making but also the sustainable development of tourist destinations. Some tourist destinations are too vulnerable to defend against emergency tourist crises, and tourists’ perceived safety can be severely biased, which is then deepened by media panic caused by the publication of excessive negative reports. This paper discusses the mechanism of perceived safety and perceived image on tourist behavioral intention, as well as the inter-group difference. Our study is based on a survey in Southern Xinjiang in which the respondents were divided into four groups. Four structural equation models were established with “perceived safety” and “perceived image” as independent variables, “destination trust” and “perceived value” as mediating variables, and “behavioral intention” as the dependent variable. The final results show that a paradox of safety perception exists in tourists’ perception of Southern Xinjiang. The perceived safety differs sharply between the tourists who have traveled to Southern Xinjiang and those who have not. The mechanism of perceived safety on tourist behavioral intention differs from that of the perceived image on tourist behavioral intention. Destination image still plays a key role in tourist traveling decision-making. The findings are of great significance for the restoration of cognitive bias, management, and marketing activities, and the sustainable development in Southern Xinjiang and similar destinations.
This paper analyzes the intertemporal variation of trust on economic growth. Constructing a unique global country panel dataset and applying a system-generalized method of moments (SYSGMM) estimation approach to a sample of 75 global economies over a 40-year time span (1980-2019), this paper finds evidence of a curvilinear (inverted U-shape) relationship between trust and growth.3 Only a minority of global economies can attain a position close to or above the optimum threshold for trust and
growth. Most economies, in fact, fall well below that threshold, and for them, it is incumbent to consider trust-building measures in order to achieve higher growth. In countries that are close to the optimum threshold, however, such policies can likely be neglected. In fact, in countries where trust levels exceed the optimum, an increase in trust might even hamper growth.
Many studies in economics and regional science claim a positive link between interpersonal trust and innovation by demonstrating a positive effect of trust on patenting. This contrasts many findings from organization level studies on trust and innovation, who report a variety of findings including inverted-U type relations. A possible explanation is that trust exhibits different roles in invention and innovation, as the former relies on knowledge commons while the latter directly embeds commercialization and the market context. This study attempts to reconcile the two set of findings by studying indicators of invention and innovation in relation to trust at the same unit of observation, by using the regional variation in Europe. I study the relationship between interpersonal trust and patent applications (a measure of invention), trademark applications (a composite indicator) and the share of innovative sales in turnover by SMEs (a direct indicator of commercialization), across European regions. I show that trust positively affects trademark applications with an effect that is comparable to that on patent applications. However, trust exhibits an inverted-U type relationship with innovative sales. Results collectively point to a strong role of trust in all three creative activities, including a negative effect at the higher end when the indicator is directly contingent on commercialization and sales. I also estimate the extent of spatial spillovers in the effect of trust on all three creative outcomes.
Enabling collaboration across disciplines, business functions, departments, organizations, and industries is a critical innovation management challenge. Successful innovation depends on effective knowledge integration among diverse actors. The concept of boundary objects to achieve knowledge integration has gained increasing popularity within innovation management. Despite the growing relevance, existing literature reviews about boundary objects are sparse. This review examines how boundary objects enable knowledge integration through a systematic analysis. An integrating framework of the scholarship on boundary objects links existing contributions to key theoretical perspectives on the study of boundary spanning for knowledge integration. Relevant publications are identified through a systematic literature review and discussed according to three themes: information processing, cognitive, and learning perspective on knowledge integration. Potential contributions to broader theorizing are highlighted in relation to three innovation settings: cross-functional collaboration, open innovation, and staged product development processes.
This chapter focuses on the role and value of not knowing for creativity, learning and development. More specifically, it proposes a typology of states that are conducive, in different ways, for creative learning, including certain knowing, uncertain not knowing, uncertain knowing, and certain not knowing. They are discussed, in turn, in relation to four associated experiences: trust, anxiety, curiosity and wonder, respectively. Towards the end, two models are proposed that specify how and when these experiences contribute to the process of creative learning. The first is focused on macro stages, the second on micro processes. While the former starts from uncertain not knowing, goes through the interplay between uncertain knowing and certain not knowing, and ends in certain knowledge, the processual model reveals the intricate relations between these experiences in each and every instance of creative learning. The developmental and educational implications of revaluing not knowing as a generate state are discussed in the end.KeywordsUncertaintyKnowledgeAnxietyTrustCuriosityWonderCreative learning
Drawing upon the literature on individual creativity, trust, and promotive voice, this study proposes that the intra-individual characteristics of creativity and innovation trust affect an individual’s innovation-focused promotive voice. This study argues that creativity is an antecedent to innovation-focused promotive voice and that innovation trust mediates this relationship. Using data from 288 participant responses, we apply PLS structural equation modelling to explain innovation-focused promotive voice. Results show that trust has meaningful relationships with creativity and innovation-focused promotive voice. These results suggest that intra-individual factors impact interpersonal relations and interactions among innovators in regard to proposing innovative ideas. These insights contribute to the conversation on how scholars and practitioners can better organise and lead people to facilitate the development and management of innovation.
Acknowledging the increased importance of virtual teams in the context of Industry 4.0 and recently in COVID-19 pandemic, this study identifies and addresses several knowledge gaps regarding the development of an effective transaction memory system (TMS), and the influence of its components on team's knowledge sharing and creativity. To investigate these issues, we apply structural equation modeling using AMOS 21, on a sample of 477 managers, enrolled in a French Business School program. The results confirm - with one exception, the positive role of communication frequency and quality in the emergence of TMS components; only the relationship between communication frequency and specialization being non-significant. On the other hand, TMS components have a positive impact on knowledge sharing and team's creativity. Our study also unveils two counterintuitive findings, regarding the non-significant relationships between coordination and knowledge sharing, and respectively, credibility and creativity. These findings are interpreted and explained considering the specific context of virtual projects, leading to several theoretical and managerial implications regarding knowledge management and creativity in virtual teams.
In the interfirm co-innovation process, knowledge search spanning organizational boundaries is believed to be essential to innovation but is often technologically, geographically, and socially bounded. Given that spanning any type of boundary may lead to both decreased learning and increased creativity, its influence on co-innovation success remains unclear. Using a sample of 18,575 US utility patents co-invented by 6,595 dyads of firms during 1993–2002, the net effect of interfirm technological distance (which depicts cognitive boundary-spanning search) on the quality of a co-invented patent is found to depend largely on other types of boundary-spanning searches, such as cross-regional and cross-network partnerships. The net effect is negative when co-inventing partners are within the same region and network, whereas the net effect becomes positive when partners originate from distinct regions and networks. The findings advance the understanding of boundary-spanning searches of various types and their complicated interactions, suggesting that boundary spanning is crucial to co-innovation success.
Purpose
The purpose of this paper is to study project management performance measures by analyzing how training utility affects the relationships between mutual trust, social interaction and creativity as well as mutual trust, social interaction and flexibility in projects.
Design/methodology/approach
Using training utility and organizational support theory, eight hypotheses were developed. Responses from 279 project management professionals in the USA were collected. The hypotheses were then tested using partial least squares (PLS) and regression with the PROCESS macro approach.
Findings
The results suggests that the communication environment indeed has an important role in fostering creative and flexible project managers. Additionally, the study shows that organizations can actively improve the influence of the communication environment on project management creativity through training efforts. Interestingly, these findings may not hold for project manager flexibility.
Practical implications
In today's project management world, organizations need project managers who quickly adapt to changing project management scenarios. To do this, project managers need to be creative, generating new and novel ideas, as well as flexible when converting ideas into action. Organizations often possess large amounts of knowledge, and project managers rely on good communication practices to access this knowledge in response to the required changes in the project domain.
Originality/value
The study includes contributions to theory and empirical research in project management by analyzing the critical role training utility has on the firm communication environments and its outcomes. The study shows that organizations can take an active role by investing in resources to promote flexibility and creativity in projects.
The development of forms at the blurred boundaries between advertising and editorial content has led to a shift in advertising industry practices. In the process of campaign development, it is not uncommon for media platforms to take on some of creative tasks that were once traditionally delivered by advertising agencies. This study investigates how changes in the media landscape have affected creative processes, and identifies a paradigm shift whereby media platforms have become important (or even key) stakeholders in the creative processes. The study also examines the consequences of the parties’ approaches to the situation and particularly to working relationships.
Discovering knowledge combination has been considered an effective strategy for knowledge retrieval and knowledge discovery. Generally, knowledge combination driven by close-cooperation can be achieved via modeling the process of knowledge transfer. However, the existing studies seldom built connections between knowledge transfer and the identification of knowledge combination, especially in the existing knowledge transfer models, less attention is paid to the effects of trust and knowledge similarity. Therefore, the research motivations of this paper are to model the process of knowledge transfer and to further discover knowledge combinations. To minimize the risks of knowledge transfer, both the knowledge similarity and the trust embodied within need to be taken into account, thereby proposing a bi-layered network regarding knowledge similarity and trust. First, a trust network is obtained novelly whereby the proposed method of trust link prediction. Accordingly, a directed knowledge flow network is constructed through a proposed knowledge transfer model endowed with trust scores. Second, knowledge combinations in a knowledge flow network are therefore acquired by adopting a community detection method. Third, various probabilities of knowledge combinations based on the maximum network modularity are calculated with respect to the influence of knowledge similarity on cooperation probability. The key contributions of this paper are summarized as an effective approach to identifying knowledge combinations conducted to improve the efficiencies of knowledge management. Related experiments and comparisons are presented to illustrate the practicalities of the proposed method.
Integrating strategic, top-down management and employee-oriented, bottom-up approaches, this inquiry proposes a research model in which green management initiatives (i.e., the fusion of green strategy and green human resource practices) influence organizational green performance and in turn organizational performance. This research model was comparatively tested in South Korean and Vietnamese tourism service contexts. The research results revealed that in both samples, environmentally-specific servant leadership mediated the top-down relationship between green management initiatives and employees’ organizational citizenship behavior for the environment (OCBE), and employee OCBE mediated the bottom-up relationship between environmentally-specific servant leadership and organizational green performance. Nonetheless, while the mediating role of organizational green performance for the link between employee OCBE and organizational performance was corroborated in the Korean sample, this mediation mechanism was not found in the Vietnamese sample. Implications for green management literature and practice are presented.
With the growing popularity of consumer participation in product innovation in online brand community, this research aims to integrate the concepts of flow experience and variance of trust to explore the effects of these two factors on the relationship between lead userness and innovative behavior in an online context. Survey data from the Xiaomi Company’s virtual brand community show that lead userness has a positive impact on flow experience and, in turn, on innovative behavior. In addition, flow experience mediates the relationship between lead userness and innovative behavior when trust in a virtual brand community is high rather than low.
This study proposes a path model with a set of intermediary outcomes, namely, teamwork, employee satisfaction, and work motivation, to explain how the practices of sustainability-oriented HRM affect organizational performance. The analysis of 2015 Federal Employee Viewpoint Survey reveals that the three practices of sustainable management identified from the literature had indirect effects on organizational performance through a complex interaction among the three intermediate outcomes. In addition, it is found that diversity program has a negative total effect on performance. These findings imply that organizational justice and work/life balance program will lead to an increase in performance by strengthening the backbone of organization. Additionally, conducting the diversity programs for achieving democratic values may entail the cost of diminishing organizational performance probably in the short run.
Purpose
The purpose of this paper is to investigate the effects of “feeling trusted asymmetry” on work group performance and individual outcomes. The author adopts the term “feeling trusted asymmetry” to differentiate the subject from studies of trust asymmetry that consider differences in (mutual) ratings of trust between members of a dyad.
Design/methodology/approach
The author tested this effectiveness with data from a sample of 293 subordinate–supervisor dyads in 63 work groups from the People’s Republic of China.
Findings
Results of multilevel analysis reveal that group feeling trusted asymmetry (the degree to which subordinates differ in perceptions of the level of trust from their immediate manager in their group) lowers group performance. Furthermore, individual feeling trusted asymmetry (a subordinate perceiving more or less trust from their immediate manager than other subordinates in the group) affects employees’ workplace satisfaction, but not individual performance and creativity.
Originality/value
These findings have important practical implications, as they provide companies with a feasible way to manage employee’s relations based on their perception of trust from the direct supervisor.
Purpose
The purpose of this paper is to examine employees’ knowledge creation processes by leveraging a conceptual framework based on the socialisation, externalisation, combination and internalisation (SECI) model introduced by Nonaka and Takeuchi (1995). Given that many employees work within teams, in the current study, the authors examine the impact that team-level trust and intrinsic motivation have on an employee’s SECI model and, in turn, the relationship between SECI model and individual creativity. As such, this work represents one of the first works to examine team-level factors that shape individual knowledge creation and creativity. Additionally, building on and extending previous SECI research, the authors develop a scale to measure SECI models that uses peer-rated assessments.
Design/methodology/approach
Data were collected from 431 employees who worked in 59 teams drawn from 51 companies in a variety of industry sectors, both SME’s and corporate. To minimise common method bias, the SECI model questionnaire was adapted to the individual level through peer ratings instead of self-ratings (each employee rated three peers). To assess the hypotheses, hierarchical linear models using IBM SPSS were applied. The questionnaires were completed using both paper and online versions.
Findings
Results showed that SECI mediates the relationships between individual-level creativity and both team-level intrinsic motivation and trust. Furthermore, findings suggest that the scale developed is a reliable measure of SECI.
Practical implications
Knowledge creation and sharing practices should take into account both, a team’s trust and its intrinsic motivation, which would result in creativity.
Originality/value
This paper examines the impact that team-level factors (i.e. team trust and team intrinsic motivation) have on individual SECI and creativity across a variety of industries. As such, this work is one of the first to examine the impact of team-level factors in shaping individual knowledge creation and creativity. Given the support that the study found for this hypothesis, this work demonstrates that team trust and intrinsic motivation are salient factors in shaping individual employee knowledge creation and creativity. Given the novelty of this work, the authors hope is that this study will be the foundation upon future cross-level studies of individual-level SECI and individual creativity can be built so as to improve SECI models.
A conceptual challenge in exploring the role of trust in interorganizational exchange is translating an inherently individual-level concept-trust-to the organizational-level outcome of performance. We define interpersonal and interorganizational trust as distinct constructs and draw on theories of interorganizational relations to derive a model of exchange performance. Specifically, we investigate the role of trust in interfirm exchange at two levels of analysis and assess its effects on negotiation costs, conflict, and ultimately performance. Propositions were tested with data from a sample of 107 buyer-supplier interfirm relationships in the electrical equipment manufacturing industry using a structural equation model. The results indicate that interpersonal and interorganizational trust are related but distinct constructs, and play different roles in affecting negotiation processes and exchange performance. Further, the hypotheses linking trust to performance receive some support, although the precise nature of the link is somewhat different than initially proposed. Overall, the results show that trust in interorganizational exchange relations clearly matters.
We examine how uncertainty moderates the trust-performance relationship in alliances, building on the distinction between behavioral uncertainty, which relates to anticipating and understanding partners' actions, and externally caused environmental uncertainty. We argue that trust matters more to performance under behavioral uncertainty and less under environmental uncertainty. In data from 126 international alliances, the positive relationship between trust and performance is stronger under high behavioral uncertainty and weaker under high environmental uncertainty. We conclude that partners should concentrate on developing interorganizational trust where potential improvement in alliance performance justifies this effort, which in turn depends on the type of uncertainty faced.
To survive and prosper in today’s highly competitive environment, firms are increasingly engaging in cooperative alliances with their rivals. However, the impact of these competitor alliances on financial performance is largely unknown. This research examines this issue. Using both survey and archival data, the authors conduct two studies that reveal that the intensity of a firm’s alliances with its competitors has a curvilinear (inverted U-shaped) influence on return on equity. In addition, the authors find that a firm’s competitor orientation, as embodied in its strategies and objectives, can strengthen or weaken this curvilinear effect. Overall, these findings indicate that both competition and cooperation have dark sides that a firm must carefully manage when working with rivals.
In a longitudinal study, we found that higher group performance was associated with a particular pattern of conflict. Teams performing well were characterized by low but increasing levels of process conflict, low levels of relationship conflict, with a rise near project deadlines, and moderate levels of task conflict at the midpoint of group interaction. The members of teams with this ideal conflict profile had similar pre-established value systems, high levels of trust and respect, and open discussion norms around conflict during the middle stages of their interaction.
A theoretical framework for understanding creativity in a complex social setting, such as an organization, is developed. Organizational creativity is defined as the creation of a valuable, useful new product, service, idea, procedure, or process by individuals working together in a complex social system. The starting point for the theoretical development is provided by the interactionist model of creative behavior developed by Woodman and Schoenfeldt (1989). This model and supporting literature on creative behavior and organizational innovation are used to develop an interactional framework for organizational creativity. The theoretical framework is summarized by 3 propositions that can effectively guide the development of testable hypotheses.
A longitudinal study of the functioning of top management teams in 27 hospitals examined relationships between group and organizational factors and team innovation. A model of group inputs, processes, and outputs was used, and it was predicted that group size, resources, team tenure, group processes, and proportion of innovative team members would affect the level and quality of team innovation. The results suggested that group processes best predict the overall level of team innovation, whereas the proportion of innovative team members predicts the rated radicalness of innovations introduced. Resources available to teams do not predict overall team innovation. The quality of team innovation (radicalness, magnitude, and novelty) may be determined primarily by the composition of the team, but overall level of innovation may be more a consequence of the team's characteristic social processes. (PsycINFO Database Record (c) 2012 APA, all rights reserved)
Participants were led to expect either cooperation or conflict, and then performed K. Duncker's (1945) functional-fixedness task (Experiment 1) or E. Rosch's (1975) categorization task (Experiment 2). Those who expected cooperation, compared with those who expected conflict, were more likely to solve Duncker's task and used categories more inclusively, that is, rated low-prototypic exemplars of a category as better members of the category. In Experiment 3, the direct experience of cooperation and conflict had the same effect on categorization. In Experiment 4, participants were classified as having cooperative, competitive, or individualistic social values, and were led to expect either cooperation, conflict, or neither in a control. In the control, cooperators used categories more inclusively than competitors or individualists. Competitors used categories least inclusively in the conflict condition; in the cooperation condition, they used categories most inclusively. These results are interpreted in terms of the possible mediating role of cognitive organization in individual and intergroup conflict resolution. (PsycINFO Database Record (c) 2012 APA, all rights reserved)
We examine how knowledge and experience affect both the mean and variance values of innovations from individuals and teams. We apply and extend theory on innovativeness and creativity to propose that holding multiple knowledge domains produces novel combinations that increase the variance of product performance; and that extensive experience produces outputs with high average performance. We analyzed innovations in the comic book industry, finding that innovations with extreme success and failure are affected by similar factors as high-performing innovations. Multi-member teams and teams with experience working together produced innovations with greater variation in value, but individuals were able to combine knowledge diversity more effectively than teams.
Volatility and ambiguity are generally thought to create exchange situations more conducive towards opportunism. We examine the effectiveness of contractual and relational governance in constraining opportunism under volatility and ambiguity. We hypothesize that relational contracts will be robust to volatility but not ambiguity, whereas formal contracts will be robust to ambiguity but not volatility. The hypotheses are supported using data from 125 interorganizational relationships involving R&D for new product development. Our findings suggest that formal and relational contracts each may have advantages and disadvantages relative to the other in specific situations, so that they are not simply substitutes. The results have important implications for transaction cost and relational contracting theory, and challenge the view that relational contracts are not so susceptible to opportunism. A revised comparative governance schema is theorized for future research.
The use of strategic alliances by technology ventures has increased dramatically over the last 20 years. During this period companies not only have increased the use of alliances but also have used them in more strategically important areas, particularly in research and development (R&D) and new product development. Thus, successful management of strategic alliances in high‐technology industries has become critical to a firm's new product development and ultimately to firm performance. Yet little is known about what determines the performance of individual alliances. This article examines the relationship between the age of an alliance and the performance of the alliance.
Two competing hypotheses regarding the form of the functional relationship between alliance age and alliance performance are developed and are tested. First, a liability of newness hypothesis, which posits that alliance performance increases in a linear fashion over time, is tested. Then a honeymoon hypothesis, which posits that the relationship between age and alliance performance is nonlinear with alliance performance decreasing initially but increasing over time, is tested. It is proposed further here that alliances that are more important to the focal firm exhibit longer honeymoon periods.
A measure of individual alliance performance is developed based on our field study in the biotechnology industry. The competing hypotheses are tested using regression analysis on the sample of 115 R&D alliances. Then the analysis is extended by splitting the sample into high‐ and low‐importance alliances to enhance the robustness of the findings. Further, such a split‐sample approach enables testing for a potential moderating effect of alliance importance on the hypothesized relationship between alliance age and alliance performance.
The results suggest that the relationship between age and alliance performance seems to be U‐shaped curvilinear rather than linear, with the minimum point of alliance performance occurring after approximately four and one‐half years. Thus, the results indicate that strategic alliances appear to face a liability of adolescence rather than a liability of newness. Contrary to expectations, it also is found that important alliances exhibit generally shorter honeymoons.
Interfirm strategic alliances appear to have become more important as a part of (international) business. In this contribution an attempt is made to clarify our understanding of the motives that lead firms to cooperate in their innovative efforts. Going beyond general theoretical statements and case studies, attention is paid to both sectoral differences in the motivation for partnerships as well as to contrasts in interorganizational features of technology cooperation. Based on a large sample of alliances the analysis reveals some major differences regarding the research orientation of contractual arrangements and organizationally complex alliances.
This research examines antecedents of trust formation in new product development partnerships and the effect of trust on performance. Trust is modeled as an outcome of communication behavior, shared problem-solving, perceived fairness, the existence of conflicts during the development project, and partner egoism. The hypotheses are tested with data on 44 product development partnerships representing the perspective of the manufacturer. The findings suggest that communication behavior and fairness are positive contributors to trust. In contrast, conflicts during product development and perceived egoism of the partner appear to have a detrimental effect. High levels of trust were found to create the conditions for successful outcomes. A higher level of trust clearly differentiates between high- and low-performing collaborative relationships in new product development. Trust also was found to be a powerful mediator, particularly as it relates to mitigating conflicts during such partnerships.
This paper explores the preferences that companies have as they use alternative (quasi) external sources of innovative competencies such as strategic technology alliances, mergers and acquisitions, or a mix of these. These alternatives are studied in the context of distinct industrial, technological and international settings during the first half of the 1990s. Different strategies followed by companies and the role played by routinized sets of preferences are also taken into consideration. The analysis demonstrates that these options are influenced by both different environmental conditions and firm specific circumstances, such as those related to protecting core businesses.
Our task is to adopt a multidisciplinary view
of trust within and between firms, in an effort to
synthesize and give insight into a fundamental
construct of organizational science. We seek to
identify the shared understandings of trust
across disciplines, while recognizing that the
divergent meanings scholars bring to the study
of trust also can add value.
We combine two experiments and a survey to measure trust and trustworthiness—two key components of social capital. Standard
attitudinal survey questions about trust predict trustworthy behavior in our experiments much better than they predict trusting behavior. Trusting behavior in the experiments is predicted
by past trusting behavior outside of the experiments. When individuals are closer socially, both trust and trustworthiness
rise. Trustworthiness declines when partners are of different races or nationalities. High status individuals are able to
elicit more trustworthiness in others.
We examine the effects of two forms of capital, i.e. human capital and social capital, on innovation at the country level. We use secondary data from the World Development Report on a countrys overall human development to test for a relationship between human capital and innovation. We also use previous conceptualisations of social capital as comprising trust, associational activity, and norms of civic behaviour to test for relationships between these indicators of social capital and innovation using data from the World Values Survey. Unlike most previous studies that examined human and social capital within a given country, we develop and empirically test a theoretically grounded model that relates human and social capital to innovation at the societal level across 59 different countries, thus providing a more global view of the role of these two forms of capital in generating value. We find strong support for the positive relationship between human capital and innovation and partial support for the positive effect of trust and associational activity on innovation. However, contrary to our prediction, we find a negative relationship between norms of civic behaviour and one of our innovation measures.
To survive and prosper in today's highly competitive environment, firms are increasingly engaging in cooperative alliances with their rivals. However, the impact of these competitor alliances on financial performance is largely unknown. This research examines this issue. Using both survey and archival data, the authors conduct two studies that reveal that the intensity of a firm's alliances with its competitors has a curvilinear (inverted U-shaped) influence on return on equity. In addition, the authors find that a firm's competitor orientation, as embodied in its strategies and objectives, can strengthen or weaken this curvilinear effect. Overall, these findings indicate that both competition and cooperation have dark sides that a firm must carefully manage when working with rivals.
This paper investigates the relationship between intercorporate technology alliances and firm performance. It argues that alliances are access relationships, and therefore that the advantages which a focal firm derives from a portfolio of strategic coalitions depend upon the resource profiles of its alliance partners. In particular, large firms and those that possess leading‐edge technological resources are posited to be the most valuable associates. The paper also argues that alliances are both pathways for the exchange of resources and signals that convey social status and recognition. Particularly when one of the firms in an alliance is a young or small organization or, more generally, an organization of equivocal quality, alliances can act as endorsements: they build public confidence in the value of an organization's products and services and thereby facilitate the firm's efforts to attract customers and other corporate partners. The findings from models of sales growth and innovation rates in a large sample of semiconductor producers confirm that organizations with large and innovative alliance partners perform better than otherwise comparable firms that lack such partners. Consistent with the status‐transfer arguments, the findings also demonstrate that young and small firms benefit more from large and innovative strategic alliance partners than do old and large organizations. Copyright © 2000 John Wiley & Sons, Ltd.
In this article we develop a theoretical framework for understanding creativity in complex social settings. We define organizational creativity as the creation of a valuable, useful new product, service, idea, procedure, or process by individuals working together in a complex social system. The starting point for our theoretical development is provided by the interactionist model of creative behavior developed by Woodman and Schoenfeldt (1989). This model and supporting literature on creative behavior and organizational innovation are used to develop an interactional framework for organizational creativity. The theoretical framework is summarized by three propositions that can effectively guide the development of testable hypotheses.
In this paper we explore the validity of a survey question commonly used for measuring generalized trust. Trust has become a key variable in a variety of fields, including sociology, social psychology, political science, and economics; therefore the accuracy with which it is measured has profound implications for many studies. We suggest that ambiguous wording on this survey item has led to misinterpretations concerning actual trust levels, especially in a cross-cultural context. To test this claim, we conduct an extensive survey of students at UCLA and at Hokkaido University, Japan. Results strongly suggest that the survey question measures differences in caution levels rather than in trust. Implications of this research are discussed.
Many companies keep their suppliers and partners at arm's length, zealously guarding internal knowledge. Toyota Motor Corp., however, embraces its suppliers and encourages knowledge sharing through established networks. Toyota has developed interorganizational processes that facilitate the transfer of both explicit and tacit knowledge. The three key processes revolve around supplier associations (for general sharing of information), consulting groups (for workshops, seminars and on-site assistance from Toyota) and learning teams (for on-site sharing of know-how within small groups). With Toyota's help, suppliers have fine-tuned their operations until, compared with their work for Toyota's rivals, they have 14% higher output per worker, 25% lower inventories and 50% fewer defects. Quality improvements enable Toyota to charge price premiums for its products. Toyota's experience suggests that competitive advantages can be created and sustained through superior knowledge-sharing processes within a supplier network. The authors believe those principles have applicability in other types of alliances, too, including joint ventures. In fact, they contend that establishing effective interorganizational knowledge-sharing processes with suppliers and partners can be crucial for any company. The authors claim that knowledge sharing with suppliers is the reason for Toyota's dynamic learning capability and might be the company's one truly sustainable competitive advantage.
This paper proposes a co-evolutionary theory of strategic alliances. The paper proposes a framework which views strategic alliances in the context of the adaptation choices of a firm. Strategic alliances, in this view, are embedded in a firm's strategic portfolio, and co-evolve with the firm's strategy, the institutional, organizational and competitive environment, and with management intent for the alliance. Specifically, we argue that alliance intent may be described, at any time, as having either exploitation or exploration objectives. We further discuss how the morphology of an alliance-absorptive capacity, control, and identification-may be isomorphic with its intent, and, in the aggregate, drive the evolution of the population of alliances.
This paper investigates the relationship between intercorporate technology alliances and firm performance. It argues that alliances are access relationships, and therefore that the advantages which a focal firm derives from a portfolio of strategic coalitions depend upon the resource profiles of its alliance partners. In particular, large firms and those that possess leading-edge technological resources are posited to be the most valuable associates. The paper also argues that alliances are both pathways for the exchange of resources and signals that convey social status and recognition. Particularly when one of the firms in an alliance is a young or small organization or, more generally, an organization of equivocal quality, alliances can act as endorsements: they build public confidence in the value of an organization's products and services and thereby facilitate the firm's efforts to attract customers and other corporate partners. The findings from models of sales growth and innovation rates in a large sample of semiconductor producers confirm that organizations with large and innovative alliance partners perform better than otherwise comparable firms that lack such partners. Consistent with the status-transfer arguments, the findings also demonstrate that young and small firms benefit more from large and innovative strategic alliance partners than do old and large organizations.
Overactive bladder (OAB) is a highly prevalent, costly, and devastating condition that severely impairs the quality of life of millions of people worldwide. It places a considerable burden on patients, carers, and society as a whole, not only in terms of financial costs, but also in terms of intangibles such as personal suffering. Economic evaluations have tended to focus on urinary incontinence rather than OAB, but nonetheless have estimated annual US treatment costs for urinary incontinence in people over 65 years to be a US$ 26.3 billion (1995 dollars). These costs are expected to rise in line with the aging population and an improved awareness of urinary symptoms and their treatments. An appreciation of the impact of OAB on quality of life is pivotal to our understanding of the need for appropriate treatment and healthcare services. Quality of life in OAB can be measured using generic questionnaires (e.g. Short Form 36) and/or condition-specific quality of life instruments (e.g. King’s Health Questionnaire). Studies have shown that patients with OAB have a poorer quality of life than their age-matched controls, and that treatments directed at the symptoms of OAB can improve quality of life. Data are also accumulating on the association of OAB with other conditions such as falls and fractures, urinary tract and local skin infections, and sexual dysfunction.
Top management teams make strategic decisions, and the products of their decision making influence organizational performance, However, a subtle paradox is embedded in this relationship. This study focuses on conflict as the crux of this paradox and provides evidence from two different samples of conflict's consistent yet contradictory effects on decision quality, consensus, and affective acceptance.
Purpose
How does a company make its way through the cross‐border alliance jungle? The article seeks to address several issues facing companies that are considering or managing cross‐border alliances.
Design/methodology/approach
The author conducted 106 face‐to‐face interviews and 86 telephone interviews.
Findings
In this research study, three questions were answered: Why should I form a cross‐border alliance? How should I select a proper alliance partner? What are the key factors for capturing substantial (alliance) value?
Research limitations/implications
The study focuses on the views of senior executives and top managers of public companies and senior executives and top‐managers in state‐owned enterprises (especially in the energy sector), subsidiaries (of big global firms) and large private enterprises. The study does not include small and medium‐sized companies. The research does not focus on cross‐cultural management issues.
Practical implications
The research indicates that some simple guidelines can improve the success rate of a cross‐border alliance. Many cross‐border alliances do not realize their full potential because the preparation, planning and implementation process fails to clearly define what success means. Companies should use structured approaches because cross‐border alliances are a means to an end, i.e. they need to be viewed as a sequence of actions in the context of an overall business strategy – not as one‐off transactions. Time and patience are required to design a cross‐border alliance, structure the deal, and manage the implementation process. Cross‐border alliances should not be viewed as romantic. They should be evaluated for what they are – a way of competing.
Originality/value
The article extends the current globalization debate by bringing into focus the issues faced by cross‐border alliance participants. The conclusions are embedded in an extensive global study.
Exploring the factors that explain the choice of governance structures in interfirm alliances, this study challenges the use of a singular emphasis on transaction costs. Such an approach erroneously treats each transaction as independent and ignores the role of interfirm trust that emerges from repeated alliances between the same partners. Comprehensive multiindustry data on alliances made between 1970 and 1989 support the importance of such trust. Although support emerged for the transaction cost claim that alliances that encompass shared research and development are likely to be equity based, there is also strong evidence that repeated alliances between two partners are less likely than other alliances to be organized using equity.
Scholars in various disciplines have considered the causes, nature, and effects of trust. Prior approaches to studying trust are considered, including characteristics of the trustor, the trustee, and the role of risk. A definition of trust and a model of its antecedents and outcomes are presented, which integrate research from multiple disciplines and differentiate trust from similar constructs. Several research propositions based on the model are presented.
We describe the development and validation of a new instrument, KEYS: Assessing the Climate for Creativity, designed to assess perceived stimulants and obstacles to creativity in organizational work environments. The KEYS scales have acceptable factor structures, internal consistencies, test-retest reliabilities, and preliminary convergent and discriminant validity. A construct validity study shows that perceived work environments, as assessed by the KEYS scales, discriminate between high-creativity projects and low-creativity projects; certain scales discriminate more strongly and consistently than others. We discuss the utility of this tool for research and practice.
For many firms collaborative R&D is an important component of their technology strategies. R&D collaboration can provide valuable supplementary technological knowledge for firms, building technological capacity. Due to the additional problems of managing R&D in collaboration, rather than entirely in-house, outcomes from it are often uncertain and benefits are hard-earned. This paper, based on a literature review, and on six case-studies of firms experienced in collaboration, examines some of these problems. Because of the high management costs of collaboration, the length of tme needed to build effective communications paths between different organisations, and the specific technological nature of these forms of inter-firm linkage R&D collaboration should be a strategic toncern. Partner selection should be made, and the collaboration conducted, on the basis of the expectation of a continuing relationship encouraging mutual learning and based on a high degree of trust.
Product development is inherently risky, particularly when new technology is involved. Although collaborative product development is promoted as a means for reducing or at least sharing risk, such partnerships present their own challenges. Collaboration can also accentuate many of the risks inherent in product development. For example, any product development project requires effective communication among development team members. In a collaborative effort, this challenge is even greater because the development team spans organizational as well as functional boundaries.
Dale Littler, Fiona Leverick, and Margaret Bruce describe the results of a survey that was conducted to identify the risks and benefits of collaborative product development as well as the key success factors for such relationships. The main reasons cited for collaborating on product development projects include satisfying customer requirements, taking advantage of market opportunities for which the firm lacks necessary skills and technical expertise, and responding to changes in technology. Other reasons for collaboration include reducing the cost and risk of product R&D, improving time to market, and gaining access to new markets.
In addition to the risks associated with product development by a single company, the partners in a collaborative effort face several other challenges. For example, one company might gain inside knowledge of its partner's unique skills and expertise. Despite the cost and time involved in managing the collaboration, such a relationship usually results in less direct control over product development. Of particular concern are the difficulties of coordinating the divergent management styles and budgeting processes of the collaborating firms.
Collaboration requires frequent communication among all involved parties. The likelihood of success is greatly enhanced by the presence of a product or collaboration champion. Other success factors include ensuring that partners contribute as expected, creating the perception of equal benefits among partners, and building trust between partners. Firms that are more experienced with collaboration also cite the importance of flexibility in corporate systems and management style, fit with existing businesses, and the choice of a partner.
Studies strategic alliances between small and large North American biotechnology firms. A strategic alliance (SA) is defined as a short- or long-term collaboration between firms, involving partial or contractual ownership. The most common SA is between small and large firms: large firms have the resources to give small, innovative firms the competitive advantage they need, and small firms have specialized knowledge to provide to large firms a "window on new technology." SAs are often established to combat increasing international competition, though alliances are also being made between Japanese, European, and American companies. To examine SAs among research-intensive firms, questionnaires were mailed to senior executives of selected North American companies: 42 out of 144 dedicated biotechnology companies (DBCs) and 21 out of 70 large biotechnology firms responded. Additionally, in-depth interviews with some 30 large and small companies investigated SA networks, success rate, establishment process and negotiation. According to this research, SAs were most often initialized in the early stages of the innovation process as a means of gaining resources. The most important SAs for large firms were technology based, while small firms initiated SAs to gain financial advantages. For example, a case study on T-Cell Sciences shows that its alliance with Pfizer, a large pharmaceutical company, funds product development and market access, so that the company is able to expand its proprietary technology base. The study concludes that SAs vary with the life cycle of the company, but typically continue to be beneficial among small and large firms willing to spend the time and effort to establish and sustain them. (CJC)
This paper is concerned with understanding and identifying factors that affect the willingness of business executives to rely on trust as a governance mechanism in the context of partnerships. An instrument was designed (a short business case study followed by a questionnaire) to collect data on how different executives react to the objective conditions of a business deal. Through the questionnaire, individual willingness to rely on trust, individual reaction to traditional types of trust, and sensitivity to other situations that evolve during the deal were measured. It is shown that willingness to rely on trust varies amongst executives and is not fully determined by the conditions of a deal. Furthermore, consistent with a psycho-sociological approach to trust, it is also shown that demographic factors are related to propensity to rely on trust, and that across nationalities, the sensitivity to factors affecting trust such as partner interaction and external information differ.
The existing research contributes to our understanding about the value of social capital in a wide range of social science disciplines however, it does not well address the role of social capital in creativity for research and development (R&D) project teams in a given context. Using a sample of 54 R&D project teams in high-technology firms of Taiwan, we examined the impacts of social capital on creativity of R&D project teams from an intra-team perspective. Results of factor analysis revealed four factors extracted from the concept of social capital, namely social interaction, network ties, mutual trust, and shared goals. Findings suggested that social interaction and network ties had significant and positive impacts on creativity of R&D project teams, but mutual trust and shared goals did not. Managerial implications for managing social capital in R&D project teams are discussed.
This study examines the structure of 105 work groups and management teams to address the question of whether conflict can be beneficial. Multiple methods were used to examine the effects of conflict on both individual- and group-level variables to provide a more refined model of intragroup conflict. Results show that whether conflict was beneficial depended on the type of conflict and the structure of the group in terms of task type, task interdependence, and group norms. Relationship and task conflicts were negatively associated with individuals' satisfaction, liking of other group members, and intent to remain in the group. In groups performing very routine tasks, disagreements about the task were detrimental to group functioning. In contrast, in groups performing nonroutine tasks, disagreements about the tasks did not have a detrimental effect, and in some cases, such disagreements were actually beneficial. Contrary to expectations, norms encouraging open discussion of conflict were not always advantageous. The results suggest that while such norms were associated with an increase in the number and intensity of relationship conflicts, they did not increase members' ability to deal with the conflicts constructively. The model developed here contributes to an integrated perspective on organizational conflict.
Recent surveys indicate that executives of technology companies consider strategic alliances to be central to their competitive strategies. Yet the barriers to successful alliances are formidable. In many instances, these barriers develop in the early stages of an alliance. This study identifies and analyzes the types of challenges that companies face in the start–up phase of their alliances. It is based on a survey and interviews with executives in the Canadian high technology industry. The study finds that the principal challenges in the first year of an alliance relate to relationship issues between the partners. It suggests stronger attention to these issues in the design and implementation of an alliance. The paper concludes with guidelines to build and sustain effective working relationships between partners.
A comparative study of national versus international research
projects was conducted in a large corporate research centre. Factors
most associated with performance for both types of projects are quality
and extent of communications, use of integrative mechanisms, adequacy of
resources, motivation of research teams and product value. In
international projects, functional excellence also contributes to higher
performance
This article argues that the success of international strategic alliances requires attention not only to the hard side of alliance management (e.g., financial issues and other operational issues) but, also, to the soft side. The soft side refers to the development and management of relationship capital in the alliance. Relationship capital consists of the socio-psychological aspects of the alliance that are positive and beneficial to the alliance. Two important areas of relationship capital are mutual trust and commitment. Based on our findings from two major studies of Japanese strategic alliances, we develop a dynamic model of trust and commitment based on mutual adjustments of alliance partners. We also show how the dynamics of trust and commitment affect the performance of international strategic alliances with the Japanese. The article concludes with a discussion of the managerial implications of our findings and the dynamic model.
We designed an experiment to study trust and reciprocity in an investment setting. This design controls for alternative explanations of behavior including repeat game reputation effects, contractual precommitments, and punishment threats. Observed decisions suggest that reciprocity exists as a basic element of human behavior and that this is accounted for in the trust extended to an anonymous counterpart. A second treatment, social history, identifies conditions which strengthen the relationship between trust and reciprocity.
Global competition has paved the way to new corporate combinations--and opened up new pitfalls along the way. In "The Way to Win in Cross-Border Alliances," Joel Bleeke and David Ernst offer the unconventional lessons of their study of 49 cross-border alliances. For example, alliances between a weak and a strong company usually don't work; but fifty-fifty ownership of joint ventures actually improves decision making.
Sumario: This paper investigates the relationship between intercorporate technology alliances and firm performance. It argues that alliances are access relationships, and therefore that the advantages which a focal firm derives from a portfolio of strategic coalitions depend upon the resource profiles of its alliance partners. In particular, large firms and those that possess leading-edge technological resources are posited to be the most valuable associates. The paper also argues that alliances are both pathways for the exchange of resources and signals that convey social status and recognition. Particularly when one of the firms in an alliance is a young or small organization or, more generally, an organization of equivocal quality, alliances can act as endorsements: they build public confidence in the value of an organization's products and services and thereby facilitate the firm's efforts to attract customers and other corporate partners. The findings from models of sales growth and innovation rates in a large sample of semiconductor producers confirm that organizations with large and innovate alliance partners perform better than otherwise comparable firms that lack such partners. Consistent with the status-transfer arguments, the findings also demonstrate that young and small firms benefit more from large and innovate strategic alliance partners than do old and large organizations.
This paper examines the relationship between trust and economic growth. Taking panel data and using a fixed-effects estimation for a 41-country sample over the time period from 1980 to 2004 and with a total of 129 observations, the paper points out that economic growth is negatively related to an increase in trust. This negative finding is in contrast to most empirical findings using a cross-sectional design. The common knowledge which has governed the nature of discussions in social science and economics for the last ten years, that trust is generally positively related to economic performance, must be seriously questioned. From a policy point of view an increase in trust is crucial for countries with low levels of trust, but can likely be neglected by countries with sufficient levels of trust and may even hamper economic performance in countries with high levels of trust. The relationship is tested in the context of EU countries, OECD countries and developing countries. Interpersonal trust and systemic trust is differentiated. Copyright 2009 Blackwell Publishing Ltd.
I empirically test the role of trust in strategic alliances by using survey data from 67 German small and medium-sized enterprises (SMEs). Empirical findings indicate that high trust levels are a good predictor of alliance success. This result is encouraging, as it suggests that well-performing relationships can be differentiated from low performers on the basis of mutual trust. Furthermore, the study shows that the level of safeguards used in an alliance is decreasing in the level of trust and increasing in the gain from opportunistic behavior.