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When Worlds Collide: The Internal Dynamics of Organizational Responses to Conflicting Institutional Demands
... Nesse escopo, o propósito do trabalho envolve a compreensão do modo como lógicas institucionais, tratadas como categoria analítica em nível societal, participaram da organização da vida social, em específico da estruturação da governança, o que remete a um fenômeno em nível de campo organizacional. Sob o olhar teórico, o trabalho articula-se com outros estudos que avançam no entendimento das contingências que determinam como organizações navegam sob condições de múltiplas demandas institucionais (FRIEDLAND; ALFORD, 1991;PACHE;SANTOS, 2010); tais estudos constatam diferentes alternativas de respostas estratégicas, as quais podem envolver desde a opção por ignorar as pressões (OLIVER, 1991), estabelecer equilíbrio ou compromisso entre demandas conflitantes do ambiente por meio de hibridização de práticas ou estruturas (vide, por exemplo, D'AUNNO; SUTTON;PRICE, 1991;BATTI-LANA;DORADO, 2010;DUNN;JONES, 2010;PACHE;SANTOS, 2013). O presente trabalho, apesar de alinhado com essa preocupação, volta-se para a compreensão da coexistência de múltiplas lógicas, em oposição, mas não excludentes, no condicionamento da vida organizacional, como também para a evidência da participação de mecanismos em nível de campo no condicionamento da influência dessa complexidade institucional, proporcionando, ao contrário do que apregoa parte da literatura, espaço para a heterogeneidade e não apenas para o isomorfismo estrutural (vide, por exemplo, GREENWOOD et al., 2011). ...
... Nesse escopo, o propósito do trabalho envolve a compreensão do modo como lógicas institucionais, tratadas como categoria analítica em nível societal, participaram da organização da vida social, em específico da estruturação da governança, o que remete a um fenômeno em nível de campo organizacional. Sob o olhar teórico, o trabalho articula-se com outros estudos que avançam no entendimento das contingências que determinam como organizações navegam sob condições de múltiplas demandas institucionais (FRIEDLAND; ALFORD, 1991;PACHE;SANTOS, 2010); tais estudos constatam diferentes alternativas de respostas estratégicas, as quais podem envolver desde a opção por ignorar as pressões (OLIVER, 1991), estabelecer equilíbrio ou compromisso entre demandas conflitantes do ambiente por meio de hibridização de práticas ou estruturas (vide, por exemplo, D'AUNNO; SUTTON;PRICE, 1991;BATTI-LANA;DORADO, 2010;DUNN;JONES, 2010;PACHE;SANTOS, 2013). O presente trabalho, apesar de alinhado com essa preocupação, volta-se para a compreensão da coexistência de múltiplas lógicas, em oposição, mas não excludentes, no condicionamento da vida organizacional, como também para a evidência da participação de mecanismos em nível de campo no condicionamento da influência dessa complexidade institucional, proporcionando, ao contrário do que apregoa parte da literatura, espaço para a heterogeneidade e não apenas para o isomorfismo estrutural (vide, por exemplo, GREENWOOD et al., 2011). ...
... Nesse escopo, o propósito do trabalho envolve a compreensão do modo como lógicas institucionais, tratadas como categoria analítica em nível societal, participaram da organização da vida social, em específico da estruturação da governança, o que remete a um fenômeno em nível de campo organizacional. Sob o olhar teórico, o trabalho articula-se com outros estudos que avançam no entendimento das contingências que determinam como organizações navegam sob condições de múltiplas demandas institucionais (FRIEDLAND; ALFORD, 1991;PACHE;SANTOS, 2010); tais estudos constatam diferentes alternativas de respostas estratégicas, as quais podem envolver desde a opção por ignorar as pressões (OLIVER, 1991), estabelecer equilíbrio ou compromisso entre demandas conflitantes do ambiente por meio de hibridização de práticas ou estruturas (vide, por exemplo, D'AUNNO; SUTTON;PRICE, 1991;BATTI-LANA;DORADO, 2010;DUNN;JONES, 2010;PACHE;SANTOS, 2013). O presente trabalho, apesar de alinhado com essa preocupação, volta-se para a compreensão da coexistência de múltiplas lógicas, em oposição, mas não excludentes, no condicionamento da vida organizacional, como também para a evidência da participação de mecanismos em nível de campo no condicionamento da influência dessa complexidade institucional, proporcionando, ao contrário do que apregoa parte da literatura, espaço para a heterogeneidade e não apenas para o isomorfismo estrutural (vide, por exemplo, GREENWOOD et al., 2011). ...
Este artigo analisa a influência das lógicas institucionais de Comunidade, Mercado e Estado na estruturação da governança de recursos hídricos no Brasil. À luz do institucionalismo sociológico, foco é dado ao sistema de recursos hídricos, entendido como campo organizacional, e à interferência de lógicas institucionais societárias na configuração de quadros de referências locais para o comportamento dos atores sociais. Por meio de entrevistas semiestruturadas e análise documental, foram coletados dados sobre a codificação de significados e normas no arranjo de lógicas locais que, manifestadas na forma de diretrizes e práticas, influenciaram a estruturação da governança de recursos hídricos. O estudo é de natureza descritivo-qualitativa e abrangeu três décadas a contar da primeira conferência mundial sobre gestão de recursos hídricos em 1977. Os resultados evidenciaram que a consistência institucional, no contexto de regulação brasileiro, apresentou ambiguidade legal e homogeneidade entre legislações federal e estaduais. Entretanto, constatou-se que o modelo, centralizado no nível federativo, favorece o formalismo e provoca dificuldades na implementação da proposta integradora e participativa de gestão entre os Estados. Os resultados também apontaram que configurações de lógicas institucionais societais, ao nível do campo, interagiram com princípios locais, explicando em grande medida a variação nos modelos de governança. Como conclusão, duas proposições analíticas são apresentadas: (i) pressões isomórficas em nível mundial, sob influência dos arranjos de lógicas institucionais em nível societal, tendem a provocar heterogeneidade das estruturas de governança; (ii) lógicas institucionais em nível societal permeiam o campo organizacional, configurando ordens locais e moldando o discurso e identidade dos atores sociais.
... Par ailleurs, au-delà de l'analyse des tensions, nous examinons les différentes stratégies de conciliation mises en oeuvre pour gérer les tensions organisationnelles du travail. Dans cette perspective, la recherche se focalise à la fois sur la nature et les facteurs déterminants des réponses apportées par les acteurs de l'organisation à l'existence de tensions (Pache et Santos, 2010). Pour ce faire, nous formulons la question de recherche suivante : quelles sont les stratégies de conciliation mises en oeuvre en réponse aux tensions ? ...
... L'hybridation apparaît également comme une source de tensions dans la mesure où la coexistence de logiques institutionnelles multiples peut se traduire par des demandes différentes et potentiellement contradictoires au sein de l'organisation (Glynn, 2000). Dans cette perspective, Pache et Santos (2010) soulignent que les organisations sont soumises à des exigences hétérogènes liées à leur environnement institutionnel. Pour les auteurs, différents mondes institutionnels entrent en collision au sein des organisations et imposent des demandes contradictoires aux organisations qui les hébergent. ...
... Afin d'appréhender la médecine nucléaire, nous avons proposé la notion de monde hybride, construite à partir d'une double perspective théorique : 1) les mondes sociaux, entendus comme des organisations sociales se développant autour d'activités (Becker, 1988 ;Strauss, 1992) ; 2) l'hybridation organisationnelle qui renvoie à la rencontre de logiques institutionnelles distinctes (Spicer et Sewell, 2010), ce qui nécessite de combiner des pratiques, des activités, des raisonnements ou encore des identités différentes (Galaskiewicz et Barringer, 2012). L'hybridation résultant de la rencontre de mondes sociaux différents apparaît également comme une source de contradictions au sein des organisations (Pache et Santos, 2010). Finalement, l'approche en termes de monde hybride met en jeu deux niveaux d'analyse interdépendants : 1) l'analyse du travail des acteurs impliqués dans le monde hybride, notamment en termes de gestion des contradictions ; 2) l'analyse de la dynamique des mondes sociaux eux-mêmes. ...
La thèse porte sur les tensions organisationnelles ainsi que sur les modes de traitement de ces tensions à partir de l'étude des contradictions inhérentes au travail dans le secteur de la médecine nucléaire. En effet, les professionnels de santé de médecine nucléaire sont amenés à soigner le patient tout en se protégeant des expositions aux « faibles doses » de radioactivité pour lesquelles les risques ne sont pas avérés. Le travail en médecine nucléaire revient à gérer conjointement deux logiques hétérogènes et potentiellement contradictoires que sont, d'une part, le soin en tant qu'activité de cure et de care et, d'autre part, la radioprotection qui se fonde sur un certain nombre de procédures et de dispositifs opérationnels. La médecine nucléaire s'apparente à un monde hybride dans lequel coexistent les mondes du soin et de la radioprotection. L'hybridation apparaît comme une source de contradictions qui appellent la mise en œuvre de modes de gestion des tensions. Nous appréhendons alors la gestion des tensions sous l'angle de la conciliation des logiques et posons la problématique suivante : comment gérer les tensions organisationnelles par la conciliation dans le monde de la médecine nucléaire ? Pour répondre à cette question, nous nous appuyons sur une étude de cas composée de deux unités de médecine nucléaire d'un centre hospitalier universitaire. Nous adoptons une méthodologie qualitative combinant observations et entretiens en nous focalisant sur l'activité de travail des professionnels de santé. Les résultats permettent l'identification des tensions dans un contexte d'incertitude ainsi que des stratégies de conciliation mises en œuvre en réponse aux tensions. La thèse contribue ainsi à l'analyse de la gestion des tensions organisationnelles à travers la notion de conciliation permettant de dépasser l'opposition entre résolution et entretien des tensions.
... MNEs can compartmentalize identities such that they commit only symbolically to certain logics while preserving a core identity (Kraatz & Block, 2008). They can establish "elaborate rational plans and procedures in response to institutional requirements in order to disguise the fact that they do not intend to implement them" (Oliver, 1991: 154;George, Chattopadhyay, Sitkin, & Barden, 2006;Pache & Santos, 2010). For example, U.S. firms without high stakes in China may symbolically comply with the decoupling logic, without implementing it. ...
... This is consistent with the 'selectively coupling strategy' suggested by the institutional logic literature, which enables firms to attend to both sides of the competing logics (Oliver, 1991;Pache & Santos, 2013). MNEs could couple intact elements prescribed by each logic and partially conform to all institutional demands (Pache & Santos, 2010). This allows them to draw upon "a much broader repertoire of institutionalized templates … to craft a configuration of elements that fits well with the demands of their environment and helps them leverage a wider range of support" (Pache & Santos, 2013: 994). ...
... Since this announcement took place before the executive order was signed, it may be viewed as "symbolically managing" the external threat (Kraatz & Block, 2008;Pache & Santos, 2010). Second, shortly after the enactment of the executive order, TikTok strived to mitigate the subsidiary-level threat by "selectively coupling" with the nationalism order more substantively (Pache & Santos, 2013). ...
What can MNEs learn from the COVID-19 pandemic? IB scholars have provided ample insights into this question with many focusing on risk management. Complementing these insights, we argue that MNEs should also consider the long-lasting effect that COVID-19, inter alia, had on the institutional logics underlying globalization. The U.S. and its allies have redefined their logic from pursuing cost-reduction to building partnerships based on shared-value, aiming to substitute China's role in the world economy. The geopolitical pressure for decoupling from China is the source of 'new' vulnerability of globalization. Such pressure is counteracted by the economic rationality, creating unsettled priority between the globalization and deglobalization logics at the macro-level institutional space. Combining both risk-management and institutional logic perspectives, we develop a more comprehensive framework on how MNEs should respond to these challenges. This paper contributes to the debate regarding the impact of COVID-19 on globalization, suggesting that neither globalization nor deglobalization logics will prevail in the short run, and IB will likely be more fractured in the long run, based on not only geographic, but also ideological and value propinquity. In strategic sectors the balance will shift toward bifurcation while in others the balance will shift toward the globalization logic.
... This growth corresponds to a growing number of consumers, investors, and workers seeking to reconcile their purchases, investments, and employment decisions with their values . Compared to commercial enterprises, sustainable companies experience tension due to conflicting institutional demands resulting from commercial and social or sustainable logics that are embedded in different regulatory, social, and cultural environments (Pache & Santos, 2010). ...
... Each sector has its own institutional logic. Organizations may be subject to several potentially contradictory institutional logics, leading to conflicts and choices (Pache & Santos, 2010). This "institutional pluralism" may have positive (e.g., institutional logics might be complementary) and negative consequences (e.g., goal ambiguity, fragmentation, conflict and instability) (Kraatz & Block, 2008). ...
... This "institutional pluralism" may have positive (e.g., institutional logics might be complementary) and negative consequences (e.g., goal ambiguity, fragmentation, conflict and instability) (Kraatz & Block, 2008). Hence, hybrid organizations, which are subject to institutional pluralism, might face pressure to adhere to conflicting institutional demands, i.e. the social welfare/community logic (value creation) versus market/commercial logic (value capture) (Pache & Santos, 2010;. Spanning these institutional boundaries often implies a trade-off between value creation and value capture and might eventually lead to tensions and prioritization of one logic over another . ...
... Brantnell and Baraldi (2020) stress that institutional logic diversity can cause logic conflicts, lead to logic coexistence, support organizational survival, and initiate organizational decline. However, the research has greatly focused on how organizations experience and deal with institutional logic diversity (see, e.g., Greenwood et al., 2011;Pache & Santos, 2010) and has devoted less attention to addressing this topic from an individual perspective (see, e. g., Goodrick & Reay, 2011;Pache & Santos, 2013;Thornton et al., 2012). Some researchers advocating an individual perspective have outlined strategies for individuals to handle multiple institutional logics. ...
... A stream of institutional research describes situations where some of the aforementioned logics are present in the same organization simultaneously (see, e.g., Battilana & Dorado, 2010;Scott, Ruef, Mendel, & Caronna, 2000;Thornton & Ocasio, 1999). Besharov and Smith (2014) and Pache and Santos (2010) stress that such institutional logic diversity is observed in several fields, such as healthcare, cultural industries, life sciences, and professional services. In zooming in on institutional logic diversity in public-private collaboration, Jay (2013) outlines in his study on the Cambridge Energy Alliance that sensemaking is helpful in the process of transforming and combining different institutional logics within an organization and that it can lead to new innovative organizational practices. ...
... However, the consequences of institutional logic diversity is subject to debate. Brantnell and Baraldi (2020) highlight that diversity can lead to logic coexistence (Binder, 2007;McPherson & Sauder, 2013), can support organizational survival (Jay, 2013;Kraatz & Block, 2008), can initiate organizational decline (Pache & Santos, 2010;Tracey et al., 2011), and can cause logic conflicts (Greenwood et al., 2011;Thornton & Ocasio, 1999). Both internal and external forces can foster institutional logic conflicts (DiMaggio & Powell, 1983;Fiss & Zajac, 2004), and to comprehend and categorize diverse levels of conflict, Besharov and Smith (2014) offer a framework that builds on two dimensions: the degree of centrality-that is, whether one or more dominant logics are crucial for the functioning of organizations-and the degree of compatibility-that is, whether the dominant logics argue for compatible or contradictory actions. ...
A diversity of institutional logics can impede public-private collaboration. In this paper, we explore how individuals use different strategies as interaction modes to foster institutional logic convergence in a public-private collaboration project. To do this, we rely on research on public-private collaboration and institutional logics and a single case study of a public-private smart city development project in the city of Aguas, Brazil. This paper contributes to the research on institutional logic diversity in three ways. First, we find that individuals use different strategies as interaction modes to achieve institutional logic convergence, but these strategies serve diverse purposes over time in a project. Second, when the organizational and individual goals in a project are balanced, this eases institutional logic convergence. Third, individuals can be facilitators of institutional logic convergence if they can unite diverse institutional logics and are perceived to have a central position in a project.
... In such circumstances, the support of one stakeholder group risks being secured at the expense of another stakeholder's loss of support, rendering the maintenance of legitimacy more elusive. As with responses to institutional pressures more broadly, opportunity for agency exists and multiple variables can be expected to influence an organization's response to conflicting demands (Pache and Santos, 2010). ...
... Grameen's narratives suggest an attempt to navigate competing demandscentered on goals, rather than meansby emphasizing distinctiveness, rather than conformity or compromise. Conflicts over goals are inherently more challenging than conflicts over means, threatening organizational members' core understanding of the organization's identity (Pache and Santos, 2010), and compromise or conformity in such circumstances would be difficult. Further complexities are created when considering implications for performance, with research supporting conformity's role in demonstrating legitimacy, and legitimacy's role, in turn, in improving performance (Deephouse, 1999). ...
... In crafting legitimation narratives in the context of such complexity, a fundamental choice for organizations is to emphasize distinctiveness or conformity (Lounsbury and Glynn, 2001). Pache and Santos (2010) suggest that strategies entailing compromise or conformity would be less likely with conflicting demands focused on goals; any potential attempt to compromise on goals may, if attempted, threaten employees' understanding of the organization's identity. The sensegiving and sensemaking implications of narratives should, therefore, take employees' potential reactions into account. ...
Purpose
This paper aims to consider the legitimacy challenges faced by hybrid organizations, examining the narrative strategies hybrids use in responding to these challenges and offering a framework for managers to consider in their choice of narratives.
Design/methodology/approach
A narrative analysis of texts addressing the legitimacy of the business models used by four hybrid organizations is conducted.
Findings
The results of the analysis suggest that the nature of conflicting stakeholder demands – centered on goals or means – is an integral factor influencing hybrids’ choice of narrative strategies to emphasize distinctiveness or conformity.
Research limitations/implications
This paper adds to extant research examining the challenges hybrid organizations face and emphasizes that the choice of narrative strategies is an important factor hybrids must consider when managing legitimacy. Generalizability is a notable limitation of the case approach; the authors suggest areas for future research to address this limitation.
Practical implications
The research offers a practical framework for hybrids’ leaders, as they manage legitimacy, choosing to emphasize distinctiveness or conformity in the face of conflicts regarding goals or means.
Originality/value
By studying the legitimacy challenges faced by hybrid organizations, this study can form a more complete view of legitimation, encompassing different types of enterprises offering distinct value propositions.
... Another group of articles in this cluster deal with different facets of institutional change, such as the underlying mechanism leading to institutional change (Suddaby & Greenwood, 2005), the process of institutional change (Greenwood et al., 2002;Lounsbury & Crumley, 2007;Rao et al., 2003), and the role of the institutional entrepreneur as an actor driving institutional change (Greenwood & Suddaby, 2006). Further, there is a group of articles in the cluster that argue that actors in an organization interact with the institutions, and this interaction results in a change in the institution (Binder, 2007;Lok, 2010;Smets et al., 2012) and impacts the micro-level activities of the actors (Goodrick & Reay, 2011;McPherson Kraatz and Block (2008), Marquis and Lounsbury (2007), Pache and Santos (2010), and Thornton and Ocasio (1999) discuss the characteristics of the organization domain and the organizations shaping institutional complexity, explore the impact of institutional complexity on organizations, and identify a range of strategies used by organizations to respond to this complexity. Within this group, Friedland and Alford (1991) argue that society is an inter-institutional system and highlight the role of societal contexts in determining the behaviour of individuals and organizations, whereas Thornton et al. (2012) discuss the organizational process leading to the creation or recombination of institutional logics. ...
... In the initial phase of the evolution of the domain, scholars focused on understanding the nature of HOs, making sense of HOs in different domains, and understanding the impact of hybrid organizational form on the organization (Jarzabkowski & Fenton, 2006;Oliver & Montgomery, 2000). Subsequent works focused on the challenges posed by hybridity and the mechanisms used by organizations to overcome those challenges (Battilana & Dorado, 2010;Pache & Santos, 2010, 2013a. Moreover, recent works have attempted to explore the origin of HOs and have linked this to the attributes of the entrepreneurial team (Dufays & Huybrechts, 2016;Lee & Battilana, 2013). ...
... In our case, we tested our data with different threshold levels and finally arrived at two citations per year, with a stress value of 0.0742 indicating a good fit. 2 The algorithm proceeds in the following steps:Consider every data point (articles in our case) as individual cluster.Calculate the similarity of one cluster with another cluster (calculate proximity matrix) based on standardized co-citation value.Merge clusters which are highly similar or close to each other.Recalculate proximity matrix for each cluster.Repeat steps 3 and 4, until only a single cluster remains. 3 List of core documents: Battilana and Dorado (2010), Battilana and Lee (2014), Besharov and Smith (2014), Binder (2007), D 'Aunno et al. (1991), DiMaggio and Powell (1983), Dunn andJones, 2010, Friedland andAlford (1991), Glynn and Lounsbury (2005) (2008), Lawrence and Suddaby (2006), Lok (2010), Lounsbury and Crumley (2007), McPherson and Sauder (2013), Meyer and Rowen (1977), Oliver, 1991, Pache and Santos (2010, 2013a, Purdy and Gray (2009), Rao et al. (2003), Hinings (2005, 2009), Scott (2001), Scott et al. (2000), Seo and Creed (2002), Smets et al. (2012), Suddaby and Greenwood (2005), Thornton (2002Thornton ( , 2004, Thornton and Ocasio (2008), Thornton et al. (2012), Tracey et al. (2011), Zilber (2002. ...
Research on hybrid organization (HO) has grown rapidly over recent decades, yet the conceptualization and research structure remain fragmented. In this paper, we employ a combination of bibliometric analysis and a structured review of recent influential articles to evaluate the domain of HO. As part of the bibliometric analysis, we analysed 676 documents containing 51,014 references by applying citation, co‐citation, and social network analysis (SNA) techniques. Based on our analysis, we identified the 108 most influential works shaping the domain and explored the linkages between them to uncover the intellectual structure of the domain. Specifically, we observed five different clusters that depicted the intellectual structure of the HO domain. Our result further clarified the overall centrality features of the HO research network. Further, the structured review resulted in the identification of six different themes: impact of organizational actors on HO, impact of the external environment on HO, hybridization process and organizational response, organizational structure and governance, organizational strategy, and organizational performance. Building on our results, we propose a framework and explicate the gaps for future HO research.
... From an institutional perspective, widespread change and transitions agenda is characterised by the introduction of new logic, and consequently contests between incumbents and the new (Lounsbury & Boxenbaum, 2013;Oliver, 1991;Pache & Santos, 2010). It can therefore be expected that the call for re-establishing competencies that take the three main dimensions into consideration would catalyse changes in how city managers and built environment professionals are trained. ...
... On the other hand, the development of cross-disciplinary competencies demands an interdisciplinary approach to training urban built environment professionals and city managers. A collective embrace of the latter is not guaranteed immediately, as insights from the institutional complexity literature suggest (Pache & Santos, 2010). Nonetheless, with growing evidence that there is a significant need for competencies that consider the digital/technical, governance and management, and responsible innovation dimensions of digitalisation initiatives, steady progress can be expected in the provision of such training and education to stimulate changes in professional practice (Construction Innovation Hub, 2021;Li et al., 2016). ...
Digitalisation in cities offers new opportunities and challenges for city planners and managers to re-shape their roles and create public value through responsible innovation. However, there is a lack of understanding of the competency requirements to foster leadership capacity for digital innovation with social coherence and responsibility. Based on a socio-technical perspective, this paper presents a multi- and inter-disciplinary framework to identify and evaluate the competencies necessary for leading digital innovation in the built environment. The framework incorporates three dimensions: digital and technical, governance and management, and ethical and responsible innovation. A review of existing competency frameworks for digitalisation in the urban built environment is presented to identify competency gaps across the three dimensions. The results show that existing frameworks rarely strive for comprehensiveness and are limited in their scope to certain competencies along a single dimension. In addition, studies addressing the need for multi- and inter-disciplinary competencies across the three dimensions are lacking. The paper thus demonstrates that our three-pronged framework is a useful and much needed tool to identify competency requirements for local public, private and community stakeholders to steer place-based digital innovation and ensure public value creation.
... Second, stakeholders are the most influential determinants of dominant institutional logic within a social enterprise. In other words, social entrepreneurship scholars argue that external and internal actors convey institutional demands to a social enterprise [34]. Because organizations are complex entities made up of multiple groups advocating distinct values, purposes, and interests, an organization's internal and external stakeholders can shape how a social enterprise responds to competing logics [34,35]. ...
... In other words, social entrepreneurship scholars argue that external and internal actors convey institutional demands to a social enterprise [34]. Because organizations are complex entities made up of multiple groups advocating distinct values, purposes, and interests, an organization's internal and external stakeholders can shape how a social enterprise responds to competing logics [34,35]. ...
Both academics and businesspeople are interested in how to make social enterprises sustainable. The focus of this research is on the different kinds of stakeholders within a group that make it easier for competing logics to coexist in social enterprises. Based on intra-stakeholder heterogeneity and competing institutional logics, we identify key sub-categories among market stakeholders such as investors, customers, and employees. We tested our hypotheses using survey data collected from 190 social enterprises in Korea. Our research shows that the hybridity of competing logics is better when there are more ethical investors in the investor stakeholder group and cross-sector employees in the employee stakeholder group. However, impure altruistic buyers do not have much of an impact on the hybridity of competing logics among consumer stakeholder groups. Our study’s analysis of intra-stakeholder heterogeneity provides theoretical insight into the hybridity of institutional logics in social entrepreneurship. This study also makes the practical suggestion that in order to achieve hybridity, managers of social enterprises should put in a lot of time and effort to understand the different institutional logics of within-group stakeholders.
... However, universities operate within strong institutional environments and are strongly institutionalized (Meyer and Rowan 1977). A critical insight from institutional theory is that institutional referents impose various demands for conformity on organizations (Pache and Santos 2010). Organizations comply to increase their legitimacy (Deephouse and Suchman 2008;Scherer et al. 2013), regardless of whether this improves operational efficiency and effectiveness (Meyer and Rowan 1977). ...
... When the local institutional field does not strongly endorse the commercialization elements of the global TSA field, it is left to individual universities to choose to connect to them by legitimizing TSAs internally through website claims. When certain TSAs conflict with local institutional field expectations, there is potentially a conflictual situation related to goals that universities (Besharov and Smith 2014;Pache and Santos 2010) need to resolve. Hence, different levels of association between website claims and commercialization-driven TSAs suggest deliberate choices by universities to internally represent (Pache and Santos 2010) the global TSA prescriptions through representational polysemy (Gümüsay et al. 2020). ...
Third stream activities (TSAs) are increasingly seen as priorities and becoming an important part of the global discourse on the role of universities. Yet, evidence also indicates difficulties that universities face in prioritizing TSAs. These difficulties are especially salient in emerging economies, where national institutional systems often may not encourage certain TSAs due to resource constraints and normative expectations. However, universities in these economies face global institutional conformance pressures to undertake TSAs. How do they respond? We investigate this issue for Indian universities. Grounding our arguments in institutional theory, specifically the nested institutional fields literature, we test our hypotheses using publicly available data. We found that university websites play an essential role in publicly aligning with global institutional expectations when TSAs are locally contested. Such public endorsements ensure compliance with global expectations and local legitimacy by making TSAs discretionary rather than mandatory for faculty.
... For example, in work integration firms, the same employees often ensure financial sustainability through business activity and disadvantaged workers' skill development (Tracey et al., 2011;Pache and Santos, 2013;Battilana et al., 2015;Bruneel et al., 2016). 4 When making decisions in the field, loan o cers in commercial microfinance organizations must balance loan size, interest rate, repayment risk, and potential profits on one hand, with reaching the target underprivileged population on the other (Battilana and Dorado, 2010;Pache and Santos, 2010;Canales, 2014;Wry and Zhao, 2018). 'Base of the pyramid' firm employees must sell products at prices above cost, yet within the reach of the target population (Santos et al., 2015;McMullen and Bergman, 2017;Prado et al., 2022). ...
... Previous social organization experience Individuals with previous social sector experience -working for or with non-profits or social enterprises -may di er from other individuals in two ways. Their work may have rendered them more socially motivated (Hockerts, 2017) or may have accustomed them to an institutional logic where revenue generation and commercial practices are the exception rather than the norm (Pache and Santos, 2010), so incentives may elicit di erent reactions from this subgroup. We create a dummy variable for individuals who have worked i) in a non-profit, ii) in a social enterprise, or iii) with a social organization and compare results across groups with and without such experience (results are similar if we also include volunteering and donations). ...
... Dans une première approche sur les alternatives, nous retrouverons donc des littératures comme celles sur les organisations hybrides (Battilana & Dorado, 2010;Pache & Santos, 2010) ou sur les « social business », avec des cas comme les instituts de microcrédit ou la logique « bottom of the pyramid » (Ansari, Munir & Gregg, 2012;Olsen & Boxenbaum, 2009). Les organisations hybrides sont caractérisées par une tension entre deux logiques institutionnelles opposées (Battilana & Dorado, 2010 La recherche sur les entreprises sociales (Yunus, Moingeon & Lehmann-Ortega, 2010) s'est également développée à travers le concept d'organisations hybrides (Battilana & Lee, 2014) montrant ainsi la proximité entre les deux concepts. ...
... D'autre part, les auteurs les plus radicaux sur les organisations alternatives insistent sur le fait qu'une remise en cause plus profonde du capitalisme est nécessaire . Les travaux dans le champ des organisations hybrides montrent en effet la difficulté de maintenir l'hybridité et la forte pression à abandonner les objectifs non financiers (Battilana & Dorado, 2010;Pache & Santos, 2010). Cela contribue à montrer la force de la logique de profit par rapport aux autres logiques au sein du capitalisme néo-libéral. ...
Cette thèse explore la question du travail dans les organisations alternatives et propose de répondre à la problématique suivante : « comment peut s’organiser le travail dans des organisations alternatives en dehors d’une logique capitaliste ? Une telle organisation peut-elle permettre de s’émanciper des formes d’oppression au travail ? » Le manuscrit s’inscrit dans les perspectives émergentes sur les organisations alternatives qui proposent un nouveau projet d’émancipation pour les études critiques en gestion. Nous proposons une approche anti-essentialiste de ces organisations et insistons sur l’enjeu théorique des imaginaires pour accompagner l’émergence des alternatives. Toutefois, nous soulignons l’absence de recherche sur le travail dans ces organisations. Nous mobilisons ici la Labour Process Theory qui a particulièrement étudié la question de l’aliénation au travail en expliquant le contrôle du travail par des dispositifs coercitifs et une fabrique du consentement. Classiquement centrées sur les conflits sociaux dans les usines, nous suivons de récentes perspectives qui appliquent la LPT à de nouvelles organisations. Nous présentons ensuite notre méthode ethnographique de trois ans au sein de la Louve, le premier supermarché coopératif et participatif de France. Les résultats montrent que le travail à la Louve se présente comme la construction permanente d’un équilibre entre contestation et consentement. Les membres de la coopérative s’organisent pour porter un projet contestataire vis-à-vis des acteurs traditionnels de la grande distribution. Un imaginaire commun est activement fabriqué, régulé et stabilisé pour obtenir le consentement des membres au contrôle de leur travail volontaire. Cependant, cette organisation du travail maintient des rapports de pouvoir au sein de la coopérative en séparant les coopérateurs qui contrôlent la politique alimentaire de l’organisation de ceux qui ne font que la mettre en œuvre.
... The analysis was carried out using thematic analysis by carefully reading all the articles included in the review and then breaking down the content into certain components or themes to facilitate the synthesis [20,25]. Thematic analysis is a method used to systematically identify, organize, and offer insight into a pattern of meaning (theme) across datasets so that researchers can understand collective meanings and experiences [19]. ...
... Lastly, the collected articles also talked about the entrepreneurial vision of SEs. This vision is important for addressing social problems innovatively [25]. Entrepreneurial vision is like an engine that organizes and coordinates all aspects of SEs to achieve their objectives and have a greater impact on society. ...
Sustainability-oriented innovation (SOI) is a subset of innovation that focuses on not just maximizing profits but also on minimizing negative consequences for the environment and society. Despite the fact that the study of SOI has grown rapidly in recent years, little is known about how SOI takes place in social enterprises (SEs). The aim of this study is to understand SOI in SEs with two research questions focusing on the current state of the research and the identification of emergent themes and subthemes regarding SOI practices in SEs. The method used was a systematic review of the scholarly literature guided by the PRISMA protocol. The systematic search and filtering process resulted in 27 studies, which were filtered out of a total of 100 studies. The study’s findings show that process/organizational innovation, such as business model transformation and stakeholder management to increase SEs’ societal impact, is widely practiced in SEs. Unlike SOI in commercial organizations, which is dominant in the subcategory of SOI of environmental innovation, SOI in SEs is more prevalent in social innovation. Several challenges faced by SEs in developing SOIs were also revealed, including a lack of long-term funding, low entry barriers for potential competitors, and inefficiencies. A number of potential future directions were also discussed.
... Organizations and individuals in an authoritarian regime like China's naturally follow a political ideology and, more specifically, stability logic in their daily life (Howell, 2012;Raynard et al., 2013). This is not surprising given that organizational members often serve as carriers of constitutive logic (Pache and Santos, 2010). Any projected plans and decisions for future changes must adhere to institutionalized norms and values (Friedland, 2018). ...
... At present, managers seem to intentionally avoid external assessments of the sustainability reporting process in Chinergy. We would argue that, under the Chinese authoritarian political climate, stability norms have induced avoidance tactics (Pache and Santos, 2010;Olliver, 1991) as a way to at least temporarily avoid the potentially negative consequences arising from external examination of their sustainability performance, which may seriously impact their career path and outlook as members of a Chinese CSOE (Li and Belal, 2018;Xu, 2011). ...
Purpose – This case study presents a critical analysis of why and how corporate managers in China are reluctant to adopt sustainability reporting assurance (SRA) provided by externally independent third-party assurers, despite the fact that it is acknowledged as a value-adding activity globally.
Design/methodology/approach – A longitudinal fieldwork case study was conducted from 2014 to 2019 in a Chinese central state-owned enterprise (CSOE), a pioneer in sustainability reporting practice since the mid- 2000s, to collect first-hand empirical data on managerial perceptions of the adoption of external SRA. Semi- structured interviews with 25 managers involved in sustainability (reporting) practice were conducted. The interview data were triangulated with an analysis of archival documents and board meeting minutes pertaining to the undertakings of sustainability practices in the case study organization.
Findings – Our empirical analysis suggests that while managers recognize the benefits of adopting external SRA in enhancing the legitimacy of sustainability accountability, they oppose SRA because of their deep- rooted allegiance to the dominant logic of sociopolitical stability in China. SRA is envisaged to risk the stability of the socialist ideology with which CSOEs are imbued. Therefore, any transformational approach to accepting a novel (foreign) practice must be molded to gain control and autonomy, thereby maintain the hegemony of stability logic. Instead of disregarding external verification, managers of our case SOE appear to harness sustainability reporting as a navigational space to engage in internally crafted alternative manners in order to resist the rationality of SRA.
Originality/value – The empirical analysis presents a nuanced explanation as to why internal managers have hitherto been reluctant to embrace the embedding of independent assurance into the sustainability reporting process. Our prolonged fieldwork provides ample context-specific, intra-organizational evidence regarding the absence of SRA in Chinese CSOEs, which warrants more attention given their considerable presence in the global economy. In addition, the empirical analysis contributes to our understanding of the managerial capture of sustainability issues in a specific context of state capitalism and how organizations and individuals in an authoritarian regime interpret and respond to novel discourses derived from distinct institutional settings.
... Institutional theory has also been applied to the study of organizational change, with research examining the role of institutions in shaping the direction and pace of change. This research has identified a range of factors, including the strength and stability of institutions, the presence of institutional entrepreneurs, and the level of institutionalization of new practices, as important considerations in the process of organizational change (Pache & Santos, 2010). ...
This research aims to explore the role of institutions in the successful implementation and sustainability of the national e-prescription system in Vietnam. The national e-prescription system was introduced in Vietnam in 2019 as a pilot project in several provinces, and has since been gradually rolled out to the entire country. However, despite its potential benefits, the system has faced several challenges in terms of implementation and adoption by healthcare practitioners. Through a qualitative study using interviews and document analysis, this research aims to understand the factors that have contributed to the successes and challenges of the e-prescription system in Vietnam, and how institutions can be cultivated to support its sustainable growth. Findings from this research will have implications for policymakers and practitioners in the healthcare sector, as well as for other countries considering the adoption of similar e-prescription systems.
... The Impact of Institutional Pluralism on Governmental Reforms in the Public Sector 7 professional norms, political control, state regulations, public concerns and commercial interests (Pache and Santos 2010). These various influences are attributable to different institutions which guide how public organisations such as schools and hospitals should be organised, controlled and monitored. ...
The aim of this article is to investigate the influence of institutional pluralism on the expansion of reforms in the public sector. The paper seeks to contribute to the Scandina- vian institutionalism perspective where previous analyses of reforms have often used a case-study methodology and focussed on one, or a few, reforms attributable to the same institution. The focus of this article is to describe and analyse the reform history in order to capture the dynamics between reforms attributable to different institutions. An analysis of the reforms of the Swedish school system between 1990 and 2013 is conducted reve- aling that more than 70 reforms were implemented during the period. The reforms were based on different institutions such as ‘the market’, ‘the state/bureaucracy’ and ‘the pro- fession’. This plurality of reforms casts new light on the expansion of reforms as it sug- gests that the dynamics are not only characterised by completions as has previously been shown, but also by counterbalances in relation to the institutions involved.
... Hybrid professionals and institutional maintenance worka relational and interdependent model Today, organisations are framed by institutional complexity as they need to relate to political control, to professional norms and to market influences (see Pache & Santos, 2010). This often results in complex and hybrid roles and identities of the professionals working in these organisations. ...
This paper focuses on a national governmental school inspections program that was reintroduced in the Swedish school system in 2003. The program included controls conducted by governmental inspectors whose task was to strictly inspect, ignoring activities such as consulting and advice-giving. In the article, we show that while the reintroduced school inspections pointed to the contours of a stricter audit regime in Sweden, studies of micro-level processes provided a more complex picture. Based on an interview study including inspectors, teachers, principals and public employees in the Swedish school system, our results show that the practices of the inspectors did not change dramatically. The inspectors participated in institutional maintenance work that kept institutionalised practices more or less intact. The paper contributes to the discussion on institutional maintenance work by investigating the role of hybrid professionals (inspectors with dual loyalties and obligations both to the state and to their professional peers) and how their interdependent relationship to stakeholders affected the conditions and character of institutional work activities.
... Studies relying on institutional theory have revealed the possibilities of resistance to dominant institutional forces (Lepoutre & Valente, 2012;Marquis & Lounsbury, 2007;Pache & Santos, 2010;Schneiberg, I. Bretos Department of Business Organization and Management, University of Zaragoza, Zaragoza, Spain e-mail: ibretos@unizar.es 2013). ...
Cooperatives have always lived on the edge of established categories, disrupting and disorganizing prevailing cultural, political, and institutional arrangements on the basis of alternative practices organized around normative values like democracy, autonomy, participation, equality, and solidarity. This chapter investigates how ideologiesIdeology help cooperatives resist dominant institutional patternsDominant institutional patterns and preserve their distinctiveness over time. In order to do so, it draws on an in-depth ethnographic studyEthnographic studyof CecosesolaCecosesola, a long-lasting Venezuelan second-tier cooperativeSecond-tier cooperative that has nurtured radical self-managementRadical self-management for several decades. The chapter makes a threefold contribution. First, it contributes to a key debate within institutional theoryInstitutional theory concerning how alternative organizationsAlternative organizations resist institutional pressures towards conformityInstitutional pressures, by describing the process through which alternative organizations make a virtue of nurturing their distinctive organizing patternsDistinctive organizing patterns and deliberately shield them from the influence of dominant institutionsDominant institutions. Second, it contributes to the literature on organizational ideologyOrganizational ideology, by unveiling the conditions under which a radically distinctive ideologyRadically distinctive ideology may be created, sustained, and reproduced over time within the boundaries of a participatory organizationParticipatory organization. Third, it contributes to the debate on the degeneration of participatory organizationsDegeneration of participatory organizations, by unveiling how the development of a strong ideologyDevelopment of a strong ideology contributes to protecting workplace democracyProtecting workplace democracy against external and internal forces leading to the erosion of participation.
... Boyd et al. (2009) argue that profit and social and/or environmental mission are relatively independent and have therefore developed the figure below that represents the blurring boundaries between the different organizations. By pursuing financial and social aims, social enterprises are thus a classic example of hybrid organizations (Billis, 2010;Dees & Elias, 1998;Defourny & Nyssens, 2006European Comission, 2011;Evers, 2005;Liu & Ko, 2012;Murphy & Coombes, 2009;Pache & Santos, 2010) and combine properties associated with private, public, and non-profit organizations. Hybridity in business can bridge several divides according to the chosen criteria of classification, notably the following (Grassl, 2012): ...
Italy has one of the biggest cultural heritage in the world, but nowadays it is facing a strong crisis, concerning its management and key resources (economic, human, financial, etc). This article aims to contribute to social innovation studies by focusing on the emergence of new actors in cultural heritage management field, through an approach centered on hybrid organizational form. This is a preliminary study which analyze cultural initiatives carried out by social enterprises that have positive impacts, both social and economic, in terms of development of the local community and tourist attraction. According with the preliminary results, beyond public and private administration, Neapolitan social enterprises apply a hybrid organizational form in cultural heritage management, efficiently and effectively. Enterprises studied, in which social entrepreneurship and innovative business model emerge, play an active role responding to both individual and social needs through a cooperative and collaborative attitude.
... The neo-institutional literature reports a large number of logics that have been described as contradictory (e.g., Greenwood et al., 2011;Jay, 2013;Kraatz & Block, 2008), incompatible (e.g., Battilana & Lee, 2014;Glynn et al., 2020;Smith & Besharov, 2017;York et al., 2016) or conflicting (e.g., Pache & Santos, 2010;Purdy & Gray, 2009;Sauermann & Stephan, 2013), which complicates the identification of what might not go together conventionally. Fueling this vagueness, the literature on hybridity and paradoxes multiplies metaphors, sometimes evoking "by nature arenas of contradiction" (Pache & Santos, 2013, p. 972) or "unity of opposites" (Schad et al., 2016, p. 37;cited in Gümüsay et al., 2020). ...
... Organizations embedded in environments with conflicts in institutional prescriptions are likely to experience institutional contradictions on an ongoing basis within their everyday working practices, policies, and strategies (Pache & Santos, 2010). Hence, managing institutional contradictions may in such cases constitute an ongoing organizational challenge and accomplishment. ...
The diversity of human resources and sustainable development are the axis of the author's deliberations on contemporary enterprises. The monograph consists of two parts, the first of which is theoretical and the second is empirical. The first part presents the issue of broadly understood diversity, with particular emphasis on the issue of cultural diversity of employees with its reference to corporate social responsibility and the concept of sustainable management of the organization. The second part of the monograph presents the results of research on cultural diversity and ways of managing it in enterprises operating in the Podlaskie Voivodeship. In order to determine the level of managing the diversity of human resources, the employees of these enterprises, their managers and owners were surveyed. The researched issue is complemented by the author's attempt to indicate the characteristics of the organizational culture of the surveyed enterprises,
which is the result of the impact of the value systems existing in the environment. This part of the monograph also includes an analysis of the relationship between diversity management and the approach to corporate social responsibility and sustainability. The conclusions of the research confirm the assumption that diversity management contributes to the sustainable management of human resources in the organization, and thus to the sustainable development of the entire organization.
... Conflict pattern prescribes that the variety of institutional logics tend to be heterogeneous, creating competition between these different logics. Institutional logic conflict arises as a result of differences between the means and goals associated with divergent logics and the ensuing unique principles (Pache & Santos, 2010). The existence of institutional logic conflict implies that it is difficult to reach agreements on an organization's operation in terms of objectives, plans, and strategies. ...
When cross-border acquisitions take place, whose institutional logics should dominate the control in the daily operation of the acquired entity — the acquirer or the acquiree? To answer this question, this paper investigates how Geely, a Chinese automaker, successfully acquired Volvo from Sweden, a developed country, and managed the differences in the institutional logics of the two firms by transforming its dominant institutional logic. Through the lens of matching theory, we employ an inductive approach and conduct a longitudinal case study of Geely’s acquisition. We find that matching commercial and social logic is an inevitable requirement to cope with external institutional pressures in cross-border acquisitions. We further reveal that the structured interaction between compatibility and complementarity facilitates the matching process between commercial logic and social logic, resulting in a synergistic logic via the three different mechanisms of compatibility, complementarity, and co-evolution. Our findings challenge previous research that focuses on conflicts as the foremost drivers of the transformation of different institutional logics in organizations. Based on our findings, we develop a matching process model that offers insights for firms from developing economies to navigate dominant institutional logic transformation and thrive in the marketplace through their strategic cross-border acquisitions.
... First, future research could formally explore how team members should address conflicting institutional logics in the context of AI projects. Future studies could examine logics conflict resolution strategies such as reconciliation, decoupling, coexistence or elimination (Berente & Yoo, 2012;Besharov & Smith, 2014;Pache & Santos, 2010). In our case, for example, when Consult cancels a project with a customer because they are not ready to implement AI solutions, they may enact elimination as a strategy to address conflicting logics. ...
While organisations are increasingly interested in artificial intelligence (AI), many AI projects encounter significant issues or even fail. To gain a deeper understanding of the issues that arise during these projects and the practices that contribute to addressing them, we study the case of Consult, a North American AI consulting firm that helps organisations leverage the power of AI by providing custom solutions. The management of AI projects at Consult is a multi‐method approach that draws on elements from traditional project management, agile practices, and AI workflow practices. While the combination of these elements enables Consult to be effective in delivering AI projects to their customers, our analysis reveals that managing AI projects in this way draw upon three core logics, that is, commonly shared norms, values, and prescribed behaviours which influence actors' understanding of how work should be done. We identify that the simultaneous presence of these three logics—a traditional project management logic, an agile logic, and an AI workflow logic—gives rise to conflicts and issues in managing AI projects at Consult, and successfully managing these AI projects involves resolving conflicts that arise between them. From our case findings, we derive four strategies to help organisations better manage their AI projects.
... The literature on 'hybrid' organizational forms has developed significantly both in scope and sophistication over the last decade, particularly since Doherty et al.'s [1] influential review article on social enterprises as hybrid organizations. Such organizations combine, or attempt to combine, multiple 'institutional logics' into one entity [2][3][4][5][6][7]. Institutional logics are defined as "the socially constructed, historical pattern of material practices, assumptions, values, beliefs and rules by which individuals produce and reproduce their material subsistence, organize time and space and provide meaning to their social reality" [8] Over the last few decades, we have witnessed a blurring of the boundaries of various organizational types from different sectors of the economy. ...
This article aims to investigate the scientific literature on the management of tensions and trade-offs in hybrid organizations. These can arise from the hybrid nature of these organizations and involve diverse aspects relevant for thetheir management. From our corpus of 16 papers we assessed as being of ‘high quality’, we categorizecategorized different types of tensions and the solutions put forward to manage or mitigate those tensions. The systematic literature review is subdivided into five categories: (1) framing the question(s); (2) identifying relevant works; (3) collecting data; (4) analyzing evidence; (5) interpretation ofinterpreting the findings. An iterative process of discussion about codes helped us to compose the final categories for analysis. Our results explain how hybrid organizations go through a constant process of balancing various logics, and how this balancing works to address issues that are both endogenous and exogenous to the or-ganization. We identify two strategies that organizations employ to manage hybridi-ty—decoupling logics and logic shifting—and each strategy has different effects at different levels of the institutional context. Because we focus only on the literature assessed as being of ‘high quality’ this inevitably leads to many excluded articles.
... Le opportunità di trasformazione del settore hanno maggiori probabilità di emergere quando i suoi elementi valoriali e materiali sono più malleabili, proni all'essere messi in discussione, come nel caso di settori appena nati (Purdy & Gray, 2009), complessi (Smets, et al., 2012) e frammentati (Pache & Santos, 2010), o quando shock generano contraddizioni (Zietsma & Lawrence, 2010) che alcuni attori possono sfruttare per promuovere soluzioni strutturali alternative (Raffaelli, 2019) 8 . 7 Zietsma e Lawrence (2010) mostrano come l'interruzione delle pratiche consolidate porti a cambiamenti all'interno del settore stesso, segnando diversi cicli di transizione dalla stabilità istituzionale all'innovazione istituzionale e alla ristabilizzazione. ...
Lo studio analizza l'impatto dello scandalo noto come Mafia Capitale sul sistema
cooperativo sociale italiano e come tale scandalo si è diffuso rapidamente in tutto il settore
cooperativo. La ricerca evidenzia i meccanismi attraverso i quali il settore ha combattuto tale
stigma. I risultati mostrano come un lavoro istituzionale di tipo difensivo abbia avviato un processo di “revisione” degli obiettivi e dei valori fondanti del sistema cooperativo. Tale revisione ha, infatti, portato le cooperative a discutere all’interno del loro sistema di come operazionalizzare tali valori in pratiche e modelli operativi in grado di rispondere alla stigmatizzazione.
... 774). Tensions can lead to disruptions in resource allocation (Smith, Gonin, and Besharov 2013), inter-personal conflict that decreases organisational efficiency (Fiol, Pratt, and O'Connor 2009), intergroup conflict where different stakeholders pressure the organisation to prioritise either social outreach or business gain (Battilana 2010;Pache and Santos 2013), and decision-making paralysis (Pache and Santos 2010). Mason and Doherty (2016) show in their study of a fair trade social enterprise how, in particular when it comes to the scaling up of social enterprises' operations, the tensions resulting from contradictory demands of the social and the business objectives become salient. ...
The scaling up of a social enterprise is a dynamic process that often involves tensions resulting from the divergent social and business logics inherently present in social enterprises. We analysed extensive data covering a period of more than 10 years’ journey of an affordable housing finance organisation in India. We identify four phases of the scaling up process of the venture and highlight three areas where the social-business tensions arise in: (i) human resources, (ii) organising and (iii) investor expectations. Our process model illustrates how the organisation developed different responses to mitigate these tensions in different phases and avoid mission drift. These responses include prioritising the social side, half-hearted balancing, accepting growth limitation and anticipating social-business tensions.
... The status of the universities as government authorities and the "nature" of social media were also influential as to how social media were practiced. These conditions were not found to supersede the strategic communication recipe, but are understood as conflicting institutional pressures and demands, addressed in intra-organizational responses in translations by communicators focusing on different elements of these pressures (c.f., Pache & Santos, 2010). ...
My PhD dissertation. Focusing on the institutionally based translations of strategic communication in Swedish universities. An ethnographical work.
... Scherer et al. (2013) suggest that firms may use a manipulating strategy to overcome their legitimacy gaps, i.e., actively influencing social expectations by manipulating key policymakers in their environment (Barley, 2010). Pache and Santos (2010) refer to the concept of 'manipulation' as ''the active attempt to alter the content of institutional requirements and to influence their promoters'' (p.463). Others (e.g., Hillman et al., 2004;Scherer et al., 2013) suggest that firms' political strategies mainly shape social expectations. ...
... Un corpus s'est progressivement développé autour de l'idée que cette mise en concurrence des goals constitue souvent une menace pour les organisations hybrides. De ce point de vue, le domaine de la microfinance a suscité un intérêt académique considérable et occupe une large part des études sur le sujet (Beisland et al., 2019 ;Mersland & Strøm, 2010 ;Pache & Santos, 2010). Ces risques conduisent à considérer les entreprises sociales comme des organisations hybrides fragiles qui fonctionnent sur un équilibre précaire . ...
À l’instar de la France, de nombreux pays proposent désormais des cadres juridiques qui permettent aux sociétés commerciales de s’engager sur une finalité opposable ou « mission » qui ne se résume pas à la poursuite de leurs simples profits. Cette innovation juridique donne lieu aujourd’hui à l’expression de missions très variées, autant sur le fond que la forme. Le droit a en effet laissé une grande liberté aux entreprises à cet égard. L’analyse des premières formes tend à montrer que l’élaboration d’une mission soulève des défis importants : comment définir des engagements pérennes dans des environnements par nature turbulents, et a fortiori quand l’entreprise se donne des objectifs de rupture ou d’innovation ? L’objet de cette thèse est de caractériser les principes et les méthodes qui permettent de formuler une mission conciliant engagement pérenne et contrôlable, et qui en même temps favorise l’innovation. Partant de cas historiques et contemporains d’engagements génératifs, la thèse analyse des cas de dérives par rapport à une mission et leurs causes. Elle propose une modélisation de la mission qui permet alors de caractériser les principaux écueils des formulations de missions. L’analyse montre qu’ils sont liés d’une part au caractère partiellement inconnu des objets sur lesquels portent les promesses et d’autre part aux interrelations entre ces objets. Ce modèle rend donc compte des différents types de missions et de leurs risques associés. Ce travail de recherche permet aussi d’analyser les méthodes déployées par les entreprises pour formuler leur mission et proposer des voies pour surmonter les écueils identifiés. En particulier, la thèse suggère des mises à l’épreuve systématiques des formulations selon une modalité double, soit en éclairant des zones inconnues, soit en montrant les propagations possibles des promesses et les risques de contradictions qu’elles génèrent. La thèse dégage ainsi des propositions méthodologiques pour assurer la cohérence entre les promesses et la possibilité de juger de l’intégrité des conduites futures.
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Many countries, such as France, now offer legal frameworks that allow business corporations to commit to an opposable purpose or « mission » that goes beyond the mere pursuit of profits. This legal innovation now gives rise to the development of a wide variety of purposes, both in terms of form and content. Indeed, the law has given considerable freedom to companies in this respect. The analysis of the first forms tends to show that the elaboration of a mission raises important challenges: how to define long-lasting commitments in turbulent environments, and a fortiori when the company gives itself objectives of rupture or innovation? The aim of this thesis is to characterize the principles and methods for formulating a mission that reconciles sustainable and controllable commitments, and which at the same time promotes innovation. Starting with historical and contemporary cases of generative engagements, the thesis analyzes cases of mission drift and their causes. It proposes a mission model that enables the characterization of the main pitfalls of mission formulations. The analysis shows that they are linked on the one hand to the partially unknown character of the objects on which the promises are made and on the other hand to the interrelations between these objects. This model thus accounts for the different types of missions and their associated risks. This research work also provides an opportunity to analyze the methods used by companies to formulate their mission and to propose ways to overcome the pitfalls identified. In particular, the thesis suggests systematically testing the formulations in a double modality, either by shedding light on unknown areas, or by showing the possible propagations of the promises and the risks of contradictions they generate. The thesis draws out some methodological proposals to ensure the coherence between promises and the possibility of judging the integrity of future conduct.
... External influences and innovations may carry new logics that challenge the dominant logic of an organisational field. How actors manage conflict between logics, i.e., by resisting the new logics or by negotiating competing logics, may affect the extent of change within an organisational field (Marquis and Lounsbury, 2007;Pache and Santos, 2010). In this respect, various studies have shown that actors can straddle between competing logics and selectively appropriate more than one logic to define a particular course of action (Bernardi and Exworthy, 2020;Boonstra et al., 2017). ...
Taking an institutional logics perspective, this study investigates how “internet-informed” patients manage tensions between the logic of personal choice and the logic of medical professionalism as they navigate treatment decisions and the patient-doctor relationship. Based on 44 semi-structured interviews with members of an online health community for people with diabetes, this study finds that patients exercise a great deal of agency in evaluating healthcare options not only by activating the logic of personal choice but also by appropriating the logic of medical professionalism. Furthermore, patients are strategic in deciding what community advice to share with their doctor or nurse depending on the healthcare professionals' reaction to the logic of personal choice. In contrast to many previous studies that emphasise patient consumerism fuelled by information on the Internet, this study provides a more nuanced picture of patient-doctor relationship engendered by patients’ participation in online health communities.
... Hung & Whittington (1997, p.557) linked strategic diversity to different demands of three systems as technology system, business system, political system in the industry. Pache & Santos (2010) indicated that the nature of demands and internal representation of demands influence an organization's responses. North & Thomas (1973) concluded that actors tend to comply with socially desirable activities only if their private costs are less than private benefits. ...
HİZMETLİ LİDERLİĞİN PSİKOLOJİK SAHİPLENME , İŞ TATMİNİ VE ÇALIŞAN PERFORMANSI ÜZERİNEKİ ETKİSİ
... I hypothesize that the government's cooptation strategy, which leads to competitive patterns of value commitments within firms and thereby to firm internal pressures for institutional change, may be strengthened and enabled when those firms have resource dependencies on the government. These dependencies may shift decision-making power to those firm internal actors that are in favor of the change (Greenwood & Hinings, 1996;Pache & Santos, 2010), thus: ...
Governments around the world have become prolific issuers of soft law regulation in the form of corporate governance codes. However, the strategies that governments pursue to ensure the diffusion of the codes have remained unexplored in the literature. Drawing from institutional and sociopolitical perspectives, I hypothesize that governments pursue a combination of different intervention strategies to bring the corporate governance arrangements of firms in line with the issued code. These strategies focus on the mobilization of material resources, the dissemination of rationales and legitimating accounts for corporate governance change, interventions in social structure and the establishment of new social relations. I test my hypotheses in the context of the issuance of the national corporate governance code in Germany and find general support for my hypotheses.
This Element offers a novel, highly relevant perspective towards Multilateral Development Banks (MDBs), which are development and financial organizations at the same time. Based on the elaborate institutional logics perspective borrowed from organizational sociology, it uncovers the complex trade-offs between financial and development pressures faced by MDBs and explains variation in organizational responses thereto across types of MDBs. The argument is tested with an original dataset using Data Envelopment Analysis to explain variation in response patterns across MDBs. The analysis shows that lending to the private sector as well as being predominantly owned by borrowing members increase MDBs' emphasis on the financial at the expense of the development nature. Thereby, this Element provides unique insights into MDBs' responses to their dual nature and significantly advances our understanding of MDB lending operations, drawing attention to the complexities involved in the unique MDB business model.
Türkiye’de son yıllarda özellikle birinci derece deprem bölgesi olan şehirler başta olmak üzere bir
çok şehirde kentsel dönüşüm projeleri gerçekleştirilmektedir. Kentsel dönüşüm projelerinin
uygulanmasında ki başlıca etmen kullanım ömrünü tamamlamış olan yapılar ve çarpık kentleşme
sorunsalıdır. Kentsel dönüşüm projelerinin hızla hayata geçirilmesi beklenen İstanbul depremine de hazırlık
olarak bazı kaynaklarda ifade edilmektedir. İstanbul’da yapılar genellikle bitişik nizam şeklinde
konumlandırılır. Yapının, komşu yapı ile bağımsız çalışabilmesi için deprem derzleri TBDY 2018’de
“4.9.3.1 ve 4.9.3.2’ye göre elverişsiz bir sonuç elde edilmedikçe derz boşlukları, her bir kat için komşu
blok veya binalarda elde edilen yerdeğiştirmelerin karelerinin toplamının karekökü ile tanımlanan α
katsayısının çarpımı sonucu çıkan değerden az olmamak” koşulu bulunmaktadır. Aynı zamanda “mevcut
eski bina için hesap yapılmasının mümkün olmaması durumunda eski binanın yerdeğiştirmeleri, yeni bina
için aynı katlarda hesaplanan değerlerden daha küçük alınmayacaktır.” ifadesi ile her iki yapı içinde deprem
derzlerinin hesaplanarak deprem sırasında binaların bağımsız salınım göstermeleri beklenmektedir.
Çalışmamıza konu olan problem yeni ve eski yapıların bitişik nizam olarak yapılması, komşu yapıların
veya yapı bloklarının kat döşemelerinin farklı seviyelerde olması, gerekli deprem derzlerinin bırakılmaması
ve olası bir deprem yada yapı hareketinde gerçekleşebilecek olan çekiçleme etkisi nedeniyle yapı hasar
durumunun değerlendirilmesidir. Çalışmamızda çekiçleme etkisi literatür ile desteklenerek, Sap2000
programında farklı kat yüksekliklerine sahip 3-6-9 katlı yapılar ZB zemin sınıfında bitişik nizam olarak
modellenmiş ve sonuçların doğruluğu için tek doğrultuda 11 farklı gerçek depremler zaman tanım alanında
yapıya etki ettirilmiştir. Çalışmanın sonucunda modelleme sırasında hesaplanan derz mesafelerinin aşıldığı
ve çekiçleme etkisini ivmelendirdiği görülmüştür. Çekiçleme etkisinin önüne geçebilmek için derz
mesafelerinin dinamik analiz metodları ile ayrı incelenmesinin önemli olduğu sonucuna varılmıştır.
This paper offers a detailed and systemic representation of the process of organizational identification in social enterprises, and a better understanding of how individuals position themselves in these organizations. We highlight that identification in social enterprises is the result of the interplay between the multiple identities of the individuals who take part in coalitions defending different institutional logics. Identification will depend on whether or not it is easy for the individual to find a coalition that corresponds to him or her, and on whether or not the ideas of this coalition are dominant. The relative size of the various coalitions among the staff and the way they evolve will have a clear impact on what the dominant logic of the social enterprise will be.
Drawing upon a Buddhist context, this study examines how societal‐level environmental changes trigger internal identity conflict within a temple between its traditional identity as a silent meditative space for monks and its emerging identity as an open cultural space for people. It investigates the long‐term adaptive process through which the conflict has been recognized and managed amidst the environmental changes. The findings reveal that the identity conflict gradually led to the formation of two subgroups of monks: a sacred meditator group and a cultural service provider group. While this separation created mild tension between the subgroups, it paradoxically enabled the temple to simultaneously seek two opposing goals: spiritual meditation practice and cultural service. Consequently, the temple continues to pursue the traditional way of monastic life, while responding to the changing societal demands on religion. These findings extend our understanding of how organizational identity conflict is recognized, interpreted, and managed in response to environmental changes. In particular, they elucidate the link between identity and institutional processes by showing how organizational members, not necessarily through the leaders’ agentic actions, spontaneously and organically cope with identity conflict triggered by external changes.
Der Beitrag präsentiert eine theoretische Perspektive, die
die grundsätzliche Fähigkeit von Organisationen, heterogene gesellschaftliche
Anforderungen zu re-kombinieren, als ihr zentrales Merkmal beschreibt. Der
Begriff der „Re-Kombination“ ist eine Synthese und Erweiterung verfügbarer Konzeptualisierungen
des organisationalen Umgangs mit heterogenen Erwartungen
aus verschiedenen theoretischen Ansätzen. Der vorgeschlagene Begriff erfasst,
dass alle Organisationen gefordert, aber auch oft gut gerüstet sind, mit heterogenen
Anforderungen aus ihrer gesellschaftlichen Umwelt umzugehen. Er soll
Analysen ermöglichen und befördern, die untersuchen, wie Re-Kombinationen
gestaltet werden, und inwiefern sie gesellschaftliche Stabilität erzeugen und/
oder unter gegebenen Umständen sozialen Wandel auslösen. Solche Analysen
erscheinen uns hochrelevant, um die Rolle von Organisationen in der modernen
Gesellschaft zu verstehen. Das Anliegen des Beitrags ist sowohl konzeptionell als
auch programmatisch. Dementsprechend diskutieren wir am Ende des Beitrags
Elemente einer Forschungsagenda zur Untersuchung des Phänomens organisationaler
Re-Kombination.
This chapter presents three case studies on street-level institutional agency. While the first case study is dedicated to discussing ethnographical field observations, the second and third case studies employ interviews as a primary source for analysis. Since the first study indicates that there is a discrepancy between street-level discourse and street-level action, the second and third case studies provide in-depth analyses of street-level discourse. The second case study focuses on embedded agency, introducing four prototypes and illustrating how they manifest in street-level discourse. The third case study, in turn, looks at institutional entrepreneurship, illustrating how it can be linked to different types of cognitive dissonance.
This chapter combines the institutionalist literature with the street-level literature. It argues that the study of street-level workers as institutional entrepreneurs constitutes a research gap and develops an original process model to capture institutional entrepreneurship at the street level. The process model has two major aspects: first, it uses street-level discourse as an indicator, drawing on the idea that language conveys intentions for actions. Second, it understands deinstitutionalization as a gradual process and therefore defines hybridization—the layering, blending, or reframing of institutional logics in discourse—as steps forward toward full institutional entrepreneurship.
Community Forest Enterprises (CFEs) are “a form of enterprise based on collective ownership or secured access to forest resources by a community. Their governance is derived from local community traditions, where tensions between direct “democratic” community control and hierarchical management structure are present, and which typically have multivariate objective functions with profits as only one of several goals. This definition underscores the presence of tensions that could have adverse effects on achieving the economic, social, and environmental objectives of CFEs. However, conceptual and empirical research on tensions within CFEs is sketchy. This paper adapts and contextualizes a framework using the paradox lens to explore CFE governance in Cameroon. Narrative inquiry research coupled with focus group discussions and confirmatory document analysis of 31 CFEs was used to characterize performing, belonging, organizing, and learning tensions within CFEs and explore the main challenges. A performing paradox was found, manifested in differences in short-run and long-run perceptions of performance between CFEs, community, and village chiefs. An organizing paradox was found, where tensions in the recruitment of external and resident labor and commercial tensions between CFE management, intermediaries, and community members. How the CFE selects products to generate revenue from the forest created belonging tensions when the choice of products did not include women, and the gendered family context created factions that resulted in belonging tensions at the CFE level. Learning tensions occurred when CFEs grew and had to balance community pressure for social investments against reinvestment for CFE financial sustainability. “Electing” or finding board members with adequate skills and experience, the power of boards to control management, and interdependencies between boards and management were significant challenges faced by CFEs. The accommodation and information strategy employed by some CFEs to manage paradoxes is adequate and recommended to be continued.
Traditionally, professorial recruitment has been controlled by scholars themselves selecting the best qualified candidates as new member of the academic community according to scientific criteria. Recent studies have, however, documented that recruitment has become increasingly influenced by managers and HR personnel who approach professorial recruitment as a strategic opportunity to satisfy organizational needs following a strategic organizational logic. Thus, today professorial recruitment is shaped by both an academic and an organisational logic. However, the complex interplay between these logics and how this complexity is handled remains unclear. Drawing on interviews and semi-confidential reports from professorial recruitment processes at Norwegian universities, we show that recruitment is a sequential decision-making process and that different logics dominate different phases of the process. Sequential decision-making eases tension, meaning that multiple logics can operate harmoniously if appropriately separated. However, we also document that the sequential problem-solving has altered the power balance between the logics, leading to a moderately increased reliance on organisational logic.
When I left East Timor, I was not happy. I was proud of myself because I did my best to fulfill my responsibilities and because I cared. I was indeed immature, poorly qualified, and inexperienced, but deep inside me, I knew that to do my work, I had to see it through their eyes. After a few weeks of being there, once the anxiety of the moment and the overwhelming feeling of the adventure were over, I could finally see the complete picture. Until then, I was just another ex-pat, another white boy, more concerned about being liked and having a good time. And so, I spent most of my days meeting new people, laughing with them, and going out for a few beers.KeywordsSymbolic attractionCoping mechanismsCultureEast TimorHumanitarian deploymentsHumanitarian needs
We have already covered a lot of ground, and I am hopeful that you have enjoyed what you read so far. I introduced you to the basics of convergence theory. Then I guided you on how to go about understanding the implications of this massive modern global phenomenon by discussing the role of evolution and how it affects the different perspectives that humanitarians and survivors have of disasters. Now it is time to dive into deeper waters. For many years, they have instilled in us, and we have all (including humanitarians) bought into the idea that humanitarian decisions are objectively made and based on the needs of the people and the circumstances created by the disaster event. This is far from true. If post-disaster decisions were objectively and exclusively based on local needs, all humanitarians worldwide would make the same decisions. That is certainly not the case. The “needs” of the people are nothing but another piece of information used to make decisions. It is filtered and processed like other information, such as geopolitical interests, funding restrictions, and changes in domestic legislation.
Long-standing debates about whether pursuing both lean and agile templates concurrently can be a performance-enhancing solution have become even more relevant for businesses operating in an increasingly uncertain environment. Based on the theoretical premise of performance enhancing-organizational ambidexterity, we tested the hypothesis that improved performance results from the fit between agile and lean capabilities. The deviation score approach (matching perspective) and fit as profile deviation were used to examine the performance-enhancing fit of lean (quality and delivery) and agile (flexibility and innovation)-related capabilities. The deviation score method did not reveal a significant relationship between misfit and profit. In contrast, the misfit and sales revenue growth rates were positively and significantly related, albeit not in the expected direction. The profile deviation strategic fit perspective revealed a nonsignificant negative relationship between non-adherence to the ideal profile and profit within the specific range of profile deviation. The current study relied on fit as matching and profile deviation, which denotes the combining approach of ambidexterity. Further research may thus broaden our understanding of the performance implications of lean-agile template compatibility, most notably conceptualizing the fit as an ambidexterity-related balancing approach in the pursuit of optimal levels of lean and agile capability configurations.KeywordsLean capabilitiesAgile capabilitiesOrganizational ambidexterityPerformance-enhancing fitStrategic fit
Lean, agile, and service-oriented templates of organizing constitute manufacturing companies’ most popular organizational forms. Despite their prevalence, these organizational forms are rarely analyzed in relation to each other. Even more, few have aimed to determine whether organizations adhering to these templates occur with any degree of regularity among the manufacturing firms. In this chapter, we conceptually compare lean, agile, and service-oriented templates to assess their compatibility. Further, we use a representative sample of 500 manufacturing companies to empirically identify companies adhering to the templates in relation to each other. The systematic review reveals the low compatibility of templates. Despite some overlap among practices, the templates are characterized by unique goals, the rationale of capturing the value, and resulting performance capabilities. The cluster analysis allows for identifying lean, agile, and service-oriented performers in relation to each other according to their performance dimensions. The results imply that it is easier to switch from the lean to the agile template and from the agile to the service-oriented template than from the lean to the service-oriented template. However, the study discourages the sequential approach toward the lean, agile, and service-oriented templates and treats these organizational forms as paradigmatically different.KeywordsTemplates of organizingLean organizationsAgile organizationsService-oriented organizationsCompatibilityNeo-institutionalismThis chapter draws from Vilkas, Rauleckas, Šeinauskienė, and Rūtelionė (2021).
In this last chapter, we summarize the findings and highlight the contribution of the research reported in this book. After characterizing the emerging service-oriented organizing template in relation to already established lean and agile templates, we suggest that the templates are characterized by a low degree of compatibility. The templates are constituted by contrasting goals, a partial overlap of practices and their adoption leads to unique competencies and performance capabilities. Further, our empirical research shows that lean template-related competitive priorities, practices and performance capabilities are diffused more extensively compared to agile and service-related ones. Finally, we reveal that lean, agile, and service-oriented practices and performance capabilities contribute to manufacturing firms’ operational and financial performance. We provide empirical evidence revealing that quality and innovation performance capabilities positively influence revenue growth while digitalization capability positively relates to the productivity of industrial organizations. The findings contribute to the lean, agile, and servitization literature and longstanding debate on the compatibility and effects of popular organizational forms.KeywordsLean organizationsAgile organizationsService-oriented organizationsTemplates of organizingCompatibilityNeo-institutionalism
Prior research on the internationalization of firms from emerging countries has fruitfully invoked institutional theory to emphasize the legitimacy benefits that firms that obtain from showing isomorphism with international norms such as Corporate Social Responsibility (CSR). Without denying the intuitive appeal for these firms to communicate acceptance of CSR, we suggest that firms face a legitimacy trade‐off, where the hoped‐for legitimacy benefits of isomorphism must be weighed against other home‐country institutional considerations. We advance and test this notion that firms will navigate this institutional complexity by engaging in anisomorphism, i.e., espousing general acceptance with international values but selective “translation” based on home country differences. We test our predictions by analyzing firms’ communication of CSR, using a unique dataset comprised of 245 firms observed over the period from 2000 to 2018. Consistent with our predictions, we find that firms from countries more reliant on natural resource extraction (e.g., mining and fossil fuel industries) de‐emphasize the environmental component of CSR, and firms from more autocratic countries de‐emphasize the human rights component of CSR. Additionally, and consistent with our presumption of firms’ weighing the international versus home‐country legitimacy trade‐off, we find that these main effects are sensitive to changes in firms’ levels of internationalization.
The relationship between power and institutions is an intimate one. Institutions exist to the extent that they are powerful - the extent to which they affect the behaviors, beliefs and opportunities of individuals, groups, organizations and societies. Institutions are enduring patterns of social practice (Hughes, 1936), but they are more than that: institutions are those patterns of practice for which 'departures from the pattern are counteracted
in a regulated fashion, by repetitively activated,
socially constructed, controls - that is
by some set of rewards and sanctions'
(Jepperson, 1991: 145). Thus, power, in the
form of repetitively activated controls, is
what differentiates institutions from other
social constructions (Phillips, Lawrence &
Hardy, 2004). The relationship between
power and institutions is also bi-directional.
A significant stream of research has documented
the processes through which actors,
individual and collective, affect the
institutional contexts within which they work
(Lawrence & Suddaby, 2006). This
brings agency and interests directly into the
Thomas B. Lawrence
relationship between power and institutions
(DiMaggio, 1988), and has been examined
primarily under the rubric of
institutional entrepreneurship (see Chapter 7
in this volume for an overview of this
literature), and increasingly also in terms
of the role of social movements in
institutional change (see Chapter 27 in this
volume).
We investigate how competing logics facilitate resistance to institutional change, focusing on banking professionals' resistance to large, national banks' acquisitions of smaller, local banks. Acquisitions led to new bank foundings, particularly when out-of-town banks were the acquirers and a community's local population of bank professionals was large. We argue that the national banks' efforts to introduce a banking logic emphasizing efficiencies of geographic diversification triggered new forms of professional entrepreneurialism intended to preserve a community logic of banking. Contributions to a synthesis of ecological and institutional perspectives and to research on entrepreneurship and resistance to institutional change are discussed.
Students of organizations and social movements recently have highlighted the potential fruitfulness of examining the ways in which ideas and research developments in the organizational theory and social movement literatures can be usefully brought together to advance knowledge. In this chapter, I aim to push such cross-pollination further by reorienting research attention away from the study of institutionalization that has been prominent in both literatures. The institutionalization of social movements involves the transformation of contentious politics that involve tactics such as protest into more conventional forms of political action such as lobbying (Meyer and Tarrow 1998). In organization theory, institutionalization typically refers to the processes by which particular kinds of practices or forms become legitimate and diffuse throughout organizational populations (Strang and Soule 1998). Both literatures have tended to invoke an imagery of incremental change that focuses on how existing social structures maintain stability and elite positions become reproduced. Recently, some organizational institutionalists have begun to eschew the study of institutionalization and focus more on how qualitative shifts in the core practices of organizations change in tandem with broader institutional beliefs (Scott 2001). The concept of institutional logic has been used to study such shifts and highlight the interconnections between higher order belief systems and lower level material practices and routines (e.g., Friedland 2002). Friedland and Alford (1991: 243) made this dual relationship explicit, discussing societal level logics as " supraorganizational patterns of human activity by which individuals and organizations produce and reproduce their material subsistence and organize time and space. They are 73
This article links institutional and impression management perspectives in a process model of how controversial and possibly unlawful actions of members of organizations can lead to endorsement and support from key constituencies. This model is grounded in interview, archival, and observational data concerning eight illegitimate actions attributed to members of two social movement organizations. We found that institutional conformity and decoupling illegitimate activities from legitimate structures facilitated spokespersons' efforts to use impression management tactics that shifted attention away from the controversial actions and toward the socially desirable goals endorsed by broader constituencies. As a result, these organizations used publicity generated by illegitimate actions to obtain endorsement and support from those constituencies. We discuss the implications of the model for other kinds of organizations and derive testable propositions. We also consider implications for institutional and impression management theories.
We integrate resource dependency and institutional theory to argue that resource scarcity drives, and legitimacy enables, institutional change. Building on a historical account, we examine the sources and timing of innovation departing from standard human resource practices using event history analysis of over 200 principal offices of large law firms. Offices with human resource scarcity innovated to acquire alternative resources; highly prestigious offices had the legitimacy to be first or early adopters. Our findings highlight the value of looking to the resource side and to the notion of legitimacy in building an institutional theory of change.
Using data on 143 hospital organizations, this article examines the antecedents and effects of two forms of organizational legitimacy (managerial and technical) over a 46-year period. Results show that both the managerial and technical forms provide notable improvements in organizational survival chances but that the strength of each effect varies over time depending on the nature of the institutional environment. Variation also appears in the antecedents of legitimacy - for example, the ability of a hospital to secure approval for its managerial practices depends on the correspondence between its mission and the logic of the surrounding institutional environment. The results suggest that a multidimensional model can reveal nuances of organizational legitimacy that are missed by more unitary conceptions.
We explore how new types of hybrid organizations (organizations that combine institutional logics in unprecedented ways) can develop and maintain their hybrid nature in the absence of a "ready-to-wear" model for handling the tensions between the logics they combine. The results of our comparative study of two pioneering commercial microfinance organizations suggest that to be sustainable, new types of hybrid organizations need to create a common organizational identity that strikes a balance between the logics they combine. Our evidence further suggests that the crucial early levers for developing such an organizational identity among organization members are hiring and socialization policies.
Over the past couple of decades, research in organizational sociology has shifted away from the contextual richness of action perspectives toward more structuralist paradigms. DiMaggio and Powell's distinction between what they label the “old” and “new” institutionalisms highlights this general trend. The present authors offer a critical review of this generational paradigm debate among institutional theorists and challenge DiMaggio and Powell's assertion that the new should replace the old. The present authors advocate a reconciliation between these theoretical currents that would provide a more balanced approach to the action-structure duality.
We propose a four-stage model of the organizational actions that potentially increase the speed and likelihood that an organization will restore its legitimacy with stake- holders following a transgression. Organizations that work to discover the facts of the transgression, provide an appropriate explanation of their wrongdoing, accept and serve an equitable punishment, and make consistent internal and external rehabili- tative changes increase the likelihood of meeting stakeholder demands and, conse- quently, have a higher probability of successfully achieving reintegration with stake- holders than those that do not.
In this qualitative field study, I explore how the construction of a cultural institution's identity is related to the construction of strategic capabilities and resources. I investigated the 1996 musicians' strike at the Atlanta Symphony Orchestra (ASO), which revealed embedded and latent identity conflicts. The multifaceted and specialized identity of the ASO was reinforced by different professional groups in the organization: the ideologies of musicians and administrators emphasized institutional resource allocations consistent with the legitimating values of their professions, i.e., artistic excellence versus economic utility. These identity claims, made under organizational crisis, accounted for variations in the construction of core competencies. I propose a model that explicates how the construction of core capabilities lies at the intersection of identification and interpretive processes in organizations. Implications are discussed for defining firm capabilities in cultural institutions and for managing organizational forms characterized by competing claims over institutional identity, resources, and core capabilities.
We investigated an organizational field where competing institutional logics existed for a lengthy period of time. We identified four mechanisms for managing the rivalry of competing logics that facilitated and strengthened the separate identities of key actors, thus providing a way for competing logics to co-exist and separately guide the behaviour of different actors. We contribute to the institutional literature by showing that competing logics can co-exist and rivalry between logics can be managed through the development of collaborative relationships.
Crisis managers benefit from understanding how crisis communication can be used to protect reputational assets during a crisis. Situational Crisis Communication Theory (SCCT) offers a framework for understanding this dynamic. SCCT provides a mechanism for anticipating how stakeholders will react to a crisis in terms of the reputational threat posed by the crisis. Moreover, SCCT projects how people will react to the crisis response strategies used to manage the crisis. From its empirical research emerges a set of evidence-based crisis communication guidelines. The development of SCCT is discussed along with the presentation of its guidelines for crisis communication.
Stakeholder theory has been a popular heuristic for describing the management environment for years, but it has not attained full theoretical status. Our aim in this article is to contribute to a theory of stakeholder identification and salience based on stakeholders possessing one or more of three relationship attributes: power, legitimacy, and urgency. By combining these attributes, we generate a typology of stakeholders, propositions concerning their salience to managers of the firm, and research and management implications.
The purpose of this chapter is to outline the development of the idea of "stakeholder management" as it has come to be applied in strategic management. We begin by developing a brief history of the concept. We then suggest that traditionally the stakeholder approach to strategic management has several related characteristics that serve as distinguishing features. We review recent work on stakeholder theory and suggest how stakeholder management has affected the practice of management. We end by suggesting further research questions.
This volume investigates the relationship between economic globalization and institutions, or global governance, challenging the common assumption that globalization and institutionalization are essentially processes which exclude each other. Instead, the contributors to this book show that globalization is better perceived as a dual process of institutional change at the national level, and institution building at the transnational level. Rich, supporting empirical evidence is provided along with a theoretical conceptualization of the main actors, mechanisms and conditions involved in trickle-up and trickle-down trajectories through which national institutional systems are being transformed and transnational rules emerge.
This article examines the historical contingency of executive power and succession in the higher education publishing industry. We combine interview data with historical analysis to identify how institutional logics changed from an editorial to a market focus. Event history models are used to test for differences in the effects of these two institutional logics on the positional, relational, and economic determinants of executive succession. The quantitative findings indicate that a shift in logics led to different determinants of executive succession. Under an editorial logic, executive attention is directed to author-editor relationships and internal growth, and executive succession is determined by organization size and structure. Under a market logic, executive attention is directed to issues of resource competition and acquisition growth, and executive succession is determined by the product market and the market for corporate control.
Stakeholder theory has been a popular heuristic for describing the management environment for years, but it has not attained full theoretical status. Our aim in this article is to contribute to a theory of stakeholder identification and salience based on stakeholders possessing one or more of three relationship attributes: power, legitimacy, and urgency. By combining these attributes, we generate a typology of stakeholders, propositions concerning their salience to managers of the firm, and research and management implications.
From the complex literatures on "institutionalisms" in political science and sociology, various components of institutional change are identified: mutability, contradiction, multiplicity, containment and diffusion, learning and innovation, and mediation. This exercise results in a number of clear prescriptions for the analysis of politics and institutional change: disaggregate institutions into schemas and resources; decompose institutional durability into processes of reproduction, disruption, and response to disruption; and, above all, appreciate the multiplicity and heterogeneity of the institutions that make up the social world. Recent empirical work on identities, interests, alternatives, and political innovation illustrates how political scientists and sociologists have begun to document the consequences of institutional contradiction and multiplicity and to trace the workings of institutional containment, diffusion, and mediation.
This study offers a sociopolitical perspective on the international spread of corporate governance models. We unpack the heterogeneity of interests and preferences across and within types of shareholders and senior managers over time in an analysis of the adoption of a share-holder value orientation among contemporary German firms. Using extensive data on more than 100 of the largest publicly traded German companies from 1990 to 2000, we find that the influence of major shareholder groups (e.g., banks, industrial corporations, governments, and families) and senior manager types (differing educational backgrounds and ages) can be clearly observed only after redefining these key actors according to common interests and preferences. We also find evidence that German firms engage in decoupling by espousing but not implementing a shareholder value orientation but show that the presence of more powerful and more committed key actors reduces the likelihood of decoupling. We discuss the implications of our findings for research on symbolic management, the diffusion of corporate practices, and the debate over the convergence of national governance systems.
This essay expresses some of the author's concerns regarding the ethos and direction of the "new institutionalism." While recognizing the latter's valuable insights and perspectives, he questions the wisdom of drawing a sharp line between the "old" and the "new," especially because doing so inhibits the contribution of institutional theory to major issues of bureaucracy and social policy.
The abstract for this document is available on CSA Illumina.To view the Abstract, click the Abstract button above the document title.
This study theoretically and empirically addresses the possible separation of substance and symbolism in CEO compensation contracts by examining political and institutional determinants of long-term incentive plan (LTIP) adoption and use among 570 of the largest U.S. corporations over two decades. We find that a substantial number of firms are likely to adopt but not actually use-or only limitedly use-LTIPs, suggesting a potential separation of substance and symbol in CEO compensation contracts. Analyses suggest that this decoupling of LTIP adoption and use is particularly prevalent in firms with powerful CEOs and firms with poor prior performance. Further analyses show that whereas early adopters are more likely to pursue alignment between CEO and shareholder interests substantively, later adopters may pursue legitimacy by symbolically controlling agency costs. More generally, the study highlights how decoupling in organizations can be understood in terms of both micro-political and macro-institutional forces.
We use a dialectical perspective to provide a unique framework for understanding institutional change that more fully captures its totalistic, historical, and dynamic nature, as well as fundamentally resolves a theoretical dilemma of institutional theory: the relative swing between agency and embeddedness. In this framework institutional change is understood as an outcome of the dynamic interactions between two institutional by-products: institutional contradictions and human praxis. In particular, we depict praxis - agency embedded in a totality of multiple levels of interpenetrating, incompatible institutional arrangements (centradictions)-as an essential driving force of institutional change.
In this article, I present an analysis of institutionalization as an interplay between three interrelated yet separate components - actors, actions, and meanings. Drawing on ethnographic data of a rape crisis center in Israel, where the entry of therapeutically oriented members resulted in the infusion of new meanings into originally feminist practices, I examine the role of organization members as carriers of institutions and their (possible) agency in infusing actions with meanings through interpreration; how meanings connect actors with actions; and institutional meanings as political resources.
To compare and contrast institutional theories used in organizational analysis, the theoretical frameworks and arguments of leading contributors to institutional theory are reviewed and recent empirical studies using institutional arguments are examined. Both approaches reveal considerable variation in the types of concepts and arguments employed, and it is argued that further improvement and growth in institutional theory is dependent upon analysts dealing more explicitly with these differences. In addition, the relation between institutions and interests is explored to show that institutional features of organizational environments shape both the goals and means of actors. Attention is called to the two primary types of actors shaping institutional environments in modern societies- the state and professional bodies-and to the way in which their interests and mode of action shape institutional patterns and mechanisms.
This study investigates how the administrative complexity (in funding and personnel) of American public school districts varies, depending on the importance of local, state, and federal funding environments. The analyses are based on a data set integrated from several national data sources describing school districts in the 1970s. Dependence on federal funding-which takes the form of complex and fragmented programs-generates more administrative positions and expenditures than does dependence on the other levels, as hypothesized. State funding, reflecting the legitimated and integrated state control over public education, generates the least administrative intensity, as hypothesized. High levels of local funding-reflecting dependence on an environment that is complex but not highly formally organized-generates intermediate levels of administrative staffing and funding.
This study uses an integrated macro and micro organizational behavior perspective to focus on the difficulty that directors of public agencies have satisfying multiple interest groups. It highlights the conflicting expectations of three interest groups and discusses the implications of these conflicts for the internal decision-making process. The effects of the conflict between the staff's evaluation of effectiveness and the number of clients processed on the role of the agency director are examined. Directors facing conflicting expectations experienced significantly more role-related difficulties than directors facing complementary expectations.
We examine the evolution of a new population of organizations (state offices of dispute resolution) in an emerging institutional field, focusing on how actions at multiple levels interact recursively to enable multiple logics to diffuse. Logics became institutionalized as organizational practices within the field of alternative dispute resolution through four diffusion mechanisms: transformation, grafting, bridging, and exit. By describing the interplay among entrepreneurial efforts, strategic responses to resource dependencies, and mechanisms of institutionalization over 22 years, we identify the conditions that enabled multiple practices supported by conflicting logics, rather than a single, dominant organizational form, to be institutionalized.
This study tests a central proposition of institutional theory, that organizational isomorphism increases organizational legitimacy. Results show that isomorphism in the strategies of commercial banks is related to legitimacy conferred by bank regulators and the media, even in the presence of organizational age, size, and performance.
Argues that the formal structure of many organizations in post-industrial society dramatically reflect the myths of their institutional environment instead of the demands of their work activities. The authors review prevailing theories of the origins of formal structures and the main problem which those theories confront -- namely, that their assumption that successful coordination and control of activity are responsible for the rise of modern formal organization is not substantiated by empirical evidence. Rather, there is a great gap between the formal structure and the informal practices that govern actual work activities. The authors present an alternative source for formal structures by suggesting that myths embedded in the institutional environment help to explain the adoption of formal structures. Earlier sources understood bureaucratization as emanating from the rationalization of the workplace. Nevertheless, the observation that some formal practices are not followed in favor of other unofficial ones indicates that not all formal structures advance efficiency as a rationalized system would require. Therefore another source of legitimacy is required. This is found in conforming the organization's structure to that of the powerful myths that institutionalized products, services, techniques, policies, and programs become. (CAR)
This paper focuses on a radical change, in which organizations abandon an institutionalized template for arranging their core activities, that is likely to occur in organizational fields that have strong, local market forces and strong but heterogeneous institutional forces. We examine the role of market forces and heterogeneous institutional elements in promoting divergent change in core activities among all U.S. rural hospitals from 1984 to 1991. Results support the view that divergent change depends on both market forces (proximity to competitors, disadvantages in service mix) and institutional forces (state regulation, ownership and governance norms, and mimicry of models of divergent change).
This paper explores why and how organizations respond to external pressures for institutional change in terms of organizational political dynamics. The focus on organizational political dynamics is important in understanding a period of institutional change when multiple groups of actors are involved in the dynamic political processes of promoting each group's goals, interests, ideologies, and institutional logic. We propose a social movement framework of organizational political dynamics that focuses on political interactions between two sets of actors—incumbents and challengers—in an organization to explain the micro-foundation underlying the decline and emergence of organizational practices in an organizational field. A longitudinal study of changes in the presidential selection systems of Korean universities illustrates how organizational political dynamics between incumbents (a board of trustees at a private university or government agents at a public university) and challengers (faculty councils) shaped the process of replacing the conventional appointment system with a new system of direct voting during the period 1985 to 2002. The general implications for organizational political dynamics, institutional change, differences in organizational responses to external pressures, and micro foundations of macro institutional phenomena are discussed.
The complexity of political, regulatory, and technological changes confronting most organizations has made radical organizational change and adaptation a central research issue. This article sets out a framework for understanding organizational changes from the perspective of neo-institutional theory. The principal theoretical issue addressed in the article is the interaction of organizational context and organizational action. The article examines the processes by which individual organizations retain, adopt, and discard templates for organizing, given the institutionalized nature of organizational fields.
Organizations face pressures from their environments. When external pressures conflict with each other or with internal desires, organizational personnel face dilemmas. This article examines conflicting pressures in a setting where they are particularly salient: art museums. Various stakeholders, notably external funders and museum curators, press for specific organizational outputs-that is, particular types of exhibitions. This research examines the format and content of exhibitions from large American museums to gauge the effect of funding. The research demonstrates that funders' importance increased between 1960 and 1986. Funder tastes are translated into exhibitions; however, museum managers use several strategies to retain their autonomy and legitimacy.
We develop an institutionally oriented theory of how and why local communities continue to matter for organizations in a global age. Since globalization has taken center stage in both practitioner and academic circles, research has shifted away from understanding effects of local factors. Our approach runs counter to the idea that globalization is a homogeneity-producing process, and to the view that society is moving from particularism to universalism. We argue that with globalization, not only has the local remained important, but in many ways local particularities have become more visible and salient. We unpack the market, regulative, social, and cultural mechanisms that result in this enduring community influence while reviewing classic and contemporary research from organizational theory, sociology, and economics that have focused on geographic influences on organizations. In this paper, our aim is to redirect theoretical and empirical attention back to understanding the determinants and importance of local influences. We suggest that because organizations are simultaneously embedded in geographic communities and organizational fields, by accounting for both of these areas, researchers will better understand isomorphism and change dynamics.
The emergence of a new industry is not due solely to the resource endowments and competences of new firms, but is also tied to the creation of an organisational field that provides a supportive infrastructure for industry development. Biotechnology is a rapidly-growing new field, particularly in the USA, where the fast transfer of knowledge from universities to science-based firms has led to the creation of a common technological community, which further diffuses both scientific news and organising skills. Drawing on a case study of tPA, the clot-busting drug for heart attacks developed by Genentech, I show how the ''open architecture'' of biotech firms facilitates product development. However, the lack of a well-developed governance structure, with common rules and understandings, with respect to regulatory oversight and patent protection poses considerable risks and dampens further industry development.