Journal of Management current issue

How Executive SHRM System Links to Firm Performance: The Perspectives of Upper Echelon and Competitive Dynamics{dagger}

Lin, H.-C., Shih, C.-T. — 2008-10-08

This study adopts the upper echelon and competitive dynamics perspectives to investigate the mechanisms by which strategic human resource management (SHRM) can create a competitive advantage for a firm. Top management team (TMT) social integration and action aggressiveness are identified as internal-oriented and external-oriented capabilities, respectively, for a teamwork-oriented executive SHRM system to support in enhancing firm performance. Structural equation modeling is performed to test hypothesized relationships. Statistical results demonstrate TMT social integration and action aggressiveness in sequence partially mediate the relationship of an executive SHRM system and firm performance. Action aggressiveness partially mediates the relationship of TMT social integration and firm performance. This study provides further insights into the SHRM, upper echelon, and competitive dynamics perspectives. The research findings also serve to remind top executives to remain alert in developing a set of teamwork-focused executive SHRM practices, building an integrated team, and proactively shaping competitive actions to outperform rivals.

Conventional and Reverse Knowledge Flows in Multinational Corporations{dagger}

Qin Yang, , Mudambi, R., Meyer, K. E. — 2008-10-08

Leveraging knowledge from geographically disparate subsidiaries is a crucial source of competitive advantage for multinational corporations (MNCs). This study investigates the determinants of knowledge transfers to and from newly acquired subsidiaries in three transition economies in Central and Eastern Europe. It is hypothesized that the determinants of conventional knowledge transfers from MNC parents to subsidiaries and reverse knowledge transfers from subsidiaries to MNC parents are based on different transfer logics. A sample of 105 acquired subsidiaries revealed that organizational characteristics are important in conventional knowledge flows from headquarters, so that subsidiaries acquired with competence-creating objectives receive significantly larger inflows. Knowledge characteristics are important in reverse flows to headquarters so that subsidiaries whose knowledge is more relevant are able to transmit significantly larger outflows. Host country locations have significant moderating effects. The significance of the directional context in knowledge transfers is an important new finding.

Customer (In)Justice and Emotional Labor: The Role of Perspective Taking, Anger, and Emotional Regulation{dagger}

Rupp, D. E., Silke McCance, A., Spencer, S., Sonntag, K. — 2008-10-08

This study investigates the impact of customer interpersonal and informational injustice on service workers' emotional labor (surface acting). Results from a study conducted on 152 bank tellers in Germany showed that customers are evaluated by employees as a potential source of unfairness. Perceptions of customer justice were found to interact with individual differences in perspective taking in the prediction of surface acting such that the negative effect of customer injustice on surface acting was stronger for those low in perspective taking (compared to those high in perspective taking). Although anger was expected to mediate this moderated effect, this hypothesis was not confirmed. Considering the results post hoc, a revised theoretical model is proposed based on Cropanzano, Weiss, Suckow, and Grandey's model of justice and emotional regulation. Future research is needed to test this model and determine what leads employees to deploy emotional regulation strategies when faced with unfair customers.

Untangling the Effects of Overexploration and Overexploitation on Organizational Performance: The Moderating Role of Environmental Dynamism{dagger}

Heli Wang, , Jiatao Li, — 2008-10-08

Because a firm's optimal knowledge search behavior is determined by unique firm and industry conditions, organizational performance should be contingent on the degree to which a firm's actual level of knowledge search deviates from the optimal level. It is thus hypothesized that deviation from the optimal search, in the form of either overexploitation or overexploration, is detrimental to organizational performance. Furthermore, the negative effect of search deviation on organizational performance varies with environmental dynamism; that is, overexploitation is expected to become more harmful, whereas overexploration becomes less so with an increase in environmental dynamism. The empirical analyses yield results consistent with these arguments. Implications for research and practice are correspondingly discussed.

Perceptions of Discrimination: A Multiple Needs Model Perspective

Goldman, B. M., Slaughter, J. E., Schmit, M. J., Wiley, J. W., Brooks, S. M. — 2008-10-08

The multiple needs model of justice was used to understand employee reactions to perceived discrimination. In particular, the fulfillment of the three needs discussed in that model—economic, interpersonal, and deontic (ethical)—were tested as consequences of perceived discrimination and as antecedents of job attitudes and turnover intentions. A representative sample of the U.S. workforce (N = 5,605) rated the three needs-fulfillment variables while also rating their perceptions of discrimination, job satisfaction, organizational commitment, and intent to leave. The proposed model was supported. This study extends research on perceived discrimination by proposing a role for the multiple needs model of justice through the use of a specific and important role for needs fulfillment. It also extends support for the multiple needs model of justice.

Developing a Measure of Unethical Behavior in the Workplace: A Stakeholder Perspective

Kaptein, M. — 2008-10-08

To date, only one empirically tested measure of the observed frequency of unethical behavior in the workplace exists. This widely used measure focuses on intraorganizational cheating and thus covers only a limited part of the much broader spectrum of unethical behaviors in the workplace. Given the importance of a valid measure, this article uses stakeholder theory as a conceptual basis to develop a broader and multidimensional measure of unethical behavior in eight consecutive steps. Exploratory factor analysis generates five subscales comprising 37 items of unethical behavior primarily related to financiers, customers, employees, suppliers, and society. Confirmatory factor analysis demonstrates that a five-factor model has a superior fit to a one-factor model. The subscales display good internal reliability. Preliminary evidence of nomological and criterion-related validity is also provided.

Human Resource Flexibility as a Mediating Variable Between High Performance Work Systems and Performance

Beltran-Martin, I., Roca-Puig, V., Escrig-Tena, A., Bou-Llusar, J. C. — 2008-10-08

Much of the human resource management literature has demonstrated the impact of high performance work systems (HPWS) on organizational performance. A new generation of studies is emerging in this literature that recommends the inclusion of mediating variables between HPWS and organizational performance. The increasing rate of dynamism in competitive environments suggests that measures of employee adaptability should be included as a mechanism that may explain the relevance of HPWS to firm competitiveness. On a sample of 226 Spanish firms, the study's results confirm that HPWS influences performance through its impact on the firm's human resource (HR) flexibility.