Senior Business Executives Research Articles

How Authoritarian Regimes Use Organizations to Solidify Control: A theory of pro-forma cooptation and an empirical test from reappointments to congress in China

We know that, through lobbying and contributions, organizations systematically seek to influence political outcomes in liberal democracies. But what role do organizations play in an authoritarian regime’s strategy for remaining in power? We argue that in order to maintain stability and consolidate control, an authoritarian regime must actively work to preempt dissent and the emergence of oppositional challengers. When potential challengers are unknown ex ante, the best guess is that they may rise from the ranks of those who run economically powerful organizations. Ability to control these organizations then minimizes the risk of instability. One way in which the regime accomplishes this control is through pro-forma cooptation—the process by which organizational leaders are assigned to positions with nominal authority in the government, thus ensuring their allegiance. We develop a theory predicting which organizations will be targeted for cooptation and posit that absolute and relative size and industry context are the key determinants. Empirical analyses of reappointment to congress of senior business executives in China offer support for the theory. The findings also offer a way to think of cooptation that is different from the conventional view that it drives adaptation (because power sharing widens representation and vested interests). By contrast, pro-forma cooptation of prominent organizations under authoritarian rule reifies the regime’s dominance and solidifies its control, thus promoting inertia through the reproducibility of hierarchy in the social structure.

Furthering innovation management via mutual amplification of vertical and horizontal fit: analysis of a case study

PurposeDoes the simultaneous vertical and horizontal alignment of HR systems positively impact innovation? The authors use the “innovation value chain” model to explore the interplay between the central strategic human resource management concepts of vertical and horizontal fit of HR systems and their role in positively impacting product innovation management.Design/methodology/approachThe authors use the findings from a case study of a large multinational organization in the high-tech sector for the present study. In the first phase, the authors analyse responses to 20 qualitative interviews with senior business and HR executives at the organization using the grounded theory approach. In the second phase, the authors analysed six years of performance ratings and salary data for 4,500–5,500 employees.FindingsPhase 1 of the study established the importance of innovation management as a strategic priority and the role of vertical and horizontal fit of HR systems and practices in positively impacting innovation management. Phase 2 reinforced the findings from Phase 1 by demonstrating the vertical and horizontal fit of the performance and compensation management processes towards furthering innovation management. Our study findings suggest that both forms of fit boost innovation management and interact to reinforce each other mutually, magnifying their respective positive effects towards improving innovation management.Originality/valueWhile past studies have generally focused on the isolated role of either the HR system or that of a bundle of HR practices on innovation, the present study empirically demonstrates the simultaneous role of vertical and horizontal fit of HR systems and practices in furthering innovation management. The authors use interviews with senior executives and objective performance and salary data to provide the first experimental evidence of the mechanism of the interplay between the two forms of fit.

An Evaluation of Key Adoption Factors towards Using the Fog Technology

Fog technology is one of the recent improvements in cloud technology that is designed to reduce some of its drawbacks. Fog technology architecture is often widely distributed to minimize the time required for data processing and enable Internet of Things (IoT) innovations. The purpose of this paper is to evaluate the main factors that might influence the adoption of fog technology. This paper offers a combined framework that addresses fog technology adoption based on the technology adoption perspective, which has been comprehensively researched in the information systems discipline. The proposed integrated framework combines the technology acceptance model (TAM) and diffusion of innovation (DOI) theory to develop a holistic perspective on the adoption of fog technology. The factors that might affect the adoption of fog technology are analyzed from the results of an online survey in 43 different organizations across a wide range of industries. These factors are observed based on data collected from 216 participants, including professional IT staff and senior business executives. This analysis was conducted by using structural equation modeling (SEM). The research results identified nine factors with a statistically significant impact on the adoption of fog technology, and these factors included relative advantage, compatibility, awareness, cost-effectiveness, security, infrastructure, ease of use, usefulness, and location. The findings from this research offer insight to organizations looking to implement fog technology to enable IoT and tap into the digital transformation opportunities presented by this new digital economy.

Artificial Intelligence in Corporate Business and Financial Management: A Performance Analysis from Pakistan

This paper attempts to explore many signs of progress enabled by Artificial Intelligence (AI) in financial and corporate business management. It also amid to identify the benefits and cons of AI applications in social life. A systematic content analysis approach has been used to demonstrate the developmental phases of AI. Four distinct organizational maturity clusters i.e. Pioneers, Investigators, Experimenters, and Passives have been developed on basis of dataset. Data collections was carried through emails, customizable chatbots, live chat softwares and automated helpers of top ten online companies and various banking and financial institutions located in Lahore and Karachi cities for making behavioral analysis. The data results revealed that all aspects of financial managements and corporate business activities have been highly influenced by the application of AI. The study demonstrated that 80% senior business executives were of view that AI boost productivity and creates new business avenues. The results also demonstrated that 88% Pioneer organizations have understand and adopted AI techniques according to organization requirements, 82% Investigator organizations are not using it beyond the pilot stage whereas 24% Experimental organizations were adopting AI without understanding it. These results seem to reflect that AI has profound effects on financial industry to streamline its credit decisions from quantitative trading to financial risk management and fraud detection. This study also discovered that the widespread use of AI have raised a number of ethical, moral and legal challenges that are yet to be addressed. Although AI is gaining popularity day by day and it is believed that AI will improve work performance beyond human standards but it could not replace human resources fully.

Artificial Intelligence in Corporate Business and Financial Management: A Performance Analysis from Pakistan

This paper attempts to explore many signs of progress enabled by Artificial Intelligence (AI) in financial and corporate business management. It also amid to identify the benefits and cons of AI applications in social life. A systematic content analysis approach has been used to demonstrate the developmental phases of AI. Four distinct organizational maturity clusters i.e. Pioneers, Investigators, Experimenters, and Passives have been developed on basis of dataset. Data collections was carried through emails, customizable chatbots, live chat softwares and automated helpers of top ten online companies and various banking and financial institutions located in Lahore and Karachi cities for making behavioral analysis. The data results revealed that all aspects of financial managements and corporate business activities have been highly influenced by the application of AI. The study demonstrated that 80% senior business executives were of view that AI boost productivity and creates new business avenues. The results also demonstrated that 88% Pioneer organizations have understand and adopted AI techniques according to organization requirements, 82% Investigator organizations are not using it beyond the pilot stage whereas 24% Experimental organizations were adopting AI without understanding it. These results seem to reflect that AI has profound effects on financial industry to streamline its credit decisions from quantitative trading to financial risk management and fraud detection. This study also discovered that the widespread use of AI have raised a number of ethical, moral and legal challenges that are yet to be addressed. Although AI is gaining popularity day by day and it is believed that AI will improve work performance beyond human standards but it could not replace human resources fully.

Fear of Backlash Moderates Female Senior Executives' Communion (but Not Agency) as Compared to Female Lecturers.

Today, many women work in occupational roles that had once been dominated by men (e.g., senior business executives). However, expectations on senior executives to be agentic (e.g., assertive, dominant) may conflict with prescriptive stereotypes about women to be communal (e.g., helpful, warm). According to this double-bind dilemma, female senior executives get criticized for lacking either agency or communion as both dimensions can be perceived as posing a tradeoff. We hypothesize that female senior executives report higher levels of agency and lower levels of communion than women in a more neutral role (e.g., lecturers) due to the perceived requirements of these occupational roles. In Study 1, N = 212 students rated adjectives on their desirability for men vs. women in Chinese society. They rated agentic characteristics as more desirable for men and communal characteristics as more desirable for women. Studies 2 and 3 used this material. Study 2 randomly assigned N = 207 female students to the role of a senior executive vs. lecturer. Study 3 was conducted with N = 202 female role occupants (96 senior executives, 106 lecturers). As expected, female senior executives reported higher levels of agency and lower levels of communion than female lecturers in both studies. Some women may be particularly aware of the above-mentioned double-bind dilemma and may be more worried about the potential backlash than others. They may attempt to reconcile occupational demands (i.e., higher agency, lower communion) with prescriptive gender stereotypes (i.e., lower agency, higher communion). We, therefore, explored whether fear of backlash attenuates the effect of the type of role of women (senior executives vs. lecturers) on agency and communion. Indeed, we found that senior executives who were particularly worried about backlash reported almost as much communion as lecturers did. In contrast, senior executives consistently reported higher levels of agency than lecturers regardless of their fear of backlash. The present study documents prescriptive gender stereotypes in China, how women differ as a function of their occupational roles, and how fear of backlash may motivate female senior executives to reconcile having high levels of both agency and communion.

Information technology (IT) governance and IT capability to realize firm performance: enabling role of agility and innovative capability

PurposeWith the ever-growing turbulent business setting, there is a great interest to study how a firm tailors information technology (IT) capability to shape agility and innovation capability to stay ahead of the competition. This study examines how IT governance and IT capability can be tailored to achieve firm performance through agility and innovative capability in a turbulent environment.Design/methodology/approachDrawing on the dynamic capability theory, this study based on the primary survey data of 253 responses from senior IT and business executives in China proves the hypothesized relationship in the proposed model.FindingsThis study shows that the IT governance mechanism positively impacts on IT-enabled dynamic capabilities. Further, IT-enabled dynamic capabilities positively impact on agility and innovative capability that in turn support to achieve firm performance. The environmental uncertainty is only significant in the IT-enabled dynamic capabilities–business process agility relationship.Research limitations/implicationsThis study suggests corporate leaders and executives to better exploit their resources and tailor IT capabilities in the turbulent environment. Further, this study offers theoretical and practical implications.Originality/valueThis study proposes ways for executives to examine the multifaceted nature of environmental uncertainty to achieve agility, innovation and firm performance rather than simply investing in IT.

Making Digital Innovation Happen: A Chief Information Officer Issue Selling Perspective

We encourage chief information officers (CIOs) to play more active roles in organizational level strategy making in the digital era and examine how CIOs could lead their organizations’ digital innovation initiatives. We propose that it is the CIO’s effectiveness in issue selling (i.e., the acts that are directed toward affecting top management teams’ (TMT) attention to and understanding of strategic issues), rather than his or her structural position, that directly influences the level of organizational digital innovation success. Nevertheless, CIO structural power should not be overlooked because it could amplify (i.e., positively moderate) the impact of CIO issue selling to digital innovation outcomes. In addition, we identify four enabling forces of CIO issue selling effectiveness: (1) CIO strategic decision-making authority, (2) CIO/TMT partnership, (3) CIO information technologies (IT)–related strategic knowledge, and (4) CIO political savvy. Matched-pair survey data collected from senior business and IT executives of 179 organizations largely support the research hypotheses.

Consumer ethics: insights from business professionals

PurposeThis research aims to generate new insights into consumer ethics by tapping into business executives' first-hand experience. The overarching goal of this novel, discovery-oriented approach is to illuminate the interactive relationships between business and consumer ethics, and to offer contextualized insights into consumers' (un)ethical behaviors.Design/methodology/approachThree focus group interviews were conducted with senior business executives representing nine different industry sectors. Thematic analysis was performed to identify key themes for an integrative model.FindingsFour key themes emerged, highlighting: (1) the mutual influence between business and consumer ethics, (2) the nature and intensity of consumer ethics, (3) the dual influence of digital communication, and (4) the partial influence of consumer education. The themes gave rise to an integrative conceptual model.Research limitations/implicationsThis research was limited somewhat by the small and judgmental sample.Practical implicationsConsumers' growing demands for business ethics underscore the need for companies to elevate ethical considerations. The amplified consumer voice on social media is dreaded by business practitioners and is regarded as unethical consumer behavior to be actively managed.Social implicationsBusiness and consumer ethics can mutually influence each other in a benign or vicious circle. Consumer education is effective in some but not all domains.Originality/valueBusiness practitioners' insights reveal (1) the interactivity of business and consumer ethics and (2) the diversity of (un)ethical consumer behaviors. They point to the need for an enriched definition of consumer ethics and an expansion on the categorical structure of consumers' (un)ethical practices.

The benefits of executive coaching: voices from the C-suite

PurposeThe purpose of this paper is to provide readers with research findings based on qualitative data that describe the benefits of executive coaching from a sample of 70 senior business executives, all of whom have a personal executive coach. In addition, the paper provides readers with specific questions concerning their organizations’ approach to executive leadership development and the application of these potential benefits to their enterprise.Design/methodology/approachThe findings of this study are based on personal interviews with 30 executives and ten four-person focus groups in which both sets of participants were asked to describe personal and organizational benefits associated with their experiences in using executive coaches.FindingsInterviews and focus group findings converged around a number of benefits associated with effective executive coaching. These benefits included improved executive focus, better alignment of key leadership behaviors, candid and ongoing feedback, accountability for appropriate leader behaviors, improved emotional intelligence and ego control and personal support and encouragement, among others.Research limitations/implicationsThis qualitative study provides empirical evidence of the benefits of executive coaching from the perspective of senior business leaders. These findings provide researchers with specific criteria that can be tested and measured on a larger scale. The primary limitation of the study is the small sample size of only 70 executives.Practical implicationsThe findings of this research provide a compelling set of benefit trends that individual executives, boards of directors and organizations need to consider in the development of their senior leaders. Specific questions are included to guide practitioner’s thinking concerning executive coaching and its role in their organizations.Social implicationsThese findings make a compelling case that senior leaders can become more effective and can experience great benefits when they properly make use of an effective executive coach. The development of senior leaders using this tool can have a powerful impact on organizational performance and organization’s culture.Originality/valueA review of the literature will reveal that anecdotal evidence abounds, but there is limited empirical research chronicling the true benefits of executive coaching.

The nature and potential of corporate governance in developing countries

PurposeThe purpose of this paper is to provide detailed findings regarding the perceived role of corporate governance in Zambia. There have been no detailed studies of opinions in a setting such as Zambia, i.e. a nation which has experienced relative political calm and which has an abundance of natural resources – but where corporate governance failures have been blamed directly for economic difficulties.Design/methodology/approachThe study reports the results of a series of 24 in-depth interviews with Zambians, including politicians, regulators, senior business executives, transnational organisation representatives, academics and governance consultants. The discussions were conducted face-to-face and recorded in all cases.FindingsUnderstanding of corporate governance is at an embryonic stage in Zambia, but embedded corruption is likely to require addressing before any meaningful change is likely. A range of isomorphic forces appear to be prevalent and the study argues that root and branch change in structures and attitudes is a necessity if improvements are to be forthcoming. The paper concludes with a call for unity in purpose and recognition of current malignancies.Originality/valueDespite Zambia’s idiosyncrasies, the evidence suggests that a pan-African picture is emerging, with growing awareness of the potential benefits of improved corporate behaviour – but deep cynicism exists about the likelihood of these arising given corruption in reward structures. Such is the extent of embeddedness in power amongst those who benefit from current arrangements that both mimetic and coercive forces are argued to be ranged against any shift in extant systems and processes.

Audit committee requirements in six major capital markets: How far have we come?

This research discusses the key events that led to the establishment of the current regulations pertaining to the functioning of audit committees in six major capital markets of the world, namely, the U.S., U.K. Australia, India, South Africa, and Argentina, and also presents the findings based on a comparison of these regulations. Specifically, the authors review the changes that happened either proactively or sometimes as a reaction to certain events in each of these securities markets, leading to the current audit committee regulations. Also, the relevant local laws and requirements of the regulatory bodies along with the listing rules of the stock exchanges in the above six nations are examined to study how the requirements are both similar as well as different across the six continents. Given the increase in the number of multinational corporations selling shares in different capital markets where such entities have to conform to the regulations of each such market, a study of the audit committee regulations is expected to give some insight into how much rigor the different capital markets of the world have with respect to their expectations of the composition of the audit committee, what the committee’s role should be, how it should conduct its business, and to whom it should report. The study shows that each of these six nations has had its share of corporate scandals and/or abuses of power by senior business executives that first caused losses for investors, and eventually led to the current regulations. In some of these markets, audit committee regulations advanced from being recommendatory and “principles-based” to being mandatory mainly because of the pressure from external stakeholders. The newer regulations in each securities market generally, though not always, represented improvement over the previous versions. The study also shows that today the audit committees of companies listed on the different stock exchanges being examined in this study are subject to similar or sometimes identical requirements in some respects. At the same time, there are other requirements where the authors see minor as well as noticeable differences. All in all, NYSE emerges as the stock exchange with the most rigorous expectations from the audit committee on various matters and especially with respect to the monitoring of the independent auditor. While the audit committee regulations in the developed world of the U.S., U.K., and Australia have set good examples of governance practices before the rest of the world, the securities markets in the emerging economies of India, South Africa, and Argentina are not far behind. There are areas where the regulations in India and South Africa actually demand more from their audit committees compared to those in the developed markets.

Continuous Auditing and Monitoring in Practice: Lessons from Metcash's Business Assurance Group

ABSTRACTAdvances in information technologies, multiple and diverse risks, complex and changing regulatory environments, antifraud measures, budget constraints, and the volume, velocity, and variety of data being created have renewed attention in continuous auditing (CA) and continuous monitoring (CM). Notwithstanding the growing interest, there is currently limited guidance and empirical evidence available about the practicalities of implementing CA and CM and the differences (or not) between them. In this paper, we describe a case study of how CA and CM has been interpreted and implemented at Metcash, a wholesale distribution and marketing company in Australia. The results for this organization so far are notable: over 100 automated tests performed daily, a fully integrated exception management system, advancement from data to predictive analytics, and the use of visualization technologies for enhancing reporting. However, this outcome has not been without challenges. Our aim in presenting this case is to assist senior audit and business executives with assessing the viability of adopting CA and CM by reflecting on the implementation at Metcash and to offer lessons from this organization's experiences for theory and practice.

English

Companies’ executives have long realised the importance of IT in conducting business. As such, an ever larger portion of capital is allocated to IT. Managers see an opportunity to reduce the input cost of producing value for clients by reducing IT expenditure; however, managers need a clear picture of the value of IT to make appropriate cut of IT cost. This study explores the value the IT unit provides to business, by investigating a method of identifying IT metrics that are significant to IT managers and extending their significance beyond the IT unit to business executives. The Gartner business value model was used to link IT metrics to financial metrics in a South African financial services company. Senior business executives, business process owners and IT respondents were interviewed to get pertinent information, and an exploratory approach was taken to investigate the information garnered. The results illustrate that if a set of leading indicators of financial performance can be identified by senior business executives, the business activities that support these leading indicators and the IT services these activities rely on can be uncovered. By identifying IT services that have a bearing on future financial performance, the metrics recorded around them may be used to demonstrate the impact that the IT unit has on future revenue. Key words: Business value, ITSM, metrics.

Market demand for sustainability in management education

Purpose – This paper aims to contribute to the ongoing debate about the relevance of sustainability in management education through exploration of the needs and expectations of a key group of business schools’ stakeholders – senior executives of leading corporations. Design/methodology/approach – The paper presents findings from a survey regarding sustainability within management education returned by executives from a wide span of global companies. The study includes 194 survey responses by senior executives from companies that are signatories of the United Nations Global Compact. Findings – Results from a survey of executives from leading multinational enterprises reveal widespread recognition that sustainability issues are increasingly important for effective management, thus that managers must be appropriately trained for these emerging challenges. Survey results also indicate the kinds of skills and qualities seen as valuable by corporate leaders. Research limitations/implications – It is not possible to extrapolate from this study the aggregate sentiment of all senior business executives, but the sample of 194 respondents is significant. Practical implications – The expressed demand from business leaders provides context for business school faculty and administrators involved in the development of appropriately trained professionals. Originality/value – The study provides indication of demand from a significant subset of influential executives, providing support for the on-going progress of the integration of sustainability topics and training in the curricula of business and other fields.

Research Note—A View from the Top: Integrated Information Delivery and Effective Information Use from the Senior Executive's Perspective

This study frames antecedents of effective information use, outlining a nomological network that firms follow to achieve integrated information delivery and effective information use. Our focus is on senior business executives' assessment of information delivered by their organizations' information systems. We first clarify the definition of information as it relates to information delivery and effective use. Then, drawing from institutional theory and the resource-based view of the firm, we propose a research model consisting of external institutional pressure, internal information systems (IS) resources, integrated information delivery, and effective information use and empirically test it through a field survey of senior business executives and post hoc qualitative analysis. Our findings position information delivery as an important research construct leading to effective information use and value. Our study also highlights the important role of the IS function as a facilitator of effective information use and a nurturer of a strong information culture in organizations. Finally, we offer practical advice on how senior executives assess and improve integrated information delivery and effective use.

Better stay single? Public relations and CSR leadership in India

Public relations scholars have argued that public relations practitioners, as boundary spanners between organizations and their diverse publics, are well positioned to assume leadership and become the “conscience” of their organization's CSR efforts. Conversely, scholars have also questioned public relations practitioners’ assumption of leadership of CSR. Much of the debate, both for and against, has been generated in Euro/American contexts of practice. As part of a larger study, this research aimed to examine whether the argument for public relations’ leadership of CSR holds true in non-Western contexts as well, specifically, by examining CSR leadership in corporations in India that are known to be socially responsible. This study found that in the majority of companies that are heavily engaged in CSR in India, it was the senior business executives and managers, instead of the PR practitioners, that were tasked with CSR leadership. Based on the findings of this study, this paper questions the assumption of CSR leadership by public relations practitioners.

Effects of cultural ethnicity, firm size, and firm age on senior executives’ trust in their overseas business partners: Evidence from China

We investigate trust relationships between senior business executives and their overseas partners. Drawing on the similarity-attraction paradigm, social categorization theory, and the distinction between cognition- and affect-based trust, we argue that executives trust their overseas partners differently, depending on the partners’ cultural ethnicity. In a field survey of 108 Chinese senior executives, we found that these executives have higher affect-based trust in overseas partners of the same cultural ethnicity as themselves; cognition-based trust is associated with affect-based trust differently when overseas partners are of the same or different cultural ethnicity. We also examine the role of relative firm size and age in shaping intra- and intercultural trust. Relative firm size has a stronger negative effect on executives’ cognition-based trust if their partners are of a different cultural ethnicity. Although firm age does not have a negative effect on executives’ affectbased trust as hypothesized, we found firm age to be positively associated with affect-based trust for partners of the same cultural ethnicity. We discuss theoretical and practical implications of this pattern of inter- and intra-cultural trust on international business and networking (guanxi) dynamics in China. Journal of International Business Studies (2011) 42, 1150–1173. doi:10.1057/jibs.2011.35

Venture Capital Availability and Labor Market Performance in Industrial Countries: Evidence Based on Survey Data

This paper finds that more readily available venture capital is likely to have lowered unemployment rates and raised employment rates in industrial countries over the period 1982 to 2003. More readily available venture capital is also likely to have lowered the share of long-term unemployed in the total number of unemployed. The magnitude of the effects appears to have been substantial. To measure access to venture capital, we use answers from surveys of senior business executives. We also employ a large number of control variables. Our regression results are robust to variations in specification and sample size.

Information Systems Strategy: Reconceptualization, Measurement, and Implications

Information systems strategy is of central importance to IS practice and research. Our extensive review of the literature suggests that the concept of IS strategy is a term that is used readily; however, it is also a term that is not fully understood. In this study, we follow a perspective paradigm based on the strategic management literature to define IS strategy as an organizational perspective on the investment in, deployment, use, and management of IS. Through a systematic literature search, we identify the following three conceptions of IS strategy employed implicitly in 48 articles published in leading IS journals that focus on the construct of IS strategy: (1) IS strategy as the use of IS to support business strategy; (2) IS strategy as the master plan of the IS function; and (3) IS strategy as the shared view of the IS role within the organization. We find the third conception best fits our definition of IS strategy. As such, we consequently propose to operationalize IS strategy as the degree to which the organization has a shared perspective to seek innovation through IS. Specifically, our proposed IS strategic typology suggests an organization's IS strategy falls into one of the two defined categories (i.e., IS innovator or IS conservative) or is simply undefined. We also develop measures for this new typology. We argue that the proposed instrument, which was cross-validated across both chief information officers and senior business executives, has the potential to serve as a diagnostic tool through which the organization can directly assess its IS strategy. We contend that our reconceptualization and operationalization of IS strategy provides theoretical and practical implications that advance the current level of understanding of IS strategy from extant studies within three predominant literature streams: strategic IS planning, IS/business strategic alignment, and competitive use of IS.