Top Management Executives Research Articles

Top management team gender diversity and power dynamics in times of change

Abstract Extant research examining the effects of top management team (TMT) gender diversity on firm performance report equivocal findings. We seek to enhance understanding of this critical relationship in the context of an acquisition, which necessitates changes in one or both firms during a process characterized by non-routine decisions, time pressures, high uncertainty, and frequent debates among strategic leaders. Specifically, we examine the effects of gender diversity of top management and female executives’ formal and informal power on post-deal performance. Our results indicate gender diversity has negative effects on post-deal performance. Further, in a subsample of acquirers with gender diverse teams, our results reveal that female executives’ structural power and ownership power have negative performance effects, while power conferred through an elite education has positive performance effects. Our findings highlight the need to expand gender diversity research to consider the strategic context facing diverse TMTs and power dynamics among them.

The School-ties Between Top Management Executive and Audit Partner: Exploring From Earnings Management in Indonesia

The objective of this study is to investigate the impact of school ties between top management executives, such as the Chief Executive Officer and Chief Financial Officer, and external parties, including auditors, on a company’s earnings management practices. This study uses fixed effect regression method to test the hypotheses, whether school ties between top management executives and audit partner will affect on the practical earnings management. The authors obtained sample from Indonesia Stock Exchange Commission during 2010 to 2022 and includes several causality tests to robust the empirical result from current study. Our findings suggest a noteworthy positive association between school-ties linking the Chief Executive Officer (CEO) and the Auditor with Earnings Management. However, our analysis reveals that other combinations of school ties exhibit an opposite effect. The findings of this study suggest that ties between internal and external parties within a company may be a factor that investors should carefully consider when evaluating the accuracy and reliability of financial reports. As such, it may be prudent to avoid investing in such companies. Despite prior research extensively examining the measurement of accrual-based earnings management, the literature lacks discussion regarding its association with the potential influence of ties. Thus, this study aims to fill this gap by investigating the relationship between top management school ties and earnings management.

Improving Strategic Planning: The Crucial Role of Enhancing Relationships between Management Levels

Having a fruitful relationship with all levels of management can increase the likelihood of better opportunities within and outside the organization. In some environments, it is known that participation in strategic planning creates better overall conditions for all partners, better conditions for retention, and above all, loyalty to talent. The very acceptance of contributions to this desideratum entails knowledge sharing and knowledge management. Our study examines how the relationship between management levels can disrupt strategic planning, particularly in contexts of resistance to change, situations that can affect talent retention and loyalty. Gathering the essential data to enhance the recommendations and contributions, the organization’s overall robustness takes shape through a combination of participant and nonparticipant observation, alongside interviews and questionnaires administered within the company. Initially, a qualitative approach was employed, involving interviews with a cohort of n = 14 top management executives. Subsequently, a qualitative method was employed, involving questionnaires distributed to a group of n = 204 individuals encompassing middle and lower management levels. Our conclusions, therefore, reflect the continuation of a research study. This paper contributes to the literature of work pursued by exploring how social actors and different stakeholders can make a difference in participating in strategic planning and how they can overcome, in counterpoint, the limitations of possibly not being able to participate in such strategic planning. Our contribution will also result in a critical understanding of the need for talent retention and loyalty, highlighting how retention efforts, especially the small nudges that are absolutely significant in terms of employee participation and even emotional pay purposes, are differentiators and can overcome, very concretely, resistance to change.

Analysis of factors influencing Circular-Lean-Six Sigma 4.0 implementation considering sustainability implications: an exploratory study

ABSTRACT In this study, we develop a new paradigm, Circular Lean Six Sigma 4.0 (CLSS4.0) to promote manufacturing sustainability. This paper aims to provide a practical and holistic view of the drivers and barriers that can help companies design an integrated CLSS4.0 model. The paper is based on a qualitative exploratory study using multiple case studies within 12 Moroccan manufacturing firms conducted through semi-structured interviews with top executive managers. The results show that the drivers are related to expected operational and environmental performance, increasing customer requirements, gaining competitive advantage and market growth while barriers are related to insufficient tangible (finance, human and equipment) and intangible (skills and techniques) resources, data privacy, technical issues and management support. The proposed framework identifies the assessment of drivers and barriers and their attributes as a starting point for managers to lead the CLSS4.0 transformation, thereby contributing to its successful implementation. To the best of our knowledge, this study is among the very first studies to discuss the CLSS4.0 drivers and barriers. It could be useful to managers as a diagnostic tool to assess their ability to implement CLSS4.0 before investing in the initiative.

Professional service firms and the manufacturing of the corporate nobility

AbstractGlobal professional service firms (GPSFs) are key actors in contemporary capitalism. They (co-) produce and disseminate new business practices, linking firms, sectors, and countries, integrating them into a global system. We examine a second, less studied function of these firms: underpinning capitalism’s status hierarchies. We ask whether these firms have emerged as producers of a new corporate nobility—as an extension of elite universities, and as a stepping stone in the selection and promotion of top executives. Focusing on the US, we ask: do global professional service firms merely amplify the credentials of elite universities, or can they compensate for an absence of an elite education in the careers of US top managers? and do professional service firms equip future top managers with specific expertise or merely with symbolic capital? Based on a sample of 2,610 top executive managers from leading American firms in 2005 and 2018, we study the role law, consulting, or audit firms played in their careers. Using multinomial regression analyses, we find that the career function of GPSFs varies: consulting firms amplify existing status and enhance the symbolic capital of alumni, aiding their ascent to the most prestigious jobs in US top firms. In contrast, top managers leverage audit firm roles to compensate for a non-elite background, yet then tend to be channelled into narrow, specialist roles in top management. We relate these results to Bourdieu’s state nobility analysis and propose an augmented typology of these firms at the heart of contemporary capitalism.

Role of Leadership in Strategic Management in Nigeria

Purpose: The study sought to analyze the role of leadership in strategic management in Nigeria
 Methodology: The research was conducted entirely on desktop review methoods. Secondary data, or data that doesn't require actual observation in the field, are the focus of desk research. Because it requires little more than an executive's time, telephone rates, and directories, desk research is generally seen as a low-cost strategy in comparison to field research. As a result, the research used data that had already been collected and reported. Secondary sources such as internet journals and libraries made this information readily available.
 Findings: The results show that Leadership is a critical element of strategic management. Leaders are responsible for setting the direction, vision and culture of the organization. They must also be able to develop and execute plans to achieve the organization’s objectives. Leaders in Nigeria must be able to anticipate, plan, lead, motivate and manage change. They must be able to develop strategies that are aligned with the organization’s objectives, and that will enable the organization to achieve a competitive advantage. They must also be able to effectively manage risk, create an environment of performance and excellence, and create a culture of trust and collaboration.
 Unique Contribution to Theory, Practice and Policy: Future research in the field of strategic management may employ the transformational leadership theory and the contingency leadership theory as a foundation. Policymakers, researchers, and academics from all across the world will all stand to gain from this study's findings. The study's findings will also be used by the country's top strategic management executives to boost the effectiveness of their teams' leadership across the board. Effective strategic management policies in the leadership are advocated for in the study as a means to boost efficiency across key operations and activities.

Impact of Social Media on Strategic Management in Morocco

Purpose: The study sought to analyze the impact of social media on strategic management in Morocco
 Methodology: The research was conducted entirely on desktop review method. Secondary data, or data that doesn't require actual observation in the field, are the focus of desk research. Because it requires little more than an executive's time, telephone rates, and directories, desk research is generally seen as a low-cost strategy in comparison to field research. As a result, the research used data that had already been collected and reported. This secondary data was readily available via the internet's digital library and scholarly articles.
 Findings: The results show that social media has had a profound impact on strategic management. It has enabled organizations to identify and capitalize on opportunities, manage risks, and increase efficiency. By leveraging the power of social media, organizations can gain valuable insights into their customers, competitors, and the market, enabling them to make more informed and effective decisions. Social media has become an increasingly important part of the business landscape and its impact on strategic management in Morocco has been profound.
 Unique Contribution to Theory, Practice and Policy: Future research in strategic management may be grounded in either the resource based view theory or the network based view theory. Policymakers, researchers, and academics from all across the world will all stand to gain from this study's findings. The study's findings will also be used by the country's top strategic management executives to boost the effectiveness of social media across all of their operations and initiatives. According to the research, social media organizations may boost their productivity in key areas by adopting rules for dealing with conflicts.

Role of Corporate Social Responsibility in Strategic Management in Cambodia

Purpose: The study sought to analyze the role of corporate social responsibility in strategic management in Cambodia
 Methodology: The research was conducted entirely on desktop review method. Secondary data, or data that doesn't require actual observation in the field, are the focus of desk research. Because it requires little more than an executive's time, telephone rates, and directories, desk research is generally seen as a low-cost strategy in comparison to field research. As a result, the research used data that had already been collected and reported. This secondary data was readily available via the internet's digital library and scholarly articles.
 Findings: The results show that corporate social responsibility is an important part of the strategic management process and can be used to create value for stakeholders and create competitive advantage. Companies build trust and reputation and create positive relationships with customers, suppliers and investors. It is clear, therefore, that CSR plays an important role in the strategic management process and is essential for business success. CSR is an increasingly important concept in strategic management in Cambodia. There are a number of initiatives that businesses operating in the country can undertake to ensure that their operations are socially responsible and beneficial to the environment.
 Unique Contribution to Theory, Practice and Policy: Future research in strategic management may be grounded in theories like stakeholder theory and legitimacy theory. Policymakers, researchers, and academics from all across the world will all stand to gain from this study's findings. The findings of the study will also be used by the country's top strategic management executives to boost the effectiveness of their organizations' programs and initiatives related to corporate social responsibility. According to the findings, the corporate governance sector would benefit from adopting strategic management strategies that have been shown to increase the effectiveness of key operations and activities.

Sensing the Metaverse: The microfoundations of complementor firms' dynamic sensing capabilities in emerging-technology ecosystems

Dynamic capabilities allow firms to adapt to rapidly changing environments, such as digital business ecosystems (DBEs) based on emerging technologies. Here, non-focal firms face specific challenges, since they have little leverage over the ecosystems in which they operate. In the case of the metaverse – which can be conceptualised as a series of emerging-technology-based DBEs – dynamic sensing capabilities (DSCs) are particularly important for grasping this potentially vast albeit vague opportunity.Our explorative study of 14 virtual reality companies operating in Germany operationalises the microfoundations of these DSCs. Based on 25 interviews with commercial and technical top management executives, we introduce taxonomic differentiation and explore the impact of size/resource base and business model/market type (B2B/B2C) on DSCs.We find that productive opportunism and bricolage behaviour allow non-focal firms to navigate the sheer complexity of the environment. Social screening helps to unlock tacit knowledge as do knowledge-creating routines such as technical experimentation and co-creation (with customers, suppliers and even competitors).Furthermore, our findings enlarge the understanding of DBEs as not horizontally competing but as being organised in a downstream–upstream relationship. Moreover, we find that (commercially oriented) opportunity screening is closely and crucially linked with dynamic seizing capabilities (e.g. customer-driven prototyping and business model development).

The moderating role of information technology governance in the relationship between board characteristics and continuity management during the Covid-19 pandemic in an emerging economy

The main aim of the current study is to investigate the relationship between governance characteristics, information technology governance, and continuity management during Covid-19 in an emerging economy. The study also examines the moderating role of information technology governance in the relationship between governance characteristics and business continuity management. The quantitative approach is used by utilising a survey questionnaire. A sample of 232 questionnaire surveys has been collected from the board of directors, top and middle management executives, external auditors, information technology experts, and some other respondents. The results were estimated using structural equation modelling. The results indicate that information technology governance has a statistically significant effect on business continuity. Board size, board independence, audit committee independence, audit committee diligence, and external audit have a statistically significant positive effect on information technology governance. Further, the results indicate that information technology governance significantly moderates the effect of board size, board independence, board diligence, audit committee independence, audit committee diligence, and external audit on business continuity. However, information technology governance does not moderate the relationship between board committees and business continuity, which indicates less board involvement in information technology governance. The current research provides insight into the role of information technology governance in business continuity management during crises. The present study provides a unique contribution as it investigates the relationship between corporate governance characteristics, information technology governance, and business continuity management during Covid-19, providing empirical evidence from an emerging country.

Constraints to manufacturing companies in implementation of green manufacturing in Dar es Salaam, Tanzania

Despite the crucial role that businesses have played in the adoption of green supply chains, it appears that manufacturing enterprises have not effectively utilized their responsibility to ensure green manufacturing. This study uses Bakhresa Foods Product Limited as a case study to better understand the constraints facing manufacturing firms engaged in green manufacturing and offers suggestions for overcoming them. A qualitative design was adopted and data was gathered via in-depth interviews, focus group discussions (FGD), indirect observation, and secondary data analysis based on a purposive sample size of 60 respondents. Using the MAXQDA 10 program, data were analyzed using the thematic analysis technique. The study's findings showed that constraints to reducing were associated with a lack of innovation, professionals, an understanding of economics and finance and presence of extensive inventories, and inadequate production planning. Remanufacturing was further constrained by poor technology, unfavorable consumer attitudes, and a weak market strategy. Other constraints with reuse came from poor customer attitudes and awareness, lack of uniform standards for materials and goods, and inadequate government support. Constraints to recycling include a lack of support from senior top management executives, significant upfront expenses, and low-quality recycled goods. Therefore, to improve the situation, we suggest that industries make use of modernized equipment, and clean technology, improve monitoring and evaluation systems, implement the lean production philosophy, and give education about the value of recycling programs.

Corporate governance and sustainability disclosure: evidence from Jordan

PurposeThis paper aims to examine the impact of corporate governance (CG) on sustainability disclosure (SD) from the perspectives of resource dependence, agency and stakeholder theories in the context of Jordan.Design/methodology/approachThe analyses were based on 405 observations from non-financial firms listed on the Amman Stock Exchange, spanning the period of 2014–2018. The CG that influences SD was examined using panel data regression models.FindingsThe results of the current study show a positive and significant relationship between the extent of SG and the audit committee and board of directors’ effectiveness. In terms of ownership structure, both institutional and foreign ownerships yielded an insignificant relationship with the extent of SDs.Practical implicationsThe analyses have implications for practitioners, policymakers, top management and corporate executives. Firms are encouraged to restructure their board of directors to enhance the effectiveness of the board to better monitor and support better SD.Originality/valueTo the best of the authors’ knowledge, this is the first study to examine the determinants of SD in Jordan firms. This paper adopted a newly developed global reporting initiative-based reporting index that identifies companies with good sustainability practices. This adds value to the existing sustainability literature.

Elite recruitment in US finance: How university prestige is used to secure top executive positions.

Status attainment theories assert that individuals are recruited based on the length and functional background of their training. Elite theories assume that top managers often deviate from these socially acceptable mechanisms of status attainment to entrench their advantage. In this study, focusing on the US financial sector, we investigate whether educational institution prestige—rather than the subject or length of education—increasingly influences appointments to top executive positions. We analyze 1987 US top executive managers affiliated with 147 firms from both financial and non‐financial sectors in 2005 and 2018. Our study demonstrates that alumni of prestigious universities have a strikingly higher likelihood of attaining a top executive role in finance than in non‐finance. Within finance it is no longer investment banking, but private equity, that contains the highest proportion of elite university graduates. Our findings suggest that notwithstanding the major power shifts between finance and non‐finance—and also within the finance sector—elite groups still dominate the most symbolically valued education, and as a result, top managerial positions.

Examining the Role and Antecedents to Partner Commitment in Influencing Joint Venture Success

Joint ventures (JVs) are an important strategic option for corporates globally; however, their failure rate continues to be alarming as more than 50% of the JVs fail. Researchers have found partners’ commitment to a JV crucial for its success. However, not much is known about how commitment influences JV performance at each stage of JV life cycle and what drives commitment. This article uses case study methodology to evaluate the role of partners’ commitment during formation, initialization and management stages and identifies the factors that influence their level of commitment. The findings are based on primary interviews conducted with the top management executives including CEOs of two JVs formed by a leading company in the Indian retail sector.

Corporate Culture and Digital Transformation Strategy in Universities in Indonesia

All business entities, including private universities, have always to deal with changes in their environment. One of the keys to address such changes is digital technology. The present study examines the extent to which corporate culture affects the implementation of a digital transformation strategy in private universities. Data were collected through a survey addressed to 39 top management executives from different private universities in Garut, West Java, Indonesia. Data analysis was carried out by means of SmartPLS. The results showed that corporate culture in private universities had a significant effect on the implementation of digital transformation strategy in their organizations. This is associated with factors other than technological aspects such as human resources, behavior, and organizational culture.

Article Note

Strategic Management JournalEarly View ARTICLE NOTE Article Note This note refers to this article: Examining investor reactions to appointments of Black top management executives and CEOs David M. Gligor, Millorad Novicevic, Javad Feizabadi, Andrew Stapleton, Volume 42Issue 10Strategic Management Journal pages: 1939-1959 First Published online: June 10, 2021 First published: 19 May 2021 https://doi.org/10.1002/smj.3310Read the full textAboutPDF ToolsRequest permissionExport citationAdd to favoritesTrack citation ShareShare Give accessShare full text accessShare full-text accessPlease review our Terms and Conditions of Use and check box below to share full-text version of article.I have read and accept the Wiley Online Library Terms and Conditions of UseShareable LinkUse the link below to share a full-text version of this article with your friends and colleagues. Learn more.Copy URL Share a linkShare onFacebookTwitterLinked InRedditWechat No abstract is available for this article. Early ViewOnline Version of Record before inclusion in an issue RelatedInformation

Examining investor reactions to appointments of Black top management executives and CEOs

AbstractResearch summaryThe authors investigated investor reactions to the appointment of Black executives. The results indicate that investors respond: (1) more negatively to the announcement of Black CEO appointments than to White CEO appointments, (2) more negatively to the announcement of the Black top management team (TMT) appointments than to White TMT appointments, (3) more negatively to the announcement of Black CEO appointments than to Black TMT appointments, and (4) more negatively to the announcement of Black CEO appointments who are promoted from outside the firm than to the announcement of Black CEO appointments who are promoted from inside the firm. Moreover, the post‐hoc analysis revealed that investors react more negatively to the TMT appointment of Black executives than to the TMT appointment of Latino or Asian executives. Our results show the negative association between the appointment of Black executives and investors' reactions, and we hope it sparks future research examining causal factors and their potential solutions.Managerial summaryInvestors react more negatively to the announcement of Black CEO appointments than to White CEO appointments, and more negatively to the announcement of Black CEO appointments who are promoted from outside the firm than to the announcement of Black CEO appointments who are promoted from inside the firm. Moreover, investors react more negatively to TMT appointments of Black executives than to TMT appointments of White, Latino, or Asian executives.

THE ROLE OF EMOTIONS IN HUMAN RESOURCES MANAGEMENT

Business environment increasingly grows complex where human resources become the only sustainable source of competitive advantage for any management, be it top executive or middle sector management. When speaking about personnel management, we chiefly speak about human resources, who are not devoid of emotions. The task of a professional manager is to foster a healthy working atmosphere. Communication here comes to the forefront, which is mainly being treated as a process largely based on the mental world of the speakers, where emotions have a great output and as communication largely relies on the interpretive power of the speaking partners; hence, good and proficient managers ought to give a strong emphasis and attention to the management of emotions, and we all should have to appreciate the irreplaceable role of emotions in interpersonal relations at workplace as well. This actually has a great impact not only on the relations between the manager and employee, but also on the whole team of the managed group and eventually the whole company. The present paper looks for efficient ways for healthy and successful human resources management, by means of providing illustrative examples, case studies and a detailed analysis of them all in all to put a light on the gaps in current management perception.

Bridging the gaps for business growth among Indian construction companies

PurposeSuccessful handling and delivery of projects requires commensurate growth in the business capabilities of construction companies. The current scenario of exponential infrastructure boom in India necessitates scaling up to meet the challenges of competitiveness. The objectives of this study are to (1) identify the enablers of sustainable business growth among Indian construction companies, (2) identify gaps in the deployment of the enablers in comparison to competitive successful international construction companies and (3) suggest strategic initiatives to top management of companies and policymakers for promoting business growth and industry competitiveness.Design/methodology/approachA detailed literature review first identifies an adapted framework for enablers of growth and growth performance of successful international construction companies on basis of industry trends. Thereafter, a questionnaire survey was administered on the leading construction companies in India to assess the deployment of enablers and gaps thereof. A total of 108 valid responses were obtained from top management executives of the companies and analysed through descriptive statistics and hypothesis testing.FindingsStudies indicate that anticipation of new demands and capabilities; business opportunity scanning and human resource skills and capabilities are among the most important enablers of growth. The role of leadership vision and focus on development of human resources is critical to competitiveness and growth. The successful international construction companies have delivered growth utilising their ability to deploy multiple strategies, diversification and new business opportunities. These are sparingly deployed by Indian companies.Research limitations/implicationsThe study is limited to the opinion and perceptions of the top management personnel of the construction companies.Practical implicationsHigh economic growth context offers a unique opportunity for domestic Indian construction companies to leverage. The valuable insights gained from this study provide hints to the top management of these companies to draw managerial implications for facing the challenges ahead and delivering projects in the dynamic and hyper-competitive construction industry. The policymakers on their part are responsible to support and promote initiatives for sustainable growth.Originality/valueThe study suggests business growth enablers to construction companies in India to improve their international competitiveness.

Hospitality as differentiated services in Brazilian private hospitals

PurposeThe objective of this study is to assess the role of differentiated hospitality services considering the perspective of Brazilian accredited private hospitals.Design/methodology/approachIn-depth interviews were applied to 10 hospitals top management executives (C-Suite level) having as support unstructured data collection routine exploring the issues: main client of the hospital, differentiated hospitality services (DS), hospital board expectation about DS, brand building, service charging policies and nonfinancial results.FindingsResults indicate the interviewed institutions are adopting gradually a new business model in healthcare, in which an empowered patient and his/her needs and satisfaction is gaining relevance. This new conception having hospitality services as a base is transforming a former medical focused sector into a competitive business-oriented approach.Research limitations/implicationsThe nonprobabilistic nature of the sample does not permit statistical inference of results to the population; they are valid only for healthcare management exploratory insights.Practical implicationsComing from the hotel sector, hospitality amenities are turning into strategic instrument and provoking competition in a segment of hospitals targeting upper-middle-class clients, able to afford higher healthcare insurance premiums.Social implicationsIn the new business approach, the patient that in recent past was passive is increasingly getting attention and bargaining power.Originality/valueThe main contribution is centered on the comprehension of an international dynamic in Brazil of a new business model that is changing a traditional sector, once focused in medicine and healing into a market-oriented business.