Scientific Management, Human Relations, and Strategy-and-Structure are well-known management models in the history of business, but we still understand little about why a given model succeeds in competition with other models. This lack of understanding is troublesome. Practitioners would benefit if they could assess more reliably the potential value of the various competing models they read about. Our analysis […]
With the impending exit of Great Britain from the European Union in 2019, German firms will likely assume an even greater position within the trading block. Given its reputation as the largest exporter in Europe, accounting for over a quarter of EU exports, Germany is a driving force for free trade and open borders. Firms such as Siemens and […]
In the quest for identifying barriers to firm growth, much attention has been paid to barriers that act at the level of the individual firm. But firms do not operate in a vacuum: business relationships are potentially central. We conducted an intervention in China to measure their importance.
A field experiment with 2,820 firms
In 2013 we invited tens of thousands […]
Only 5 per cent of major North American firms had a female CEO as of January 2018. (Catalyst)
Clearly women are underrepresented at the top level of corporations, but the reasons for this are less clear. In a recent article, we investigate two different paths to the scarcity of female CEOs:
Women are appointed as CEO less often; and/or
Women are […]
A puzzling feature of chief executive officer (CEO) compensation is “pay for luck”. Why are CEOs often rewarded when their firms perform well for reasons that are beyond their control? The dominant advice from academia is to do just the opposite: pay CEOs based on corporate outcomes they can substantially influence, which gives them incentives to make the good […]
In a recent Vox column, six antitrust consultants describe the European Commission’s case against Android, hailing it as a “milestone” of antitrust for the telecommunications industry (Caffarra et al., 2018). In fact, it is more of a millstone than a milestone.
The colloquial definition of “millstone” is a “heavy burden”, and of course the case is a burden for Google. But it is […]
Managers at a firm have autonomy to make operational decisions based on their specific contextual knowledge. The firm’s knowledge may complement the manager’s, adding value through advanced tools based on global information. Recently, firms in the sharing economy have implemented systems to help their service providers: the ride-sharing platform Uber tells drivers where demand may be increasing while the […]
We all know about the experts who know so much about so little, and so little about so much. Scientists and artists are prime examples of specialised occupations whose members are suspected of being impractical in daily life.
Managers, on the other hand, are supposed to have broad and practical knowledge, and to be flexible in what they do. These […]
Less than week after the European Commission hit Google with a record £3.9 billion fine for abusing its dominant position in Android, Google’s quarterly earnings report came in: a noticeable dip in profits — down to $2.8 billion from the expected $7.8 billion—but a rise in share price—up almost 6 per cent.
Investors seemed to shrug off the giant fine […]
It was the first meeting of a publicly traded gun company following the Feb. 14 school shooting in Parkland, Fla., that left 17 dead and sparked a wave of anti-gun activism. And the shareholders of Sturm Ruger delivered a surprise.
A coalition of Catholic nuns backed by the giant asset management firm BlackRock pushed through a proposal – over management […]
Ride-sharing platforms, such as Didi Chuxing, Uber, Lyft, and Via, are a manifestation of the sharing economy that has been disrupting traditional taxi industries worldwide. These platforms employ a simple-to-use mobile app to enable customers to request a ride. On the other side of the platforms, the app connects the rider to available local drivers who will fulfil the […]
“It is hard to see for an outsider that you become friends with these people—business friends. You trust them and their work. You have an interest in what they’re doing outside of business” (An interviewee quoted in Uzzi, 1997)
As members of organisations, human beings remain inherently vulnerable, facing threats and obstacles stemming from uncertainty, information asymmetries, and even potentially […]
On average, women still earn less money than men in most developed countries around the world according to the OECD. In the US and UK, for example, women are paid between 82 and 85 cents for every dollar a man earns. As a potential remedy to this issue, many legislators and organisations have begun to adopt pay transparency policies. […]
Sometimes CEOs misbehave. This misbehaviour has terrible consequences for the CEO, the organisation and society, yet still – they do it. Recent estimates suggest that fraud, a specific type of wrongdoing, results in a loss of 5 per cent of sales for a typical company every year and a global loss of about $3.7 trillion. With such clear consequences, […]
The misfits, the rebels, the troublemakers, the round pegs in the square holes, the ones who see things differently. They’re not fond of rules, and they have no respect for the status quo. You can quote them, disagree with them, glorify or vilify them. About the only thing you can’t do is ignore them. — Steve Jobs
Most of us, like Steve Jobs, have come […]
Work-life balance has been a hot topic for organisations and HR practitioners for many years – linked to range of individual and organisational benefits. The shift from the terms ‘family-friendly’ and ‘work-family balance’ to the more inclusive ‘work-life balance’ around 2000 indicated a shift in rhetoric that all employees, regardless of domestic situation, deserved a suitable balance between the […]
Increasingly, organizations are turning to referral-based methods to hire new employees (i.e. “recommend a friend/acquaintance”). In fact, these practices are estimated to account for up to 50 per cent of new hires and some organizations pay up to $20,000 to people referring someone they know for a job. The practice itself is relatively simple – it consists of a hiring manager […]
The Rowntree management conferences are a unique repository of thinking about management in general and British management in particular. Held over a span of nearly twenty years, they encapsulate a certain strand in management thought that, unlike many other contemporary management theories, was liberal, human-centred and forward-looking. They are an experiment – tried once and never really repeated – […]
Sustainable growth depends on delivering the right strategies the right way. Yet this is something that organisations appear ill-equipped to do. Our work at the Brightline Initiative is examining what causes the gap between strategy and implementation and how it can be closed. Our research suggests that business leaders need to answer ten key questions for their strategies to more effectively […]