Embracing the Paradox of Interorganizational Value Co‐creation–Value Capture: A Literature Review towards Paradox Resolution

This study reviews literature on paradoxical tensions between value co‐creation and capture in interorganizational relationships (IORs). The purpose of this review is to make a re‐evaluation of the literature by engaging a paradox theory lens, thereby identifying factors that render tensions salient and factors that lead to virtuous or vicious cycles. This review of 143 articles reveals factors that make tensions salient: these relate to plurality (e.g. coopetition), scarcity (e.g. lack of experience with IORs), change (e.g. changes in collaboration scope) or combinations thereof (e.g. IORs in weak appropriability regimes). Results also uncover factors that resolve paradoxical tensions of value co‐creation and capture, thus spurring virtuous cycles (e.g. carefully mixing trust and contracts), as well as factors that promote vicious cycles, owing to the emphasis on either value co‐creation or capture (e.g. myopia of learning). This review further reveals a new category of factors that may stimulate either virtuous or vicious cycles, depending on the extent to which they are enforced. This finding expands the value co‐creation–capture paradox resolution and brings to light new dynamics in the paradox framework of dynamic equilibrium. This study thus contributes by: (1) reassessing the existing literature and applying paradox theory to the well‐known hazard of value co‐creation and capture; (2) highlighting factors that amplify paradoxical tensions related to this hazard; and (3) outlining factors that help solve the paradox by embracing its contradictory poles and factors that hinder paradox resolution by emphasizing either value co‐creation or appropriation.     

Paradox versus dilemma mindset: A theory of how women leaders navigate the tensions between agency and communion

A wealth of literature documents that women leaders can face simultaneous and yet conflictual demands for both agency and communion, due to the incongruence of their leader role and gender role demands. However, we still know little about why some women cope with the tensions between agency and communion better than others and what implications are involved. Using a paradox perspective, we develop a theoretical model to explain how women leaders experience and respond to agency-communion tensions, which impacts their intrapersonal and interpersonal outcomes. Specifically, we propose that in response to experiencing tensions fueled by the dual demands for agency and communion, women leaders can adopt a paradox mindset that simultaneously embraces agency and communion, or a dilemma mindset that dichotomizes agency and communion. The paradox mindset helps women leaders build psychological resilience, identity coexistence, and leadership effectiveness, whereas those who adopt a dilemma mindset experience depleted resilience, identity separation, and lowered leadership effectiveness. Further, our model highlights individual, interpersonal, and organizational conditions that shape women's experience and stimulate a paradox mindset versus a dilemma mindset. We conclude by discussing theoretical and practical implications of our model.     

Paradoxes and Dual Processes: A Review and Synthesis

Paradox and dual‐process theories are used by management and organization researchers in studying a variety of phenomena across a wide range of management sub‐fields. Cognition is a focal point of both of these theories. However, despite their growing importance and shared areas of inquiry, these two theories have developed largely in isolation from each other. To address this lack of integration, the authors conducted a review and synthesis of relevant aspects of the paradox and dual‐process literatures. Focusing bidirectionally on how paradox theory informs dual‐process theory and how dual‐process theory informs paradox theory, they highlight the ‘nestedness’ of intuition and analysis in paradox (a paradox within paradoxical thinking). On the basis of the review and synthesis, they identify four themes (epistemological and ontological assumptions in the relationship between intuition and analysis; psychological and psychometric issues in the relationships between intuition and analysis; managers’ experiences of tensions between intuition and analysis; managers’ approaches to tensions between intuition and analysis) and introduce an integrative framework that assimilates these two perspectives and sets out an agenda for future research and implications for management.     

Stewardship as process: A paradox perspective

Long-term stewardship is usually represented as a stable structural condition and portrayed as a source of competitive advantage to firms (including family businesses) that use it as a mode of governance. Less is known about how organizations engage with stewardship as a process. We embrace a process approach to report a case study about the unfolding of stewardship in a multi-business family group. We conclude that stewardship is a process marked by critical tensions and paradoxes; by exploring the nature of these we uncover further dimensions and responses to the paradoxes of stewardship.     

Crafting business models for conflicting goals: Lessons from creative service firms

The business model construct has become attractive to both managers and academics. It reflects how the most important organization's strategic and tactical choices regarding the allocation of resources interact in order to create and capture value. Yet with the growing entrepreneurial complexity, managers often end up pursuing conflicting and even paradoxical strategic goals, thus rendering the business modelling processes more complex, too. Well-known examples are profit versus social value, stakeholder versus company interests, exploration versus exploitation and environmental sustainability versus economic returns. The academic business model literature so far has provided limited insights on how to implement business models beyond a single goal and focused mainly on the initial strategic choice of a business model, ignoring that such salient tensions are often persistent and resurface within the business practice. In this study we leverage paradox theory to investigate how managers of creative firms make tactical choices to accommodate (not solve) salient tensions within their business models, focusing on the domains like services provided, choice of clients, networking and resourcing practices, revenue models and new venture creation. Based on qualitative case study research, we found four integrating and three differentiating decision-making tactics that managers deploy to create both economic and creative value through their business models. Adding to the business model theory, we show how business models are crafted in managerial practices by making tactical decisions to solve conflicts and paradoxes. The results equally enrich the paradox literature by providing for tactical-level approaches toward working through the paradox.     

On the emergence and management of paradoxical tensions: The case of architectural firms

Paradoxical tensions are pervasive and unavoidable in the everyday practice of creativity-based contexts, such as architectural firms. Whilst the existing literature has extensively explored both coping strategies and multiple ways of approaching paradoxical tensions, we still have a limited understanding of how individuals engage with paradoxical tensions and how organizations support their members' efforts to sustain such tensions. Accordingly, my purpose here is to explore paradoxical tensions in the context of architectural firms and explain how firms and their members make sense of these tensions. I use a multiple case study to investigate empirically the salient paradoxical tensions central to architectural firms and to develop an understanding of what makes them salient. I explain how triggers evoke latent tensions and make them salient and also outline salient paradoxical tensions prevalent within this context. In exploring how architectural firms and their members make sense of these tensions, I outline and explain the importance of a paradoxical mindset, a paradoxical practice, and supporting organizational arrangements. I conclude by discussing the interplay among mindsets, practices, and arrangements as an organizing platform—a conceptual framework that future studies could explore further.     

Feedback Loops as Dynamic Processes of Organizational Knowledge Creation in the Context of the Innovations’ Front‐end

Feedback loops are instrumental in the organizational knowledge creation (OKC) process across the highly uncertain and dynamic innovation's front‐end. Therefore, managers should be aware of how these loops unfold, how to recognize meaningful patterns and how to steer them towards planned and emergent outcomes. Easy to say, difficult to practise! This empirical paper focuses on knowledge–conceptualization – the new knowledge's generation‐crystallization journey – and develops a unique model of feedback loops as dynamic processes of OKC in the context of the innovations’ front‐end. Using ten qualitatively studied innovations, the authors identify five front‐end OKC stages (generation, evaluation, expansion, refinement and crystallization) and pattern these based on their overlaps to explore the associated feedback loops. This model distinctively illustrates increasing–decreasing, diverging–converging and frequent negative‐cum‐positive loops, and illuminates the complex and rich patterns of loops not captured before.     

Open strategy-making with crowds and communities: Comparing Wikimedia and Creative Commons

In the wake of new digital technologies, organizations rely increasingly on contributions by external actors to innovate or even to fulfill their core tasks, including strategy-making processes. These external actors may take the form of crowds, where actors are isolated and dispersed, or of communities, where these actors are related and self-identify as members of their communities. While we know that including new actors in strategy-making may lead to tensions, we know little about how these tensions differ when either crowds or communities are concerned. Investigating this question by analyzing open strategy-making initiatives conducted by two non-profit organizations (Creative Commons and Wikimedia), we find that tensions with communities may be resolved with increasing openness in strategy-making, while crowds are better compatible with more exclusive strategy-making practices.     

The role of dualities in arbitrating continuity and change in forms of organizing

A substantial body of literature on new forms of organizing has forecast the end of bureaucracy. More recent empirical studies, however, indicate that high‐performing organizations are adopting dual forms of organizing in which the controllability advantages associated with traditional forms work to complement and support the responsiveness attributes of new forms of organizing. The paradox is that, if organizations discard the key planning, co‐ordinating and direction‐setting mechanisms of traditional forms of organizing, they also remove the stabilizing dimensions of organizational form that are essential in periods of uncertainty and change. The challenge for organizations lies in learning how to manage the tensions or dualities between traditional and new forms of organizing, a process demanding the arbitration of continuity and change. This paper explores the concept of dualities and its salience in the management of organizing forms. First, the nature of dualities is explained; secondly, a set of characteristics is developed to describe the behaviour of dualities; and thirdly, suggestions are presented for arbitrating the tensions that exist in organizing form dualities. These three contributions are relevant because they signal the route to the effective creation and management of organizing form dualities, the benefit of which is the constructive combination of dynamic capabilities (underpinning innovation and responsiveness, the hallmarks of new forms of organizing) and operational capabilities (underpinning stability and efficiency, the hallmarks of traditional forms of organizing).     

Recasting the dynamics of post-acquisition integration: An embeddedness perspective

M&A scholars have generally assumed that post-acquisition integration is a self-contained process. However this ignores that this process rarely unfolds as the only ongoing initiative in an organization. We contend that post-acquisition integration is not detached from other simultaneous change processes in the organizational context and this has important implications for our understanding of how integration dynamics actually evolve. To further understand this embeddedness we examine the unfolding of a post-acquisition integration process in a company faced with an unanticipated drop in demand due to the global economic crisis. Through a qualitative, longitudinal study conducted over three years, we carried out 151 interviews to uncover the unfolding of the post-acquisition process. We find that post-acquisition integration is embedded in a set of co-evolving processes. We highlight four mechanisms (coordination, cohesion, disconnection, alienation) that arise from the co-evolution of processes that either facilitate or impede integration. Our findings contribute to our understanding of post-acquisition integration dynamics by recasting the integration process as embedded in a set of co-evolving processes that shape its unfolding.     

Die nur fast gelingende Schließung des Personalentwicklungszyklus

The nearly closed cycle of personnel development. The growing popularity of personnel development like training, coaching or supervision is usually justified by the new challenges impending on organizations. The author presents an alternative explanation: Basing on considerations about the operative consistency of organizations, he argues, that the popularity of personnel development is to explain by the boom of personnel diagnostics during the last two decades. Only by potential analysis, assessment center, 360-degree feedback, several trainings and especially person-centered counseling like coaching and supervision could increase their attractiveness. In organizations, cycles of personnel development emerge, and by this a sort of all-round cares of the organisation members.     

Managing Contradiction: Stockholder and Stakeholder Views of the Firm as Paradoxical Opportunity

Stockholder and stakeholder perspectives have been positioned in the literature as being in tension, and thus a potential source of innovation and change. However, researchers have overlooked a systematic examination of this presumption in theory and in practice. This study explores the ways that stockholder and stakeholder assumptions are presented by theorists and compares these with expressions of stockholder and stakeholder perspectives used by firms in practice. We argue that theoretical entrenchment dichotomizing these perspectives has disrupted the ability of researchers to leverage this tension. While scholarship remains trapped in a vicious cycle, we also argue that firms in practice express only the acceptance dimension of a virtuous cycle. Our empirical research demonstrates that firms accept and accommodate the paradoxical tension between managing for stockholders versus balancing the interests of stakeholders. This is evidenced by strategies we identify as book‐ending, cadence, continuous and simultaneous co‐mingling, and hybridization. We find that in practice these tensions are more integrated whereas in theory they are treated as more distinct and, often, in conflict. We suggest ways in which both scholarship and practice can better leverage tension as paradoxical opportunity.     

System Dynamics as a Structural Theory in Operations Management

The purpose of the paper is to demonstrate the usefulness of (1) system dynamics as a structural theory for operations management and (2) system dynamics models as content theories in operations management. The key findings are that, although feedback loops, accumulation processes, and delays exist and are widespread in operations management, often these phenomena are ignored completely or not considered appropriately. Hence, it is reasoned why system dynamics is well suited as an approach for many operations management studies, and it is shown how system dynamics theory can be used to explain, analyze, and understand such phenomena in operations management. The discussion is based on a literature review and on conceptual considerations, with examples of operations management studies based on system dynamics. Implications of using this theory include the necessary re‐framing of some operations management issues and the extension of empirical studies by dynamic modeling and simulation. The value of the paper lies in the conceptualization of the link between system dynamics and operations management, which is discussed on the level of theory.     

A Causal Model of Chronic Obstructive Pulmonary Disease (COPD) Risk

Research on the etiology of chronic pulmonary disease (COPD), an irreversible degenerative lung disease affecting 15% to 20% of smokers, has blossomed over the past half‐century. Profound new insights have emerged from a combination of in vitro and –omics studies on affected lung cell populations (including cytotoxic CD8⁺ T lymphocytes, regulatory CD4⁺ helper T cells, dendritic cells, alveolar macrophages and neutrophils, alveolar and bronchiolar epithelial cells, goblet cells, and fibroblasts) and extracellular matrix components (especially, elastin and collagen fibers); in vivo studies on wild‐type and genetically engineered mice and other rodents; clinical investigation of cell‐ and molecular‐level changes in asymptomatic smokers and COPD patients; genetic studies of susceptible and rapidly‐progressing phenotypes (both human and animal); biomarker studies of enzyme and protein degradation products in induced sputum, bronchiolar lavage, urine, and blood; and epidemiological and clinical investigations of the time course of disease progression. To this rich mix of data, we add a relatively simple in silico computational model that incorporates recent insights into COPD disease causation and progression. Our model explains irreversible degeneration of lung tissue as resulting from a cascade of positive feedback loops: a macrophage inflammation loop, a neutrophil inflammation loop, and an alveolar epithelial cell apoptosis loop. Unrepaired damage results in clinical symptoms. The resulting model illustrates how to simplify and make more understandable the main aspects of the very complex dynamics of COPD initiation and progression, as well as how to predict the effects on risk of interventions that affect specific biological responses.     

效忠主管与员工工作绩效的关系:反馈寻求行为和权力距离的影响

效忠主管一直是华人组织经久不衰的议题,尽管已有文献认为员工效忠主管有助于提升其工作绩效,然而关于效忠主管通过怎样的具体机制来影响员工工作绩效却并未得到系统的阐释。本文以14家企业的360名员工为样本,探讨了效忠主管对工作绩效的影响机制,尤其是研究员工反馈寻求行为在其中的中介作用及员工权力距离的调节作用。分析结果表明,效忠主管对员工工作绩效、反馈寻求行为都有显著的正向影响;反馈寻求行为在效忠主管与工作绩效关系中起完全中介作用。另外,员工的权力距离负向调节了效忠主管与反馈寻求行为的正相关关系,即员工的权力距离越低,两者的正向相关关系越强。     

正面反馈的盛名综合症效应：正向激励何以加剧绩效报酬对创造力的抑制？

正面反馈通常被认为是一种低成本且行之有效的正向激励手段,但结果如何不甚明了。根植于本土"面子"文化,基于反馈加工过程模型,从反馈效价、反馈情境以及反馈接收者特质三方面出发,构建了一个嵌套被中介调节效应的三项交互模型,通过设计3项研究,旨在探讨绩效激励下的正面反馈反应机制。研究1结果显示,正面反馈调节绩效报酬对创造力的倒"U"型影响,且调节效应因员工胜任感知不同而存在差异,即在高激励强度下提供高的正面反馈反而加剧绩效报酬对个体尤其是低胜任感知个体创造力的抑制。研究2探索了上述负效应的成因,揭示了盛名综合症的中介作用。研究3进一步揭示,由于低胜任感知诱发的盛名综合症,强化了正面反馈对表现目标导向的引导作用,从而加剧绩效报酬对创造力的抑制。     

Diffusion in the Face of Failure: The Evolution of a Management Innovation

Recent work has questioned the institutional model of management innovation by highlighting interactions between the field‐level actors engaged in diffusing innovations and implementation of the innovation at organization level. Focusing on the adaptation of management innovations to their context, rather than their creation, we review this work and use it to analyse the global diffusion of resource planning (RP), counter posing this case with the widely studied example of total quality management. Both of these innovations experienced a high level of failure when implemented by organizations. Total quality management's diffusion was characterized by a ‘boom and bust’ cycle. RP, however, has continued to spread globally in the form of its variants: MRP, MRPII and ERP. Our analysis seeks to account for the long‐run diffusion of RP through a processual model which highlights the interplay between RP's discursive framing at field level, the affordances of the innovation itself and its adaptation within organizations. This demonstrates how objectifying RP in software not only helped to spread the innovation but also allowed field‐level actors to differentiate its development as a successful innovation from the many failures experienced by organizations attempting to adapt it.     

Paradox Research in Management Science: Looking Back to Move Forward

Paradox studies offer vital and timely insights into an array of organizational tensions. Yet this field stands at a critical juncture. Over the past 25 years, management scholars have drawn foundational insights from philosophy and psychology to apply a paradox lens to organizational phenomena. Yet extant studies selectively leverage ancient wisdom, adopting some key insights while abandoning others. Using a structured content analysis to review the burgeoning management literature, we surface six key themes, which represent the building blocks of a meta-theory of paradox. These six themes received varying attention in extant studies: paradox scholars emphasize types of paradoxes, collective approaches, and outcomes, but pay less attention to relationships within paradoxes, individual approaches, and dynamics. As this analysis suggests, management scholars have increasingly simplified the intricate, often messy phenomena of paradox. Greater simplicity renders phenomena understandable and testable, however, oversimplifying complex realities can foster reductionist and incomplete theories. We therefore propose a future research agenda targeted at enriching a meta-theory of paradox by reengaging these less developed themes. Doing so can sharpen the focus of this field, while revisiting its rich conceptual roots to capture the intricacies of paradox. This future research agenda leverages the potential of paradox across diverse streams of management science.     

Supply chain coordination with reverse logistics: A vendor/recycler-buyer synchronized cycles model

In this paper, we develop a synchronized cycles vendor-buyer coordination model where the single vendor is both a producer and recycler/remanufacturer, and there are multiple buyers. This model is an extension of the general single-vendor multi-buyer synchronization model to incorporate reverse logistics, and it includes costs associated with production, remanufacturing, transportation and holding inventory. The reverse logistics in the model is achieved by having the vendor pick up returned products from the buyers and then reprocess them for resale. Similar to the original synchronization model, the synchronization of our model is attained by coordinating the vendor's production cycle with both new products’ delivery cycles for transportation from the vendor to the buyers and used products’ pick-up cycles for transportation from the buyers to the vendor/recycler. A genetic algorithm is used for solving the problem. Numerical results show the benefits from this new synchronized cycles model compared to independent optimization with reverse logistics. Our findings further show that under low levels of returning products, the synchronized cycles coordination model with reverse logistics can reduce total system costs when compared with the independent optimization model without reverse logistics. Examples also show how the model with reverse logistics can perform economically better than the model without reverse logistics.     

System Perspectives of Experts and Farmers Regarding the Role of Livelihood Assets in Risk Perception: Results from the Structured Mental Model Approach

Pesticide application is increasing and despite extensive educational programs farmers continue to take high health and environmental risks when applying pesticides.
The structured mental model approach (SMMA) is a new method for risk perception analysis. It embeds farmers' risk perception into their livelihood system in the elaboration of a mental model (MM). Results from its first application are presented here. The study region is Vereda la Hoya (Colombia), an area characterized by subsistence farming, high use of pesticides, and a high incidence of health problems. Our hypothesis was that subsistence farmers were constrained by economic, environmental, and sociocultural factors, which consequently should influence their mental models.
Thirteen experts and 10 farmers were interviewed and their MMs of the extended pesticide system elicited. The interviews were open-ended with the questions structured in three parts: (i) definition and ranking of types of capital with respect to their importance for the sustainability of farmers' livelihood; (ii) understanding the system and its dynamics; and (iii) importance of the agents in the farmers' agent network. Following this structure, each part of the interview was analyzed qualitatively and statistically. Our analyses showed that the mental models of farmers and experts differed significantly from each other.
By applying the SMMA, we were also able to identify reasons for the divergence of experts' and farmers' MMs. Of major importance are the following factors: (i) culture and tradition; (ii) trust in the source of information; and (iii) feedback on knowledge.