Attracting talent through diversity at the top: The impact of TMT diversity and firms' efforts to promote diversity on employer attractiveness

At a time where firms encounter a “race for talent”, it is crucial for many MNCs to present themselves as attractive employers. Failing to position themselves in the international labor market can reduce firms' ability to acquire valuable international human capital, thereby generating disadvantageous organizational effects. Against this backdrop, drawing on signaling theory and employer branding literature, our paper aims to shed light on the association between nationality diversity in the executive suite and MNCs' employer attractiveness. Our lines of argument build on the notion that top management team composition can affect MNCs' efforts to promote diversity among their employees. This focus on diversity, in turn, can affect MNCs' employer attractiveness. Examining firms from various European countries, we find that top management team nationality diversity is positively associated with firms' employer attractiveness for foreign job seekers. We also show that a firm's efforts to promote diversity mediate the relationship between TMT nationality diversity and employer attractiveness. We therefore advance the academic debate on diversity as an employer branding tool and a means to enhance employer attractiveness. In practical terms, we also provide valuable insights for firms wishing to transform into (more) diverse entities.     

TMT functional complementarity and post-IPO performance: Evidence from the U.S. biotechnology industry

Drawing insights from the resource dependence and the upper echelons theories, this study examines how top management team (TMT) IPO reconfiguration – the managerial change between immediately before and after an initial public offering (IPO), affects firm performance in the post-IPO years. We investigate this through the lens of TMT functional complementarity - the degree of differing functional knowledge held by the firm's TMT in the pre-and post-IPO stage. We argue that TMT functional complementarity positively affects firm post-IPO performance. Further, this relationship is positively moderated by executive managerial discretion, measured by CEO duality and TMT insider board membership. We test our model using a sample of 250 US biotechnology firms that went public from 1991 to 2019, and the empirical results largely support our hypotheses. This study contributes to the literature of upper echelons, technology-based ventures, and IPO firms.     

The role of CEO emotional stability and team heterogeneity in shaping the top management team affective tone and firm performance relationship

In this paper, we aim to bridge the micro-macro divide by addressing continued calls from strategic leadership and affect researchers to examine the black box to consider how CEO characteristics relate to top management team (TMT) affective experiences, and, in turn firm outcomes. We further consider the role of one key contextual factor in this relationship: TMT heterogeneity. We predict that CEO personality, specifically, emotional stability, is positively associated with TMT affective tone. Moreover, we posit that the relationship between TMT affective tone and firm performance depends on TMT task-related heterogeneity, such that positive affective tone benefits firm performance in heterogeneous TMTs, whereas negative affective tone benefits firm performance in homogeneous TMTs. Using a novel methodology that measures key psychological aspects of the CEO and TMT, we examined 50 TMTs from publicly-traded companies to test our predictions. Our findings offer theoretical contributions to the strategic leadership, affect and diversity literatures as well as managerial applications for CEO selection and management and managing diversity in upper echelons.     

"I am stuck in meetings": Understanding the relation of CEO time management with TMT size and gender diversity

Time is a scarce resource, especially at the apex of firms. CEOs’ time management became a hot topic in recent academic and practice-oriented literature, which stressed the fact that CEOs are usually stuck in meetings. In this paper, I advance the nascent literature on the CEOs’ time management by focusing on the time the CEOs spend in meetings and on their choice of scheduling group meetings instead of bilateral meetings. Doing so, I study the relation of the CEOs’ time management with their top management team’s (TMT’s) size and gender diversity. Empirical analyses over a sample of 170 CEOs revealed a positive and significant relation between the size of the TMT and the time the CEOs spend in meetings with the top executives belonging to the TMT, while no significant relation emerged between the TMT’s gender diversity and the CEOs’ time in meetings. Conversely, while the TMT’s size does not significantly relate to the amount of time the CEOs spend in group meetings, a U-shaped relation emerged with the TMT’s gender diversity: the time spent in group meetings is higher when the TMT is homogeneous in gender, while CEOs prefer bilateral meetings when the TMT is heterogeneous.     

Top management teams within multinational corporations: Effects of cultural heterogeneity

This research examined the relationship of cultural heterogeneity with team and organizational performance, as mediated by selected aspects of group processes. The study was done with top management teams (TMTs) in international subsidiaries of multinational corporations (MNCs). It was found that cultural heterogeneity within the TMT is positively related to both the level of issue-based conflict the team experiences and to TMT performance. The TMT performance and the subsidiary's performance were positively related. Issue-based conflict affected negatively TMT performance but had a positive effect on subsidiary performance. The hypothesis that cultural heterogeneity would be negatively related to TMT cohesion was not supported. The results provide general support for the importance of cultural heterogeneity for the functioning of TMTs and their international subsidiaries.     

A path analytic study of the effect of top management support for information systems performance

Information systems (IS) have become a vital component of an organization's competitive practices. Organizations have tried to differentiate themselves based on their use and adaptation of new information technology. Top management support (TMS) is a significant factor in influencing the effectiveness of the IS function in an organization. The literature has conceptually supported this notion, but empirical evidence has been sparse. This paper develops a two-tiered framework for studying the relationship between top management support, the IS function, and IS performance. This conceptual model was empirically tested using structural equation modeling based on data collected through a survey instrument. The results support the direct and indirect relationships depicted in the model between top management support and IS performance.     

创业导向与创新绩效：高管团队特征和市场动态性的影响

创业导向对创新绩效的提升具有重要的影响,但创业导向与创新绩效的关系还可能受高管团队特征和市场动态性的影响。根据基于注意力的观点,对创业导向、创新绩效、高管团队的异质性、高管团队的共同愿景和市场动态性的关系进行研究,探讨高管团队的异质性和共同愿景对创业导向与创新绩效关系的调节作用,并进一步研究这种调节作用是否受市场动态性的影响。利用在广东、江苏、山东、陕西和河南5地收集的264份调查问卷,采用多元线性回归和调节效应的检验方法对研究假设进行实证检验。研究结果表明,创业导向对创新绩效有正向促进作用,高管团队的异质性有助于加强创业导向与创新绩效的关系。在稳定的市场环境下,高管团队的异质性对创业导向与创新绩效关系的调节效应更强;在不考虑环境动态性和环境动态性较低的情况下,高管团队的共同愿景对创业导向与创新绩效关系的调节效应不显著,但在动态性较高的市场环境下,可以显著地正向调节创业导向与创新绩效的关系。     

The shared leadership of teams: A meta-analysis of proximal,distal, and moderating relationships

The current meta-analysis examines the relationship between shared leadership and team performance. It also assesses the role of team confidence (i.e., collective efficacy and team potency) in this relationship. Mediation analyses supported the hypothesis that team confidence partially mediates the effects of shared leadership on team performance. We also found support for the notion that shared leadership explains unique variance in team performance, over and above that of vertical leadership. Furthermore, a variety of substantive continuous and categorical variables were investigated as moderators of the shared leadership–team performance relationship. Specifically, the relationship between shared leadership and team performance was moderated by task interdependence, team tenure, and whether performance was objectively versus subjectively measured. Finally, results suggest that the approach used when measuring shared leadership can also play a role in the observed validity. Theoretical and practical implications of these findings are discussed.     

我国上市公司的实证研究：股权结构和高层梯队与公司绩效的关系

分析了股权结构和高层梯队对公司绩效的影响并进行了实证研究。股权结构与公司绩效的实证结果显示,流通股对公司绩效有显著负面影响,而法人股则与之呈弱的正相关关系。在国有股权控股的企业中,股权一定程度上的集中对公司是有利的,且政府直接控股比间接控股更有利于企业的整体价值。在论证高层梯队与公司绩效关系上,从团队的传记性特征方面作了实证分析,初步得出了公司绩效与高层梯队平均年龄和平均受教育状况正相关,而与年龄和教育背景的差异性呈负相关关系这一结论。此外,在不同股权结构下,高层梯队对公司绩效影响具有差异性。     

The Effects of Top Management Team Pay and Firm Internationalization on MNC Performance

We examine relationships among top management team (TMT) compensation, a firm’s degree of internationalization (DOI), and its subsequent levels of market and accounting performance. Consistent with our contingency view of information-processing theory, we find that non-CEO total pay and the use of long-term incentive pay are positively associated with subsequent performance, whereas the CEO-TMT total pay gap has negative effects on firm performance. CEO pay has no relationship with performance and TMT pay effects are much stronger in MNCs with high DOI.     

Employees’ reactions to customer mistreatment: The moderating role of human resource management practices

This study examined the moderating roles of human resource management (HRM) practices in employees’ reactions to customer mistreatment. Drawing upon the job demands-resources (JD-R) model and stress appraisal theories, this study hypothesised that training and participation could buffer the negative effect of customer mistreatment on service employees’ work outcomes (i.e. emotional exhaustion and job performance). Data were collected from 730 service representatives and their team leaders at two time points. Results showed that customer mistreatment was less positively related to emotional exhaustion in teams where employees were provided with more participation opportunities, and customer mistreatment was less negatively related to performance in teams where employees received more training. The results suggest that different types of HRM practices could effectively buffer the negative impact of customer mistreatment on different work outcomes for service employees. Theoretically, this study extends the customer mistreatment literature by demonstrating the importance of studying HRM practices in the customer mistreatment context, and supports the integration of JD-R model as an overarching framework and stress appraisal theories as an explanatory theory to understand the role of HRM practices. Practically, the findings provide implications to managers in protecting employees from customer-related interpersonal stressors and maintaining a healthy and productive workforce.     

Diverse effects of diversity: Disaggregating effects of diversity in global virtual teams

Global Virtual Team (GVT) member diversity provides many advantages but also poses many challenges. Diversity comes in different forms that each has different effects on GVT dynamics and performance. Past research typically explored the effect of only one type of diversity at a time. Using multi-source, multi-wave data from 5728 individuals working in 804 consulting project GVTs, the present study is unique in that it explores and compares the effects of different forms of team member diversity on different aspects of GVT effectiveness in a single sample. It proposes a refined theoretical model that differentiates between the effects of personal versus contextual diversity and articulates how these distinct forms of diversity affect different aspects of GVT effectiveness (i.e., task outcomes versus psychological outcomes). The results reveal that (1) team member diversity in general has a substantial effect on GVT effectiveness; (2) contextual diversity has a positive effect on task outcomes; and (3) personal diversity has a negative effect on psychological outcomes. Implications for practice and future research are discussed.     

Flow management and its impacts on operational performance

Based on the organisational capability perspective and the concept of flow management, this study examines the inter-relationships between the management of five flows (human, information, decision, logistics and production flows) and their effects on operational performance. The research model was empirically tested using data from 321 Australian companies. The results show that human flow management (HFM) has a positive effect on the management of the other four flows. Further, information flow management (IFM) is positively associated with logistics flow management (LFM), whereas decision flow management (DFM) is positively associated with both production flow management (PFM) and LFM. The results also show that HFM, PFM and LFM can improve operational performance directly, whereas IFM and DFM only enhance operational performance indirectly. Our findings contribute to flow management theories and practices.     

Does task-related conflict mediate the board gender diversity–organizational performance relationship?

The board gender diversity–organizational performance relationship has been criticized for the absence of tests of the underlying mechanisms of this relationship. This study aims to empirically investigate whether task-related conflict – one of the prime theorized mechanisms of board diversity – indeed mediates this relationship. Consistent with the literature, we theorize how board gender diversity affects task-related conflict, and how task-related conflict in turn affects organizational performance. We test our hypotheses in the Dutch water authority sector 2009–2014, where we have access to the detailed board meeting minutes of 27 organizations. Our results find support for a partial mediating effect of task-related conflict in the board gender diversity–organizational performance relationship. We conclude by discussing the implications for the board gender diversity literature.     

高层管理团队协作需要、薪酬差距和企业绩效:竞赛理论的视角

本文基于竞赛理论发展出高层管理团队协作需要、薪酬差距与企业绩效之间关系的理论假说,并利用2001年到2004年我国264家上市公司年报数据进行了实证研究.研究结果表明,高管团队薪酬差距对于企业绩效的影响是负向的,不支持竞赛理论的预期,而技术复杂性、企业规模和薪酬差距的交互项对公司绩效有正向影响,团队协作需要的调节效应得到部分支持,符合竞赛理论的预期.协作需要对高管团队薪酬差距的影响也部分支持了竞赛理论的预期.因此,研究表明由于文化的差异,竞赛理论对我国企业高管团队薪酬差距的解释能力是有限的,这也为企业管理团队薪酬的制度设计带来政策启示.     

Collective voice mechanisms,HRM practices and organizational performance in Italian manufacturing firms

The literature on employee voice has grown enormously over the past decades. However, the relationships between different employee voice mechanisms and organizational performance are far from being fully understood, and the existing research shows mixed evidence. Moreover, the HRM literature tends to concentrate on individual voice mechanisms (e.g. employee involvement) and to underestimate the role that collective voice may have in the HRM performance relationship. This paper aims to analyze how collective employee voice mechanisms (i.e. union voice and team voice) affect organizational productivity and how these relationships vary when voice mechanisms are adopted in combination with other HRM practices (i.e. variable pay, training, performance appraisals and multitasking). The analysis of a sample of 223 Italian manufacturing firms matched with an external database (AIDA) containing balance sheet information found that union voice is positively related to labor productivity, while team voice does not show any significant relationship with labor productivity. Moreover, both union and team voice have important moderation effects in the HRM-performance relationship. Union voice moderates positively the relationship between variable pay and performance and negatively the relationship between training and performance. Team voice positively moderates the relationship between training and performance. The implications of these findings are discussed.     

Women in Upper Echelons of Management,Tenure and Legal Risk

Integrating risk, gender diversity and upper echelons literatures, we examine whether the presence of women in upper management (top management team (TMT) and board of directors (BOD)) and the tenure of TMTs and BODs are associated with the risk of lawsuits. An analysis of data from firms in the US retail industry shows that the presence of women in TMTs and BODs and the tenure of TMTs and BODs are negatively associated with legal risk, but longer tenured BODs with more women had a positive impact on lawsuits. Implications and suggestions for future research are offered.     

信息化中高层支持的维度表现以及影响因素分析——一个本土案例研究

通过本土扎根研究对高层支持的维度组成以及影响因素进行探索性分析.提出一个基于本土管理实践的框架模型,目的在于进一步理解信息化变革中的高层行为并为变革提供一定程度的理论支持.研究结果发现,高层支持主要包括资源支持、变革支持等几个重要维度;环境压力、技术优势、管理压力是影响高层支持的重要原因.企业家精神作为调节变量会调节上述自变量与高层支持间的关系.     

Managing Nationality Diversity: The Interactive Effect of Leaders’ Cultural Intelligence and Task Interdependence

In light of the workforce's increasing nationality diversity, our study explores the antecedents for the successful management of nationality diversity as visualized in a favourable diversity climate and enhanced team performance. We propose a double‐contingency model in which we argue that the effects of nationality diversity will be dependent upon task interdependence and leaders’ cultural intelligence. We propose that nationality diversity will be more consequential in more interdependent teams, in which team interactions and processes are more salient. Moreover, team leaders with higher cultural intelligence will possess the skills to foster adequate team processes and thereby enhance diversity climate and performance of nationally diverse, more interdependent teams. We collected multi‐source data from 63 work teams (N = 410) and their supervisors at a German facility management company. Moderated regression analyses supported the hypothesized three‐way interaction between nationality diversity, task interdependence and leaders’ cultural intelligence. Additional simple slope analysis showed that nationality diversity is positively related to diversity climate and performance only when both team leaders’ cultural intelligence and task interdependence are high. Our study not only provides recommendations for successful nationality diversity management but also yields theoretical implications for diversity and cultural intelligence research.