In this article, the authors examine antecedents and consequences of the service climate in boundary-spanning self-managing teams (SMTs) that deliver financial services. Using data from members of 61 SMTs and their customers, the authors show a differential impact of the SMT service climate on various marketing performance measures. Furthermore, they obtain support for independent group-level e…
Although research has long focused on the consequences of leaders' charismatic behavior, the antecedents of such leadership are increasingly gaining scholarly attention. Nevertheless, the antecedent-oriented literature on charismatic leadership has been fragmented to date and lacks theoretical integration. Also, important gaps remain within this developing line of inquiry. Therefore, this artic…
When products fail or companies behave negligently, customers' perceptions and purchasing decisions will be adversely affected. Executives get that. But they're much more likely to be caught off guard by how far-reaching the aftershocks of a scandalous situation can be--and how varied the degrees of blame may be among the players involved. Clearly, scandals can very easily extend beyond the ori…
How do I find innovative people for my organization? And how can I become more innovative myself? These are questions that stump senior executives, who understand that the ability to innovate is the secret sauce of business success. Unfortunately, most of us know very little about what makes one person more creative than another. In searching for answers, we undertook a six-year study to uncove…
The problem is that a peaceful, harmonious workplace can be the worst possible thing for a business, according to consultancy eePulse, which conducts in-depth surveys that measure employee engagement. Complacency, in fact, is the single greatest predictor of poor company performance. The second greatest? An environment in which employees are overwhelmed. In the first case, employees are relucta…
Big companies are much better at incremental innovation than they are at radical innovation. That's as true now as it was 20 years ago, despite countless programs aimed at strengthening innovation capabilities. To understand why, researchers at Rensselaer Polytechnic Institute studied 21 large companies' efforts to build a capability for breakthrough innovations over several years. They found t…
History shows that the companies that continue to invest in their innovative capabilities during tough economic times are those that fare best when growth returns. In a challenging business climate, focus is crucial. But companies face a real dilemma: how to maintain that focus and manage costs tightly while keeping growth options alive for the future. Deferring or canceling less promising init…
This article presents a historical review of how inconsistency in assessment center ratings have been regarded among AC researchers and practitioners, then compares these perspectives to views of inconsistency found in personality psychology. Based on this review, the authors argue for a return to the study of consistency as an individual difference, rather than as a simple measurement error. T…
To many executives, it might seem like a shrewd move in a recession to swoop in and acquire firms on the cheap--buy low, cut costs, and defy the usual prediction that most mergers will fail to produce economic value in their first two years. And there's a grain of truth to that assumption. While M&A activity has been severely depressed since 2008 and fell dramatically in early 2009, acquiring c…
Assuming a new leadership role is hard even in the best of circumstances: relationships are undefined, routines are unfamiliar, and expectations are often unclear. Now imagine yourself heading up a new unit or project in a corporate and national culture radically different from your own. To strengthen their CVs, many ambitious executives willingly learn new languages, uproot their families, and…
We don't live in the world for which conventional risk-management textbooks prepare us. No forecasting model predicted the impact of the current economic crisis, and its consequences continue to take establishment economists and business academics by surprise. Moreover, as we all know, the crisis has been compounded by the banks' so-called risk-management models, which increased their exposure …
It's October, and if you're an American sports fan, you're probably choosing sides in the upcoming World Series--the culmination and champion crowner of Major League Baseball's seven-month season. But are you reflecting on what you as a manager could learn from the winning team? When you think about it, a corporate executive on the hook for delivering growth-fueling innovation has much in commo…
Team members, often unwittingly, routinely undermine one another and thus their team's across-the-table strategies. We studied 45 negotiating teams from a wide array of organizations, including ones in the finance, health care, publishing, manufacturing, telecom, and nonprofit sectors. And they told us their biggest challenges came from their own side of the table. Drawing on the lessons learne…
Beneath the current economic crisis lies another crisis of far greater proportions: the depreciation in companies of community - people's sense of belonging to and caring for something larger than themselves. Government stimulus programs and the rescue of the biggest and sickest corporations will not alone resolve the problem. Companies need to reengage their people. The practice of both manage…
In 1893, American historian Frederick Jackson Turner declared that a frontier isn't just a place; it's also the process of adaptation and change that shifting borders force on people and institutions. The young Wisconsin professor was describing the role that the frontier had played for three centuries in creating the American nation, but the Turner thesis applies to modern business, too. Over …
As our worldwide transportation network become less and less able to support the demands of a global economy, we're heading straight into a crisis. Few executives realize the magnitude of the challenges that are about to hit them. Even fewer are investing to reduce transportation costs, improve logistics, and gain an advantage..Printed journal
We are now paying a terrible price for our unblinking faith in the power of the invisible hand. We're painfully blinking awake to the falsity of standard economic theory - that human being are capable of always making rational decisions and that markets and institutions, in the aggregate, are healthily self-regulating. We are finally beginning to understand that irrationality is the real invisi…
As the United States strives to recover from the current economic crisis, it's going to discover an unpleasant fact: The competitiveness problem of the 1980s and early 1990s didn't really go away. It was just hidden during the bubble years behind a mirage of prosperity, and all the while the country's industrial base continued to erode. Now, the U.S. will finally have to take the problem seriou…
The successful consumer-oriented companies in coming years will be those that can figure out how to make do without the former life of the economic party: the monthly payer. To win over newly tightfisted, debt-averse consumers, companies will need to follow the the path of firms that succeeded in previous downturns by promoting value and utility over luxury and brand..Printed journal