E-Book, Englisch, 271 Seiten, eBook
Kirschkamp A Contingency-Based View of Chief Executive Officers' Early Warning Behaviour
2008
ISBN: 978-3-8350-5504-9
Verlag: Deutscher Universitätsverlag
Format: PDF
Kopierschutz: 1 - PDF Watermark
An Empirical Analysis of German Medium-Sized Companies
E-Book, Englisch, 271 Seiten, eBook
Reihe: Research in Management Accounting & Control
ISBN: 978-3-8350-5504-9
Verlag: Deutscher Universitätsverlag
Format: PDF
Kopierschutz: 1 - PDF Watermark
Andreas Kirschkamp empirically analyses the early warning behavior of Chief Executive Officers in German medium-sized companies. First, he presents the design variables of early warning, then the influencing contingency variables. On the basis of the scholarly research on psychological and contingency theory, the author deduces hypotheses and tests them.
Dr. Andreas Kirschkamp promovierte bei Prof. Dr. Utz Schäffer am Lehrstuhl für Controlling der European Business School, Oestrich-Winkel. Er ist im Bereich Mergers & Acquisitions bei der Verlagsgruppe Georg von Holtzbrinck in Stuttgart tätig.
Zielgruppe
Research
Weitere Infos & Material
1;Foreword;6
2;Preface;8
3;Table of Contents;10
4;List of Figures;16
5;List of Tables;20
6;List of Formulas;26
7;List of Abbreviations;28
8;A Introduction;29
8.1;1 Motivation and Objectives;29
8.2;2 Proceeding and Method;33
9;B Understanding of Early Warning in Literature and Definition of Important Terms;35
9.1;1 German Literature;35
9.1.1;1.1 Frühwarnung, Früherkennung and Frühaufklärung;35
9.1.2;1.2 The Concept of Early Warning by KRYSTEK and MÜLLERSTEWENS;37
9.2;2 English Literature;43
9.2.1;2.1 AGUILAR’s Concept of Environmental Analysis;43
9.2.2;2.2 ANSOFF’s Concept of Weak Signals;44
9.2.3;2.3 Issue Detection;48
9.2.4;2.4 Organizational Information Processing;52
10;C Contingency Theory as an Approach to Explain Early Warning Behavior;55
10.1;1 Basis of the Classical Contingency Theory;55
10.1.1;1.1 Development of the Classical Contingency Theory;55
10.1.2;1.2 Aims and Main Assertions of the Classical Contingency Theory;56
10.2;2 Extension of the Classical Contingency Theory;60
10.3;3 Critical Assessment of the Contingency Theory;64
10.4;4 Application of the Contingency Theory to Early Warning Behavior, Research Model and its Variables;68
10.4.1;4.1 Application of the Contingency Theory to Early Warning Behavior;68
10.4.2;4.2 Selection of Design Variables of Early Warning Behavior and Success Measures;69
10.4.3;4.3 Research Model;74
10.5;5 State of Empirical Research;75
11;D Deduction of Hypotheses;79
11.1;1 Relationship between Environmental Uncertainty and the Design Variables of Early Warning Behavior;79
11.2;2 Relationship between the Personality of the CEO and the Design Warning Behavior Variables of Early;92
11.2.1;2.1 Locus of Control;92
11.2.2;2.2 Tolerance for Ambiguity;96
11.2.3;2.3 Need for Achievement;99
11.2.4;2.4 Risk Propensity;102
11.2.5;2.5 Egalitarianism;103
11.2.6;2.6 Moral Reasoning;105
11.2.7;2.7 Machiavellianism;107
11.2.8;2.8 Trust in People;109
11.3;3 Relationship between Success of Early Warning and Economic Success;110
11.4;4 Overview of Hypotheses;111
12;E Operationalization of the Research Model;115
12.1;1 Basic Aspects of the Operationalization;115
12.2;2 Operationalization of Early Warning Behavior;116
12.2.1;2.1 Scanning;116
12.2.2;2.2 Interpreting;119
12.3;3 Operationalization of Contingency Variables;121
12.3.1;3.1 Environmental Uncertainty;121
12.3.2;3.2 Personality;125
12.4;4 Success;130
12.4.1;4.1 Success of Early Warning;130
12.4.2;4.2 Economic Success;131
13;F Methodological Conception of the Analysis;133
13.1;1 Data Collection and Data Basis ;133
13.1.1;1.1 Data Collection;133
13.1.2;1.2 Data Basis;137
13.2;2 Basis of the Quantitative Analysis;140
13.2.1;2.1 Introduction to Modeling Structural Equations;140
13.2.2;2.2 Basics of Constructs;142
13.2.3;2.3 Selection of Method for Structural Equation Modeling;149
13.2.4;2.4 The Structural Model as Means of Valuating Simple Causal Hypotheses;149
13.2.5;2.5 Moderating Effects as Means of Valuating Alignment Hypotheses;152
13.2.6;2.6 Fit Criteria for Constructs;155
13.3;3 Construct Measuring;161
13.3.1;3.1 Early Warning Behavior;161
13.3.2;3.2 Contingency Variables;166
13.3.3;3.3 Success Measures;173
13.4;4 Cluster Analysis;174
14;G Results of the Empirical Analysis;177
14.1;1 Introductory Analysis;177
14.1.1;1.1 Differences of Perceived Strategic Uncertainty among Sectors;177
14.1.2;1.2 Empirical Assessment of Early Warning Behavior;179
14.2;2 Empirical Valuation of Hypotheses;188
14.2.1;2.1 Fundamental Aspects of the Valuation of Hypotheses;188
14.2.2;2.2 Valuation of Hypotheses within the Context of the Classical Contingency Theory;190
14.2.3;2.3 Valuation of Hypotheses within the Context of the Extended Contingency Theory;199
14.2.4;2.4 Concluding Analysis;212
15;H Final Thoughts and Outlook;223
15.1;1 Summary and Discussion of the Results;223
15.2;2 Critical Assessment and Further Research Possibilities;233
15.3;3 Implications for the Practice;236
16;Appendix;239
16.1;1 Measuring of Composite Constructs;239
16.2;2 Explanatory Contribution of Attitudes for Design Variables of Early Warning Behavior;245
16.3;3 Explanatory Contribution of all Contingency Variables for Design Variables of Early Warning Behavior;246
16.4;4 Questionnaire;247
17;Bibliography;255
Understanding of Early Warning in Literature and Definition of Important Terms.- Contingency Theory as an Approach to Explain Early Warning Behavior.- Deduction of Hypotheses.- Operationalization of the Research Model.- Methodological Conception of the Analysis.- Results of the Empirical Analysis.- Final Thoughts and Outlook.
A Introduction (p. 1)
1 Motivation and Objectives
"Organizations depend on the environment […] and often must cope with unstable, unpredictable external events." They can anticipate these events that affect the organization by early warning, a two-step process that comprises scanning the environment and interpreting these data into information about opportunities and risks for the organization.
"[I]dentifying the opportunities and risks" in the organizational environment gives organizations time and the possibility to survive by changing strategy or structure in order to adapt quickly to new trends or by even influencing these trends. Organizations that are aware of potential risks and chances can use this information and shape the environment or adapt to it. So, they have the possibility to avoid a missing fit between the organizational environment and the strategy of the organization which results in declining performance.
In consequence, it is not surprising that organizations anticipating these potential risks and chances tend to be more successful than competitors which are not aware of them. This process helps organizations to outperform peers and leads to a competitive advantage. Therefore, early warning is perceived as a resource defined as "stocks of available factors that are owned or controlled by the firm" which can be deployed by the company. This is supported by the resource based view that assumes "that sustained superior performance arises from sustainable competitive advantages" caused by firm-specific resources.
The relevance and necessity of this anticipation can be illustrated with examples from companies that anticipated trends and therefore gained market dominance. AMAZON foresaw the relevance of the internet as a distribution channel and DELL new methods of production and storage. Both of them were then able to convert this foresight into a benefit for their customers. Examples of companies that were not able to foresee the future also prove the necessity of early warning. On the larger scale, there is a rising number of insolvencies in countries like Germany. On the smaller scale, there are many examples of companies that failed to notice risks and new trends.
The necessity of early warning systems is also reflected by German law. The KonTraG (Gesetz zur Kontrolle und Transparenz im Unternehmensbereich = Law for Control and Transparency in Business) requires an early warning system for stock corporations. It demands these systems mainly because of two reasons: 1) the fast changing environment and 2) the backward orientation of accounting that therefore does not allow the deduction of reliable conclusions about the future. Although the regulatory demands are not completely concordant with those of the organizations, this law has been a milestone in Germany for its importance on early warning in legislation.
In the context of research on early warning there is first of all an important stream of economic literature that focuses on the phenomenon of environmental scanning. At this moment research has focused on the relationship between environmental uncertainty and specific design variables of scanning behavior. But important questions remain and further research has to be done.
The process of early warning consists of two steps: scanning and interpretation. Although the importance of the second step is stressed in literature, empirical studies have not yet focused on this step. In the context of early warning there are only case studies that tried to explore the way managers interpret the organizational environment.
