Transformational leadership, corporate cultism and the spirituality paradigm: An unholy trinity in the workplace?

Leadership is a perennially popular topic in the academic and practitioner literature on management. In particular, the past twenty years have witnessed an explosive growth of interest in what has been termed 'transformational leadership' (henceforth, TL). The theory is closely linked to the growth in what has been defined as corporate culturism - an emphasis on the importance of cohereat cultures, as a means of securing competitive advantage. This article outlines the central components of TL theory, and subjects the concept to a critical analysis. In particular, similarities are identified between the components concerned and the characteristics of leadership practice in organizations generally defined as cults. This connection has been previously unremarked in the literature. These similarities are comprehensively reviewed. Trends towards what can be defined as corporate cultism in modem management practice are also discussed. We conclude that TL models are overly concerned with the achievement of corporate cohesion to the detriment of internal dissent Such dissent is a vital ingredient of effective decision-making. It is suggested that more inclusive and participatory models of the leadership process are required.

Corporate stadium sponsorships, signaling theory, agency conflicts, and shareholder wealth

Contrary to the plethora of critical articles recently appearing in both the popular and business press, this carefully controlled investigation of 49 stadium- and arena-naming-rights agreement announcements provides striking evidence that such sponsorships can significantly enhance the stock prices of sponsoring companies. Indeed, the results of the study show that the average stadium sponsor's stock prices increased by 1.65 percent at the time of announcement of the programs-a result considerably in excess of the returns associated with other major marketing programs such as the signing of Olympic sponsorships and celebrity endorsers. A multiple regression analysis employing firm-specific changes in stock prices as the dependent variable and quantifiable corporate and sponsorship-related attributes as independent variables is also presented. Variables positively and significantly correlated with perceived sponsorship success include team-winning percentages, contract length, and high technology and locally based companies. Overall, the findings of the study are consistent with the novel hypothesis that, for some firms, the real value-added of a stadium sponsorship may lie in its ability to serve as an effective or honest signal of managerial confidence in the future of the company.

Corporate rumor activity, belief and accuracy

An integrated model relating workplace rumor activity, belief, and accuracy is proposed and tested. Senior VPs of Communications from a sample of Fortune-500 corporations and CEOs of established public relations firms were surveyed regarding rumor episodes that they had experienced. Results confirmed previous research on the role of uncertainty, anxiety, and belief in rumor activity. In addition, a reduced sense of control mediated the effects of uncertainty on anxiety, and anxiety mediated the effects of importance on rumor activity. Evidence was found for the roles of group bias in how strongly a rumor is believed. Rumor activity was also implicated in the formation of more accurate rumors. The significance of these results for rumor theory and for Public Relations practitioners is presented. (C) 2002 Elsevier Science Inc. All rights reserved.

Managing Organisational Writing to Enhance Corporate Credibility

Many employees neither trained as career writers nor defining themselves as writers spend a major part of their time writing because, undeniably, writing is a central activity in organizations. To produce the high quality required to create and maintain credibility, organizations need to have professionals who can efficiently produce documents with substance, structure and style. This paper discusses issues relating to the management of corporate writing and editing, and presents practices and processes that managers can implement in their organizations to produce flawless documents, thereby avoiding the credibility crises that occur when writing is not taken seriously.

Board composition and corporate performance: How the Australian experience informs contrasting theories of corporate governance

In many respects, Australian boards more closely approach normative best practice guidelines for corporate governance than boards in other Western countries. Do Australian firms then demonstrate a board demographic-organisational performance link that has not been found in other economies? We examine the relationships between board demographics and corporate performance in 348 of Australia's largest publicly listed companies and describe the attributes of these firms and their boards. We find that, after controlling for firm size, board size is positively correlated with firm value. We also find a positive relationship between the proportion of inside directors and the market-based measure of firm performance. We discuss the implications of these findings and compare our findings to prevailing research in the US and the UK.