Rethinking reward

In this book, the top specialists in each aspect of reward focus on the issues of the moment, they also identify the most significant areas of change incorporating the latest research and challenge conventional thinking, providing a truly critical perspective. An invaluable addition for both practitioners and sophisticated students.

Dynamic evolution in information sharing networks

This study examines the roll-out of a collaborative information repository or 'knowledge-base' in a medium-sized UK professional services firm over a six year period. Data from usage logs provides the basis for analysis of the dynamic evolution of social networks around the depository during this time. The adoption pattern follows an 's-curve' and usage exhibits something of a power law distribution, both attributable to network effects and network opposition is associated with organisational performance on a number of indicators. But periodicity in usage is evident and the usage distribution displays an exponential cut-off. Fourier analysis provides some evidence of mathematical complexity in the periodicity. Some implications of complex patterns in social network data for research and management are discussed.

Interlocking directorships

[Introduction] When a director of one company at the same time serves on the board of another company, the two companies are said to be interlocked by that director. Through this linkage each company has potential access to information about the activities of the other, either explicitly as intelligence transferred by the director or implicitly in shaping the director’s perspective and general views. Director interlocks formed by executive directors, employed by the firm, are generally interpreted as more instrumental for the firm than those formed by non-executive directors. Firms are often interlocked with more than one other firm and those firms, in turn, with others; a web of social relationships envelops business.

Theories of the state

[Introduction] The recent, unparalleled ascendancy of the liberal democratic state may seem to render alternative theories of the state redundant. But while the prevailing view might be that “I have seen the future, and it works”, it was not so long ago that this was said about a very different type of state. And while the liberal democratic state is an abundant form of government, in practice this often reflects an uneasy compromise of conflicting conceptions of politics. It thus remains important to unpick the theoretical underpinnings of conceptions of the state.

Isomorphic effects of managerial and directoral career paths

The extensive array of interlocking directorate research remains near-exclusively cross-sectional or comparative cross-sectional in nature. While this has been fruitful in identifying persistent structures of inter-organisational relationships evidence of the impact of these structures on organisational performance or activity has been more limited. This should not be surprising because, by their nature, relationships have strong longitudinal and dynamic qualities that are likely to be difficult to isolate through cross-sectional approaches. Clearly, managerial practice is inevitably strongly conditioned by the specific contingencies of the time and the information available through networks of colleagues and advisers (particularly at board level) at the time. But managerial and directoral capabilities and mental sets are also developed over time, particularly through previous experiences in these roles and the formation of long-lasting 'strong' and 'weak' relationships. This paper tests the influence of three longitudinal dimensions of managers and directors' relationships on a set of indicators of financial performance, drawing from a large dataset of detailing historic board membership of UK firms. It finds evidence of isomorphic processes through these channels and establishes that the longitudinal design considerably enhances the detection of performance effects from directorate interlocks. More broadly, the research has implications for the conception of collective action and the constitution of 'community'.

Journal citation among heterodox economists 1995-2007: Dynamics of community emergence

Purpose – This study aims to investigate the pattern among 17 heterodox economic journals over a prolonged period to provide evidence about the social dynamics among the group of researchers who publish in them and the extent to which they hold or develop a collective identity as heterodox economists. Design/methodology/approach – Traditional approaches to citation analysis are extended by the use of techniques from social network analysis. In addition to citation counts, measures of network position and clique membership are used to identify key journals and turning points in a longitudinal analysis. Findings – Important shifts in the nature of citation within the network of journals are identified in the 1998-2001 period and evidence is found of the emergence of a collective identity. Research limitations/implications – The methods prove a valuable extension of citation analysis and also focus greater consideration on the social relationships that citations represent. They are well suited to addressing the principal limitation of the study, its restriction to journals within the defined community rather than journals in general. Originality/value – This extends traditional approaches to citation analysis, provides an important new technique in identifying emergent collective identities and provides insight into the history and nature of the heterodox economic community.

Managing the supply side for product development in China: a Guanxi network approach

Based on the IMP research tradition this paper regards relationships and networks as key issues in the product development and supply management agenda. Within business networks, co-development is only possible to be analysed when emphasis is placed on interdependences and interactive relationships. Co-development usually implies close relationships that allow companies to rely on each other's resources. Close relationships imply interdependences, which may improve companies' technical and product development. By looking at the actual interactions - between a UK company and its Chinese suppliers - that led to an innovative solution and a successful product launch, evolving relationship patterns are identified and analysed in a case study. Both the literature review and case study findings highlight the importance of the 'guanxi' concept (meaning interpersonal relationships in Mandarin) when analysing business-to-business networks in China. Hence, it is suggested that guanxi-based thinking and acting should be incorporated into the interaction model when considering business networking that embrace China. 'Guanxi' broadens the validity of the interaction model, in terms of geographical proximity, and deepens its theoretical base. The case study provides valuable insights for supply management under a product development context in China. In practice, the main point of interest is that Chinese suppliers are important 'resource' providers as well as 'network' providers. Hence, it is suggested that guanxi practice should be reflected into theoretical developments.

Profitability and the poor: corporate strategies, innovation and sustainability

Based on empirical evidence, the article looks at the implications of private sector participation (PSP) for the delivery of water supply and sanitation to the urban and peri-urban poor in developing countries, with particular reference to Africa and Latin America. More precisely, the article addresses the impact produced by multinational companies’ (MNCs) strategies, in light of the pursuit of profitability, on the extension of connections to the pipeline network. It does so by questioning the assumptions that greater private sector efficiency and innovation, together with contract design, will enable the sustainable extension of service coverage to low income dwellers. The strategies of the major water MNCs are considered both in relation to the global expansion of their operations and the adjustment of local strategies to commercial considerations. The latter might result in identifying proWtable markets, modifying contractual provisions, attempting to reduce costs and increase income, reducing risks and exiting from non-performing contracts. The evidence reviewed allows for re-assessing the relative roles of the public and private sectors in extending and delivering water services to the poor. First, the most far reaching innovative approaches to extending connections are more likely to come from communities, public authorities and political activity than from MNCs. Secondly, whenever MNCs are liable to exit from non-profitable contracts, the public sector has no other option than to deal with external risks aVecting continuity of provision. Finally, market limitations affecting MNCs’ ability to serve marginal populations and access cheap capital do not apply to well-organised, politically led public sector undertakings

Globalising knowledge

The technology enablers of Friedman’s Flat World have made enormous differences to knowledge creation and sharing. The disaggregation of supply chains has been followed by the partial disaggregation of knowledge supply chains as some knowledge producers set up innovation centres in various locations around the world. But there is considerable evidence that instead of a flat world distribution of knowledge production there are hubs of innovation and knowledge creation developing in a relatively limited number of locations around the world. This paper discusses this clustering effect and looks at some of the possible explanations. In particular it looks at the human and social aspects of knowledge creation and sharing that resist distance and are starting to be taken into account in the design of technological approaches to knowledge management.

Private equity and employment - the Davos/WEF/Harvard study

The World Economic Forum at Davos has published a major study showing that workplaces of firms taken over by private equity have 10% less employees 5 years after the takeover, than other similar workplaces. The rate of plant closures, opening, acquisitions and disposals is twice as high as in other firms, and the net effect is still a job loss of 3.6%-4.5% after only 2 years, compared with other firms. Firms taken over by private equity are also more likely to go bankrupt than publicly quoted firms.

Private equity: financial investors, public services, and employment

The report surveys the activity of private equity and other financial investors in the water, waste and healthcare sectors in Europe. It includes the appraisal of a WEF study on employment effects.