Session 169

The Role of Attention in Organizational Processes (Evaluation, Promotion, Innovation and Growth)

Track H

Date: Monday, October 5, 2015

Track P

Time: 13:45 – 15:00

Paper

Room: Governor's Square 12


Session Chair:

  • William Ocasio, Northwestern University

Title: An Attention-Based Theory of Firm Growth

Authors

  • John Joseph, University of California, Irvine
  • Alex Wilson, University of Minnesota

Abstract: This paper develops an attention-based view of firm growth. Most studies based on Penrose’s work have focused on managerial resources or outcomes that result from applying the firm’s heterogeneous resources and capabilities to new opportunities. We train our theoretical lens on those opportunities and problems to which organizations actually attend. We argue that attention to issues is a growth engine and that both the emergence of issues increases the firm’s growth rate through formation of new divisions. Also, we suggest that such coupling among units has important implications for divisional growth. To support and augment this theory, we use an example from our qualitative work at Motorola and supplement it with topic modeling analysis of technical issues drawn from firm patents. We conclude with suggestions for future research.

Title: Network Stars and the Attention Paradox

Authors

  • Francesco Ciabuschi, Uppsala University
  • Philip Kappen, Copenhagen Business School
  • Diego Stea, Copenhagen Business School

Abstract: The first contention of this paper is that network advantage, in terms of promotion rates, is dependent on whether ego’s network originates from ties that vertically cross formal organizational boundaries. The second contention is that network stars that are highly visible to decision makers at higher levels of the organization run the risk of being held back from promotion in order to preserve the status quo. We find that managers at lower organizational levels (subsidiary managers) that have strong network opportunities with higher levels of the organization (HQ managers) enjoy faster promotion rates. However, when these managers are highly visible to the HQ, they are less likely to be promoted as it is in the HQ’s best interest to maintain them in their current positions.

Title: Not All Ratings Are Created Equal: How Analyst Heterogeneity Influences Firms' Strategic Investments

Authors

  • Ram Ranganathan, University of Texas at Austin
  • Wei Yang, University of Texas at Austin

Abstract: Studies examining the influence of institutional intermediaries suggest that firms that depart from category-level expectations are penalized and firms respond to these pressures by category-conforming actions. In contrast, evidence indicating heterogeneity in within-industry firm strategy choices is abundant, suggesting that institutional pressures are not uniformly prevalent upon all firms in a category. We posit a resolution for this paradox by suggesting that intermediaries that confer ratings and legitimacy, are not homogeneous - as intermediary-firm dyadic characteristics vary, intermediary evaluations impose heterogeneous influences on firms. In the context of securities analysts, we find that a firm responds more to negative ratings when they are from higher reputation analysts, from analysts following higher volatility firms, and from analysts more focused on the firm.

Title: The Attention-based View or Balancing Exploitation and Exploration? A Comparative Test

Authors

  • Guangliang Ye, Southwestern University of Economics and Finance
  • miaojie yu, Peking University
  • Wanrong Hou, University of Texas-Pan American
  • Richard Priem, Texas Christian University

Abstract: The attention-based view (ABV) and exploration-exploitation “balancing” (EEB) suggest opposite approaches for achieving high firm performance. We propose that advertising investments to exploit existing products and R&D investments to explore for new products offer one possible comparative test of the ABV and EEB. If advertising and R&D investments are substitutes for one another in influencing firm performance, ABV is supported. EEB, on the other hand, would be supported if advertising and R&D are complements. Our sample of Chinese manufacturing firms finds support for the ABV and secondary support for EEB, indicating that these relationships are more complicated than we had anticipated. The implications are discussed.

All Sessions in Track H...

Sun: 08:00 – 09:15
Session 22: On Boxes, Arrows and Multiple Case Studies
Sun: 09:45 – 11:00
Session 23: Simple Rules and Other Seminal Contributions
Sun: 11:15 – 12:30
Session 24: Tribute to Kathleen Eisenhardt
Sun: 16:15 – 17:30
Session 113: Serial Acquisitions: Strategies and Processes
Session 154: Processes of Capability Development, Rejuvenation and Erosion and their Interplay with Strategy
Sun: 17:45 – 00:00
Session 316: Strategy Process Business Meeting
Mon: 08:00 – 09:15
Session 162: Strategy Formation Processes
Mon: 11:15 – 12:30
Session 210: M&A/JV Implementation
Mon: 13:45 – 15:00
Session 169: The Role of Attention in Organizational Processes (Evaluation, Promotion, Innovation and Growth)
Mon: 16:45 – 18:00
Session 134: Leading change implementation processes
Tue: 08:00 – 09:15
Session 135: Micro-processes for developing dynamic capabilities
Session 212: Initiative Generation, Opportunity Sensing, Decision and Change Processes: The Role of Context and Cognition
Session 255: Processes for Innovation and Ideation
Tue: 11:00 – 12:15
Session 211: Cognition, Discourse and Innovation Dynamics within and across Organizations
Tue: 14:15 – 15:30
Session 275: External Interface Processes and their Consequences
Tue: 17:30 – 18:45
Session 165: Strategic Change: The Role of Cognition and Affect/Emotions

All Sessions in Track P...

Sun: 08:00 – 09:15
Session 281: Models and Evidence in Behavioral Strategy
Sun: 09:45 – 11:00
Session 280: Neuro-science in Behavioral Strategy Research
Sun: 11:15 – 12:30
Session 282: The Origins and Future Development of Behavioral Strategy
Sun: 16:15 – 17:30
Session 77: Organization Level Cognition
Sun: 17:45 – 00:00
Session 325: Behavioral Strategy Business Meeting
Mon: 08:00 – 09:15
Session 72: External Influences: Audiences and Media
Session 83: Behavioral Strategy at the Firm Level
Mon: 11:15 – 12:30
Session 68: Behavioral Theory & Learning
Mon: 13:45 – 15:00
Session 69: Problematizing Categories: Performance, Audiences, Innovation and Status
Session 169: The Role of Attention in Organizational Processes (Evaluation, Promotion, Innovation and Growth)
Mon: 16:45 – 18:00
Session 85: Governance
Tue: 08:00 – 09:15
Session 80: Business Models and Innovation
Tue: 11:00 – 12:15
Session 70: CEO Characteristics: Microfoundations of Behavioral Strategy
Tue: 14:15 – 15:30
Session 71: Upper Echelons and Individual Decision Makers
Session 75: Organizational identity
Tue: 15:45 – 17:00
Session 79: Cognition, Identity and Search
Tue: 17:30 – 18:45
Session 84: Competitors and Other External Forces


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