Ann Peng, Rebecca Mitchell, and John M. Schaubroeck
In recent years scholars of abusive supervision have expanded the scope of outcomes examined and have advanced new psychological and social processes to account for these and other outcomes. Besides the commonly used relational theories such as justice theory and social exchange theory, recent studies have more frequently drawn from theories about emotion to describe how abusive supervision influences the behavior, attitudes, and well-being of both the victims and the perpetrators. In addition, an increasing number of studies have examined the antecedents of abusive supervision. The studied antecedents include personality, behavioral, and situational characteristics of the supervisors and/or the subordinates. Studies have reported how characteristics of the supervisor and that of the focal victim interact to determining abuse frequency. Formerly postulated outcomes of abusive supervision (e.g., subordinate performance) have also been identified as antecedents of abusive supervision. This points to a need to model dynamic and mutually reciprocal processes between leader abusive behavior and follower responses with longitudinal data. Moreover, extending prior research that has exclusively focused on the victim’s perspective, scholars have started to take the supervisor’s perspective and the lens of third-parties, such as victims’ coworkers, to understand the broad impact of abusive supervision. Finally, a small number of studies have started to model abusive supervision as a multilevel phenomenon. These studies have examined a group aggregated measure of abusive supervision, examining its influence as an antecedent of individual level outcomes and as a moderator of relationships between individuals’ experiences of abusive supervision and personal outcomes. More research could be devoted to establishing the causal effects of abusive supervision and to developing organizational interventions to reduce abusive supervision.
Torben Juul Andersen and Carina Antonia Hallin
Contemporary organizations operate under turbulent business conditions and must adapt their strategies to ongoing changes. Sustainable performance can be achieved when the organization engages in interactive processes that link emerging opportunities to forward-looking analytics. But few organizations are able to practice this consistently. Fast processes performed by managers at the frontline respond to ongoing environmental stimuli and slow processes initiated by managers at the center interpret events and reasons about updated strategic actions. Current experiential insights from the fast processes can be aggregated systematically to inform the slow processes of reasoning. When the fast and slow processes interact they can form a dynamic system that adapts organizational activities to changing conditions.
Lucy L. Gilson, Yuna S. H. Lee, and Robert C. Litchfield
Although creativity research has historically focused on individuals, with more and more employees working in teams, researchers have started to explore the construct of team creativity. Rather than a comprehensive review, this article takes an in-depth look at the most recent team creativity research. To do this, key themes and trends are discussed, which are then tied back to prior reviews, and new avenues for future research are proposed. Team creativity is a challenging construct because it can be conceptualized as both an outcome and a process, and there is no clear definition of either. When considering team creativity as an outcome, research has employed both complex mediation models as well as a more nuanced examination of moderating variables and constructs that may strengthen or attenuate the effects of relationships related to team creativity. This growing avenue of research recognizes the variability in team creativity that is possible in different circumstances and contexts, and seeks to identify what drives different outcomes. These approaches also acknowledge that team creativity is not guaranteed even when enabling conditions are in place, and that other variables may exert forces in different ways.
The recognition that team creativity is unlikely to be the simple sum of members’ creative processes is becoming very apparent, with researchers examining ways of encouraging, fostering, and sustaining creativity in teams over time. Researchers have also recognized that team creativity is more likely to unfurl over time as a process, rather than a discrete point-in-time event. To this end, the key areas examined are the roles of member diversity and leadership. For diversity, racio-ethno, cultural, gender, age, political orientation, and diversity training have all been examined. For leadership, the focus has shifted away from the more traditional transformational theories and to newer constructs such as humility, ethical and shared leadership, as well as what it means to have an ideational leader who facilitates idea generation. Taken together, what the most recent research tells us is that creativity in teams remains a growing and evolving area of inquiry. While no longer unexplored, much remains to be clarified such as the barriers to effective team creativity, and practices that may help transcend these barriers. A lot of promising areas for future research are highlighted, which will become more important as workplaces pivot toward cultivating team creativity in a systematic and intentional way.
Oscar Holmes IV
Despite the term being coined in the early 1990s, heteronormativity is a longstanding and enduring hierarchical social system that identifies heterosexuality as the standard sexuality and normalizes gender-specific behaviors and roles for men, women, and transgender and non-binary individuals. As a system, it defines and enforces beliefs and practices about what is ‘normal’ in everyday life. Although there are many factors that shape heteronormative beliefs and attitudes, religion, the government, education, and workplaces are the principal macro-level factors that normalize and institutionalize heteronormative beliefs and attitudes. These institutions contribute an outsize influence on the perpetuation of heteronormativity in society because these institutions create and inculcate the norms and standards of what are and are not acceptable values, attitudes, beliefs, and behaviors in our society. As such, in order to create effective interventions to eliminate the negative outcomes of heteronormativity, particular attention should be paid to each of these institutions. Parents, relatives, and other adults contribute to the normalization and institutionalization of heteronormativity at the individual- or micro-level. Although some people benefit from the system of heteronormativity (mainly heterosexual cisgender conforming men), much of the research on heteronormativity focuses on the negative outcomes. Heteronormativity is responsible for a host of pernicious outcomes such as lower self-esteem, job satisfaction, and organizational commitment, and greater rates of suicide ideation, verbal and physical abuse, and workplace mistreatment and discrimination. Future research should investigate identify effective micro- and macro-level interventions that could mitigate or eliminate the negative effects of heteronormativity.
Joan V. Gallos
The arts have played a major role in the development of management theory, practice, and education; and artists’ competencies like creativity, inventiveness, aesthetic appreciation, and a design mindset are increasingly vital for individual and organizational success in a competitive global world. The arts have long been used in teaching to: (a) explore human nature and social structures; (b) facilitate cognitive, socioemotional, and behavioral growth; (c) translate theory into action; (d) provide opportunities for professional development; and (e) enhance individual and systemic creativity and capacities for change. Use of literature and films are curricular mainstays. A review of the history of the arts in management teaching and learning illustrates how the arts have expanded our ways of knowing and defining managerial and leadership effectiveness—and the competencies and training necessary for them.
The scholarship of management teaching is large, primarily ‘how-to’ teaching designs and the assessments of them. There is a clear need to expand the research on how and why the arts are and can be used more effectively to educate professionals, enable business growth and new product development, facilitate collaboration and team building, and bring innovative solutions to complex ideas. Research priorities include: the systematic assessments of the state of arts-based management teaching and learning; explorations of stakeholder attitudes and of environmental forces contributing to current educational models and practices; analyses of the learning impact of various pedagogical methods and designs; examining the unique role of the arts in professional education and, especially, in teaching for effective action; mining critical research from education, psychology, creativity studies, and other relevant disciplines to strengthen management teaching and learning; and probing how to teach complex skills like innovative thinking and creativity. Research on new roles and uses for the arts provide a foundation for a creative revisiting of 21st-century management education and training.
The concept of aversive racism has had a significant impact on theory, research, and practice devoted to better understanding bias, discrimination, and persistent disparities based on social identity group such as race, gender, social class, and so on. Originally developed to better explain subtle forms of bias toward racial and minoritized groups, this concept has been extended to understand the impact of disparities in a range of diverse settings, such as intergroup relations, health outcomes, fairness in employment setting, intergroup conflict, educational outcomes, racial bias in policing, experiences of stress and mental health issues, and persistent economic disparities. A core facet of the aversive framework paradigm is that because of human biases that are deeply rooted within a historical context and reinforced by ongoing societal ideologies, unintentional and subtle forms of discrimination emerge and persist. Given that these subtle forms of bias and discrimination exist within otherwise well-intentioned individuals, strategies to eliminate them require understanding the complexity of the aversive racism phenomenon in order to develop effective social interventions.
This article reviews the foundation, research, and impact of this important body of work. In addition, the concept of aversive racism is discussed in connection to emerging research on microaggressions and unconscious (implicit) bias in order to create a more integrated framework that can shape future research and applications. Lastly, practical implications for organizations and future directions are explored, such as using social identity as a theoretical lens, including global perspectives on intergroup bias and leveraging emerging work on intersectionality, as useful perspectives to extend the aversive racism framework. Setting a future agenda for research and practice related to aversive racism is key to greater understanding of how to reduce intergroup bias and discrimination through interventions that cut across traditional academic and discipline boundaries as one approach to create meaningful and long-lasting social impact.
The board of directors serves multiple corporate governance functions, including monitoring management, providing oversight on strategic issues, and linking the organization to the broader external environment. Researchers have become increasingly interested in board interlocks and how content transmitted via these linkages shapes firm outcomes, such as corporate structure and strategies. As influential mechanisms to manage environmental uncertainty and facilitate information exchange, Board interlocks are created by directors who are affiliated with more than one firm via employment or board service and allow the board to capture a diversity of strategic experiences. One critical corporate decision that may be influenced by interlocks and strategic diffusion is diversification (i.e., in which products and markets to compete). Directors draw on their own experiences with diversification strategies at other firms to help guide and manage ongoing strategic decision-making. There is broad scholarship on interlocks and the individuals who create them, with extant research reporting that some firms are more likely to imitate or learn from their interlock partners than others. Prior findings suggest that the conditions under which information is transmitted via interlock, such as an individual director’s experience with diversification strategies at other firms, may make that information more influential to the focal firm’s own strategic decision-making related to diversification. A more holistic framework captures factors related to the individual interlocking director, the board and firm overall and the context surrounding these linkages and relationships, helping to promote future research. Understanding the social context surrounding board interlocks offers opportunities to more deeply examine how these interconnections serve in pursuit of the board’s fundamental purpose of protecting shareholder investment from managerial self-interest. Overall, integrating multi-level factors will offer new insights into the influence of board interlocks on firm strategies on both sides of the partnership. Expanding knowledge of how inter-firm linkages transmit knowledge influential to board decision-making can also improve our understanding of board effectiveness and corporate governance.
Asli M. Colpan and Alvaro Cuervo-Cazurra
Business groups are an organizational model in which collections of legally independent firms bounded together with formal and informal ties use collaborative arrangements to enhance their collective welfare. Among the different varieties of business groups, diversified business groups that exhibit unrelated product diversification under central control, and often containing chains of publicly listed firms, are the most-studied type in the management literature. The reason is that they challenge two traditionally held assumptions. First, broad and especially unrelated diversification have a negative impact on performance, and thus business groups should focus on a narrow scope of related businesses. Second, such diversification is only sustainable in emerging economies in which market and institutional underdevelopment are more common and where business groups can provide a solution to such imperfections. However, a historical perspective indicates that diversified business groups are a long-lived organizational model and are present in emerging and advanced economies, illustrating how business groups adapt to different market and institutional settings. This evolutionary approach also highlights the importance of going beyond diversification when studying business groups and redirecting studies toward the evolution of the group structure, their internal administrative mechanisms, and other strategic actions beyond diversification such as internationalization.
The complexity of modern careers requires personal agency in managing career development and employability capital as personal resources for career success. Individuals’ employability capital also serves as a valuable resource for the sustainable performance of organizations. Individuals’ ability to proactively engage in career self-management behaviors through the use of a comprehensive range of self-regulatory capabilities, known as career metacapacities, contributes to their employability capital. Organizational career development supports initiatives that consider individuals’ proactivity in light of conditions that influence their motivational states, and availability of personal resources helps organizations benefit from individuals who bring information, knowledge, capacities, and relationship networks (i.e., employability capital) into their work that ultimately contribute to the organization’s capability to sustain performance in uncertain, highly competitive business markets. Career development support practices should embrace the individualization of modern-day careers, the need for whole-life management, and the multiple meanings that career success has for individuals.
In a new era of corporate governance defined by increasing shareholder empowerment, scrutiny from external stakeholders, and governance failures, there has been a movement toward redefining corporate governance models and the roles of boards. As a result, researchers and practitioners are left wondering what it means to be an effective board, and how a board can operate in the best interests of a firm’s stakeholders in this current environment. Exploring the expanded roles and demands of directors grounded in shareholder and director primacy debates, as well as reviewing theories and contingencies that link corporate boards to task, group, firm, and enterprise-level outcomes, a research agenda is identified that might better identify the parameters of board effectiveness.
Thomas Donaldson and Diana C. Robertson
Serious research into corporate ethics is nearly half a century old. Two approaches have dominated research; one is normative, the other empirical. The former, the normative approach, develops theories and norms that are prescriptive, that is, ones that are designed to guide corporate behavior. The latter, the empirical approach, investigates the character and causes of corporate behavior by examining corporate governance structures, policies, corporate relationships, and managerial behavior with the aim of explaining and predicting corporate behavior. Normative research has been led by scholars in the fields of moral philosophy, theology and legal theory. Empirical research has been led by scholars in the fields of sociology, psychology, economics, marketing, finance, and management.
While utilizing distinct methods, the two approaches are symbiotic. Ethical and legal theory are irrelevant without factual context. Similarly, empirical theories are sterile unless translated into corporate guidance. The following description of the history of research in corporate ethics demonstrates that normative research methods are indispensable tools for empirical inquiry, even as empirical methods are indispensable tools for normative inquiry.
Elissa L. Perry and Aitong Li
Although defined in numerous and sometimes inconsistent ways in the literature, diversity climate can be described as employees’ shared perceptions of the extent to which their organization values diversity as reflected in the policies, practices, and procedures that the organization rewards, supports, and expects. Diversity climate studied at the individual level (individual perceptions of the impact of the work environment on the individual’s own well-being) is referred to as psychological climate. When it is conceived of and studied at the group or organization level (employees’ shared perceptions of their work environment aggregated to the unit level), it is referred to as group- or organizational-level climate. Two consistent criticisms raised in recent reviews continue to plague diversity climate research. These can most simply be stated as a lack of clarity about what diversity climate is and is not, and inconsistency in how diversity climate is measured and aligns (or does not) with how it has been conceptualized. Despite these criticisms, there is evidence that diversity climate can positively impact individuals’ (especially minority group members’) work-related attitudes (e.g., organizational commitment, satisfaction) and unit-level outcomes (e.g., performance). As a result, diversity climate is both practically relevant to organizations and conceptually meaningful to researchers.
Richard E. Boyatzis
Emotional intelligence (EI) is used in organizational training, coaching, and graduate schools. Despite its acceptance in practical applications, researchers continue to argue about its validity. EI can be defined “as a constellation of components from within a person that enable self-awareness of and management of his/her emotions, and to be aware of and manage the emotions of others.” EI seems to exist at the performance trait or ability, self-schema and trait, and behavioral levels. Based on this multilevel view, all the conceptualizations of EI and the different measures that result are EI. Research on the behavioral level of EI—its assessment, strengths, psychometric validity, and challenges—complements that on other approaches, which have already been the subject of many academic papers.
There has been an “affective revolution” in organizational behavior since the mid-1990s, focusing initially on moods and affective dispositions. The past decade has seen a further shift toward investigating the complex roles played by discrete emotions in the workplace. Discrete emotions such as fear, anger, boredom, love, gratitude, and pride have their own appraisal antecedents, subjective experiences, and action tendencies that prepare people to respond to their current situation. Emotions have intrapersonal effects on the person experiencing them in terms of attention, motivation, creativity, information processing and judgment, and well-being. Some emotions have characteristic voice tones or facial expressions that serve the interpersonal function of communicating one’s state to interaction partners. For this reason, emotions are integral to social processes in organizations such as leadership, teamwork, negotiation, and customer service. The effects of emotions on behavior can be complex and context-dependent rather than straightforwardly mechanistic. Individuals may regulate the emotions they experience, the extent to which they display what they feel, and the actions they choose in response to how they feel.
Research has tended to focus on negative emotions (e.g., anger or anxiety) and their potential negative effects (e.g., aggression or avoidance), but negative emotions can sometimes have positive consequences. Discrete positive emotions have been relatively ignored in organizational research but feeling and expressing positive emotions often have positive consequences. There is considerable scope for investigating the ways in which specific discrete emotions are experienced, regulated, expressed, and acted upon in organizational life. There may also be a case for intentional efforts by organizations and employees to increase the occurrence of positive emotions at work.
Felice B. Klein, Kevin McSweeney, Cynthia E. Devers, Gerry McNamara, and Spenser Blosser
Scholars have devoted significant attention to understanding the determinants and consequences of executive compensation. Yet, one form of compensation, executive severance agreements, has flown under the radar. Severance agreements specify the expected payments and benefits promised executives, upon voluntary or involuntary termination. Although these agreements are popular among executives, critics continually question their worth. Yet severance agreements potentially offer three important (but less readily recognized) strategic benefits. First, severance agreements are viewed as a means of mitigating the potential risks associated with job changes; thus, they can serve as a recruitment tool to attract top executive talent. Second, because severance agreements guarantee executives previously specified compensation in the event of termination, they can help limit the downside risk naturally risk-averse executives face, facilitating executive-shareholder interest alignment. Third, severance agreements can aid in firm exit, as executives and directors are likely to be more open to termination, in the presence of adequate protection against the downside.
Severance agreements can contain provisions for ten possible termination events. Three events refer to change in control (CIC), which occurs under a change in ownership. These are (1) CIC without termination, (2) CIC with termination without cause, and (3) CIC with termination for cause. Cause is generally defined by events such as felony, fraud, embezzlement, neglect of duties, or violation of noncompete provisions. Additional events include (4) voluntary retirement, (5) resignation without good reason, (6) voluntary termination for good reason, (7) involuntary termination without cause, (8) involuntary termination with cause, (9) death, and (10) disability. Voluntary retirement and resignation without good reason occurs when CEOs either retire or leave under their own volition, and voluntary termination with good reason occurs in response to changes in employment terms (e.g., relocation of headquarters). Involuntary termination refers to termination due to any reason not listed above and is often triggered by unsatisfactory performance.
Although some prior work has addressed the antecedents, consequences, and moderators of severance, the findings from this literature remain unclear, as many of the results are mixed. Future severance scholars have the opportunity to further clarify these relationships by addressing how severance agreements can help firms attract, align the interests of, and facilitate the exit of executives.
Jennifer S. Leigh and Amy Kenworthy
Over the last three decades, service-learning has become a well-known experiential learning pedagogy in both management education and higher education more broadly. This popularity is observed in the increasing number of peer-reviewed publications on service-learning in management and business education journals, and on management education topics within higher education journals focused on civic engagement and community-based teaching and learning. In this field of study, it is known that service-learning can result in positive outcomes for students, faculty, and community members. In particular, for students, positive results are related to mastery of course content and group process skills like teamwork and communication, leadership, and diversity awareness. Despite the rise in scholarship, service-learning instructors still face several challenges in the area of best practice standards, fostering deep and cohesive partnerships, and managing institutional pressures that disincentivize engaged teaching practices. With constantly evolving challenges in management education, continued research is needed to understand a variety of service-learning facets such as platforms (face-to-face, hybrid, and virtual learning), populations (graduate vs. undergraduate populations and adult vs. traditional college-age learners), measurement (how to assess university-community partnerships and faculty instruction), and which institutional policies and procedures can enable and reward community-engaged teaching and learning approach.
Carol T. Kulik and Belinda Rae
The “glass ceiling” metaphor represents the frustration experienced by women in the 1980s and 1990s who entered the workforce in large numbers following equal opportunity legislation that gave them greater access to education and employment. After initial success in attaining lower management positions, the women found their career progress slowing as they reached higher levels of their organizations. A formal definition of the glass ceiling specifies that a female disadvantage in promotion should accelerate at the highest levels of the organization, and researchers adopting this formal definition have found mixed evidence for glass ceilings across organizations and across countries. Researchers who have expanded the glass ceiling definition to encompass racial minorities have similarly found mixed results. However, these mixed results do not detract from the metaphor’s value in highlighting the stereotype-based practices that embed discrimination deep within organizational structures and understanding why women continue to be underrepresented in senior organizational roles around the world. In particular, researchers investigating the glass ceiling have identified a variety of obstacles (including glass cliffs, glass walls, and glass doors) that create a more complete understanding of the barriers that women experience in their careers. As organizations offer shorter job ladders and less job security, the career patterns of both women and men are exhibiting more downward, lateral, and static movement. In this career context, the glass ceiling may no longer be the ideal metaphor to represent the obstacles that women are most likely to encounter.
Jawad Syed and Memoona Tariq
Diversity management refers to organizational policies and practices aimed at recruiting, retaining, and managing employees of diverse backgrounds and identities, while creating a culture in which everybody is equally enabled to perform and achieve organizational and personal objectives. In a globalized world, there is a need for contextual and transnational approaches to utilize the benefits that global diversity may bring as well as the challenges that organizations may face in managing a diverse workforce. In particular, it is important to take into account how diversity is theorized and managed in non-Western contexts, for example in BRICS countries (i.e., Brazil, Russia, India, China, and South Africa) and Muslim-majority countries. The literature confirms the need for organizational efforts to be focused on engaging with and managing a heterogeneous workplace in ways that not only yield sustainable competitive advantage but also are contextually and socially responsible. Organizations today are expected to take positive action, beyond legal compliance, to ensure equal access, employment and promotion opportunities, and also to ensure that diversity programs make use of employee differences, and contribute to local as well as global communities.
Heather A. Haveman and Gillian Gualtieri
Research on institutional logics surveys systems of cultural elements (values, beliefs, and normative expectations) by which people, groups, and organizations make sense of and evaluate their everyday activities, and organize those activities in time and space. Although there were scattered mentions of this concept before 1990, this literature really began with the 1991 publication of a theory piece by Roger Friedland and Robert Alford. Since that time, it has become a large and diverse area of organizational research. Several books and thousands of papers and book chapters have been published on this topic, addressing institutional logics in sites as different as climate change proceedings of the United Nations, local banks in the United States, and business groups in Taiwan. Several intellectual precursors to institutional logics provide a detailed explanation of the concept and the theory surrounding it. These literatures developed over time within the broader framework of theory and empirical work in sociology, political science, and anthropology. Papers published in ten major sociology and management journals in the United States and Europe (between 1990 and 2015) provide analysis and help to identify trends in theoretical development and empirical findings. Evaluting these trends suggest three gentle corrections and potentially useful extensions to the literature help to guide future research: (1) limiting the definition of institutional logic to cultural-cognitive phenomena, rather than including material phenomena; (2) recognizing both “cold” (purely rational) cognition and “hot” (emotion-laden) cognition; and (3) developing and testing a theory (or multiple related theories), meaning a logically interconnected set of propositions concerning a delimited set of social phenomena, derived from assumptions about essential facts (axioms), that details causal mechanisms and yields empirically testable (falsifiable) hypotheses, by being more consistent about how we use concepts in theoretical statements; assessing the reliability and validity of our empirical measures; and conducting meta-analyses of the many inductive studies that have been published, to develop deductive theories.
Jingjing Ma, John M. Schaubroeck, and Catherine LeBlanc
Interpersonal trust refers to confidence in another person (or between two persons) and a willingness to be vulnerable to him or her (or to each other). In contemporary organizational science, research conducted within organizations has extensively investigated personal, dyadic, and contextual factors that motivate interpersonal trust (i.e., trust between two persons) and the consequence of interpersonal trust for the trustor and the trustee. This line of work distinguishes between two orientations that researchers have taken when conceptualizing interpersonal trust: unidirectional trust and bidirectional trust. Unidirectional trust refers to a focus on one person’s trust in another without regard to the reciprocation of that trust. Unidirectional trust research investigates trust in another party at a higher hierarchy level (e.g., followers’ trust in the leader), a lower hierarchy level (e.g., the leader’s trust in followers), or at the same hierarchy level (e.g., employees’ trust in coworkers). Bidirectional trust focuses on the shared trust in a dyad. Research on bidirectional trust helps to provide insights about the complex pattern and evolution of interpersonal trust over time. However, research investigating bidirectional trust is relatively limited compared to unidirectional trust. Besides research on interpersonal trust within the same work unit, there is also a recent trend toward investigating interpersonal trust across work unit and organizational boundaries. Another important line of literature regarding interpersonal trust is the investigation of the causes and consequences of interpersonal trust violations and the effectiveness of remedies (e.g., apologies) for these violations.