Faculty of Business Seminar Series / Volkan Yeniaras

Title: Relational ties, organizational flexibility and organizational improvisation: Implications for financial and non-financial performance

Abstract:

Organizational improvisation has emerged as an important research topic.  Improvisation is generally associated with such positive outcomes and better performance; nevertheless, little is known about the antecedent factors that contribute to organizational improvisation.  Drawing from relational governance and dynamic capabilities literature streams, we develop a conceptual model in which business and political ties are antecedents of organizational flexibility, which in turn is related to organizational improvisation and, ultimately, financial and non-financial firm performance.  We empirically test our model using a data collected from 302 Turkish senior managers. We find positive direct and indirect impacts of business ties on organizational improvisation, and negative direct and indirect impacts of political ties on organizational improvisation.  We also find organizational improvisation significantly related to several indicators of firm performance.   Our results provide some clarity to the literature on relational governance and firm performance.  By adding the intermediate variables of organizational flexibility and organizational improvisation, we shed some light on what have so far been equivocal findings regarding the effects of business and political ties on firm performance.   

Place : Meeting Room AB2 - 345