Strategic decision-making process (SDMP) in times of crisis:evidence from Greek banks

This paper investigates the strategic decision making process (SDMP) of Greek banks’ top management in the context of profound organisational changes introduced in 2012 due to the aftermath of the 2008 global financial crisis. It focuses on the impact of three key dimensions of the SDMP, namely, rationality, intuition and political behaviour, relating to four changes introduced, namely, mergers and acquisitions, branch network rationalisation, integration of information technology (IT) and downsizing of operations and personnel. A survey questionnaire was conducted, targeting Greek banks’ top management. Out of 140 questionnaires, 78 were returned, a 55.71% response rate. Data was analysed using structural equation modelling. Research findings identify rationality as a key dimension of SDMP for all organisational changes, as there was high focus on identifying and analysing all required information, use of external financial advisors, and reliance on multiple methods of information gathering. Decision-makers used their intuition in the form of past experience when making acquisition decisions, whilst their personal judgment and “inner voice” were neglected.Finally, political behaviour was not displayed during this process, as decision-makers were open with each other about their interests and preferences, and there was no bargaining, negotiation or use of power amongst them. One limitation was that of not considering all the factors that might help measure SDMP. Also, this study was conducted in a period of political and financial uncertainty for Greek banks, as well as for the Greek economy in general, so findings may not be generalizable to other industries and countries. Conducting interviews could have offered deeper insight as well. This study’s value lies in the fact that the organisational changes were determined by Greece’s leaders, and thus the Greek banks had to operate under a dynamic, inflexible and non-autonomous environment. Also, this study extends prior SDMP research by examining the impact of the three key SDMP dimensions on four types of organisational change

Bullets over ballots: Islamist groups, the state and electoral violence in Egypt and Morocco

This article is concerned with state-sponsored electoral violence in liberalized autocracies. The first section of the paper identifies a number of variables that can help explain the decision calculus of authoritarian incumbents to deploy force against strong electoral challengers. The second section then examines these propositions with reference to Egypt and Morocco. Drawing on recent parliamentary elections in both countries the article questions why, despite facing the challenge of political Islam, the two regimes differed so markedly in their willingness to manipulate the polls by recourse to violence. Whilst the Egyptian authorities decided to abrogate all pretence of peaceful elections in favour of violent repression against the Muslim Brotherhood candidates and sympathizers, no such tactics were deployed by the ruling elite in Morocco. We suggest that three principal factors influenced the regimes' response to this electoral challenge: (1) the centrality of the elected institution to authoritarian survival; (2) the availability of alternative electioneering tools; and (3) the anticipated response of the international community. The article concludes by suggesting that in order to understand better when and how states deploy violence in elections, we need to focus on a more complex set of factors rather than simply on the electoral potency of key opposition challengers or the authoritarian nature of the state

Harmful Freedom of Choice: Lessons from the Cellphone Market

This article focuses on the relationship between provider and customer, specifically on the complexity of available contracts in the cellphone market and the ways this complexity might be harmful to consumers. This article aims to elucidate the issues, fleshing them out both as a general phenomenon and as a specific implementation in the cellphone context. The aim is not to provide ultimate solutions, but to show the directions these solutions might take and the difficulties involved

Understanding Behavioral Sources of Process Variation Following Enterprise System Deployment

This paper extends the current understanding of the time-sensitivity of intent and usage following large-scale IT implementation. Our study focuses on perceived system misfit with organizational processes in tandem with the availability of system circumvention opportunities. Case study comparisons and controlled experiments are used to support the theoretical unpacking of organizational and technical contingencies and their relationship to shifts in user intentions and variation in work-processing tactics over time. Findings suggest that managers and users may retain strong intentions to circumvent systems in the presence of perceived task-technology misfit. The perceived ease with which this circumvention is attainable factors significantly into the timeframe within which it is attempted, and subsequently impacts the onset of deviation from prescribed practice and anticipated dynamics

Responding to Agency Avoidance of OIRA

Concerns have recently been raised that US federal agencies may sometimes avoid regulatory review by the White House Office of Information and Regulatory Affairs (OIRA). In this article, we assess the seriousness of such potential avoidance, and we recommend a framework for evaluating potential responses. After summarizing the system of presidential regulatory oversight through OIRA review, we analyze the incentives for agencies to cooperate with or avoid OIRA. We identify a wider array of agency avoidance tactics than has past scholarship, and a wider array of corresponding response options available to OIRA, the President, Congress, and the courts. We argue that, because the relationship between agencies and OIRA involves ongoing repeat player interactions, some of these avoidance tactics are less likely to occur (or to succeed) than has previously been alleged, and others are more likely; the difference depends significantly on how easy it is for OIRA to detect avoidance, and for OIRA, the courts, and others to respond. Further, we note that in this repeat player relationship, responses to agency avoidance tactics may induce further strategic moves and countermoves. Thus we further argue that the optimal response may not always be to try to eliminate the avoidance behavior; some avoidance may be worth tolerating where the benefits of trying to reduce agency avoidance would not justify the costs of response options and countermoves. We therefore conclude that responses to agency avoidance should be evaluated in a way similar to what OIRA asks of agencies evaluating proposed regulations: by weighing the pros and cons of alternative response options (including no action)

Responding to Agency Avoidance of OIRA

Concerns have recently been raised that US federal agencies may sometimes avoid regulatory review by the White House Office of Information and Regulatory Affairs (OIRA). In this article, we assess the seriousness of such potential avoidance, and we recommend a framework for evaluating potential responses. After summarizing the system of presidential regulatory oversight through OIRA review, we analyze the incentives for agencies to cooperate with or avoid OIRA. We identify a wider array of agency avoidance tactics than has past scholarship, and a wider array of corresponding response options available to OIRA, the President, Congress, and the courts. We argue that, because the relationship between agencies and OIRA involves ongoing repeat player interactions, some of these avoidance tactics are less likely to occur (or to succeed) than has previously been alleged, and others are more likely; the difference depends significantly on how easy it is for OIRA to detect avoidance, and for OIRA, the courts, and others to respond. Further, we note that in this repeat player relationship, responses to agency avoidance tactics may induce further strategic moves and countermoves. Thus we further argue that the optimal response may not always be to try to eliminate the avoidance behavior; some avoidance may be worth tolerating where the benefits of trying to reduce agency avoidance would not justify the costs of response options and countermoves. We therefore conclude that responses to agency avoidance should be evaluated in a way similar to what OIRA asks of agencies evaluating proposed regulations: by weighing the pros and cons of alternative response options (including no action)

Personnel/Human Resources Management: A Political Influence Perspective

It was suggested over ten years ago that new and different perspectives needed to be applied to the Personnel/Human Resources Management field in an effort to (P /HRM) promote theory and research and expand our understanding of the dynamics underlying P/HRM processes. Both theory and research are emerging which characterize important P/HRM decisions and activities substantially influenced by opportunistic behavior of both subordinates and supervisors. The purpose of the present review is to systematically examine the P/HRM field from a political influence perspective, reviewing existing theory and research and discussing future directions

Strategic Decision-Making in High Velocity Environments: A Theory Revisited and a Test

[Excerpt] A decade ago, Eisenhardt (1989) proposed a model of strategic decision-making speed for firms facing high-velocity environments. This theory, while important at the time, has become even more relevant to the strategy-making bodies of firms in the entrepreneurial millennium. The model differed in important ways from much of the existing literature on decision-making speed (Frederickson and Mitchell, 1984; Janis, 1982; Mintzberg, et al., 1976; Nutt, 1976). Eisenhardt\u27s ideas were based on a series of inductive case studies of eight firms competing in the fast-paced micro-chip industry. As such, it was an important theory-building effort in a central area of strategy process, strategic decision-making. To date, however, there have been no attempts to comprehensively test the model with a larger sample of firms. The changes the economy is experiencing in this new millennium are astounding. In short, the hyper-competitive forces faced a decade ago by micro-chip makers have become pervasive throughout many of our top industries (D\u27Aveni, 1994; Grimm and Smith, 1997). Thus, the prescriptions of Eisenhardt\u27s model would appear to be critical for today\u27s firms as they seek entrepreneurial approaches to gaining competitive advantage. Top management teams (TMTs) capable of making rapid decisions can enable their firms to be the entrepreneurial first movers in their respective segments. To our knowledge, however, there has been only one attempt to replicate Eisenhardt\u27s preliminary findings. Judge and Miller (1991) tested a portion of the model on a small sample (n = 32) of firms in three industries. The research tested two of the five tactics mentioned by Eisenhardt, did not incorporate the intervening processes, and produced mixed results. Thus, there have been no successful attempts to test the entire model on a large cross-section of firms. This is due in part to the difficulty researchers face in gaining access to a large sample of top executives, especially those facing fast-paced environments. This research tests Eisenhardt\u27s model on a sample of 66 high technology firms competing in the IT, telecommunications, and engineering services industries

Evaluating Communication Campaigns

Summarizes presentations from a September 2007 conference on evaluating communication campaigns. Discusses the mechanism of effecting change through communication; the principles of advocacy evaluation; the design, methods, and tools; and lessons learned

The impact of resources on decision making

Decision making is a significant activity within industry and although much attention has been paid to the manner in which goals impact on how decision making is executed, there has been less focus on the impact decision making resources can have. This article describes an experiment that sought to provide greater insight into the impact that resources can have on how decision making is executed. Investigated variables included the experience levels of decision makers and the quality and availability of information resources. The experiment provided insights into the variety of impacts that resources can have upon decision making, manifested through the evolution of the approaches, methods, and processes used within it. The findings illustrated that there could be an impact on the decision-making process but not on the method or approach, the method and process but not the approach, or the approach, method, and process. In addition, resources were observed to have multiple impacts, which can emerge in different timescales. Given these findings, research is suggested into the development of resource-impact models that would describe the relationships existing between the decision-making activity and resources, together with the development of techniques for reasoning using these models. This would enhance the development of systems that could offer improved levels of decision support through managing the impact of resources on decision making