How banks construct and manage risk: A sociological study of small firm lending in Britain and Germany

This paper analyses the role of banks in financing SMEs in Britain and Germany. It applies a sociological institutionalist approach to understand how banks construct and manage risk, relating to SME business. The empirical analysis is based on the results of a comparative survey of a sample of British and German banks and also refers to statistical material produced by the banks themselves. The paper concludes that, even though bank-firm relations are still deeply embedded in national institutional frameworks, some tendencies towards convergence can also be observed, particularly among commercial banks from the two countries. These flow from both internationalisation and from the political influence of the EU. -- In diesem Papier wird die Rolle von Banken in der Finanzierung von Klein- und Mittelunternehmen (KMU) in Großbritannien und Deutschland untersucht. Mit Hilfe eines soziologisch institutionellen Ansatzes wird der Frage nachgegangen, wie Banken Risiken bei der Kreditvergabe an KMU konstruieren und managen. Die empirische Studie basiert auf Ergebnissen einer vergleichenden Befragung von Bankmanagern in einer Stichprobe von britischen und deutschen Banken sowie auf statistischen Angaben der Banken. Die Ergebnisse zeigen, dass Beziehungen zwischen Banken und KMU zwar nach wie vor in nationale institutionelle Rahmenbedingungen eingebettet sind. Zugleich führen aber Internationalisierung und politische Einflüsse der Europäischen Union auch zu einer partiellen Annäherung zuvor unterschiedlicher Modelle, und zwar insbesondere was die Praktiken kommerzieller Banken in beiden Ländern betrifft.

Contested rules and shifting boundaries: International standard setting in accounting

The paper investigates the emergence and development, since the Second World War, of a transnational field of governance for accounting and financial reporting. Recent decades have seen a proliferation of activities and initiatives to make financial reporting standards comparable across national borders. This process of transnational or international standards setting is shown to be a highly political process where actors with different backgrounds enter the game with specific interests, perceptions, strategies and resources. In fact, it shows how contest and conflict can become driving forces of international standardization if organized within a widely accepted procedural framework. -- In der vorliegenden Arbeit wird das Spannungsfeld der Entstehung und Entwicklung von internationalen Standards für die Wirtschaftsprüfung und Rechnungslegung seit dem 2. Weltkrieg untersucht. In den letzten Jahrzehnten ist eine Zunahme von Aktivitäten und Initiativen zur grenzüberschreitenden Harmonisierung von Rechnungslegungsstandards zu beobachten. Die Schaffung von transnationalen bzw. internationalen Standards erweist sich als hochpolitischer Prozess, in den Akteure aus unterschiedlichen Bereichen ihre spezifischen Interessen, Wahrnehmungen, Strategien und Ressourcen einbringen. Tatsächlich verdeutlichen diese Vorgänge, dass Konkurrenz und Konflikt als treibende Kräfte für die internationale Standardsetzung dienen können, sofern der Verfahrensrahmen allgemein anerkannt ist.

The missing link: Bringing institutions back into the debate on economic globalisation

In der Auseinandersetzung mit der Globalisierung von Wirtschaftsprozessen kann sich die sozialwissenschaftliche Institutionentheorie nicht mehr auf die Untersuchung nationaler Konfigurationen beschränken, sondern sollte der transnationalen Rekombination institutioneller Arrangements mehr Aufmerksamkeit schenken. Für die Untersuchung solcher Prozesse sind veränderte analytische Werkzeuge erforderlich. Die Autorinnen dieses Beitrags schlagen eine Synthese von National Business Systems- und Varieties of Capitalism- Ansätzen mit kulturalistischen und phänomenologischen Varianten der Institutionentheorie vor. Es werden drei Aspekte der institutionellen Analyse vertieft, die zu einem besseren Verständnis des Verhältnisses von Globalisierung und Institutionen beitragen: Institutionalisierung als Prozeß, Rekombination als Mechanismus der Institutionengenese und des Institutionenwandels und eine Mehrebenenanalyse des Zusammenspiels von institutionellen Veränderungen auf nationaler und transnationaler Ebene. Die vorgeschlagene Synthese verschiedener institutionalistischer Ansätze bietet einerseits Ansatzpunkte für die Untersuchung der Rolle nationaler Akteure in der Genese und Entwicklung transnationaler Institutionen. Andererseits trägt sie zu einem besseren Verständnis der Rekombination von Elementen verschiedener institutioneller Arrangements sowie der Herausbildung neuer Institutionen auf transnationaler Ebene bei. Diese Entwicklungen im transnationalen Raum wirken wiederum auf Institutionen in nationalen Sozial- und Wirtschaftsräumen ein. Die Autorinnen des vorliegenden Beitrages argumentieren, daß die Abfolge und Kombination einer Reihe gradueller und zunächst geringfügiger Veränderungen über einen längeren Zeitraum hinweg zu einem signifikanten Wandel von gesellschaftlichen Institutionen führen können. -- Faced with ongoing debates on globalisation, societal institutionalism in its traditional form is showing its limits. In this paper, we suggest that a serious sociologically grounded and institutional contribution to the ongoing debate on global governance calls for a shift in focus away from the preoccupation with national configurations and towards an attempt at understanding transnational recombinations. The investigation of transnational recombination calls for new analytical tools. Here we argue that the solution may come from an hybridisation of NBS and VOC approaches with other variants of the institutionalist argument in particular those we label cultural or phenomenological. We elaborate on three aspects of institutional analysis that we identify as key to getting a better understanding of the relationship between globalisation and institutions. Firstly, we propose an interpretation of institutionalisation as a process and not a state of things. Secondly, we reinterpret institutional genesis and institutional change as revealing recombination. Thirdly, we argue for a more systematic analysis of the interplay of such processes of recombination across different levels of analysis, particularly the national and the transnational. With a conceptual framework so reformulated, it is possible to take in the transnational reality in its full complexity. We show, on the one hand, how the NBS and VOC perspectives are an interesting starting base to look at the structuration and stabilisation of the transnational reality. On the other hand, we gain new insights in the ways in which institution building and recombination at the transnational level become reflected often progressively and somewhat incrementally at the national business system level. Our proposition is that the succession and combination, over a long period of time, of a series of incremental and sometimes minor transformations could lead in the end to consequential and significant change.

Organizational reforms and gender: Feminization of middle management in Finnish and German banking

In this article, we analyze the longitudinal relationship between organizational reforms (with downsizing elements) and feminization of a specific managerial position. We maintain that two dominant contemporary approaches to reforms and change, i.e. the managerialist literature and its socio-political criticisms, have predominantly been gender-blind. We argue that the unfolding of organizational reforms in bureaucratic business firms cannot fully be understood without reference to how managerial jobs are redefined in relation to each other, and to what are the gendered connotations involved and the type of workforce sought for the newly defined jobs. These gendered demands of reforms must, moreover, be addressed in association with what comes to be seen as the adequate (female and male) supply by top decision-makers. We contend that the gendered patterns inherent in organisational reform can only be discerned if the research takes into account the ways in which reforming is intertwined with developments in the division of labour between men and women, power and authority relations, and norms and values prevalent in the proximate business environment and the society at large. This leads us to suggest analysis which identifies processes of organising as constructed under, but not fully determined by, specific spatial and temporal conditions of gendered social practice. We present in-depth evidence from organizational reforming in two banks, located in societies with significantly divergent gender cultures and gender orders (i.e. Finland and Germany). Through a detailed cross-national comparison, we propose a common fundamental operating mechanism for the reformgender link, and specify a number of societal differences in form. In general, our evidence supports the argument that specific forms of restructuring - even with reductive elements - in fact promote feminization of middle management positions, albeit as a reflection of a development that reproduces gender segregation in new forms. -- In diesem Beitrag wird der Zusammenhang zwischen Organisationsreformen und der Feminisierung einer spezifischen Managementposition aus einer Langzeitperspektive analysiert. Den Ausgangspunkt bildet eine Kritik an derzeit dominierenden Erklärungsansätzen zum Organisationswandel. Sowohl die managementorientierte Literatur als auch ihre sozialwissenschaftliche Kritik schenken deren geschlechtsspezifischen Implikationen zumeist keine Aufmerksamkeit. Wir gehen hingegen davon aus, daß der Verlauf von Organisationsreformen in bürokratischen Unternehmen nicht ohne Einbezug der Neudefinition des Verhältnisses von Leitungspositionen zueinander einschließlich der damit verbundenen geschlechtsspezifischen Konnotationen und des von SpitzenmanagerInnen gewünschten Typus von (weiblichem und männlichem) Personal für die neu-definierten Positionen verstanden werden kann. Eine Untersuchung der sich im Verlauf von Organisationsreformen entwikkelnden geschlechtsspezifischen Muster erfordert die Berücksichtigung der Arbeitsteilung zwischen Männern und Frauen, der Beziehungen zwischen Macht und Autorität sowie der Normen und Werte innerhalb der Unternehmen und der Gesellschaft insgesamt. Notwendig werden Analysen, die Organisationsveränderungen als durch räumlich und zeitlich definierte, geschlechtsspezifische soziale Praktiken konstruiert, aber nicht völlig determiniert, begreifen. Die vorliegende Untersuchung basiert auf Fallstudien in zwei Banken, die in Ländern - Deutschland und Finnland - mit sehr unterschiedlichen Geschlechtersystemen angesiedelt sind. Die Ergebnisse des Vergleichs deuten darauf hin, daß Organisationsreform und geschlechtsspezifische Implikationen in beiden Ländern durch einen ähnlichen Mechanismus miteinander verknüpft sind. Hingegen werden Form und Verlauf der Reformprozesse durch das jeweilige länderspezifische Geschlechtersystem geprägt. Die Ergebnisse zeigen, daß spezifische Formen der Restrukturierung - und zwar auch im Kontext einer Personalreduktion - durchaus die Feminisierung einer Managementposition fördern können. Dies geht aber mit der Herausbildung neuer Formen der Geschlechtersegregation einher.

Institutional legacies and firm dynamics: the internationalisation of British and German law firms

Institutionalist approaches to the study of the firm which emerged in the last two decades have tended to be dominated by static models of both firms and institutions. As a form of ‘equilibrium’ analysis which holds factors constant in order to allow a deeper understanding of how they are interdependent and complementary, this approach has yielded rich dividends in contributing to our understanding of how firms within different national business systems are structured and the effect which this has on their ability to compete in international markets. More recently, however, debates have moved on to consider firms, not just as passive recipients of institutional resources but as actors involved both in the construction and reconstruction of such resources within national contexts and in the selective learning and adaptation of overseas experiences into their own structures. This reflects a deepening integration of economic activities, organisational structures and markets across borders reinforced by a restructuring of regulatory activities away from the monopolistic dominance of the nation-state and the public arena towards a more diffuse and diverse set of regulatory activities and actors operating across states and across the public-private divide. Attempts to conceptualize these processes at a macro-level have traditionally been dominated by the ‘convergencedivergence’ debate, more recently wrapped up in the discourse of ‘globalization’ as an ineluctable force undermining national differences and increasing shared and common models of firms and markets. Are these changes undermining national distinctiveness or do they reinforce national differences by accentuating processes of specialisation? Often lying behind this has been the associated but distinctive argument about whether ‘convergence’ is merely a value-neutral way of describing a process of ‘Americanization’ – in firm structures, models of management and of markets and in regulatory frameworks

Transnational Copyright: Misalignments between Regulation, Business Models and User Practice

In this paper we analyse discursive struggles over what is referred to as legal and illegal user practices in the internet as an outcome of regulatory uncertainty. The latter, in turn, is examined in the context of a multi-layered transnational copyright regime characterised by three features: the absence of an universally recognized single authority in charge of law-making, fragmented and partially contradicting forms of regulation of global, national and sectoral scope, and considerable indeterminacy of rule interpretation and application arising from the variety and distinctiveness of local usage contexts. We argue that notions of legality and illegality are used strategically by different actors to resolve perceived misalignments between regulation, business models and user practices. The results indicate that the meaning of legality and illegality, while often presented as well-defined distinction, in the case of internet user practices is often far from clear-cut and generally accepted. In fact, copyright industry, intermediaries, users and regulators are involved in what Black (2002) refers to as regulatory conversations . Analysing these regulatory conversations offers a revealing entry point to study how under conditions of transnational regime complexity and diffusion of new technology solutions to regulatory uncertainty are negotiated in a multiplicity of social contexts

Contested rules and shifting boundaries: international standard-setting in accounting

"In der vorliegenden Arbeit wird das Spannungsfeld der Entstehung und Entwicklung von internationalen Standards für die Wirtschaftsprüfung und Rechnungslegung seit dem 2. Weltkrieg untersucht. In den letzten Jahrzehnten ist eine Zunahme von Aktivitäten und Initiativen zur grenzüberschreitenden Harmonisierung von Rechnungslegungsstandards zu beobachten. Die Schaffung von transnationalen bzw. internationalen Standards erweist sich als hochpolitischer Prozess, in den Akteure aus unterschiedlichen Bereichen ihre spezifischen Interessen, Wahrnehmungen, Strategien und Ressourcen einbringen. Tatsächlich verdeutlichen diese Vorgänge, dass Konkurrenz und Konflikt als treibende Kräfte für die internationale Standardsetzung dienen können, sofern der Verfahrensrahmen allgemein anerkannt ist." (Autorenreferat)"The paper investigates the emergence and development, since the Second World War, of a transnational field of governance for accounting and financial reporting. Recent decades have seen a proliferation of activities and initiatives to make financial reporting standards comparable across national borders. This process of transnational or international standards setting is shown to be a highly political process where actors with different backgrounds enter the game with specific interests, perceptions, strategies and resources. In fact, it shows how contest and conflict can become driving forces of international standardization if organized within a widely accepted procedural framework." (author's abstract

Transnational Copyright: Misalignments between Regulation, Business Models and User Practice

In this paper we analyse discursive struggles over what is referred to as legal and illegal user practices in the internet as an outcome of regulatory uncertainty. The latter, in turn, is examined in the context of a multi-layered transnational copyright regime characterised by three features: the absence of an universally recognized single authority in charge of law-making, fragmented and partially contradicting forms of regulation of global, national and sectoral scope, and considerable indeterminacy of rule interpretation and application arising from the variety and distinctiveness of local usage contexts. We argue that notions of legality and illegality are used strategically by different actors to resolve perceived misalignments between regulation, business models and user practices. The results indicate that the meaning of legality and illegality, while often presented as well-defined distinction, in the case of internet user practices is often far from clear-cut and generally accepted. In fact, copyright industry, intermediaries, users and regulators are involved in what Black (2002) refers to as “regulatory conversations”. Analysing these regulatory conversations offers a revealing entry point to study how under conditions of transnational regime complexity and diffusion of new technology solutions to regulatory uncertainty are negotiated in a multiplicity of social contexts

Transnational Copyright: Misalignments between Regulation, Business Models and User Practice

In this paper we analyse discursive struggles over what is referred to as legal and illegal user practices in the internet as an outcome of regulatory uncertainty. The latter, in turn, is examined in the context of a multi-layered transnational copyright regime characterised by three features: the absence of an universally recognized single authority in charge of law-making, fragmented and partially contradicting forms of regulation of global, national and sectoral scope, and considerable indeterminacy of rule interpretation and application arising from the variety and distinctiveness of local usage contexts. We argue that notions of legality and illegality are used strategically by different actors to resolve perceived misalignments between regulation, business models and user practices. The results indicate that the meaning of legality and illegality, while often presented as well-defined distinction, in the case of internet user practices is often far from clear-cut and generally accepted. In fact, copyright industry, intermediaries, users and regulators are involved in what Black (2002) refers to as “regulatory conversations”. Analysing these regulatory conversations offers a revealing entry point to study how under conditions of transnational regime complexity and diffusion of new technology solutions to regulatory uncertainty are negotiated in a multiplicity of social contexts

How banks construct and manage risk: a sociological study of small firm lending in Britain and Germany

"This paper analyses the role of banks in financing SMEs in Britain and Germany. It applies a sociological institutionalist approach to understand how banks construct and manage risk, relating to SME business. The empirical analysis is based on the results of a comparative survey of a sample of British and German banks and also refers to statistical material produced by the banks themselves. The paper concludes that, even though bank-firm relations are still deeply embedded in national institutional frameworks, some tendencies towards convergence can also be observed, particularly among commercial banks from the two countries. These flow from both internationalisation and from the political influence of the EU." (author's abstract)"In diesem Papier wird die Rolle von Banken in der Finanzierung von Klein- und Mittelunternehmen (KMU) in Großbritannien und Deutschland untersucht. Mit Hilfe eines soziologisch institutionellen Ansatzes wird der Frage nachgegangen, wie Banken Risiken bei der Kreditvergabe an KMU konstruieren und managen. Die empirische Studie basiert auf Ergebnissen einer vergleichenden Befragung von Bankmanagern in einer Stichprobe von britischen und deutschen Banken sowie auf statistischen Angaben der Banken. Die Ergebnisse zeigen, dass Beziehungen zwischen Banken und KMU zwar nach wie vor in nationale institutionelle Rahmenbedingungen eingebettet sind. Zugleich führen aber Internationalisierung und politische Einflüsse der Europäischen Union auch zu einer partiellen Annäherung zuvor unterschiedlicher Modelle, und zwar insbesondere was die Praktiken kommerzieller Banken in beiden Ländern betrifft." (Autorenreferat