The confusing state of the art in top management composition studies: A theoretical and empirical review

The purpose of this paper is to provide a theoretical and empirical review of the literature on top management composition. This research is theoretically inspired by the old tradition of group dynamics research and later insights into the effects managers have in shaping the course and fates of organisations. Throughout this paper we will develop a conceptual model linking team composition, behaviour and results. The paper also provides a critical discussion of the empirical findings in relation to the model and identifies some theoretical and empirical shortcomings in the research carried out so far.management and organization theory ;

Psychological team diversity and strategy implementation

The overwhelming majority of team or group composition studies are restricted to analyzing the link between team demographics and the content of specific strategic choices. We argue that in order to make progress in this domain it is now time to broaden the approach by focusing on psychological team composition and issues of effective implementation. In addition, we propose a more sophisticated theoretical and methodological approach to the use of specific team composition measures. We conducted an experimental study in order to explore the potential of addressing these major limitations of past research. Specifically, we hypothesize on and analyze the relationship between the psychological composition of management teams (in terms of their members'' control perceptions) and two aspects of effective strategy implementation: meticulous planning and the configuration of consistent action patterns. We find that homogeneous ''internal'' teams adapt their strategy-making behavior to the requirements of the environment, whereas homogeneous ''external'' teams do not. As expected, mixed (i.e., heterogeneous) teams experienced most problems in effectively implementing their strategies. The findings provide support for the potential value of analyzing both psychological composition of decision making teams and strategy implementation issues. Furthermore, it underscores the importance of properly matching theoretical expectations and measurement methodology in multi-level research.management and organization theory ;

Beyond the Three-Component Model of Organizational Commitment

Adding to empirically based critique in the last 15 years, this paper offers a critical conceptual analysis of the three-component model of organizational commitment in order to arrive at a unequivocal grounding of the concept in standard attitudinal theory. Using the attitude-behavior model by Eagly & Chaiken (1993), we demonstrate that the three-component model combines fundamentally different attitudinal phenomena. Instead, we argue that general organizational commitment can best be conceived of as affective commitment only, being a genuine attitude towards an object: the organization. Normative and continuance commitment, in contrast, appear to be attitudes regarding specific forms of behavior (i.e., staying or leaving) that may or may not follow from the affective bond with the organization. The conclusion of our analysis is that the threecomponent model fails to qualify as a general model of organizational commitment, but instead represents a specific model to predict turnover behavior. Therefore, we suggest limiting the use of the TCM to predicting turnover and to abandon it as a general model of employee commitment. We propose to return to the conceptualization of organizational commitment as an attitude towards the organization and to use Eagly & Chaiken’s model to generate specific models for predicting a broad range of organizational behaviors. Finally, we discuss the definition and measurement of organizational commitment, arguing that covering affective, cognitive and behavioral facets of this attitude helps to differentiate the construct from other constructs and to enhance the construct validity of measurement instruments.management and organization theory ;

THE GENESIS OF TOP MANAGEMENT TEAM DIVERSITY Selective Turnover among Top Management Teams in the Dutch Newspaper Publisher Industry (1970-1994)

This paper develops and tests a model explaining diversity within top executive management teams from the perspective of selective turnover. We draw on two theoretical perspectives to describe the pull toward team homogenization (low diversity) and the push toward team heterogenization (high diversity). Schneider’s attraction-selection-attrition (ASA) model is used to explain the team’s natural tendency to ‘hire likes and fire unlikes’ (so-called homosocial reproduction), provided it has the power to do so. Rational-economic theory, however, suggests firm-specific countervailing imperatives pulling a team toward heterogeneity in order to cope with the requirements of the environment. We propose that the cycle of homosocial reproduction only gets interrupted when the teams face a compelling need for diversity, particularly when organizational performance is poor, diversification is high and competition is tough, but that the reproduction cycle is maintained if the top executive management team is powerful vis-à-vis the board of directors. We test our hypotheses in a population of top executive teams of the Big Five Dutch publishers over a 25-year period. Interestingly, many of our expectations are not supported. Relating to entry, we find that poor performance and high diversification causes teams to select likes. Moreover, although more powerful teams do tend to select likes, this is even more so when competitive intensity increases. Concerning exit, we find that poor performance increases the overall likelihood of executive exit, and that dissimilar managers tend to leave first. We conclude that homosocial reproduction does occur, particularly when the organizations face conditions that at first glance require more team diversity. Apparently, top management teams tend to close ranks when environmental pressure and complexity increases. Explanations for these findings are discussed, which point the way to new research avenues.Economics ;

TEAM COMPOSITION, LEADERSHIP AND INFORMATION-PROCESSING BEHAVIOR A simulation game study of the locus-of-control personality trait

In this study, we relate the individual locus-of-control personality trait of team members to the team’s information gathering and processing behavior. We adopt a team information-processing approach arguing that a team’s information-processing capacity is a function of its composition with respect to the members’ locus of control and the leadership structure of the group. We develop models that go beyond analyzing simple main effects of differences in team locus-of-control composition. We hypothesize that (a) the impact of the team locus-of-control mean depends on the within-group locus-of-control diversity, and (b) the effect of both the team locus-of-control mean and its standard deviation is contingent upon the leadership structure of the group. The hypotheses were tested on 44 teams participating in an elaborate international management simulation over six time periods. As predicted, we find that teams with a high average internal locus-of-control score collect more information and make more informed decisions when the within-team locus-of-control spread is low, and when the team operates without a leader. The opposite is the case for teams with a high average external locus-of-control score. In addition, locus-of-control diversity induces team information search only in the case when the team has no leader. We also show that team financial performance is comparably affected by our focal independent team variables. On a general level, our results offer strong support for recent pleas to study theoretically relevant individual traits, use proper aggregation models and include structural moderator variables in team composition research.Economics ;

Locus of control and study program choice: evidence of personality sorting in educational choice

In this study we investigate whether the process of Attraction Selection and Attrition as described by Schneider (1984) is already operative prior to labor market entry, i.e., in the educational phase of careers. We focused on selection with regard to the locus of control personality trait because of its firm conceptual and empirical relevance in both content and process of choice. Specific hypotheses were proposed as to the sorting of different personality types in study programs leading to different prospective professional careers. The study was carried out in a sample of 164 Austrian students. We found strong support for our hypotheses in that (1) personality predicted specific study choices and (2) personality predicted different levels of rationality in the choice process. In addition, the findings also suggest that tighter matches between personality and study programs could be observed for students making rational choices. The results indicate support for the validity of the ASA model in educational choice, provided the use of meaningful individual differences. Several promising avenues for future research are identified.management and organization theory ;