Hambrick and Mason¡]1984¡^, with their ¡§upper echelon¡¨ perspective, proposed that top managers had great influences on organizational performances. Then, more and more scholars paid attention to the issues of the top management teams¡]TMT¡^. Although the impact of top management teams has been widely studied, research that tests the applicability of TMT variables on MNC is zero. The top management teams of the MNC included expatriates and local managers¡]Tung, 1982; Zeira and Shenkar, 1986¡^, would show higher richness and variety. Therefore, this study will use two independent variables: ¡uthe strategic roles of MNC subsidiaries¡vand ¡uthe nationalities of the MNC¡vto study the influences of these two independent variables on the traits, heterogeneity and interaction of the top management teams of the subsidiaries in Taiwan. The traits of the top management teams included the percentages of the local managers, average age, educational level and organizational tenure of the top management teams. The heterogeneity of the top management teams included the variation of the age, educational level and organizational tenure of the top management teams. The interaction of the top management teams included the extent to the social integration, communication frequency, and informal communication of the top management teams. Using ANOVA analysis on samples of 46 manufacturing MNC subsidiaries in Taiwan, the study finds that the strategic roles of the MNC subsidiaries have significant influences on the educational level, social integration and communication frequency of top management teams. In addition, the nationalities of the MNC have significantinfluences on the age, educational level and organizational tenure.

Recent research has investigated the moderating effects of environmental characteristics on the relationships between top management team heterogeneities and firm performance but has given little attention to the moderating role of board composition. This study examines the moderating effects of the proportion of outside board membership on the relationships between top management team heterogeneities and firm performance. The upper echelons theory would contend that outside directors with their valuable resources (information, skills, and network) and the tendency to challenge and initiate cognitive conflicts with top management teams can improve the quality of strategic decision making process and firm performance. To test these predictions, it is hypothesized that the greater the proportion of outside directors, the more positive the relationship between top management team tenure heterogeneity, educational heterogeneity, functional background heterogeneity, and firm performance. Fortune 500 companies were chosen as the sample of the study. I utilized moderated hierarchical regression to analyze the data. The results do not support the predictions. Several theoretical and methodological issues are discussed.

The transition for any executive into a new appointment is a challenge. This transition for the newly appointed Chief Information Officer (CIO) is especially challenging given the complexity and ambiguous nature of their role. Investment in information technology (IT) has steadily increased over the past twenty years and contributes to enabling business changes that drive organizational performance improvements. The role of the Chief Information Officer (CIO) has evolved into an executive who holds significant responsibility for leading the organization in realizing these investment benefits. Therefore unsuccessful CIO transitions can negatively impact the extent to which the organization’s IT benefits are fully realized. This research has one objective: to increase our understanding of the process of taking charge for the newly appointed Chief Information Officer (CIO). This increased understanding contributes to academic research as well as provides insights to practicing CIOs that will increase their probability of successfully taking charge of a new appointment. The project explores this phenomenon in depth from both the CIO’s and non-IT executive’s (CxO) perspective through semi-structured interviews with 43 executives. Participants included twenty-one Chief Information Officers and twenty-two C-suite, non-IT executives. The study integrates concepts from role theory and leader socialization with CIO leadership challenges. Findings indicate that the newly appointed CIO experiences a mutual adjustment process when they take charge. This adjustment occurs within their role set; the IT leadership team, the Chief Executive Officer (CEO) and the other top management team members (CxOs). The data suggests that CIOs experience three overlapping phases of taking charge; Entry, Stabilization and Renewal. These phases result in confidence, credibility and legitimacy as a new leader in the organization. The data further reveals that the type of transition (Start-up, Turnaround, Realignment or Success-sustaining) encountered by the CIO is a significant influence on the taking charge process. CIO socialization is influenced heavily by their role set and the expectations within it. CIOs will encounter CxO peers with varying preferences on interaction style and focus. In addition the CxOs in the study identified three different views of CIOs that reinforce the role ambiguity for the newly appointed CIO. The study reveals that CIOs experience organizational socialization in two domains of leadership. These domains are supply-side and demand-side leadership. The data suggests that supply-side socialization occurs prior to demand-side socialization. These socialization outcomes are dependent on transition type. This research extends previous work done on CIO transitions by identifying phases, activities and outcomes. An additional contribution is the first empirical model of new CIO socialization. Leader socialization research is enhanced with the study of a non-CEO executive. This model contributes a deeper understanding of the mutual adjustment process experienced by a newly appointed CIO. Practicing CIOs can apply these findings in developing transition plans and actions for taking a new appointment. The CxO types and attitudes can inform the newly appointed CIO on customizing their relationship building approaches. Understanding that taking charge requires 2-3 years can lead to more realistic expectations of the executive. The findings of this study can lead CIOs to a higher probability of success in taking charge of a new appointment.

Digitalisation and the phenomenon of digital transformation is rapidly and fundamentally changing existing businesses and organisations alike (Collin, 2015). Although considered a prime challenge for leaders of complex and changing organisations, research in the combined field of digitalisation and leadership however still remain scarce. As executives are tasked with the leading of digital transformation, this study aims to understand how digitalisation effects top management leadership. To achieve this, the study takes a two-folded approach by (1) outlining six characteristics of digitalisation and (2) analysing how these characteristics effect three contemporary forms of leadership: values-based, transformative and authentic leadership. Through a broad literature survey and 13 in-depth interviews with executives and organisational leaders, the study found that the six identified characteristics of digitalisation all effected the three forms of contemporary leadership. The different characteristics did not only change how the leaders practiced each of their leadership styles, but also how their leadership manifested itself through the use of various digital tools, methods and processes in order to enhance and empower their leadership. Even the sub-features of each leadership form were subject to this fundamental digital change. What was also found were three complementary perspectives when leading complex and changing organisations: the perspective of holism, virtuality and networked-based hubs. Each of these perspectives were premiered aspects to be considered as a contemporary leader.

Research has been conducted regarding what relationship demographic diversity have to organisational ambidexterity and team resilience; however never at the same time. This research adds a new context, to this field of research since research has never, to our knowledge, been conducted in a school context. The purpose with this thesis is to explain what relationships gender, age, cultural and tenure diversity have on organisational ambidexterity and team resilience. A cross-sectional research design was used, because of the positivist and deductive approach. The method consisted of a quantitative part in the form of a web based self-completion questionnaire mediated by email, to upper secondary schools, in five Counties, with a minimum of three managers. The qualitative part was in the form of three in-depth interviews, two with School Directors and one with a registrar. The findings shows that gender, culture have a negative relationship to organisational ambidexterity, and age have a positive relationship when moderated by shared vision. The limitations are that only schools with a minimum of three top managers were chosen; the results thereby lack generalisability in other contexts. The implications are that shared vision, when applied to an upper secondary school context seem to decrease in importance and suggestibility. The original value of the conducted study is new insights regarding the relationships demographic diversities have on organisational ambidexterity and team resilience; the choice to conduct the test in a school context.

Increasing compensation disclosures mandated by the Securities Exchange Commission provide transparency that allows more shareholders to question the results produced by highly compensated executives. The popular business press often decries the apparent imbalance between executive pay and firm performance. Published academic research has responded with hundreds of studies attempting to explain executive pay in terms of firm performance. The preponderance of these studies focus on Chief Executive Officers. This study empirically examines executive compensation for team effects on future firm performance.Applying a firm specific fixed-effects model to a sample of 13,021 firm-year observations from ExecuComp, the current study regresses top management team compensation and control variables on firm performance averaged one, three, and five years following the year of compensation. One accounting based measure of performance (return on assets) and one market based measure of firm performance (shareholder return) is examined over the one three and five year horizons.Consistent with increasing concerns raised by investors regarding excess executive pay, this study finds evidence that higher top management team pay is associated with companies experiencing lower rates of return in the future. However, higher management team pay is associated with higher profits and market value measured in dollars. Theses effects are significantly different between the short-term and long term components of compensation. Although compensation of the team is highly correlated with the CEO, the compensation of the executive team has incremental effects on future firm performance of the company.This study contributes to the executive compensation literature by providing evidence that the compensation of the top management team affects future company performance. The observed impact of management team compensation on company performance is: incremental to CEO effects noted in prior studies, differential between short- and long-term components of compensation, sensitive to the proxy used for company performance, and attenuates over time. These findings suggest that further research on executive management team compensation is merited in order to address an interesting gap in the extant literature.

This study tests a theoretical model developed to investigate the impact of assimilation of commercial open source enterprise resource planning software (COSES) in small and medium sized enterprises (SMEs). Specifically, the model explains how the top management team’s (TMT’s) information technology (IT) knowledge and experience impact both assimilation and firm performance. The hypotheses were tested using survey data from SMEs that have implemented COSES. Results from structural equation modeling suggest that SMEs benefit, through higher levels of assimilation and performance, from adopting innovative enterprise resource planning (ERP) systems such as COSES when they have a TMT that has experience with and is knowledgeable about technology. The study also highlights the importance of the TMT in facilitating IT assimilation.

Using a human capital perspective, this study investigates the relationship between the specific human capital of the top management teams of venture capital firms (VCFs) and the firms’ investment performance. The results of this study demonstrate that, in the early-stage information technology and communication (ICT) industry, VCFs’ technological expertise strongly predict better venture capital firm performance in the form of greater portfolio exit ratio. While financial expertise shows a positive but not significant effect. This study finds that although venture capital investing is a financial activity, technological expertise is the human capital characteristic that is more appropriate for this sub-environment. Future research is suggested.

Top management commitment and employees empowerment is one of the most important and vital principle in total quality management, because it is often assumes to have a strong relationship with customer satisfaction. In TQM implementation top management commitment in creating an organizational climate that empowers employees is very imperative. Thus, this can be achieved with top management commitment in training employees and giving employees opportunities to be responsible for the quality of their work. TQM strategy brings about a turn around in corporate culture as compared to the old traditional system of management in which the top management simply give orders and the employees merely obey them. In this study we’ll show that TQM objective of quality improvement and customer satisfaction can be better achieve if the top management are committed to empower employees to be responsible for the quality of their work and also empowerment in relation to decision making authority and process. We’ll as well show that empowerment in TQM brings about a flattened organizational chart where there is a shared responsibility between the managers and the employees. Despite some arguments put forward by some researchers to criticize employee empowerment, we’ll as well show that employees’ empowerment and improved level of job satisfaction can be facilitated by top management leadership and commitment to the goal of customer satisfaction in TQM organization. / Uppsatsnivå: D

Due to various corporate scandals and failures, there has been a renewed interest on the role of boards in the performance of firms. This thesis examines the relationship between the key board characteristics and firm performance. Unlike most studies on boards which predominantly use only financial variables affecting governance, I take a different approach by combining them with non-financial variables. This combined set of variables is used for theoretical and empirical modelling. Based on the extant literature, I develop a conceptual framework and a set of hypotheses to examine the relationship between board characteristics and firm performance. Board characteristics considered in this research include board size, director ownership, CEO duality, gender diversity, educational qualification of board members and number of board meetings. Additionally, I use board size as a moderating variable to examine how the effect of other board characteristics is contingent on board size. Firm performance is measured by return on assets. I test my hypotheses on a longitudinal sample of 156 firms over a four year period from 2004 to 2007. My sample includes all firms listed on New Zealand stock exchange as on November 2007. Empirical analysis is undertaken using Generalised Least Squares analyses. The findings of the study show that board characteristics such as board size, CEO duality and gender diversity were positively related with firm performance, where as director ownership, board meetings and the number of board members with PhD level education was found to be negatively related. Board size was found to be moderating some of these relationships, indicating the critical role being played by board size in the design and role of corporate boards. The findings also provide partial evidence to different governance theories, further indicating the need for theoretical pluralism to gain insights into boards’ functioning. The study contributes to the understanding of board-performance link by examining both the traditional variables such as board size, CEO duality, and number of board meetings as well as other organisational attributes such as gender diversity and competence variables represented by women and PhD holders, respectively. The theoretical framework and the findings of my thesis are expected to stimulate scholars for further research to identify the contingency conditions upon which the board characteristics and firm performance may be dependent.