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Psychological team diversity and strategy implementation

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Author Info
Boone,Christophe
Olffen, van,Woody (METEOR)
Abstract

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.

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Paper provided by Maastricht : METEOR, Maastricht Research School of Economics of Technology and Organization in its series Research Memoranda with number 004.

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Date of creation: 2002
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Handle: RePEc:dgr:umamet:2002004

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Keywords: management and organization theory ;

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  1. Boone, Christophe & van Olffen, Woody & van Witteloostuijn, Arjen, 1998. "Psychological team make-up as a determinant of economic firm performance: An experimental study," Journal of Economic Psychology, Elsevier, vol. 19(1), pages 43-73, February. [Downloadable!] (restricted)
  2. Christophe Boone & Arjen Witteloostuijn, 1996. "Ceo Locus of Control and Small Firm Performance: an Integrative Framework and Empirical Test," Journal of Management Studies, Blackwell Publishing, vol. 33(5), pages 667-700, 09. [Downloadable!] (restricted)
  3. Sorensen, Jesper B, 1999. "The Ecology of Organizational Demography: Managerial Tenure Distributions and Organizational Competition," Industrial and Corporate Change, Oxford University Press, vol. 8(4), pages 713-44, December.
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This page was last updated on 2009-11-18.


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