Digital M&A, digital innovation, and firm performance: an empirical investigation

2021 | European Journal of Information Systems | Citations: 0

Authors: Hanelt, André; Firk, Sebastian; Hildebrandt, Björn; Kolbe, Lutz M.

Abstract: Aiming to support digital innovation endeavours, industrial-age companies increa ... Expand

Abstract: Aiming to support digital innovation endeavours, industrial-age companies increasingly acquire firms that heavily build upon digital technologies. Related research has raised serious concerns regarding the prospects of such plans, yet has not focused the particular context of digital mergers and acquisitions (M&A). Drawing on a knowledge-based perspective as well as the particularities of digital technologies and the context of digital innovation, we theorise the link between digital M&A, a digital knowledge base on the part of the acquirer, and the consequences for digital innovation and firm performance. We employ panel data regressions to a longitudinal dataset of the world’s largest automobile manufacturers. Our findings suggest that executing digital M&A contributes to building the digital knowledge base of industrial-age firms, which in turn enables them to drive digital innovation. Our findings further indicate that digital innovation improves firm performance of industrial-age firms. We discuss implications for information systems research about M&A and digital innovation as well as recommendations for managerial practice. Collapse

Topics: innovation management digital innovation knowledge base organizational productivity IT skill

Methods: longitudinal research theory development probit regression regression analysis method robustness check

Factors Influencing the Extent of Co-Authorship in IS Research: An Empirical Investigation

2016 | Communications of the Association for Information Systems | Citations: 0

Authors: Bandodkar, Nikhil Ramkrishna; Grover, Varun

Abstract: The extent of co-authorship in IS research is on the rise. Why has collaboration ... Expand

Abstract: The extent of co-authorship in IS research is on the rise. Why has collaboration between IS academics increased? While prior research on the incidence of co-authorship provides several reasons for why academics collaborate, little is known about whether these rationales are equally adept at explaining the growing extent of co-authorship. To answer this question, we delve into extant research on collaboration and delineate four rationales for why papers have more co-authors. These include information processing, access to social resources, convenience, and the opportunity cost of time. We formulate several variables and propose several hypotheses based on these rationales. We collected data by coding 641 papers from six major U.S. and European journals. The results generally support the proposed hypotheses. We discuss the implications of the results in terms of how they inform the field and policy makers. Collapse

Topics: productivity anonymity missing data collaborative work social capital

Methods: literature sample regression analysis method descriptive statistic statistical hypothesis test field study

Looking Inside the Dream Team: Probing Into the Contributions of Tacit Knowledge as an Organizational Resource

2013 | Organization Science | Citations: 1

Authors: Shamsie, Jamal; Mannor, Michael J.

Abstract: Despite growing evidence that suggests that tacit knowledge can serve as a criti ... Expand

Abstract: Despite growing evidence that suggests that tacit knowledge can serve as a critical resource, there has been little effort to understand how such a form of personalized knowledge can provide strong advantages to an entire group or organization. In this paper, we develop four different categories of tacit knowledge that are derived from the basic tenants of the resource-based framework. More specifically, we distinguish between the discrete and linked forms of productive tacit knowledge that is possessed by individuals and administrative tacit knowledge that is held by managers within an organization. Next, we evaluate the role of each of these four different forms of tacit knowledge by focusing on the contribution of players and managers of professional sports teams. Our analysis of a large sample of Major League Baseball teams from 1985 to 2001 provides significant support for the importance of each of these categories of tacit knowledge for the performance of an organization. Collapse

Topics: implicit knowledge explicit knowledge decision making research and development team productivity

Methods: longitudinal research autocorrelation analysis time series analysis likelihood-ratio test ordinary least square

Knowledge Flows Within Multinational Corporations: Explaining Subsidiary Isolation and Its Performance Implications

2008 | Organization Science | Citations: 14

Authors: Monteiro, L. Felipe; Arvidsson, Niklas; Birkinshaw, Julian

Abstract: Applying a new theoretical and empirical approach to intrafirm knowledge transfe ... Expand

Abstract: Applying a new theoretical and empirical approach to intrafirm knowledge transfers, this paper provides some initial insight to the little-researched phenomenon of why some subsidiaries are isolated from knowledge-transfer activities within the multinational corporation (MNC). Knowledge transfer is framed as a problemistic search process initiated by the recipient unit. We show that knowledge flows from units that are perceived to be highly capable to units that perceive themselves to be highly capable. Knowledge flows are also associated with existing levels of communication and reciprocity. Taken together, these findings suggest that knowledge transfers in MNCs typically occur between highly capable members of an "in crowd," and the isolated minority rarely, if ever, engages in knowledge-sharing activities. Finally, we show that the isolated minority underperforms other subsidiaries, suggesting the possibility of a "liability of internal isolation." Collapse

Topics: knowledge sharing marketing management absorptive capacity social identity knowledge management

Methods: survey cross sectional research statistical hypothesis test qualitative interview longitudinal research

Theories: behavioral theory of the firm social identity theory decision theory behavioral theory communication theory

Knowledge Retention and Personnel Mobility: The Nondisruptive Effects of Inflows of Experience

2003 | Organization Science | Citations: 12

Authors: Madsen, Tammy L.; Mosakowski, Elaine; Zaheer, Srilata

Abstract: Firms often bring in personnel from rivals to gain tacit knowledge and skills. P ... Expand

Abstract: Firms often bring in personnel from rivals to gain tacit knowledge and skills. Personnel new to a firm may broaden the firm's knowledge stock, but may not disrupt the firm's ways of organizing. Instead, personnel inflows may contribute to the retention of a firm's traditional ways of organizing. This study tracks the flow of personnel within and across organizational boundaries (intrafirm and interfirm flows) and geographic boundaries (local and cross-border flows) for multiunit banks operating in the Foreign Exchange Trade Industry from 1973-1993. We test how a firm's retention activity responds to inflows of personnel from different sources (e.g., intrafirm, interfirm, local, and cross-border). The findings show that inflows of personnel from different sources increase a firm's retention activity. Rather than adopting changes in behavior in response to an influx of personnel from within or across spatial boundaries, firms in the foreign exchange industry tend to retain their existing ways of organizing. Personnel inflows from a combination of sources, such as local intrafirm, cross-border intrafirm, local interfirm, and cross-border interfirm, also positively affect retention. By examining the differences in the magnitudes of these effects, we empirically show that considering different sources of personnel inflows in combination is worthwhile. Collapse

Topics: implicit knowledge intranet knowledge base database system organizational memory

Methods: qualitative interview longitudinal research autocorrelation analysis statistical hypothesis test time series analysis