Purpose
– The purpose of this paper is twofold: to quantify the communication of organizational innovativeness (OI) on a large scale; and to examine the relationship of communicating OI and the corresponding investments in research and development (R
&
D) of multinational corporations (MNCs).
Design/methodology/approach
– In total, 3,043 annual reports from 326 MNCs are examined utilizing quantitative content analysis, which focusses on fixed selected terminologies, in the years 1998-2008.
Findings
– Scholars assume that the capacity for OI is becoming the single most important task in organizational survival. Even though in the sample the investments in R
&
D are not increasing, even slightly declining, the communication of OI is increasing. Using mixed-effects regression analysis, the findings indicate that the corporations that are investing in R
&
D are also communicating these efforts correspondingly.
Practical implications
– This is the first study that measures the communication of OI using quantitative content analysis.
Originality/value
– The results indicate that not only do the communication efforts of an organization’s OI have a perceived increasing importance. They also suggest that OI itself has become more important for organizations from a strategic point of view.
PurposeFirms are challenged by digital transformation, as their organizational design is not up to par. Mercedes-Benz.io, a 100% subsidiary of Mercedes-Benz AG Daimler group, employs Holacracy, a self-management framework that abolishes traditional hierarchies in order to be more responsive to changes. This paper aims to explore how Mercedes-Benz.io utilizes Holacracy in order to address the challenges posed by digital transformation.Design/methodology/approachUsing qualitative expert interviews, the authors show that organizational life becomes more meaningful but also more engaging and demanding. The authors highlight that agile principles can be embedded in the organizational structure, a strong contrast to conventional management design. Decision-making authority and accountability is decentralized toward employees who face operational realities. This fosters commitment but might prolong the decision process. Leadership seems to be fairly contextual, and career paths are fundamentally different; development avenues are rather functional.FindingsThe authors conclude that Holacracy seems suitable for industries where the need for adaptability outweighs the need for reliability. It leads to increased transparency and accountability but is not a ready-made solution and requires ample resources.Originality/valueThis study is one of the first that qualitatively assess the changes, implications and outcomes of organizations that employ Holacracy.
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