Emergence of Organizational Routines in Entrepreneurial Ventures

Huang, Lin; Murphree, Michael; Li, Sali

doi:10.2139/ssrn.3239473

Cited by 5 publications

(5 citation statements)

References 52 publications

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“…This hindering view is based on the key assumption that repetition tends to result in the elimination of search and a tendency toward fixed sequences (March and Simon, 1958). In contrast, recent research has stressed the promoting effect of routines on innovation by arguing that routines can endogenously evolve with changes in collective patterns (Dionysiou and Tsoukas, 2013) and even participants' cognition and behaviors (Lin et al , 2017a, b). Our research further addresses the “how” question.…”

Section: Discussionmentioning

confidence: 99%

How do organizational routines paradoxically affect organizational innovation?

Huang

2020

EJIM

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PurposeThis paper aims to address how organizational routines paradoxically affect the process of organizational innovation based on a new construct of routines or to investigate the coexistence of both hindering and promoting effects from routines and their differentiated affecting paths.Design/methodology/approachThis paper adopts an interpretive and exploratory case study on the business model innovation of Yimu Technology Company Limited (Yimu Tech) from product standardization to customization. Considering that this innovation reflects a successful down-up rather than traditional up-down innovation, this paper focuses on it to explore how the most micro routines affect the whole process of innovation. Almost two years were spent in collecting data from Yimu Tech and in following the innovation through approaches of semi-structured interviews, archival data and observation; the data were analyzed through a five-step process before a framework showing the paradoxical effects was finally set up.FindingsThis research specifies the construct of organizational routines and promotes a five-dimensional concept covering the organizational, collective and individual levels of an organization. It confirms the interaction between the performative and ostensive aspects of routines, by showing that the ostensive aspect may not only guide tasks performing but also allow multiple changes, and the performative aspect may affect the ostensive aspect through the down-up or up-down path. Also, it finds that routines may paradoxically affect all three phases of innovation, with a strong up-down hindering effect but a weak down-up promoting effect in the preparation phase, a strong down-up promoting effect but a weak hindering effect in the emergence phase and both significant effects in the consolidation phase.Research limitations/implicationsThis research is constrained by several limitations. The set up framework of routines and their paradoxical effects on innovation need a further confirmation in more contexts or organizations; more elements should be considered in exploring the evolution of routines and their effects on innovations; little attention has been paid to the relationship between these two types of effects, conflicting with each other, joining together or working independently.Originality/valueThe findings offered some valuable insights for further research on organizational routines and organizational innovation and hold important implications for management practices. This research enriched the two-aspect view of routines by constructing a five-dimensional framework; further research studies on routine dynamics by showing the interaction between the performative and ostensive aspects can contribute to the study on effects of organizational routines on innovations by showing how routines promote and hinder innovation simultaneously throughout the whole process. It reminds managers of the strong power from the microlevel of an organization in innovation.

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Section: Discussionmentioning

confidence: 99%

How do organizational routines paradoxically affect organizational innovation?

Huang

2020

EJIM

Self Cite

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“…Specifically, it has been found that a shared team vision enhances internal and external integration (Chen, 2015), that conflict negatively affects team performance (Li et al, 2020), and that trust augments team performance and new venture competitiveness (Wu et al, 2009). It has also been found that routines have mixed effects upon team performance (Lin et al, 2017), that learning enhances firms' competitive advantage (Xiong, 2020), and that information exchange within new venture teams strengthens innovation performance (Liu et al, 2015).…”

Section: Entrepreneurial Teamsmentioning

confidence: 99%

New venture entrepreneurship and context in East Asia: a systematic literature review

et al. 2021

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While research on new venture entrepreneurship has been predominantly conducted in Western countries, East Asian start-ups have gained global relevance in recent years. In this article, we systematically review studies on new venture entrepreneurship in East Asia published in Social Science Citation Index (SSCI)-listed journals between 2000 and 2020 and find that the number of papers annually published has been rapidly increasing. However, the research body is highly unbalanced, as most articles are single-country studies focused on China, apply a quantitative methodology, and concentrate on topics such as entrepreneurial strategies and new venture entrepreneurs’ personal attributes and networks. Moreover, a majority of studies provides no or only a weak consideration of the national or subnational context. More strongly contextualized research on countries such as Japan and South Korea and on less studied themes such as culture, entrepreneurial financing, entrepreneurial teams, new venture internationalization and new venture entrepreneurial intention is desirable.

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“…Organizational routines emerge through a combination of purposeful design (Bapuji et al , 2019; Gupta et al , 2015), repetition (Winter and Szulanski, 2001) and trial-and-error learning (Rerup and Feldman, 2011), and are shared through formal and informal processes that generate shared understanding (Lin et al , 2017; Perrigot et al , 2017). They are important because the knowledge contained within routines can be a source of competitive advantage, and successfully transfering them to new organizational units is one way that organizations maintain competitive advantages as they grow (Winter et al , 2012).…”

Section: Theoretical Backgroundmentioning

confidence: 99%

Replicate or adapt? Franchising and organizational routines

Maalouf

Combs

Gillis

et al. 2020

JKM

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Purpose The purpose of this paper is to introduce strategy as a factor that explains when franchisors – through the franchisees they select – seek to replicate routines exactly versus allow local adaptation of routines. Design/methodology/approach Combined archival and survey data from 248 US and Canadian franchisors actively seeking franchisees were used to test hypotheses via structural equation modeling. The robustness of results was comprehensively explored. Findings As hypothesized, results suggest that franchisors pursuing plural form strategies select franchisees with traits that foster replication, such as prior managerial experience and the desire to become multi-outlet franchisees. Those franchisors pursuing turnkey strategies seek franchisees who exhibit a willingness to experiment and adapt. In contrast to expectations, plural form franchisors were more likely to seek franchisees with local market knowledge. Originality/value Strategy influences whether franchisors select franchisees who will replicate versus adapt organizational routines. The authors introduce strategy as a factor affecting the extent to which routines are replicated exactly versus adapted locally. For franchising research, they challenge prior theory by explaining why franchisors invest in franchisee selection rather than waiting for the best franchisees to self-select into franchising.

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Emergence of Organizational Routines in Entrepreneurial Ventures

Cited by 5 publications

References 52 publications

How do organizational routines paradoxically affect organizational innovation?

How do organizational routines paradoxically affect organizational innovation?

New venture entrepreneurship and context in East Asia: a systematic literature review

Replicate or adapt? Franchising and organizational routines

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