General manager succession dynamics in MNE foreign subsidiaries

被引:0
|
作者
Li, Liang [1 ]
Beamish, Paul W. [2 ]
Schotter, Andreas P. J. [2 ,3 ]
机构
[1] Toronto Metropolitan Univ, Ted Rogers Sch Management, 350 Victoria St, Toronto, ON M5B 2K3, Canada
[2] Western Univ, Ivey Business Sch, 1255 Western Rd, London, ON N6G 0N1, Canada
[3] Vienna Univ Econ & Business, Inst Int Business, Welthandelspl 1, A-1020 Vienna, Austria
关键词
Behavioral theory; MNE decision-making; Succession; Learning; Change; Case study; ORGANIZATIONAL INERTIA; BOUNDED RELIABILITY; MULTINATIONAL-FIRM; KNOWLEDGE; MOMENTUM; MODEL; TRUST; INDUSTRY; RULES;
D O I
10.1057/s41267-024-00717-3
中图分类号
F [经济];
学科分类号
02 ;
摘要
Subsidiary general manager (GM) succession selection is a critical process in multinational enterprises (MNEs). Previous research, grounded in organizational learning and routines, has suggested that GM succession dynamics typically follow either an acceleration or a deceleration momentum. However, as we investigated succession decision-making heuristics through interviews with MNE managers, we observed neither acceleration nor deceleration. Instead, we found some consistent succession dynamics. Within this consistency, we found variations in decision-making models among subsidiaries-some adopting a rule-based approach with a short succession dynamic, some adopting a goal-based approach with a moderate succession dynamic, and others adopting a people-based approach with a long succession dynamic. Underlying these models were bounded rationality, bounded reliability, and their unexpected interactions. Our study sheds light on the critical role of managers in subsidiary management, enriches international business theorizing on the subsidiary GM succession process, and refines the boundary conditions of organizational learning. The central message is that looking solely at GM succession dynamics through an organizational learning lens may risk overlooking relevant causal mechanisms. To make the theorizing on the dynamics of subsidiary management more fertile, the behavioral model should account for the idiosyncrasies of decision-making as well as the heuristics of decision-makers. In the rapidly changing environment of global commerce, subsidiary general managers (GMs) within multinational enterprises (MNEs) play an important role. These managers encounter unique difficulties due to their roles within the worldwide corporate structure. Despite the significance of choosing the right subsidiary GMs, there is a surprising scarcity of research on how these GMs are selected and replaced over time. This study explores the decision-making processes behind the succession of subsidiary GMs, uncovering three distinct patterns of succession dynamics and the decision-making models that propel them.This multi-stage study commenced with interviews of managers from 14 MNEs with branches in China, offering a rich context for analyzing managerial decision-making. The investigation then centered on three large manufacturing MNEs to better understand succession dynamics. Each MNE adhered to a unique decision-making model, swayed by a specific heuristic (a type of mental shortcut or rule of thumb) that directed their succession choices. The study is qualitative, utilizing semi-structured interviews and secondary data to delve into the complexities of these processes. It underscores the importance of understanding the interaction between bounded rationality (the limits of decision-makers to process complex information) and bounded reliability (the limited ability of managers to fulfill commitments) in shaping GM succession dynamics.The findings reveal that GM succession dynamics are tied to three distinct decision-making models: a simple rule-based method leading to shorter succession dynamics (up to two years' tenure), a goal-based method resulting in moderate dynamics (three to four years' tenure), and a people-based method associated with longer dynamics (five years or longer). These models are molded by the specific heuristics that center decision-makers' focus on different facets of the succession process. For instance, a rule-based method might prioritize immediate performance, while a people-based method balances immediate impact with long-term goals.The study concludes that the dynamics of subsidiary GM succession are more intricate than previously believed. It also suggests that the interaction between bounded rationality and bounded reliability at the interface of MNE headquarters and subsidiary leadership warrants more attention. By uncovering distinct succession decision-making models and their underlying heuristics, the research enriches our understanding of the subsidiary GM succession process and the strategic implications for MNEs.This study has implications for both theory and practice. It enhances our understanding of international business and management by providing a more nuanced perspective of the decision-making processes within MNEs. For practitioners, the findings offer insights into how to better manage the critical process of subsidiary GM succession, which can have profound implications for the success and longevity of their global operations.This text was initially drafted using artificial intelligence, then reviewed by the author(s) to ensure accuracy. La s & eacute;lection des successeurs des directeurs g & eacute;n & eacute;raux (General Manager-GM) de filiales est un processus essentiel dans les entreprises multinationales (Multinational Enterprises-MNEs). Des recherches ant & eacute;rieures, fond & eacute;es sur l'apprentissage organisationnel et les routines, ont sugg & eacute;r & eacute; que la dynamique de succession des GMs suit g & eacute;n & eacute;ralement un & eacute;lan d'acc & eacute;l & eacute;ration ou de d & eacute;c & eacute;l & eacute;ration. Cependant, lorsque nous avons & eacute;tudi & eacute; l'heuristique de prise de d & eacute;cision en mati & egrave;re de succession par le biais d'entretiens avec des dirigeants de MNEs, nous n'avons observ & eacute; ni acc & eacute;l & eacute;ration ni d & eacute;c & eacute;l & eacute;ration. Au contraire, nous avons constat & eacute; une certaine coh & eacute;rence dans la dynamique de succession. Dans le cadre de cette coh & eacute;rence, nous avons constat & eacute; des variations dans les mod & egrave;les de prise de d & eacute;cision entre les filiales-certaines adoptant une approche bas & eacute;e sur les r & egrave;gles avec une dynamique de succession courte, d'autres une approche bas & eacute;e sur les objectifs avec une dynamique de succession mod & eacute;r & eacute;e, et d'autres encore une approche bas & eacute;e sur les personnes avec une dynamique de succession longue. Ces mod & egrave;les reposent sur la rationalit & eacute; limit & eacute;e, la fiabilit & eacute; limit & eacute;e et leurs interactions inattendues. Notre recherche met en lumi & egrave;re le r & ocirc;le essentiel des managers dans la gestion des filiales, enrichit la th & eacute;orisation dans le domaine des affaires internationales, plus particuli & egrave;rement, du processus de succession des GMs dans les filiales, et affine les conditions limites de l'apprentissage organisationnel. Le message central est qu'examiner la dynamique de succession des GMs uniquement sous l'angle de l'apprentissage organisationnel risque d'occulter des m & eacute;canismes causaux pertinents. Pour rendre plus fertile la th & eacute;orisation de la dynamique de la gestion des filiales, le mod & egrave;le comportemental devrait tenir compte des idiosyncrasies de la prise de d & eacute;cision ainsi que de l'heuristique des d & eacute;cideurs. La selecci & oacute;n de sucesi & oacute;n de los gerentes generales de las filiales es un proceso critico en las empresas multinacionales. La investigaci & oacute;n previa, fundamentada en el aprendizaje organizacional y las rutinas, ha encontrado que las din & aacute;micas de sucesi & oacute;n del gerente general t & iacute;picamente siguen ya se un & iacute;mpetu de aceleraci & oacute;n o de desaceleraci & oacute;n. Sin embargo, a medida que investigamos las heur & iacute;sticas de la toma de decisiones de sucesi & oacute;n mediate entrevistas con gerentes de empresas multinacionales, observamos ni aceleraci & oacute;n ni desaceleraci & oacute;n. Por el contrario, encontramos algunas din & aacute;micas consistentes de sucesi & oacute;n, algunas adoptando un enfoque basado en reglas con una din & aacute;mica corta de sucesi & oacute;n, otras adoptando un enfoque basado en metas con una din & aacute;mica de sucesi & oacute;n moderada, y otros adoptan un enfoque basado en personas con una din & aacute;mica larga de sucesi & oacute;n. Subyacente a estos modelos hab & iacute;a una racionalidad limitada, una confiabilidad limitada y sus interacciones inesperadas. Nuestro estudio arroja luz sobre el papel critico de los gerentes generales en la gerencia de la sucesi & oacute;n, enriquece la teorizaci & oacute;n en Negocios Internacionales sobre el proceso de sucesi & oacute;n de la gerencia general en las filiales, y refina las condiciones l & iacute;mite del aprendizaje organizacional. El mensaje central es que solamente mirando las din & aacute;micas de sucesi & oacute;n mediante unos lentes de aprendizaje organizaci & oacute;n puede correr el riesgo de pasar por lo alto mecanismos causales relevantes. Para que la teorizaci & oacute;n de las din & aacute;micas de la gesti & oacute;n de filiales sea m & aacute;s f & eacute;rtil, el modelo comportamental debe de tener en cuenta las idiosincrasias de la toma de decisiones, as & iacute; como tambi & eacute;n la heur & iacute;stica de los tomadores de decisi & oacute;n. A sele & ccedil;& atilde;o do sucessor do gerente geral de subsidi & aacute;ria (GM) & eacute; um processo cr & iacute;tico em empresas multinacionais (MNEs). Pesquisas anteriores, baseadas em aprendizado e rotinas organizacionais, sugeriram que a din & acirc;mica de sucess & atilde;o de GM normalmente segue um & iacute;mpeto de acelera & ccedil;& atilde;o ou desacelera & ccedil;& atilde;o. No entanto, ao investigarmos heur & iacute;sticas da tomada de decis & atilde;o de sucess & atilde;o por meio de entrevistas com gerentes de MNEs, n & atilde;o observamos acelera & ccedil;& atilde;o nem desacelera & ccedil;& atilde;o. Em vez disso, encontramos algumas consistentes din & acirc;micas de sucess & atilde;o. Dentro dessa consist & ecirc;ncia, encontramos varia & ccedil;& otilde;es nos modelos de tomada de decis & atilde;o entre subsidi & aacute;rias-algumas adotando uma abordagem baseada em regras com uma din & acirc;mica de sucess & atilde;o breve, algumas adotando uma abordagem baseada em objetivos com uma din & acirc;mica de sucess & atilde;o moderada e outras adotando uma abordagem baseada em pessoas com uma din & acirc;mica de sucess & atilde;o longa. Subjacentes a esses modelos estavam a racionalidade limitada, a confiabilidade limitada e suas inesperadas intera & ccedil;& otilde;es. Nosso estudo esclarece o papel cr & iacute;tico de gerentes na gest & atilde;o de subsidi & aacute;rias, enriquece a teoriza & ccedil;& atilde;o de neg & oacute;cios internacionais sobre o processo de sucess & atilde;o de GM de subsidi & aacute;rias e detalha as condi & ccedil;& otilde;es de contorno da aprendizagem organizacional. A mensagem central & eacute; que apenas observar a din & acirc;mica de sucess & atilde;o de GM por meio de uma lente de aprendizagem organizacional pode correr o risco de ignorar relevantes mecanismos causais. Para tornar mais f & eacute;rtil a teoriza & ccedil;& atilde;o sobre a din & acirc;mica da gest & atilde;o de subsidi & aacute;rias, o modelo comportamental considerar as idiossincrasias da tomada de decis & atilde;o, bem como as heur & iacute;sticas de tomadores de decis & atilde;o. (sic)(sic)(sic)(sic)(sic)(sic) (GM) (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic) (MNE) (sic)(sic)(sic)(sic)(sic)(sic)(sic)<Ideographic Full Stop>(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic), GM(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)<Ideographic Full Stop>(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)MNE(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)<Ideographic Full Stop>(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)<Ideographic Full Stop>(sic)(sic)(sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)--(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)<Ideographic Full Stop>(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic),(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)<Ideographic Full Stop> (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)GM(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)<Ideographic Full Stop> (sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)GM(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)<Ideographic Full Stop>(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic), (sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)(sic)<Ideographic Full Stop>
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