A helping hand is hard at work: Help-seekers' underestimation of helpers' effort


Organizational Behavior and Human Decision Processes

mars 2017, vol. 139, pp.18-29

Départements : Management et Ressources Humaines

Mots clés : Help effort, Help-seeking, Social judgment, Prosocial behavior, Decision-making

Whether people seek help depends on their estimations of both the likelihood and the value of getting it.Although past research has carefully examined how accurately help-seekers predict whether their helprequests will be granted, it has failed to examine how accurately help-seekers predict the value of thathelp, should they receive it. In this paper, we focus on how accurately help-seekers predict a key determinantof help value, namely, helper effort. In four studies, we find that (a) helpers put more effort intohelping than help-seekers expect (Studies 1–4); (b) people do not underestimate the effort others willexpend in general, but rather only the effort others will expend helping them (Study 2); and (c) thisunderestimation of help effort stems from help-seekers’ failure to appreciate the discomfort—in particular,the guilt—that helpers would experience if they did not do enough to help (Studies 3 & 4)

A Model of Mental Accounting and Reference Price Adaptation


Management Science

décembre 2017, vol. 63, n°12, pp.4201-4218

Mots clés : Mental accounting, reference price, loss aversion, sunk-cost fallacy, payment depreciation, reluctance to trade, flat-rate bias.

Consumers possess a mental account that stores the worth of items purchased and yet to be consumed. Reference prices act as the book values of these items. Movements in the account—the comparison between the reference price and the price paid at entry, and the comparison between the benefit of consumption and the reference price at exit—yield hedonic benefits. The reference price is determined by a psychological process of adaptation to the price evoked by the trade. The model is integrative, in that it explains a wide array of observed anomalies such as sunk-cost effects, payment depreciation, reluctance to trade, preference for pre-payment, and the flat-rate bias. The model also generates new testable implications

A multi-cultural study of salespeople's behavior in individual pay-for-performance compensation systems: when managers are more equal and less fair than others


Journal of Personal Selling & Sales Management

septembre 2017, vol. 37, n°3, pp.198-212

Départements : Marketing, GREGHEC (CNRS)

Mots clés : financial incentives; fairness; salespeople; international compensation; culture

In this research, we examine salespeople’s behavior in individual pay-for-performance compensation systems and show how perceived management fairness seems to energize sales employees in some environments but not in others. We use alarge multicountry database of individual-level remuneration for more than 2,500 salespeople across four B2B industrysectors to demonstrate cultural adaptations of the effect of perceived management fairness. The results indicate that topmanagement should be concerned with employees’ perceptions of fairness in addition to the more typical concerns ofcontrol and motivation widely acknowledged in the microeconomics-based sales-force compensation literature. Inparticular, we show that perceptions of management fairness are key to salespeople’s proportion of total pay generated by pay-for-performance formulas.

Alleviating Managerial Dilemmas In Human-Capital-Intensive Firms Through Incentives: Evidence From M&A Legal Advisors


Strategic Management Journal

février 2017, vol. 38, pp.232-254

Départements : Stratégie et Politique d’Entreprise, GREGHEC (CNRS)

Mots clés : Human-Capital-Intensive Firms, Human Capital, Managerial Dilemmas, Incentives, Capabilities, Micro-foundations, Mergers and Acquisitions, Law firms

We examine how human-capital-intensive firms deploy their human assets and how firm-specific human capital interacts with incentives to influence this deployment. Our empirical context is the UK M&A legal market, where micro-data enable us to observe the allocation of lawyers to M&A mandates under different incentive regimes. We find that law firms actively equalize the workload among their lawyers to seek efficiency gains while ‘stretching’ lawyers with high firm-specific capital to a greater extent. However, lawyers with high firm-specific capital also appear to influence the staffing process in their favor, leading to unbalanced allocations and less sharing of projects and clients. Paradoxically, law firms may adopt a seniority-based rent-sharing system that weakens individual incentives to mitigate the impact of incentive conflicts on resource deployment

An Experience-Utility Explanation of the Preference for Larger Assortments


International Journal of Research in Marketing

septembre 2017, vol. 34, n°3, pp.746-760

Départements : Marketing, GREGHEC (CNRS)

Mots clés : Assortment size; Affect; Emotion; Consumer decision making

Although choosing from large assortments has often been found to be demotivating, a robust finding in the marketing literature is that consumers generally prefer larger product assortments. Standard explanations for this preference for larger assortments have focused on reason-based considerations revolving around large assortments enabling potentially “better” choices. This paper offers a different and novel, affect-based explanation. We argue that the relative preference for larger assortments is driven in part by the greater experience utility that consumers derive from reviewing such assortments. Because most products are carriers of positive affect, consumers tend to derive greater experience utility from reviewing larger assortments compared to smaller assortments. Support for this general proposition was found across four experimental studies using different strategies to document the role of affect-based experience utility in driving the preference for larger assortments. Theoretical and substantive implications are discussed

Analyzing Degree of Parallelism for Concurrent Timed Workflow Processes With Shared Resources

Yanhua DU, Li WANG, X. LI

IEEE Transactions on Engineering Management

février 2017, vol. 64, n°1, pp.42 - 56

Départements : Information Systems and Operations Management, GREGHEC (CNRS)

Mots clés : Business, Servers, Computational modeling, Uncertainty, Analytical models, Processor scheduling, workflow management, Business process management, degree of parallelism, Petri net (PN), timed workflow net (TWF-Net)

Degree of parallelism is an important factor in workflow process management, because it is useful to accurately estimate the server costs and schedule severs in workflow processes. However, existing methods that are developed to compute degree of parallelism neglect to consider activities with uncertain execution time. In addition, these methods are limited in dealing with the situation where activities in multiple concurrent workflow processes use shared resources. To address the limitations, we propose a new approach to analyzing degree of parallelism for concurrent workflow processes with shared resources. Superior over the existing methods, our approach can compute degree of parallelism for multiple concurrent workflow processes that have activities with uncertain execution time and shared resources. Expectation degree of parallelism is useful to estimate the server costs of the workflow processes, and maximum degree of parallelism can guide managers to allocate severs or virtual machines based on the business requirement. We demonstrate the application of the approach and evaluate the effectiveness in a real-world business scenario.

Assembling international development: Accountability and the disarticulation of a social movement


Accounting Organizations and Society

février 2017, vol. 63, pp.6-20

Départements : Comptabilité et Contrôle de Gestion, GREGHEC (CNRS)

Mots clés : Accountability, Social movements, International development, Non-governmental organizations (NGOs), Governmentality, Assemblages

This paper examines how international development funding and accountability requirements are implicated in the so-called disarticulation of a social movement. Based on field studies in Guatemala and El Salvador, we show and explain the way accountability requirements, which encompass management and accounting, legal, and financial technologies, constitute the field of international development through the regulation of heterogeneous social movement organizations. We highlight how accountability enables a form of governance that makes possible the emergence of entities (with specific attributes), while restricting others. Our analysis has implications for governmentality studies that have examined the interrelation of assemblages by analyzing how these interrelations are operationalized at the field level through the Deleuze-and-Guattari-inspired processes of territorialization, coding, and overcoding

Behavioral Strategy and the Strategic Decision Architecture of the Firm


California Management Review

2017, vol. 59, n°3, pp.5-21

Départements : Stratégie et Politique d’Entreprise

Mots clés : behavioral strategy, psychology, cognitive bias, strategic decision process

This special issue explores the impacts of behavioral strategy on managementpractice. Behavioral strategy can best contribute to management practice by shifting its focus from individual decision biases to the design of behaviorally informed decision processes at the level of the firm. This introduction identifies three types of organizational decision processes, shows how they interact with individual and group biases, and proposes a model showing how managers can design and deploy these processes to shape the strategy of the firm. It then introduces the articles in this special issue and discusses their contributions to the future of behavioral strategy

Better Safe than Sorry: Subsidiary Performance Feedback and Internal Governance in Multiunit Firms


Journal of Management

novembre 2017, vol. 43, n°8, pp.2526-2554

Départements : Stratégie et Politique d’Entreprise, GREGHEC (CNRS)

Dirigé par: Special Issue: Resource Allocation and Strategy

Mots clés : autonomy, governance, incentives, organization design, performance feedback, resource allocation, structural adaptation

This paper explores the link between subsidiary performance feedback and internal governance mechanisms in multiunit firms. A central premise of performance feedback models is that performance below aspirations is associated with increased risk tolerance and thereby with a higher likelihood of taking excessive risks in resource allocation decisions. Building on this observation, we contend that the headquarters of multiunit firms take this association into account in the design of internal (i.e., headquarters-subsidiary) governance mechanisms. Accordingly, a subsidiary’s performance-aspiration gap (below aspirations) is positively associated with the headquarters’ oversight of its resource allocation decisions and negatively associated with the provision of incentive schemes that promote risk taking. Regression results, using data on subsidiaries in France between 1998 and 2004, support our hypotheses and show that subsidiaries performing below historical and social aspirations are less likely to be given discretion in investment decisions and incentivized by cash bonuses. In the supplementary analyses we also provide suggestive evidence that subsidiary performance problems in multiunit firms trigger structural adaptation in the internal governance mechanisms in pursuit of regaining fit

Better together: using meta-analysis to explore complementarities between ecological and institutional theories of organization


Organization Studies

novembre 2017, vol. 38, n°11, pp.1573-1601

Départements : Management et Ressources Humaines, GREGHEC (CNRS)

While sharing intellectual ancestry, organizational ecology and institutionalism are rarely used conjointly to explain population dynamics. A rapprochement would nevertheless be fruitful, as the parsimonious models developed by ecologists are better able to explain organizational founding and failure when enriched with institutional variables. We present a meta-analysis of density dependence theory, which predicts a non-monotonic relationship between population density and organizational vital events. We show that ecology and institutionalism are ‘better together’ by extending this ecological framework in four institutionalism-inspired ways. First, we show that the effects of density on organizational vital rates are moderated by two conceptions of time: ecological ‘clocks’ and institutional ‘eras’. Second, we argue that the socio-political legitimacy of organizational forms, a concept with strong institutional roots, exacerbates density-related founding while attenuating failure. Third, we illustrate how the emergence of prototypical categories in organizational fields can increase the magnitude of density effects. Fourth, we highlight how these socio-political legitimacy and categorization effects are conditioned by ecological clock time. We close by proposing a concise agenda for future research, aimed at finding a better balance between the generality and explanatory power of our most trusted organizational theories. © 2017, © The Author(s) 2017