The Effects of Culture and Structure on Strategic Flexibility During Business Model Innovation

Journal of Management Studies, 2012

44 Pages Posted: 10 Jan 2010 Last revised: 5 Sep 2011

See all articles by Adam J Bock

Adam J Bock

University of Wisconsin-Madison School of Business

Tore Opsahl

Imperial College London - Entrepreneurship, Innovation, and Technology Management

Gerard George

Singapore Management University

David Gann

Imperial College London - Innovation Studies Centre

Multiple version iconThere are 2 versions of this paper

Date Written: July 1, 2011

Abstract

This study uses responses from 107 multinational firms to reveal CEO perceptions of the drivers of strategic flexibility during business model innovation. While the positive effect of creative culture is confirmed, partner reliance reduces strategic flexibility during business model innovation. Further, structural change is disaggregated into efforts that either focus managerial attention on core activities or reconfigure existing activities. CEOs perceive that structural flexibility requires structural simplification while retaining control of non-core functions. We find that the relative magnitude of business model innovation effort moderates the effect of reconfiguration on strategic flexibility. The implications for theories of organizational design and dynamic capabilities are discussed.

Keywords: strategic flexibility, business model, innovation, formal organization, structure, culture

JEL Classification: M1, M13, L20, D21

Suggested Citation

Bock, Adam Jay and Opsahl, Tore and George, Gerard and Gann, David M., The Effects of Culture and Structure on Strategic Flexibility During Business Model Innovation (July 1, 2011). Journal of Management Studies, 2012, Available at SSRN: https://ssrn.com/abstract=1533742

Adam Jay Bock (Contact Author)

University of Wisconsin-Madison School of Business ( email )

Madison, WI
United States

Tore Opsahl

Imperial College London - Entrepreneurship, Innovation, and Technology Management ( email )

South Kensington Campus
Exhibition Road
London, SW7 2AZ
United Kingdom
+44 20 7594 3035 (Phone)

HOME PAGE: http://toreopsahl.com

Gerard George

Singapore Management University ( email )

469 Bukit Timah Road
Singapore 912409
Singapore

HOME PAGE: http://www.smu.edu.sg/faculty/profile/118836/Gerry-GEORGE

David M. Gann

Imperial College London - Innovation Studies Centre ( email )

South Kensington Campus
Exhibition Road
London SW7 2AZ, SW7 2AZ
United Kingdom

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