Publication database

Through two studies we observed, that leaders must make a concerted effort to encourage assertiveness and speak-up behavior in their area of responsibility by asking open-ended questions before posing solutions, even (and especially) in high-stakes and urgent situations. When people are under pressure, it’s not uncommon for many to shut down and grow quiet as oppose to proactive. This is why inquiry must be used as a means for getting information — especially during crises. Further, leader’s encouragement will help to create an environment of psychological safety, and the solutions they gather will be much better for it. A business framework that emphasizes leading with questions, and one that trains and retains leaders with this skill set, is capable of achieving operational excellence.

Cybersicherheit ist für Europa zu einer Schlüsselfrage der globalen digitalen Transformation geworden. Mit dem Cybersecurity Act, also der Cybersicherheitsverordnung, hat die EU einen rechtlichen Rahmen mit dem Anspruch globaler Ausstrahlung vorgelegt. Eingebettet in eine Politik, die digitale Souveränität mit strategischer Verflechtung kombiniert, kann die Verordnung das Tor zu einem dritten Weg Europas im Cyberraum sein, der zwischen dem US-amerikanischen Modell der Marktfreiheit und dem chinesischen Modell des autori- tären Staatskapitalismus verläuft. Der Cybersecurity Act wird verbindlicher Handlungsrahmen und Rückenwind für die bundesdeutsche Cybersicherheitspolitik sein.

Case studies of business and management success tend to focus on factors such as leadership, innovation, competition, and geography, but what about good fortune? This book highlights luck as a key idea for business and society.

The author provides insights from economics, sociology, political science, philosophy, and psychology to create a brief intellectual history of luck. In positioning luck as a key idea in management, the book analyzes various facets of fortune such as randomness, serendipity, and opportunity. Often overlooked given psychological bias toward meritocratic explanations, this book quantifies luck to establish the idea in a more central role in understanding variations in business performance.

In bringing the concept of luck in from the periphery, this concise book is a readable overview of management which will help students, scholars, and reflective practitioners see the subject in a new light.

While losing a valuable employee to competition shouldn't be celebrated, it does provide an opportunity for innovation and collaboration

© copyright Mark Allen Group 2019

We study a firm's capacity choice under demand uncertainty given it must finance this investment externally.
Sharing profits with investors causes governance problems affecting both capacity and demand: the firm may “steal" capital, which reduces effective capacity, and \shirk" on market-development, which reduces demand. We adopt an optimal contracting approach whereby the firm optimizes among feasible financial claims derived endogenously. We characterize its optimal financing and capacity choices. First, debt financing is optimal: it minimizes the incentives to both divert and shirk. Second, the firm underinvests (overinvests) if the effort problem is mild (severe) enough relative to the diversion problem. Thus, a worsening of the same governance problem can lead to over- or underinvestment depending on circumstances. Third, we find that the diversion and shirking problems interact in their impact on capacity investment. In particular, if the shirking problem is mild enough, the more severe the diversion problem, the less the firm invests. However, if the shirking problem is severe enough, the effect of diversion is reversed: the more severe the diversion problem, the more the firm invests.

Copyright © 2019, INFORMS

This paper studies five mergers in the European wireless telecommunication industry and analyzes their impact on prices and capital expenditures of both merging carriers and their rivals. We find substantial heterogeneity in the relationship between increases in concentration and carriers’ prices. The specifics of each merger case clearly matter. Moreover, we find a positive correlation between the price and the investment effects; when the prices after merger increase (decrease), the investments increase (decrease) too. Thus, we document a trade-off between static and dynamic efficiencies of mergers.

Copyright © 2019, The Author(s)

Today’s digital strategy of governments worldwide is failing. The result is a weakening of government functions in the digital sphere – with risks for democracy and freedom. Digital innovation on a society-wide scale will only be effective if governments adopt stronger digital strategies. Key issues are a principle-oriented, less-specific digital regulation, bigger government’s spendings for digital infrastructures, a greater autonomy of state and local governments, and the establishment of a ‚Ministry for Digital Affairs“.

How performance is perceived and attributed has important implications for strategizing. Much research in the cognitive and social sciences suggests that people tend to mistake luck for skill in evaluations and ignore how future performances regress to the mean. We argue that these systematic mistakes can be translated into an alternative source of profit: informed strategists can take advantage of others’ misattributions of luck by exploiting the false expectations and mispricing in strategic factor markets. We also discuss the learning and interdependency barriers that protect, and thus predict the attractiveness of, a behavioral opportunity and suggest approaches to help overcome these behavioral barriers.

With permission of the Academy of Management