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This study examines the joint effects of diversity composition (as manifested in faultline strength) and diversity management (as manifested in diversity climate) on loyal behavior. Using data gathered from a sample of 1,652 managerial employees in 76 work units, we assessed the crosslevel effects of unit-level relationship-and task-related faultline strength and diversity climate on individual-level loyal behavior of managerial employees. We found a negative relationship between gender faultline strength and loyal behavior, and a positive relationship between diversity climate and loyal behavior. In addition, we found that work unit diversity climate moderated the relationships between the strength of gender and function faultlines and loyal behavior; specifically, a supportive diversity climate reduced the negative consequences associated with relationshiprelated faultlines and increased the positive consequences associated with task-related faultlines. The results highlight the value of simultaneously considering faultlines and diversity climate in understanding and managing workforce diversity. ABSTRACTThis study examines the joint effects of diversity composition (as manifested in faultline strength) and diversity management (as manifested in diversity climate) on loyal behavior. Using data gathered from a sample of 1,652 managerial employees in 76 work units, we assessed the crosslevel effects of unit-level relationship-and task-related faultline strength and diversity climate on individual-level loyal behavior of managerial employees. We found a negative relationship between gender faultline strength and loyal behavior, and a positive relationship between diversity climate and loyal behavior. In addition, we found that work unit diversity climate moderated the relationships between the strength of gender and function faultlines and loyal behavior; specifically, a supportive diversity climate reduced the negative consequences associated with relationship-related faultlines and increased the positive consequences associated with task-related faultlines. The results highlight the value of simultaneously considering faultlines and diversity climate in understanding and managing workforce diversity.

Research summary Drawing on the demographic faultline perspective and the concept of attribute‐specific faultlines, we investigate the effect of top management team (TMT) relationship‐related (gender, age, educational level) and task‐related (functional background, tenure) faultline strengths on strategic change. In a panel study (2003–2015), we find that TMT relationship‐related faultline strength (especially educational‐level) negatively influences strategic change whereas TMT task‐related faultline strength positively affects strategic change. Environmental dynamism reduces the negative effect of TMT gender and educational‐level faultline strengths on strategic change while in fact revealing a notable positive effect between TMT age‐faultline strength and strategic change. Additionally, environmental dynamism strengthens the positive effects of task‐related TMT faultline strength on strategic change. We offer theoretical and practical implications to both the demographic faultlines and upper echelons research domains. Managerial summary Top management teams (TMTs) in firms can fracture into subgroups based on demographic characteristics (e.g., age, gender, and education level) as well as based on task‐related characteristics (e.g., functional background, and tenure). We call the former relationship‐related faultlines and the latter task‐related faultlines. We predict and find that stronger relationship based faultlines hinders between subgroup cohesion, reducing TMTs' ability to initiate strategic change. We also predict and find that stronger task‐related faultlines facilitate inter‐subgroup knowledge‐sharing, improving TMTs' ability to initiate strategic change. We find that environmental dynamism reduces the negative effect of most relationship‐related faultlines (except age where this effect is positive) on strategic change, while strengthening the positive effect of task‐related faultline strengths on strategic change.

Using a sample of 56 science research teams, the authors examined (a) the relationships between qualities of team internal and external networks and team performance and (b) the moderating impact of task routineness on these relationships. The authors argued that the mixed empirical results of past studies investigating the relationship between internal networks and performance may be due partly to variations in task routineness and partly to the presence of curvilinear relationships between network qualities and team performance. Using an objective measure of team performance, the results revealed support for both explanations. The authors found an inverted-U relationship between internal trust relationship strength and team performance and a positive linear relationship between external work relationship strength and team performance. Furthermore, task routineness moderated these relationships, as predicted. Future scholarship and practice may be advanced by attending to the boundary conditions under which strong internal and external team networks are likely to be beneficial to the performance of knowledge-intensive teams.

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