2014
DOI: 10.1002/smj.2230
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Structural interdependence within top management teams: A key moderator of upper echelons predictions

Abstract: Studies of the effects of top management team (TMT) composition on organizational outcomes have yielded mixed and confusing results. A possible breakthrough resides in the reality that TMTs vary in how they are fundamentally structured. Some are structured such that members operate independently of each other, while others are set up such that roles are highly interdependent. We examine the potential for three facets of structural interdependence—horizontal, vertical, and reward interdependence—to resolve ambi… Show more

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Cited by 225 publications
(170 citation statements)
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References 43 publications
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“…We computed an index for egalitarian culture by taking an inverse of, and then standardizing and averaging the following four items: (1) coefficient of variation of total pay (tdc1 in Compustat) for top five executives; (2) the coefficient of variation of total pay of the top four non‐CEO executives; (3) ratio of the CEO's pay relative to average pay of the four non‐CEO executives; (4) TMT pay co‐movement captured by applying the approach used by Hambrick, Humphrey, and Gupta () for total executive pay.…”
mentioning
confidence: 99%
“…We computed an index for egalitarian culture by taking an inverse of, and then standardizing and averaging the following four items: (1) coefficient of variation of total pay (tdc1 in Compustat) for top five executives; (2) the coefficient of variation of total pay of the top four non‐CEO executives; (3) ratio of the CEO's pay relative to average pay of the four non‐CEO executives; (4) TMT pay co‐movement captured by applying the approach used by Hambrick, Humphrey, and Gupta () for total executive pay.…”
mentioning
confidence: 99%
“…Over time, theoretical enhancements and empirical validations extended the upper echelon perspective to include new constructs, explore points of intersection with other established frameworks, and establish external validity through sampling in new populations (Hambrick, Humphrey, & Gupta, 2015). Colbert and her colleagues add to this rich body of knowledge by considering the distinct role of CEOs and TMTs, and by explicitly including personality traits of senior executives in their model.…”
Section: Discussionmentioning
confidence: 99%
“…Validating TMT characteristics can facilitate the prediction of organizational strategic decisions and business performance. Experience characteristics refer to members' cognitive foundations and values at a psychological level, as well as their age, professional history and experiences, professional background, organizational tenure, and international experiences [23,24]. Murray [25] asserted that any manager of the rank of deputy general manager or higher could be a TMT member [7].…”
Section: Tmt Experience Characteristics and Strategic Decision-makingmentioning
confidence: 99%
“…Improved communication quality reduces managers' risk perceptions, thereby increasing their willingness to take risks. Teams with more tenure experience have more time to establish a consensus because team members can draw on team experiences when making decisions, thereby reducing their perceived risk [2,24]. Management teams with a prominent background in productivity are concerned with manufacturing, research and development, innovation and improvement, and long-term investment, all of which facilitate innovation.…”
Section: Mediating Effect Of Mental Models and Risk Perceptionsmentioning
confidence: 99%