To more completely understand the basis for firm performance differences, we need greater clarity on the drivers of differentiation in managerial strategic decision making, as well as on the impact these decisions have on the composition and configuration of the firm’s resource portfolio. In this article, we provide an integrative framework that illustrates how strategic leaders influence firm strategy and performance. Our model clarifies the role that dynamic managerial capabilities play in fashioning a unique bundle of resources for the firm, thus leading to differences in firm strategies and performance outcomes. The process is illustrated by examples drawn from industry.
AndrewsK. (1971). The concept of corporate strategy. Homewood, IL: Dow-Jones Irwin.
4.
BantelK. A.JacksonS. E. (1989). Top management and innovations in banking: Does the composition of the top team make a difference?Strategic Management Journal, 10, 107-124.
5.
BarneyJ. (1986). Types of competition and the theory of strategy: Toward an integrative framework. Academy of Management Review, 11, 791-800.
6.
BatesT. (1990). Entrepreneur human capital inputs and small business longevity. Review of Economics and Statistics, 72, 551-559.
7.
BeckerG. (1964). Human capital. New York, NY: Columbia University Press.
8.
CastaniasR. P.HelfatC. E. (1991). Managerial resources and rents. Journal of Management, 17, 155-171.
9.
CastaniasR. P.HelfatC. E. (2001). The managerial rents model: Theory and empirical analysis. Journal of Management, 27, 661-678.
10.
ChamberlainE. H. (1933). The theory of monopolistic competition. Cambridge, MA: Harvard University Press.
11.
ChildJ. (1972). Organizational structure, environment and performance: The role of strategic choice. Sociology, 6, 1-22.
12.
CombsJ.SkillM. (2003). Managerialist and human capital explanations for key executive pay premiums: A contingency perspective. Academy of Management Journal, 46, 63-73.
13.
DuttonJ.DuncanR. (1987). The creation of momentum for change through the process of strategic issue diagnosis. Strategic Management Journal, 8, 279-295.
EisenhardtK. M.MartinJ. M. (2000). Dynamic capabilities: What are they?Strategic Management Journal, 21, 1105-1121.
16.
FiskeS. T.TaylorS. E. (1984). Social cognition. New York, NY: Random House.
17.
FondasN.WiersemaM. F. (1997). Changing of the guard: The influence of CEO socialization on strategic change. Journal of Management Studies, 34, 561-584.
18.
GabbayS. M.ZuckermanE. W. (1998). Social capital and opportunity in corporate R&D: The contingent effect of contact density on mobility expectations. Social Science Research, 27, 189-217.
19.
GimenoJ.FoltaT. B.CooperA. C.WooC. Y. (1997). Survival of the fittest? Entrepreneurial human capital and the persistence of underperforming firms. Administrative Science Quarterly, 42, 750-783.
20.
GioiaD. A. (1986). Conclusion: The state of the art in organizational social cognition: A personal view. In SimsH. P.GioiaD. A. (Eds.), The thinking organization: Dynamics of organizational social cognition (pp. 336-356). San Francisco, CA: Jossey-Bass.
21.
GioiaD. A.ChittipeddiK. (1991). Sensemaking and sensegiving in strategic change initiation. Strategic Management Journal, 12, 433-448.
22.
GuptaA.GovindarajanV. (1984). Business unit strategy, managerial characteristics, and business unit effectiveness at strategy implementation. Academy of Management Journal, 27, 25-41.
23.
HansenM. T. (1998). Combining network centrality and related knowledge: Explaining effective knowledge sharing in multiunit firms (Working paper). Boston, MA: Harvard Business School.
24.
HargadonA.SuttonR. I. (1997). Technology brokering and innovation in a product development firm. Administrative Science Quarterly, 42, 716-749.
25.
HelmichD.BrownW. (1972). Successor type and organizational change in the corporate enterprise. Administrative Science Quarterly, 17, 371-381.
26.
HelfatC. E.FinkelsteinS.MitchellW.PeterafM. A.SinghH.TeeceD. J.WinterS. G. (2007). Dynamic capabilities: understanding strategic change in organizations. Malden, MA: Blackwell.
27.
HoferC. (1980). Turnaround strategies. Journal of Business Strategy, 1, 19-31.
28.
KorY. K.MeskoA. (2012). Dynamic managerial capabilities: Configuration and orchestration of top executives’ capabilities and the firm’s dominant logic. Strategic Management Journal. Advance online publication. doi:10.1002/smj.2000
29.
LinN. (1999). Social networks and status attainment. Annual Review of Sociology, 25, 467-487.
LylesM.SchwenkC. (1992). Top management, strategy and organizational knowledge structures. Journal of Management Studies, 29, 155-174.
32.
MartinJ. (2011). Dynamic managerial capabilities and the multibusiness team: The role of episodic teams in executive leadership groups. Organization Science, 22, 188-140.
33.
McCartneyK.HarrisM. J.FrankB. (1990). Growing up and growing apart. Psychological Bulletin, 107, 226-237.
34.
MillerD.FriesenP. (1980). Momentum and revolution in organizational adaptation. Academy of Management Journal, 23, 591-614.
35.
NahapietJ.GhoshalS. (1998). Social capital, intellectual capital, and the organizational advantage. Academy of Management Review, 23, 242-266.
36.
NordhaugO. (1994). Human capital in organizations: Competence, training and learning. New York, NY: Oxford University Press.
37.
PenroseE. (1959). The theory of the growth of the firm. London, England: Basil Blackwell.
38.
RosenthalE. A. (1996). Social networks and team performance (Unpublished doctoral dissertation). University of Chicago, IL.
39.
RubinP. H. (1973). The expansion of firms. Journal of Political Economy, 81, 936-945.
40.
SirmonD. G.HittM. A. (2009). Contingencies within dynamic managerial capabilities: Interdependent effects of resource investment and deployment on firm performance. Strategic Management Journal, 30, 1375-1394.
41.
SirmonD. G.HittM. A.IrelandR. D. (2007). Managing firm resources in dynamic environments to create value: Looking inside the black box. Academy of Management Review, 32, 273-292.
TripsasM.GavettiG. (2000). Capabilities, cognition, and inertia: Evidence from digital imaging. Strategic Management Journal, Special Issue 21, 1147-1162.
44.
TsaiW.GhoshalS. (1998). Social capital and value creation: The role of intrafirm networks. Academy of Management Journal, 41, 464-478.
45.
TushmanM.ViranyB.RomanelliE. (1985). Executive succession, strategic reorientations, and organizational evolution. Technology in Society, 7, 297-313.
46.
WalshJ. P. (1995). Managerial and organizational cognition: Notes from a trip down memory lane. Organization Science, 6, 280-321.
47.
WernerfeltB. (1984). A resource-based view of the firm. Strategic Management Journal, 5, 171-180.
48.
WiersemaM. F. (1992). Strategic consequences of executive succession within diversified firms. Journal of Management Studies, 29, 73-94.
