Why Managers Still Matter

Nicolai Juul Foss, Peter G. Klein

    Research output: Contribution to journalJournal articleResearchpeer-review

    Abstract

    This article is based on several years of empirically and practically based research into the internal organization of leading companies. We have studied and consulted with companies in the medical devices, toy, manufacturing and financial services industries and concluded that organizational design — decision authority, incentive structures, monitoring systems and the like — is often more important than culture, tacit capabilities and other “softer” elements of organizational structure and behavior, not only for mature companies but for emerging businesses and industries as well. Our research includes case studies of single companies and statistical analysis of large data sets. We offer a general, theoretical explanation for how entrepreneurial initiative, innovation and responsibility should be distributed within companies in our recent book, Organizing Entrepreneurial Judgment.i In addition, Foss has published several quantitative, survey-based articles on delegation within companiesii and has coauthored Innovating Organization and Management,iii which includes case studies about the changing internal organization of Danish companies. With Tina Saebi, Foss is editing a forthcoming book on business model innovation, Business Model Innovation: The Organizational Dimension (Oxford University Press, in press) that focuses on how managerial authority and organizational design support business model innovation. Klein has published empirical studies on how large companies organize themselves to balance authority and empowerment in financial services and manufacturing and how technology, market conditions and organizational.
    Original languageEnglish
    JournalM I T Sloan Management Review
    Volume56
    Issue number1
    Pages (from-to)73-80
    ISSN1532-9194
    Publication statusPublished - 2014

    Cite this

    Foss, Nicolai Juul ; Klein, Peter G. / Why Managers Still Matter. In: M I T Sloan Management Review. 2014 ; Vol. 56, No. 1. pp. 73-80.
    @article{c18dd199bffc434c9249a5bcc43aee6b,
    title = "Why Managers Still Matter",
    abstract = "This article is based on several years of empirically and practically based research into the internal organization of leading companies. We have studied and consulted with companies in the medical devices, toy, manufacturing and financial services industries and concluded that organizational design — decision authority, incentive structures, monitoring systems and the like — is often more important than culture, tacit capabilities and other “softer” elements of organizational structure and behavior, not only for mature companies but for emerging businesses and industries as well. Our research includes case studies of single companies and statistical analysis of large data sets. We offer a general, theoretical explanation for how entrepreneurial initiative, innovation and responsibility should be distributed within companies in our recent book, Organizing Entrepreneurial Judgment.i In addition, Foss has published several quantitative, survey-based articles on delegation within companiesii and has coauthored Innovating Organization and Management,iii which includes case studies about the changing internal organization of Danish companies. With Tina Saebi, Foss is editing a forthcoming book on business model innovation, Business Model Innovation: The Organizational Dimension (Oxford University Press, in press) that focuses on how managerial authority and organizational design support business model innovation. Klein has published empirical studies on how large companies organize themselves to balance authority and empowerment in financial services and manufacturing and how technology, market conditions and organizational.",
    author = "Foss, {Nicolai Juul} and Klein, {Peter G.}",
    year = "2014",
    language = "English",
    volume = "56",
    pages = "73--80",
    journal = "M I T Sloan Management Review",
    issn = "1532-9194",
    publisher = "Massachusetts Institute of Technology",
    number = "1",

    }

    Foss, NJ & Klein, PG 2014, 'Why Managers Still Matter', M I T Sloan Management Review, vol. 56, no. 1, pp. 73-80.

    Why Managers Still Matter. / Foss, Nicolai Juul; Klein, Peter G.

    In: M I T Sloan Management Review, Vol. 56, No. 1, 2014, p. 73-80.

    Research output: Contribution to journalJournal articleResearchpeer-review

    TY - JOUR

    T1 - Why Managers Still Matter

    AU - Foss, Nicolai Juul

    AU - Klein, Peter G.

    PY - 2014

    Y1 - 2014

    N2 - This article is based on several years of empirically and practically based research into the internal organization of leading companies. We have studied and consulted with companies in the medical devices, toy, manufacturing and financial services industries and concluded that organizational design — decision authority, incentive structures, monitoring systems and the like — is often more important than culture, tacit capabilities and other “softer” elements of organizational structure and behavior, not only for mature companies but for emerging businesses and industries as well. Our research includes case studies of single companies and statistical analysis of large data sets. We offer a general, theoretical explanation for how entrepreneurial initiative, innovation and responsibility should be distributed within companies in our recent book, Organizing Entrepreneurial Judgment.i In addition, Foss has published several quantitative, survey-based articles on delegation within companiesii and has coauthored Innovating Organization and Management,iii which includes case studies about the changing internal organization of Danish companies. With Tina Saebi, Foss is editing a forthcoming book on business model innovation, Business Model Innovation: The Organizational Dimension (Oxford University Press, in press) that focuses on how managerial authority and organizational design support business model innovation. Klein has published empirical studies on how large companies organize themselves to balance authority and empowerment in financial services and manufacturing and how technology, market conditions and organizational.

    AB - This article is based on several years of empirically and practically based research into the internal organization of leading companies. We have studied and consulted with companies in the medical devices, toy, manufacturing and financial services industries and concluded that organizational design — decision authority, incentive structures, monitoring systems and the like — is often more important than culture, tacit capabilities and other “softer” elements of organizational structure and behavior, not only for mature companies but for emerging businesses and industries as well. Our research includes case studies of single companies and statistical analysis of large data sets. We offer a general, theoretical explanation for how entrepreneurial initiative, innovation and responsibility should be distributed within companies in our recent book, Organizing Entrepreneurial Judgment.i In addition, Foss has published several quantitative, survey-based articles on delegation within companiesii and has coauthored Innovating Organization and Management,iii which includes case studies about the changing internal organization of Danish companies. With Tina Saebi, Foss is editing a forthcoming book on business model innovation, Business Model Innovation: The Organizational Dimension (Oxford University Press, in press) that focuses on how managerial authority and organizational design support business model innovation. Klein has published empirical studies on how large companies organize themselves to balance authority and empowerment in financial services and manufacturing and how technology, market conditions and organizational.

    M3 - Journal article

    VL - 56

    SP - 73

    EP - 80

    JO - M I T Sloan Management Review

    JF - M I T Sloan Management Review

    SN - 1532-9194

    IS - 1

    ER -