Decision making within and between organizations: Rationality, politics, and alliance performance

Item Type Journal paper
Abstract

This study extends research on strategic decision making into the realm of strategic al-liances by examining the interactive effect of decision process characteristics at the firm and al-liance levels on alliance performance. Located both within and at the boundary between partners, alliance-related decision processes have to balance each partner's self-interest on one hand and collective actions on the other hand, with both partners being dependent on each other's collabo-ration. Using primary, cross-sectional data obtained from 103 high-technology alliances, we study the effects of procedural rationality and politics in decision making. Our results corroborate the importance of procedural rationality that facilitates collective actions between alliance partners, but also uncover the pitfall of an unconditional reliance on procedural rationality at the firm level. Our results further show that politically charged decision processes impair decision makers' ability to reconcile individual interests both within and between alliance partners, and therefore jeopardize alliance performance.

Authors Walter, Jorge; Kellermanns, F.W. & Lechner, Christoph
Journal or Publication Title Journal of Management
Language English
Subjects business studies
HSG Classification contribution to scientific community
Refereed Yes
Date September 2012
Publisher Journal of Management
Place of Publication Thousand Oaks, CA/USA
Volume 38
Number 5
Page Range 1582-1610
Number of Pages 29
ISSN 10525629
ISSN-Digital 1557-1211
Publisher DOI 10.1177/0149206310363308
Depositing User Prof. Dr. Christoph Lechner
Date Deposited 13 Apr 2010 10:59
Last Modified 23 Aug 2016 11:07
URI: https://www.alexandria.unisg.ch/publications/61738

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Citation

Walter, Jorge; Kellermanns, F.W. & Lechner, Christoph (2012) Decision making within and between organizations: Rationality, politics, and alliance performance. Journal of Management, 38 (5). 1582-1610. ISSN 10525629

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https://www.alexandria.unisg.ch/id/eprint/61738
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