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Article
Publication date: 24 June 2020

Pratima Verma, R.R.K. Sharma, Vimal Kumar, Sung Chi Hsu and Kuei-Kuei Lai

The paper aims to investigate organizational variables and develop their relationship with horizontal strategy. The cultural dimensions and organization structure have been…

1222

Abstract

Purpose

The paper aims to investigate organizational variables and develop their relationship with horizontal strategy. The cultural dimensions and organization structure have been considered as organizational variables. The study also aims to shed light on the implementation horizontal strategy in conglomerates.

Design/methodology/approach

A survey was carried out with 122 conglomerate firms for examination. These companies were chosen to be of different sizes and sectors. The multiple regression analysis was utilized to analyze the data.

Findings

The results reveal that conglomerate firms also have a horizontal strategy. Additionally, organizational cultural dimensions namely, collectivism, clan culture, market culture and long-term orientation; formal and informal relationship; and horizontal organization structure (HOS) have positive and significant relationship with horizontal strategy. No significant relationship was found between uncertainty avoidance and adhocracy culture, and horizontal strategy.

Research limitations/implications

The major contributions of this study are explicitly identified as horizontal strategy exists in the conglomerate firms where the few organizational variables play a significant role in horizontal strategy implementation.

Originality/value

This study has been done in an effort to make supporting guidelines to fill the gaps in conglomerate firms. This study offers an effective role of cultural dimensions and structure as drivers of horizontal strategy implementation, and this study spells out and extends the literature and proposes a conceptual framework.

Details

Benchmarking: An International Journal, vol. 29 no. 5
Type: Research Article
ISSN: 1463-5771

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Article
Publication date: 1 December 1998

Prescott C. Ensign

Discusses how interrelationships can be developed for synergy. Also focuses on horizontal strategy as a way to achieve competitive advantage. Organizational context can determine…

6722

Abstract

Discusses how interrelationships can be developed for synergy. Also focuses on horizontal strategy as a way to achieve competitive advantage. Organizational context can determine a firm’s motivation and ability to develop interrelationships that result in overall competitive advantage. Corporate strategy must move beyond the idea that the primary way of creating synergy is the combination of related businesses (by buying and selling businesses). Corporate strategy must focus on creating value that is independent of business unit value. This means developing horizontal strategies that have the objective of coordinating activities and developing programs that encourage the sharing of resources and skills. An understanding of the horizontal organization helps to emphasize that organizational structure and processes are significant in developing interrelationships with the potential to reach the goals of synergy and competitive advantage.

Details

Management Decision, vol. 36 no. 10
Type: Research Article
ISSN: 0025-1747

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Article
Publication date: 3 October 2016

Jukka Pellinen, Henri Teittinen and Marko Järvenpää

The purpose of this paper is to extend the knowledge of the use of performance measurement systems (PMS) in situations where the benefits of both vertical and horizontal

4637

Abstract

Purpose

The purpose of this paper is to extend the knowledge of the use of performance measurement systems (PMS) in situations where the benefits of both vertical and horizontal integration strategies are sought simultaneously.

Design/methodology/approach

This is a single case study, the purpose of which is to build a contextual theory.

Findings

The main results highlight three competing and partly contradictory tendencies in the development and use of PMS in organizational integration. In addition, the authors have identified features of PMS that may benefit or hinder integration. Grounded on empirical findings the paper presents a more complete theoretical framework of PMS for integration.

Research limitations/implications

The propositions of the framework need to be tested in different contexts with case and field studies or a large sample of data using statistical techniques to improve external validity. The causal relationships explored in this study may be further developed using longitudinal studies.

Practical implications

In acquisition situations there exists the need for vertical integration to control the growing complexity but at the same time for horizontal control to advance customer-centred production. Performance measurement is the key issue to examine the execution and results of such integrations.

Originality/value

Case study findings are used to develop a more comprehensive theory of PMS design and use in situations where both vertical and horizontal integration are sought. Contrary to current understandings, the central statement of this study is that horizontal organization is not an alternative to vertical organizational structure but they can be effectively coupled.

Details

International Journal of Operations & Production Management, vol. 36 no. 10
Type: Research Article
ISSN: 0144-3577

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Article
Publication date: 30 July 2019

Seyedamin Jarolmasjed, Behnam Davoodi and Babak Pourebrahim Alamdari

The purpose of this paper is to machine the pressure surface of the turbine blade made of A286 iron-based superalloy by using four directions of raster strategy, including…

210

Abstract

Purpose

The purpose of this paper is to machine the pressure surface of the turbine blade made of A286 iron-based superalloy by using four directions of raster strategy, including horizontal upward, horizontal downward, vertical upward and vertical downward, to achieve appropriate surface roughness and to investigate the tool wear in each strategy.

Design/methodology/approach

In this study, all cutting tests were performed by DAHLIH-MCV 1020 BA vertical 3-axis machining center with ball nose end mill. After milling by each strategy, according to the surface slope, the surface was divided into 27 meshes, and roughness of surface was studied and compared. Roughness measuring after machining was implemented by using portable Mahr ps1 roughness tester, and surface texture was photographed by CCD 100× optical zoom camera. Also, to measure tool flank wear in each strategy as an indication of tool life, the surface of workpiece was divided into four equal areas. The wear of the inserts was measured by ARCS vertical non-contact measuring system at the end of each area.

Findings

The results indicate that cutting directions and toolpath strategies have significant influence on tool wear and surface roughness in machining processes and that they can be taken into consideration individually as determinative parameters. In this case, the most uniform surface texture and the lowest surface roughness are obtained by using horizontal downward direction; in addition, abrasion is a dominant tool wear mechanism in all experiments, and tool wear in the horizontal downward is lower than other strategies.

Practical implications

Machining of turbine blades or other airfoil-shaped workpieces is quite common in manufacturing aerospace and aircraft products. The results of this research contribute to increasing quality of machined surface and tool life in machining of turbine blade.

Originality/value

This work proves the significance of milling strategies in machining of the turbine blade made of A286 superalloy and, consequently, exhibits the proper strategy in terms of surface roughness and tool life. Also, this work explains and elaborates the behavior of A286 superalloy in machining processes, which has not been studied much in recent research works.

Details

Aircraft Engineering and Aerospace Technology, vol. 91 no. 10
Type: Research Article
ISSN: 1748-8842

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Book part
Publication date: 1 January 2012

Anne S. York, Lee M. Dunham and Mark Ahn

Declining productivity and disappointing lack of profitability after three decades of biotechnology commercialization, despite enormous investment and the great promise of…

Abstract

Declining productivity and disappointing lack of profitability after three decades of biotechnology commercialization, despite enormous investment and the great promise of breakthrough solutions, have led researchers to question whether traditional horizontal acquisition strategies result in superior firm performance. Our chapter explores the answer to this question as well as to the role that disclosure plays in this important emerging industry. Using standard event study methodology, we examine differences in market performance of vertical versus horizontal acquisition strategies, along with the role played by the amount of information disclosed in the announcement. Our results suggest that vertical acquisitions underperform horizontal acquisitions, with the amount of disclosure playing a role in the market's ability to react to a firm's acquisition strategy accurately and quickly. Our results suggest that accountants who have called for additional disclosure, especially in complex industries such as biopharma, are correct in assuming that nonfinancial information plays a significant role in investors’ valuation of an acquisition event. Managers of biopharma firms, however, are cautioned that more disclosure, through the reduction of uncertainty, may result in lower market valuations for acquirers.

Details

Advances in Mergers and Acquisitions
Type: Book
ISBN: 978-1-78052-196-1

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Article
Publication date: 17 September 2024

Jing Gao, Si-si Liu, Tao Guan, Yang Gao and Tao Ma

This paper takes the manufacturing cluster supply chain as the research object and explores the evaluation and enhancement strategy of manufacturing cluster supply chain synergy…

81

Abstract

Purpose

This paper takes the manufacturing cluster supply chain as the research object and explores the evaluation and enhancement strategy of manufacturing cluster supply chain synergy. The purpose of this study was to (1) analyze the mechanism of manufacturing cluster supply chain synergy; (2) construct manufacturing cluster supply chain synergy evaluation model; (3) algorithm realization of manufacturing cluster supply chain synergy evaluation and (4) propose manufacturing cluster-based supply chain synergy enhancement strategy.

Design/methodology/approach

Breaking through the limitations of traditional manufacturing cluster supply chain synergy evaluation, we take horizontal synergy and vertical synergy as coupled synergy subsystems, use the complex system synergy model to explore the horizontal synergy between core enterprises and cluster enterprises and the vertical synergy of supply chain enterprises and use the coupling coordination model to construct the coupled synergy evaluation model of manufacturing cluster supply chain, which is an innovation of the evaluation perspective of previous cluster supply chain synergy and also an enrichment and supplementation of the evaluation methodology. This is not only the innovation of the evaluation perspective but also the enrichment and supplementation of the evaluation method.

Findings

Using Python software to conduct empirical analysis on the evaluation model, the research shows that the horizontal and vertical synergies of the manufacturing cluster supply chain interact with each other and jointly affect the coupling synergy. On this basis, targeted strategies are proposed to enhance the synergy of the manufacturing cluster supply chain.

Research limitations/implications

This study takes manufacturers, suppliers and sellers in the three-level supply chain as the research object and does not consider the synergistic evaluation between distributors and consumers in the supply chain, which can be further explored in this direction in the future.

Practical implications

Advanced manufacturing clusters, as the main force of manufacturing development, and the synergistic development of supply chain are one of the important driving forces for the high-quality development of China’s manufacturing industry. As a new type of network organization coupling industrial clusters and supply chains, cluster supply chain is conducive not only to improving the competitiveness of cluster supply chains but also to upgrading cluster supply chains through horizontal synergy within the cluster and vertical synergy in the supply chain.

Social implications

Research can help accelerate the transformation and upgrading of clustered supply chains in the manufacturing industry, promote high-quality development of the manufacturing industry and accelerate the rise of the global value chain position of the manufacturing industry.

Originality/value

(1) Innovation of research perspective. Starting from two perspectives of horizontal synergy and vertical synergy, we take a core enterprise in the cluster supply chain as the starting point, horizontally explore the main enterprises of the cluster as the research object of horizontal synergy, vertically explore the upstream and downstream enterprises of the supply chain as the research object of vertical synergy and explore the coupling synergy of cluster supply chain as two subsystems, which provides new perspectives of evaluation of the degree of synergy and synergy evaluation. (2) Innovation of research content. Nine manufacturing clusters are selected as research samples, and through data collection and model analysis, it is verified that the evaluation model and implementation algorithm designed in this paper have strong practicability, which not only provides methodological reference for the evaluation of manufacturing cluster-type supply chain synergy but also reduces the loss caused by the instability of clusters and supply chains and then provides a theoretical basis for improving the overall performance of cluster-type supply chains.

Details

Business Process Management Journal, vol. 31 no. 2
Type: Research Article
ISSN: 1463-7154

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Article
Publication date: 5 September 2018

Jean Boisvert and Nicholas J. Ashill

The purpose of this paper is to empirically assess the impact of branding strategies on horizontal and downward line extensions of French luxury brands in a cross-national context…

4693

Abstract

Purpose

The purpose of this paper is to empirically assess the impact of branding strategies on horizontal and downward line extensions of French luxury brands in a cross-national context (France vs USA).

Design/methodology/approach

This study is based on a two line extensions (horizontal/downward) × three branding strategies (direct brand/sub-brand/standalone brand) x two country (France/USA) between-subjects ANOVA design.

Findings

The study shows that the subtyping effect created by a sub-branded luxury downward line extension tends to be rated similarly to a direct branded extension which oppose previous beliefs put forward in non-luxury settings. In contrast, a new independent/standalone extension fully uses the subtyping effect which helps attenuate this risk related to luxury downward stretches. The study also found that the effect of gender in cross-national settings must always be taken into consideration as significant variations occur in the process.

Research limitations/implications

The study covers two countries but should be replicated in other cross-national contexts.

Practical implications

This study helps marketing managers of luxury brands make a better decision when it comes to launching vertical line extensions (upscale/downward) by carefully using types of branding strategies and relevant communications whether women and/or men are targeted in cross-national contexts.

Originality/value

This study breaks new ground in the international luxury literature by providing key theoretical and managerial insights in terms of launching new downward line extensions with the proper use of branding strategies when targeting specific genders.

Details

International Marketing Review, vol. 35 no. 6
Type: Research Article
ISSN: 0265-1335

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Article
Publication date: 1 June 1994

Susan McDowell Mudambi

Retailers face a multitude of strategic choices, with varying levels ofrisk, profitability and societal impact. Sifting through these optionsis a daunting task. In the literature…

5808

Abstract

Retailers face a multitude of strategic choices, with varying levels of risk, profitability and societal impact. Sifting through these options is a daunting task. In the literature, strategies have been successfully categorized using grids and matrices. Reviews first the strategy matrix approach, especially as applied to retailing; then introduces a topology of strategic choice in retailing which provides a way to assist retailers to think and manage strategically. The topology configures strategies into four directions: internal, horizontal, vertical and migrational. Internal strategies reside at the intraorganizational level and encompass various differentiation and time strategies. Horizontal strategies are expansionary and include choices on outlet numbers, internationalization, mergers and joint ventures. Vertical strategies turn the firm towards its suppliers and include supplier acquisition and improved buyer‐supplier relations. Migrational strategies are extraterritorial and involve radical changes of direction such as changes in outlet size category, location type and outlet type. Recognizing the synergistic interactions within and between the strategic directions is an important aspect of the analysis.

Details

International Journal of Retail & Distribution Management, vol. 22 no. 4
Type: Research Article
ISSN: 0959-0552

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Article
Publication date: 18 September 2007

Stephen Burgess and Arthur Tatnall

Horizontal web portals fill an important place in the operation of the internet and this paper seeks to look at how these portals may become profitable. A portal is simply a…

3147

Abstract

Purpose

Horizontal web portals fill an important place in the operation of the internet and this paper seeks to look at how these portals may become profitable. A portal is simply a gateway, and a web portal can thus be seen as a gateway to content and services on the internet, or on a corporate intranet. This paper aims to compare several different views of what constitutes a portal, and to offer a specific definition. The main focus of the paper is on general horizontal (or public) portals and the relationship between their business‐revenue models and the content they provide. This paper aims to briefly review the relevant literature before describing a revenue model consisting of players, strategies and content. This is then examined and synthesised to match various revenue models and content.

Design/methodology/approach

After proposing the model, the paper tests how the matches proposed between revenue and content in the model compare with two currently operating popular horizontal portals.

Findings

An examination of two popular portals (one world‐wide and one based in Australia) has provided typical examples of how the advertising/revenue can be employed by horizontal portals and shown that they appear to match fairly closely with the proposed revenue/content model. After having examined the content of these two well‐known portals, it appears at this early stage that the revenue‐content model may show some promise.

Research limitations/implications

While the paper cannot claim complete generalisability of a model based on a comparison of only two horizontal portals, the results are promising and should be useful for horizontal portal managers looking for how to balance the revenue of their portal with the content that they generate and the services they offer.

Practical implications

When fully tested, the model will provide horizontal portal operators assistance with the process of determining suitable content for their portals to match their chosen revenue strategies.

Originality/value

It is believed that this model is one of the few revenue/content matching models developed for horizontal portals.

Details

Business Process Management Journal, vol. 13 no. 5
Type: Research Article
ISSN: 1463-7154

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Article
Publication date: 9 November 2018

Pontus Wadström

This study aims to expand the knowledge on strategy and alignment by exploring how executives and strategists can manage alignment between corporate and business strategy to…

3402

Abstract

Purpose

This study aims to expand the knowledge on strategy and alignment by exploring how executives and strategists can manage alignment between corporate and business strategy to leverage synergies, from a corporate strategy perspective, without limiting local responsiveness, from a business strategy perspective.

Design/methodology/approach

The study is characterized by privileged access and richness of data. A case study design was used to explore the results. Data include interviews, observations in workshops, material produced in workshops and personal field notes.

Findings

The study provides insights about how alignment between corporate and business strategy can be managed to balance requirements on both corporate and business strategy. To do so alignment needs be understood and managed based on its contribution to the competitiveness of the firm. In addition, alignment encompasses two dimensions: direction of alignment (which can be vertical and horizontal) and relation of alignment (which can be numerical and non-numerical). This leads to four different types of alignment.

Research limitations/implications

Explorative case studies yield results less generalizable. Future research is thus encouraged to confirm or contradict the results of this study.

Practical implications

When formulating strategy, executives and strategists need to consider what type of alignment is appropriate for what parts and elements of the strategies (e.g. goals and activities) to gain competitive advantage. By using different types of alignment, it is possible to balance the need for both corporate synergies and business responsiveness.

Originality/value

This study fulfils an identified need to study what alignment between strategies on different organizational levels encompasses and the potential risks of alignment.

Details

Journal of Business Strategy, vol. 40 no. 4
Type: Research Article
ISSN: 0275-6668

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