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Institutional change and the multinational change agent A study of the temporary staffing industry in Spain

Institutional change and the multinational change agent A study of the temporary staffing... Purpose – The purpose of this paper is to examine the role of multinational corporations (MNCs) in local institutional change. To what extent do multinational organizations help or hinder change, in particular new industry creation? Design/methodology/approach – The paper presents a qualitative case study examining the role of multinational temporary work agencies in the development of temporary agency market in Spain. Findings – The authors find that while multinational firms were less constrained by the norms, values and logics of the home environment, they also encountered specific challenges in the implementation of new practices. First, high‐profile introduction of a novel practice requires checks and balances to manage unanticipated developments, such as undesirable activities by opportunistic actors that may derail the change process. Second, rapid growth is not conducive to concerted efforts at industry level, leaving the public identity of the institutional innovation extremely vulnerable. Third, high‐profile change is also vulnerable to redefinition of the practice through misinterpretation or misuse by inexperienced users. Practical implications – The findings highlight the interaction between global and local actors in the development of a novel market and the main findings provide three concrete aspects of the change process that need to be carefully monitored in processes of MNC‐driven institutional change. Originality/value – MNCs have been argued to be important agents of change in an organizational field as they are less bound by the norms, values and logics of any particular institutional environment. The authors' analysis shows how this disconnectedness of MNCs can also hinder the change effort in three important ways. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of Organizational Change Management Emerald Publishing

Institutional change and the multinational change agent A study of the temporary staffing industry in Spain

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References (57)

Publisher
Emerald Publishing
Copyright
Copyright © 2011 Emerald Group Publishing Limited. All rights reserved.
ISSN
0953-4814
DOI
10.1108/09534811111144647
Publisher site
See Article on Publisher Site

Abstract

Purpose – The purpose of this paper is to examine the role of multinational corporations (MNCs) in local institutional change. To what extent do multinational organizations help or hinder change, in particular new industry creation? Design/methodology/approach – The paper presents a qualitative case study examining the role of multinational temporary work agencies in the development of temporary agency market in Spain. Findings – The authors find that while multinational firms were less constrained by the norms, values and logics of the home environment, they also encountered specific challenges in the implementation of new practices. First, high‐profile introduction of a novel practice requires checks and balances to manage unanticipated developments, such as undesirable activities by opportunistic actors that may derail the change process. Second, rapid growth is not conducive to concerted efforts at industry level, leaving the public identity of the institutional innovation extremely vulnerable. Third, high‐profile change is also vulnerable to redefinition of the practice through misinterpretation or misuse by inexperienced users. Practical implications – The findings highlight the interaction between global and local actors in the development of a novel market and the main findings provide three concrete aspects of the change process that need to be carefully monitored in processes of MNC‐driven institutional change. Originality/value – MNCs have been argued to be important agents of change in an organizational field as they are less bound by the norms, values and logics of any particular institutional environment. The authors' analysis shows how this disconnectedness of MNCs can also hinder the change effort in three important ways.

Journal

Journal of Organizational Change Management – Emerald Publishing

Published: Jul 5, 2011

Keywords: Institutional change; Industry identity; Temporary work industry; Multinational companies; Multinational organizations; Spain

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