Sasin Journal of Management: Volume 13, Number 1, 2007


Sasin Journal of Management: Volume 13, Number 1, 2007

na_sjmFranco Gandolfi
An Exploratory Study of the Process of Downsizing of Large Australian Banks

his Australian case study purported to conceptualize the downsizing process and to develop a preliminary conceptual framework depicting the phases of downsizing. The research examined perceptions of managers pertaining to aspects of the process of downsizing within large Australian banks. The study showcases that downsizing was perceived as a multi-phase process comprising various distinct phases, namely pre, while, and post phases of downsizing. The participating Australian bank managers confirmed the existence of downsizing as a process and embraced the concept of multiple phases. However, the participants pointed out that in practice only two phases, pre and post phases, were applicable. The study demonstrates that Australian banks adopted downsizing activities without adequate plans, policies, and programs in place. The announcement of a downsizing typically coincided with the downsizing commencement. The research showed that the while and post phases of downsizing were further divided into two separate stages, A and B. Downsizing was also understood as a concept involving multiple rounds. Therefore, a second alternative conceptual framework materialized taking into account that downsizing could be viewed as a recurring and perpetual rather than an incidental endeavor.

na_sjmChatree Preedaananthasuk
Comparative Integrated Crisis Management in Business Organizations: Evidence from a Thai Case and a Japanese Case

Generally, crisis management process is viewed as the process to handle a crisis after a crisis occurred, rather than it is viewed as the integrated process of prevention, damage control and learning from crisis experience to prevent recurrence. This study develops the framework of comparative integrated crisis management in business organizations from the perspective of comparative management construct and the perspective of strategic issue diagnosis. This study illustrated the framework of comparative integrated crisis management in business organizations using the Mitsubishi Fuso Truck and Bus Corporation scandal case and the Cobalt 60 radiation leak case. Research results emphasized the necessity to distinguish the risk management concept from the crisis management concept and the importance of crisis management study to focus on integrated crisis management process rather than focus only damage control process.

na_sjmMohd Nizam Ab Rahman & James Tannock
Emergence of Quality Management within SMEs in Malaysia: Perspective and Evidence

This article describes the results of an investigation into quality management in manufacturing Small and Medium Enterprises (SMEs) in Malaysia. The paper reviews the background of quality management development, then describes and discusses the findings from a snapshot of survey and company interview results, conducted among SMEs. The survey identifies the current status, issues, perceived benefits and barriers to effective quality management practices in SMEs in Malaysia. The results of a follow-up interview programme involving 30 companies, from among the survey respondents, are also explained. The focus is upon the quality journey for SMEs, towards the latest ISO 9000 series standards and TQM. Some recommendations are made, based on the survey and interviews, as to how such companies can achieve progress in quality management. The quality journey for SMEs, towards TQM and/or the new ISO 9000:2000 will require not only full management commitment, but also adequate support and an organizational quality culture promoted by quality-related institutions.

na_sjmFadzlan Sufian
The Efficiency Effects of Bank Mergers: An Overview of Case Studies of Two Mega-Mergers in the Singapore Banking Industry

An event study window analysis is employed in this study to investigate the effects of mergers and acquisitions on the Singapore domestic banking groups’ performance and efficiency. A three-year window is chosen to analyze the relative change in performance and to further examine the relative overall, pure technical and scale efficiency scores, ex-ante and ex-post. Our results suggest that the merger has not resulted in higher profitability of Singapore banking groups post-merger, which could be attributed to the higher costs incurred. However, Singapore banking groups were found to be more prudent in their risk management post-merger. Our results from the DEA models suggest that the merger has resulted in higher mean overall efficiency of Singapore banking groups post-merger relative to pre-merger. Despite that, from the scale efficiency perspective, our findings do not support further consolidation in the Singapore banking sector. We found mixed evidence on the characteristics of the acquirers’ and targets’ efficiencies, hence it does not fully support the hypothesis of a more (less) efficient bank becoming the acquirer (target). In most cases, our results further confirmed the hypothesis that the acquiring banks’ mean overall efficiency improves (deteriorates) post-merger resulting from the merger with a more (less) efficient bank.

na_sjmMajharul Talukder, Howard Harris, & Gido Mapunda
Organizational Innovation Adoption: Determinants of the Adoption of Innovations
by Individuals within an Organization

Innovation is generally considered to be one of the key drivers of corporate success. One of the important issues organizations face is how to implement their innovations successfully. In the past decades, research has identified that many innovations fail due to the lack of acceptance of the innovation by individual employees. Thus, in order for an organization to be successful in bringing innovation into the workplace, an understanding of potential adopters and the factors influencing their adoption decision is important. Despite much research on organizational adoption of innovation, little is currently known about the adoption of innovation by individuals within the organization. The purpose of this research is to investigate empirically the determinants and provide a framework that addresses the adoption decision by individual employees in an organization. The study has practical implications for organizations in both developed and developing countries.