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Flaunting firms, Megaprojects, Leadership fears

01 May 2023
AOM Insights
Companies Can Benefit from Flaunting Their Wealth

Like the guy who rents a luxury car for his class reunion, organizations can flaunt their affluence and resources to impress some stakeholders, leveraging their support for when an unpredictable disaster strikes, according to an Academy of Management Review article.

Cost overruns and delays are commonplace in large projects such as designing an organization’s IT infrastructure, building a nuclear plant, organizing the Olympics, and many others. But they are avoidable. An Academy of Management Perspectives article details how to plan effectively, avoid pitfalls, and complete projects faster, better, and cheaper.

"Defining honesty as lying versus telling the truth ignores the relational aspect of communication with another person,” an AOM scholar explains. For behavior to be fully honest, individuals, groups, or organizations “must seek the truth, speak the truth, and foster understanding of the truth,” according to the Academy of Management Annals article.

Many people avoid leadership opportunities because they fear—realistically or not—that their colleagues will see them as bossy, unqualified, or different, according to multiple studies among nearly 2,000 people detailed in an Academy of Management Journal article.

Many entrepreneurs lose out on talent when launching a startup by hiring mostly men early on, a practice that deters women from seeking jobs at those organizations in the future, AOM scholars reveal.

Managers and business leaders need to realize that the turnover of high performers—whether voluntary or involuntary—can create a snowball effect as other quality employees exit the workforce or head for greener pastures, according to an Academy of Management Journal article.

Companies in every sector are hiring corporate social responsibility (CSR) consultants and environmental, social, and governance (ESG) professionals. Once on the payroll, however, these pros often find themselves in the unenviable position of having jobs that their corporate leaders do not prioritize.

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