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Driving individual

ambidexterity through

combined integration

mechanisms

MSc. Business Administration – Strategy Track

Faculty of Economics and Business, University of Amsterdam

Student:

Sven van Dijk 10447709

svenvandijk87@gmail.com

Supervisor:

Dr. Dipl.-Wirt.-Ing. S. Kortmann

Assistent Professor Strategy and Innovation s.kortmann@uva.nl

Final Version Thesis 21 August 2015

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Abstract

Prior research has emphasized the multi-level nature of ambidexterity, yet how organizational levels interact with one another to facilitate this, remains ambiguous. Moreover, literature on ambidexterity has long neglected the impact of lower-order ambidexterity. By combining these elements, the present study elucidates the impact of organizational context on individual ambidexterity. Through a hybrid perspective, containing both formal and informal integration mechanisms, new perspectives on how to facilitate ambidextrous behavior are suggested. This survey study used a sample of 110 cross-industry professionals in Europe to test the suggested hypotheses. Results from hierarchical regression analyses reveal that a combination of formal and informal integration mechanisms can foster individual ambidexterity. In particular, social integration fosters individual ambidexterity, whereas structural differentiation constrains individuals to operate ambidextrous. Furthermore, findings suggest that a combined approach to integrate both formal and informal mechanisms simultaneously can yield improved ambidexterity. However, it should be carefully considered what mechanisms are combined as different combinations produce diverging results.

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Statement of originality

This document is written by Sven van Dijk, who declares to take full responsibility for the contents of this document.

I declare that the text and the work presented in this document is original and that no sources other than those mentioned in the text and its references have been used in creating it.

The Faculty of Economics and Business is responsible solely for the supervision of completion of the work, not for the contents.

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Table of Contents

1. Introduction ____________________________________________________________________ 5 2. Literature Review and Hypotheses _________________________________________________ 8 2.1 The Roots of Ambidexterity ___________________________________________________ 8 2.2 Why Becoming Ambidextrous? _______________________________________________ 10 2.3 Types of Ambidexterity _____________________________________________________ 12 2.4 Organizational Levels of Ambidexterity ________________________________________ 14 2.5 Individual Ambidexterity ____________________________________________________ 15 2.6 Integration Mechanisms _____________________________________________________ 16 2.7 Social integration __________________________________________________________ 17 2.8 Cross functional interfaces ___________________________________________________ 19 2.9 Structural differentiation ____________________________________________________ 21 2.10 Conceptual model __________________________________________________________ 24 3 Methodology __________________________________________________________________ 25 3.1 Survey Design _____________________________________________________________ 25 3.2 Common Method Bias ______________________________________________________ 26 3.3 Sampling Frame and Data Collection __________________________________________ 26 3.4 Non-Response Bias _________________________________________________________ 27 3.5 Measurements and Validation of Constructs ____________________________________ 28

3.5.1 Independent and Dependent Variables _______________________________________ 28

3.5.2 Control Variables _______________________________________________________ 31 3.5.3 Reliability Tests _________________________________________________________ 32 4 Results _______________________________________________________________________ 33 4.1 General Data _________________________________________________________________ 33 4.1.1 Sample Statistics ________________________________________________________ 33 4.1.2 Descriptive Statistics _____________________________________________________ 34 4.2 Data Analysis ______________________________________________________________ 35 4.2.1 Correlations ___________________________________________________________ 35

4.2.2 Multiple Regression Analyses ______________________________________________ 37

4.2.3 Post Hoc Analysis _______________________________________________________ 44 5 Discussion_____________________________________________________________________ 46 6 Theoretical and Practical Implications _____________________________________________ 53

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4 6.1 Theoretical Implications _____________________________________________________ 53 6.2 Practical Implications _______________________________________________________ 54 7 Limitations and Future Research Opportunities _____________________________________ 55 8 Conclusion ____________________________________________________________________ 57 9 References ____________________________________________________________________ 58 Appendices ________________________________________________________________________ 65 Appendix A: Descriptive Statistics __________________________________________________ 65 Appendix B: SPSS Output Hierarchical Regression Analyses ____________________________ 67

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1. Introduction

“You can’t grow long-term if you can’t eat short-term. Anybody can manage short. Anybody can manage long. Balancing those two things is what management is.” - Jack Welch, former CEO General Electric.

In today’s dynamic and globally competitive landscape a firm’s ability to adapt to the unforeseen has become increasingly important. The interconnectedness of people, firms, and countries worldwide demands an increased capability to instantly adapt and alter one’s strategy and quickly move toward new opportunities when necessary (Gibson and Birkinshaw, 2004).

And while adaptability is an important capability, it is not enough. Today’s successful companies

are not only agile, innovative, and proactive; they are also skilled in extracting value from their

assets and optimizing existing operations. In other words, they are able to align their business

model, sense how value can be created in the short term and how activities should be organized

to deliver that value (Gibson and Birkinshaw, 2004). Recent organizational learning literatures

(Adler et al., 2009; He and Wong, 2004; Jansen, Tempelaar, Van Den Bosch, and Alberda, 2009)

have labeled this adaptability-alignment paradox as organizational ambidexterity; the need to

simultaneously engage in activities to acquire new knowledge, technologies, markets, or

relations (exploration), and activities to further refine existing technologies, competences and

activities (exploitation). Earlier studies often regarded the trade-offs between these activities as

insoluble due to their presumed competition for similar and scarce resources (Raisch and

Birkinshaw, 2008), but more recent research describes ambidextrous organizations that are

capable of simultaneously integrating exploration and exploitation activities (Raisch,

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efficient and aligned in facing today’s challenges, while also being able to adapt to future changes in the environment (Gibson & Birkinshaw, 2004; Jansen, 2005).

Although mostly consensus exists about the potential positive impact of ambidexterity on

performance (Gibson and Birkinshaw, 2004; Auh and Menac, 2005; Chang and Hughes, 2012),

as well as the need to balance both explorative and exploitative activities (Gupta, Smith, and

Shalley, 2006), it remains ambiguous how organizational antecedents can stimulate

ambidexterity competency. Moreover, the multilevel nature of research on ambidexterity yields

great variety in the interpretation of its antecedents and outcomes (Li, Vanhaverbeke, and

Schonemakers, 2008). Organizations and business units have been widely accepted and adopted

as units of analysis (He and Wong, 2004; Cho and Pucik, 2005). However, an issue arising from

these studies is the implicitly assumed homogeneity at the individual level, thus neglecting how

individual organizational members can influence the firm’s ability to pursue a balance between

exploration and exploitation (Bonesso, Gerli, and Scapolan, 2014).

Recent literature (Raisch et al., 2009) emphasizes the importance of understanding these

micro-foundations of ambidexterity, and recent streams of research have begun exploring the

individual-level antecedents that are potentially anterior to achieving ambidexterity at the

organizational level (Eisenhardt, Furr, and Bingham, 2010). Similar to these studies, a call for

combined levels of analysis has emerged (Simsek, 2009; Rogan and Mors, 2014), where

organizational-level integration mechanisms (e.g. the degree of formalization) are combined with

activities at the micro-level. Ergo, ambidexterity at the individual level may be a crucial element

to develop ambidexterity within higher levels of the organization (Raisch et al., 2009). Yet,

despite multiple calls (Mom, Van Den Bosch, and Volberda, 2009; Simsek, 2009) to further

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mechanisms, studies addressing these linkages have been scarce. This study aims to address this

call and delve into this gap by linking organizational-level integration mechanisms to

ambidexterity at the individual level. Consequently, the research question of this study is: “How

does the interaction of integration mechanisms influence individual ambidexterity?” By further

investigating the interplay between these mechanisms and ambidexterity at the individual level,

this study attempts to contribute to the existing literature in several ways. First, this study

expands the body of literature on ambidexterity at the individual level. Research to date mostly

exists in a format where integration mechanisms are still linked to ambidexterity as an

organization- or unit-level construct. Second, the multi-level approach of this study increases our

understanding of how combinations of integration mechanisms can influence and stimulate

individual ambidexterity. Third, implications from this research can be drawn for managers and

researchers alike.

Research Structure

The remainder of this study continues with chapter two in which a theoretical background is

analyzed and hypotheses are developed. Chapter three presents the details of the methodology,

the operationalization of the variables, and the empirical instruments used for testing the

hypotheses. Chapter four consists of the results of the quantitative data analyses. In turn, chapter

five includes a discussion of the findings. Chapter six stresses both the practical and academic

implications of this research. Then, chapter seven contains the limitations of this study, as well

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2. Literature Review and Hypotheses

This chapter takes a closer look at the roots of ambidexterity in organizational literature, the

complications in becoming ambidextrous, the different types of ambidexterity, and ultimately the

different organizational levels of ambidexterity. Subsequently, different integration mechanisms

are explicated and hypotheses will be formulated.

2.1 The Roots of Ambidexterity

In recent years, the concept of ambidexterity has gained increased attention in organizational

research. Originally used to explain the ability of humans to use both hands with equal skill,

researchers are using it as a metaphor for organizations that are equally dexterous at activities

related to exploiting, as well as those related to exploring (Simsek, 2009). The origins of the word “ambidexterity” reside in the Latin words ambos, “both”, and dexter, “right” (meant here as opposed to left). Hence, ambidexterity literally means “right on both sides” (Simsek, 2009).

Although Duncan (1976) was the first to coin the term organizational ambidexterity, it was

not until a study by March (1991) that the subject became more extensively studied. March

(1991) regarded exploitation and exploration as two incompatible and distinct learning and

knowledge processes, competing for the scarce resources and attention of a firm. Exploitation in this sense is associated with activities such as “refinement, choice, production, efficiency, selection, implementation, execution” (March, 1991, p. 71), whereas exploration is associated with activities such as “search, variation, risk taking, experimentation, play, flexibility,

discovery, innovation” (March, 1991, p.71). Also, exploring is more time consuming, entails

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competencies (March, 1991). Ambidextrous firms are skilled to combine these distinct modes

and maintain an equilibrium between both activities.

The concepts of exploration, exploitation, and ambidexterity have been increasingly

examined across multiple areas of organizational research. However, although this expansion of

the literature has greatly contributed to our understanding of organizational learning,

technological innovation, and strategic renewal, it has also led to an increasingly inconsistent use

of interchangeable definitions, constructs, and findings (Li et al., 2008). This makes it difficult to

compare research findings and can cause ambiguity in the interpretation of them. To clarify our

understanding of the multitude of terminologies used in defining activities, structures, or

processes related to exploration and exploitation, table 1 provides a structured overview of some

of the more frequently used jargons across different fields of research.

Table 1: Interpretations of Exploration and Exploitation

Research Field Exploration Exploitation Key Authors

Innovation Management Radical innovations designed to create new markets to meet the needs of emerging customers

Incremental improvements of established products, designs, and skills intended to serve the needs of existing customers and markets

Benner and Tushman (2003) He and Wong (2004) Jansen, Van Den Bosch, and Volberda (2006)

Organizational Behavior Adaptability: the capacity to reconfigure activities quickly to meet changing demands in the task environment

Alignment: the coherence among all the patterns of activities within a business unit

Gibson and Birkinshaw (2004) Simsek (2009)

Organizational Design Organic structures with high levels of autonomy, improvisation, path-breaking and flexibility

Mechanistic structures relying on tightly coupled systems, bureaucracy, centralization, standardization, and hierarchy

Carmeli and Halevi (2009) O’Reilly and Tushman (2007) Duncan (1976)

Organizational Change Periods of major discontinuous changes occur, during which organizations need to adapt and reorient

Periods of convergence, organizations aim at

establishing alignment between internal activities and

conditions of the external environment

Tushman and Romanelli (1985)

Levinthal and March, (1993)

Strategic Management Dynamic efficiency:

perpetually reassessing initial conditions in search of new processes, capabilities, and products

Static efficiency: continuously search for improvements of existing competencies within a fixed set of initial conditions

Ghemawat and Ricart I. Costa (1993)

Burgelman (1991) Hamel and Prahalad (1993)

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As table 1 demonstrates, exploration and exploitation are mostly treated as opposites from

one another. In order to speak of organizational ambidexterity, a form of balance between

exploitation and exploration is required. An excessive focus on either of the two can inhibit

potential dangers. For example, Smith and Tushman (2005) demonstrate that firms have a

tendency toward homogeneity, where they develop routines and mindsets supporting one specific

preferred mode of innovation while neglecting the other. This self-reinforcing nature of

organizational learning makes it attractive for a firm to maintain the status quo and stick to its

current capabilities, even if the environment has changed (He and Wong, 2004). However, this

overly focus on exploitation can lead to competency traps (Gupta et al., 2006) as current

capabilities may be leveraged and enable immediate profits, but also foster stagnation. This

limits firms in their ability to adapt to potential market and technological changes

(Atuahene-Gima, 2005). Likewise, an overly focus on exploration can lead to failure traps (Gupta et al.,

2006). By seeking exploration firms take escalating risks oriented towards the future while

ignoring core competencies (Andriopoulos and Lewis, 2009) and allocating insufficient

resources to exploit them (He and Wong, 2004) This harms and reduces the speed at which

existing competencies are improved and refined (He and Wong, 2004; March 1991). Thus,

achieving ambidexterity confronts firms with paradoxical trade-offs (Jansen, 2009).

2.2 Why Becoming Ambidextrous?

The difficulty of balancing exploration and exploitation resides in the fact that exploration and

exploitation are mostly regarded as fundamentally different concepts competing for firms’ scarce

resources (He and Wong, 2004). Without proper management of the trade-offs between the two,

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such, some researchers are pessimistic that firms are actually able to successfully explore and

exploit simultaneously. For example, Christensen (1997) argues that firms must spin-out the

exploratory business to succeed. Also, the simultaneous pursuit of exploration and exploitation can result in firms being “stuck in the middle” or mediocre at both competencies (Ghemawat and Costa, 1993). Ebben and Johnson (2005) found that firms pursuing a single, focused strategy

outperform those attempting to pursue both exploration and exploitation. This raises the question

why firms actually aim to achieve a balance between the two dexterities, given the difficulty of

achieving it.

Definitive all compassing answers to this question are still missing, but empirical research

has found support for the potential positive effect of balancing exploration and exploitation, both on innovation output and on firm performance (Tushman and O’Reilly, 1996; Govindarajan and Trimble, 2005; Markides and Charitou, 2004; Bonesso et al., 2014). Exemplary are the studies

by He and Wong (2004) and Venkatraman et al. (2006) wherein they found that firms pursuing

both exploration and exploitation simultaneously achieve higher performances in sales.

Likewise, Katila and Ahuja (2002) discovered that the interaction between exploration and

exploitation activities can positively impact product development. Other studies have suggested

that ambidextrous organizations are associated with longer survival (Cottrell and Nault, 2004),

and improved learning and innovation (Adler, Goldoftas, and Levine, 1999; Rothaermel and

Deeds, 2004). Accordingly, although difficulties exist in balancing exploration and exploitation,

when executed in the appropriate contexts it offers the potential of sustained competitive

advantage (O’Reilly and Tushman, 2007). Indeed, a near consensus exists nowadays on the

necessity for balancing the seemingly contradictory constructs, rather than a more traditional “either/or” approach (Eisenhardt and Martin, 2000; Raisch et al. 2009).

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While prior research elucidates the potentially positive impact of ambidexterity and the

challenges to balance seemingly paradoxical consequences that come with it, ambiguity exists on

how and when it can be achieved.

2.3 Types of Ambidexterity

Explanations on how organizations manage the exploration-exploitation paradox can be broadly

categorized into two streams: ambidexterity and punctuated equilibrium (Gupta et al., 2006).

Punctuated equilibrium argues that organizations deal with these tensions through temporal

separation between both activities (Adler et al. 2009). Here, phases of exploration are followed

by phased of exploitation and vice versa. Nevertheless, as Simsek (2009) posits, these

organizations cannot be labeled ambidextrous since acts of exploration and exploitation are

implemented sequentially. In contrast, organizational ambidexterity is defined as the ability to

simultaneously pursue both incremental and discontinuous innovation and change via

exploration and exploitation (Tushman and O’Reilly, 1996).

In order to attain ambidexterity two conceptualizations stand out. Initially, studies on

ambidexterity advocated a structural approach to become ambidextrous, through spatial

separation of subunits focused on exploration and exploitation (Tushman and O’Reilly, 1996).

As such, each unit can contain its own capabilities, systems, incentives, processes, and cultures

(Benner and Tushman, 2003). Multiple literatures (O’Reilly and Tushman, 2004; Lubatkin et al.,

2006; Carmeli and Halevi, 2009) emphasize the importance of the top management team in coordinating and integrating these “monodextrous” units. Organizations can foster structural ambidexterity via multiple approaches. First, firms can spatially separate units, wherein each unit

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be held together by a common strategy, overarching values, and effective linking mechanisms to

ensure the autonomous efforts translate into synergistic results (Simsek, 2009). Second,

structural ambidexterity can be accomplished by means of parallel structures. Here, primary

structures are used to carry out routine work and secondary structures – e.g. projects or

networks- exist for non-routine work (Renzl, Rost, and Kaschube, 2013). Parallel structures

differ from spatial separation in the sense that with the former, ambidexterity can be achieved

within a single business-unit, whereas the latter excludes this opportunity. A second path to

achieve ambidexterity, contextual ambidexterity, refers to the behavioral capacity to

simultaneously demonstrate alignment and adaptability across business units (Gibson and

Birkinshaw, 2004). In this approach, firms rely more heavily on the cognitive capabilities of

individual employees to allocate their time between activities of exploration and exploitation

(Gibson and Birkinshaw, 2004). For organizations to effectively integrate this form of

ambidexterity, they should balance the mutually reinforcing informal and formal elements of

social support, trust, discipline, and performance management. Managers fulfill a key role in this

form, as they are expected to stimulate this enabling context and encourage staff members to act

ambidextrous (Gibson and Birkinshaw, 2004).

In addition to structural and contextual ambidexterity, sub-streams of ambidexterity have

emerged. Dubbed the realized view by Simsek (2009), innovative ambidexterity has an implicit

focus on the actual exploration and exploitation performance of organizations. It is regarded

more of an outcome of ambidexterity, since it describes a state in which organizations already

achieved high levels of exploration and exploitation (Simsek, 2009). It captures the simultaneous

pursuit of discontinuous innovations aiming to enter new product-market domains, and

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that innovative ambidexterity can be realized at multiple levels in the organization, where

different units or individuals focus on either type of activity (Mom et al., 2009). Since individual

employees are the main focus of the present study, the more behavioral-oriented concept of

contextual ambidexterity will mostly be referred to.

2.4 Organizational Levels of Ambidexterity

Distinctly from the multitude of routes to become ambidextrous, the organizational level at

which ambidexterity is pursued or achieved can vary as well. Studies at different levels of

analysis focus on different social actors. Here, the variety stems from who explores or exploits,

and not so much how (Li et al., 2008). Primarily, literatures on ambidexterity have adopted a

macro-level of analysis (Benner and Tushman, 2002; He and Wong, 2004; Gupta et al., 2006) by

identifying higher order structural solutions to balance paradoxical learning, behaviors, and

actions (Nosella, Cantarello, and Filippini, 2012). From this perspective, the rigidities caused by

the ambidexterity-paradox are resolved at the next organizational level down (Raisch and

Birkinshaw, 2008). These literatures mostly adopt the concept of ambidexterity at the level of the

firm or unit (Bonesso, et al., 2014), where structural ambidexterity differentiates units or teams

based on the nature of their activities. Subsequently, dependent upon the nature of their team,

individuals are considered specialists focused on either exploration or exploitation (Raisch et al.,

2009). As such, by conceptualizing individual actors as specialized indivisible units,

ambidexterity at the individual level has rarely been entertained an option as the de facto driving

force behind ambidextrous organizations (Rogan and Mors, 2014). It also prohibits further

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physically and synchronously present at multiple locations. Indeed, Gupta et al. (2006) argue that

ambidexterity at the individual level may not be possible.

Nevertheless, others -from a more contextual and behavioral perspective- regard this view as

unjustifiably limiting. Good and Michel (2013) posit that it neglects the fact that regardless of

function, individual employees operate within increasingly dynamic contexts that necessitate

ambidextrous behaviors. Some studies actually indicate that ambidexterity is rooted in an

individual’s ability to explore and exploit, and not so much in the organization’s ability to do so

(Raisch et al., 2009). Probst and Raisch (2005) state that ambidextrous managers are adept to

focus on both the short-term and the long-term. Similarly, Rogan and Mors (2014) consider the

fact that one of the primary tasks of a manager is the allocation of resources between new and

existing businesses of a firm (Tushman and O’Reilly, 1996), as well as the selective cross-fertilization of knowledge between them (O’Reilly and Tushman 2004; Taylor and Helfat, 2009). Since both tasks contain activities related to exploration and exploitation, managers are by

definition required to have the ability to combine them (Rogan and Mors, 2014). Also, O’Reilly

and Tushman (2004) point out that variation of personal characteristics may explain why specific

persons are effective to ambidextrously complete specific tasks. Although these studies observe

that some managers demonstrate the skill to operate ambidextrous, they fail to explain why these

particular managers are able to do so (Raisch et al., 2009).

2.5 Individual Ambidexterity

One of the main challenges in becoming ambidextrous is the ability to balance the contradicting

nature of exploration and exploitation activities (Smith and Tushman, 2005). This challenge can

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factors. Individual factors can be attributed to both personal characteristics and previously

assimilated experiences. Cohen and Levinthal (1990) reason that individuals need prior

knowledge in order to obtain new knowledge. Ergo, individuals with extensive and broad

knowledge may be better equipped to operate ambidextrous. Another individual factor is

suggested by Smith and Tushman (2005), who emphasize the importance of the ability to engage

in paradoxical thinking. This opinion is shared by Good and Michel (2013), who connect

paradoxical thinking as an antecedent to individual ambidexterity. Individual ambidexterity

represents an integrative ability to flexibly explore and exploit (Good and Michel, 2013), and

consists of four cognitive pillars; paradoxical thinking, general intelligence, focused attention,

and cognitive flexibility. However, personal characteristics and individual factors are only part of

the puzzle. In order to facilitate individual ambidexterity, organizations also have to create the

right context, which is the focal point of this study. One generally acknowledged method to

create this is via integration mechanisms.

2.6 Integration Mechanisms

Whereas some studies argue in favor of formal integration mechanisms to facilitate knowledge

exchange and to combine differentiated units and individuals (Tsai and Ghoshal, 1998), others

illustrate the importance of more informal relationships and mechanisms among organization

members (Gibson and Birkinshaw, 2004). For example, Jansen et al. (2008) mention senior-team

contingency rewards as important mechanisms, whereas Ghoshal and Bartlett (1997) describe

team-building practices to support individuals to think and act ambidextrously. All these studies

provide a strong indication that organizational integration mechanisms have to be considered

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2009). Yet, how the two different types of integration mechanisms interact to facilitate

ambidextrous behaviors remains mostly ambiguous (Jansen et al., 2006). Jansen et al. (2009)

suggest several mechanisms and interactions to enhance ambidexterity, but merely measure

ambidexterity at the level of units and teams. As a consequence, they implicitly neglect the

opportunity that unit level or team level ambidexterity is driven by lower-level non-managerial

individuals. Similarly, Mom et al. (2009) focused on contextual factors shaping the ambidextrous

behavior of managers. Ergo, the role of and the effect on the non-managerial employee are

largely neglected, and yet these may have a cumulative effect on the organization’s

ambidexterity (Raisch et al., 2009). In addition, Good and Michel (2013) note that individuals –

not only managers- can play a significant role in better understanding how to proceed on

strategic initiatives in dynamic environments.

In sum, it is yet to be explored what integration mechanisms may contribute to individual

ambidexterity, and how these mechanisms interact with one another (Good and Michel, 2013).

The next paragraphs shed some light on both formal and informal organizational integration

mechanisms potentially encouraging individual ambidexterity.

2.7 Social integration

Social integration can be defined as the “attraction to the group, satisfaction with other members

of the group, and social interaction among the group members” (O’Reilly, Caldwell, and

Barnett, 1989, p.22). Cross, Rice and Parker (2001) found evidence that people typically obtain and build knowledge through social contact. These interactions enhance one’s understanding of a domain, resulting in improved knowledge of facts, conditions, and disputes surrounding a given

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technical expertise and experience required to create feasible solutions to regular problems (Jen,

2014). Similarly, Perry-Smith (2006) demonstrated that social integration can also be positively

connected to creativity-relevant cognitive processes; an individual’s problem-solving approach

to enable imagination of alternative solutions to a problem (Jen, 2014).

In this sense, it can influence an individual’s competence to carry out exploration, as well as

exploitation activities. This is confirmed by Jansen et al. (2009), arguing that individuals from

socially integrated teams are expected to leverage operational capabilities across differentiated

exploratory and exploitative units, as well as working harder to recognize and seize

opportunities. Nevertheless, Jansen et al. (2009) claim that this only works at higher hierarchical

levels in organizations where frequent adjustments are required and interdependencies are

omnipresent. In line with earlier research (Floyd and Lane, 2000) they hypothesize that more

formal integration devices are required at lower hierarchical levels. Yet, these assumptions

should be treated with caution; Jansen et al. (2009) measured ambidexterity at the higher order

levels of the team and unit, not at the individual level. Moreover, Barkema and Shvyrkov (2007)

demonstrated that socially integrated individuals are associated with an improved ability to

negotiate, compromise, and collaborate. Furthermore, a study by De Cremer et al. (2008)

revealed that social integration increases the collaborative problem solving skills, while

Eisenhardt et al. (1997) add that it enables individuals to build accurate understandings of key

preferences and conflicting roles within teams. Jen (2014) further elaborates on this, arguing that

social integration is regarded as a valuable resource for individuals to foster problem solving

(especially in knowledge-intensive industries) and idea generation. Similarly, increased levels of

social integration improve trust and cooperation and lessen the likelihood of goal conflicts within

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Put differently, increased social integration of an individual to other organization or team

members enhances this individual’s ability to understand and act upon the diverse needs and

opportunities identified within an organization (Mom et al., 2009). Thus, it fosters critical debate

that allows individuals to evaluate and redesign potential combinations of knowledge sources at

differentiated tasks. In this process of knowledge transformation it is essential that individuals

are able to explicate their tacit knowledge (Hafkesbrink and Scholl, 2014). This often involves

face-to-face communication as well as a preparedness to transfer knowledge, both enhanced

when social integration is present (Nonaka and Takeushi, 1995). It positively influences how

individuals can behave ambidextrous as social integration triggers alternative ways to integrate

conflicting goals and to create portfolios of knowledge resources underlying new activities.

Thus:

H1: Social integration is positively related to individual ambidexterity

2.8 Cross-functional interfaces

In order to enable knowledge exchange across exploratory and exploitative units and individuals,

organizations may use cross-functional interfaces (Gupta and Govindarajan, 2000). By

combining and integrating differentiated skills and experiences, ambidextrous organizations are

able to synchronize, maintain and further develop both exploratory and exploitative innovations

simultaneously (Benner and Tushman, 2003). Moreover, it provides opportunities to leverage

common resources and obtain synergies (O’Reilly and Tushman, 2007). These interfaces are

constructed from teams or task forces comprising of employees from differing units, functions,

and hierarchical levels. Via involvement in cross-functional interfaces, individuals renew their

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(Ghoshal and Bartlett 1988). Besides bringing in their own expertise and the interest of their

team, individuals participating in cross-functional teams have to think and act outside the

boundaries of their own job and position (Mom et al., 2009), and understand the interests,

perspectives, beliefs, and values of other individuals (Floyd and Lane, 2000). Hence, previously

existing boundaries between fundamentally different units, individuals or learning modes are

eliminated. Research by Mom et al. (2009) already demonstrated the existence of a positive

direct relationship between participation in cross-functional interfaces and individual

ambidexterity. Nevertheless, in line with Jansen et al. (2009), this study argues that the impact of

cross-functional interfaces is more extensive, as it allows individuals from distinct organizational

units to reach a common frame of reference to overcome differences, interpret issues, and build

an understanding about paradoxical cognitive frames. Moreover, they pull managers out of their

isolation and increase their motivation to combine efforts with others (Mom et al., 2009).

Likewise, Sheremata (2000) found cross-functional interfaces to positively influence the

willingness to solve problems jointly, whereas Bahrami and Evans (1987) argue that they foster

the generation of mutual commitment to make and realize decisions.

Essentially, it stimulates confidence and trust between individuals (Adler et al., 1999), which

by themselves are critical components of social integration. This mechanism is flexible in nature,

as the teams can be easily abolished after their specific task or objectives have been completed.

Cross-functional interfaces provide platforms that keep multiple individuals and their abilities

connected through reconciliation of opposing perspectives (Miller, 1987). Similarly, Martinez

and Jarillo (1989) revealed these mechanisms to enable the establishing of social interactions and

building relationships across internal vertical, horizontal, and lateral organizational boundaries.

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2.9 Structural differentiation

By spatially separating individuals focused on flexible exploration from individuals focused on

efficient exploitation, leaders can address the conflicting demands of efficiency and flexibility

(Eisenhardt et al., 2010). It allows the coexistence of inconsistent and paradoxical efforts at

different locations where activities can be constructed entirely around either emergent or

mainstream business opportunities (Gilbert, 2005). Consequently, individuals remain relatively

isolated from activities, cultures, and cognitive frames outside their own business unit or team

(Gilbert, 2006). While this offers potential for individuals to specialize in specific skills and

capabilities, it also narrows their potential to obtain new knowledge outside their own area of

expertise. With greater subdivision of task and domains across units or individuals, it is likely

that their respective self-interests lead them to not share information that could benefit others

(Jansen, Simsek, and Cao, 2012).

In fact, Good and Michel (2013) argue that structural differentiation weakens individual

differences and avoids the reality, that is that regardless of job function, individuals work within

increasingly dynamic environments that require ambidextrous behaviors. This is in line with

findings of Eisenhardt et al. (2010) that in order to balance exploitation and exploration one

needs to unbalance its structure in favor of flexibility. Put differently, as organizations grow they

tend to drift toward more structural differentiation and efficiency, thus creating rigid working

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experiences (Sorensen and Stuart, 2000). This may increase individual conflicts, due to increased

competition for attention and resources, and further contribute to the isolation of one another

(Jansen et al., 2012). In sum, while structural differentiation allows for a particular focus on

either exploration or exploitation activities, it hinders the opportunity for individuals to engage in

both. Accordingly:

H3: Structural differentiation is negatively related to individual ambidexterity

Besides the aforementioned direct effect of structural differentiation, studies on

organizational ambidexterity (e.g. Floyd and Lane, 2000) suggest that an indirect influence, too,

is present via formal and informal integration mechanisms. However, most of these studies

reason from the perspective of ambidexterity measured at the unit level, as well as putting

forward either formal (Benner and Tushman, 2003) or informal mechanisms (Birkinshaw and

Gibson, 2004).

More recently, a dialogue emerged at which hierarchical level a combination of

integration mechanisms should be implemented. For example, Gilbert (2006) proposed to

incorporate integration mechanisms at lower levels of an organization or unit. Opposed to this

view, Jansen et al. (2009) consider informal social mechanisms to be potentially harmful within

lower levels of an organization. In line with prior studies (Egelhoff, 1991; Floyd and Lane,

2000), they posit that formal integration mechanisms are required to manage contradictory

processes and deepen knowledge flows at lower hierarchical levels. Conversely, due to the

frequency of adjustments required, informal integration mechanisms are encouraged at the

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different personal integration mechanisms actually have a larger positive effect in comparison to

formal mechanisms. Similarly, Faraj and Xiao (2006) point to the importance of informal and

personal types of integration for shaping knowledge and learning-related processes of

individuals. Interestingly, Mom et al. (2009) demonstrated that a simultaneous implementation of

formal and informal integration mechanisms can lead to positive interaction effects. In their

study, the effect of a combination of encouraged decision-making authority and formalization

was more powerful than the sum of their independent effects. Equally, Raisch et al. (2009) argue

that a combination of integration mechanisms is likely to result in more than the mere sum of the

individual mechanisms. These results appear to support hybrid mechanisms that combine the

formal structural mechanisms with informal components, such as strong internal networks (Mom

et al., 2009). Thus, the complementing effect of formal structural components and informal

personal mechanisms can reinforce one another, as well as their subsequent influence on

individual ambidexterity. Accordingly:

H4: Structural differentiation positively moderates the relationship between social integration and individual ambidexterity

Cross functional interfaces can foster social integration by pulling individuals out of their

isolation (Mom et al., 2009), and creating a context for managers with different backgrounds to

learn from each other (Gibson and Birkinshaw, 2004). In contrast, structural differentiation

stimulates individuals to increasingly develop expertise within the specialized area of their

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Applying the same logic from the preceding hypothesis, a hybrid mechanism combining

formal and informal components is in place. Effective participation in cross-functional interfaces

both requires and enables individuals to understand, enter into discussion, and interact with

individuals from different specialized areas of expertise and with different knowledge. Structural

differentiation can stimulate the effectiveness and outcomes of these interfaces, as it increases

both job and task specialization among units or employees. Thus, it boosts the probability that

participants’ acquire relevant new knowledge and perspectives from individuals with radically

different capabilities (Jansen et al. 2005). Therefore:

H5: Structural differentiation positively moderates the effect of cross-functional interfaces on the relationship between social integration and individual ambidexterity

2.10 Conceptual model

The developed hypotheses can be delineated and summarized via the following model:

Individual Ambidexterity Structural Differentiation Cross-Functional Interfaces Social Integration H1+ H3-- H1+ H2+ H4+ H5+

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3 Methodology

3.1 Survey Design

This research aims to reach a generalizable conclusion. In line order to do so, a self-administered

and structured web-based survey with closed questions was constructed via Qualtrics Survey

Software. Advantages of this research method include the opportunity to compare data due to the

standardized nature of questions, the reasonably fast approach to gather all the required data, and

the absence of financial or other costs. Potential limitations include common method bias, the

restriction in potential answers, as well as the lack of clarity regarding the formulation of the

questions and/or constructs. In order to ensure respondents correctly understand the latter, this

survey was validated by means of extensive pretesting. The former will be discussed more

thoroughly in a different section (3.2, p. 26).

First, peer students and employees reviewed the survey in its initial form, where scales and

questions were adopted and adapted from prior validated research. Second, construct definitions

and words were replaced in accordance with the feedback and suggestions of the students and

employees. Third, a small sample (N=20) participated in a pilot survey to control for dropout

rates, the time required to fill out the survey, and assess the internal consistency of the measures.

Analysis of all the measures produced gratifying results, meaning no ambiguity exists and good

internal consistency of the constructs. Results from the pilot survey were not included in the final

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3.2 Common Method Bias

According to Blumberg et al. (2011) self-administered surveys can be prone to common method

bias when including both endogenous and exogenous variables. In line with Podsakoff,

MacKenzie, and Lee (2003), the possibility of this bias was reduced by measuring the variables

alternately in different parts of the survey. This makes it harder for respondents to detect the

internal logic of the survey. Another potential cause of common method variance is the social

desirability of respondents towards particular constructs (Kortmann, 2014).

To tackle this, two precautionary measures have been implemented. First, respondents were

guaranteed full anonymity and confidentiality of their answers. Second, respondents were

assured that there are no right or wrong answers, as well as explicitly being asked to answer the

questions from the perspective of their personal work environments and backgrounds. These methods should reduce respondents’ evaluation anxiety and make them less likely to edit their responses to be more socially desirable and consistent with how they think the researcher wants

them to answer (Podsakoff et al., 2003).

3.3 Sampling Frame and Data Collection

The sample for this research was selected through both formal and informal network relations, in

order to increase the scope of the respondents. Ideally, these contacts further distribute the survey

within their respective teams, organizations, and networks. This research method is also known

as snowball sampling. Although this method can decrease the generalizability of the results, the

impact in this particular study is expected to be limited. Since this research employs no particular

emphasis on a specific industry or group –e.g. top executives within manufacturing firms- but

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useful. By choosing this method, this research accepts the following two limitations. First, the sample is not a random selection of the population. Second, due to the use of the researcher’s formal and informal networks to achieve a snowballing effect, respondents are more likely to

form a more homogeneous sample. The online survey was distributed early July 2015 and

perceived respondents received an invitation to participate via email, social networks, and

internal communication networks. Data was collected during the remainder of July 2015. To

increase the response rate, reminders were sent after one and two weeks respectively. Overall,

127 respondents started the survey, of which a total of 110 completed it. Analysis of the

incomplete results showed no dropout pattern related to specific questions. Consequently,

incomplete results were discarded using list wise deletion, resulting in a final sample size of N =

110.

3.4 Non-Response Bias

Non-response bias arises when significant differences exist between the results of people who

responded to a survey and sampled individuals who failed to respond (Li and Calantone, 1998).

To ensure this study is not prone to this type of bias, the differences between early –the first 75

per cent- and late –the last 25 per cent- responses on the dependent and independent variables

were analyzed and compared. The results did not indicate any significant differences (p < .05),

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3.5 Measurements and Validation of Constructs

3.5.1 Independent and Dependent Variables

Independent Variable: Social Integration. To reflect social integration, or “the degree to which an individual is psychologically linked to others in a group” (O’Reilly et al., 1989; p.22) a

six-item measure has been adapted from O’Reilly et al. (1989) and Smith et al. (1994). Within a team, the personal satisfaction of individuals with other team members and motivation to

actively sustain those relationships are important indications of integration (O, Reilly et al.,

1989). The extent to which a team spirit prevails within a particular group, expressed by a feeling

of worthwhile contribution and a sense of belongingness, further extends this construct (Jaworski

and Kohli, 1993). Cronbach’s alpha coefficients in earlier studies were 0.94 (Smith et al., 1994) and 0.85 (O’Reilly et al., 1989) respectively.

Social Integration (Please indicate to what extent each statement is applicable to your own work situation) SOCIN1 I get along with colleagues within my department very well.

SOCIN2 I very frequently have contact with people, regardless of rank or position

SOCIN3 There is a lot of internal competition among my colleagues*

SOCIN4 The successes of my colleagues help me achieve my own objectives

SOCIN5 Team spirit trumps ranks and hierarchy within my team

SOCIN6 Working in my team feels like being part of a big family *Item is reverse-coded

Dependent Variable: Individual Ambidexterity. Ambidexterity refers to the ability to

simultaneously engage in incremental and discontinuous innovation (Tushman and O’Reilly,

1996). More specific, to define individual ambidextrous behavior this study adopts the definition

as proposed by Good and Michel (2013) as “the individual-level cognitive ability to flexibly

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(p. 437). In order to measure ambidexterity at the individual level, constructs have been adopted

from Mom et al. (2009). Two seven-item scales were used, one related to exploration and one

related to exploitation. The scales capture the extent to which individuals engaged in either

activity during the past year. As recommended by Lubatkin et al. (2006) and Jansen et al. (2009),

ambidexterity is computed and measured via the additive model, thus by adding the separate

scores for exploration and exploitation and creating a single variable. In the study by Mom et al.

(2009) the ambidexterity scale has good internal consistency, with Cronbach’s alpha coefficients

of 0.90 for exploratory activities and 0.87 for exploitative activities.

Individual Ambidexterity( exploratory and exploitative activities): To what extent did you, last year, engage in work related activities that can be characterized as follows:

EXPLOR1 Searching for new possibilities with respect to products/services, processes, or markets

EXPLOR2 Evaluating diverse options with respect to products/services, processes, or markets

EXPLOR3 Focusing on strong renewal of products/services or processes

EXPLOR4 Activities of which the associated yields or costs are currently unclear

EXPLOR5 Activities requiring quite some adaptability of you

EXPLOR6 Activities requiring you to learn new skills or knowledge

EXPLOR7 Activities that are not (yet) clearly existing company policy

EXPLOI1 Activities of which a lot of experience has been accumulated by yourself

EXPLOI2 Activities which you carry out as if it were routine

EXPLOI3 Activities which serve existing (internal) customers with existing services/products

EXPLOI4 Activities of which it is clear to you how to conduct them

EXPLOI5 Activities primarily focused on achieving short-term goals

EXPLOI6 Activities which you can properly conduct by using your present knowledge

EXPLOI7 Activities which clearly fit into existing company policy

Moderating Variables: Cross-Functional Interfaces. Regarding cross-functional interfaces, this

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(2009), this construct is measured through a five-item scale. It measures the extent to which an

individual is involved with boundary-spanning integration mechanisms such as temporary

workgroups, information-sharing, and cross-hierarchical activities. Jansen et al. (2009) reported a

Cronbach’s alpha of 0.72, thus providing stable internal consistency.

Cross-Functional Interfaces (Please indicate to what extent each statement is applicable to your own work situation) CRFI1 I regularly rotate between jobs and departments in my organization

CRFI2 I work in temporary task forces for collaboration between units

CRFI3 I work in permanent teams*

CRFI4 I regularly talk about possibilities for collaboration between different units

CRFI5 I coordinate work across internal organizational boundaries *Item is reverse-coded

Structural Differentiation. This study operationalizes structural differentiation in accordance

with Lawrence and Lorsch (1967), as the segmentation of an organizational system into

subsystems while establishing unit-specific differences. Based on a study by Jansen et al. (2009),

a six-item scale has been adopted and adapted, capturing differences across units in terms of

functions, products, markets, and mindsets. Jansen et al. (2009) reported a Cronbach’s alpha

coefficient of 0.78, thus providing good internal consistency.

Structural Differentiation (Please indicate to what extent each statement is applicable to your own work situation) STRUC1 Innovation and production activities are structurally separated within my organization

STRUC2 I specialize in specific functions and/or markets

STRUC3 Line and staff functions are clearly separated within my organization and team

STRUC4 We have separate units to enhance innovation and flexibility

STRUC5 My organization consists of teams and individuals that are either focused on the short term or the long term

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3.5.2 Control Variables

This empirical study controls for potential other factors influencing individual ambidexterity by

the inclusion of two control variables.

Firm Size. Schumpeter (1942) advocated that larger organizations are relatively more innovative

than smaller ones due to their excessive availability of resources. This allows them to allocate

their resources in such a manner that it enables the simultaneous pursuit of exploration and

exploitation activities (Jansen et al., 2009). Yet, others (e.g. Benner and Tushman, 2002) suggest

that their size makes them more rigid and constrained in adapting to changing circumstances. In

addition, Gilbert (2005) notes that incumbent firms have a natural inclination toward exploitative

activities. Equally, younger firms have a tendency to focus on exploratory activities, thereby

often overlooking the importance of ongoing exploitative activities. To consider this potential

influence, firm size in terms of the number of fulltime employees (FTEs) within an organization

is used as a control variable. The construct is measured on a six point scale from values 1 to 6.

The corresponding numbers can be seen in Table 1 on the subsequent page.

Tenure within the firm.

The experience an individual has aggregated within a firm can influence its capacity to operate

ambidextrous. Experienced individuals are associated with an improved ability to interpret and

deal with ambiguous situations (Mom et al., 2009). Therefore, in line with Tushman and O’Reilly (1996) the present study expects tenure within the firm to be positively related to individual experience, where a longer tenure at a firm leads to higher individual ambidexterity.

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3.5.3 Reliability Tests

Although the measurements of the variables have been adopted and adapted from previous

research, the reliability of the constructs in the present study was assessed before proceeding with any additional analyses. In general, a Cronbach’s Alpha-coefficient with a value exceeding 0.7 is considered reliable. All variables passed this threshold, with exploration and exploitation

registering the highest scores. Further decomposing the variables by removing specific questions

did not lead to a significant increase in the coefficient. Therefore, all the suggested variables and

their underlying questions are included in the analyses.

Table 2: Reliability Tests

Variable Cronbach’s Alpha

Social Integration 0.782

Exploration 0.827

Exploitation 0.825

Cross-Functional Interfaces 0.753

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4 Results

This section presents an overview of the results of the data analysis. The analysis has been

conducted via SPSS, and is presented in threefold to give a clear overview. First, an overview of

the acquired descriptive statistics is provided. Second, a correlation matrix is stated. The final

section describes the testing of the hypotheses.

4.1 General Data

4.1.1 Sample Statistics

Overall, 68 males participated in the survey, comprising of 61.8 per cent. Respondents were

asked about their age through a drop-down menu with clusters, so that they could select the

appropriate range. An overview of the demographic characteristics of the sample can be seen in

Appendix A. In total, 55.9 per cent of the sample size was younger than 35 years old. In addition,

73 per cent of the respondents minimally holds a Master Degree. Firm size has also been

analyzed by means of clusters. The clusters and distributions of firm size can be seen in Table 3.

Table 3: Firm Size

Frequency Percent Valid Percent Cumulative Percent Number of Employees 1-10 13 11,8 11,8 11,8 11-50 10 9,1 9,1 20,9 51-250 22 20,0 20,0 40,9 251-1000 25 22,7 22,7 63,6 1001-50 000 25 22,7 22,7 86,4 > 50 000 15 13,6 13,6 100,0 Total 110 100,0 100,0

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Moreover, respondents were asked how long they currently are tenured at their respective

employers. The clusters and corresponding distributions are shown in Table 4, with 58.2 per cent

of the respondents serving their firms for more than four years.

4.1.2 Descriptive Statistics

Table 5 shows the minimum, maximum, and mean scores as well as the standard deviations of all

the control, dependent, and independent variables. Before calculating the scores for the variables,

any reverse-coded questions were inverted. All the independent variables are measured on a

7-point Likert Scale. The dependent variable individual ambidexterity has been measured as the

mean of the summed scores on exploration and exploitation. The control variables are measured

on different scales. For firm size a scale ranging from 1 (1 to 10 employees) to 6 (more than 50

000 employees) has been used, for tenure at the firm a scale ranging from 1 (0 to 2 years) to 5

(more than 8 years) has been used. Overall, the results indicate that respondents score high on all

independent variables with all mean scores surpassing (M)>4. Social integration (M=5.230) in

particular has been rated favorably. The scores on exploration (M=4.927) and exploitation

(M=4.816) show that on average, respondents are engaged in both exploration and exploitation

activities, thus implying a score on individual ambidexterity (M=4.871) that is closely related to

both variables. It is interesting to investigate the potential mechanisms underlying these scores,

as cross-functional interfaces (M=4.460) has a higher mean score than structural differentiation

Table 4: Tenure at Current Employer

Frequency Percent Cumulative Percent

Years < 2 21 19,1 19,1 2-4 25 22,7 41,8 4-6 31 28,2 70,0 6-8 24 21,8 91,8 > 8 9 8,2 100,0 Total 110 100,0

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(M=4.191). The values for skewness and kurtosis indicate that although most of the variables are

negatively skewed, they are relatively normally distributed. This has been further evaluated and

confirmed through visual assessment of several plots.

Table 5: Descriptive Statistics

N Minimum Maximum Mean Std. Deviation Skewness Kurtosis

Firm Size 110 1 6 3,760 1,538 -.318 -.839 Tenure at Firm 110 1 5 2,770 1,224 .080 -.959 Social Integration 110 2,14 6,71 5,230 ,941 -.995 .717 Cross Functional Interfaces 110 1 7 4,460 1,368 -.265 -.531 Structural Differentiation 110 1 6,33 4,191 1,214 -.407 -.600 Exploration 110 1,43 7 4,927 1,018 -.769 .992 Exploitation 110 1,86 6,86 4,816 1,001 -.508 .040 Individual Ambidexterity 110 2,36 6,36 4,871 ,707 -.577 1.329

Valid N (list wise) 110

4.2 Data Analysis

4.2.1 Correlations

In order to check for significant correlations between variables, a correlation matrix has been constructed based on Pierson’s r methodology. Pierson’s r provides a good overview about the strength and the direction of the linear relationship between variables. Values can range from -1

to 1, with -1 and 1 indicating strong positive and negative correlations respectively, and a value

of 0 indicating no correlations at all. Table 6 provides an overview of all the correlations. The

values for exploration and exploitation related to individual ambidexterity (respectively r = .706,

p < .01 and r = .695, p < .01) indicate a strong positive relationship between both variables and

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types of activity. Moreover, social integration is also highly positively related to individual

ambidexterity (r = .445, p < .01), and in a lesser extent to cross-functional interfaces (r = .238, p

< .05). This implicates that higher socially integrated individuals are also associated with higher

involvements in cross-functional interfaces, as well as higher levels of individual ambidexterity.

Furthermore, structural differentiation is negatively correlated to several variables, including

social integration (r = -.235, p < .05), exploitation (r = -.259, p < .01), and individual

ambidexterity (r = -.238, p < .05), whereas it is positively related to firm size (r = .375, p < .01).

Also, worthwhile mentioning is that cross-functional interfaces is positively correlated to both

exploration (r = .378, p < .01) and firm size (r = .211, p < .05), while it is negatively correlated to

exploitation (r = -.251, p < .01) and not correlated to individual ambidexterity (r = .094, p > .01).

As for tenure at firm, it is positively correlated to exploration (r = .213, p < .05), exploitation (r =

.225, p < .05), and individual ambidexterity (r = .313, p < .01). Overall, the bivariate correlations

indicate several significant relationships between the variables. Hence, the relationships

proposed in the conceptual model are worth analyzing.

Table 6: Correlation Matrix (based on Pierson’s r)

Social Integration Cross Function al Interfaces Structural Differentiation Exploration Activities Exploitation Activities Individual Ambidexterity Firm Size Social Integration 1 Cross Functional Interfaces ,238* 1 Structural Differentiation -,235* -,063 1 Exploration Activities ,393** ,378** -,075 1 Exploitation Activities ,230* -,251** -,259** -,019 1 Individual Ambidexterity ,445** ,094 -,238* ,706** ,695** 1 Firm Size -,091 ,211* ,375** ,068 -,145 -,053 1 Tenure at Firm ,041 -,108 ,029 ,213* ,225* ,313** ,122

*. Correlation is significant at the 0.05 level (2-tailed). **. Correlation is significant at the 0.01 level (2-tailed).

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