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• W85485368 abstract "All else equal, more open communication and more reliable information are usually better for an organization (Eisenberg and Witten, 1987). Researchers disagree, however, on how best to achieve effective communication and information reliability. At the group level, one school of thought aligns with Coleman's (1988) network closure argument that the dense communication ties common in more closed networks promote trust and cooperation among group members (e.g., Garguilo and Benassi, 2000). Moreover, the resultant tight coupling among team members creates an environment conducive to efficient knowledge sharing (Hansen, 1999). Other researchers instead follow the weak ties argument of Granovetter (1973) and the structural holes argument of Burr (1992), asserting that closure-based group cohesion can be a source of rigidity that hinders adaptive coordination in groups performing complex organizational tasks (Garguilo and Benassi, 2000). These researchers argue that weak ties linking otherwise disconnected individuals in more open communication networks create opportunities for brokerage of valuable new information across the structural holes in otherwise closed networks (see Burt, 1992, for an extended discussion). Put simply, the more distant and infrequent communications common in more open, weak tie networks can provide new and useful information for groups facing complex tasks. Each of these perspectives has merit. However, the lack of knowledge about how the properties of group communication patterns influence group performance for complex tasks is especially acute regarding one important and highly consequential organizational group--the top management team (TMT) that makes strategic decisions. This paper contributes to the literature on TMT communication patterns and firm performance by arguing that the communication-performance relationship is context-dependent. The systems approach to communication proposes that the extent of the between network communication patterns and the communication environment will be positively associated with group performance (Euske and Roberts, 1987). A central and elemental task for TMT members is communicating to share information about the firm's environment in order to clarify or reduce environmental uncertainty (e.g., Galbraith, 1973). This paper argues that organizational performance will depend in part on how well a TMT's communication pattern matches the level of environmental uncertainty facing a firm. Thus, this paper proposes an overall hypothesis between TMT network communication patterns and environmental uncertainty, which allows the context(s) within which each of the divergent views of team communication might be valid to be examined. This study examines the complex relationship between the of a TMT's communication network density and centralization with its firm's environment, and the resulting organizational performance, using data obtained directly from 404 TMT members in 32 firms. While the results of this study provide general support for a perspective, for one hypothesis the fit relationship was not as anticipated. These results indicate that as environmental uncertainty increases, concomitant increases in TMT network communication density are necessary for high performance, but unexpectedly, concomitant increases in TMT network communication centralization are also necessary for high performance. The next section reviews relevant literature and develops the network structure hypotheses. Then the sample, the methodology, analyses and results are presented. The paper concludes with a discussion of the implications of findings for future TMT communication research. THEORETICAL REVIEW AND HYPOTHESES TMT Communication Patterns The TMT is arguably the most consequential group within an organization (Carpenter et al., 2004). Furthermore, communication factors have long been known to affect important outcomes in organizations (e. …" @default.
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• W85485368 date "2010-12-22" @default.
• W85485368 modified "2023-09-22" @default.
• W85485368 title "Top Management Team Communication Networks, Environmental Uncertainty, and Organizational Performance: A Contingency View" @default.
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