Knowledge that Transforms

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The Rationalization of Charity: The Influences of Professionalism in the Nonprofit Sector

Administrative Science Quarterly 2009 54(2), 268-298
This paper analyzes how professional values and practices influence the character of nonprofit organizations, with data from a random sample of 501 (c)(3) operating charities in the San Francisco Bay Area collected between 2003 and 2004. Expanded professionalism in the nonprofit world involves not only paid, full-time careers and credentialed expertise but also the integration of professional ideals into the everyday world of charitable work. We develop key indicators of professionalism and measure organizational rationalization as expressed in the use of strategic planning, independent financial audits, quantitative program evaluation, and consultants. As hypothesized, charities operated by paid personnel and full-time management show higher levels of rationalization. While traditional professionals (doctors, lawyers, and the clergy) do not differ significantly from executives with no credentialed background in eschewing business-like practices, managerial professionals champion such efforts actively, as do semi-professionals, albeit more modestly. Management training is also an important spur to rationalization. We assess what is gained and lost and the tension that can arise when nonprofits become professionalized and adopt more methodical, bureaucratic procedures.

The Call of the Wild: Zookeepers, Callings, and the Double-edged Sword of Deeply Meaningful Work

Administrative Science Quarterly 2009 54(1), 32-57
A qualitative examination of work meaning in the zoo-keeping profession pointed to the centrality of the notion of work as a personal calling. The view of calling expressed by zookeepers, however, was closer in basic structure to the classical conceptualization of the Protestant reformers than it was to more recent formulations. We used qualitative data from interviews with U.S. zookeepers to develop hypotheses about the implications of this neoclassical conceptualization of calling for the relationship between individuals and their work. We found that a neoclassical calling is both binding and ennobling. On one hand, zookeepers with a sense of calling strongly identified with and found broader meaning and significance in their work and occupation. On the other hand, they were more likely to see their work as a moral duty, to sacrifice pay, personal time, and comfort for their work, and to hold their zoo to a higher standard. Results of a survey of zookeepers from 157 different zoos in the U.S. and Canada supported the hypotheses from our emergent theory. These results reveal the ways in which deeply meaningful work can become a double-edged sword.

Credit and Classification: The Impact of Industry Boundaries in Nineteenth-Century America

Administrative Science Quarterly 2009 54(3), 486-520
In this article, we examine how issues of multi-category membership (hybridity) were handled during the evolution of one of the first general systems of industrial classification in the United States, the credit rating schema of R. G. Dun and Company. Drawing on a repeated cross-sectional study of credit evaluations during the postbellum period (1870–1900), our empirical analyses suggest that organizational membership in multiple categories need not be problematic when classification systems themselves are emergent or in flux and when organizations avoid rare combinations or identities involving ambiguous components. As Dun's schema became institutionalized, boundaries between industries were more clearly defined and boundary violations became subject to increased attention and penalty by credit reporters. Our perspective highlights the utility of an evolutionary perspective and tests its implications for the salience of distinct mechanisms of hybridity.

Networks, Propinquity, and Innovation in Knowledge-intensive Industries

Administrative Science Quarterly 2009 54(1), 90-122
Industrial districts and regional clusters depend on the networks that arise from reciprocal linkages among co-located organizations, while physical proximity among firms can alter the nature of information and resource flows through networks. We consider the joint effects of geographic propinquity and network position on organizational innovation using negative binomial count models of patenting activity for U.S.-based life science firms in industrial districts and regional clusters across a 12-year time period, 1988–1999. We find evidence that regional agglomeration and network centrality exert complementary, but contingent, influences on organizational innovation. Results show that in the high-velocity, research-intensive field of biotechnology, geographic and network positions have both independent and contingent effects on organizational innovation. The influence of centrality in local, physically co-located partner networks depends on the extent to which firms are also embedded in a global network comprising physically distant partners. Such global centrality, however, alters how proximity to two important classes of organization-other biotechnology firms and public sector research organizations, such as universities, research institutes, and teaching hospitals—influences innovation. Regional agglomeration shapes the character of information and resource flows through networks, while much of what makes industrial clusters region-like involves the structure of their internal networks. We conclude that network effects persist both independently and interdependently with geographic variables, and regional characteristics influence the degree to which centrality enhances innovation.