The long and winding road: Routine creation and replication in multi-site organizations

Prior research on organizational routines in the ‘capabilities’ literature has either studied how new routines are created during an exploratory process of variation and selection or how existing routines are replicated during a phase of exploitation. Few studies have analyzed the life cycle of new routine creation and replication as an integrated process. In an in-depth case study of England’s Highways Agency, this paper shows that the creation and replication of a new routine across multiple sites involves four sequential steps: envisioning, experimenting, entrenching and enacting. We contribute to the capabilities research in two ways: first, by showing how different organizational levels, capabilities and logics (cognitive and behavioural) shape the development of new routines; and second, by identifying how distinct evolutionary cycles of variation and selective retention occur during each step in the process. In contrast with prior research on replication as an exact copy of a template or existing routine, our study focuses on the replication of an entirely new routine (based on novel principles) that is adapted to fit local operational conditions during its large-scale replication across multiple sites. We draw upon insights from adjacent ‘practice research’ and suggest how capabilities and practice studies may complement each other in future research on the evolution of routines.

[1]  Daniel A. Levinthal,et al.  Exploration and Exploitation in Organizational Learning , 2007 .

[2]  A. Strauss,et al.  Basics of qualitative research: Grounded theory procedures and techniques. , 1993 .

[3]  J. Ruiz Moreno [Organizational learning]. , 2001, Revista de enfermeria.

[4]  Daniel A. Levinthal,et al.  Looking Forward and Looking Backward: Cognitive and Experiential Search , 2000 .

[5]  M. Feldman Organizational Routines as a Source of Continuous Change , 2000 .

[6]  Sendil K. Ethiraj,et al.  Where Do Capabilities Come from and How Do They Matter? A Study in the Software Services Industry , 2005 .

[7]  Arie Y. Lewin,et al.  Sources of Variation in the Efficiency of Adopting Management Innovation: The Role of Absorptive Capacity Routines, Managerial Attention and Organizational Legitimacy , 2014 .

[8]  Nathalie Lazaric,et al.  Routinization and memorization of tasks in a workshop: the case of the introduction of ISO norms , 2005 .

[9]  J. P. Eggers,et al.  Cognition and Capabilities: A Multi-Level Perspective , 2013 .

[10]  Sidney G. Winter,et al.  FOUR Rs OF PROFITABILITY: RENTS, RESOURCES, ROUTINES, AND REPLICATION , 1995 .

[11]  L. Stern,et al.  Conducting Interorganizational Research Using Key Informants , 1993 .

[12]  Eugenia Cacciatori,et al.  Resolving Conflict in Problem‐Solving: Systems of Artefacts in the Development of New Routines , 2012 .

[13]  Gabriel Szulanski,et al.  Template Use and the Effectiveness of Knowledge Transfer , 2003, Manag. Sci..

[14]  Anselm L. Strauss,et al.  Qualitative Analysis For Social Scientists , 1987 .

[15]  R. Suddaby From the Editors: What Grounded Theory is Not , 2006 .

[16]  Robert J. Jensen,et al.  Presumptive Adaptation and the Effectiveness of Knowledge Transfer , 2006 .

[17]  Constance E. Helfat,et al.  Untangling dynamic and operational capabilities: strategy for the (n)ever-changing world , 2011 .

[18]  T. Jick Mixing Qualitative and Quantitative Methods: Triangulation in Action. , 1979 .

[19]  Constance E. Helfat,et al.  The dynamic resource-based view: capability lifecycles , 2003 .

[20]  Anne Marie Knott,et al.  The Dynamic Value of Hierarchy , 2001, Manag. Sci..

[21]  Erwin Danneels Trying to become a different type of company: dynamic capability at Smith Corona , 2011 .

[22]  Vern Glaser,et al.  Design Performances: How Organizations Inscribe Artifacts to Change Routines , 2017 .

[23]  Charles Baden�?Fuller,et al.  Replicating Organizational Knowledge: Principles or Templates? , 2005 .

[24]  Martha S. Feldman,et al.  Beyond Routines as Things : Introduction to the Special Issue on Routine Dynamics A 1 , 2018 .

[25]  Claus Rerup,et al.  Beyond Collective Entities: Multilevel Research on Organizational Routines and Capabilities , 2011 .

[26]  S. Winter,et al.  Replication as Strategy , 2001 .

[27]  U. Kelle "Emergence" vs. "forcing" of empirical data? A crucial problem of "grounded theory" reconsidered , 2005 .

[28]  M. Feldman,et al.  Organizational Routines as Sources of Connections and Understandings , 2002 .

[29]  ชวิตรา ตันติมาลา Constructing Grounded Theory: A Practical Guide through Qualitative Analysis , 2017 .

[30]  M. Feldman,et al.  Routines as a Source of Change in Organizational Schemata: The Role of Trial-and-Error Learning , 2011 .

[31]  K. Charmaz,et al.  Constructing Grounded Theory , 2014 .

[32]  Kristin N. Price,et al.  Forging an Identity: An Insider-outsider Study of Processes Involved in the Formation of Organizational Identity , 2010 .

[33]  Kevin G. Corley,et al.  Identity Ambiguity and Change in the Wake of a Corporate Spin-off , 2004 .

[34]  D. Teece Explicating dynamic capabilities: the nature and microfoundations of (sustainable) enterprise performance , 2007 .

[35]  Chris J. McDonald,et al.  The Evolution of Intel s Copy EXACTLY ! Technology Transfer Method , 1998 .

[36]  Luciana D'Adderio,et al.  The Replication Dilemma Unravelled: How Organizations Enact Multiple Goals in Routines Transfer , 2014, Organ. Sci..

[37]  Patrick S. Cohendet,et al.  Always Playable: Recombining Routines for Creative Efficiency at Ubisoft Montreal's Video Game Studio , 2016, Organ. Sci..

[38]  J. V. Maanen,et al.  The Fact of Fiction in Organizational Ethnography. , 1979 .

[39]  D. Teece,et al.  DYNAMIC CAPABILITIES AND STRATEGIC MANAGEMENT , 1997 .

[40]  Scott F. Turner,et al.  A Balancing Act: How Organizations Pursue Consistency in Routine Functioning in the Face of Ongoing Change , 2012, Organ. Sci..

[41]  Simon Grand,et al.  Unpacking the Dynamics of Ecologies of Routines: Mediators and Their Generative Effects in Routine Interactions , 2016, Organ. Sci..

[42]  Paul Spee,et al.  The Influence of Routine Interdependence and Skillful Accomplishment on the Coordination of Standardizing and Customizing , 2015, Organ. Sci..

[43]  M. Shubik,et al.  A Behavioral Theory of the Firm. , 1964 .

[44]  Markus C. Becker Organizational routines: a review of the literature , 2004 .

[45]  Daniel A. Levinthal,et al.  Crossing an Apparent Chasm: Bridging Mindful and Less-Mindful Perspectives on Organizational Learning , 2006, Organ. Sci..

[46]  Giovanni Gavetti,et al.  Cognition and Hierarchy: Rethinking the Microfoundations of Capabilities' Development , 2005, Organ. Sci..

[47]  E. Guba,et al.  Lincoln, Yvonna, and Egon Guba, "Postpositivism and the Naturalist Paradigm," pp. 14-46 in Yvonna Lincoln and Egon Guba, Naturalistic Inquiry . Beverly Hills, CA: Sage, 1985.* , 1985 .

[48]  Maurizio Zollo,et al.  Deliberate Learning and the Evolution of Dynamic Capabilities , 2002 .

[49]  Jeremy P. Birnholtz,et al.  Organizational Character: On the Regeneration of Camp Poplar Grove , 2007, Organ. Sci..

[50]  D. Seidl,et al.  Emerging Intentionality in Routine Dynamics: A Pragmatist View , 2017 .

[51]  N. Lazaric Organizational routines and cognition: an introduction to empirical and analytical contributions , 2011, Journal of Institutional Economics.

[52]  H. Tsoukas,et al.  Understanding the (Re)Creation of Routines from Within: A Symbolic Interactionist Perspective , 2013 .

[53]  Jennifer A. Howard-Grenville,et al.  Routines Revisited: Exploring the Capabilities and Practice Perspectives , 2011 .

[54]  Jennifer A. Howard-Grenville,et al.  A Process Perspective on Organizational Routines , 2016 .

[55]  C. Salvato,et al.  Routine Regulation: Balancing Conflicting Goals in Organizational Routines* , 2018 .

[56]  Araújo,et al.  An Evolutionary theory of economic change , 1983 .

[57]  A. Langley Strategies for Theorizing from Process Data , 1999 .

[58]  Erwin Danneels Organizational antecedents of second‐order competences , 2008 .

[59]  M. Feldman,et al.  Reconceptualizing Organizational Routines as a Source of Flexibility and Change , 2003 .

[60]  Martha S. Feldman,et al.  Toward a Theory of Coordinating: Creating Coordinating Mechanisms in Practice , 2012, Organ. Sci..

[61]  Tammy L. Madsen,et al.  Microfoundations of Routines and Capabilities: Individuals, Processes, and Structure , 2012 .

[62]  S. Barley,et al.  Bringing Work Back In , 2001 .

[63]  S. Winter Understanding dynamic capabilities , 2003 .

[64]  Martha S. Feldman,et al.  Dynamics of Organizational Routines: A Generative Model , 2012 .

[65]  Kevin G. Corley,et al.  Seeking Qualitative Rigor in Inductive Research , 2013 .

[66]  Robert J. Jensen,et al.  REPRODUCING KNOWLEDGE: INACCURATE REPLICATION AND FAILURE IN FRANCHISE ORGANIZATIONS. , 2007 .

[67]  David Obstfeld,et al.  Creative Projects: A Less Routine Approach Toward Getting New Things Done , 2012, Organ. Sci..

[68]  Gabriel Szulanski Growing through copying: the negative consequences of innovation on franchise network growth , 2009 .

[69]  Anne Marie Knott,et al.  Redesigning routines for replication , 2015 .

[70]  N. Foss,et al.  International expansion through flexible replication: Learning from the internationalization experience of IKEA , 2011 .

[71]  S. Winter,et al.  An evolutionary theory of economic change , 1983 .

[72]  Shahzad Ansari,et al.  How are Practices Made to Vary? Managing Practice Adaptation in a Multinational Corporation , 2014 .

[73]  Luciana D'Adderio Artifacts at the centre of routines: performing the material turn in routines theory , 2010, Journal of Institutional Economics.

[74]  Michael X Cohen,et al.  Organizational Routines Are Stored as Procedural Memory: Evidence from a Laboratory Study , 1994 .

[75]  Gianmario Verona,et al.  The Organizational Drivetrain: A Road To Integration of Dynamic Capabilities Research , 2014 .

[76]  Margaret A. Peteraf,et al.  The elephant in the room of Dynamic Capabilities: Bringing two diverging conversations together , 2012 .

[77]  Daniel A. Levinthal,et al.  Three Facets of Organizational Adaptation: Selection, Variety, and Plasticity , 2015, Organ. Sci..

[78]  Daniel A. Levinthal,et al.  Perspective - Neo-Carnegie: The Carnegie School's Past, Present, and Reconstructing for the Future , 2007, Organ. Sci..

[79]  Arthur Francis,et al.  Resource-based and evolutionary theories of the firm: Towards a synthesis , 1997 .

[80]  Davide Nicolini Zooming In and Out: Studying Practices by Switching Theoretical Lenses and Trailing Connections , 2009 .

[81]  Marjorie A. Lyles,et al.  Dynamic Capabilities: Current Debates and Future Directions , 2009 .