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Managing the Unexpected: Detecting, Preventing and Mitigating Surprises in the Banking Industry

Eastburn, Ronald W.

Abstract Details

2011, Doctor of Management, Case Western Reserve University, Weatherhead School of Management.
Using mixed methods research we have gained insights into how successful banks continuously adapt to changing circumstances by adopting a higher level of collective mindfulness and absorptive capacity (ACAP), which positively influences firm performance. We found that surprises within the banking sector stemmed from an inability to anticipate and detect early warning signals. Semi-structured interviews with 23 high ranking U.S. banking executives yielded over 50 narrative accounts of decisions gone awry and revealed that bankers are not skilled in detecting and managing the unexpected. In addition, a quantitative survey of 165 bank CEOs revealed that absorptive capacity (ACAP) enhanced a bank’s performance during the 2007-2009 financial crisis. We demonstrated the multi-dimensional mediated structure of ACAP and that risk, operating and learning orientations positively affect ACAP and subsequent firm performance.
Richard Boland, Ph.D. (Advisor)
Kalle Lyytinen, Ph.D. (Advisor)

Recommended Citations

Citations

  • Eastburn, R. W. (2011). Managing the Unexpected: Detecting, Preventing and Mitigating Surprises in the Banking Industry [Doctoral dissertation, Case Western Reserve University]. OhioLINK Electronic Theses and Dissertations Center. http://rave.ohiolink.edu/etdc/view?acc_num=casedm1568627761609807

    APA Style (7th edition)

  • Eastburn, Ronald. Managing the Unexpected: Detecting, Preventing and Mitigating Surprises in the Banking Industry. 2011. Case Western Reserve University, Doctoral dissertation. OhioLINK Electronic Theses and Dissertations Center, http://rave.ohiolink.edu/etdc/view?acc_num=casedm1568627761609807.

    MLA Style (8th edition)

  • Eastburn, Ronald. "Managing the Unexpected: Detecting, Preventing and Mitigating Surprises in the Banking Industry." Doctoral dissertation, Case Western Reserve University, 2011. http://rave.ohiolink.edu/etdc/view?acc_num=casedm1568627761609807

    Chicago Manual of Style (17th edition)