Forum for Science, Industry and Business

Sponsored by:     3M 
Search our Site:

 

Location matters when it comes to deal-making, says new study

09.04.2014

Location Matters When it Comes to Deal Making says new study from UofT’s Rotman School of Management.

Even six-year-olds know who you sit beside matters, whether you're in first grade or at a high-powered dinner.

But now a new study, using the U.S. Senate Chamber as its laboratory, provides documented evidence of that phenomenon. It shows that where a person is located influences who they interact with and who they will turn to in order to build support for their own agenda.

For the powerful however, seating arrangements don't make much of a difference. That's because the people they need support from usually come to them.

The study's researchers chose the Senate as "a window into how people rally support for their initiatives," said Christopher Liu, an assistant professor of strategic management at the University of Toronto's Rotman School of Management. Prof. Liu conducted the study with Rotman PhD student Jillian Chown.

The Senate was ideal for study because of its rich record-keeping. The researchers analyzed co-sponsorship patterns for bills proposed between 1979 and 2001. This was compared with seating charts kept for the same period. Detailed analysis was done on the distance between specific senators’ desks to test for the likelihood that senators sitting closer to each other might co-sponsor similar bills.

The study found that co-sponsorship of a senator’s bill was more likely to come from those sitting near them. Senators sitting close together were also more likely to co-sponsor the same bills. More senior -- and therefore more powerful -- senators however were not dependent on their senate location for support on legislative initiatives.

Although the study took place in a political forum, its findings have implications for other organizations that are trying to better understand the importance of where their employees are located and how to foster interactions between them. 

"Geographic location is a managerial lever," said Prof. Liu. "You can't force people to work with one another. But you can make them share a bathroom, or pass one another in the hall.”

The study is forthcoming in the Strategic Management Journal.

For the latest thinking on business, management and economics from the Rotman School of Management, visit www.rotman.utoronto.ca/FacultyAndResearch/NewThinking.aspx.
 
The Rotman School of Management at the University of Toronto is redesigning business education for the 21st century with a curriculum based on Integrative Thinking. Located in the world’s most diverse city, the Rotman School fosters a new way to think that enables the design of creative business solutions.  For more information, visit www.rotman.utoronto.ca.

For more information:
 
Ken McGuffin
Manager, Media Relations
Rotman School of Management
University of Toronto
Voice 416.946.3818
E-mail mcguffin@rotman.utoronto.ca
Follow Rotman on Twitter @rotmanschool
Watch Rotman on You Tube www.youtube.com/rotmanschool

Ken McGuffin | EurekAlert!

Further reports about: Deal Integrative Location Management Strategic Twitter Voice employees evidence

More articles from Studies and Analyses:

nachricht New study: How stable is the West Antarctic Ice Sheet?
09.02.2016 | Alfred-Wegener-Institut, Helmholtz-Zentrum für Polar- und Meeresforschung

nachricht Online shopping might not be as green as we thought
08.02.2016 | University of Delaware

All articles from Studies and Analyses >>>

The most recent press releases about innovation >>>

Die letzten 5 Focus-News des innovations-reports im Überblick:

Im Focus: Production of an AIDS vaccine in algae

Today, plants and microorganisms are heavily used for the production of medicinal products. The production of biopharmaceuticals in plants, also referred to as “Molecular Pharming”, represents a continuously growing field of plant biotechnology. Preferred host organisms include yeast and crop plants, such as maize and potato – plants with high demands. With the help of a special algal strain, the research team of Prof. Ralph Bock at the Max Planck Institute of Molecular Plant Physiology in Potsdam strives to develop a more efficient and resource-saving system for the production of medicines and vaccines. They tested its practicality by synthesizing a component of a potential AIDS vaccine.

The use of plants and microorganisms to produce pharmaceuticals is nothing new. In 1982, bacteria were genetically modified to produce human insulin, a drug...

Im Focus: The most accurate optical single-ion clock worldwide

Atomic clock experts from the Physikalisch-Technische Bundesanstalt (PTB) are the first research group in the world to have built an optical single-ion clock which attains an accuracy which had only been predicted theoretically so far. Their optical ytterbium clock achieved a relative systematic measurement uncertainty of 3 E-18. The results have been published in the current issue of the scientific journal "Physical Review Letters".

Atomic clock experts from the Physikalisch-Technische Bundesanstalt (PTB) are the first research group in the world to have built an optical single-ion clock...

Im Focus: Goodbye ground control: autonomous nanosatellites

The University of Würzburg has two new space projects in the pipeline which are concerned with the observation of planets and autonomous fault correction aboard satellites. The German Federal Ministry of Economic Affairs and Energy funds the projects with around 1.6 million euros.

Detecting tornadoes that sweep across Mars. Discovering meteors that fall to Earth. Investigating strange lightning that flashes from Earth's atmosphere into...

Im Focus: Flow phenomena on solid surfaces: Physicists highlight key role played by boundary layer velocity

Physicists from Saarland University and the ESPCI in Paris have shown how liquids on solid surfaces can be made to slide over the surface a bit like a bobsleigh on ice. The key is to apply a coating at the boundary between the liquid and the surface that induces the liquid to slip. This results in an increase in the average flow velocity of the liquid and its throughput. This was demonstrated by studying the behaviour of droplets on surfaces with different coatings as they evolved into the equilibrium state. The results could prove useful in optimizing industrial processes, such as the extrusion of plastics.

The study has been published in the respected academic journal PNAS (Proceedings of the National Academy of Sciences of the United States of America).

Im Focus: New study: How stable is the West Antarctic Ice Sheet?

Exceeding critical temperature limits in the Southern Ocean may cause the collapse of ice sheets and a sharp rise in sea levels

A future warming of the Southern Ocean caused by rising greenhouse gas concentrations in the atmosphere may severely disrupt the stability of the West...

All Focus news of the innovation-report >>>

Anzeige

Anzeige

Event News

Symposium on Climate Change Adaptation in Africa 2016

12.02.2016 | Event News

Travel grants available: Meet the world’s most proficient mathematicians and computer scientists

09.02.2016 | Event News

AKL’16: Experience Laser Technology Live in Europe´s Largest Laser Application Center!

02.02.2016 | Event News

 
Latest News

LIGO confirms RIT's breakthrough prediction of gravitational waves

12.02.2016 | Physics and Astronomy

Gene switch may repair DNA and prevent cancer

12.02.2016 | Life Sciences

Using 'Pacemakers' in spinal cord injuries

12.02.2016 | Medical Engineering

VideoLinks
B2B-VideoLinks
More VideoLinks >>>