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Why some firms adopt telecommuting while others do not: A contingency perspective

Margarita Mayo, Juan-Carlos Pastor, Luis Gomez-Mejia, Cristina Cruz

Human Resource Management · 2009 · Volume 48 · Issue 6

DOI: 10.1002/hrm.20322

Abstract

Using a contingency perspective and data from 122 CEOs of Spanish firms, this paper examines what makes a firm likely to adopt telecommuting. We hypothesized that employer adoption of telecommuting would depend on organizational constraints (age and size of the firm), the international composition of the workforce, and the top executives' leadership style. In turn, we argue that firms adopting telecommuting would emphasize outcome-based control systems. Our empirical evidence showed that telecommuting correlated with small organizational size, a high proportion of international employees, and variable compensation. A contingent reward leadership style at the top moderated the effects of firm age and internationalization on the adoption of telecommuting. © 2009 Wiley Periodicals, Inc.

Keywords

telecommuting, contingency theory, contingent-reward leadership, work-family balance

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