AN INTRODUCTION TO LINKING THEOR

Janet L. Walsh

Review of Business and Finance Studies, 2016, vol. 7, issue 2, 91-100

Abstract: Characteristics of winning organizations in the 21st century include fast, friendly, focused, and flexible customer-centered infrastructure (Kotze, 2002). For global organizations to be successful, a supportive infrastructure is critical (Kotze, 2002; Theodore, 2014; Tyson, 1998). Popular organizational theories do not address the need for a supportive infrastructure to link business strategy with operational tactics and as such, face significant problems in overcoming the challenges of competing in the rapidly changing, global environment (Gürel, 2014; Kotze, 2002; Theodore, 2014; Tyson, 1998). By linking strategy, operational infrastructures (lean or balanced scorecard), communication activities, and human resources practices, businesses can increase their ability to improve customer satisfaction and financial performance. Linking theory states to maximize organizational effectiveness in the 21st century global corporations should align their business strategy to organizational infrastructure using human resources and tools to increase customer satisfaction and business performance. Linking theory focuses on strategy, structure, and customer satisfaction and as such, is applicable to all types of global businesses. Since customer satisfaction is the focus of the strategy and structure, employees and managers efforts center on the customer’s definition of satisfaction. Strong technology and communication platforms facilitate internal and external communications providing additional links between strategy and human resources.

Keywords: International Business Management; Customer Satisfaction; Financial Performance; Human Resource Management; Communication; Technology (search for similar items in EconPapers)
JEL-codes: M16 (search for similar items in EconPapers)
Date: 2016
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