The critical role of organizational routines was articulated
by Stinchcombe (1965) in his seminal paper
on the liability of newness. He identified four aspects
of new organizations that make them more prone to
failure than are older, more established organizations:
(a) new organizations must get by with general knowledge
until members learn new, specific roles, and functions;
(b) during the role identification and formation
process, there may be conflict, worry, and inefficiency;
(c) relations with outside individuals and organizations
must be forged, and an initial lack of trust may be a
liability; and (d) new organizations lack stable ties with
the customers they wish to serve
The critical role of organizational routines was articulatedby Stinchcombe (1965) in his seminal paperon the liability of newness. He identified four aspectsof new organizations that make them more prone tofailure than are older, more established organizations:(a) new organizations must get by with general knowledgeuntil members learn new, specific roles, and functions;(b) during the role identification and formationprocess, there may be conflict, worry, and inefficiency;(c) relations with outside individuals and organizationsmust be forged, and an initial lack of trust may be aliability; and (d) new organizations lack stable ties withthe customers they wish to serve
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