Editorial

I am happy to bring you the second issue of the year 2013, which marks the silver jubilee of IIMB Management Review (IMR). To commemorate IMR's twenty-fifth anniversary as a publication, along with our regular contents, we will be publishing papers invited from eminent scholars and researchers, which have been put through a single blind fast track review process. The invited paper in this issue, "Exploring Innovation through Open Networks: A Review and Initial Research Questions" is by Jonathan Ye and Atreyi Kankanhalli of the University of Auckland Business School and National University of Singapore, respectively.  In today's global and technologically advancing world of widely distributed knowledge, organisations cannot rely only on internal R&D for innovation. This paper explores open networks as an emerging innovation strategy for organisations, where "seekers" post problems for external "solvers" to tackle, and the potential factors that can promote solvers' and seekers' participation in open networks.  The paper examines the theories that are used to explain the behaviours and motivations of solvers and seekers, and the influence of open network usage on organisational innovation performance.

Our Interview this time is also a special Silver Jubilee feature, on the role of spirituality in business management where Prof B Mahadevan, a former Chief Editor of IMR, speaks to Suresh B Hundre, Chairman  & MD of Polyhydron Pvt Ltd, Belgaum, India, a group with a turnover of Rs 1450 million, and which is known for its ethical management. Suresh Hundre shares how Polyhydron integrates spirituality into business through the organisation's core ideology impacting both the core purpose and core values, together also called as "core beliefs". Mr Suresh Hundre has evolved concepts such as "business ashrama" to create an atmosphere that fosters practice of simplicity, trust, openness, discipline, and the ethical conduct of business. He believes that owners should work as trustees and lead organisations by example and that students must be exposed to the right values through resource persons who espouse such values themselves.

Prediction of firm level sickness is a signal for turnaround management by the firm. Contending that the existing empirical exercises that predict industrial sickness are often inaccurate since they are based on arbitrarily selected financial ratios, in the paper, " Industrial Sickness in India - An Empirical Analysis", Dilip Kumar Datta takes a different approach to predicting firm level sickness. Dr Datta selects generally accepted macroeconomic indicators to classify industry groups into "good performing" and "bad performing" groups. Dr Datta then lays a set of accounting ratios that are developed from generally accepted macro economic indicators to predict firm level sickness. The resulting discriminant and predictive model is outlined.

In their paper "Creativity in Research and Development Laboratories: A New Scale for Leader Behaviours", Vishal Gupta, Shailendra Singh, and Naresh Khatri survey 584 scientists from 11 R&D laboratories in India to examine the leader behaviours that promote creativity among R&D professionals. . They quantitatively validate an existing scale and argue for use of the scale based on acceptable evidence of convergent and discriminant validities.  In the Round Table feature this time, Prof M Jayadev of IIMB appraises the Basel III guidelines for the capital regulation of banks issued by the Basel Committee on Banking Supervision and discusses important issues in their implementation in India and other emerging markets with a panel of senior banking professionals in India and the US.

I look forward to your feedback on this issue and to any other comments and suggestions.

Nagasimha Balakrishna Kanagal
Editor-in-Chief
IIMB Management Review
India
Email: eic@iimb.ernet.in