The Too-Much-of-a-Good-Thing Effect in Management

The Too-Much-of-a-Good-Thing Effect in Management

2013 | Jason R. Pierce, Herman Aguinis
Pierce and Aguinis (2013) propose the "too-much-of-a-good-thing effect" (TMGT effect) as a meta-theoretical principle explaining why seemingly beneficial antecedents often lead to negative outcomes. The TMGT effect suggests that positive relationships between variables become curvilinear, with inflection points beyond which the relationship turns asymptotic or negative. This effect is relevant across management subfields, including organizational behavior, human resource management, entrepreneurship, and strategic management. The authors argue that the assumption of linear, monotonic relationships in management theory is flawed, as many empirical findings contradict this assumption. The TMGT effect provides a framework for understanding paradoxical results, such as the negative consequences of excessive leadership, job enrichment, or firm growth. The authors emphasize the need for theories that account for context-specific inflection points and the nonlinear nature of many organizational relationships. They also highlight the importance of moderating variables in theory development and testing, as well as the need for more specific and accurate theoretical models. The TMGT effect challenges the traditional linear paradigm in management and suggests that curvilinear models are more appropriate for explaining many organizational phenomena. The authors conclude that future research should focus on identifying inflection points, understanding the shape of relationships, and incorporating the TMGT effect into both theory development and empirical testing.Pierce and Aguinis (2013) propose the "too-much-of-a-good-thing effect" (TMGT effect) as a meta-theoretical principle explaining why seemingly beneficial antecedents often lead to negative outcomes. The TMGT effect suggests that positive relationships between variables become curvilinear, with inflection points beyond which the relationship turns asymptotic or negative. This effect is relevant across management subfields, including organizational behavior, human resource management, entrepreneurship, and strategic management. The authors argue that the assumption of linear, monotonic relationships in management theory is flawed, as many empirical findings contradict this assumption. The TMGT effect provides a framework for understanding paradoxical results, such as the negative consequences of excessive leadership, job enrichment, or firm growth. The authors emphasize the need for theories that account for context-specific inflection points and the nonlinear nature of many organizational relationships. They also highlight the importance of moderating variables in theory development and testing, as well as the need for more specific and accurate theoretical models. The TMGT effect challenges the traditional linear paradigm in management and suggests that curvilinear models are more appropriate for explaining many organizational phenomena. The authors conclude that future research should focus on identifying inflection points, understanding the shape of relationships, and incorporating the TMGT effect into both theory development and empirical testing.
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