The critical role of effective organizational learning to improve firm’s innovation and performance in a market turbulence condition

2020 ◽  
Vol 12 (3) ◽  
pp. 237-254
Author(s):  
Emiliana Sri Pudjiarti ◽  
Prihatin Tiyanto Priagung Hutomo

Purpose The purpose of this study is to identify the effects of market turbulence as a moderating construct in relation to effective organizational learning on the company’s innovation and performance as well as on the antecendent of facilitative leadership competence. Design/methodology/approach This study used a cross-sectional and correlational research design. The period of data collection took place between March and May 2019 for three months. The questionnaires were distributed to 350 people who were randomly selected in the metal small and medium enterprises in Tegal district, Central Java, Indonesia. Analysis was conducted through the analysis of structural equation modeling (SEM). Findings Facilitative leadership competencies have a significant effect on effective organizational learning. Facilitative leadership competencies can support the learning climate and develop mechanisms for transferring learning from individuals and teams into organizational knowledge and experience. There is also an influence of organizational learning on the company’s innovativeness and the company’s performance. Contingency factors can be applied in situations that are always experiencing a change in turbulence Research limitations/implications This study contributes to the deepening of understanding of facilitative leadership concept and highlights the importance in the success of building effective learning, as well as its relationship with innovation performance and business performance. Practical implications This finding helps the management to understand the market forces and their impact on the company’s innovation and performance. In this case, the leader plays an important role in fostering a culture of learning, changing the habits and ways of working so that they are ready to support the organizational culture of learning. Originality/value Developing a mechanism for transferring learning into organizational knowledge is very important because organizational learning is believed to be an important strategy in an organizational learning process. This is particularly true in a rapidly changing environment, as it can create business resilience.

2016 ◽  
Vol 116 (8) ◽  
pp. 1445-1467 ◽  
Author(s):  
Ignacio Tamayo-Torres ◽  
Leopoldo J. Gutiérrez-Gutiérrez ◽  
Francisco Javier Llorens-Montes ◽  
Francisco J. Martínez-López

Purpose The purpose of this paper is to analyze the roles played by organizational learning (OL) and innovation in organizations immersed in the processes of adaptation and strategic fit in dynamic and turbulent environments. The authors analyze whether OL and innovation act as sources of strategic fit, and whether strategic fit positively affects performance. Design/methodology/approach The authors use data from a survey of a representative sample of 204 respondents from European firms active in high-technology sectors (response rate: 10.42 percent) and structural equation modeling (using the EQS 6.1 program) to undertake a transversal study. Findings The model confirms that OL and the capacity to innovate positively influence managers’ decisions to adapt their organizations to changes in dynamic environments. The achievement of strategic fit, in turn, improves organizational performance. The authors propose considering the innovation climate as a facilitator of new product and process development, although the innovation climate is not a direct antecedent of fit. Research limitations/implications This study is limited by the fact that the analysis is cross-sectional and by the fact that all measures used are based on managers’ perceptions. Practical implications Managers should create and support an entrepreneurial culture that stresses continuous learning. They should also foster programs aimed at developing abilities, and promote the development of capabilities that facilitate acceptance of organizational change. Investments in building certain capabilities, such as OL and the capacity to innovate, are strategically justified, especially in turbulent environments. Originality/value This study is one of the first to investigate the complex interactions among OL, innovation, strategic fit, and performance. The results improve our understanding of the links between strategic fit and performance.


2020 ◽  
Vol 13 (4) ◽  
pp. 477-493 ◽  
Author(s):  
Radoslaw Nowak

PurposeThe purpose of this paper is to investigate whether employees' understanding of their organization's strategic objectives could be used by business organizations to develop a desired type of organizational culture that will improve business performance.Design/methodology/approachStructural equation modeling (SEM) was conducted on the data collected in 2018 from professionals working in the healthcare industry in the USA.FindingsSEM revealed the positive effect of employee understanding of their organization's strategic objectives on the development of a serving culture, and the mediating effect of serving culture on the relationship between employee understanding of strategic objectives and performance.Research limitations/implicationsThis study emphasizes that having a well-defined mission and strategic goals may not be sufficient. Business organizations must also ensure that all employees clearly understand the meaning of such objectives. Employee understanding can become instrumental, as it could allow business organizations to develop a desired type of organizational culture that will support the implementation of the firm's strategic objectives.Originality/valueThe study is a valuable addition to past research. First, it advances the literature on strategy by exploring the critical role of employee understanding of their organization's strategic objectives in the context of culture and performance. Thus, it allows scholars to better explain how business organizations could more effectively utilize their process of strategic planning. In the domain of organizational culture, the paper contributes by identifying a new antecedent of serving culture. Furthermore, the paper also contributes to the literature on service management by identifying a mechanism that service organizations could use to increase their performance.


2018 ◽  
Vol 118 (9) ◽  
pp. 1749-1765 ◽  
Author(s):  
Mingu Kang ◽  
Ma Ga (Mark) Yang ◽  
Youngwon Park ◽  
Baofeng Huo

Purpose The purpose of this paper is to examine the role of supply chain integration (SCI) in improving sustainability management practices (SMPs) and performance. Design/methodology/approach Based on data collected from 931 manufacturing firms in multiple countries and regions, the authors conducted a structural equation modeling analysis to test the proposed hypotheses. Findings The findings suggest that supplier and customer integration are vital enablers for both intra- and inter-organizational SMPs. The results also reveal that both intra- and inter-organizational SMPs are significantly and positively associated with sustainability performance (i.e. economic, environmental and social performance) and function as complements to jointly enhance environmental and social performance. Originality/value This study incorporates SCI into the sustainability literature, providing a new perspective on sustainability and supply chain management research.


2018 ◽  
Vol 67 (9) ◽  
pp. 2018-2045 ◽  
Author(s):  
Adilson Carlos Yoshikuni ◽  
Alberto Luiz Albertin

Purpose This study argues that strategic information systems (SISs) are necessary for organizations’ survival and corporate performance in turbulent economic environments. Applying Miles and Snow’s strategy typology, the purpose of this paper is to explore how SIS supports business strategy and corporate performance. Design/methodology/approach This study uses quantitative survey data from 389 Brazilian companies during economic crises and analyzes them using structural equation modeling. Findings There is strong evidence that SIS promotes capacity and flexibility to create competitive strategies in response to environmental changes. SIS significantly and positively predicts firms’ use of prospector strategies, reducing the need to sacrifice efficiency for innovation. SIS can predict corporate performance more strongly than firms’ strategic orientations can. Practical implications The results provide organizations insights on how SIS enables strategic planning processes to create competitive strategy and improve performance during economic turbulence. Originality/value This research demonstrates SIS’s positive effects during economic turbulence on competitive strategy and performance, revealing that corporate performance is influenced more by SIS (strategic process) than strategic orientation (content). Hence, this study fills a research gap in the information systems strategy literature by contributing new insights about SIS.


2018 ◽  
Vol 30 (8) ◽  
pp. 592-612 ◽  
Author(s):  
Amro Alzghoul ◽  
Hamzah Elrehail ◽  
Okechukwu Lawrence Emeagwali ◽  
Mohammad K. AlShboul

Purpose This study aims at providing empirical evidence pertaining to the interaction among authentic leadership, workplace harmony, worker's creativity and performance in the context of telecommunication sector. These research streams remain important issues and of interest as the world continues to migrate toward a knowledge-based economy. Design/methodology/approach Applying structural equation modeling, this study diagnosed the impact of Authentic leadership (AL) on employees (n = 345) in two Jordanian telecommunication firms, specifically, how it shapes workplace climate, creativity and job performance. The study also tests the moderating role of knowledge sharing in the model, as well as the mediating role of workplace climate on the relationship between AL and positive organizational outcomes. Findings The empirical result suggests that AL positively influences workplace climate, creativity and job performance; workplace climate positively influences creativity and job performance; workplace climate mediates the relationship between AL and creativity, and job performance; and knowledge sharing behavior moderates the relationship between AL and workplace climate. Originality/value This study highlights the magnificent power of AL and knowledge sharing, not only in shaping the workplace atmosphere but also in delineating how these variables stimulate creativity and performance among employees. The implications for research and practice are discussed.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sindhuja P.N.

Purpose Information security is an essential element in all business activities. The damage to businesses from information security breaches has become pervasive. The scope of information security has widened as information has become a critical supply chain asset, making it more important to protect the organization’s data. Today’s global supply chains rely upon the speedy and robust dissemination of information among supply chain partners. Hence, processing of accurate supply chain information is quintessential to ensure the robustness and performance of supply chains. An effective information security management (ISM) is deemed to ensure the robustness of supply chains. The purpose of the paper is to examine the impact of information security initiatives on supply chain robustness and performance. Design/methodology/approach Based on extant literature, a research model was developed and validated using a questionnaire survey instrument administered among information systems/information technology managers. Data collected were analyzed using exploratory and confirmatory factor analysis. Further, to test the hypotheses and to fit the theoretical model, Structural equation modeling techniques were used. Findings Results of this study indicated that information security initiatives are positively associated with supply chain robustness and performance. These initiatives are likely to enhance the robustness and performance of the supply chains. Originality/value With the advancements in internet technologies and capabilities as well as considering the dynamic environment of supply chains, this study is relevant in terms of the capability that an organization needs to acquire with regards to ISM. Benefiting from the resource dependency theory, information security initiatives could be considered as a critical resource having an influence on the internal and external environment of supply chains.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kelly R. Hall ◽  
Dana E. Harrison ◽  
Haya Ajjan ◽  
Greg W. Marshall

Purpose Artificial intelligence (AI) is a rapidly growing frontier. One promising area for AI is its potential to assist sales managers in providing salesperson feedback. Despite this promise, little work has been done within the business-to-business (B2B) sales domain to investigate the potential impact of AI feedback on critical sales outcomes. The purpose of this research is to explore these issues and respond to calls in the literature to determine how AI can enhance salesperson adaptability and performance. Design/methodology/approach Survey data from a sample of 246 B2B salespeople was used to test the conceptual model and research hypotheses. The data were analyzed using partial least squares structural equation modeling (PLS-SEM). Findings The findings provide broad support for the model. An AI-feedback rich environment and salesperson feedback orientation predicted perceived accuracy of AI feedback which, in turn, strengthened intentions to use AI feedback. These favorable reactions to AI feedback positively related to adaptive selling behaviors, and adaptive selling behaviors mediated the relationships between intentions to use AI feedback and organizational commitment, as well as sales performance. Contrary to expectations, it did not mediate the relationship between intentions to use AI feedback and job satisfaction. Practical implications The managerial implications of this study lie in explaining practical considerations for the implementation and use of AI feedback in the sales context. Originality/value This study extends literature on technology adoption, performance feedback and the use of AI in the B2B sales domain. It offers practical insight for sales managers and those responsible for implementing AI solutions in sales.


2019 ◽  
Vol 13 (3) ◽  
pp. 296-310 ◽  
Author(s):  
Thi Hong Nguyen ◽  
Angelina Nhat-Hanh Le

Purpose The paper aims to explore the role of climate for creativity and innovation as the situational variable to lead to both expected and unexpected consequences (e.g. performance and unethical behavior), by discovering the relationships among task characteristics (e.g. difficulty, clarity and performance pressure), individual psychological aspects (e.g. mindfulness and self-justification) and work environmental conditions (e.g. peer behavior and climate for creativity and innovation). In this study, task characteristics are proposed to positively associate with unethical behavior via mindfulness. Moreover, climate for creativity and innovation is proposed to moderate the relationship between self-justification and unethical behavior. Finally, unethical behavior is predicted to positively influence on performance. Design/methodology/approach Data were collected from the sample of salespeople, who are working for variety of companies in Vietnam. Partial least squares structural equation modeling (PLS-SEM) and SmartPLS 3 are implemented to test the path model. Findings Emphasizing both bright and dark sides of promoting creativity and innovation, the study highlights the role of climate for creativity and innovation in strengthening the positive relationship between self-justification and unethical behavior. In turn, unethical behavior positively influences performance. Further, the findings indicate that mindfulness contributes in explaining unconscious unethical behavior. Originality/value Exploring the relationships among climate for creativity and innovation, unethical behavior and performance, this paper contributes for deeper understanding of variety aspects of innovation. Demands for an intelligent management in modern workplaces are suggested.


2019 ◽  
Vol 21 (4) ◽  
pp. 419-438 ◽  
Author(s):  
Shamim Talukder ◽  
Raymond Chiong ◽  
Sandeep Dhakal ◽  
Golam Sorwar ◽  
Yukun Bao

Purpose Despite the widespread use of mobile government (m-government) services in developed countries, the adoption and acceptance of m-government services among citizens in developing countries is relatively low. The purpose of this study is to explore the most critical determinants of acceptance and use of m-government services in a developing country context. Design/methodology/approach The unified theory of acceptance and use of technology (UTAUT) extended with perceived mobility and mobile communication services (MCS) was used as the theoretical framework. Data was collected from 216 m-government users across Bangladesh and analyzed in two stages. First, structural equation modeling (SEM) was used to identify significant determinants affecting users' acceptance of m-government services. In the second stage, a neural network model was used to validate SEM results and determine the relative importance of the determinants of acceptance of m-government services. Findings The results show that facilitating conditions and performance expectancy are the two important precedents of behavioral intention to use m-government services, and performance expectancy mediates the relationship between MCS, mobility and the intention to use m-government services. Research limitations/implications Academically, this study extended and validated the underlying concept of UTAUT to capture the adoption behavior of individuals in a different cultural context. In particular, MCS might be the most critical antecedent towards mobile application studies. From a practical perspective, this study may provide valuable guidelines to government policymakers and system developers towards the development and effective implementation of m-government systems. Originality/value This study has contributed to the existing, but limited, literature on m-government service adoption in the context of a developing country. The predictive modeling approach is an innovative approach in the field of technology adoption.


2019 ◽  
Vol 22 (3) ◽  
pp. 446-467 ◽  
Author(s):  
Adeel Tariq ◽  
Yuosre Badir ◽  
Supasith Chonglerttham

Purpose The purpose of this paper is to investigate the influence of green product innovation performance (GPIP) on a firm’s financial performance (i.e. a firm’s profitability and risk). In addition, it has adopted the resource-based view and contingency theory to explore how GPIP and a firm’s financial performance relationship is manifested when subject to the moderating role of a firm’s market resource intensity and certain environmental factors, such as technological turbulence and market turbulence. Design/methodology/approach Data were collected from 202 publicly listed Thai manufacturing firms. This research has used hierarchical regression analyses to empirically test the proposed research hypotheses. Findings The findings reveal that GPIP exerts a significant influence on a firm’s financial performance, i.e. higher the GPIP, higher the firm’s profitability and lower the firm’s financial risk. Moreover, findings support the theoretical assertions that the higher level of market resource intensity, market turbulence and technological turbulence further strengthens GPIP and a firm’s financial performance relationship. Originality/value By considering the independent moderating role of market resource intensity, market turbulence and technological turbulence, this research has contributed to reconcile the previously disparate findings regarding the GPIP and a firm’s financial performance relationship. Moreover, this research has highlighted the role of the essential moderators that business managers must understand and adjust to capitalize on and achieve superior financial performance.


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