How organizational green culture influences green performance and competitive advantage

2019 ◽  
Vol 30 (4) ◽  
pp. 666-683 ◽  
Author(s):  
Chao-Hung Wang

PurposeGrowing public concern about the natural environment is rapidly transforming the competitive landscape and forcing firms to adopt green innovation strategies. Many manufacturing firms have recognized the concept of green innovation, though there has been relatively little research on considerations of its driver and effect. The purpose of this paper is to empirically develop and test a theoretical model that analyzes how organizational green culture (OGC) influences green performance and competitive advantage. Specifically, this model explains how green innovation mediates these relationships.Design/methodology/approachThe paper collected data from 327 manufacturing firms of different industry sectors in Taiwan. Structural equation modeling with AMOS 11 software was applied to analyze the data. Data on specific environmental innovation issues at the firm level are not usually available from published sources, so this paper uses a questionnaire. The questionnaire is developed based on the literature.FindingsThe findings of this paper suggest that OGC significantly predicted green performance and competitive advantage, respectively. Moreover, the results show that both green innovation completely mediates between OGC and green performance, and that it has a partially mediating effect on the relationship between organization green culture and competitive advantage under environmental pressure.Research limitations/implicationsThis study has some limitations that point to the future lines of research. Perhaps, the biggest limitation of the study is that the data are from a single country, which may hamper generalization. This study is also limited in that it is based on cross-sectional data. A final limitation is the origin of organizational culture vs employee attitude culture.Originality/valueThis study contributes to the existing literature on organizational culture and innovation by considering green environmental concerns, which have not been empirically explored. This study also offers a unique theoretical argument describing the relationships by considering the mediating effect of green innovation strategy.

2020 ◽  
Vol 33 (2) ◽  
pp. 201-216
Author(s):  
Mauricius Munhoz de Medeiros ◽  
Antonio Carlos Gastaud Maçada ◽  
José Carlos da Silva Freitas Junior

Purpose In the age of analytical competition, business models and gaining competitive advantage (CA) are directly related to organizations’ data strategy. Incorporating data strategy enables the organization to unlock the potential value of big data analytics. Therefore, this study aims to analyze how data strategy affects the achievement of CA. Design/methodology/approach Through survey research, data were collected from 103 respondents. Model testing and evaluation, partial least squares structural equation modeling and analysis of mediating effects were performed. Findings The supported hypotheses confirm the direct effects between the defensive and offensive positioning of the data strategy on CA, as well as the mediating effect of the offensive data strategy (ODS). Originality/value This study is groundbreaking in terms of empirically analyzing how defensive data strategy (DDS) or ODS affects CA. In conclusion, to extract value from their data, organizations need to establish their data strategy based on their strategic positioning, the potential of their resources and their analytical capabilities. Research implications The defensive and offensive positioning of the data strategy are closely related to each other and both, in isolation, directly and positively, impact CA. It is also noted that the role of defensive positioning is to strengthen the offensive positioning of the data strategy, which in turn, plays a central role in achieving CA. Practical implications The results can assist managers in effectively incorporating analytical resources and capabilities, as well as helping them understand the dynamics and advantages of data strategy, so they can drive strategic objectives according to the organization’s positioning. Originality/value This study is groundbreaking in terms of empirically analyzing how DDS or ODS affects CA. In conclusion, to extract value from their data, organizations need to establish their data strategy based on their strategic positioning, the potential of their resources and their analytical capabilities.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Saumyaranjan Sahoo

PurposeThere is a scarcity of research about cultural aspects of organization related to lean implementation. The purpose of this research is to investigate the effects of lean practices and organizational culture on the operational performance of small- and medium-sized manufacturing enterprises.Design/methodology/approachThe study is based on a survey conducted and data collected from 215 manufacturing SMEs in India. The hypothesized relationships are then analyzed with structural equation modeling.FindingsThe results showed that the constructs of lean practices and organizational culture have significant and direct effects on the operational performance of Indian manufacturing SMEs. Further, this research shows the mediating effect of organizational culture on sustaining lean processes within small-medium manufacturing business setups.Research limitations/implicationsFuture research is required in a more diverse context to confirm the generalization of the results. Future research may be extended to investigate the effects of lean and organization cultural aspects on measures of financial, social and environmental performance.Practical implicationsThe results obtained would help managers of manufacturing SMEs to better understand the linkage between lean and operational performance, considering the aspect of cultural change management in an organization. The outcome of this research provides useful indications of how organizations can work to sustain the philosophy of lean manufacturing within their workplace.Originality/valueThere is a lack of research at the critical intersection of organizational culture and sustainability of lean implementation. Culture is key to making changes required for lean implementation and in sustaining the drive toward lean production and management. This research is an attempt to fill that gap.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Paul Kivinda Muisyo ◽  
Su Qin ◽  
Thu Hau Ho ◽  
Mercy Muthoni Julius

PurposeThe rising public concern for the natural environment is compelling business entities to revise their business models toward green management. Most manufacturing firms have realized that green innovation is a critical factor that drives their success. However, green human resource scholars have overlooked this research line despite the potential contribution it can advance in green management scholarship. This paper empirically models the extent to which green innovation culture (GIC) moderates the relationship between green human resource management (GHRM) and green competitive advantage (GCA). The paper has two-fold objectives. First, to investigate the effects of GHRM and GIC on the firm's GCA and second, to model the extent to which GIC moderates the link between GHRM practices and GCA of manufacturing firms in Zhejiang Province of China.Design/methodology/approachData were collected from 324 Chinese employees from the manufacturing sector. The authors captured data from all levels of the organization. The authors made three models equations: two direct and one interactive. The authors then applied structural equation modeling (SEM) using AMOS 24 to test the study models and hypothesis.FindingsThe findings suggest that GHRM practices, which include recruitment and selection, training and development (green abilities); performance management and reward and compensation (green motivation); and employee involvement and leadership (green opportunities) have a significant positive effect on the firms GCA. The findings also indicate that firms that GIC, which include green product innovation (GPDI) and green process innovation (GPRI), promotes the firm's GCA. The paper further reveals that firms that combine GHRM and GIC attain higher GIC than those which practice GHRM only.Originality/valueThis paper draws a roadmap on how the top management in manufacturing firms can drive the firm's operations toward a higher GCA. It's the pioneer paper to suggest the combination of GHRM and GCI for enhanced GCA.


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.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mahnoor Zahid ◽  
Hina Naeem ◽  
Iqra Aftab ◽  
Sajawal Ali Mughal

Purpose The purpose of this study is to scrutinize the effect of corporate social responsibility activities (CSRA) of the firm on its financial performance (FP) and analyze the mediating role of innovation and competitive advantage (CA) in the relationship between CSRA and FP in the manufacturing sector of an emerging country, i.e. Pakistan. Design/methodology/approach Data has been collected through an electronic structured questionnaire from 300 middle-level and top-level managers by surveying different manufacturing firms of Gujranwala, Pakistan. The study’s hypotheses have been checked by analyzing the reliability and validity of data and applying confirmatory factor analysis and structural equation modeling through statistical package for the social sciences and analysis of moment structures. Findings Outcomes of this study supported the hypothesized model. It has been found that the CSRA plays a significant positive role in determining the FP of the firm. Furthermore, the CA and innovation have been proved as significant mediators between CSRA and FP. Originality/value The first time examining the intermediation of innovation and CA in the relationship between CSRA and FP is the primary input of this study to the literature. Practically, this study’s findings will help strategy makers of manufacturing firms in emerging countries develop better strategies for implementing CSRA, enhancing innovation, seeking CA and improving FP.


2014 ◽  
Vol 28 (5) ◽  
pp. 361-373 ◽  
Author(s):  
Husni Kharouf ◽  
Donald J. Lund ◽  
Harjit Sekhon

Purpose – The purpose of this paper is to investigate the role of retailer trustworthiness in driving customer trust and the subsequent impact on loyalty. The authors position trustworthiness as a mediator in the link between retail strategies and the development of trust. They model customer loyalty to the service retailer as a function of the trust created through trustworthy perceptions. Design/methodology/approach – The authors validate their model using 420 survey responses from customers in a service retail setting. Nine research hypotheses were tested using structural equation modeling. Alternate models are estimated, and the results provide support for the theory-based trustworthiness mediation model. Findings – Trustworthy behaviors first build trustworthiness, which then translates into customer trust and ultimately has a positive impact on both behavioral and attitudinal loyalty. Research limitations/implications – The research highlights the importance for retailers to signal their trustworthiness to build customer trust and loyalty. Researchers should measure trustworthiness perceptions when examining customer relationships and managers should plan strategically to develop both trust and trustworthiness with their customers. Originality/value – This study is one of the first to investigate the mediating effect of trustworthiness on customer loyalty in service settings. While past research has investigated dimensions of trustworthy behaviors, none has included a measure of trustworthiness perceptions and consumer trust in the same theoretical model. The results of the research provide important insights for both researchers and managers.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Radoslaw Nowak

Purpose This paper aims to provide an alternative explanation for how organizations could increase levels of organizational identification, in turn reducing employee turnover intention. Specifically, the study empirically tests the joint effect of two types of organizational resources – structural empowerment and serving culture (SE*SC) – on employee identification. Moreover, it investigates the mediating effect of organizational identification on the relationship between the joint effect (SE*SC) and turnover intention. Design/methodology/approach The data were collected in 2018 from employees working in a higher education institution located in the USA. Structural equation modeling was used to test the proposed model. Findings Statistical analysis reveals the positive joint effect (SE*SC) on organizational identification and the mediating effect of identification on the relationship between the joint effect (SE*SC) and turnover intention. Originality/value This study contributes to past research by revealing a new important mechanism. Business organizations could increase levels of employee identification and, in turn, reduce turnover by providing empowering resources that allow employees to successfully complete their jobs. Moreover, the study also contributes to practice by providing some recommendations that managers may implement to improve internal effectiveness in their respective organizations.


2020 ◽  
Vol 10 (2) ◽  
pp. 240-255
Author(s):  
Lutfi Nurcholis

This paper aims to investigate the effect of IT-strategy alignment, responsiveness, operational flexibility, and business relationship on sustainable competitive advantage and the mediating effect of responsiveness, operational flexibility, and business relationship in relationships between IT-strategy alignment and sustainable competitive advantage. Data were collected from 189 Batik SME in Pekalongan and analyzed by using Structural Equation Modeling (SEM). The result shows that IT-strategy alignment significantly affects responsiveness. Responsiveness, operational flexibility, and also business relationship significantly affect sustainable competitive advantage. Furthermore, responsiveness, operational flexibility, and business relationship mediate the correlation of IT-strategy alignment and sustainable competitive advantage. Responsiveness, operational flexibility, and business relationship have the confidence and value that puts customers on every business decision. It encourages Batik SME to improve the sustainable competitive advantage based on the customers’ expectations. IT-strategy alignment is essential to enhance responsiveness, operational flexibility, and business to gain a sustainable competitive advantage. That IT-strategy alignment can improve the sustainable competitive advantage of the Batik SME.


2015 ◽  
Vol 77 (4) ◽  
Author(s):  
N. Hami ◽  
M.R. Muhammad ◽  
Z. Ebrahim

This study analyzes the causal relationship between sustainable manufacturing practice (SMP) and environmental sustainability as well as determines the mediating effect of innovation performance (IP) on the relationship between SMP and environmental sustainability. Adaptation from the changing business environment, manufacturing firms are facing great challenge on producing more products with less resource consumption, pollution emitted and waste generated. Using structural equation modeling, the survey data collected from 150 Malaysian manufacturing firms has been analyzed in this study. The empirical results show that both types of SMP have a positive and significant impact on environmental sustainability with external SMP is greater than internal SMP. However, there is no significant evidence to prove IP as a mediator for SMP-environmental sustainability linkage. The findings of this paper have important implication in both theoretical and practical perspectives. While provide better understanding of the phenomena by simultaneously analyzing a series of dependence relationships among SMP, IP and environmental sustainability, these results could help managers to understand the types of practices that would improve their environmental performance.  


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shubham Dixit ◽  
Shiwangi Singh ◽  
Sanjay Dhir ◽  
Swati Dhir

Purpose This study aims to identify the antecedents of strategic thinking and its relationship with competitive advantage. Further, this study analyses the mediating effect of strategic thinking between its antecedents and competitive advantage. Design/methodology/approach A self-reported questionnaire with 51 questions was floated among 220 professionals from various industries in India. The response was analysed using the partial least squares-structural equation modelling methodology using SmartPLS software. Findings The direct effect of creativity, corporate culture and knowledge management are established with strategic thinking, as well as a competitive advantage. Also, the study finds a significant relationship between strategic thinking and competitive advantage. The study finds no mediation (direct effect) in the case of creativity, corporate culture and knowledge management. Further, no mediation (no relationship) is found in the case of vision. Practical implications Business must start adopting strategic thinking practices in their decision-making process to create a competitive advantage. Further, the influence of corporate culture, creativity and knowledge management on strategic thinking highlights their importance. Originality/value The study establishes the impact of antecedents of strategic thinking on competitive advantage. The study highlights the importance of other factors along with strategic thinking for achieving competitive advantage.


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