Abstract
The education industry is debating how to grow profits in the face of strong competition and the current global economic crisis. Focusing on innovation, according to research, provides a new viewpoint on value generation and performance enhancement. Thus, the goal of this study was to assess how personnel in the education industry create innovation through absorptive capability, knowledge transfer, and psychological empowerment. The respondents are from Universiti Teknologi MARA, Shah Alam. The data was collected by using a questionnaire to the 383 administrative staff. The data was analyses using Statistical Package for the Social Sciences 25 (SPSS25). Results showed that: knowledge transfer mediate the relationship between (1) absorptive capacity and innovation capability And (2) psychological empowerment and innovation capability. The novelty of this research is the contribution of the present body of knowledge through the development of the adapted model of innovation capability concerning the education industry. This new knowledge should aid in better assessing the potential impact of knowledge transfer and psychological empowerment, laying the framework for future research into the relationship between absorptive capacity and innovation. The findings may also assist stakeholders and policymakers in developing a plan and taking action to improve organization's innovative capability.
Highlights
This study tries to investigate the relationship between absorptive capacity, knowledge transfer, psychological empowerment and innovation in education industries in the Malaysian context
One could say that the effect of absorptive capacity on innovation might be different in the knowledge transfer context (Zhao et al, 2020)
Same goes to dependent variables innovation capability used Likert scale as 1 to 5 to measure their range
Summary
This study tries to investigate the relationship between absorptive capacity, knowledge transfer, psychological empowerment and innovation in education industries in the Malaysian context. A study in organizational innovation context must be configured with an eye on factors influencing and enhancing it to achieve more effective results in education institutions and to achieve competitive advantage. Several researchers, (Chen et al, 2017; Grisseman et al, 2013) stress that innovation will result in a positive influence on performance. In this vein, it is critical to identify major drivers of innovation, and top management in the education industry should be aware of these major drivers in order to execute such innovation initiatives. One could say that the effect of absorptive capacity on innovation might be different in the knowledge transfer context (Zhao et al, 2020)
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