Impact of Innovative Work Behaviour and Digitalization on Organization performance: Empirical evidence from Brazil

Abstract

Current time of period, the importance of the innovation has been increased in financial sectors to make the consumer satisfied and most importantly increase revenue. Therefore, current study has aim to find out the relationship of innovative work behaviour and digitalization on the organizational performance, to inspect the character of psychological empowerment as mediator in Healthcare sector of Brazil. This current study collected the primary data from 387 employees of healthcare sector of (Brasilia and Natal) from Brazil. The data is collected with the help of questionnaire which is consisted on items of variables from previous studies. For the data analysis and hypothesis testing SmartPLS was used. Current study found that innovative work performance has positive relation with the performance of the organization and psychological empowerment (PE) mediates the relationship between innovative work performance (IWB) and organizational performance. Further, digitalization also shows the positive and significant relationship with the financial performance of the organization. Current research is consisted on empirical, theoretical and practical implications, such as this study give a pathway to the policy makes and management of the healthcare sector to increase the innovative work behaviour of the employee and bring digitalization in this sector for increasing the financial performance. But this study has some limitations such as; this study is consisted on the cross-sectional data and limited to the region of Brazilian health sector. Current paper associates to cover the research gaps in the literature. This study used innovative work behaviour and digitalization as independent variables to seek the influence on organization’s financial performance. Whereas psychological empowerment plays a role as mediator in two way for making a smooth and relationship between independent and dependent. On side psychological empowerment mediates the relation between innovative work behaviour and organization’s financial performance and on other side it mediates the relationship between digitalization and organization’s financial performance. With the knowledge of the author this combination of the variables has never been used.