Abstract
In recent years, the concept of an organizational culture in hotels has held an important position on both a theoretical and practical level because this culture significantly affects organizational performance and the strategies adopted by hotels. Therefore, it is considered one of the key factors in determining hotels’ tendency towards outsourcing and sustainable performance. In this study, we aim to analyze the impact of the organizational culture on the level of outsourcing and sustainable performance. To do so, we will use the Competing Values Framework (CVF), which divides organizational culture into four typologies: hierarchical, group, rational, and development cultures. A personal questionnaire was administered to the directors or managers of 114 hotels located in two Egyptian cities: Hurgada and Sharm El Sheikh. The results of the structural model suggest the negative impact of the hierarchical and development cultures on the level of outsourcing. The results show a positive influence of the four types of organizational culture on sustainable performance, suggesting that these hotels have a strong interest in sustainability and the environment. The findings reveal a negative relationship between the level of outsourcing and sustainable performance. Finally, this study presents academic and practical implications, as well as recommendations for future research.
Highlights
With the evolution of customer demand and the increase in the level of competition, companies have started to look for new ways and strategies to increase competitiveness in order to improve their capabilities and create added value for their products and services
It should be kept in mind that outsourcing in Egypt is in its infancy, which means that hotels are examining and testing outsourcing strategies in an attempt to maximize their profits, reduce their risks, and exchange information and experiences with these companies [115]
The conclusions obtained are just referred to the Egyptian hotel sector as the outsourcing practice might hold other different characteristics in other tourist influences the level of outsourcing
Summary
With the evolution of customer demand and the increase in the level of competition, companies have started to look for new ways and strategies to increase competitiveness in order to improve their capabilities and create added value for their products and services. One of the strategies adopted by organizations is outsourcing in a pressured attempt to reach a competitive advantage, as it is recognized as a plausible strategic decision for certain functions [1].The hotel sector is characterized by having a variety of outsourced activities due to the complexity of performing them all with a high level of quality and efficiency [2]. Hotels began to adopt these strategies in order to outsource their secondary activities, focus on their core competencies and capabilities [3], and cope with globalization and the competitive environment [4]. Outsourcing corresponds to a structural decision of the hotel
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