Year-end Sale % OFF 
Abstract
This study examines the influence of organizational psychological capital on the performance of small and medium-sized companies (SMEs) during crises. We argue that SMEs use their intangible resources to cope with difficult situations such as the COVID-19 pandemic. Therefore, we investigate how organizational psychological capital impacts performance and creative innovation through such intangible resources, namely, organizational citizenship behavior, solidarity, and cooperation. Methodologically, we combine structural equation modelling and regression analysis on a dataset of 379 SMEs. Our results support the notion that organizational psychological capital positively influences creative innovation of SMEs and thus performance during crises. Our research contributes to the organizational behavior literature by showing that psychological resources of SMEs can strengthen performance in times of crisis and help to prepare for future ones.
Highlights
In early 2020, the world was hit by a global pandemic caused by the coronavirus (Bacq et al, 2020)
Our research shows that a shared positive thinking, namely, Organizational Psychological Capital, can be used by sized companies (SMEs) to counteract the negative effects of exogenous crises, such as the COVID-19 pandemic
Due to psychological capital (PsyCap) being closely related to the well-being of employees (Aveyet al., 2010a) and resulting employee behavior (Avey et al, 2011), we argue that organizational psychological capital (OPC) is actively fostering the mentioned means to overcome a crisis for SMEs
Summary
In early 2020, the world was hit by a global pandemic caused by the coronavirus (Bacq et al, 2020). In addition to overburdened healthcare systems, a recession is threatening the global economy (Global Data PLC, 2020), posing a major challenge for companies and in the near future. Measures, such as social distancing to prevent the virus from spreading rapidly (Glass et al, 2006) and lockdowns in many countries changed the reality for society and for organizations (Kuckertz et al, 2020). Small and medium-sized companies (SMEs) are struggling with the situation as they are more vulnerable to shocks and their longterm effects (e.g. Cucculelli & Peruzzi, 2020), face difficulties in accessing financial capital (Karlsson, 2020), and oftentimes lack the physical resources to pull through such times of adversary. These difficulties of SMEs are highlighted by the resourcebased view (Barney, 1991; Crook et al, 2008) and the liability of smallness (Alrich & Auster, 1986; Fackler et al, 2013), both arguing that due to their larger size, publicly-traded companies outperform their smaller and privately operated counterparts
Sign-in/Register to view highlights & summary Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
