The role of entrepreneurial orientation, organizational learning capability and service innovation in organizational performance

Abstract

PurposeThe purpose of this study is to analyze the relationships between Entrepreneurial Orientation, Organizational Learning Capability, Service Innovation and Organizational Performance. To this end, it was sought to analyze the mediating role of organizational learning capability and service innovation within entrepreneurial orientation and organizational performance relationship in knowledge-intensive organizations.Design/methodology/approachThe sample consisted of 159 architecture and urbanism companies from Santa Catarina, Brazil. The study opted to use managers as key informants since they are the ones that have general information about the organization and are a valuable source for assessing the different variables of the organization. For data analysis, the PLS-PM algorithm (Partial Least Squares Path Modeling) was used.FindingsResults showed that entrepreneurial orientation is a strong driver of service innovation and organizational performance. Organizational learning capability acts as a facilitator of innovation and has a positive influence on organizational performance. Another theoretical contribution of this study to organizational learning capability is the confirmation of its mediation in service innovation and organizational performance. Management needs to make its organization more proactive and creative, continually promoting new ideas. Architecture and urbanism organizations should pay more attention to maintaining and promoting entrepreneurial orientation permanently. The trend toward both proactivity and risk-taking can be an inherent advantage of these knowledge-intensive business services.Originality/valueFew studies have explored the mediating role of organizational learning capability and service innovations in organizational performance. In particular, the combined effects of entrepreneurial orientation and organizational learning capability have been neglected by the knowledge-intensive organizations literature. The study is justified by providing a more complete view of the relationship between entrepreneurial orientation and the performance of knowledge-intensive organizations, highlighting the role of organizational learning capability and performance in service innovation.