Driver Of Organizational Performance Research Articles

Entrepreneurship Orientation (EO) and Innovation: A Systematic Review

In today’s changing business world, two major drivers of organizational performance and competitive advantage are innovation and entrepreneurial attitude. This article examines current literature and empirical data to give a complete analysis of entrepreneurial orientation, innovation, and the link between them. The study’ goal is to synthesize the research on these two structures and their connection. The study technique is based on an examination of literature from 2017 to 2023. Relevant articles were found and classified into three steps. These examples were then evaluated and contextualized, and the notions of innovation and entrepreneurial orientation were discussed, as well as suggestions for further study. Innovation and entrepreneurial orientation are inextricably linked and play an important role in determining an organization’s competitiveness and long-term success. Entrepreneurship orientation innovation fosters a proactive, risk-taking mentality, while innovation reinforces entrepreneurial orientation by giving the resources to capitalize on new possibilities and sustain a competitive edge. To achieve long-term development and profitability, businesses must find a balance between encouraging innovation and encouraging an entrepreneurial mindset. This work adds to the literature on EO, innovation, and the link between EO and innovation, hence broadening the scope of future research. Furthermore, the work identifies certain outstanding research problems for further study.
 Keywords: innovation, destructive innovation, product innovation, green innovation, exploratory innovation, ecological innovation, innovation ability, corporate model innovation, innovation performance

Employee based brand equity: a systematic review of literature, framework development, and implications for future research

PurposeThrough a systematic literature review, this paper aims to endeavor to present a thorough historical perspective on the evolution of employee-based brand equity (EBBE), offering a comprehensive understanding of its development. The study explores the general model, causes and effects of EBBE, as well as the role of culture, leadership and brand management in building EBBE. The paper proposes an integrative framework to understand the interrelationships between the various dimensions of EBBE and offers practical guidelines for future research and the business world.Design/methodology/approachThe paper uses a systematic literature review approach to analyze and synthesize 30 studies on EBBE retrieved from SCOPUS and Web of Science. The analysis involves a thematic and content-based examination of the literature, which is organized into three thematic groups.FindingsThe review highlights the importance of EBBE as a driver of organizational performance and success. The paper identifies the evolution of the major themes, trends and debates in the literature and suggests areas for future research. It underscores the need for more qualitative, multi-level and longitudinal research on EBBE, as well as the exploration of the links between EBBE and other forms of brand equity.Originality/valueThis paper is one of the first systematic literature reviews of EBBE, offering a comprehensive and integrated view of the existing literature since the beginning of this concept. The paper’s originality lies in its proposed integrative framework that captures the interrelationships between the various dimensions of EBBE and provides practical guidelines for future research and the business world.

Do Leadership Structure and Team Trust Drive Organisational Performance? Empirical Approach

Purpose: Over the years, manufacturing firms have struggled to achieve maximum productivity because such organizations lack good leadership, work-team, and persons with the team leading skills to lead work-teams. The problem of leadership structure of work-teams in most Nigerian firms was the motivating factor for this research. Thus, the aim of this paper is to assess the effect of team trust and leadership structure on performance of manufacturing firms in Niger Delta Region of Nigeria. Theoretical Framework: The theoretical framework is hinged on Self-Leadership Theory, which focused on participatory decision making, individual discretion and team work as important motivating factor and suggestions that will lead more committed employees who strive for greater efficiency and effectiveness. Design/Methods/Approach: Two specifics objectives are considered; the first being team trust and the other being leadership structure. Using a descriptive survey research design, 534 respondents in nine states in Nigeria were examined to obtain their perceptions. Findings: The results of the analysis indicated that the performance of manufacturing firms is dependent on team-work. In other words, acceptable and planned team-building had direct relationship with performance of firms. Research, Practical and Social Implication: The study shows that team trust and leadership structure are major drivers of organizational performance. Originality/Value: The value of the study is vital to manufacturing firms such that top management are advised to create teams whereby members should create increased trust among themselves by communicating openly and avoiding activities purely out of self-interest and reciprocating help from team mates for better results in manufacturing industries.

When a financially oriented performance measurement system supports hybrid collective sensemaking: The case of a cooperative bank

A performance measurement system (PMS) is supported by the idea that performance measurements are drivers of organisational performance. Under that assumption, scholars have discussed and tried to develop comprehensive PMSs that include both financial and non-financial measurements. Building on the specific context of a hybrid organisation and findings from a case study, this paper explores how an incomplete and financially oriented PMS in a hybrid setting can nevertheless support collective sensemaking. The findings show how a PMS is used by managers at a cooperative bank as an artefact, supporting conversational and material practices. Combined with the organisation's strong socialisation process and managers and employees' need to defend their social and cooperative identity, a PMS supports the bank's hybrid nature and leads to the avoidance of tension and conflict. That shows that the PMS presents a specific feature: flexibility in its handling and use by managers and employees. This paper thus contributes to the call made in the literature for more studies on PMSs in hybrid organisations by showing that even an incomplete PMS can allow such organisations to avoid tension and conflict relating to their hybrid values.

Transformational leadership and work engagement in public organizations: promotion focus and public service motivation, how and when the effect occurs

Transformational leadership and work engagement in public organizations: promotion focus and public service motivation, how and when the effect occurs

Avoiding the Appearance of Virtue: Reactivity to Corporate Social Responsibility Ratings in an Era of Shareholder Primacy

We examine why organizations may at times decrease their performance after receiving a positive rating. We argue that in contrast to the prevailing assumption that organizations will strive for favorable ratings to achieve reputational benefits, incompatibility between a positive rating and a dominant institutional logic may cause recognized firms to question the perceived value of maintaining superior performance, thus leading them to strategically reduce their efforts on the rated dimension. Using a difference-in-differences design, we examine how companies responded to being rated as charitable organizations, an evaluation that we argue was generally perceived as incompatible with the dominant logic of shareholder maximization during the early 1990s. Our results suggest that firms that were rated as generous were more likely to decrease philanthropic contributions relative to firms that were not rated as generous. We also found this reaction to be amplified or attenuated by organizational and institutional factors that increased or decreased the saliency of the perceived incompatibility between the philanthropy rating and the dominant shareholder logic. These findings provide insights for scholarship on organizational reactivity and impression management and raise important questions for scholars and practitioners interested in improving the effectiveness of evaluation metrics as drivers of organizational performance.

Green Innovation Practices and Its Impact on Organizational Performance: Evidence from Apparel Industry of Sri Lanka

Innovation in the manufacturing sector has been extensively investigated and has demonstrated a long-standing association with organizational performance, particularly in today sophisticated and technologically driven world. Green innovation has recently attracted attention in the innovation scene, particularly in the apparel industry across efforts. Moreover, green innovation initiatives adopted in the apparel sector have also been researched well, however, their impact on organizational performance is seen as a research gap in the current study. As a result, the study's objectives are to identify the factors that affect organizational performance in green innovation and to assess the impact of green innovation on organizational performance. With the identification of green innovation being a driver of organizational performance, the research conducted through this study has displayed that organizational performance can be explained through a multitude of factors such as financial performance, competitive advantage, environmental performance, operational performance, talent development and organizational culture. Hence it is recommended to be analyzed thoroughly and implement from a governmental level itself to ensure that the relevant support towards sustainability and green innovation is attained. As such, more manufacturing efforts in terms of supplier basis need to be formed which would be sufficient for manufacturers to enable production. This will allow enterprises in achieving economic growth while coexisting in a harmonized manner with the environment.

Imprinting Interrupted? Examining the Role of Remote Onboarding onNewcomers’ Work Socialization

Socialization of new employees, involving the imprinting of workplace norms and practices, has long been recognized as a driver of organizational performance through mechanisms such as employee-workplace fit. Yet the COVID-19 pandemic has triggered a rapid, and potentially long-run, move to remote working practices for organizations that has interrupted the well understood processes of socialization that occur through face-to-face onboarding. Drawing on unique interview data (n= 30) from employees who started a new role during the pandemic, we build an inductive model of the effects of remote onboarding on newcomer socialization experiences. We explore a multi-stage model of how a lack of early physical and social immersion in the workplace triggers processes of individualization and reduced workplace identification for newcomers. Further, we highlight how these processes are driven by the degree of digital mediation, and attenuated by organizational investments in technology, the initial resources provided to the new employee, and the employee’s prior experience of remote work. We find that in contexts of high digital mediation newcomers experience reduced access to both formal and informal resources, such as opportunities to shadow colleagues or to form social connections. The absence of these resources heighten experiences of work intensification and lead to a reduced orientation of the employee to their new workplace. We discuss the implications of these insights for the research on imprinting and socialization, as well as the practice of remote onboarding.

Impact of Total Quality Management (TQM) practices on Sustainability and Organisational Performance

Total quality management (TQM) has been identified as a key driver of organizational performance in public and private organizations. Organizational culture, along with TQM and sustainability has been investigated to understand its contributions to organizational performance. TQM has become a crucial pillar for growth and development due to the growing expansion of manufacturing sectors of the world. TQM practices, which may differ in manufacturing firms, are said to be important for effective TQM adoption. However, it was found that organizational performance can be achieved if TQM practices in manufacturing businesses are well managed. Therefore, this study is carried out and the purpose of the study is to propose a conceptual model to investigate the relationship between TQM practices, sustainability, and organizational performance and to demonstrate the impact on organizational performance. The data underlying this study was collected by using a questionnaire survey in the manufacturing industries. The tool of analysis was used for the study through Factor analysis and confirmatory factor analysis (CFA). The findings of the study revealed that total quality management and sustainability are the most important approaches to the success of the performance of manufacturing industries. The results show that TQM and sustainability have a positive impact on organizational performance. In the radiance of these outcomes, a framework was created in view of relationship between significant practices of TQM, sustaibanility and organistaional performance. Generally, it is accepted that total quality management can produce a sustainable competitive benefits in organisational performance.

The PMO as Performance Driver for Non-Profit Organizations – From Operational Data to Strategic Goals

Aim/Purpose: The need to measure and report on performance is an acute necessity for any organization, especially non-profit organizations. However, measuring the impact of operations and projects on non-tangible goals can be challenging given the diversity of objectives and project structures adopted by these organizations. This paper proposes that the Project Management Office (PMO), as the central body for project excellence in an organization, takes an assertive role as one of the drivers of organizational performance, when adopting a KPI measuring strategy associated with the organizational strategic objectives. By adopting project operational indicators aligned with organizational strategy and the data derived from delivered projects, one can trace a direct relation between project data and strategic success. Besides the quantitative associations between project data and meeting organizational objectives, the author also briefly evaluates the contribution of qualitative, human aspects of project management to those objectives. Background: Since the early 90’s, the concept of project management offices (PMO) has been spreading and their implementation in organizations of different sizes and complexity is increasing significantly. There are several definitions and approaches to what a PMO is. The Association for Project Management defines it simply as “An organizational structure that provides support for projects, programs, and/or portfolios”. The Project Management Institute defines it as “An organizational body or entity assigned various responsibilities related to the centralized and coordinated management of those projects under its domain”; while others define it as “The decision-enabling and support business model for all business changes in the organization”. Whatever view or definition is used, the PMO aims to enhance resource use and management, minimize project and program risks, as well as to re-engineer processes and internal structures that deal with the delivery of projects and programs. An organization that properly implements a PMO was found to be more effective. When well-integrated into the organizational structure, the PMO brings adequate control of an organization’s portfolio allowing focused investments that will contribute to the company’s performance reflected by leaner resource management, higher quality of products, and a more aggressive time-to-market strategy. This increment in performance, obtained from the investments in project management practices can lead to the rapid growth of the organization. Although the PMO's contribution to strategy can be seen through targeted measures, monitoring activities, and standardizing methods, the lack of empirical evidence of success is generally attributed to the lack of its recognition as a method for enhanced performance. This disconnection is even more evident when evaluating the performance of non-profit organizations, which usually lag in formal organizational structure and do not have a formal process to track and measure long-term benefits. This gap between the measured benefits of a PMO and the organizational strategic objectives is the primary motivation for this study where we propose a performance measurement method that links tangible outputs (project goals and objectives) to non-tangible benefits (the organization strategic objectives) defining organizational strategic KPIs focused on project and program performance. Methodology: The first step is to define the relationship between the five major areas of activities for the non-profit. These relationships are depicted in a Map of Impact Drivers for a fictional non-profit with the vision of improving the quality of life of poor communities. We then identify some KPIs, such as the number of projects completed, the number of services implemented, and the number of communities with active projects, to name a few. The mission to the impacts transforming all mapped activities into measurable quantities are then tabulated. Findings: A causal linkage map supported by a strong set of performance indicators for measuring financial and non-financial aspects of the organization's outputs is proposed. The choice of which indicators to be used is highly dependent on the organization’s goals and operations, to which the PMO must adapt to properly meet its monitoring goals. As such, the PMO becomes an intrinsic part of the organization’s effort to be more effective in achieving its strategic goals. This interdependence between the PMO and the other areas of the organization, especially human resources, implies that changes dictated by the PMO will directly affect other areas of the organization that also contribute to the overall performance.

Towards realization of Board Gender Diversity in Deposit Taking SACCOs in Kenya: A critical review and synthesis

Corporate boards play a critical strategic role in charting the direction and performance of organizations. Such entities ought to embrace diversity since this influences work relations and performance through offering greater perspectives from different lenses on business issues, opportunities as well as wider scope of ideas and solutions. Board gender diversity is ubiquitous as it is the most debated diversity issue in firms. Guidelines and/or mandatory laws have been enacted by several countries including Kenya, to enhance gender diversity on company boards so as to eradicate the existing social and labor grievances that women have been experiencing. Female representation in company boards still remains far from the desired levels despite the enactment of these laws. This study’s main purpose was to recapitulate and critically review literature on board gender diversity. The paper interrogated the importance of board gender diversity, the laws touching on gender diversity issues and empirically reviewed literature on board gender diversity and performance. The study used secondary data. The paper posits that board gender diversity is a driver of organizational performance as well as a way of bolstering inclusivity of both genders on boards thus fulfilling legal expectations. The paper recommends that it is indispensable for Deposit Taking SACCOs to consider gender diversity when electing persons to boards if such entities hope to enrich board decision making, risk management, innovative thinking and competitiveness as well as enhance legal compliance.

Adapting Herzberg’s Motivation-Hygiene Theory to a VUCA World – A Repertory Grid Study

Employee motivation is a key driver of organizational performance and employee retention. An increasing shortage of skilled workers forces companies to think of ways to motivate and retain their employees. Herzberg’s two-factor theory of motivation provides an insight which factors are relevant for motivating employees. The theory founded on research carried out in the 1960’s. Since then, the practical and theoretical tenet of supervision and management has shifted to a different leadership approach. Additive the economic environment is found to be more volatile, unpredictable, complex and ambiguity. VUCA has made its way into organizational science resulting in a focus on agile working methodologies. To add up a generation of millennials demanding for feedback, open communication and team-based workplaces starts to integrate into labour market. Does Herzberg’s theory persist in this new economic environment? Can it be adapted or is a completely new approach inevitable? This organizational psychology related study is aimed to test Herzberg’s theory in a contemporary environment by applying the theory of personal constructs as an investigative method. 61 qualitative repertory grid structured interviews elicited n = 782 personal constructs to investigate the theory. The personal constructs are clustered and compared to the theory of Herzberg.

The role of green logistics management practices, supply chain traceability and logistics ecocentricity in sustainability performance

PurposeThe priority giving to green practices in today's competitive market has made green logistics management practices (GLMPS) a significant driver of organizational performance. The purpose of this study is to explore the influence of GLMPS, logistics ecocentricity and supply chain traceability on sustainability performance.Design/methodology/approachThe study uses structured questionnaires to gather data from 274 managers of manufacturing firms in Ghana. The partial least square structural equation modeling approach is used to analyze the data to test the proposed hypotheses.FindingsThe results obtained from the analysis indicate that GLMPS positively influence social sustainability and environmental sustainability. However, GLMPS negatively influence business performance. The results further reveal that logistics ecocentricity and supply chain traceability augment GLMPS to achieve significant improvement in both business performance and environmental sustainability through the mediation effect approach.Originality/valueThe study proposes a conceptual framework that tests the combined effect of GLMPs, logistics ecocentricity and supply chain traceability on environmental sustainability, social sustainability and business performance from the Ghanaian perspective.

Time to Unpack: Industry, Corporate, and Business Segment Effects on the Components of ROA

Organizational scholars have long been interested in the influence of industry, corporate, and business segment effects on organizational performance. Research on this important topic has used return on assets (ROA) as the indicator of organizational performance, and when this research is considered in the aggregate, there appears to be a general consensus regarding the role of these multilevel influences. However, theories of firm boundaries and value creation suggest that multilevel effects may influence the two conceptually meaningful components of ROA—income and assets—quite differently. This, together with properties of ROA that complicate statistical analyses, may obscure our understanding of the drivers of organizational performance that exist at different levels. We first examined this issue with a simulation and found that when a stable between-level (e.g., firm) effect influences both the numerator (e.g., income) and denominator (e.g., assets) to the same degree, estimates of the between-level effect dissipate almost entirely when the two components are combined as a ratio (e.g., ROA). We then used Compustat Business Segment data to assess the generalizability of our findings to organizations. Consistent with the results of our simulation, stable firm- and business-level effects on income and assets substantially exceed the corresponding effects on ROA. Together, these results suggest that our theoretical understanding of organizational performance would be well served by research that considers income and assets separately.

Top management knowledge value, knowledge sharing practices, open innovation and organizational performance

Open innovation as driver of organizational performance of small and medium-sized enterprises (SMEs) has received relatively little scholarly attention. Drawing upon the resource-based view and the knowledge-based view of firms, we examined antecedents and outcome of open innovation in SMEs. We collected multisource data from 404 SMEs and used structural equation modeling to test the hypotheses. Our study suggests that top management knowledge value and knowledge creating practices influence open innovation, which, in turn, influences organizational performance. Results of the study are discussed in the light of previous studies and suggest implications for theory and practice of open innovation.

The Employee Engagement Framework: High Impact Drivers and Outcomes

For the prior two decades, employee engagement has been a subject of interest both in academic research and among managers. Organizations have invested vital resources in promoting employee engagement since employee engagement is identified as a critical driver of organizational performance. Engagement adds distinctly to an organization’s performance, driving to gains in quality, customer satisfaction, and long-term monetary results. In a world that is evolving both regarding the global essence of work and the diversity of the employees, engaged employees may be a core of an ambitious resource. Companies promoting employee engagement will achieve organizational goals effectively. Several employees look for settings where they can be engaged and know that they are participating positively. The paper presents the employee engagement framework enabling organizations to understand how engagement may differ by employee or group and recognize the key drivers that impact engagement at the workplace.

How effective leadership of knowledge management impacts organizational performance

The current article shows how transformational leadership influences knowledge management to improve organizational performance through better use of a firm’s internal resources. Transformational leaders not only directly impact knowledge management, they also foster more effective strategy implementation and information technology use, which positively contribute to the effectiveness of knowledge management as a driver of organizational performance. This study contributes to the literature by exploring a framework upon which to continue developing a more comprehensive understanding of the relationships between transformational leadership, knowledge management, a firm’s internal resources, and organizational performance. Furthermore, the current article contributes to the practice of management by identifying ways in which managers can build a high-performance organization through leadership and knowledge management.

The role of the chief process officer in organizations

PurposeThe design and execution of business processes are important drivers of organizational performance. Organizations design their operations around cross-functional processes adopting business process management (BPM) methods, tools and systems. This often involves assigning BPM accountability to senior executives such as the chief operating officer (COO), chief information officer (CIO), or chief technology officer (CTO). Some organizations appoint a chief process officer (CPO), a phenomenon raising important questions about the skills and responsibilities of this position within the top management team. The purpose of this paper is to conduct an empirical study to explore the skills and responsibilities of CPOs and differences to other executives.Design/methodology/approachThe authors conducted an exploratory content analysis of job resumes from LinkedIn.com to investigate the skills and careers of individuals appointed as COO, CIO, CTO and CPO in organizations from different industries and sizes. The content analysis was complemented with expert interviews of CPOs to obtain rich insights into their perception of the responsibilities of this position.FindingsCPOs possess a unique skill set to serve as change agents. Their skills enable them to serve as integrators and influencers across managerial ranks and corporate functions. COOs, CIOs and CTOs possess more specialized skills related to their corporate function, whereas CPOs are more generalists who facilitate process-oriented strategy and execution, driving cultural change throughout the organization. These findings are consistent across industry and size.Originality/valueThis is the first paper to examine the CPO position in relation to other senior executive positions. Hence, it addresses an important gap in the BPM literature which can help organizations to make informed decisions whether they need a CPO position or have it become a part-time role of one of their existing C-level positions.

Total Quality Management and Organizational Performance: A Possible Role of Organizational Culture

Total quality management (TQM) has been identified as a key driver of organizational performance in public and private organizations. Organizational culture, along with TQM, has investigated to understand its contributions to organizational performance. The purpose of this study is to examine the relationship between TQM and organizational performance, taking into account a moderating effect of organizational culture. A total of 163 managers at different managerial levels in public organizations in Albaha province participated. The Pearson correlation analysis revealed that the relationship between TQM and organizational performance is a positive and statistically significant. Hierarchical regression analysis and structural equation modeling (SEM) showed that the interaction of TQM and organizational culture was statistically significant and positively related to organizational performance. Some recommendations and suggestions for future research are provided.

Drivers of organizational performance in state owned enterprises

PurposeThe purpose of this paper is to examine empirical evidence on factors that influence performance of state owned enterprises (SOEs). With a focus on power utilities, the paper investigates how such several factors interact with each other to influence ultimate performance.Design/methodology/approachData on the SOEs constituting the sample is predominantly obtained from the audited annual financial statements and other publicized reports of entities for a 20-year period spanning from 1994 to 2013. The audited annual financial statements provide quantitative data whilst the rest of qualitative information is available from narratives in the annual reports. The study takes liquidity, board strength, extent of stakeholder presentation on board and government’s involvement in pricing as proxy variables for resource-based agency, stakeholder and public choice theories, respectively. Using performance as the dependent variable, the study variables are modeled in a regression model.FindingsThe paper finds that good SOE performance could be explained in terms of the agency and resource-based theories, where the authors found strong boards and good liquidity profiles to be positively related to good performance. A wider stakeholder representation on SOE boards correlates negatively with performance. Similarly, the higher the level of government involvement in the tariff setting process the weaker the performance results. Based on the results, the paper concludes that SOEs performance is underpinned by a plethora of organizational issues: agency, public policy, stakeholder and resource-based issues. These issues must therefore inform the appointment of SOE management and also their performance contracts.Practical implicationsThe study suggests that SOE governance structures should be centered around four main unifying themes; agency, stakeholders, resources and shareholder engagement. From an agency perspective, board appointments should first be based on merit and stakeholder representation comes in as a subset. Resources availability should be paired with objective imperatives and engagement with political leadership should be limited to matters of policy through a regulatory and legal framework.Originality/valueThis study provides some practical insights from both an administration and policy perspective. First, it reveals the importance of and a linkage between both adequate resources and strong boards, but also the need to find the right balance in managing stakeholder interests SOEs face. The study does not necessarily support the popular view of completely eliminating government interference in SOE affairs, but rather advances optimal political influence through regulatory and legal frameworks without giving up ownership rights.