Innovation Orientation Research Articles

Organizational Culture and Employee Turnover at Dahabshiil Bank in Mogadishu, Somalia

The main objective of this study was to establish organizational culture and employee turnover at Dahabshiil Bank in Mogadishu, Somalia. This study conduct at Dahabshiil Bank in Mogadishu, Somalia. This study started February 2021 and finished August 2024. Methods: The study aimed to analyze the organizational culture and employee turnover of Dahabshiil Bank in Mogadishu, Somalia. A total of 200 employees were included, with a sample size of 133. A quantitative research design was chosen for efficiency and cost-effectiveness. Data was collected through a structured questionnaire tool, and quality control measures included validity and reliability. The study involved random and purposive sampling, and all responses were checked for accuracy. The data analysis involved quantitative data analysis and descriptive evaluation. Result: The survey data on organizational values revealed a diverse range of perceptions among respondents. A significant portion expressed dissatisfaction with the clarity of communication about organizational values, while nearly half agreed that they receive clear communication. Employees' self-assessment of their role in promoting a respect-oriented culture revealed diverse perspectives. The influence of organizational values on employees' decisions to stay at work revealed a wide range of perspectives. Recognition by the bank for observing organizational core values revealed a diverse range of experiences and sentiments. The performance appraisal system showed mixed opinions, with 28.1% strongly disagreeing and 17.3% disagreeing. The study shows a negative perception of employee participation in innovation, with a majority disagreeing (85.7%). The impact of Dahabshiil Bank's innovation orientation on employees' commitment to the bank was varying, with 58.6% disagreeing and 30.0% positive, suggesting that the bank's innovation focus influences their decision to stay. Recommendation: The bank should enhance its organizational values through strategies like improved communication, leadership involvement, employee engagement, and feedback mechanisms. To foster a diverse workforce, the bank should reassess its core values. Effective communication is crucial, and leaders should promote the organization's values. To retain employees, tailored retention strategies should consider career progression, compensation, and work-life balance. The recruitment process should be streamlined, and career progression pathways should be established. Lastly, fostering innovation requires increased resources, support, and recognition for employees who contribute to it.

Innovation orientation, imitation orientation, and social media activeness: the moderating role of CEO openness and environmental dynamism

ABSTRACT Active engagement on social media platforms is crucial for firms to spread awareness of their brands and effectively interact with their customers. A firm’s strategic orientation, especially innovation orientation and imitation orientation, may direct its efforts relating to its social media activeness (SMA). However, few studies have examined this phenomenon and the boundary conditions of strategic orientation influencing SMA. Our study draws upon strategic choice theory (SCT) to investigate how a firm’s strategic orientations (e.g. innovation orientation and imitation orientation) influence SMA and how this effect is further moderated by CEO openness and environmental dynamism. Our study uses survey data from 203 firms in 2020 in combination with the firms’ archival data from WeChat and Douyin in 2021 to test the proposed conceptual model. The results reveal that innovation orientation has a U-shaped relationship with SMA, which is weakened by environmental dynamism. Moreover, imitation orientation has an inverted U-shaped relationship with SMA, which is weakened by CEO openness but strengthened by environmental dynamism. These findings reveal the benefits and downsides of innovation orientation and imitation orientation, as well as the conditions that influence their effects on SMA.

Influence of Innovation Orientation on Performance of Non-Life Insurance in Kenya

The insurance industry plays crucial role in the social and economic development of every economy. However, the non-life insurance sub-sector in Kenya has had performance downturn in the past ten years. This study sought to examine the effect of innovation orientation on the performance of non-life insurance in Kenya. The study was anchored on the Schumpeter’s theory. The target population of the study was 35 non-life insurance companies licensed by the insurance regulatory authority and members of the association of Kenya insurers. The study adopted survey research design and used questionnaires to collect primary data. A pilot study was done to test the reliability and validity of the research instrument. The study used Cronbach’s alpha (α) coefficient to test reliability, while construct and content validity were used to check the validity of the research instrument. The data was analyzed using quantitative and qualitative analysis statistics with the help of SSPS version 24. The study used correlation analysis, regression analysis and analysis of variance (ANOVA) to establish the relationship between the variables, strength and direction of the variables and to test hypotheses. The results were presented in tables and models. The study revealed that innovation orientation significantly influenced the performance of non-life insurance companies in Kenya. This meant that non-life insurance companies that prioritize innovation in their products, services, and processes are likely to achieve better performance outcomes. Given the significant impact of innovation orientation on performance, non-life companies should allocate more resources on research to increase gross written premium, insurance penetration and improve underwriting profits. The study recommends future research in other financial services sectors to establish the role of innovation orientation on performance of those sectors. The study focused on non-life insurance in Kenya which limits its application to a fast growing sub-sector of micro-insurance and recommends that a study be conducted on micro-insurance. The findings of such a study may be useful in aiding review of insurance regulations and policy

The relationship between organizational culture and digital transformation in SMEs: A systematic review

This paper presents an organised and thorough review of empirical research about the relationship between organization culture (OC) and digital transformation (DT) in SMEs (small and medium-sized enterprises) from 2018 to 2024. This literature overview includes 26 articles published in Scopus as well as Web of Science (WOS) journals, along with additional records identified from other sources. In accordance with PRISMA standards, this review presents the results in a standardized format. Our findings indicate a substantial impact of OC on DT initiatives, while simultaneously demonstrating that the DT process alters OC, creating a dynamic feedback loop. However, it is noteworthy that some studies have found no significant correlation between OC and DT. This review highlights that most research focuses on cross-sectional studies and conceptual models based on theoretical frameworks. The reviewed literature encompasses a diverse geographical range, including studies from developed and developing countries. Key factors facilitating or hindering DT in SMEs are identified, including open-mindedness, innovation orientation, digital culture, change readiness, cooperation, risk tolerance, leadership commitment, and customer-centricity. The study underscores the need for culturally tailored strategies and models to support SMEs’ DT journey. Research gaps are identified, particularly regarding the consequences of DT on OC in the long run among SMEs and industry-specific variations in the OC-DT relationship. Future studies should explore longitudinal designs, incorporate diverse sector contexts, and delve into the influences of leadership in this evolution.

Pengaruh Orientasi Inovasi Terhadap Kinerja Usaha Pada Pelaku Usaha Mikro Kecil dan Menengah (UMKM) di Kota Bandung

The purpose of this study is to find out how much innovation orientation affects business performance on MSME actors in the city of Bandung from various business sectors. The dimensions of innovation orientation used include product innovation, process innovation, marketing innovation, and organizational innovation. The method used in this study is descriptive quantitative. The questionnaire was distributed to 385 MSME actors in the city of Bandung, then statistical tests were carried out using simple and multiple regression analysis using IBM SPSS. The results of this study are that simultaneously the innovation orientation variable has a significant effect on business performance with an influence value of 63.3%. Partially, the dimension of innovation orientation (product innovation, process innovation, marketing innovation, organizational innovation) has an influence on business performance in MSME actors in the city of Bandung, process innovation is the most influential dimension with a coefficient value of 0.362. The researcher suggested that the next researcher can use other variables that can affect business performance, such as entrepreneurial orientation.

Continuous improvement strategies towards energy transition: The importance of individual employees' entrepreneurial orientation and learning processes

AbstractAt one hand, while research on entrepreneurial orientation (EO) continues to proliferate, only recently has attention been drawn to the individual entrepreneurial orientation (IEO) level. On the other hand, although organizational learning (OL) explains how organizations explore and exploit knowledge to enhance their innovation and performance, limited research has investigated the relationship between EO and OL. In this study, we develop and empirically test in an established Canadian energy provider a framework on the IEO‐OL‐performance relationship. We find that employees' innovative orientation and risk‐taking propensity are more positively related to exploratory learning, while proactive employees are more geared towards exploitative learning. We further unveil that exploitative learning is more positively related to continuous improvement than explorative learning. Our findings add to scant literature on the IEO‐OL‐performance relationship and provide managerial insights for energy sector firms on how IEO can assist with their transformational business strategies towards green and clean energy supply.

Exploring the impacts of risk perception and risk management planning on innovation orientation: a PLS-SEM approach

PurposeAlthough risk and innovation are often linked, current studies exploring the correlation between these terms are scarce. This study empirically examines the relationship between construction firms’ risk perception, risk management planning and innovation orientation.Design/methodology/approachA conceptual framework was formed through the literature and validated by the partial least squares structural equation modeling (PLS-SEM) technique, employing the data collected from 182 practitioners working in the Vietnamese construction sector.FindingsThis study highlighted that innovation orientation can be categorized as creation and adoption. The findings indicated that while risk perception can hinder innovation creation, effective risk management planning can mitigate the adverse effects. The findings also highlighted that the focus on innovation adoption will negatively affect innovation creation. Additionally, the findings showed that risk management planning has a positive relationship with innovation creation.Originality/valueThis study fills the research gap by explaining why innovation creation is often prioritized by innovation adoption, as risk perception acts as a deterrent. The results imply that construction firms should balance adopting innovations and fostering an environment conducive to innovation creation. It is recommended that these firms invest organizational resources in forming effective risk management plans to create a more secure environment for innovation creation.

Linking Hierarchy Culture, Market Culture and Innovation Orientation: Moderating Roles of Causation and Effectuation

This paper aims to examine the influence of hierarchy and market cultures on firm’s innovation orientation. Also, it explores the moderating roles of the two decision-making logics, which are causation and effectuation on the relationship between hierarchy and market organizational cultures and innovation orientation. The current study extends past research on organizational culture and innovation, by being most likely the first study to examine the extent to which the relationship between hierarchical culture and SME innovation orientation is moderated by causal logic; and the extent to which effectual reasoning moderates the relationship between market culture and the innovation orientation of SMEs. The study utilizes survey data from 206 small and medium sized enterprises (SMEs) in the manufacturing and services sectors of the United Arab Emirates (UAE), that is analyzed using SmartPLS. The results of this study suggest that causation moderates the relationship between hierarchical culture and SME innovation orientation. Furthermore, market culture is only positively related to SME’s innovation orientation when effectuation moderates the relationship.

Public sector innovation teams: Experience from field‐level bureaucracies

How public sector innovation teams take on innovation assignments has attracted insufficient attention from researchers. This study aims to address this gap by exploring the experiences of innovation teams in field‐level bureaucracies in a non‐Western context. In‐depth interviews with 62 public bureaucrats involved in 31 district and subdistrict innovation teams in Bangladesh reveal that the team members lack innovation orientation and team‐building activities, both constraining their innovation performance. It contributes to the innovation literature by explicating that several hostile organizational practices constrain team members' innovation orientation and team‐building activities, which preclude them from being proper innovation teams, affecting their innovation performance.

Exploring the nexus of green entrepreneurship and environment quality in selected Asian economies

PurposeThis study examines the relationship between green entrepreneurship and environmental quality in selected Asian economies. The impact of green entrepreneurship dimensions, i.e. renewable energy utilization, innovation orientation, green funding and resource efficiency is empirically assessed on environmental quality. The research assists in opening the “black box” mechanism of how green entrepreneurship affects the environmental pillar of sustainability.Design/methodology/approachAn analysis of 11 Asian countries is conducted over the period from 2000 to 2019, using panel regression techniques to examine the link between green entrepreneurship dimensions and environmental quality indicators.FindingsThe findings reveal that all four dimensions of green entrepreneurship have an inverse relationship with carbon emissions and ecological footprint while showing a positive relationship with the load capacity factor. This implies that green entrepreneurship contributes positively to environmental sustainability by enhancing the ecosystem’s resilience and capacity to support life.Practical implicationsWe advocate for policymakers to prioritize green entrepreneurship to stimulate innovation for energy transition and environmental sustainability. Furthermore, creating a conducive atmosphere for green entrepreneurs can spur job creation, economic growth and societal well-being, thus fostering a more resilient and sustainable future for all.Originality/valueIn this study, we adopted a multidimensional approach for measuring green entrepreneurship, which represents an advancement over existing literature that predominantly relied on renewable energy consumption to gauge the green entrepreneurship phenomenon at the macro level.

Competitive intensity, innovation orientation, export entrepreneurship and export performance: considering effect of corporate social responsibility

Competitive intensity, innovation orientation, export entrepreneurship and export performance: considering effect of corporate social responsibility

Exploring the impact of consumer behavior and innovation orientation on business strategy and firm performance: Insights from MSMEs in Indonesia

The purpose of this research is to examine and analyse the influence of consumer behaviour and innovation orientation on firm performance through business strategy, impacting the performance of MSMEs in Karanganyar, Indonesia. The study utilizes a quantitative approach, collecting data through questionnaires and semi-structured interviews with 80 owners of Mbangun Makhutoromo MSMEs Cluster in Karanganyar, Indonesia. The collection data were analysed using linear regression and path analysis with SPSS 24 software. The results indicate that consumer behaviour and innovation orientation significantly impact business strategy. Consumer behaviour has both direct and indirect effects on firm performance through business strategy. On the other hand, innovation orientation affects company performance indirectly through business strategy rather than directly. Enhancing company performance is more effective through direct consumer behaviour analysis. Additionally, well-formulated business strategies can leverage innovation orientation to achieve indirect improvement. For MSMEs to improve performance, a focus on understanding and analysing consumer behaviour is crucial. Business strategies should indirectly employ innovation orientation. This approach requires careful adaptation to environmental changes, consumer preferences, and market trends to ensure sustained business growth and competitiveness.

Особенности темпоральности ориентированного на инновации человека

An important role belongs to the humanistic potential formed by creative abilities, moral and intellectual qualities of a person in the development of modern innovative processes. The article deals with the question of the innovative nature of man and the temporal foundations of his existence in the context of modern temporal issues. Conducting a comparative analysis of the interpretations of the categories of temporal issues helped to identify those meanings that lead to an awareness of the value of human innovation orientation. The most important role belongs to the spiritual potential in creativity, and its development directly depends on a person’s attitude to the temporality of his/her existence. In this regard, modern thinkers pay attention to the study of the antithesis of the trivial and unique in the temporal existence of man and the nature of repetition as a dilemma of the past and the future. Emphasizing the key importance of the moment in a person’s determination to follow a moral path, they answer the question of his/her belonging to the past, present or future. The conditions of innovation, which become obvious when a person orients himself/herself to the spiritual foundations of his/her being, are contained in each of the time modes. The author concluded that the nature of the temporal existence of an innovation-oriented person is distinguished by the uniqueness of its moments as the beginning of the production of new ideas, the unpredictability of the future and the variability of understanding of the past as a condition for free creative choice in the present moment. All these qualities are important in the development of modern innovations, as they ensure innovative continuity and the production of innovative ideas.

Bridging Generations and Values: Understanding Generation Z’s Organizational Preferences and the Mediating Role of Sustainability and Innovation Attitudes in Turkey

Gen Z is well-recognized as the first generation to have lived through the full digital era. They are used to utilizing technology, have been on social media since they were young children, and have even developed an addiction to it because they grew up in a technologically advanced world. Preliminary research has looked at Gen Z’s educational preferences in the marketing and education realms, as well as product promotion techniques directed towards them. Furthermore, most of the early Gen Z research was conducted in the United States. Because there is a lack of reliable literature studies on HR and organizational research material related to Gen Z and their career-related objectives, organizations are ill-prepared to accept this new generation into the workforce. This study identifies the organizational values that the members of Generation Z find significant. The purpose of the study is to ascertain how closely the members of Generation Z align with corporate values and preferences. The research employs a quantitative methodology: 109 Turkish university students who were enrolled in classes were given a survey. Consequently, this identified the preferences of Generation Z members in Turkey. The literature lacks reliable studies regarding diverse investigations on Generation Z’s preferences conducted outside of the United States. This research will add to the literature about this topic. This study’s conclusions highlight how complex and multidimensional Generation Z’s views are regarding innovation and sustainability in the Turkish setting. The analyses did not show any significant mediating or predicting effects, contrary to the initial hypotheses that suggested a direct relationship between these attitudes, society contributions, educational attainment, and personal values. This implies that the variables influencing university students in Generation Z’s sustainability and innovation orientations are more complicated than previously thought and might not be directly impacted by the variables looked at in this study.

Developing and validating a scale for entrepreneurial marketing orientations: EMICO framework and its impact on business performance in startups

PurposeAlthough marketing is essential for a firm’s survival and growth, a set of entrepreneurial strategic orientations may help it gain a competitive advantage. Entrepreneurial marketing (EM) is critical for growing businesses to succeed in today's fast-paced industry. The present study aims to measure the role of EM on the business performance (BP) of Indian startups.Design/methodology/approachFor this purpose, a thorough literature review was conducted to develop a scale from the proposed conceptual framework – EMICO by Jones and Rowley (2009b). To assess the reliability and validity of the scale (62 items), the data are analyzed by employing partial least square-structural equation modeling (PLS-SEM).FindingsThe scale is empirically tested, and the results lead to discussions. The results show the positive impact of entrepreneurial orientation (EO), marketing orientation (MO), innovation orientation (IO) and customer orientation (CO) on the BP of the startups. The paper concludes by suggesting managerial and practical implications, also providing future research agenda.Originality/valueOur objective is to address the existing dearth of comprehensive scales for evaluating EM by undertaking a rigorous statistical approach. Notably, our research represents the pioneering effort in adopting the EMICO framework and subsequently formulating and empirically validating a robust scale specifically tailored for nascent or small-scale startups within the Indian context.

Impact of Motivation Factors for Using Generative AI Services on Continuous Use Intention: Mediating Trust and Acceptance Attitude

This study aims to empirically analyze the relationship between the motivational factors of generative AI users and the intention to continue using the service. Accordingly, the motives of users who use generative AI services are defined as individual, social, and technical motivation factors. This research verified the effect of these factors on intention to continue using the services and tested the meditating effect of trust and acceptance attitude. We tested this through verifying trust and acceptance attitudes. An online survey was conducted on language-based generative AI service users such as OpenAI’s ChatGPT, Google Bard, Microsoft Bing, and Meta-Lama, and a structural equation analysis was conducted through a total of 356 surveys. As a result of the analysis, individual, social, and technical motivational factors all had a positive (+) effect on trust and acceptance attitude on the attitude toward accepting generative AI services. Among them, individual motivation such as self-efficacy, innovation orientation, and playful desire were found to have the greatest influence on the formation of the acceptance attitude. In addition, social factors were identified as the factors that have the greatest influence on trust in the use of generative AI services. When it comes to using generative AI, it was confirmed that social reputation or awareness directly affects the trust in usability.

Legitimacy considerations in regulation for local mobile communication network business in Finland and the UK

The article explores the legitimacy of local 5G and upcoming 6G mobile communication networks in Europe. The paper paves the way for a new perspective for understanding the legitimacy of local 5G/6G mobile communication networks by applying the business model-based ecosystem perspective and legitimacy as a theoretical foundation. As regulations are expanding to consider the novel deployment model of local 5G and 6G mobile communication networks, the legitimacy of such networks is under-explored. Analyzing the regulatory approaches taken by two national regulatory authorities (NRA) in Europe, Finland and the UK, we identify seven legitimacy-related themes including innovation orientation, awareness and knowledge of how to build and design local networks, European harmonized spectrum management, competition, cybersecurity and risk assessment and equipment availability. Our study lays the groundwork for exploring how the application of the business model-based ecosystem perspective can be utilized to advance regulatory initiatives for local mobile communication network businesses. It also identifies which legitimacy-related aspects are involved in setting regulatory priorities.

The roles of entrepreneurial orientation and government support in the open innovation of manufacturing firms: empirical evidence from South Korea

PurposeThis study investigates the effect of entrepreneurial orientation and government support on the innovation openness of South Korean manufacturing firms. By compartmentalizing entrepreneurial orientation and government support, this study seeks to elucidate their effects on the breadth and depth of firms' knowledge searches.Design/methodology/approachThe study utilizes Poisson regression analysis with empirical data from 2,353 South Korean manufacturing firms collected from Korean Innovation Survey data.FindingsAnalysis reveals nuanced influences of various factors on firms' open innovation activities. Innovativeness positively affects knowledge search breadth and depth, highlighting the role of innovation-oriented processes, while competitive aggressiveness influences depth, thereby underscoring the pursuit of specialized knowledge acquisition. Proactiveness positively affects breadth but negatively affects depth, suggesting the importance of maintaining broad perspectives. Government support scope positively affects both breadth and depth, reflecting the significance of external support in encouraging inclusive knowledge exploration. The importance of government support positively influences depth, emphasizing its vital role in establishing collaborative relationships to enhance in-depth knowledge acquisition.Originality/valueThis study provides novel insights by exploring the nuanced implementation of open innovation in latecomer economies, especially South Korea, which experienced rapid economic development by leveraging innovation. The identification of specific factors influencing knowledge search breadth and depth contributes to the literature on open innovation by providing strategic guidelines for firms and policymakers. This practical implications of this study suggest that firms should align their strategies with entrepreneurial orientation while leveraging pertinent government support.

Implementation of Digital Transformation and Government Enterprise Architecture in Improving the Performance of Integrated Social Services

This study addresses the subject matter of declining public confidence in local governments in Indonesia, primarily due to issues in public service delivery, highlighting the urgent need for improved integrated social services. The objective is to analyze the mediating effect of enterprise architecture orientation on the influence of environmental turbulence, flexibility strategy, business model innovation, and digital transformation on social service performance in West Java. Methods involved a survey explanatory approach with all 27 social service providers in West Java Province, employing whole population sampling. Data were analyzed using descriptive statistical analysis and hypothesis testing using Partial Least Square Structural Equation Modeling (PLS-SEM). Results indicate that environmental turbulence, flexibility strategy, business model innovation, and digital transformation significantly impact social service performance when mediated by enterprise architecture orientation. The conclusions suggest that a robust model emphasizing strategic architectural orientation and effective implementation of flexibility, innovation, and digital transformation can enhance social service performance amidst environmental challenges. This study contributes to understanding the complex dynamics of social service provision in local governments, advocating for strategic investments in enterprise architecture and adaptive strategies to improve public service delivery and restore public trust.

Entrepreneurial Marketing and Performance of Small and Medium Scale Enterprises in Akwa Ibom State

Entrepreneurial marketing has become increasingly popular in the fields of entrepreneurship and marketing, as well as among organizations aiming to obtain a competitive edge. In practice, small and medium-sized enterprises (SMEs) in Akwa Ibom State, Nigeria, generally see entrepreneurial marketing as an appealing and efficient marketing strategy motivated by the desire to make the most of their unique strengths. These SMEs are involved in the sale of products and services. This study aimed to investigate the influence of entrepreneurial marketing on the performance of small and medium-scale enterprises in Akwa Ibom State. The sample size for the study was 400, determined using the Taro Yamane formula. The proxies for entrepreneurial marketing were considered jointly as customer orientation, entrepreneurial orientation, and innovation orientation. The researchers adopted a survey research design. A structured questionnaire was designed to obtain data from 400 SME owners. We also adopted a simple random technique for this study. We tested the combined hypothesis using multiple regression analyses. The study revealed a significant influence of customer orientation, entrepreneurial orientation, and innovation orientation on the performance of small and medium-scale enterprises in Akwa Ibom State. In conclusion, this study empirically provides evidence of the influence of entrepreneurial marketing on SME performance. SMEs can improve their performance by embracing the entrepreneurial marketing philosophy. Based on these conclusions and findings, the researchers recommended that SMEs in Akwa Ibom State improve their customer orientation to understand their customers better.