To read this content please select one of the options below:

Process ambidexterity driven by environmental uncertainty: balancing flexibility and routine

Kangkang Yu (School of Agricultural Economics and Rural Development, Renmin University of China, Beijing, China)
Jack Cadeaux (School of Marketing, University of New South Wales, Sydney, Australia)
Ben Nanfeng Luo (School of Labor and Human Resources, Renmin University of China, Beijing, China)
Cheng Qian (School of Business, Central University of Finance and Economics, Beijing, China)

International Journal of Operations & Production Management

ISSN: 0144-3577

Article publication date: 3 April 2023

Issue publication date: 28 November 2023

461

Abstract

Purpose

This study aims to extend ambidexterity theory from the perspective of organisational learning and examine how process ambidexterity, which comprises operational flexibility and operational routine, responds to environmental uncertainty and ultimately reduces organisational risks.

Design/methodology/approach

This study tests the hypotheses by analysing 464 annual reports of 115 listed companies in the Chinese agricultural and food industry using content and secondary data analyses. Four case studies are also provided.

Findings

The results show that (1) environmental uncertainty has a positive effect on either operational flexibility or operational routine; (2) both operational flexibility and operational routine have negative effects on organisational risks, supporting the view that process ambidexterity mediates the relationship between environmental uncertainty and organisational risks; and (3) organisational slack plays the role of “double-edged sword” by negatively moderating the effect of environmental uncertainty on operational flexibility and positively moderating the effect of environmental uncertainty on operational routine.

Originality/value

In an uncertain environment, companies are exposed to greater risk. This study contributes to risk management in three ways: first, it extends ambidexterity theory to process management and proposes how process ambidexterity balances operational flexibility and routines. Second, it distinguishes between the different conditions under which flexibility or routines are superior. Third, it explains the mechanisms related to how organisations can resolve environmental uncertainty into risk through process ambidexterity.

Keywords

Acknowledgements

The authors would like to thank Editor-in-Chief Professor Tobias Schoenherr and two anonymous reviewers for their constructive comments and suggestions. The research underlying this paper was supported by the National Natural Science Foundation of China (No. 72072174, No. 71902205), Major Program of the National Social Science Foundation of China (No. 22&ZD096) and the Young Scientists Fund of the Ministry of Education of Humanities and Social Sciences Project in China (Grant No. 21YJC630010).

Citation

Yu, K., Cadeaux, J., Luo, B.N. and Qian, C. (2023), "Process ambidexterity driven by environmental uncertainty: balancing flexibility and routine", International Journal of Operations & Production Management, Vol. 43 No. 12, pp. 1976-2007. https://doi.org/10.1108/IJOPM-05-2022-0290

Publisher

:

Emerald Publishing Limited

Copyright © 2023, Emerald Publishing Limited

Related articles