The role of collaboration and technology diffusion on business performance
International Journal of Productivity and Performance Management
ISSN: 1741-0401
Article publication date: 9 January 2017
Abstract
Purpose
The purpose of this paper is to empirically test the joint impact of trust, technology diffusion and organisational capacity on collaboration and investigate the effect of the interaction among them on business performance.
Design/methodology/approach
A conceptual model is formulated to achieve the study’s purpose. The research employs quantitative methodology to test the validity of the model. Pilot interviews were used to select applicable attribute for each of the model’s constructs and to revise the survey questionnaire. The survey is addressed to CEOs and senior managers of 500 electrical product manufacturers in Wenzhou province, China. The questionnaire covers 20 attributes of the model’s constructs, which are measured on a seven-point scale. A structured equation modelling software known as AMOS is used to analyse data.
Findings
Results indicate that trust is an antecedent factor for successful collaboration, but not as a factor directly affecting business performance. However, the research shows that collaboration plays a full mediator between trust and business performance. The empirical evidence from this research implied that technology diffusion do not translate properly into collaboration and the organisations do not give adequate attention to the process performance in making collaboration with partners. In addition, the electrical Chinese organisations do not consider that the commitments of their partners exceed the expectations.
Research limitations/implications
This research limits investigation in China only and considers one type of industry, that is, the manufacturers of small products.
Practical implications
The conceptual model can be used as an audit tool for evaluating the effect of collaboration on business performance. Thus, managers could recognise weak attributes and plan for improvement.
Originality/value
This study provides new measurement instrument for evaluating the joint impact of collaboration, technology diffusion, trust and organisational capacity on business performance.
Keywords
Acknowledgements
This research is supported by the Department of Education of Zhejiang Province Foundation (China) – Project ID Y201328223, and Priority Academic Program Development of Zhejiang Higher Education Institutions (Hangzhou China). The authors would like to acknowledge the authors’ appreciation to the Small Electrical Products Association in Wenzhou City (China) for their help in distributing the survey questionnaire among their members. Special thanks to the reviewers for their comments and suggestion which reshape the paper in its adequate publishable form.
Citation
Al-Hakim, L. and Lu, W. (2017), "The role of collaboration and technology diffusion on business performance", International Journal of Productivity and Performance Management, Vol. 66 No. 1, pp. 22-50. https://doi.org/10.1108/IJPPM-08-2014-0122
Publisher
:Emerald Publishing Limited
Copyright © 2017, Emerald Publishing Limited