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Article
Publication date: 13 April 2015

Hong Liu, Lu Ma and Panpan Huang

The purpose of this paper is to test the assertion that the relationship between corporation performance and organizational complexity follows an inverted U-shape curve…

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Abstract

Purpose

The purpose of this paper is to test the assertion that the relationship between corporation performance and organizational complexity follows an inverted U-shape curve, and a corporation gains the best performance when its organizational complexity fits its environmental complexity.

Design/methodology/approach

This research did not directly measure environmental complexity to verify the relationship between corporation performance and complex environment, but measured organizational complexity to subtly display the effect of the organizational complexity on the corporation performance while controlled the environmental complexity. To do so, a set of corporations that shared the similar environment was selected, and then these corporations’ performance and organizational complexity were calculated, the related hypotheses were tested empirically.

Findings

The paper proved the inverted U-shape relationship between organizational complexity and corporation performance, and also found that different corporation chooses different complex adaptive way, so the inverted U-shape relationship displays hierarchy.

Research limitations/implications

Future research should search out to calculate corporation’s environment complexity the fitness of organizational complexity for testing hypotheses.

Practical implications

The regularity of relationship between organizational complexity and corporation performance is helpful for managers to understand that a way to improve a corporation’s performance is to enhance the fitness of organizational complexity and environmental complexity.

Social implications

Organizational complexity may be competitive advantage, but excessive growth of it will be harmful.

Originality/value

Usually organizational complexity is thought of as a negative factor to corporation performance and tends to be constrained, but this research explored the role of organizational complexity to corporation performance and the findings helps managers to understand when to enhance organizational complexity and when to weaken it. The methodology of calculating the fitness of organizational complexity and environmental complexity by fixing environment is a contribution to complexity theory research.

Details

Journal of Management Development, vol. 34 no. 3
Type: Research Article
ISSN: 0262-1711

Keywords

Article
Publication date: 1 June 2010

Job P. Antony and Sanghamitra Bhattacharyya

The purpose of this paper is to propose a conceptual framework for measuring organizational performance and organizational excellence, which could be used by small and

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Abstract

Purpose

The purpose of this paper is to propose a conceptual framework for measuring organizational performance and organizational excellence, which could be used by small and medium enterprises.

Design/methodology/approach

Altogether, seven variables are proposed in the overall and work unit level for measuring organizational performance and organizational excellence. The proposed model for evaluating organizational performance and organizational excellence was taken through a round of pre‐testing using relevant statistical analyses, in order to validate the hypothesized relationships.

Findings

Excellence is redefined as the ability or capacity of one performance variable to affect or influence the other performance variables in an organization. Total correlation is suggested for measuring different excellences and equations are suggested for calculating overall organizational performance and overall organizational excellence.

Practical implications

The model developed for measuring performance and excellence can be used by small and medium enterprises to evaluate their performance and excellence periodically.

Originality/value

The definition and model developed for measuring excellence can contribute significantly to existing literature on excellence measurement. Further research can help in adding more variables to this measure to make the model a holistic one.

Details

Measuring Business Excellence, vol. 14 no. 2
Type: Research Article
ISSN: 1368-3047

Keywords

Article
Publication date: 31 August 2010

Job P. Antony and Sanghamitra Bhattacharyya

The purpose of this paper is to empirically establish an indigenously developed model for measuring organizational performance and organizational excellence, and to

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Abstract

Purpose

The purpose of this paper is to empirically establish an indigenously developed model for measuring organizational performance and organizational excellence, and to examine the relationship between organizational performance and organizational excellence.

Design/methodology/approach

The paper presents a model based on seven variables, at the overall and work unit level, for measuring organizational performance and organizational excellence – tested by using a large sample. A structured questionnaire is developed for collecting data from 407 respondents from 230 organizations. Summated scale average method is used for calculation of organizational performance and a total correlation method is used for the calculation of organizational excellence.

Findings

It is established that organizational performance and organizational excellence could be measured by consolidating performance variables, using two different methods: performance can be measured by averaging the performance variable scores, and excellence can be measured by averaging the correlations of performance variable scores. Based on the study, a new general definition for organizational excellence is proposed, as “the outstanding measure of relationship of all performance variables influencing an organization's functioning”.

Practical implications

The model, developed and tested for measuring performance and excellence, can be used by small and medium enterprises to evaluate their performance and excellence separately and periodically. The study helps managers to recognize organizational excellence as a measure needing special attention instead of taking it as an outstanding value of organizational performance.

Originality/value

The definition and model developed and tested for measuring excellence can contribute significantly to existing literature on excellence measurement. This will help researchers to study organizational excellence as a separate organizational behavior, instead of limiting it as a terminal value of organizational performance.

Details

Measuring Business Excellence, vol. 14 no. 3
Type: Research Article
ISSN: 1368-3047

Keywords

Article
Publication date: 6 November 2009

Dominic Mwenja and Alfred Lewis

This paper aims to examine the impact of board of directors on the performance of not‐for‐profit (NFP) organizations. The study also aims to utilize the six dimensions of…

3753

Abstract

Purpose

This paper aims to examine the impact of board of directors on the performance of not‐for‐profit (NFP) organizations. The study also aims to utilize the six dimensions of effective board performance as suggested by Chait et al., using the theoretical explanations of the resource dependency theory, the agency theory, and the group/decision processes theory. By explaining how these board activities influence organizational performance, we can begin to understand the importance of board influence in determining organizational effectiveness as measured by organizational performance.

Design/methodology/approach

For the purpose of this study, organizational performance attributes are used in line with the strategy used by Nobbie and Brudney. The measurement used includes the perception of board members' view of the overall success in meeting organizational goals, increase or decrease in the number of programs offered by the organization, improvement in the quality of service offered by the organization, and the level of satisfaction by the clients with the level of service provided.

Findings

The survey revealed that the strategic and the political dimensions have a stronger relationship with the perceived organizational performance in nonprofit organizations as compared to the other dimensions.

Research limitations/implications

Given that the majority of the respondents (30) of the study served in religious organizations, this may have skewed the results toward a certain direction that is difficult to ascertain until other studies compare results across different NFP classifications. This suggests that it is important to repeat such a study with a much diverse group of NFPs in addition to measuring other board and organizational dimensions such as board size, executive perceptions, and organization size, and age.

Practical implications

The efforts to link board effectiveness and organizational performance will remain tenuous at best. This is an illusive phenomenon that will continue to elude researchers as long as the dimensions of board effectiveness and organizational performance remain perceptual. The need to understand the strategic orientation of NFPs governance is even greater as these organizations continue to play a major role in the lives of ordinary people in various communities around the world.

Originality/value

In order to understand the effectiveness of the board in NFPs, this study examines three theoretical perspectives that can be utilized to connect the different dimensions of board performance and organizational performance. In previous research, Chait et al. examined the practices of board members at independent colleges and identified six competencies of effective boards. The identified dimensions are: contextual: effective boards understand and take into consideration the culture and norms of the organization they govern; educational: effective boards ensure that their members are knowledgeable about the organization and the board's roles, responsibilities, and performance; interpersonal: effective boards nurture the development of their members as a working group, attend to the board's collective welfare, and foster a sense of cohesiveness; analytical: effective boards recognize the complexities and subtleties of issues and accept ambiguity and uncertainty as healthy preconditions for critical discussions. They raise doubts, explore trade‐offs, and encourage differences of opinion; political: effective boards accept as a primary responsibility the need to develop and maintain healthy relationships among major constituencies; and strategic: effective boards help their organizations envision a direction and shape a strategy for the future. They anticipate potential problems and act before issues become crises.

Details

Business Strategy Series, vol. 10 no. 6
Type: Research Article
ISSN: 1751-5637

Keywords

Article
Publication date: 12 July 2013

Stephan M. Liozu and Andreas Hinterhuber

The purpose of this paper is to identify a set of specific activities and a set of competencies associated with above‐average firm performance.

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Abstract

Purpose

The purpose of this paper is to identify a set of specific activities and a set of competencies associated with above‐average firm performance.

Design/methodology/approach

Quantitative survey of 748 respondents.

Findings

It was found that four key competencies differentiate high performing from low performing companies: organizational confidence; pricing capabilities; organizational change capacity; and championing behaviors by top management. The research also identifies a set of specific activities that are linked with superior firm performance: activities directed at the improvement of pricing effectiveness (e.g. trainings, pricing tools; pricing performance reviews); improvements in product differentiation and product quality (e.g. through innovation and research aimed at identifying and creating customer value); increased sense of organizational confidence (e.g. optimism, resilience, “can do”‐attitude); improved support of top management; improved ability to stick to list prices and minimization of discounting behaviors; and finally, enhanced cultural adaptability to respond to changing market conditions.

Research limitations/implications

Through a quantitative research design, the authors document the link between pricing capabilities, organizational confidence and superior firm performance.

Practical implications

The authors identify both specific activities, as well as higher order competencies, practising managers need to develop in order to increase firm performance via pricing. Taking a hypothetical company as example, the authors' data show that, on average, a one point improvement on a seven‐point scale in organizational confidence leads to a 4 per cent improvement in return on sales.

Originality/value

Our research highlights which organizational competencies drive firm performance. Specifically this research is the first quantitative survey which documents a positive relationships between organizational confidence and firm performance.

Details

Journal of Business Strategy, vol. 34 no. 4
Type: Research Article
ISSN: 0275-6668

Keywords

Article
Publication date: 22 September 2022

Ngoc Khuong Mai, Thanh Tung Do and Dieu Trang Ho Nguyen

This study aims to investigate the effects of leadership competences (cognitive, interpersonal, and results-oriented competences) on organizational learning, organizational

Abstract

Purpose

This study aims to investigate the effects of leadership competences (cognitive, interpersonal, and results-oriented competences) on organizational learning, organizational innovation, and business performance.

Design/methodology/approach

Data were collected from owners, chief executive officers, top and middle management teams, and other managers of tourism and hospitality firms in Vietnam. A total of 638 valid responses was collected and processed using PLS-SEM technique.

Findings

The findings revealed that only results-oriented competence exerted significant influences on business performance. Organizational learning was affected by all three leadership competences, while only cognitive and interpersonal competences positively affected organizational innovation. The relationships among organizational learning, organizational innovation, and business performance were also confirmed. Moreover, the findings emphasized the mediating roles of organizational learning and organizational innovation in the relationship between leadership competences and business performance. Organizational learning and organizational innovation also acted as a mediator in the relationship between cognitive competence and business performance.

Practical implications

This study provided some suggestions for tourism and hospitality leaders in exhibiting appropriate leadership competences, strengthening organizational learning, and fostering organization innovation to enhance business performance.

Originality/value

Although the topics of leadership competences, organizational learning, organization innovation, and business performance have received a great concern among worldwide academia, there is scarce research examining the relationships among these four phenomena together. This paper is among the first study that offers a comprehensive model of the relationships among these domains.

Details

Business Process Management Journal, vol. 28 no. 5/6
Type: Research Article
ISSN: 1463-7154

Keywords

Open Access
Article
Publication date: 5 September 2022

Julia Strengers, Leonie Mutsaers, Lisa van Rossum and Ernst Graamans

Scale-ups have a crucial role in our society and economy, are known for their fast growth and high performance and undergo significant organizational change. Research on…

Abstract

Purpose

Scale-ups have a crucial role in our society and economy, are known for their fast growth and high performance and undergo significant organizational change. Research on the organizational elements that ensure scale-ups sustaining high performance is limited. This empirical study aims to investigate the organizational culture in scale-ups using the Competing Values Framework, including the clan, adhocracy, the market, hierarchy cultures and its relation to performance.

Design/methodology/approach

Quantitative and qualitative data were collected in five scale-ups. Surveys provided data of 116 employees on organizational culture, assessed using the Organizational Culture Assessment Instrument (OCAI) and perceived performance. The aggregate outcomes and performance measures were analyzed using correlation analysis. Interviews were held with ten top managers and mirrored against the quantitative data.

Findings

The results show that top managers and employees have different perspectives on the culture scale-ups are supposed to have. Top managers perceive market culture as more and hierarchy culture as less present in their organizations than employees. The clan and adhocracy culture are positively correlated to performance and are preferred by employees. Market and hierarchy culture types are negatively correlated to performance and are least preferred by employees.

Research limitations/implications

It enables scale-up leaders to specifically intervene when cultural elements are experienced by employees that will not drive performance and fit the high performance and fast-growing scale-up environment.

Originality/value

This study is the first that showed that organizational-wide surveys, combined with in-depth interviews, are suitable for top managers of scale-ups to diagnose the organizational culture and the effect on the organization's performance.

Book part
Publication date: 14 August 2014

Petra Kipfelsberger and Heike Bruch

This study investigates the situations in which productive organizational energy (POE) and organizational performance increase through customer passion, that is, perceived…

Abstract

This study investigates the situations in which productive organizational energy (POE) and organizational performance increase through customer passion, that is, perceived customers’ affective commitment and customers’ positive word-of-mouth behavior. We integrate research on POE with research on customer influences on employees. Based on emotional contagion processes we develop hypotheses for the energizing influences of customers at the organizational level. We test the hypotheses using a dataset containing 495 board members and 8,299 employees of 152 organizations. The results show that customer passion is positively related to POE, which is in turn positively related to organizational performance. Furthermore, the findings indicate that the effect of customer passion on organizational performance through POE depends on top management team’s (TMT’s) customer orientation. By providing first insights into the linkages and contingencies of customer passion, POE, and organizational performance, this study puts forth a more holistic understanding of the energizing effect of customers on organizations.

Book part
Publication date: 29 March 2016

Nuraddeen Abubakar Nuhu, Kevin Baird and Ranjith Appuhami

This study examines the association between the use of a package of contemporary and a package of traditional management accounting practices with organizational change…

Abstract

Purpose

This study examines the association between the use of a package of contemporary and a package of traditional management accounting practices with organizational change and organizational performance.

Methodology/approach

Data were collected based on a mail survey distributed to a sample of 740 public sector organizations.

Findings

The findings indicate that while the prevalence of traditional practices is still dominant, such practices were not associated with organizational change or performance. Rather, those organizations that use contemporary management accounting practices to a greater extent experienced greater change and stronger performance.

Practical implications

The findings suggest that contemporary management accounting practices can assist public sector practitioners in improving performance and promoting organizational change.

Originality/value

The study provides an empirical insight into the use and effectiveness of management accounting practices in the public sector. The study provides the first empirical analysis of the effect of using a package of management accounting practices in the public sector.

Article
Publication date: 23 August 2022

Wafa Awni Alkhadra, Sadam Khawaldeh and Jehad Aldehayyat

The sound leadership style can be indicative of organizational success and explanatory of quality performance. Besides this, there are various factors that can impact…

Abstract

Purpose

The sound leadership style can be indicative of organizational success and explanatory of quality performance. Besides this, there are various factors that can impact organizational performance. To this end, this study aims to investigate the effect of ethical leadership on organizational performance, with the mediating role of corporate social responsibility (CSR) and organizational culture.

Design/methodology/approach

The service sector in Jordan was targeted by this research, and data were collected from 371 middle-level and top-level managers working in service companies. These responses were analyzed by using analysis of a moment structure.

Findings

The result conveyed that ethical leadership does not only influence organizational performance, but it also, and positively so, affects the organizational culture and CSR. In addition, CSR and organizational culture significantly mediate the relationship between ethical leadership and organizational performance.

Practical implications

The findings of this study are a guide for managers and owners of service companies who are aiming to enhance organizational performance. If they follow the ethical leadership approach and emphasize CSR initiatives and organizational culture, they can attain, and naturally so, the maximum level of organizational performance.

Originality/value

To the best of the authors’ knowledge, this research paper is the first to analyze ethical leadership in the context of the service sector in Jordan and highlight its influence on organizational culture, CSR and ultimately organizational performance. Moreover, it examined the mediating effects of organizational culture and CSR between ethical leadership and organizational performance.

Details

International Journal of Ethics and Systems, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2514-9369

Keywords

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