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1 – 10 of 286Monther I. Haddad, Irene A. Williams, Mohamad Saleh Hammoud and Rocky J. Dwyer
The purpose of this paper is to explore innovation strategies that managers of small and medium-size enterprises (SMEs) used to implement innovation in their organizations to meet…
Abstract
Purpose
The purpose of this paper is to explore innovation strategies that managers of small and medium-size enterprises (SMEs) used to implement innovation in their organizations to meet performance goals.
Design/methodology/approach
The participants in this multiple case study research comprised randomly selected managers from SMEs operating in Dubai, United Arab Emirates with specialist expertise in successfully implementing innovation in their organizations. Individual interviews were undertaken with participants to gain both an insight and understanding regarding which innovation strategies are best suited to improve performance goal outcomes. A further analysis of workplace internal documents, policies, procedures, SMEs’ websites, review websites and press releases afforded additional insights related to the application of innovative workplace practices which supported productivity improvements in relation to performance goal outcomes.
Findings
The findings of this study identified that the role of the top management in cultivating an innovative culture, the identification of ideas as the starting point for innovation and the recognition of customers as resources for the company.
Practical implications
Implementing the findings from this study may support job creation, economy protection in downturns and contribution to economic growth, since thriving SMEs have a positive impact on community development through the generation of the employment. Furthermore, the results of this study can help in creating an increase in improving the productivity of Dubai SMEs in Dubai’s GDP, improvement in investment opportunities; better working conditions for employees and possibilities for expanding the operations of Dubai SMEs globally.
Originality/value
This study is of value because its findings may contribute to local and global economic growth. Exploring successful innovation implementation strategies in SMEs can result in useful guidelines that SME managers can use to reach the performance goals of their SMEs. Since governmental policies are critical to improving business performance, the Government of Dubai may benefit from this study by addressing key success factors for SMEs through policies and regulations. This study has particular value given the lack of studies that address the issue of innovation implementation in SMEs, especially for SMEs in emerging economies.
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Agathe S. Lacaze, Fernando A.F. Ferreira and Margarida R. Santos
Strategic management plays a pivotal role in the growth and success of organizations, significantly impacting their business performance and competitive edge. In today’s…
Abstract
Purpose
Strategic management plays a pivotal role in the growth and success of organizations, significantly impacting their business performance and competitive edge. In today’s globalized markets, strategic management is gaining prominence as a means to enhance company performance and distinctiveness. Within this landscape, the evaluation of organizational effectiveness takes on heightened significance, complemented by the emergence of strategic management frameworks designed to secure enduring competitive advantages for businesses.
Design/methodology/approach
One of the best known approaches to organizational resource assessment is the value, rarity, inimitability and organizational-oriented (VRIO) framework. However, this tool comes with inherent limitations that have hindered its advancement, primarily related to the need for less subjective means of identifying and assigning weights to resources and capabilities during the evaluation process. This study, therefore, endeavored to refine the VRIO framework, making it more transparent and empirically robust. To achieve this aim, the framework was combined with the decision-making trial and evaluation laboratory (DEMATEL) method (i.e. a multiple criteria decision analysis (MCDA) method), and a real-life application was conducted.
Findings
The evaluation system created was tested, and the results demonstrate that the dual methodology used can increase the understanding of resource appraisal and lead to more informed and potentially better evaluations of resources and capabilities. The strengths and shortcomings of this new structured evaluation model are also analyzed.
Originality/value
The authors know of no prior work reporting the integrated use of VRIO and DEMATEL in this study context.
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Thierry Houé and Eileen Murphy
Faced with increasing competition, the ability to secure and optimise global logistics operations should be regarded as a competitive advantage. In the context of the hitherto…
Abstract
Purpose
Faced with increasing competition, the ability to secure and optimise global logistics operations should be regarded as a competitive advantage. In the context of the hitherto little explored field of security and safety programmes, the purpose of this paper is to examine how an Authorised Economic Operator (AEO) certificate may affect the creation of a competitive edge for a freight forwarder.
Design/methodology/approach
By using the resource-based view as a theoretical background and a qualitative analysis using an interview grid inspired by the balanced scorecard, this research identifies resources and capabilities linked to the AEO certification.
Findings
The findings show two specific groups of resources that contribute to the creation of a competitive advantage. The first category is a process-type resource obtained through the AEO certification, which leads to more formalised and better-executed processes. The second relates to the freight forwarder’s knowledge, know-how and relational skills.
Research limitations/implications
This research is developed in a logistics service provider context. It should be equally applied in other contexts and with other methods to provide generalisability.
Practical implications
Considering its contribution to an area of study currently under research, the findings may be useful to practitioners as a decision support tool to assess the value of the AEO certification.
Originality/value
This paper comes in the context of a yet little explored field, despite practitioners’ questions about custom certifications.
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Bala Subramanian R. and Munish Thakur
The case has the following learning objectives: to assess the importance of the business environment, its impact on the organization and how the organization responds to the…
Abstract
Learning outcomes
The case has the following learning objectives: to assess the importance of the business environment, its impact on the organization and how the organization responds to the changes in the business environment; to apply the resource-based view of the organization and resource dependence theory; and to apply and analyze the organization’s strategic initiatives within the framework of the political, economic, social and technological analysis model, Porter’s five forces of business analysis and to make recommendations based on the above analysis.
Case overview/synopsis
The paradigm shift in technology has an impact on business. With 155,015 Post Offices, India Post has the most widely distributed postal network in the world. This case captures the journey of India Post from inception to its current form. Over its life, the organization has evolved because of multiple changes. But the recent changes have threatened to disrupt the organization. These changes have been induced by three major forces: technology, the rise of competition, especially foreign players, and social changes in urban and rural India because of changing consumption patterns as incomes rise and online retail grows. The organization has reacted to this threat by leveraging its resources to offer new products according to customer tastes by entering more unique industries and product categories. They have started logistics services in association with Indian railways and started offering retail services such as bill collection and college application forms. Also, they have created a financial division, “Payment Bank.” Thus, they have evolved from being a single entity of postal-related services to various services. The case poses a dilemma if these product diversifications are thriving as the organization’s product portfolio has diversified, given its existing capabilities and ability to create newer capabilities, particularly the payment bank.
Complexity academic level
The case is ideally suited for the discussion of resource-based view of the firm in the subject strategic management and organizational theory. The case can be used to discuss resource dependence theory as well. It is equally well suited to discuss the impact of environment in business in the subject organization theory and the impact of technology on change in the subject organizational change. The case is meant for MBA. The case can be used for executive audience as well.
Supplementary materials
Teaching notes are available for educators only.
Subject code
CSS 11: Strategy.
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This paper aims to address the limited development of techniques to analyze firms' internal sources of competitive performance. It seeks to enhance the contribution of the widely…
Abstract
Purpose
This paper aims to address the limited development of techniques to analyze firms' internal sources of competitive performance. It seeks to enhance the contribution of the widely diffused value‐rarity‐imitability‐organisation (VRIO) model to practical strategy making.
Design/methodology/approach
The paper draws on the resource‐based literature to assemble an integrated set of steps that evaluate a firm's resources and competence.
Findings
The paper proposes an expanded version of the VRIO model that represents resource and competence as a conditional outcome from attributes and asymmetries present in the firm. It shows how the conditions convert asymmetries between weaknesses, missed opportunities, rigidities and resources.
Research limitations/implications
By synthesising resource‐based theory in a practice‐relevant form, the paper delineates a concrete set of practices that relate to firms' dynamic capability to manage resources and competence.
Practical implications
The paper details an approach to resource and competence analysis that leads directly to decisions about how a firm can manage the resources in question. The model gives a central role to the conditions under which a firm's attributes give rise to a resource or competence, and hence suggests active management of these conditions.
Originality/value
The paper presents resource‐based theory in a form that focuses on the doing of strategy, in contrast to the traditional focus of this literature.
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Torbjørn H. Netland and Arild Aspelund
In order to improve competitiveness on a global scale, multinational enterprises increasingly develop a company-specific production system (XPS) and deploy it in their worldwide…
Abstract
Purpose
In order to improve competitiveness on a global scale, multinational enterprises increasingly develop a company-specific production system (XPS) and deploy it in their worldwide operations. An XPS is synonymous with a tailored corporate-wide improvement programme. The purpose of this paper is to explore the circumstances under which an XPS can provide a competitive advantage.
Design/methodology/approach
The paper uses an explorative case study methodology to investigate the link between the establishment of an XPS and competitive advantage. Specifically, the paper investigates the part of the Volvo Group's globally implemented Volvo production system (VPS) that aim to improve the manufacturing processes worldwide. Due to its historical trajectories, Volvo constitutes a unique case for studying the trend and effects of XPS. The resource-based view of the firm provides the theoretical foundation for the analysis.
Findings
The paper concludes with four research propositions. P1: In industries with widespread XPS implementation, an XPS is a necessary resource for achieving competitive parity; P2a: Early-starters get an instant temporary competitive advantage; P2b: Late-starters can achieve a temporary competitive advantage if they implement an XPS at a faster speed than competitors; and P3: An XPS can provide a sustainable competitive advantage if it has a superior fit with other path-dependent resources in the organisation.
Research limitations/implications
The paper proposes an updated VRIO model, which is better suited for understanding the relations between an XPS and competitive advantage. The major limitation of the study is the single-case design, which complicates generalisation from the VPS to an XPS of the propositions set forward.
Originality/value
Despite the significant trend in modern operations management, XPSs have received remarkably limited attention from academia except for the Toyota Production System. Presumably, this is the first paper to discuss the recent trend of XPS and its contribution to competitive advantage.
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The purpose of this paper is to propose a quantitative model to help managers diagnose what dynamic capabilities a firm needs to address the demands of a rapidly changing…
Abstract
Purpose
The purpose of this paper is to propose a quantitative model to help managers diagnose what dynamic capabilities a firm needs to address the demands of a rapidly changing environment.
Design/methodology/approach
A two-firm model based on the VRIO framework is built using quantitative techniques to assist top management in formulating and implementing strategies regarding when and how to develop a firm’s dynamic capabilities for achieving a competitive advantage. This model is developed by considering both internal and external competences, with the former measured by the features of the organizational capabilities of the focal firm and latter evaluated by comparing the relative utilities of the dynamic capabilities of the two competing firms.
Findings
Three resource allocation strategies are introduced to guide a firm to leverage dynamic capability that generates strong organizational performance. The first two strategies are, respectively, synergy oriented, focussing on acquiring various knowledge or experiences of a capability, and uniqueness oriented, emphasizing the depth of knowledge and technology of the capabilities. The third one is a hybrid of the first two strategies.
Originality/value
The proposed model is useful to help top management determine how and when to renew, bundle, and leverage resources and capabilities in a dynamic environment. It enables decision makers to detect changes in the competitive environment and take corrective action in a timely and appropriate manner.
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Prodromos Chatzoglou, Dimitrios Chatzoudes, Lazaros Sarigiannidis and Georgios Theriou
This paper aims to attempt to bring together various organisational aspects that have never been collectively investigated before in the strategic management literature. Its main…
Abstract
Purpose
This paper aims to attempt to bring together various organisational aspects that have never been collectively investigated before in the strategic management literature. Its main objective is to examine the relationship between “strategic orientation” and “firm performance”, in the light of two firm-specific factors (“distinct manufacturing capabilities” and “organisational structure”). The proposed research model of the present study is built upon the resource-based view (RBV) of the firm and the organisational aspect of the VRIO framework (the “O” from the VRIO model).
Design/methodology/approach
The study proposes a newly developed research model that adopts a four-factor approach, while examining a number of direct and indirect effects. The examination of the proposed research model was made with the use of a newly developed structured questionnaire that was distributed on a sample of Greek manufacturing companies. Research hypotheses were tested using the structural equation modelling technique. The present study is explanatory (examines cause and effect relationships), deductive (tests research hypotheses), empirical (collects primary data) and quantitative (analyses quantitative data that were collected using a structured questionnaire).
Findings
The empirical results suggest the coexistence of three distinct categories of effects on “firm performance”: strategy or “utility” effects, depending on the content of the implemented strategy; firm-specific effects, depending on the content of the organisational resources and capabilities; and organisational effects, depending on the implemented organisational structure. More specifically, the statistical analysis underlines the significant mediating role of “strategic orientation” and the complementary role of “organisational structure”. Finally, empirical results support the argument that “strategy follows structure”.
Research limitations/implications
The use of self-reported scales constitutes an inherent methodological limitation. Moreover, the present study lacks a longitudinal approach because it provides a static picture of the subject under consideration. Finally, the sample size of 130 manufacturing companies could raise some concerns. Despite that, previous empirical studies of the same field, published in respectable journals, were also based on similar samples.
Practical implications
When examining the total (direct and indirect) effects on “firm performance”, it seems that the effect of “organisational structure” is, almost, identical to the effect of “distinct manufacturing capabilities”. This implies that “organisational structure” (an imitable capability) has, almost, the same contribution on “firm performance” as the manufacturing capabilities of the organisation (an inimitable capability). Thus, the practical significance of “organisational structure” is being highlighted.
Originality/value
There has been little empirical research concerning the bundle of firm-specific factors that enhance the impact of strategy on business performance. Under the context of the resource-based view (RBV) of the firm, the present study examines the impact of “organisational structure” on the “strategy-capabilities-performance” relationship, something that has not been thoroughly investigated in the strategic management literature. Also, the present study proposes an alternate measure for capturing the concept of business strategy, the so-called factor of “strategic orientation”. Finally, the study adopts a “reversed view” in the relationship between structure and strategy. More specifically, it postulates that “strategy follows structure” and not the opposite (“structure follows strategy”). Actually, the empirical data supported that (reversed) view, challenging the traditional approach of Chandler (1962) and calling for additional research on that ongoing dispute.
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Ana Azevedo, Kam Jugdev and Gita Mathur
This research draws on the resource-based view of the firm from strategic management and applies it to a study of competitive advantage in the project management context. The…
Abstract
Purpose
This research draws on the resource-based view of the firm from strategic management and applies it to a study of competitive advantage in the project management context. The relationship between the characteristics of project management resources, focusing on organizational support for the project management process, and outcomes of the project management process are examined.
Design/methodology/approach
This study uses data gathered from 437 North American project management professionals with an existing survey tool that was used in a prior smaller sample study. The study uses Barney’s VRIO framework that assesses resources as valuable (V), rare (R), inimitable (I) and organizationally supported to leverage their value (O). The conceptual model hypothesizes relationships between the project management asset characteristics (valuable, rare, and inimitable), organizational support for the project management process, and project management performance outcomes (both project and firm level). Hypotheses are tested using factors extracted from a confirmatory factor analysis (CFA). The factors extracted include two factors representing valuable project management asset characteristics, one factor representing rare project management asset characteristics, one factor representing inimitable project management asset characteristics, two factors representing organizational support for the project management process, one factor representing project-level performance and one factor representing firm-level performance.
Findings
Project management assets that are considered valuable and organizational support for the project management process are found to contribute positively to project management process outcomes. No advantage was perceived from rare and inimitable project management assets. Project-level performance was found to significantly mediate the relationship between organizational support and firm-level performance.
Practical implications
This study draws managerial attention to organizational support for the project management process as a source of competitive advantage through its positive affect on both project-as well as firm-level performance.
Originality/value
The study uses a survey tool from previous research with a new, larger dataset to contribute to the understanding of the importance of organizational support for the project management process in a quest for both project success as well as a firm's competitive advantage.
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Luís Farinha, João Lopes, João Renato Sebastião, João José Ferreira, José Oliveira and Paulo Silveira
This paper aims to understand how the different stakeholders assess the adequacy of smart specialization policies defined for their regions.
Abstract
Purpose
This paper aims to understand how the different stakeholders assess the adequacy of smart specialization policies defined for their regions.
Design/methodology/approach
This paper has followed a quantitative methodology through the application of questionnaire surveys to stakeholders of the various territorial regions in Portugal.
Findings
As a result, from the “resource-based view” approach applied to the various regions, the attained results highlight that the suitability of smart specialization policies defined for the Portuguese regions is not unanimous among its stakeholders.
Originality/value
The research can be used as a tool to assist regional policymakers in strategic reflection when defining and adjusting smart specialization strategies in their territories.
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