Differential effects of interpersonal relationships across functions on product and service innovation

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Feng Wang ◽  
Rong Cao ◽  
Siting Wu ◽  
Man Chen

PurposeThe aim of the study was to investigate the differential effects of interpersonal relationships across functions on product and service innovation, and to examine the moderating role of market competition.Design/methodology/approachThis study was based on a survey of senior and middle managers from 149 pharmaceutical firms in China.FindingsInterpersonal relationships between employees across functions (IR-E) have a stronger impact on product innovation than do interpersonal relationships between managers across functions (IR-M), but IR-M have a stronger impact on service innovation. Market competition strengthens the effects of IR-M on both product and service innovation, but it attenuates the effect of IR-E on service innovation.Originality/valueAlthough the effects of interpersonal relationships across functions are crucial to cross-functional interactions, these effects have received little attention in the literature. By identifying the potential “backfiring” effect of dual-level interpersonal relationships, this study contributes to knowledge of cross-functional relationships. It also deepens understanding of the relationship between cross-functional relationships and organizational innovation, especially in the service setting.

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Man Chen ◽  
Tanya (Ya) Tang ◽  
Siting Wu ◽  
Feng Wang

Purpose Although coopetition has been studied for decades, most prior studies shed light on interfirm coopetition across firms instead of intrafirm coopetition across functional departments within a firm. To fill the research gaps, this study aims to investigate the differential effects of cross-functional coopetition on both product and service innovations and the moderating roles of environmental turbulence. Design/methodology/approach This study surveyed both senior and middle managers from 149 pharmaceutical firms in China. Findings This study discovers the opposite relationships of cross-functional coopetition on product and service innovations such that cross-functional coopetition enhances product innovation but hurts service innovation. Furthermore, market turbulence attenuates the positive effect on product innovation but strengthens the negative effect on service innovation. However, technological turbulence attenuates the negative impact of cross-functional coopetition on service innovation. Originality/value The effects of cross-functional coopetition have been ignored in the innovation literature. By identifying the double-edged sword of cross-functional coopetition, this study contributes to the literature by providing new insights into the differential effects of cross-functional coopetition on product and service innovations.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Fatemeh Narenji Thani ◽  
Ebrahim Mazari ◽  
Somaye Asadi ◽  
Maryam Mashayekhikhi

PurposeConsidering innovation and its improvement as an essential strategy to enable organizations to continue their lives in the new competitive environment leads to a focus on employees' self-development as a factor that affects human resource agility (HRA) and the tendency toward organizational innovation. Consequently, the purpose of the study was to explain the impact of self-development on the tendency toward organizational innovation with the role of the mediator, HRA in higher education institutions as one of the most important and vital organizations in any society.Design/methodology/approachThe study was an applicable one with the quantitative approach using the descriptive–correlative method. The population consisted of 477 nonacademic employees of Kharazmi University among whom 214 ones were selected as the sample group, using a simple random sampling technique. Data were collected through the self-development, HRA and the tendency toward organizational innovation questionnaires and then analyzed using the structural equation modeling approach.FindingsThe study findings revealed a positive impact of self-development on the HRA (γ = 0/79) and HRA on the tendency toward organizational innovation (β = 0/6). Also, self-development with mediating HRA impacts the tendency toward organizational innovation (β = 0/58). Finally, self-development had no direct impact on the tendency toward organizational innovation.Research limitations/implicationsTaking the circumstances of doing this research into consideration, if there were the opportunity to do the research on the staffs of more than one university simultaneously and categorize the university staff into executives, managers and experts, more favorable results could be achieved. Also, considering group and organizational factors with the attention to the self-development approach and its factors would provide more awareness-training information on the higher education system in Iran. For future researches, both the individual and group factors are suggested to be surveyed and compared, to assess the weight and impact of these factors all together and to provide an adequate clarification of the role of the group and the organization. Finally, in future studies, it is also recommended that a qualitative approach be used to reach deeper clarifications on the aspects of these variables in the context of higher education.Practical implicationsThese findings have major practical implications concerning the higher educational settings. The findings of this study must give significant and practical insights for policymakers of universities and other higher education stakeholders, as well as recommendations to the academic community for further research in this area. First, they should recognize that nonacademic staff members are professional employees who contribute to improving organizational innovation. Higher education must focus on designing and implementing successful mechanisms and a well-planned self-development program that can help and promote the self-development approach among all staff. If the above-mentioned programs are designed based on the employees' needs analysis, they will get trained in a way to enhance mental and behavioral flexibility. The programs with such an approach can result in the proactive, adaptive, resilient behavior and agility of HR.Originality/valueThe model for this study has integrated and prioritized the key innovation drivers that would help universities design, adopt and implement policies and practices that facilitate and encourage improvements and adaptation to a fast-paced environment. Furthermore, the convincing reason for the significance of the current research is that although several types of research have been carried out on each of these three variables in different contexts separately, very few studies, like this, have directly examined the correlation between these three variables among the non-academic staff in higher education institutes. So, given the importance of the issue and rare availability of evidence in this regard, the authors were intrigued to discover whether the self-development through the mediation of HRA could reinforce and strengthen the tendency toward organizational innovation and whether HRA could be an appropriate mediator of the relationship between self-development and the tendency toward organizational innovation among the nonacademic staff of Kharazmi University as one of the most prestigious and celebrated universities in Iran.


2017 ◽  
Vol 22 (4) ◽  
pp. 334-350 ◽  
Author(s):  
Alisher Tohirovich Dedahanov ◽  
Changjoon Rhee ◽  
Junghyun Yoon

Purpose The purpose of this paper is to investigate the mediating role of innovative behavior on the relationships between organizational structure, such as centralization, formalization, integration, and organizational innovation performance. Design/methodology/approach The authors collected data from 140 functional managers of manufacturing organizations in the Republic of Korea. The authors used structural equation modeling procedure to evaluate the validity of proposed hypotheses. Findings The results suggest that innovative behavior mediates the links among centralization, formalization, and organizational innovation performance. However, the findings indicate that innovative behavior does not mediate the relationship between integration and organizational innovation performance. Originality/value This work is the first to examine the mediating role of innovative behavior on the associations among centralization, integration, and organizational innovation performance.


2020 ◽  
Vol 14 (2) ◽  
pp. 203-213
Author(s):  
Fahri Özsungur

Purpose The purpose of this paper is to examine the association between mobbing and service innovation performance. In this context, the mediating role of boreout, a new concept in the literature, was examined. Design/methodology/approach This study was conducted with 240 participants recruited in manufacturing companies affiliated with Adana Chamber of Industry in the province of Adana Turkey in November 2019. The research was analyzed by the structural equation modeling method with the social exchange theory basis. Findings Findings revealed that boreout and mobbing were negatively associated with service innovation performance. Mobbing was positively associated with boreout and job boredom. According to the finding of this study, boreout partially mediated the effect of the mobbing on service innovation performance. Originality/value This study reveals the association among mobbing, boreout and service innovation performances of employees of companies operating in manufacturing sector. The findings of this study provide important practical knowledge to businesses and academics regarding the field of management, entrepreneurship and innovation.


2020 ◽  
Vol 46 (9) ◽  
pp. 1123-1143
Author(s):  
Omar Farooq ◽  
Zakir Pashayev

PurposeThis paper documents the impact of product market competition on the value of advertising expenditures.Design/methodology/approachThe authors use the data for non-financial firms from India and the pooled regression procedure to test their arguments during the period between 2009 and 2018.FindingsThe results show that advertising expenditures of firms operating in sectors with relatively high competition are more valuable than advertising expenditures of firms operating in sectors with relatively low competition. The results of the study are robust across various proxies of advertising expenditures and firm performance. Furthermore, the results also show that the positive impact of product market competition on the value of advertising expenditures is confined only to firms that already have lower agency problems.Originality/valueThe results of the study highlight the importance of product market competition on the value of advertising expenditure in the emerging market setting, where agency problems are supposed to be high.


2019 ◽  
Vol 13 (1) ◽  
pp. 73-88 ◽  
Author(s):  
Fahri Özsungur

Purpose Ethical leadership is at the forefront of what matters in today’s business life and current issues, with a view to making strong moral decisions through bilateral communication. Service innovation behavior is important in terms of individual and institutional actions in the process of producing and implementing new ideas. Investigating the mediating role of psychological capital which consists of self-efficacy, optimism, hope and psychological endurance dimensions, between ethical leadership and service innovation behavior, is a matter to be investigated. This study aims to assess the impact of ethical leadership on service innovation behavior by means of a comprehensive literature review. In this framework, psychological capital forms the scope of researching the mediating role. Design/methodology/approach This study was conducted with 376 blue-collar workers randomly selected from 140 company which were selected from 1,294 joint stock companies among 76,882 companies operating in the province of Adana in Turkey and registered in the Adana Chamber of Commerce, by applying a questionnaire of 40 items. Findings As a result of the factor analysis, 6 items which could not provide reliability were extracted from the scale and the remaining 34 items were distributed in three factors and the validity of the construct validity was measured by the convergence and divergence methods. Construct reliability (CR) values were found to be statistically significant (SRMR: 0.50, RMSEA = 0.058, IFI: 0.955, CFI = 0.97, GFI = 0.96, AGFI = 0.86, TLI = 0.97, χ2/s.d. = 2.264) when it was above 0.7, and the structural equation model determined that the research data and the initially determined model are compatible. Ethical leadership has a significant effect on psychological capital (ß = 0.224, p < 0.001), ethical leadership has a significant effect on innovation (ß = 0.113, p < 0.001), psychological capital was found to have a significant influence on service innovation (ß = 0.965, p < 0.001), and ethical leadership was mediated by psychological capital on service innovation behavior (SIE = 0.235). Research limitations/implications Further research is needed to assess conducting research in enterprises with different cultural characteristics. This paper provides the effectiveness of ethical leadership and psychological capital factors, which are effective in improving employee service innovation behavior and enabling managers to develop human resources strategies in this respect. Practical implications The results provide the impact of ethical leadership on the productivity of employees in the workplace and provide practical benefits in terms of developing innovation-oriented service development behaviors. Social implications The innovative behaviors of the employees enable the development of innovative ideas in social life by contributing to consumer satisfaction and economy. Ethical leadership ensures positive behaviors in the society by ensuring that employees in the workplace develop justice sentiments. Originality/value The mediating role of psychological capital between ethical leadership and service innovation behavior has not been investigated before. In this study, the effects of self-efficacy, optimism, hope and resilience factors were investigated in providing ethical leaders and employees, creating value in the enterprise, and in providing innovation-focused services for employees.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ding Hooi Ting ◽  
Amir Zaib Abbasi ◽  
Sohel Ahmed

PurposeThis study aims at identifying and examining the mediating role of customer engagement behavior and social interactivity onbrand loyalty.Design/methodology/approachA correlational study design was adopted in this study to collect data (online survey) from 400 online participants active on Facebook pages.FindingsEmpirical results reveal that there is a significant and positive impact of social interactivity on consumer engagement behavior and brand loyalty.Research limitations/implicationsThe findings would help decision makers to make useful decisions in their everyday work practices, which would ultimately increase the market competition of brands.Practical implicationsDecision makers should focus on the entertainment and interactivity levels in advertisement designs that would allow customers to perceive the novelty of advertising.Social implicationsThe results are critical in developing consumers' attitude and perception toward a brand by providing them insights regarding the characteristics of brands.Originality/valueThe participation and social interactivity of consumers on the Facebook page drive consumer engagement behavior and brand loyalty.


2016 ◽  
Vol 54 (2) ◽  
pp. 270-287 ◽  
Author(s):  
Catharina von Koskull ◽  
Tore Strandvik ◽  
Bård Tronvoll

Purpose – The purpose of this paper is to shed light on an aspect of service innovation processes that has remained fairly hidden so far, namely, the role of emotions. Design/methodology/approach – The authors use the strategizing approach from strategy research, which focusses on detailed processes, practices, and discourse, to understand the influence of emotions on service innovation processes. The empirical data stem from a longitudinal ethnographic study of a service innovation process. Findings – In the investigated case, the dominant emotion of anxiety is revealed. The authors focus on this emotion in order to explore how it affects the innovation process itself and the outcome. The authors identify five emotion-driven practices that form elements of what the authors label emotional strategizing. Practical implications – Emotion seems to give energy and direction to the service innovation process. This is both positive and challenging for top-level managers. Originality/value – The authors reveal a hidden aspect of service innovation processes – the effect of emotions. Furthermore, the authors show that emotions are important because they give energy and direction to the innovation work, and emerge in practices. Emotional strategizing, as a new term, gives visibility to this important issue.


2018 ◽  
Vol 44 (2) ◽  
pp. 207-221 ◽  
Author(s):  
Hussein Ali Ahmad Abdoh ◽  
Oscar Varela

Purpose The purpose of this paper is to examine the effects of product market competition on capital spending (investments) financed by cash flow (CF), and the role of financial constraints (FC) on these effects. Design/methodology/approach The Herfindahl-Hirschman index of concentration measures competition. Earnings retention, working capital, the Kaplan and Zingales (1997) index and CF shortfalls measure FC. Regressions relating capital spending to competition are performed for the full sample, as well as financially constrained and unconstrained, and growth and value firms’ sub-samples. For robustness, large reductions in import tariffs are examined to exogenously measure competition, with the impact of these on capital spending tested via the difference-in-difference method. Findings The results show that competition fosters valuable investments when firms are financially unconstrained, especially for growth firms, and reduces these investments when they are financially constrained, especially for value firms. Practical implications The role of policy makers in alleviating FC should be focused toward growth firms that operate in competitive industries. As well, increasing financial pressure on value firms in competitive industries can have desirable effects, as it forces these firms to reduce investment inefficiency. Originality/value Many firm-specific and environmental factors drive the relation between competition and investment. Khanna and Tice (2000) find profitable firms increasing and highly levered firms decreasing investments in response to Wal-Mart’s entry into their markets. Jiang et al. (2015) suggest that environments with predictable growth drive a positive relation between competition and investments. This study claims that another factor that affects this relation is the firm’s level of FC.


2016 ◽  
Vol 27 (4) ◽  
pp. 619-651 ◽  
Author(s):  
Kotaiba Aal ◽  
Laura Di Pietro ◽  
Bo Edvardsson ◽  
Maria Francesca Renzi ◽  
Roberta Guglielmetti Mugion

Purpose – The purpose of this paper is to extend the understanding of innovation in service ecosystems by focussing on the role of values resonance in relation to the integration of brands, service systems and experience rooms. Design/methodology/approach – An empirical, explorative case study of an innovative service system is carried out using a narrative approach and presented in the form of a saga. Findings – Insights gleaned from the empirical study are used for conceptual developments. Analysis of the empirical case study is presented as four lessons linked to values, brands, service systems and experience rooms. Originality/value – The paper extends a conceptual framework of innovative resource integration in service ecosystems. The paper also contributes four propositions to inform theory: values resonance is a basis for service innovation, the innovative integration of brands based on values resonance can foster innovation, the integration of resources across service system boundaries grounded in values resonance can enable innovation and the integration of experience rooms into a coherent servicescape based on values resonance can support novel forms of resource integration and value co-creation efforts in service ecosystems.


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