scholarly journals Operational Capability: The Missing Link between Supply Chain Practices and Performance

2015 ◽  
Vol 773-774 ◽  
pp. 856-860
Author(s):  
Ai Chin Thoo ◽  
Abu Bakar Abdul Hamid ◽  
Amran Rasli

The relationship between supply chain practices and business performance has been widely investigated by many academics and practitioners; however, the relationship is not yet fully understood. Therefore, this paper aims to examine the relevance of several prominent theories in strategic management for explaining the mediating role of operational capability in the relationship between supply chain practices and business performance. The resource-based view of the firm and neo-institutional theory are reviewed for their applicability to relate supply chain practices and operational capability in explaining sustained business performance. Supply chain practices are insufficient to drive business performance. Firms need to be able simultaneously to increase efficiency through supply chain practices and to be innovative through operational capability. Specifically, operational capability is forwarded as a key firm-specific capability that can result in significant and long-term improvement in organisational sustainability. Operational capability can serve as a critical mediating factor that better transmits the ambitions of supply chain practices onto business performance. As such, this paper provides a conceptual support to urge further research to empirically evaluate the relationship between supply chain practices, operational capability and business performance.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Luqman Oyekunle Oyewobi ◽  
Olatunde Folaranmi Adedayo ◽  
Seth Olufemi Olorunyomi ◽  
Richard Jimoh

Purpose The purpose of this paper is to explore the mediating effect of learning capacity in the relationship between the social media usage by the construction of small- and medium-sized enterprises (SMEs) and their business performance in Nigeria. Design/methodology/approach A quantitative survey technique was used to collect data from the owner/manager of construction SMEs in Nigeria. The partial least square structural equation modeling was used in the assessment of the measurement model and structural model to assess the validity and reliability of the measures and to evaluate the hypotheses proposed in the conceptual model. Findings Empirical findings indicated a significant positive relationship between learning capacity and performance of SMEs. Similarly, the use of social media is significantly and positively associated to the business performance of SMEs. It has also been shown that learning capacity is a mediator of the relationship between social media and SME performance. Research limitations/implications The data for the study is are all from a single industry and a related line of business, so it could be more interesting to include more companies across sectors or industries. The finding contributes to the ongoing debate on the effect of social media on business performance. It also defined the need for the owner/manager of SMEs to understand and appreciate the effect of social media through the organization's learning potential to gain a sustainable competitive advantage. Practical implications There are a number of theoretical and practical implications for academics and practitioners who are interested in further studies of organizational social media. The research presents a quantitative study on the effect of social media adoption on the organizational performance of the construction industry. This study confirms the mediating role of learning capability in the relationship between the use of social media and performance of SMEs operating in the construction industry. Originality/value This study empirically examined the relationship between social media adoption and the SMEs learning capability and business performance by evaluating a hypothesized conceptual framework to establish the relationships.


2021 ◽  
Vol 20 (3) ◽  
pp. 124-135
Author(s):  
Chongrui Liu ◽  
Cong Wang ◽  
Yan Liu ◽  
Xuran Liu ◽  
Yuan Ni

Abstract. Although leader–member exchange (LMX) has been widely studied, knowledge about how followers influence the LMX process remains unknown. By integrating the broaden-and-build theory (BBT) with the emotion as social information (EASI) theory, we develop a follower-centric multilevel model to investigate how followers' positive emotions have an impact on LMX via the mediating role of leader identification and the moderating role of leaders' positive emotions. We conducted a survey with 319 Chinese employees from 67 teams. The results indicated that leader identification served as a mediating factor in the relationship between followers' positive emotions and LMX. The work unit leaders' positive emotions strengthened the relationship between leader identification and LMX and moderated the mediated relationship among followers' positive emotions, leader identification, and LMX. Altogether, our findings inform new knowledge in terms of how followers may influence the development of LMX. We also help to extend the BBT and the EASI theory to the leadership context.


2021 ◽  
Vol 49 (3) ◽  
pp. 1-15
Author(s):  
Jian-Li Gao ◽  
Dong-Sheng Li ◽  
Mary-Louise Conway

Entrepreneurial passion is seen as a valuable predictor of entrepreneurs' behavior and performance. We explored what makes entrepreneurs passionate by adopting a qualitative research method from a social support perspective. To test our hypotheses we conducted a survey with 287 young entrepreneurs in China. Using structural equation modeling we studied the impact of three types of support from the family on entrepreneurial passion. The results show that financial support and social capital support had a stronger influence on entrepreneurial passion than did emotional support. Further, psychological capital played a partial mediating role in the relationship between family support and entrepreneurial passion. This study enhances the integrity of previous research conclusions on entrepreneurial passion and, in particular, provides further insight into the development of nascent entrepreneurs and their new businesses.


Author(s):  
Carlos A. F. Sampaio ◽  
Ricardo G. Rodrigues ◽  
José M. Hernández-Mogollón

This study proposes to study the nature of the relationship between competitor orientation, a strategy based on low prices and hotel business performance, and to test if a low-price strategy plays a mediating role in the relationship between competitor orientation and business performance. A structural equation modeling approach is used, and a sample from the Italian hotel industry is used to evaluate the proposed hypotheses. Results show that competitor orientation is positively related to business performance and to a strategy based on low prices. Furthermore, it is found that a low-price strategy has adverse effects on business performance. Additionally, the mediating role of the low-price strategy is not confirmed.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Behrooz Ghlichlee ◽  
Fatima Bayat

Purpose Within the retail banking sector, the customer-centric business model has become an important and new business trend in recent years. The enhancement of the frontline service employees’ engagement and their customer-oriented behaviors are among the key factors affecting business performance (BP) in this sector of the banking industry. The purpose of this paper is to improve management decisions to enhance BP through examining the relationship between the frontline employees’ engagement and BP while taking into account the mediating effect of customer-oriented behaviors on this relationship. Design/methodology/approach A quantitative approach was adopted to conduct the present study, and the respondents were sampled from a large commercial bank in Iran using a structured questionnaire. Overall, 50 branch managers and 90 frontline employees were selected using random sampling. A confirmatory factor analysis was conducted to ascertain the validity and reliability of the observed items and a structural equation model was used for testing the proposed hypotheses and research framework. Findings The findings showed that customer-oriented behaviors mediated the relationship between the frontline employees’ engagement and bank’s branches’ BP. Higher levels of the frontline employees’ engagement enhance the customer-oriented behaviors. It was revealed that the frontline employees are engaged in their job and organization. Moreover, the engaged frontline employees listen carefully to customers, the customer’s problem is important to them and they complete their tasks precisely for customers. It has been confirmed that customer-oriented behaviors enhance branches’ BP. The bank frontline employees’ engagement and customer-oriented behaviors, in turn, affected the bank’s branches’ financial performance, process performance and employee performance compared with the bank’s key competitors. Research limitations/implications This study highlights the value of empirically establishing how employee customer-oriented behaviors are affected by employee engagement as an integrative construct bringing together BP. Practical implications This study can help improve BP by increasing the frontline employees’ engagement and their customer-oriented behaviors. This study suggests that organizations using the findings of this study could effectively assess their frontline employees’ engagement and their customer-oriented behaviors and then plan for improving them. Social implications This study offers a customer-oriented initiative as a social responsibility to be considered by retail banks. In light of the social exchange theory, the banks valuing customer-oriented can provide employees with knowledge, skills, values and support to develop motivation and abilities to demonstrate customer-oriented organizational citizenship behaviors. Originality/value Previous studies demonstrated that the employees’ engagement affects their customer-oriented behaviors. In addition, studies have referred to the effect of employees’ customer-oriented behaviors on BP. However, to the best of the knowledge, key questions regarding how the employees’ engagement at the branch level fosters customer-oriented behaviors and, in turn, the bank’s branches’ BP, remain unanswered. Hence, this study contributes to the investigation of the mediating role of the frontline employees’ customer-oriented behaviors in the relationship between their engagement and branches’ BP in the retail banking sector.


2019 ◽  
Vol 11 (24) ◽  
pp. 6933
Author(s):  
Esther Villajos ◽  
Núria Tordera ◽  
José M. Peiró

Traditional Human Resource Management (HRM) focusing on maintaining the status quo is no longer in the spotlight. Sustainable HRM has become the new approach, emphasizing the need to attend to organizational results directed toward reaching different goals and integrating the needs of diverse stakeholders. Moreover, in response to the challenges that organizations face in volatile, uncertain, complex, and ambiguous (VUCA) environments, Human Resource (HR) practices can contribute to the development of idiosyncratic deals (negotiation of individual HR practices) that might facilitate employees’ creativity and eudaimonic well-being in the long term and, thus, the sustainability of these organizations. Thus, the aim of this study is to test the mediating role of idiosyncratic deals (i-deals) in the unfolding relationship between HR practices, eudaimonic well-being and creative performance. Using a longitudinal database (three waves), the hypotheses are tested using structural equations modeling. The results support the idea that HR practices function as an antecedent for i-deals. More specifically, i-deals fully mediate the relationship between HR practices and eudaimonic well-being. In turn, i-deals and eudaimonic well-being fully mediate the relationship between HR practices and creative performance, which suggests that, through i-deals, HR practices become more beneficial for both employees and employers. In conclusion, these results are important for sustainable HR development, because HR practices enhance i-deals, which increase well-being, enhancing performance in the long term.


Author(s):  
Kiran Sakkar Sudha ◽  
M. Ghazi Shahnawaz

AbstractNarcissism is imbued with emotional dynamism and there is a strong need to assess the linkages with outcomes by analyzing their fusion. The present study examined the relationship between grandiose narcissism and performance through analyzing the mediating role of subjective wellbeing (positive affect, negative affect and life satisfaction). The wholesome assessment of performance was done by considering task performance, team-work and cognitive motivational effectiveness among 293 senior-level Indian employees of a big public sector organization. Data were analyzed by using SPSS 22 and Smart PLS 2.0. The correlation results showed that grandiose narcissism was negatively related to performance, life satisfaction and positively related to negative affect. The indirect pathways (through mediation analyses) revealed that negative affect and life satisfaction mediated the relationship between grandiose narcissism and performance. The study effectively contributes to the narcissism and performance literature by presenting clearer pathways of grandiose narcissism (through self-regulated emotions and subjective wellbeing). Practical implications were also highlighted beside the theoretical concerns.


2019 ◽  
Vol 21 (1) ◽  
pp. 23-39 ◽  
Author(s):  
Syed Saad Ahmed ◽  
Jia Guozhu ◽  
Shujaat Mubarik ◽  
Mumtaz Khan ◽  
Essa Khan

Purpose The purpose of this paper is to empirically examine the mediating role of potential and realized absorptive capacity in intellectual capital (IC) and business performance. It also investigates the direct impact of the components of IC on business performance. Design/methodology/approach Partial least square-structural equation modeling (PLS-SEM) was used to assess the effect of IC dimensions on performance and to analyze the mediating role of absorptive capacity in this relationship. Data were collected from 192 managers using a survey questionnaire with Likert scale items. Findings The findings of the study show that potential absorptive capacity does not intervene in the relationship between the components of IC and those of business performance. However, realized absorptive capacity, measured as the transformation and exploitation of knowledge, played a positive mediating role in the relationship between the dimensions of IC and those of business performance. Social capital was also noted as a weak predictor of business performance, while human capital and organizational capital had a profound positive influence. Originality/value This study contributes to the literature on IC by examining the role of realized and potential absorptive capacity in the relationship between IC components and firm performance. This research also helps practitioners recognize the importance of transformation and the exploitation of knowledge for business performance.


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