The Impact of Culture on Innovation: the moderating role of Human Capital

Author(s):  
Muhammad Adil Jan ◽  
Syed Muhammad Amir Shah ◽  
Kashif Ullah Khan

Innovation plays an important role in developing the economy, to expand and sustain the high performance of firms, to maintain competitive edge in industry and improved the standard living and in creating a better quality of life. In Adhocratic culture, openness provides to employees and no fear of doing faults or getting things wrong to be done, human capital are the creative peoples and if democratic organizational culture is provided to them the organization can be find more innovative. The focus of current study was on the link between organizational cultures and innovation. Although the literature suggests the relevance of culture in increasing innovation, there is a lack of empirical evidence supporting this relation, which this study has explored. Our findings provide support for this relation. Furthermore we found that the organization culture can enhance product innovation, but that it can also inhibit it depending on the values that culture fosters. In particular we found that product innovation is positively associated to adhocracy cultures and has a negative relation to the hierarchical cultures.

Author(s):  
Rabia Imran ◽  
Tariq Mohammed Salih Atiya

PurposeThe aim of the current research is to examine how job performance is affected by high-performance work system (HPWS) and human capital. Furthermore, the research focuses on exploring the mediating role played by human capital in HPWS and job performance relationship.Design/methodology/approachData was collected from service sector employees. A sample of 400 respondents was selected from the chosen population using purposive sampling.FindingsThe results reveal that HPWS and human capital positively and significantly affect job performance. The impact of HPWS in creating human capital was also supported. The research also hypothesized mediating role played by human capital in HPWS and job performance relationship, and it was partially supported.Originality/valueRecent literature is evident of the relationship between performance and HPWS; however, the mechanism between these variables is still unclear (Demirbag et al., 2014). There is a need of identifying the factors that strengthen this relationship. The current research is an attempt to fill this gap by examining the effect of HPWS on job performance. Furthermore, it explores the role played by human capital in strengthening the connection of HPWS and job performance.


2018 ◽  
Vol 56 (9) ◽  
pp. 1917-1935 ◽  
Author(s):  
Weizhang Sun ◽  
Chunguang Zhao ◽  
Yaping Wang ◽  
Charles H. Cho

Purpose The purpose of the paper is to examine the impact of investor sentiment on managers’ decisions to provide CSR disclosures. The core issue focuses on whether, why and how managers adjust their approach to CSR disclosure to cater to the investor sentiment. Design/methodology/approach On the basis of 13,488 observations of A-share listed companies, the authors examine the impacts of investor sentiment on CSR disclosure, which is measured separately by the propensity to issue a standalone CSR report and the quality of CSR reports. Furthermore, the authors examine the moderating role of institutional factors in China. Findings The authors find that during low-sentiment periods, managers are more likely to issue a standalone CSR report and the quality of CSR reports is higher, and vice versa. Additionally, the authors find that the negative correlations between CSR disclosure and investor sentiment are stronger in state-owned enterprises. Research limitations/implications First, the measurement of investor sentiment reflects only a part of characteristics of investor sentiment. Second, the authors pay less attention to the specific items of a CSR report. Originality/value The study contributes to the literature on CSR disclosure and investor sentiment by combining the two fields together. Furthermore, the study deepens the understanding of the institutional context in China and contributes to research on the predictors of CSR disclosure.


2020 ◽  
Vol 14 (2) ◽  
pp. 71
Author(s):  
Omar Mohammed Zragat

This study aimed at discovering the impact of big data in terms of its dimensions (Variety, Velocity, Volume, and Veracity) on financial reports quality in the present business intelligence in terms of its dimensions (Online Analytical Processing (OLAP), Data Mining, and Data Warehouse) as a moderating variable in Jordanian telecom companies. The sample included (139) employees in Jordanian Telecom Companies. Multiple and Stepwise Linear Regression were used to test the effect of the independent variable on the dependent variable. And Hierarchical Regression analysis, to test the effect of the independent variable on the dependent variable in the presence of the moderating variable.  The study reached a set of results, the most prominent of which was the presence of a statistically significant effect of using big data in improve the quality of financial reports, Business intelligence contributes to improving the impact of big data in terms of its dimensions (Volume, Velocity, Variety, and Veracity) on the quality of financial reports. The study recommends the necessity of working on making use of big data and resorting to business intelligence solutions because of its great role in improving the quality of financial reports and thus supporting decision-making functions for a large group of users.


2015 ◽  
Vol 54 (4I-II) ◽  
pp. 529-549
Author(s):  
Ali Muhammad ◽  
Abiodun Egbetokun ◽  
Manzoor Hussain Memon

Economists agree that human capital is an important determinant of economic growth [Arrow (1962); Aghion and Howitt (1992)]. Human capital-led growth generally concludes the positive impact of the two with the help of existing developed theories and empirical evidences. Nonetheless, the standard empirical result of a direct relationship between human capital (however measured) and economic growth, has been criticised on several fronts. First, the impact of other growth-related factors like quality of education, health of the labour force, inflation, corruption, unemployment, rule of law, etc. should not be ignored. These endogenous characteristics of a country are included in Becker‘s (1993) definition of human capital. In addition, as noted by Abramovitz (1986), social capabilities are important in the adoption and diffusion of technologies but countries differ in social capabilities. Therefore, to the extent to which human capital contributes to economic growth through innovation, its effect is conditioned by the country‘s social capabilities which include factors like quality of institutions and governance.


2021 ◽  
Vol 13 (2) ◽  
pp. 262-283
Author(s):  
Svetlana G. Golovina ◽  
Ivan N. Mikolaychik ◽  
Andrey L. Poltarykhin ◽  
Pavel V. Zhuravlev

The article presents the results of a theoretical and empirical study of the leading trends and the latest trends in the development of modern agricultural cooperatives (with an illustration of many years of experience and grandiose achievements in the activities of the world famous multinational dairy cooperative “Arla Foods”), due to various changes in the external environment (market, institutional, political, technological) and determining, as a result, significant changes in the requirements for the quality of human capital. Important scientific conclusions (according to the topic) were obtained on the basis of studying the dynamics of the formation and development of the Arla Foods cooperative, generalizing materials regarding its organizational transformations and mainly relate to (1) the importance of professional management for the success of the cooperative, (2) new requirements for the quality of human resources in connection with technological innovations (digitalization, for example), (3) the role of human capital available in cooperatives (its quality) in overcoming various threats and risks. The theoretical and practical value of the study lies, firstly, in the (scientifically grounded) concept of a modern agricultural cooperative presented in the work (using the example of Arla Foods as one of its most prominent representatives), and secondly, in the characteristics of the human capital of agricultural cooperatives, adequate to the essence of the evolutionary processes taking place with them.


Author(s):  
Olena Bachynska

The article summarizes the views economists on the role of education in the economic development of society. The proven leading role of education in the identification of society as a whole and of each individual is revealed specific historical conditions of development. In particular, the classics of economics emphasize that a person's income depends on his craft and qualifications. Ukrainian scholars have largely linked the country's economic development to the level of education its managers. The causal relationships between education and socio-economic development at the individual and social levels in the works of A. Marshall and G. Becker are analyzed. The influence education on economic development at the macro level in the scientific works scientists of the ХХ century is studied. The role of education in the transformation of scientific knowledge into technology is considered. The place and role education in the formation, reproduction and development of human capital are substantiated. Preservation and development of the knowledge base is possible only with a high level of education of the workforce and quality training, which is closely linked to the growth of investment in this area of the economy. Investments in education give the highest economic return and they also have great social significance for human development. The peculiarities of the impact investments in education and their economic efficiency are considered, including the growth of human capital and increase of labor productivity, increase of innovative opportunities of the economy, acceleration of knowledge transfer. Structural changes, economic growth, raising living standards largely depend on the level of education and quality of human capital. A country that is unable to use the potential of education and ensure the quality of population development will be at the bottom of global economic development. Today knowledge has become an independent factor of production, such as land, capital and labor. Without a society with a high level of education and intelligence, there can be no question of building a «new economy».


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