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Innovative capabilities and competitive advantage in the era of industry 4.0: A study of trucking industry
Abstract
To stay competitive in facing stiff competition, trucking companies need innovative capabilities. While much works related to innovative capabilities have been published in various sectors, we barely find any that specifically address trucking industry, especially in the era where the advancement of emerging technologies provide both opportunities and challenges. This paper investigates factors affecting the innovative capability of the trucking companies and how this innovative capability influences competitive advantage in the era of industry 4.0. The data of 423 respondents are gathered from a survey of trucking companies in Indonesia. Five hypotheses were developed and tested using partial least squares - structural equation modelling (PLS-SEM). The result reveals that technology capability and market orientation significantly affect innovative capability. On the other hand, innovative capabilities of trucking companies do not seem to be affected by their relationships with suppliers. The innovative capability significantly affected the trucking company's competitive advantage, but industry 4.0 does not moderate this impact. The finding provides helpful insights for managers and serves as interesting triggers for further research.
... The result of multiple regression analysis indicates that innovation capability as determinant of entrepreneurial marketing strategy can significant predict the performance of informal retail businesses; thus, innovation capability have a significant effect on the performance of informal retail businesses. This results supported by the empirical study carried out in the past by Lookman, et al., (2023) which found innovation capability as an important strategy that can significantly Ishola et al. 2024 International Journal of Entrepreneurship, Management and Social Sciences (IJEMSS) 3026-9881 email: ijemss@futminna.edu.ng influence business performance through competitive advantage. ...
Entrepreneurial marketing strategy is a phenomenon used by firms that want to progress, transform the business processes, procedures and services to systematically improve their performance. In Nigeria, informal retail businesses are facing several challenges including productive strategy that impede their progress. This study seek to survey the effect of entrepreneurial marketing approach on competitive advantage, using customer satisfaction as a mediating factor. The study employed a quantitative survey method through questionnaire to gather information from 388 customers who patronise informal retail businesses in Nigeria. Convenience sampling technique were adopted. Multiple regression analysis was explored to measure the level of value creation and innovation capability strategy effect on competitive advantage through customer satisfaction. The outcome of hypotheses tested revealed that innovation capability has a positive significant effect on competitive advantage with coefficient of β=.243, t-value= 4.761, and the p-value sig = 0.000, while customer satisfaction have a direct mediating effect on the entrepreneurial marketing strategy and competitive advantage with coefficient of β=.443, t-value= 6.266, and the p-value sig = 0.000. Whereas, value creation has no significant effect on competitive advantage indicating coefficient of β=.068, t-value= 1.464, and the p-value sig = 0.144 (above alpha 0.005). It is concluded that entrepreneurial marketing approaches could influence performance of informal retail businesses. Therefore, the study suggested that entrepreneurial marketing approaches should be explored by informal retail businesses to ensure customer satisfaction and build competitive advantage to facilitate business sustainability.
... Organizations deal with many key performance indicators (KPIs) in different areas. In recent years, organizational learning, knowledge creation, and innovation capability have emerged as the dominant factors of competitive advantage [3,4], pushed by the globalization phenomenon, always increasing competition [5] and a surge in terms of technology innovation [6] and progress [7]. Manufacturing businesses today must operate in a volatile environment of fierce competition, shrinking budgets, and intense price pressures. ...
Key Performance Indicators (KPIs) are nowadays a de facto standard for the majority of manufacturing companies using them to assess their production and business targets to drive their development. Recent digitalisation trends in the manufacturing sector enabled several business opportunities, in particular when it comes to data sharing among the stakeholders of the same supply chain. Several methodologies have been developed so far to properly design indicators from the perspective of business targets. Among these methodologies populating the literature, ECOGRAI is a consolidated approach to design KPIs starting from business objectives. In this work, an application of the methodology is proposed to define KPIs in the industrial marketplace domain meeting the business need of its stakeholders. This application required some adaptation with respect to the original methodology, and the further steps implemented (in particular, during the BOs evaluation) are documented in this manuscript, as well as are referenced the three application cases subject to the analysis, which brought to the identification of a total of 34 KPIs related to the different stakeholders involved with respect to their internal performance as well as with the platform demanded to the sharing of data among the different actors.
... For their stability and success, SMEs depend on continuously sustaining competitive advantage [5]. Many investigations have focused on organizational learning [6], inventive competence [7], entrepreneurial competency [8], and lean operations [9], and lean operations [9]. ...
In the modern digital era, SMEs have become one of the most important sectors within the economy, and they now face significant pressure to keep up with their competitors while incorporating sustainability into their operations, especially in Palestine. In this context, the role of digital literacy among managers in moderating SMEs' sustainable competitive advantage is paramount. This research investigates the possibility of adopting AI to enable SMEs in Palestine to achieve a sustainable competitive advantage. It explores how the AI-driven approach can optimize business processes, enhance decision-making, and fuel innovation under resource-constrained conditions. The study emphasizes the crucial role of digital literacy in ensuring the successful integration of AI technologies into the company's activities. This study will be critical in determining the drivers of AI adoption and the impact on Sustainable performance in Palestinian SMEs. A sample of 284 SMEs was drawn from the questionnaire using a simple random sampling technique. Data were analyzed using partial least squares-structural equation modeling to test the relationships among the exogenous, moderator, and endogenous variables. Empirical analysis shows that managers' digital literacy significantly enhances the effectiveness of AI adoption and is, therefore, instrumental in enabling SMEs to exploit AI for long-term sustainability and growth. These findings bring essential insights for policymakers and business leaders in developing targeted training programs to address the digital literacy gap and promote AI adoption in Palestinian SMEs.
... They are also expecting enhanced performance from their suppliers in multi-dimensions like quality, reliability, flexibility, innovation, green capability, etc., to achieve a competitive advantage (Routroy & Pradhan, 2013). Buying enterprises, in addition to the requirements that are the criteria for the initial and periodic assessment of suppliers, increasingly expect them to take actions focusing on continuous improvement of products and processes (Lookman, Pujawan, & Nadlifatin, 2023). These expectations are often based on the requirements of quality and environmental management standards and other continuous improvement concepts, such as Kaizen or Lean Management. ...
Purpose
This article aims to map the expectations of manufacturing companies towards suppliers in terms of implementing improvement activities. The article poses two research questions: RQ1: What kind of improvement of activities do the surveyed producers expect from their suppliers? RQ2: Do factors such as size, capital or implemented systems influence different assessments of the analyzed requirements toward suppliers?
Design/methodology/approach
The Computer Assisted Telephone Interview (CATI) technique was used to collect data. The sample consists of 150 producers (employing over 50 people) who were suppliers for enterprises from the automotive, electromechanical and chemical sectors operating in the Polish business-to-business (B2B) market. We analyzed 11 improvement activities, while their correlation structure was examined by exploratory factor analysis.
Findings
We have identified three latent factors – risk reduction, product innovation and increasing efficiency – which summarize the main expectations of manufacturing companies towards suppliers. Expectations for these factors are independent of the implemented management system, although the analysis showed higher expectations for product innovation in organizations with the implementation of Kaizen.
Originality/value
The article fills the research gap in the literature. The research results presented in the literature so far have focused on the expectations of enterprises towards suppliers in terms of meeting the criteria for their initial and periodic assessment. The research gap in the article is the result of empirical research presenting the expectations of manufacturers towards suppliers in terms of improving their processes. Based on the findings of the presented study, development trends and implications for managers responsible for purchasing processes and relationships with suppliers can be determined.
... Innovation is a source of organizational excellence . Firms' ability to innovate makes them more able to respond to dynamic complexities (Lookman et al., 2023) and provides the ability to create competitive performance compared with competitors (Alkhatib and Al-ghanem), leading to enhancing the competitive advantage (Alkhatib and Valeri, 2022). Firms having the capacity for technological innovation benefit from entering new markets that enhance their market share (Rehman et al., 2023) and enhancing organizational agility. ...
Purpose
This paper aims to empirically examine the impact of dynamic capabilities on Industry 4.0 capabilities in small and medium enterprises (SMEs) in Jordan. It also aims to examine the potential impact of industry 4.0 capabilities on technological innovation.
Design/methodology/approach
Data were collected from 210 respondents who work and own SMEs in Jordan. SmartPLS software based on the partial least squares-structural equation modeling approach was used to test hypotheses.
Findings
The findings reveal the positive effects of the three components of dynamic capabilities, including sensing, seizing and reconfiguring, on Industry 4.0 capabilities. They also confirm the positive effect of Industry 4.0 capabilities on technological innovation.
Originality/value
This study provides valuable practical implications and enriches the literature on the determinants of Industry 4.0 capabilities and its role in developing the dynamic capabilities of SMEs, such as technological innovation.
... Farida and Setiawan (2022) confirm the validity of the relationship in the construction and real estate industry, based on a case study of 150 SMEs, showing that by improving innovation capabilities, companies increase their competitive advantage. The same results were obtained by Lookman, Pujawan and Nadlifatin (2023) at the level of the trucking industry in Indonesia. Sener and Delican (2019) also analyzed the link between innovation and competitiveness both at the level of developed and developing countries, and their results highlighted unidirectional causality from ICT development index to the global competitiveness index, in the case of both categories of countries. ...
The purpose of this article is to analyze how digitalization can impact the level of competitiveness of those organizations that implement a digitalization strategy and to define the current situation in Romania in terms of the level of competitiveness at the international level and the main associated influencing factors. The research covers, first of all, the critical analysis of the current scientific literature on this topic. In the second part of the paper, we used econometric analysis, statistical data interpretation as well as descriptive analysis. The main results show, on the one hand, a positive and strong correlation between digitalization and competitiveness, and on the other hand the fact that Romania is far behind, in terms of international competitiveness, for reasons not exclusively related to digitalization. The article is a contribution to the specialized literature because it confirms some of the results obtained by other researchers regarding the relationship between innovation and business performance and at the same time proposes concrete measures to improve the level of competitiveness according to the main current issues that we have identified. Our study also presents possible practical implications, both for the academic environment, and for the policymakers and managers involved in the development of the Romanian business sector.
... Hence, they observed different sectors in the United States and found out that the pandemic preparedness of more prominent firms is better than the small ones. Lookman et al. (2023) discussed Indonesian trucking companies, yet their research only focused on competitive advantages and innovative capabilities. Our previous research discussed a comparative analysis of different sizes of Indonesian trucking companies (Sugianto et al. 2022a), did a comparative ...
... The innovative capability is the ability to transform, adopt and implement new ideas and knowledge and continuous processes, systems, products, and services for the company's strategic interests through innovative behaviours (Hurley and Hult 1998), (Lawson and Samson 2001), (Wang and Ahmed 2004), (Shou et al. 2016), (Yang 2012). Our earlier study suggested that innovative capability is influenced by market orientation (customer and competitor orientation), technological capability, and good supplier relationships (Lookman et al. 2023). This study aims to improve the innovative capability of a trucking company through action research. ...
Purpose
This study aims to investigate the relationship between internal environment of the Indian service sector organisations and innovative work behaviour of their employees. Additionally, it examines the influence of gender of the employees on this relationship.
Design/methodology/approach
Based on responses collected from 612 Indian service sector employees, the study examines the impact of the factors constituting internal environment, namely, management support (MS), work discretion/ autonomy (WD), rewards (R), time availability (TA) and organisational boundaries (OB) on their innovative work behaviour (IWB). Structural equation modelling has been used to study this relationship. To study the moderating role of gender, multi-group analysis has been used.
Findings
The results show that all the factors constituting the internal environment significantly predict innovative work behaviour. The moderating effect of gender is found with regard to the impact of management support, work discretion and time availability on innovative work behaviour. However, no moderating effect is seen regarding the impact of rewards and organisational boundaries on innovative work behaviour.
Practical implications
This study assists managers in understanding the factors which are the facilitators and inhibitors of innovative work behaviour among employees. It also aids them in tailoring their approaches towards male and female employees to increase their involvement in innovative activities.
Originality/value
The study offers insights into how gender diversity among employees affects the relation between the factors constituting the internal environment of their organisations and their innovative behaviour.
Abstract
This study explores how technological diversification affects financial performance in Iran’s insurance industry. Using semi-structured interviews with six experts, including CEOs and faculty members, key indicators of technological diversification were identified, such as new underwriting software and digital advertising platforms. A 33-item questionnaire was developed based on these insights and distributed to top managers of Iranian insurance companies, with secondary financial data sourced from the Central Insurance of Iran. The study employes regression analysis and Partial Least Squares Structural Equation Modeling (PLS-SEM) to assess the impact of technological diversification on financial performance, controlling for firm size, debt ratio, and company age. Findings indicate a significant negative relationship between technological diversification and both Return on Equity (ROE) and Return on Assets (ROA), suggesting that the costs of adopting new technologies may outweigh their short-term financial benefits. Additionally, high debt ratios were found to adversely affect ROA, highlighting the financial risks of excessive borrowing.
Keywords: technology; diversification; technological diversification; financial performance; insurance; Iran
JEL Classification: D21; G22; H11; O33
Ülke ekonomilerinin gelişmesi açısından önemli bir yere sahip olan rekabetçilik ve inovasyon 1970’lerden itibaren üzerinde çok durulmaya başlanan konular haline gelmiştir. Ekonomik performansın iyileşmesi için rekabetçi bir ekonomiye sahip olmak gerekir. Rekabetçiliği de güçlendiren en önemli etkenlerden biri inovasyon olarak kabul edilmektedir. Bu çalışmada verilerine ulaşılabilen Ekonomik Kalkınma ve İş birliği Örgütü (OECD) ülkelerinin rekabet ve inovasyon alanındaki performanslarının analiz edilmesi amaçlanmaktadır. Söz konusu alanlardaki performansı etkilediği düşünülen kriterler; Küresel Rekabet Endeksi (Global Competitiveness Index-KRE), yenilik belirleyicileri olarak da Ar-Ge harcamaları, toplam patent sayısı, işgücü verimliği ve araştırmacı sayısı şeklinde belirlenmiştir. Çok Kriterli Karar Verme (ÇKKV) yöntemi olan EDAS (Evaluation based on Distance from Average Solution) metodunun kullanıldığı çalışmada en güncel verilere ulaşılabilen yıl olan 2022 yılı verileri kullanılmıştır. Elde edilen ampirik bulgulara göre en iyi performansa sahip ülkenin Japonya olduğu ve bunu Amerika Birleşik Devletleri (ABD) ve Kore’nin izlediği tespit edilmiştir. Rekabet ve inovasyon konularının bir arada incelenmesi ve OECD ülkeleri özelinde EDAS metodu performans analizi yapılması yönüyle çalışmanın literatürdeki boşluğu dolduracağı düşünülmektedir.
This study aims to examine the impact of various innovation factors on the financial performance of banking sector. The key innovation factors considered include process innovation, product innovation, digital financial innovation, marketing innovation, and organizational innovation. Data for the research were collected from 220 managerial-level employees working in banks, Khyber Pakhtunkhwa, Pakistan. The data were analyzed using Partial Least Squares-Structural Equation Modeling (PLS-SEM). The findings of the current study reveal that Process innovation, product innovation, digital financial innovation, marketing innovation and organization innovation play a crucial role in enhancing the financial performance of banks. Additionally, these all variables are significant contributors to improving a bank's financial outcomes/performance. The research offers several policy implications for commercial banks in Pakistan, emphasizing the importance of the mentioned innovations to improve financial performance.
Penelitian ini bertujuan menganalisis pengaruh Orientasi Kewirausahaan, Orientasi Pemasaran, dan Kapabilitas Inovasi Organisasi terhadap Kinerja Pemasaran UMKM Penjual Sprei Bonita. Sebanyak 100 responden dari UMKM di Kelurahan Jurang Mangu Timur digunakan sebagai sampel dengan pengambilan data menggunakan kuesioner. Analisis jalur menggunakan STATA 14.0 digunakan untuk menganalisis data. Hasil penelitian menunjukkan bahwa Orientasi Kewirausahaan dan Kapabilitas Inovasi Organisasi memiliki pengaruh positif signifikan terhadap Keunggulan Bersaing UMKM Penjual Sprei Bonita. Meskipun demikian, Orientasi Pemasaran tidak memberikan pengaruh signifikan. Orientasi Kewirausahaan dan Orientasi Pemasaran juga berpengaruh positif signifikan terhadap Kinerja Pemasaran, sementara Kapabilitas Inovasi Organisasi tidak memberikan pengaruh yang signifikan. Keunggulan Bersaing terbukti memediasi pengaruh Orientasi Kewirausahaan, Orientasi Pemasaran, dan Kapabilitas Inovasi Organisasi terhadap Kinerja Pemasaran secara parsial. Temuan ini menyoroti peran penting Keunggulan Bersaing dalam menghubungkan faktor-faktor kewirausahaan, pemasaran, dan inovasi dengan hasil kinerja pemasaran UMKM Penjual Sprei Bonita.
p> This research analyzes the role of the Road Traffic and Transportation Law in increasing the competitiveness of trucking companies and also addressing violations committed. Transport companies are part of another company's supply chain. Not all trucking companies deal with the goods owner directly, some are through third-party intermediaries (brokers). Tiered transactions are the structure of this industry because there are several levels of parties between the carrier company and the owner of the goods. Field phenomena show that this condition has not yet been achieved. This research aims to discover existing problems with existing laws for future improvements. This research uses normative juridical methods by studying existing laws and conducting comparative studies. Secondary data is also used to obtain the desired results. The results show that current laws cannot increase competitiveness and optimally prevent violations committed by trucking companies. Therefore, future legislation must be able to solve this problem. </p
Despite the number of scientific developments related to the theory of competition and factors that affect the competitiveness of enterprises, the problem of their determination for enterprises of the transport and logistics system in the conditions of digitalization and rapid variability, uncertainty of the environment, remains relevant. Based on the theoretical studies of scientists in various fields, including transport and logistics, which relate to the impact of digitalization on the competitiveness of enterprises, it is determined that factors that comprehensively cover the possibilities of digitalization and the influence of VUCA and BANI of the world on enterprises and consumer behavior in the digital environment require further consideration. In the article, the theoretical definition of factors affecting the competitiveness of enterprises of the transport and logistics system was further developed, which, unlike the existing ones, comprehensively take into account such components as changes in technologies, equipment, enterprise management, consumer behavior, and marketing activities. Among the identified factors, considerable attention is paid to innovation, both in engineering and technology, and in enterprise management and marketing activities. An important place among the factors of competitiveness of enterprises is the stakeholder approach to management and marketing, which provides an opportunity to comprehensively take into account the interests of stakeholders, among whom the main ones are consumers of transport and logistics services. Changes in their behavior in the modern world are considered. Factors related to the internal management system that affect the competitiveness of enterprises are also determined. Thanks to a comprehensive approach to determining competitiveness factors and changes occurring in the digital environment, enterprises of the transport and logistics system will be able to form their strategy and tactics in certain aspects, which will increase the level of their competitiveness. The results of the study provide an opportunity to further systematize and detail the factors that affect the competitiveness of enterprises of the transport and logistics system and affect the sustainability of the enterprise in conditions of rapid changes.
A Torre de Controle Logística proporciona uma visibilidade completa para as empresas ao longo da cadeia de suprimentos e do transporte. Isso simplifica a identificação de problemas e oportunidades de aprimoramento no mercado. Os impactos negativos podem ser prontamente solucionados e vantagens competitivas podem ser criadas. O objetivo deste trabalho é detalhar o conceito e os benefícios da Torre de Controle Logística, bem como apresentar as três possíveis abordagens para a implementação desse sistema em empresas e analisar seus motivadores: visão 1 empresa que desenvolveu internamente esse monitoramento; visão 2 empresa que comercializa e implementa esse sistema para outras empresas e visão 3 empresa que está no estágio inicial do projeto de implantação e busca a parceria com uma consultoria especializada.
Automation in ports improves the safety and efficiency of port operations, allowing for more effective planning. Digital twin (DT) technology enables more effective use of autonomous technologies and supports the capacity for rapid assessment and instant decision-making. The integration of these two transformative technologies can create a more sustainable, efficient, and secure port ecosystem by automating port operations and enhancing them through simulations. A port's eligibility for maritime autonomous surface ships (MASS) depends on digital transformation and infrastructure obligations. The transformation of the ports and ships is expected to play an important role in port operations. This chapter addresses the potential and challenges of DT and autonomous technologies in the maritime industry and aims to provide a deeper understanding of their applications in this industry. The chapter provides valuable insights into the future efficiency, safety, and sustainability of ports and ships, two critical components in the maritime industry.
The study aims to examine the adoption of Industry 4.0 technologies in the transportation industry and their impact on enhancing sustainability. A systematic literature review was conducted to identify the application and impact of Industry 4.0 in the transportation industry within the context of sustainability. The results showed that Industry 4.0 technologies have significantly contributed to sustainability in the transportation sector. Blockchain technology. Internet of Things (IoT). Artificial intelligence (AI), big data analytics (BDA), Radio Frequency Identification (RFID), Global Positioning System (GPS), and the use of robotics and sensors are found to be the most prominent technologies used in the transportation industry. The results also indicated some key challenges which include higher investment costs, cyber security threats, technological integration, and insufficient qualified and skilled human resources. The study provides valuable insight to businesses and policymakers. Industry 4.0 technologies have the crucial potential to resolve transportation and logistics disruptions and improve sustainable performance. Future studies could investigate to fully understand the long-term effects of Industry 4.0 on sustainability in the transportation sector and the potential for new technologies to further improve transportation systems and explore the barriers to adopting Industry 4.0 technologies in different contexts.
This chapter introduces the term ''interpreneurship'' to refer to entrepreneurship that occurs through inter-organizational alliances, which represent a salient vehicle for combining complementary resources and capabilities across firms in order to gain a competitive advantage. The interpreneurship concept implies the integration of internal (firm) and external (network) resources through alliance formation and management. The purpose of this research is to introduce social structure to the rational action paradigm by examining the complementarity of $
Trucking companies are important part of supply chains, as they connect most of product movements. While a lot of studies have been done to assess supply chain maturity level, very limited studies have been done to specifically address trucking companies. In this study we develop a model and measurement instruments to assess maturity of trucking companies in terms of their innovative capabilities. Innovative capabilities are critical in today's fast technological development such as industry 4.0 and trucking companies have opportunities to use those technologies to play a better role in the supply chain they involve in. We then use the instruments to assess the maturity level of 52 companies that involved in transporting goods using trucks. The results show that the maturity level has a widespread, ranging from the lowest to the highest level, but most of them are in the category of partial maturity to mature. This indicates that most companies have an opportunity to improve their innovative capabilities.
The potential of big data analytics in enabling improvements in business processes has urged researchers and practitioners to understand if, and under what combination of conditions, such novel technologies can support the enactment and management of business processes. While there is much discussion around how big data analytics can impact a firm's incremental and radical process innovation capabilities, we still know very little about what big data analytics resources firms must invest in to drive such outcomes. To explore this topic, we ground this study on a theory-driven conceptualisation of big data analytics based on the resource-based view (RBV) of the firm. Based on this conceptualisation, we examine the fit between the big data analytics resources that underpin the notion, and their interplay with organisational contextual factors in driving a firm's incremental and radical process innovation capabilities. Survey data from 202 chief information officers and IT managers working in Norwegian firms are analysed by means of fuzzy set qualitative comparative analysis (fsQCA). Results show that under different combinations of contextual factors the significance of big data analytics resources varies, with specific configurations leading to high levels of incremental and radical process innovation capabilities.
Purpose
The purpose of the paper is to present an empirical study on the logistics innovation capability and its impacts on the supply chain risk in the Australian courier firms. Based on the resource-based review, logistics innovation capability provides valuable insight into mitigating supply chain risks in the Industry 4.0 era.
Design/methodology/approach
The research model focuses on the relationships between logistics innovation capability and supply chain risk. Partial least squares approach for structural equation modelling is used to validate the research model by empirically analysing survey data.
Findings
The empirical result shows negative relationships between logistics innovation capability and supply chain risks. These relationships may imply that firms can mitigate the negative impacts of supply chain risks by developing logistics innovation capabilities. The findings demonstrate the applicability of logistics innovation capability for mitigating supply chain risks in the Australian courier firms.
Originality/value
There are very few empirical studies on the mitigating supply chain risk through logistics innovation capability. The empirical results provide an insight into innovation management and risk management in logistics and supply chain. This insight offers practical guidance for developing and deploying logistics innovation capability to support and enable supply chain risk management strategies in the Industry 4.0 era.
Purpose-The research aims to analyse the impact of Industry 4.0 implementation on supply chains and develop an implementation framework by considering potential drivers and barriers for Industry 4.0 paradigm.
Design/methodology/approach-A critical literature review is performed to explore key drivers and barriers for Industry 4.0 implementation under four business dimensions: strategic, organizational, technological, and legal & ethical. A system dynamics model is later developed to understand the impact of Industry 4.0 implementation on supply chain parameters, by including both the identified driving forces and barriers for this technological transformation. The results of the simulation model are utilised to develop a conceptual model for a successful implementation and acceleration of Industry 4.0 in supply chains. Findings-Industry 4.0 is predicted to bring new challenges and opportunities for future supply chains. The study discussed several implementation challenges and proposed a framework for an effective adaption and transition of Industry 4.0 concept into supply chains. Practical implications-The study is expected to benefit supply chain managers in understanding the challenges for implementing Industry 4.0 in their network. Originality/value-Simulation analysis provides examination of Industry 4.0 adoption in terms of its impact on SC performance and allows incorporation of both the drivers and barriers of this technological transformation into the analysis. Besides providing an empirical basis for this relationship, a new conceptual framework is proposed for Industry 4.0 implementation in supply chains.
Considering the crucial role Information Technology (IT) plays in achieving performance improvements in business processes, this paper aims to explore the potential impact of the fourth industrial revolution – Industry 4.0 and its associated technological advances on Supply Chain (SC) performance. This study is exploratory research, conducted based on inductive reasoning, which aims to bring new insights into the topic, and to provide forward-thinking for future research. Hence, through conducting a systematic literature review, the paper attempts to explore the impact of Industry 4.0 on SC performance and to conceptualise and develop findings into an operational framework underpinned by Systems Theory. Based on this research, the application of Industry 4.0-enabling-technologies is expected to bring about significant performance improvements in SCM by enabling a holistic approach towards supply chain management resulting from extensive supply chain integration as well as information sharing and transparency throughout the supply chain. Moreover, these technologies allow for huge performance improvements within individual supply chain processes such as procurement, production, inventory management and retailing through enabling process integration, digitisation and automation, and bringing about novel analytical capabilities.
Trust is essential to maintaining secure collaboration in an uncertain competitive market environment in Indonesia. However, low levels of trust are proving to be a challenge for rival Indonesian truckload and less-than-truckload companies to establish long-term horizontal collaborations. This paper aims to analyze the role of key enablers in the behavioural aspect of trust development within horizontal collaborations characteristic of a significant section of freight trucking transportation. Authentic industrial data in the form of Indonesian case studies and simulations were utilized to establish whether a partnership can prove successful in a simulation context before the initiation of actual collaboration.
en This study aims to investigate the relationship between knowledge sharing, absorptive capacity, innovation capability and competitive advantage in Hong Kong Higher Education Industry. A theoretical framework was developed to examine the relationship between knowledge sharing and competitive advantage, mediated by absorptive capacity and innovation capability. A questionnaire was used to survey a randomly selected sample of academics from higher education institutions in Hong Kong. A total of 166 usable responses were received and analysed. PLS‐SEM was utilised to test the hypotheses in the theoretical model. The result exhibits that significant positive relationships were identified between knowledge sharing and absorptive capacity, between absorptive capacity and innovation capability and between innovation capability and competitive advantage. Practically, senior management from higher education institutions should develop strategic measures, especially on knowledge sharing, absorptive capacity and innovation capability, in order to gain competitive advantage. Policymakers could also develop policies to facilitate knowledge sharing among local and regional higher education institutions. This study contributes to existing literature by identifying the significant mediating role of absorptive capacity in the linkage between knowledge sharing and innovation capability and by strengthening the positive association between innovation capability and competitive advantage.
摘要
zh 本研究旨在探讨香港高等教育界的知识共享，吸收能力，创新能力和竞争优势之间的关系。本文建立了一个理论框架，以研究吸收能力和创新能力为中介的知识共享与竞争优势之间的关系。并以问卷调查的方式收到来自香港高等教育机构的随机抽取的166份有效问卷。透过PLS‐SEM的方法分析检验理论模型中的假设，研究结果表明：知识共享与吸收能力之间，吸收能力与创新能力之间，创新能力与竞争优势之间存在显着的正向影响关系。本研究提出实践中的启示：高等教育机构的高级管理人员应在知识共享，吸收能力和创新能力方面指定战略设施以获得竞争优势。政策制定者还可以制定政策，以促进地方和区域高等教育机构之间的知识共享。这项研究同时确定吸收能力在知识共享与创新能力之间的重要中介作用，以及通过加强创新能力与竞争优势之间的正向影响关系，为现有文献做出了贡献。
Full text available Open Access: doi.org/10.1016/j.pursup.2019.100558
Questions about the influencing factors and measurement of firms’ sustainability performance have attracted growing research interest, as the requirements for sustainability have steadily increased. This study examines whether supply management innovativeness and supplier orientation make positive impacts on firms’ overall sustainability performance. An empirical study based on a survey targeting large- and medium-sized manufacturing companies in Finland shows that innovativeness in supply management considerably influences a firm’s overall sustainability performance and that supplier orientation positively relates to sustainability performance. The benefits of innovativeness in supply management and strategic supplier orientation are directly realised in sustainability performance. Therefore, supply management is not only a gatekeeper against sustainability risks arising from the supply base but is also a function by which new ideas aiming to influence supply markets and firms’ sustainability are presented.
Purpose
In recent years, a new transformation known as Industry 4.0 has drawn much attention throughout the world, and numerous investigations have fundamentally looked into the uprising concept. However, few have concentrated on the literature review. Taking this as motivation, the authors endeavored to assess the different attributes of Industry 4.0. The paper aims to discuss these issues.
Design/methodology/approach
This review concentrated on linking the articles from different database and distinguishing the attributes of Industry 4.0. The authors assessed 85 articles from scholarly database and peer-reviewed journals on Industry 4.0 through the selection of the Mayring (2004) procedure. The examination included a four-advance process, in particular, material gathering, engaging investigation, classification of the choice and material assessment.
Findings
The study backs experts and readers to comprehend the spread of Industry 4.0 in various ventures. For academicians, this gives an extensive rundown of Industry 4.0 attributes. Besides, the writing review gives a chance to comprehend the idea of Industry 4.0 in detail. Further, the outcome aggregates the success factor, failure factor, business model, potential and difficulties in the context of Industry 4.0.
Research limitations/implications
Many areas such as supply chain, circular economy and healthcare have started exploring Industry 4.0. However, few specific cases have reported about it, and no generic model is found for real-time application.
Practical implications
The study serves as reference material for researchers and practitioners to understand the spread of Industry 4.0 and utilize the concept of Industry 4.0 for real-life application.
Originality/value
The study focuses on reporting the potential, challenges, business model and pre-requites of Industry 4.0.
Purpose
The purpose of this paper is to explain the relationship between customer-oriented strategy (COS) and financial performance (FP) of firm, to examine the role of supportive human resource management (HRM) in COS implementation and contribution toward FP of firm. It also examines the mediating role of innovation capability (IC) between COS and FP of firm.
Design/methodology/approach
The approach used for this study is quantitative. Data required for testing of hypothesis were gathered from the managers of manufacturing firms of Gujranwala, Pakistan. To conduct the data analysis, structural equation modeling was used.
Findings
Findings of this study showed that there is significantly positive relation between COS and FP with the significant positive mediating effects of supportive HRM and IC.
Research limitations/implications
This research has been conducted in manufacturing sector only. So, it is suggested to future researchers to carry out this research in other sectors. Second, this research focused only on IC but there are many other organizational capabilities (OC) that can be used.
Practical implications
This research would be helpful for all firms adopting COS to understand that how to mobilize their HR to accomplish the purpose of strategy. It will enable manufacturing firms to understand and work on IC.
Originality/value
This study is anticipated to add value to the existing literature of strategy process and OC. This study is one of the first to examine IC as mediator between COS and organizational FP so it opens new areas for research.
Drawing on the Resource-based view of firms and market orientation theory, this paper presents a complementary view of the influence of product innovation capabilities (PICs) on organization and product design pairings. By exploring the influence of three complementary factors; market orientation, organizational form, and managerial strategic decisions, as essential determinants for emergence of architectural pairings, we theorize that PICs lead to better; organization and product design pairings selection, unique customer benefits, market acceptance, significant cost reductions, and new products development, and consequently superior organizational performance. We propose in essence, that PICs significantly shape and determine the success of architectural pairings between organization and product designs, and act as a source of sustainable competitive advantage for organizations. We further identify scope for future research to evaluate measures and validity of product innovation capability dimensions, and the extent of influence of the identified factors on architectural pairings.
Collaborative culture and innovation are broadly recognized as the crucial antecedents of creating competitive advantage for firms. However, the research on how collaborative culture connects with innovation to enhance firm’s competitive advantage is still sparse and limited. To clarify these relations, this study uses structural equations modeling (SEM) based on data collected from 265 manufacturing and service firms in Vietnam to explore the correlation between collaborative culture, innovation and competitive advantage. The result indicates that collaborative culture has significant effects on both innovation capability and competitive advantage. In addition, innovation capability acts as the mediator between collaborative culture and competitive advantage. The findings of this study provide useful guidelines for both scholars and practitioners in identifying the effective way to increase competitive advantage for firms.
The performance of the logistics service supply chain (LSSC) is not only affected by external demand changes, but also by the decision-making behaviours of LSSC members, including logistics service integrators (LSI) and functional logistics service providers (FLSP). This paper establishes a structural equation model for assessing the relationships among demand updating, decision-making behaviours and supply chain performance. The model is validated by questionnaire data from China using the SmartPLS method. There are many important conclusions. Firstly, demand updating acting as an intermediary variable does not have a direct impact on supply chain performance. Secondly, demand updating has a more positive impact on LSI than FLSP. Meanwhile, LSI has a positive impact on FLSP’s behaviours. Thirdly, the contribution of LSI’s behaviours towards improving the supply chain performance is only slightly greater than that of FLSP. Therefore, LSI should focus on improving its own behaviours to avoid being overtaken by FLSP.
Manufacturing industry profoundly impact economic and societal progress. As being a commonly accepted term for research centers and universities, the Industry 4.0 initiative has received a splendid attention of the business and research community. Although the idea is not new and was on the agenda of academic research in many years with different perceptions, the term “Industry 4.0” is just launched and well accepted to some extend not only in academic life but also in the industrial society as well. While academic research focuses on understanding and defining the concept and trying to develop related systems, business models and respective methodologies, industry, on the other hand, focuses its attention on the change of industrial machine suits and intelligent products as well as potential customers on this progress. It is therefore important for the companies to primarily understand the features and content of the Industry 4.0 for potential transformation from machine dominant manufacturing to digital manufacturing. In order to achieve a successful transformation, they should clearly review their positions and respective potentials against basic requirements set forward for Industry 4.0 standard. This will allow them to generate a well-defined road map. There has been several approaches and discussions going on along this line, a several road maps are already proposed. Some of those are reviewed in this paper. However, the literature clearly indicates the lack of respective assessment methodologies. Since the implementation and applications of related theorems and definitions outlined for the 4th industrial revolution is not mature enough for most of the reel life implementations, a systematic approach for making respective assessments and evaluations seems to be urgently required for those who are intending to speed this transformation up. It is now main responsibility of the research community to developed technological infrastructure with physical systems, management models, business models as well as some well-defined Industry 4.0 scenarios in order to make the life for the practitioners easy. It is estimated by the experts that the Industry 4.0 and related progress along this line will have an enormous effect on social life. As outlined in the introduction, some social transformation is also expected. It is assumed that the robots will be more dominant in manufacturing, implanted technologies, cooperating and coordinating machines, self-decision-making systems, autonom problem solvers, learning machines, 3D printing etc. will dominate the production process. Wearable internet, big data analysis, sensor based life, smart city implementations or similar applications will be the main concern of the community. This social transformation will naturally trigger the manufacturing society to improve their manufacturing suits to cope with the customer requirements and sustain competitive advantage. A summary of the potential progress along this line is reviewed in introduction of the paper. It is so obvious that the future manufacturing systems will have a different vision composed of products, intelligence, communications and information network. This will bring about new business models to be dominant in industrial life. Another important issue to take into account is that the time span of this so-called revolution will be so short triggering a continues transformation process to yield some new industrial areas to emerge. This clearly puts a big pressure on manufacturers to learn, understand, design and implement the transformation process. Since the main motivation for finding the best way to follow this transformation, a comprehensive literature review will generate a remarkable support. This paper presents such a review for highlighting the progress and aims to help improve the awareness on the best experiences. It is intended to provide a clear idea for those wishing to generate a road map for digitizing the respective manufacturing suits. By presenting this review it is also intended to provide a hands-on library of Industry 4.0 to both academics as well as industrial practitioners. The top 100 headings, abstracts and key words (i.e. a total of 619 publications of any kind) for each search term were independently analyzed in order to ensure the reliability of the review process. Note that, this exhaustive literature review provides a concrete definition of Industry 4.0 and defines its six design principles such as interoperability, virtualization, local, real-time talent, service orientation and modularity. It seems that these principles have taken the attention of the scientists to carry out more variety of research on the subject and to develop implementable and appropriate scenarios. A comprehensive taxonomy of Industry 4.0 can also be developed through analyzing the results of this review. © 2018, Springer Science+Business Media, LLC, part of Springer Nature.
Purpose
Over time, technological intensity has been used as a proxy for innovation capability of firms in an industrial sector. However, not only firms belonging to the stratum of high technological intensity are able to innovate. Therefore, this study aims to explore a potential association between technological intensity and innovation capability in firms from different industrial sectors, using the Organization for Economic Cooperation and Development (OECD)’s classification and the components of innovation capability proposed by Zawislak et al. (2012, 2013).
Design/methodology/approach
The authors conducted an exploratory research with four case studies focusing on the innovation capability of Brazilian firms.
Findings
The results show that the four firms, each belonging to one stratum of technological intensity, have innovation capability, and the differences regarding this feature can be explained by the balance and development of all firms’ capabilities (technological, operational, managerial and transactional).
Originality/value
In the literature, studies that relate technological intensity and innovation capability are scarce. Therefore, the originality of this research is to relate these two concepts. The most important is that firms can be innovative regardless of their stratum of technological intensity, which shows the importance of other capabilities to ensure the innovation’s success.
This paper investigates whether advanced manufacturing technologies (AMT) can modify the patterns of upgrading in manufacturing subsidiaries operating in FDI hosting factory economies. Does the digital transformation of local manufacturing engender the accumulation of local technological and R&D capabilities, or the beneficial impact of AMT remains confined to production capability? Analysis is based on primary data collected through in-depth interviews with a sample of high-flying manufacturing subsidiaries in Hungary, complemented with interviews with AMT providers. We find that AMT have spectacularly improved all components of production capability. AMT redefined the boundaries of production activities and incited a fusion of selected technological activities in production activities. AMT deployment has automated selected tacit knowledge-intensive technological activities, making the related subsidiary-level capabilities obsolete. Conversely, other local technological activities have become more knowledge-intensive than before. AMT propelled the upgrading of subsidiary-level R&D capabilities by supporting specific R&D activities and by acting as enabler of innovation collaboration. AMT created an integrated development environment and thus reduced the risks related to the decentralisation of R&D. Altogether, AMT adoption contributed to subsidiary R&D capability becoming ‘revealed’ and further upgraded through learning by doing.
Digitization and intelligentization of manufacturing process is the need for today’s industry. The manufacturing industries are currently changing from mass production to customized production. The rapid advancements in manufacturing technologies and applications in the industries help in increasing productivity. The term Industry 4.0 stands for the fourth industrial revolution which is defined as a new level of organization and control over the entire value chain of the life cycle of products; it is geared towards increasingly individualized customer requirements. Industry 4.0 is still visionary but a realistic concept which includes Internet of Things, Industrial Internet, Smart Manufacturing and Cloud based Manufacturing. Industry 4.0 concerns the strict integration of human in the manufacturing process so as to have continuous improvement and focus on value adding activities and avoiding wastes. The objective of this paper is to provide an overview of Industry 4.0 and understanding of the nine pillars of Industry 4.0 with its applications and identifying the challenges and issues occurring with implementation the Industry 4.0 and to study the new trends and streams related to Industry 4.0.
The drive towards Logistics 4.0 as an element of Industry 4.0 gives possibilities for new business models. Instant information exchange, automated solutions and real-time big data analysis are among the features of Logistics 4.0 paving the way for new business models. The role and importance of information are changing as we can see today. The demand for sustainability of business creates on the other hand new requirements to the operations of manufacturing and logistics. This paper addresses these challenges, illustrates current trends, and offers a model to understand and relate the different elements of business operations.
During the last decade, the use and evolution of Information and Communication Technologies (ICT) in industry have become unavoidable. The emergence of the Industry Internet of Things (IIoT) promoted new challenges in logistic domain, which might require technological changes such as: high need for transparency (supply chain visibility); integrity control (right products, at the right time, place, quantity condition and at the right cost) in the supply chains. These evolvements introduce the concept of Logistics 4.0. In this paper, it is presented some reflections regarding the adequate requirements and issues enabling organizations to be efficient, and fully operational in Logistics 4.0 context.
Trucking occupies the largest Indonesian transportation market share, making this sector a crucial contributor to the Indonesian supply chain. Any problem in freight transportation impacts the entire supply chain. This study explores how trucking companies were affected by the COVID-19 pandemic and what factors contributed to their resilience. A total of 190 Indonesian trucking companies were involved in this research. This study demonstrates that trucking companies’ performance was significantly affected by both the COVID-19 pandemic and companies' resilience. Their resilience was affected by various factors, including the adoption of digital technologies, strength of financial resources, risk and business continuity management, and relationships with customers. Even though financial resource management directly affected company performance, the effect was more significant when company resilience was a mediating factor between financial resources management and company performance. Hence, survival frameworks and managerial action should emphasize these factors to enhance company resilience and performance. However, successful application of this in the trucking industry still requires further exploration.
The innovative capability is a unique resource that enable companies
to deliver a superior performance. It is also an essential resource
to have for trucking companies, but not many studies have
addressed this issue, especially in the service sector. This study
investigates the factors influencing the trucking company’s innovative
capability, including market orientation and supply chain
relationships through a case study. The factors and their indicators
were obtained through extensive literature review. These factors
were validated through the interview involving executives from
five trucking companies. The study reveals that all the indicators obtained from the literature were considered valid and will therefore
be used to develop survey instruments.
With increasing demand volatility, companies must develop flexibility at multiple supply-chain stages, including in transportation. One method for doing this is combining long-term contract carriers with on-demand sourcing of transportation capacity from the spot market. In line with the growth of online riding services, on-demand sourcing for trucking services is now emerging. This study investigates mixing contract-based and on-demand sourcing for transportation services in the currently uncertain transportation supply. We describe the uncertainty stemming from the contract market’s rejection rate, the variability in terms of truck availability and response times, and the prices offered on the spot market. The situation is modelled using a discrete-event simulation approach to capture the complexity of the system. Our experiment indicates that greater reliance on the spot market could result in a better fill rate but lower delivery punctuality and higher transportation costs. The decision to mix contract-based and on-demand sourcing should consider uncertainty factors on the supply side, including (i) the rejection rate from contract-based carriers, (ii) the availability and waiting times for services from the spot market, and (iii) price uncertainty in the spot market.
Purpose
The purpose of this paper is to propose a new integrated model that combines the concepts of network ties (e.g. political ties and business ties), the organization of internal critical attributes (such as social capital, human capital and innovation capability) and analyses of how those critical attributes influence organization performance and competitive advantage.
Design/methodology/approach
A structural equation model and three-way interactions in moderated multiple regressions was used to test the hypotheses on a sample of 621 cultural and creative industry (CCI) managers in Taiwan.
Findings
The results indicate that human capital mediates the relationship between social capital and innovation capability. Furthermore, innovation capability also plays a mediating role in connecting the relationships between human capital, competitive advantage and organizational performance. The findings indicate that business ties strengthen the relationship between social and human capital. The level of human capital is at its peak when social capital, business ties, and political ties considerably interact with one another.
Research limitations/implications
The present study conceptualized the topic and systematized the questionnaire design and data collection, statistical analysis, and report writing. This study performs a systematic analysis to present the research but does not employ in-depth qualitative interviews to analyse the essential attributes of the different entrepreneurial styles. In-depth interviews enable the interviewees to completely depict their feelings, experiences, motivations, emotions and attitudes. Thus, this method can provide an in-depth analysis. Studies can be conducted to analyse the complexity of the processes involved.
Practical implications
This study determines and emphasizes that networking with various factors to create innovation is the key to enhancing competitive advantage and organizational performance. Innovation is a unique characteristic and a basic kinetic energy that affects various strategic organizational behaviours that positively influence competitive advantage and facilitate organizational performance. Hence, CCI firms need to consider market orientation and innovation in this highly competitive environment.
Originality/value
To the best of the knowledge, how CCI firms use networking sources to create competitive advantage and organizational performance, thereby promoting the development of the CCIs of Taiwan, has not been analysed in the tourism-related literature. Thus, the present study provides a significant contribution to the human capital literature, in which empirical research analyses the three-way interaction and demonstrates the empirical insights that may be used to study human capital. The findings reported in this study will encourage future researchers to employ multilevel human capital perspectives.
Today's business environment is filled with fierce competition, rapid technological changes and market uncertainty. For survival, organizations have no option but to embrace innovation both in their processes and product. Performance of innovative capabilities depends on the speed and quality of new product and processes. Contingent resource-based view is used in this study to understand the effect of innovative capabilities on various functional performances. Data was gathered from 115 senior-level managers working in engineering or marketing department of manufacturing firms. PLS-SEM is used for outer and inner measurement model validation. Results of this study reveal that process innovation and product innovation complements each other for improving innovation speed and quality. Moreover, in the case innovative products, manufacturing performance is a key to enhance marketing performance and firm competitive capabilities. This research provides various new insights for the research and development concerns and marketer for developing a successful case of introducing a new product in the market.
Purpose
The purpose of this study is to introduce a unified framework, which integrates knowledge management (KM) (knowledge acquisition, diffusion and application, knowledge from a customer, knowledge about customers and knowledge for customers), customer relationship management (CRM) success (information sharing, customer involvement, long-term partnership, joint-problem solving and technology-based CRM) and innovation capabilities (ICs) (product innovation, process innovation, marketing innovation, service innovation and administrative innovation). Then empirically test the effect of KM on CRM success, the effect of CRM success on IC and the impact of KM on IC through the mediator.
Design/methodology/approach
Statistical techniques used included confirmatory factor analysis and structural equation modeling using AMOS to test the hypotheses.
Findings
The results show that KM influences CRM success, which, in turn, affects IC and KM impacts IC through CRM success.
Research limitations/implications
The study uses data provided by only one key informant per firm, which could involve a degree of subjectivity. This study is cross-sectional, which prevents us from examining the evolution over time of the phenomenon under investigation.
Practical implications
If organizations fully comprehend KM and CRM, they would be able to implement them successfully, creating value for their companies and fostering IC.
Originality/value
The existing research on CRM and KM is primarily conceptual and descriptive in nature and empirical research confirming the real impact of KM processes when developing a CRM innovation is lacking. The relationship between ICs and CRM has not been adequately studied. Hence, this study introduces a conceptual framework, which integrates KM, CRM, ICs and empirically tests the relationships among them.
Purpose
The purpose of this paper is to understand the impact of dynamic capabilities (DC) (in the view of exploration and exploitation) on competitiveness and performance, considering the mediating role the innovation capability (IC) and branding capabilities (BC)on competitive advantage and firm’s performance and the moderating role of entrepreneurial orientation (EO).
Design/methodology/approach
This investigation proposes a theoretical model tested using structural equation modelling (SEM). Multi-group analysis was performed to understand the moderating role of. A questionnaire survey was developed to explore the relations between DC and innovation variable. For this study, 387 valid questionnaires were collected from a sample of Portugal SME’ firms. A 90-item questionnaire which consists to study the relationships among all the variables.
Findings
The results show that exists a positive direct and indirect influence of DC on competitive advantage and performance variables and mediating impact the IC and BC.
Research limitations/implications
This study has some methodological limitations affecting its potential contributions. As a cross-sectional study that captures one image in time, its ability to identify strict causality between variables is limited. Furthermore, the results are based on log collected from a key respondent, rather than broader actual data. The results are restricted to one country, Portugal. Some variables, such as ICs, may play a different role in other countries. Future research should initially target different countries. Such research could then test the generalizability of the results.
Practical implications
This study has important implications for the managers. It highlights the necessity of firms to develop superior strategic orientation of all their members and to invest in better resources and consequently superior capabilities as a way of achieving high levels of firm performance. Another implication from the study is that the firms should develop their marketing programs by focusing on developing innovativeness.
Originality/value
This study contributes to the understanding of the indirect and direct impact of exploration and exploitation variables, and the mediating role of ICs and BC on the competitive advantage and performance and the moderating effect of EO.
This paper addresses the issue of transportation services sourcing using the mix of contract-based and on-demand sourcing. The model considers when the demand is fluctuating following a seasonal pattern. The discrete-event simulation has been used to identify the appropriate mix and the effect of the demand fluctuation measured by three performance indicators: product fill rate, shipment reliability, and truck utilisation. A set of experiments have been conducted to demonstrate the effect of various factors on the performance of transportation sourcing. The experiments show that more on-demand sourcing improves the product fill rate but worsens the shipment reliability and the truck utilisation. The results also show that the performance indicators are worsening as the demand becomes more fluctuated.
Purpose
Grounded on resource-advantage (R-A) theory, the purpose of this paper is to investigate how customer orientation, as a higher-order or interconnected operant resource, enhances firm performance through creativity capability (i.e. idea generation and problem solving) and innovation capability (i.e. the implementation of creative ideas) – among firms of different sizes and within different market contexts. The authors conceptualize customer orientation as a firm’s capacity to create and deliver superior customer value through the processing of market intelligence, as demonstrated by the firm’s composite operant resources of market-sensing, customer-relating and customer-response capabilities.
Design/methodology/approach
Data were collected via qualitative in-depth interviews for scale development followed by a mail questionnaire survey for quantitative responses. A final sample size of 190 firms based in Thailand participated and the data were analyzed using structural equation modeling and bootstrapping multi-group comparisons to investigate the hypothesized mediation and moderation effects.
Findings
Customer orientation enhances organizational creativity and innovation capabilities, which improve firm revenue and financial performance. The relationships among customer orientation, creativity capability, innovation capability and firm performance vary depending on firm size, market dynamism and customer type.
Practical implications
Managers need to consider contextual factors, particularly firm size, market dynamism and the nature of their buyer markets as key contingencies in their resource deployment decisions intended to develop customer orientation and innovation capabilities.
Originality/value
This study advocates R-A theory by empirically revealing how different hierarchical resources within a firm are intertwined to provide firms with competitive R-A. The findings further highlight a contingent nature of customer orientation–innovation–performance relationships among firms in an emerging economy.
The study aims to examine the potential relationship between public health expenditures, logistics performance indices, renewable energy, and ecological sustainability in Association of Southeast Asian Nations member countries. The study used secondary data, which downloaded from the World Bank website and tested for hypotheses using the structural equation modeling. The results show that the use of renewable energy in logistics operations will improve environmental and economic performance to reduce emissions, whereas environmental performance is negatively correlated with public health expenditures, indicating that greater environmental sustainability can improve human health and economic growth. The results also show that increased public health spending and poor environmental performance undermine economic growth in low efficiency and low labor productivity, thus reducing the speed of economic activity. On the other hand, the use of renewable energy in logistics cannot only improve the sustainability of the environment but also create a better national image and provide better export opportunities in environmentally friendly countries to promote sustainable economic growth. The outcomes of this study will help the policy/decision makers to make the proper planning to their investments for achieving sustainable economic growth.
Purpose
Over the last few decades, some researchers have analysed the role of total quality management (TQM) as a precursor of innovation. However, the relationship between TQM and organisational innovation remains unclear and contradictory. The purpose of this paper is to provide a framework intended to clarify the complex effect that the implementation of a TQM system has on organisational innovation, where market orientation (MO) and knowledge management (KM) play a mediator role.
Design/methodology/approach
Data in this study come from a survey of 706 Spanish CEOs. The results were analysed employing structural equation modelling to determine how TQM, MO and KM influence innovation.
Findings
The results of the empirical study show that there is a curvilinear effect between TQM and organisational innovation. Both MO and KM perspectives play a mediator role between TQM and innovation.
Practical implications
Managers should be aware that management based on TQM help organisations not only to get higher quality but also to be market oriented and better manage their knowledge; what will help them to develop innovations.
Originality/value
This research sheds light on the question of the relationship between TQM and organisational innovation that has received mixed conclusions in the literature. There is evidence in this research that the relationship between TQM and innovation responds to a curvilinear relationship, where high levels of TQM favour a more than proportionate effect on the development of innovation. It also clarifies the mechanisms by which this effect is produced, with MO and KM as mediator variables.
The recent increase in the number of products returned from customers to retailers, supported by the adoption of environment-friendly policies, has led to a growing need to manage backward materials and information flows in the supply chain (SC) domain. Although numerous authors are contributing towards circular economy (CE) with end-of-life (EoL) approaches minimizing the negative impact of Waste Electric and Electronic Equipment (WEEE), the information infrastructure behind SC calls for novel approaches based on Information and Communication Technologies (ICT). In fact, this is one of the major challenges for the so-called Industry 4.0, where wireless technologies governed by the Internet of Things (IoT) are expected to transform the industry as currently conceived. The present work proposes an end-to-end solution for Reverse Supply Chain Management (R-SCM) based on cooperation between different IoT communication standards, enabling cloud-based inventory monitoring of WEEE through embedded sensors. A case study was deployed using IoT devices and sensors, carrying out a set of experimental tests focused on wireless communications to evaluate its performance. The network configuration adopted overcomes the near real-time challenge and provides sufficient coverage to interconnect industrial areas such as warehouses or shop floors. The results point to different communication bottlenecks that need to be addressed in order to enhance the reliability of large-scale Industrial IoT (IIoT) networks.
The Fourth Industrial Revolution – also known as Industry 4.0 (i4.0) – comprises the digitalisation of the industrial sector. This paper uses the theoretical lens of supply chain innovation (SCI) to investigate the implications of i4.0 on supply chain management. For these purposes, the method of structured content analysis is applied to more than 200 use cases of i4.0-enabled SCI introduced by both established and startup companies. i4.0-enabled SCI manifests along three dimensions: process, technology, and business architecture. The key findings of this study can be summarised as follows: first, i4.0-enabled SCI extends the initial focus on productivity improvements in SC processes towards scalability and flexibility. Second, extant i4.0 solutions rely mostly on analytics and smart things while omitting smart people technology and the human-centric approach associated with the i4.0 paradigm. Third, established companies adopt i4.0 merely to sustain their existing business architectures while startup companies radically change their operating models, relying heavily on data analytics and the platform economy. Consequently, established companies pursue a problem-driven, engineering-based approach to SCI while startup companies follow an ‘asset-light’, business-driven approach. Lastly, there are two distinct approaches to digitalising operational SC processes: platform-based crowdsourcing of standard processes and on-demand provision of customised services.
This study aims to examine the effect of absorption capacity and self-efficacy on knowledge sharing behavior in improving the SMEs’ innovation capability. The sample of this study was 106 SMEs in Central Java. Primary data collection is done by using questionnaire and interview instruments. The results showed that absorption capacity had a significant effect on knowledge sharing behavior and innovation capability. In addition, self-efficacy has a significant effect on knowledge sharing behavior and innovation capability, while Knowledge sharing behavior has a significant effect on innovation capability.
This study investigates how entrepreneurial competencies at the individual level and firm performance at the organisational level are mediated by organisational innovation capabilities. Prior studies show mixed results for the relationship between entrepreneurial competencies and firm performance, perhaps because of the omission of potentially mediating variables. The results show that the indirect effects of entrepreneurial competencies through organisational innovation capabilities are much stronger than their direct effects on competitive advantage. Organizational innovation capabilities are required for the sustainability of a firm’s superior position, mediating the relationship between entrepreneurial competencies and competitive advantage.
Some scholars hold that dynamic capability (hereinafter DC) is one of the keys to achieving competitive advantage (hereinafter CA) and consequently, performance in strategic management. However, the definition and effects of DCs and the role of environmental dynamism are still under discussion. In the context of a Portuguese-like economy and from a strategic process perspective, this study defines dynamic capability as the potential to systematically solve problems, enabled by its propensity to sense opportunities and threats, to make timely decisions, and to implement strategic decisions and changes efficiently, thereby ensuring the right direction. Moreover, the ambidexterity view, exploring the indirect impact of exploitative and explorative capabilities, mediated by creativity and innovation competences (hereinafter IC) gives evidence of the influence on CA and firm's performance. Using an empirical study of 387 enterprises in Portugal, it was found that DCs, creativity and IC do significantly, positively, affect performance, while entrepreneurial orientation (hereinafter EO) is a moderator.
The application of emerging collaborative digital technologies enhanced firms’ collaborative innovation and firm performance. This paper examines the drivers of collaborative innovation capability, and its effects on the digital collaboration capability. Based on the technology-push and need-pull perspective as well as operational capability hierarchy view, we proposed the model of antecedents and outcomes of higher-level operational capability, such as collaborative innovation capability. We tested the research hypotheses using a field survey of 184 Chinese corporations. The research model was validated using hierarchical regression analysis with the data collected from the survey data. The results provide strong support for the proposed research model. In particular, we found that as hypothesized, the fit of platform technology and collaborative business need is the critical driver of collaborative innovation capability. Furthermore, the higher-level operational capability (i.e., collaborative innovation capability) impacts on the lower-level operational capability (i.e., digital collaboration capability). Especially, the impact of the fit on digital collaboration capability is completely mediated by collaborative innovation capability. By integrating the technology-push and need-pull perspective as well as operational capability hierarchy literature, this paper provides significant implications for antecedents and outcomes of collaborative innovation capabilities under the platform collaboration environment.
Considerable progress has been made in identifying market-driven businesses, understanding what they do, and measuring the bottom-line consequences of their orientation to their markets. The next challenge is to understand how this organizational orientation can be achieved and sustained. The emerging capabilities approach to strategic management, when coupled with total quality management, offers a rich array of ways to design change programs that will enhance a market orientation. The most distinctive features of market-driven organizations are their mastery of the market sensing and customer linking capabilities. A comprehensive change program aimed at enhancing these capabilities includes: (1) the diagnosis of current capabilities, (2) anticipation of future needs for capabilities, (3) bottom-up redesign of underlying processes, (4) top-down direction and commitment, (5) creative use of information technology, and (6) continuous monitoring of progress.
Research on market orientation and organizational learning addresses how organizations adapt to their environments and develop competitive advantage. A significant void exists in current models of market orientation because none of the frameworks incorporates constructs related to innovation. The authors present a conceptual framework for incorporating constructs that pertain to innovation in market orientation research. Some of the critical relationships in this conceptual framework are tested among a sample of 9648 employees from 56 organizations in a large agency of the U.S. federal government. The results indicate that higher levels of innovativeness in the firms’ culture are associated with a greater capacity for adaptation and innovation (number of innovations successfully implemented). In addition, higher levels of innovativeness are associated with cultures that emphasize learning, development, and participative decision making. The authors make recommendations for incorporating constructs related to innovation into research on market orientation and organizational learning.
In recent years, a market-oriented corporate culture increasingly has been considered a key element of superior corporate performance. Although organizational innovativeness is believed to be a potential mediator of this market orientation–corporate performance relationship, much of the evidence to date remains anecdotal or speculative. In this context, the authors present a systematic framework to test the postulated “market orientation–innovation–performance” chain. To this end, the direct causality assumption of market orientation on organizational performance is examined with Narver and Slater's (1990) market orientation framework. Moreover, the authors take a componentwise approach and examine how the three core components of market orientation (customer orientation, competitor orientation, and interfunctional coordination) affect the two core components of organizational innovativeness (technical versus administrative) en route to affecting corporate performance. Using banking industry data, the authors empirically test and substantiate innovation's mediating role in the market orientation–corporate performance relationship.
“Quadrads” (double dyads) of interviews, each conducted with a pair of marketing executives at a Japanese vendor firm and a pair of purchasing executives at a Japanese customer firm, provided data on corporate culture, customer orientation, innovativeness, and market performance. Business performance (relative profitability, relative size, relative growth rate, and relative share of market) was correlated positively with the customer's evaluation of the supplier's customer orientation, but the supplier's own assessment of customer orientation did not correspond well to that of the customer. Japanese companies with corporate cultures stressing competitiveness (markets) and entrepreneurship (adhocracies) outperformed those dominated by internal cohesiveness (clans) or by rules (hierarchies). Successful market innovation also improved performance.
In the early 1900s, together with the birth of mass production, modern managerial approaches were conceived, under the motto “you can't manage what you don't measure”. Since then, operations managers throughout the world had been getting used to measure the productivity of materials, machines and workers to control and improve their own businesses. Nowadays, in the Industry 4.0 era, the emphasis is shifting toward data, under the new motto “data is the new oil”. Despite many managers pledging allegiance to the principles of data driven decision making, still no comprehensive approach exists to measure how good a company is at exploiting the potential of its own information assets; in other words, no “data productivity” measure exists. In this paper, we present a first method to define and measure data productivity. Relying on a comprehensive literature review, and inspired by the traditional OEE framework, this new method brings some innovative perspectives. First, data productivity is broken into data availability, quality and performance of the decision-making process using those data. Second, it includes both technical and organizational factors, helping companies to evaluate their current level of productivity, and actions to improve it. The model has been tested through three cases studies and it results as effectively implementable. The results obtained from its application reflect the expectations of companies’ managers accelerating the cultural shift needed to fully express the potential of Industry 4.0.
Purpose
This paper aims to develop a framework of executive capability for innovation in the Irish seaport context.
Design/methodology/approach
The paper uses an approach based on a critical review of literature. The paper takes the form of a critical review of academic literature, focussed by dynamic managerial capabilities theory. Specifically, the work of Lawson and Samson (2001) is drawn on to frame executive capability for innovation.
Findings
The framework proposes that the executive capability for innovation in the Irish seaport sector emerges as a dynamic managerial capability. The framework is dynamic in nature with environmental feedback loops inhibiting and enabling executive capability development. Supply chain innovation emerges from the framework based on an interpretation of executive capability emerging from Lawson and Samson (2001).
Research limitations/implications
The paper is entirely conceptual in nature. Future empirical research taking a qualitative approach is necessary. Further, an alternative theoretical perspective to that of dynamic managerial capabilities would offer new conceptual insight.
Practical implications
The paper contributes to executive practice through providing a framework of executive capability for innovation facilitating dialogue between executive practitioners and academic theory. Policymakers are challenged to contemplate the framework as a means of transforming competitiveness in an industry identified as foundational to Irish economic development.
Originality/value
The paper contributes to an emerging area of interest in the academic literature in the area of executive capability for innovation. Specifically, the paper argues the unique contextual nature of executive capability for innovation in the context of the seaport industry.
Bicycle sharing is an emerging business in many cities worldwide and has attracted a large number of users, due to its convenience, environmental friendliness, low cost, and flexibility for short-distance travels. This study evaluates main factors affecting the perceived service quality, satisfaction, and loyalty of bicycle sharing customers. We design measurement variables, conduct a satisfactory survey on customers using OFO bicycle sharing service in Ningbo, China, develop a Service-Satisfaction-Loyalty model using structure equation modeling (SEM), and conduct statistical analysis. The perceived service quality was simplified to three dimensions including: perceived service quality of platform, perceived quality of bicycle entity, and perceived quality of value. The results show that SEM model can account for commonly unobserved variables within satisfaction and loyalty of bicycle-sharing. Perceived services quality of bicycle entity and platform are found to affect customer satisfaction significantly, while perceived quality of value is not a significant factor. This study confirms that satisfaction decisively leads to loyalty of bicycle sharing.
Purpose
This study aims to examine the role of technological capabilities in the competitive advantage of supply chains for the “countryside” hub of São Paulo state.
Design/methodology/approach
An interdisciplinary approach was adopted by combining the strategic orientation of supply chain management as a link between market and operational activities, with technological capabilities as an essential factor for competitive advantage. This exploratory, mixed-method study was conducted in the Campinas technology hub, which has become important for its available skilled workforce, and broad and structured supply chain. The study sample included ten companies and dealt with the techniques of content analysis and non-parametric statistics – the Mann–Whitney U technique.
Findings
The results revealed that strategic supply chain management has an impact on technological capabilities and competitive advantage.
Originality/value
They also showed that technological capabilities have a partial mediating effect on competitive advantage.
Purpose
This paper examines the influence of three dimensions of customer knowledge management—knowledge from customer, knowledge for customer, and knowledge about customer—on innovation capabilities (speed and quality) and new service market performance.
Design/methodology/approach
The model links three dimensions of customer knowledge management to two dimensions of innovation capabilities. Further, the model links two dimensions of innovation capabilities to new service market performance. Analysis was conducted through structural equation modelling using SmartPLS software, utilizing data from 253 managers representing 26 banks in Bangladesh.
Findings
The findings of this study show that knowledge from customer and knowledge for customer are the most influential predictors of new service market performance. Of the three dimensions of customer knowledge management, knowledge from customer turns out to be the strongest predictor of innovation quality and speed. Innovation quality has a greater impact on new service market performance than innovation speed. Innovation capability (quality and speed) plays a mediating role in this study.
Practical implications
Managing knowledge from, for, and about customer should be systematically considered as a synergy approach to firms’ processes and activities to co-create value with customers. In particular, managers should put more emphasis on knowledge from and for customer to enhance innovation capacity and achieve success in the development of a new service.
Originality/value
This paper empirically supports the significant influence of knowledge from, for, and about customer on innovation capabilities (quality and speed) and new service market performance. While the results provide guidance for researchers and practitioners, it also adds value to innovation-related research.
Purpose
This study aims to propose and validate a theoretical model to investigate whether supply chain innovation positively affects risk management capabilities, such as robustness and resilience in global supply chain operations, and to examine how these capabilities may improve competitive advantage.
Design/methodology/approach
A theoretical model was developed from extant studies and assessed through the development of a large-scale questionnaire survey conducted with South Korean manufacturers and logistics intermediaries involved in global supply chain operations. The data were analysed using confirmatory factor analysis (CFA) and structural equation modelling (SEM) to validate the suggested model.
Findings
It was found that innovative supply chains have a discernible positive influence on all dimensions of risk management capability, which in turn has a significant impact on enhancing competitive advantage. Therefore, this work provides evidence for the importance of supply chain innovation and risk management capability in supporting competitive advantage.
Research limitations/implications
This study contributes to providing an empirical understanding of the strategic retention of supply chain innovation and risk management capabilities in the supply chain management (SCM) discipline. Further, it confirms and expands existing theories about innovation and competitive advantage.
Practical implications
The finding provides firm grounds for managerial decisions on investment in technology innovation and process innovation
Originality/value
This research is the first of its kind to empirically validate the relationships between supply chain innovation, risk management capabilities and competitive advantage.