Paving the path toward strategic agility

Environmental strategic performance of SMEs in developing countries: perspectives of environmental strategic capabilities, environmental strategic assessment, and stakeholder engagement

The purpose of this study is to empirically evaluate the model that explains the methods involved in the transformation of environmental strategic capabilities (ESC) into environmental strategic performance (ESP) of manufacturing SMEs in developing economies such as Pakistan. This study also analyzes the role of environmental strategic assessment (ESA) as a mediator as well as the contingent impacts of stakeholder engagement (SE). To evaluate the conceptual model, a cross-sectional design was employed in this study. Data from 489 owners, production managers, finance managers, and CEOs of 133 production units dealing in agriculture equipment (31 units), auto parts (18 units), electrical equipment (25 units), gas appliances (23 units), pharmaceutical instruments (15 units), and plastic products manufacturing (21 units) was gathered to validate the moderated mediation framework. The outcomes of the study support the notion that ESC and ESP are positively correlated. Furthermore, results also support the mediation role of ESA in the association between ESC and ESP. Additionally, the moderation of SE is validated, and this construct is portrayed as a catalyst in interaction of ESC and ESP. The current study contributes to strategic management literature by concentrating on intangible assets such as ESC and its key aspects. As a result, it introduces a new framework as well as a roadmap that will support the accomplishment of ESP. Through focusing on the mediating mechanism in which ESC may well be transformed to ESP of manufacturing SMEs by ESA, the study findings significantly contributed to the understanding of environmental dynamism in contemporary management era. The findings of the study also assist in clarifying the moderating impact of SE and how its interactions with ESC and ESP strengthen the influence that enterprises have on ESA.

The sequential effect of absorptive capacity, strategic agility, and sustainable competitive advantage on sustainable business performance of SMEs

A company's environmental sensitivity primarily depends on its sustainability. Hence, investigating the factors that affect sustainable business performance contributes to the literature on the environment. Based on a resource-based view, dynamic capabilities, and contingency theory, this study examines the sequential relationships between the absorptive capacity, strategic agility, sustainable competitive advantage, and sustainable business performance of small- and medium-sized enterprises (SMEs), as well as the mediating role of sustainable competitive advantage in the relationship between strategic agility and sustainable business performance. The data for the study was collected from 421 SMEs operating as family businesses and analyzed using SEM. Research findings show that the sub-dimensions of absorptive capacity, acquisition, and exploitation affect strategic agility; strategic agility affects sustainable competitive advantage, and sustainable competitive advantage affects sustainable business performance. In addition to these sequential relationships, sustainable competitive advantage was found to play a full mediating role in the relationship between strategic agility and sustainable business performance. The findings of the study highlight the process to achieve sustainable performance for SMEs, which are the backbone of developing economies in today's highly turbulent economic conditions.

Understanding the role of organizational agility in the context of digital transformation: an integrative literature review

Purpose

The purpose of this paper is to clarify the conceptual confusion in the extant literature about organizational agility and explore its role in different relationships in the context of digital transformation.

Design/methodology/approach

An integrative review of the relevant literature on agility was conducted. The literature on organizational agility and other variables in recent quantitative research was also examined to explore its role in different relationships.

Findings

Organizational agility is the ability to quickly respond and proactively embrace unanticipated changes in dynamic environments through effective resource reconfiguration and rapid decision-making. The role of organizational agility in achieving digital transformation has not been addressed from a holistic conceptual perspective. This paper addresses that gap and proposes that organizational agility is the underlying mechanism for an organization to fully use and engage its workforce, operation and network in the process of digital transformation.

Research limitations/implications

This research is an integrative review of the existing literature on the concept of agility and its relationships. The next phase of research needed for theory building will be the operationalization of constructs.

Practical implications

Organizations should strive to strategically develop both the reactivity and proactivity sides of organizational agility in achieving digital transformation that involves fundamental changes at different levels of the organization.

Originality

This paper explores the role of organizational agility in digital transformation through an integrative review of the relevant literature.

Critical challenges of integrating OPEX strategies with I4.0 technologies in manufacturing SMEs: a few pieces of evidence from developing economies

Purpose

The study proposes to determine the impending challenges to lean integration with Industry 4.0 (I4.0) in manufacturing that aims at achieving desired operational performance. Integrating lean and Industry 4.0 as the two industrial approaches is synergetic in providing operational benefits such as increasing flexibility, improving productivity, reducing cost, reducing delivery time, improving quality and value stream mapping (VSM). There is an urgent need to understand the integrated potential of OPEX strategies like lean manufacturing and also to determine the challenges for manufacturing SMEs and further suggest a strategic roadmap for the future.

Design/methodology/approach

The current work has used a combined approach on interpretative structural modeling (ISM) and fuzzy Matrice d'impacts croisés multiplication appliquée á un classment (MICMAC) approach to structure the multiple level analysis for the implementation challenges to integrate OPEX strategies with Industry 4.0.

Findings

The research has found that the indulgence of various implementation issues like lack of standardization, lack of vision and lack of trained support, all are the major challenges that inhibit the integration of OPEX strategies with I4.0 technologies in manufacturing.

Research limitations/implications

The research has investigated the internal factors acting as a roadblock to lean and Industry 4.0 adoption. Further studies may consider external factors to lean and Industry 4.0 implementation. Also, further research may consider other operational excellence approaches and extend further to relevant sectors.

Practical implications

This study provides the analysis of barriers that is useful for the managers to take strategic actions for implementing OPEX strategies with I4.0 in smart manufacturing.

Originality/value

The research determines the adoption challenges towards the integrated framework. This is the first study to explore challenges in integrating OPEX strategies with I4.0 technologies in manufacturing SMEs.

The top‐down pattern of social innovation and social entrepreneurship. Bricolage and agility in response to COVID‐19: cases from China

Social innovation and social entrepreneurship usually follow a bottom‐up pattern. Companies and entrepreneurs decide to focus their business effort on meeting critical and urgent social needs. However, what happens when institutions promote or push top‐down initiatives? The outbreak of COVID‐19 is redefining, for many aspects, entrepreneurial dynamics. By creating a critical shortage of resources and medical supplies, the pandemic drew central and local institutions to push companies to cover the increasing social and medical needs. This study explores how companies reacted to top‐down‐initiated social innovation and social entrepreneurship activities. In doing so, the study focuses on the first heavily hit country, China, and it collects data from companies involved in the production of medical masks and the provision of solutions for nucleic acid tests. Our findings reveal that companies answer to top‐down pushes by implementing two main strategies in a time of crisis. First, the social bricolage by exploiting available and local resources. Second, companies react with agility by re‐thinking their internal innovation, relying on past similar experiences, and making their resource fluid. Our study adds the literature regarding social innovation and entrepreneurship in a crisis time by providing implications for institutions and organizations in setting and responding to strategies for future crises.

Positioning big data analytics capabilities towards financial service agility

Purpose

Enterprises are increasingly taking actionable steps to transform existing business models through digital technologies for service transformation such as big data analytics (BDA). BDA capabilities offer financial institutions to source financial data, analyse data, insight and store such data and information on collaborative platforms for a quick decision-making process. Accordingly, this study identifies how BDA capabilities can be deployed to provide significant improvement for financial services agility.

Design/methodology/approach

The study relied on survey data from 485 banking professionals' perspectives with BDA usage, IT capability development and financial service agility. The PLS-SEM technique was used to evaluate the underlying relationship and the applicability of the research framework proposed.

Findings

Based on the empirical test from this study, distinctive BDA usage grounded on the concept of IT capability viewpoint proof that financial service agility could be enhanced provided enterprises develop technical capabilities alongside other relevant resources.

Practical implications

The study further highlights the need for financial service managers to identify BDA technologies such as data mining, query and reporting, data visualisation, predictive modelling, streaming analytics, video analytics and voice analytics to focus on financial knowledge gathering and market observation. Financial managers can also deploy BDA tools to develop a strategic road map for data management, data transferability and knowledge discovery for customised financial products.

Originality/value

This study is a useful contribution to the burgeoning discussion with emerging technologies such as BDA implication to improving enterprises operations.

The mediating role of organizational innovation on the impact of strategic agility on firm performance

Purpose

The field of strategic management mainly concerns with the achievement and sustainability of competitive advantage since the sustainability of strategic competitive advantage is more challenging. The concept of innovation can also be regarded as a to respond continuously changing environmental conditions and to sustain firm profits. The aim of this paper is to examine the mediating role of organizational innovation for the impact of strategic agility on firm performance and to determine the relationship among variables. Although there is a significant amount of work on organizational innovation, literature is still lacking in the debate on strategic agility and firm performance.

Design/methodology/approach

An online questionnaire was administered to 216 firms operating in the Sakarya Organized Industrial Zone (Marmara Region of Turkey) during September–December 2019 and the data were analyzed using structural equation analysis for hypothesis testing.

Findings

Results reveal that strategic agility has a positive impact on both firm performance (ß = 0.895) and organizational innovation (ß = 0.854), and organizational innovation (ß = 0.485) plays a partial mediating role on this relationship.

Originality/value

The results of this study improve our understanding of how these factors affect firm performance in the organized industrial zone.

The Relationship between HRM Strategies and Sustainable Competitive Advantage: Testing the Mediating Role of Strategic Agility

This study aims to investigate the impact of strategic agility on the relationship between Human Resources Management (HRM) strategies and Sustainable Competitive Advantage (SCA). A total of 227 large and medium-sized manufacturing companies were surveyed and studied. Using Structural Equation Modelling (SEM), this study found a positive and direct impact of HRM strategies on SCA. The study revealed a mediating effect of strategic agility on the relationship between HRM strategies and SCA. This study provides practical guidance for Yemeni large and medium-sized manufacturing companies to maintain SCA by focusing more on strategic agility in a turbulent business environment.

The impact of information security management practices on organisational agility

Purpose

This study aims to determine the extent to which information security management (ISM) practices impact the organisational agility by examining the relationship between both concepts.

Design/methodology/approach

A quantitative method research design has been used in this study. This study was conducted throughout Malaysia with a total of 250 valid questionnaires obtained from managers and executives from the Multimedia Super Corridor (MSC)-status companies. Structural equation modelling (SEM) using partial least square was used to analyse the data and to test all nine hypotheses developed in this study.

Findings

Findings from this study indicate that operational agility (OA) is significantly related to ISM practices in MSC-status companies. The validation of the structural model of nine hypotheses developed for this study has demonstrated satisfactory results, exhibited six significant direct relationships and three insignificant relationships.

Research limitations/implications

This study has addressed the needs for a comprehensive, coherent and empirically tested ISM practices and organisational agility framework. The current theoretical framework used in this study emphasised on the ISM–organisational agility dimensions that are predominantly important to ascertain high level of ISM practices and perceived agility level among the information technology (IT) business companies in Malaysia. With the application of SEM for powerful analysis, the empirical-based framework established in this study was validated by the empirical findings, thus contributing significantly to the field of information security (InfoSec).

Originality/value

This study has filled the research gap between different constructs of ISM practices and OA. The model put forth in this study contributes in several ways to the InfoSec research community. The recognition of InfoSec practices that could facilitate organisational agility in the IT industry in Malaysia is vital and contributes to more value creation for the organisations.

A combined AHP and TOPSIS approach for prioritizing the attributes for successful implementation of agile manufacturing

Purpose

The concept of agile manufacturing is becoming critically important to manufacturing industry due to rapid industrialization, fluctuating customer demand, and turbulent business environment. The aim of this study is to prioritize the attributes for successful implementation of agile manufacturing using a combined analytical hierarchy process (AHP) and Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) approach in Indian manufacturing industry.

Design/methodology/approach

The current study identifies eight agile manufacturing attributes through literature review and discussion with subject experts. The experts from different manufacturing industry have been asked to provide data for pairwise comparison of attributes. Afterward, an integrated AHP and TOPSIS approach is employed. The AHP is used to drive the priority weights of the attributes, and TOPSIS is used for prioritizing the attributes for successful implementation of agile manufacturing.

Findings

“Information technology,” “human resource management-related issues,” “customer-related issues,” “leadership support,” and “organizationalc related-issues” have been ranked as the top five significant and contributing attributes, which can pave the path for top management to concentrate on the critical areas and allocate significant resources to ensure successful implementation of agile manufacturing.

Originality/value

This research integrates AHP and TOPSIS to prioritize the attributes for successful implementation of agile manufacturing, which are further validated by comparing the ranks obtained through respective approach and sensitivity analysis.

Agile manufacturing: a literature review and Pareto analysis

Purpose

The purpose of this paper is to investigate the existing literature on agile manufacturing (AM) to pinpoint critical success factors (CSFs) affecting the successful implementation of agile manufacturing systems.

Design/methodology/approach

The study focused on empirical articles published in peer-reviewed journals from 1991 to 2019 (July). In total, 37 empirical studies were shortlisted for analysis as the reliability and validity of the constructs were critically tested using various statistical methods. Further, “Pareto analysis” tool was employed to sort and arrange the factors critical for smoother and effective implementation of AM, in descending order according to their frequency of occurrence.

Findings

The present work scrutinizes 37 research papers, resulting in 33 CSFs that affect AM implementation. Using Pareto analysis, 8 CSFs are regarded as “vital few,” which account for 82.66 percent of occurrence, and the remaining 25 CSFs are regarded as “useful many,” which account for 17.34 percent of occurrence. The managers must focus on successful deployment of “vital few” CSFs, as they are more critical in achieving business excellence through the successful implementation of AM, in comparison to other 25 “useful many” CSFs.

Originality/value

To the best knowledge of authors, this work is the first attempt to employ Pareto analysis for critically analyzing a wide range of AM CSFs studies. The findings of this study will assist researchers and managers in AM implementation in a more smoother and effective way in manufacturing industries.

An evaluation of agile manufacturing initiatives in the Indian manufacturing industry

Purpose

The purpose of this paper is to examine the contribution of agile manufacturing (AM) initiatives in the Indian manufacturing industry and their influence on the business performance enhancement.

Design/methodology/approach

A survey questionnaire was designed to attain the research objectives. The variables included in the questionnaire were adapted from the elaborated literature review and validated through discussion held with practitioners, academicians and the industry experts. AM questionnaire was sent to approximately 500 randomly selected manufacturing organizations in the northern spectrum of India through e-mails and posts, out of which 154 usable responses were received.

Findings

The study identified that the Indian manufacturing industry has been reasonably successful in improving the business performance by implementing AM initiatives and has successfully reaped the benefits of AM implementation.

Originality/value

The present work develops an insight into the prevailing AM practices adopted by Indian manufacturing organizations. The study calculated the percent point score for each issue of AM initiative with respect to the Indian manufacturing industry and highlighted its impact on the enhancement of business performance.