The role of formalization and organizational trust as antecedents of ambidexterity: An investigation on the organic agro-food industry (original) (raw)

Linking organizational trust and performance through ambidexterity

Personnel Review, 2019

Purpose-The literature provides mixed empirical evidence on the trust-performance relationship. The purpose of this paper is to shed additional light on this relationship, using organizational ambidexterity as an explanatory variable. Design/methodology/approach-A structural equation technique was used to examine survey data obtained from 377 Spanish organic agro-food industries. Findings-The results obtained provide support to show that organizational ambidexterity has a mediating role in the relationship between organizational trust and firm performance, in the organic agro-food industry. Research limitations/implications-This study used a sample taken from only one industry and country. Future research could expand the model to other countries and industries. Practical implications-This study suggests that managers could use tools to enhance organizational trust that would help to improve firm performance, given that trust can cause employees to adopt behaviors related to ambidexterity. Therefore, managers can use trust as a mechanism to encourage more stable relationships, increase the transfer of existing knowledge, facilitate experimentation and express ideas to promote organizational ambidexterity, thus benefiting firm performance. Originality/value-This research paper offers a new insight into how ambidexterity affects the organizational trust-firm performance relationship. Even though there is growing theoretical importance given to the concepts of trust and ambidexterity, the empirical evidence that demonstrates how both variables are related to firm performance, especially in emerging sectors, is scarce.

Organizational Ambidexterity: Balancing Exploitation and Exploration for Sustained Performance

Organization Science, 2009

O rganizational ambidexterity has emerged as a new research paradigm in organization theory, yet several issues fundamental to this debate remain controversial. We explore four central tensions here: Should organizations achieve ambidexterity through differentiation or through integration? Does ambidexterity occur at the individual or organizational level? Must organizations take a static or dynamic perspective on ambidexterity? Finally, can ambidexterity arise internally, or do firms have to externalize some processes? We provide an overview of the seven articles included in this special issue and suggest several avenues for future research.

ORGANIZATIONAL AMBIDEXTERITY: AN EMPIRICAL EXAMINATION OF ORGANIZATIONAL FACTORS AS ANTECEDENTS OF ORGANIZATIONAL AMBIDEXTERITY

Ambidexterity broadly refers to an organization's ability to pursue two disparate things at the same time. Ambidextrous firms are capable of exploiting existing competencies as well as exploring new opportunities with equal dexterity. Capacity to pursue both exploitative and exploratory orientation depends on combinations of contradictory organizational characteristics such as decentralization, formalization, and connectedness. This study aims to explain organizational ambidexterity and organizational factors that are antecedents of ambidexterity in a theoretical way and to examine the impacts of these factors on organizational ambidexterity empirically. Data was obtained from private corporations operating in Kayseri (Turkey). Regression analysis was used to examine the relationship between organizational ambidexterity and contradictory organizational characteristics, and to test the research hypothesis. The results of regression analysis provide support for hypothesis.

Social Network Structure's Influence on Organizational Ambidexterity

2013 46th Hawaii International Conference on System Sciences, 2013

Due to future markets shifts as well as current market dynamics industries like the automotive industry OEMs have to be able to handle both exploration and exploitation simultaneously, a capability which is called 'organizational ambidexterity'. Using data from German and Austrian premium OEMs as well as leading-edge suppliers of the automotive industry present work sheds light on the questions what important drivers like external and internal ties of an unit may enhance explorative or exploitative behavior? And does a balance of these drivers enhance organizational ambidexterity? The paper shows how important these drivers are and how absorptive capacity as context factor influences the relationship between the drivers and organizational ambidexterity.

Unpacking Organizational Ambidexterity: Dimensions, Contingencies, and Synergistic Effects

Organization Science, 2009

Significant ambiguity remains in the literature regarding the conceptualization of organizational ambidexterity. We unpack this construct into one with two dimensions we term the Balance Dimension of Ambidexterity (BD) and the Combined Dimension of Ambidexterity (CD). BD corresponds to a firm's orientation to maintain a close relative balance between exploratory and exploitative activities, while CD corresponds to their combined magnitude. We reason that these dimensions are conceptually distinct, and rely on different causal mechanisms to enhance firm performance. We find that over and above their independent effects, concurrent high levels of BD and CD yield synergistic benefits. We also find that BD is more beneficial to resource constrained firms, while CD is more beneficial to firms having greater access to internal and / or external sources of resources. These results indicate that managers in resource constrained contexts may benefit from a focus on managing tradeoffs between exploration and exploitation demands, but for firms that have access to sufficient resources, the simultaneous pursuit of exploration and exploitation is both possible and desirable.

Organizational Ambidexterity Through the Lens

2016

The organizational ambidexterity literature conceptualizes exploration and exploitation as conflicting activities, and proposes separation-oriented approaches to accomplish ambidexterity; namely, structural and temporal separation. We argue that viewing ambidexterity from the lens of paradox theory enables us to move beyond separation-oriented prescriptions towards synthesis or transcendence of paradoxical poles; as well as towards longitudinal explorations of how paradoxical poles dynamically interrelate over time. In this way, the conceptual repertoire of ambidexterity theory is enriched and empirical research can more closely and pragmatically track practice.

Organizational Ambidexterity : Balancing Exploitation and Exploration in Organizations

2013

Purpose: This paper aims to investigate necessity of ambidexterity for organizations. The main interest of this thesis is to investigate why organizations should be ambidextrous and how organizations can reach ambidexterity under the pressure of limited resources and competitive market condition. Findings: This thesis explored relations and tensions between exploitation and exploration in organizational and individual aspects. Findings in the research show that communication skill of the subunits in the case company need to be strengthened. Subunits need to be independent from each other. However, they should be aware of other subunits’ actions. In this sense, there is need for strong information flow between all units in the case company. Participation of employees and teamwork should be promoted by leaders. This thesis suggests that establishing special subunits for explorative activities would not only leverage explorative processes in the organizations but it would also leverage...