Toward Sustainable Global Product Development Performance: Exploring the Criticality of Organizational Factors and the Moderating Influence of Global Innovation Culture
Abstract
:1. Introduction
- “What pivotal roles do organizational factors related to innovation, technology, and competitiveness capabilities, along with their corresponding strategies, play in influencing the performance of multinational companies (MNCs), especially within the context of global product development practices”?
- “How does the global innovation culture impact and moderate the correlation between organizational factors and global product development performance”?
2. Literature Review and Hypotheses
2.1. Technological Innovation Capabilities (TICs) and GPD Performance
2.2. Team Creativity (TC) and GPD Performance
2.3. Dynamic Capabilities (DCA) and GPD Performance
2.4. Competitive Advantage (CA) and GPD Performance
2.5. Global Innovation Culture (GIC) and GPD Performance
2.6. Moderating the Effects of Global Innovation Culture
3. Method
3.1. Framework Development
3.2. Data Collection
3.3. Variables
4. Data Analysis and Results
5. Discussion
6. Conclusions
7. Implications and Future Research Directions
- Enriching theoretical frameworks related to innovation management and organizational effectiveness; this study extends the theoretical boundaries of understanding the multifaceted dynamics at play within organizations operating in a global context by examining the connection between organizational factors and international product development performance and by elucidating how a global innovation culture can moderate the effects of technological capabilities, creativity, and dynamic capabilities on GPD performance;
- Encouraging organizations to invest in cultivating a global innovation culture; this is essential, as it fosters an environment where creativity thrives across borders, promoting open communication and idea sharing among spread teams, facilitating knowledge transfer, fostering collaboration, valuing risk taking, and implementing effective recognition and reward systems to incentivize innovative ideas; these strategic approaches ignite team creativity, nurture cross-cultural understanding, and embrace diversity, thus fostering advanced innovation and strategic advantage in the global landscape; such investments can amplify the organization’s ability to generate pioneering products and drive GPD’s sustainable growth and competitive advantage;
- Balancing organizational strengths and global innovation culture; the findings, which provide actionable intuitions for organizations to strategically boost their global product development strategies by leveraging organizational strengths while fostering an innovative culture, underscore the need for GPD managers to invest more time and effort in striking a balance between adopting a robust global innovation culture and maintaining a focus on nurturing organizational factors for global product development success; such a balance allows managers to leverage a mix of structured processes, diverse talent, and a creative atmosphere to improve the overall performance of global product development initiatives.
Author Contributions
Funding
Institutional Review Board Statement
Informed Consent Statement
Data Availability Statement
Conflicts of Interest
References
- Pero, M.; Rossi, M.; Terzi, S. Evolution of Global Product Development Networks: An Exploratory Study. IEEE Trans. Eng. Manag. 2018, 65, 34–45. [Google Scholar] [CrossRef]
- Razika, M.; Yang, Q.; Hafeez, M. Evaluating the Global Product Development Challenges through Social Commerce. In Proceedings of the Thirteenth International Conference on Management Science and Engineering Management, St. Catharines, ON, Canada, 5–8 August 2019; Advances in Intelligent Systems and Computing. Springer: Cham, Switzerland, 2020; Volume 1001, pp. 783–793. [Google Scholar]
- Malek, R.; Yang, Q. Analyzing Interrelationships and Prioritizing Performance Indicators in Global Product Development: Application in the Chinese Renewable Energy Sector. Sustainability 2023, 15, 11212. [Google Scholar] [CrossRef]
- Chakrabarty, S.; Wang, L. The Long-Term Sustenance of Sustainability Practices in MNCs: A Dynamic Capabilities Perspective of the Role of R&D and Internationalization. J. Bus. Ethics 2012, 110, 205–217. [Google Scholar] [CrossRef]
- Takeuchi, H. Gaining Competitive Advantage through Global Product Development. Hitotsubashi J. Commer. Manag. 1988, 23, 21–52. [Google Scholar]
- Eppinger, S.D.; Chitkara, A.R. The New Practice of Global Product Development. IEEE Eng. Manag. Rev. 2007, 35, 3. [Google Scholar] [CrossRef]
- Tripathy, A.; Eppinger, S.D. Structuring Work Distribution for Global Product Development Organizations. Prod. Oper. Manag. 2013, 22, 1557–1575. [Google Scholar] [CrossRef]
- Taylor, T.P.; Ahmed-Kristensen, S. Global Product Development Projects: Measuring Performance and Monitoring the Risks. Prod. Plan. Control 2018, 29, 1290–1302. [Google Scholar] [CrossRef]
- Berry, H. Global Integration and Innovation: Multicountry Knowledge Generation within MNCs. Strateg. Manag. J. 2014, 35, 869–890. [Google Scholar] [CrossRef]
- Tripathy, A.; Eppinger, S.D. Organizing Global Product Development for Complex Engineered Systems. IEEE Trans. Eng. Manag. 2011, 58, 510–529. [Google Scholar] [CrossRef]
- Fallah, M.H.; Lechler, T.G. Global Innovation Performance: Strategic Challenges for Multinational Corporations. J. Eng. Technol. Manag.—JET-M 2008, 25, 58–74. [Google Scholar] [CrossRef]
- Zhang, M. Organizational Culture, Information Technology Capability, and Performance: The Case of Born Global Firms. Multinatl. Bus. Rev. 2007, 15, 43–78. [Google Scholar] [CrossRef]
- Nguyen, P.V.; Huynh, H.T.N.; Lam, L.N.H.; Le, T.B.; Nguyen, N.H.X. The Impact of Entrepreneurial Leadership on SMEs’ Performance: The Mediating Effects of Organizational Factors. Heliyon 2021, 7, e07326. [Google Scholar] [CrossRef]
- Zollo, M.; Bettinazzi, E.L.M.; Neumann, K.; Snoeren, P. Toward a Comprehensive Model of Organizational Evolution: Dynamic Capabilities for Innovation and Adaptation of the Enterprise Model. Glob. Strategy J. 2016, 6, 225–244. [Google Scholar] [CrossRef]
- Knight, G.A.; Cavusgil, S.T. Innovation, Organizational Capabilities, and the Born-Global Firm. J. Int. Bus. Stud. 2004, 35, 124–141. [Google Scholar] [CrossRef]
- Nyssen Guillén, V.I.; Deckert, C. Cultural Influence on Innovativeness—Links between “The Culture Map” and the “Global Innovation Index”. Int. J. Corp. Soc. Responsib. 2021, 6, 7. [Google Scholar] [CrossRef]
- Bouncken, R.; Brem, A.; Kraus, S. Multicultural Teams as Sources for Creativity and Innovation: The Role of Cultural Diversity on Team Performance. Int. J. Innov. Manag. 2016, 20, 1650012. [Google Scholar] [CrossRef]
- Tang, G.X.; Park, K.; Agarwal, A.; Liu, F. Impact of Innovation Culture, Organization Size and Technological Capability on the Performance of SMEs: The Case of China. Sustainability 2020, 12, 1355. [Google Scholar] [CrossRef]
- Michaelis, T.L.; Aladin, R.; Pollack, J.M. Innovation Culture and the Performance of New Product Launches: A Global Study. J. Bus. Ventur. Insights 2018, 9, 116–127. [Google Scholar] [CrossRef]
- Azubuike, V.M.U. Technological Innovation Capability and Firm’s Performance in New Product Development. Commun. IIMA 2014, 13, 4. [Google Scholar] [CrossRef]
- Al-Kwifi, O.S.; Farha, A.K.A.; Zaraket, W.S. Competitive Dynamics Between Multinational Companies and Local Rivals in Emerging Markets. FIIB Bus. Rev. 2020, 9, 189–204. [Google Scholar] [CrossRef]
- Ghasemzadeh, P.; Nazari, J.A.; Farzaneh, M.; Mehralian, G. Moderating Role of Innovation Culture in the Relationship between Organizational Learning and Innovation Performance. Learn. Organ. 2019, 26, 289–303. [Google Scholar] [CrossRef]
- Wang, C.H. How Organizational Green Culture Influences Green Performance and Competitive Advantage: The Mediating Role of Green Innovation. J. Manuf. Technol. Manag. 2019, 30, 666–683. [Google Scholar] [CrossRef]
- Martín-de Castro, G.; Delgado-Verde, M.; Navas-López, J.E.; Cruz-González, J. The Moderating Role of Innovation Culture in the Relationship between Knowledge Assets and Product Innovation. Technol Forecast. Soc. Chang. 2013, 80, 351–363. [Google Scholar] [CrossRef]
- Ozer, M.; Cebeci, U. The Role of Globalization in New Product Development. IEEE Trans. Eng. Manag. 2010, 57, 168–180. [Google Scholar] [CrossRef]
- Sosa, M.E.; Eppinger, S.D.; Rowles, C.M. The Misalignment of Product Architecture and Organizational Structure in Complex Product Development. Manag. Sci. 2004, 50, 1674–1689. [Google Scholar] [CrossRef]
- Gassmann, O.; Von Zedtwitz, M. New Concepts and Trends in International R & D Organization. Res. Policy 1999, 28, 231–250. [Google Scholar]
- Gerwin, D.; Barrowman, N.J. An Evaluation of Research on Integrated Product Development. Manag. Sci. 2002, 48, 938–953. [Google Scholar] [CrossRef]
- De Brentani, U.; Kleinschmidt, E.J. The Impact of Company Resources and Capabilities on Global New Product Program Performance. Proj. Manag. J. 2015, 46, 12–29. [Google Scholar] [CrossRef]
- De Brentani, U.; Kleinschmidt, E.J. Corporate Culture and Commitment: Impact on Performance of International New Product Development Programs. J. Prod. Innov. Manag. 2004, 21, 309–333. [Google Scholar] [CrossRef]
- de Brentani, U.; Kleinschmidt, E.J.; Salomo, S. Success in Global New Product Development: Impact of Strategy and the Behavioral Environment of the Firm. J. Prod. Innov. Manag. 2010, 27, 143–160. [Google Scholar] [CrossRef]
- Kleinschmidt, E.J.; De Brentani, U.; Salomo, S. Performance of Global New Product Development Programs: A Resource-Based View. J. Prod. Innov. Manag. 2007, 24, 419–441. [Google Scholar] [CrossRef]
- Hair, J.F.; Ringle, C.M.; Sarstedt, M. Partial Least Squares Structural Equation Modeling: Rigorous Applications, Better Results and Higher Acceptance. Long Range Plan. 2013, 46, 1–12. [Google Scholar] [CrossRef]
- Johansson, M.; Olhager, J. Comparing Offshoring and Backshoring: The Role of Manufacturing Site Location Factors and Their Impact on Post-Relocation Performance. Int. J. Prod. Econ. 2018, 205, 37–46. [Google Scholar] [CrossRef]
- Kotabe, M.; Kothari, T. Emerging Market Multinational Companies’ Evolutionary Paths to Building a Competitive Advantage from Emerging Markets to Developed Countries. J. World Bus. 2016, 51, 729–743. [Google Scholar] [CrossRef]
- Hristov, I.; Chirico, A. The Role of Sustainability Key Performance Indicators (KPIs) in Implementing Sustainable Strategies. Sustainability 2019, 11, 5742. [Google Scholar] [CrossRef]
- Zhao, G.; Irfan Ahmed, R.; Ahmad, N.; Yan, C.; Usmani, M.S. Prioritizing Critical Success Factors for Sustainable Energy Sector in China: A DEMATEL Approach. Energy Strategy Rev. 2021, 35, 100635. [Google Scholar] [CrossRef]
- Elliot, E.A.; Nakata, C. Cross-Cultural Creativity: Conceptualization and Propositions for Global New Product Development. J. Prod. Innov. Manag. 2013, 30, 110–125. [Google Scholar] [CrossRef]
- Gilson, L.L.; Shalley, C.E. A Little Creativity Goes a Long Way: An Examination of Teams’ Engagement in Creative Processes. J. Manag. 2004, 30, 453–470. [Google Scholar] [CrossRef]
- Ince, H.; Imamoglu, S.Z.; Turkcan, H. The Effect of Technological Innovation Capabilities and Absorptive Capacity on Firm Innovativeness: A Conceptual Framework. Procedia Soc. Behav. Sci. 2016, 235, 764–770. [Google Scholar] [CrossRef]
- Ogbeibu, S.; Emelifeonwu, J.; Senadjki, A.; Gaskin, J.; Kaivo-oja, J. Technological Turbulence and Greening of Team Creativity, Product Innovation, and Human Resource Management: Implications for Sustainability. J. Clean. Prod. 2020, 244, 118703. [Google Scholar] [CrossRef]
- Kandemir, D.; Calantone, R.; Garcia, R. An Exploration of Organizational Factors in New Product Development Success. J. Bus. Ind. Mark. 2006, 21, 300–310. [Google Scholar] [CrossRef]
- Padilha, C.K.; Gomes, G. Innovation Culture and Performance in Innovation of Products and Processes: A Study in Companies of Textile Industry. RAI Rev. Adm. E Inovação 2016, 13, 285–294. [Google Scholar] [CrossRef]
- Adler, P.S.; Shenbar, A. Adapting Your Technological Base the Organizational Challenge. Sloan Manag. Rev. 1990, 32, 25–37. [Google Scholar]
- Wang, C.H.; Lu, I.Y.; Chen, C.B. Evaluating Firm Technological Innovation Capability under Uncertainty. Technovation 2008, 28, 349–363. [Google Scholar] [CrossRef]
- Damanpour, F. Organizational Innovation: A Meta-Analysis of Effects of Determinants and Moderators. Acad. Manag. J. 1991, 34, 555–590. [Google Scholar] [CrossRef]
- Singhal, C.; Mahto, R.V.; Kraus, S. Technological Innovation, Firm Performance, and Institutional Context: A Meta-Analysis. IEEE Trans. Eng. Manag. 2022, 69, 2976–2986. [Google Scholar] [CrossRef]
- Porter, M.E. Competitive Advantage; The Free Press: New York, NY, USA, 1985. [Google Scholar]
- Bessant, J.; Lamming, R.; Noke, H.; Phillips, W. Managing Innovation beyond the Steady State. Technovation 2005, 25, 1366–1376. [Google Scholar] [CrossRef]
- Castro-González, S.; Bande, B.; Fernández-Ferrín, P.; Kimura, T. Corporate Social Responsibility and Consumer Advocacy Behaviors: The Importance of Emotions and Moral Virtues. J. Clean. Prod. 2019, 231, 846–855. [Google Scholar] [CrossRef]
- Ritala, P.; Golnam, A.; Wegmann, A. Coopetition-Based Business Models: The Case of Amazon.Com. Ind. Mark. Manag. 2014, 43, 236–249. [Google Scholar] [CrossRef]
- Huizingh, E.K.R.E. Open Innovation: State of the Art and Future Perspectives. Technovation 2011, 31, 2–9. [Google Scholar] [CrossRef]
- Chesbrough, H. Business Model Innovation: Opportunities and Barriers. Long Range Plan. 2010, 43, 354–363. [Google Scholar] [CrossRef]
- Hoever, I.J.; van Knippenberg, D.; van Ginkel, W.P.; Barkema, H.G. Fostering Team Creativity: Perspective Taking as Key to Unlocking Diversity’s Potential. J. Appl. Psychol. 2012, 97, 982–996. [Google Scholar] [CrossRef] [PubMed]
- Wang, J.; Cheng, G.H.L.; Chen, T.; Leung, K. Team Creativity/Innovation in Culturally Diverse Teams: A Meta-Analysis. J. Organ. Behav. 2019, 40, 693–708. [Google Scholar] [CrossRef]
- Jiang, H.; Zhang, Q.-P. Development and Validation of Team Creativity Measures: A Complex Systems Perspective. Creat. Innov. Manag. 2014, 23, 264–275. [Google Scholar] [CrossRef]
- Gibson, C.B.; Cohen, S.G. Virtual Teams That Work: Creating Conditions for Virtual Team Effectiveness; Jossey-Bass: Hoboken, NJ, USA, 2003; ISBN 0787961620. [Google Scholar]
- Chen, M.H. Entrepreneurial Leadership and New Ventures: Creativity in Entrepreneurial Teams. Creat. Innov. Manag. 2007, 16, 239–249. [Google Scholar] [CrossRef]
- Morrison-Smith, S.; Ruiz, J. Challenges and Barriers in Virtual Teams: A Literature Review. SN Appl. Sci. 2020, 2, 1096. [Google Scholar] [CrossRef]
- Kohn, N.W.; Paulus, P.B.; Choi, Y.H. Building on the Ideas of Others: An Examination of the Idea Combination Process. J. Exp. Soc. Psychol. 2011, 47, 554–561. [Google Scholar] [CrossRef]
- Von Nordenflycht, A. Is Public Ownership Bad for Professional Service Firms? Ad Agency Ownership, Performance, and Creativity. Acad. Manag. J. 2007, 50, 429–445. [Google Scholar] [CrossRef]
- Gilson, L.L.; Maynard, M.T.; Jones Young, N.C.; Vartiainen, M.; Hakonen, M. Virtual Teams Research: 10 Years, 10 Themes, and 10 Opportunities. J. Manag. 2015, 41, 1313–1337. [Google Scholar] [CrossRef]
- Wu, J.; Vahlne, J.E. Dynamic Capabilities of Emerging Market Multinational Enterprises and the Uppsala Model. Asian Bus. Manag. 2022, 21, 690–714. [Google Scholar] [CrossRef]
- Teece, D.J.; Pisano, G.; Shuen, A. Dynamic Capabilities and Strategic Management. Strateg. Manag. J. 1997, 18, 509–533. [Google Scholar] [CrossRef]
- Shane, S.; Venkataraman, S. The Promise of Entrepreneurship as a Field of Research. Acad. Manag. Rev. 2000, 25, 217–226. [Google Scholar] [CrossRef]
- Ardichvili, A.; Cardozo, R.; Ray, S. A Theory of Entrepreneurial Opportunity Identification and Development. J. Bus. Ventur. 2003, 18, 105–123. [Google Scholar] [CrossRef]
- Teece, D.J. Explicating Dynamic Capabilities: The Nature and Microfoundations of (Sustainable) Enterprise Performance. Strateg. Manag. J. 2007, 28, 1319–1350. [Google Scholar] [CrossRef]
- Riviere, M.; Bass, A.E.; Andersson, U. Dynamic Capability Development in Multinational Enterprises: Reconciling Routine Reconfiguration between the Headquarters and Subsidiaries. Glob. Strategy J. 2021, 11, 380–401. [Google Scholar] [CrossRef]
- Mathivathanan, D.; Govindan, K.; Haq, A.N. Exploring the Impact of Dynamic Capabilities on Sustainable Supply Chain Firm’s Performance Using Grey-Analytical Hierarchy Process. J. Clean. Prod. 2017, 147, 637–653. [Google Scholar] [CrossRef]
- Barney, J. Firm Resources and Sustained Competitive Advantage. J. Manag. 1991, 17, 99–120. [Google Scholar] [CrossRef]
- Prakash, G. QoS in the Internal Supply Chain: The next Lever of Competitive Advantage and Organisational Performance. Prod. Plan. Control 2014, 25, 572–591. [Google Scholar] [CrossRef]
- Dunning, J.H.; Lundan, S.M. The Geographical Sources of Competitiveness of Multinational Enterprises: An Econometric Analysis. Int. Bus. Rev. 1998, 7, 115–133. [Google Scholar] [CrossRef]
- Nguyen, Q.T.K. Multinationality and Performance Literature: A Critical Review and Future Research. Manag. Int. Rev. 2017, 57, 311–347. [Google Scholar] [CrossRef]
- West, J.; Bogers, M. Leveraging External Sources of Innovation: A Review of Research on Open Innovation. J. Prod. Innov. Manag. 2014, 31, 814–831. [Google Scholar] [CrossRef]
- Hofstede, G. Culture’s Recent Consequences: Using Dimension Scores in Theory and Research. Int. J. Cross Cult. Manag. 2001, 1, 11–17. [Google Scholar] [CrossRef]
- Schein, E.H. Organizational Culture and Leadership, 4th ed.; Jossey-Bass: San Francisco, CA, USA, 2010; Volume 2. [Google Scholar]
- Podsakoff, P.M.; MacKenzie, S.B.; Podsakoff, N.P. Sources of Method Bias in Social Science Research and Recommendations on How to Control It. Annu. Rev. Psychol. 2012, 63, 539–569. [Google Scholar] [CrossRef] [PubMed]
- Woetzel, J.; Ngai, J.; Seong, J.; Ellingrud, K.; Leung, N.; Le Deu, F.; Smit, S.; Wang, P. The China Imperative for Multinational Companies Reconfiguring for Opportunity and Risk; Plotinsky, B., Ed.; McKinsey Global Institute: New York, NY, USA, 2023. [Google Scholar]
- Zhang, Q.; de Vries, A. Seeking Moral Legitimacy through Corporate Social Responsibility: Evidence from Chinese Manufacturing Multinationals. Sustainability 2022, 14, 5245. [Google Scholar] [CrossRef]
- Zhao, G.; Jahangir, J.; Faisal, M.N.; Hafeez, M.; Abbas, K. Service Quality and Customers’ Satisfaction Nexus in the Light of Price Perception Moderation. Rev. Argent. Clín. Psicol. 2020, XXIX, 611–624. [Google Scholar] [CrossRef]
- Hon, A.H.Y.; Chan, W.W.H. Team Creative Performance: The Roles of Empowering Leadership, Creative-Related Motivation, and Task Interdependence. Cornell Hosp. Q. 2013, 54, 199–210. [Google Scholar] [CrossRef]
- Girod, S.J.G.; Whittington, R. Reconfiguration, Restructuring and Firm Performance: Dynamic Capabilities and Environmental Dynamism. Strateg. Manag. J. 2017, 38, 1121–1133. [Google Scholar] [CrossRef]
- Schilke, O. On the Contingent Value of Dynamic Capabilities for Competitive Advantage: The Nonlinear Moderating Effect of Environmental Dynamism. Strateg. Manag. J. 2014, 35, 179–203. [Google Scholar] [CrossRef]
- Rodrigues, V.P.; Pigosso, D.C.A.; McAloone, T.C. Process-Related Key Performance Indicators for Measuring Sustainability Performance of Ecodesign Implementation into Product Development. J. Clean. Prod. 2016, 139, 416–428. [Google Scholar] [CrossRef]
- Tsai, J.F.; Shen, S.P.; Lin, M.H. Applying a Hybrid MCDM Model to Evaluate Green Supply Chain Management Practices. Sustainability 2023, 15, 2148. [Google Scholar] [CrossRef]
- Ringle, C.M.; Wende, S.; Becker, J.-M. SmartPLS 3. SmartPLS GmbH, Boenningstedt. J. Serv. Sci. Manag. 2015, 10, 32–49. [Google Scholar]
- Hair, J.F.; Black, W.C.; Babin, B.J.; Anderson, R.E. Multivariate Data Analysis, 7th ed.; Prentice Hall: Englewood Cliffs, NJ, USA, 2010; pp. 700–724. [Google Scholar]
- Fornell, C.; Larcker, D.F. Evaluating Structural Equation Models with Unobservable Variables and Measurement Error. J. Mark. Res. 1981, 18, 39–50. [Google Scholar] [CrossRef]
- Gambetta, N.; Azcárate-Llanes, F.; Sierra-García, L.; García-Benau, M.A. Financial Institutions’ Risk Profile and Contribution to the Sustainable Development Goals. Sustainability 2021, 13, 7738. [Google Scholar] [CrossRef]
- Holgersson, M.; Granstrand, O. Value Capture in Open Innovation Markets: The Role of Patent Rights for Innovation Appropriation. Eur. J. Innov. Manag. 2022, 25, 320–339. [Google Scholar] [CrossRef]
- Khin, S.; Ho, T.C.F. Digital Technology, Digital Capability and Organizational Performance: A Mediating Role of Digital Innovation. Int. J. Innov. Sci. 2019, 11, 177–195. [Google Scholar] [CrossRef]
- Akgün, A.E.; Keskin, H. Team Intuition and Creativity in New Product Development Projects: A Multifaceted Perspective. J. Eng. Technol. Manag.—JET-M 2021, 62, 101660. [Google Scholar] [CrossRef]
- Schriber, S.; Löwstedt, J. Reconsidering Ordinary and Dynamic Capabilities in Strategic Change. Eur. Manag. J. 2020, 38, 377–387. [Google Scholar] [CrossRef]
- Zheng, S. Research on the Effect of Knowledge Network Embedding on the Dynamic Capabilities of Small and Micro Enterprises. Wirel. Commun. Mob. Comput. 2021, 2021, 5522788. [Google Scholar] [CrossRef]
- Helfat, C.E.; Peteraf, M.A. Managerial Cognitive Capabilities and the Microfoundations of Dynamic Capabilities. Strateg. Manag. J. 2015, 36, 831–850. [Google Scholar] [CrossRef]
- Qiu, L.; Jie, X.; Wang, Y.; Zhao, M. Green Product Innovation, Green Dynamic Capability, and Competitive Advantage: Evidence from Chinese Manufacturing Enterprises. Corp. Soc. Responsib. Environ. Manag. 2020, 27, 146–165. [Google Scholar] [CrossRef]
- Jensen, K.R. Cross-Cultural Collaboration Mechanisms That Facilitate Global Innovation Success for MNCs. In Transcending Cultural Frontiers: Practices, Challenges, and Strategy for International Business; Zakaria, N., Abdul-Talib, A.-N., Amelinckx, A., Eds.; Springer: Singapore, 2022; pp. 107–121. [Google Scholar]
- Jensen, K.R. Leading Global Innovation: Facilitating Multicultural Collaboration and International Market Success; Springer: Paris, France, 2017. [Google Scholar]
- Silva, R.; Oliveira, C. The Influence of Innovation in Tangible and Intangible Resource Allocation: A Qualitative Multi Case Study. Sustainability 2020, 12, 4989. [Google Scholar] [CrossRef]
- Teece, D.J. Hand in Glove: Open Innovation and the Dynamic Capabilities Framework. Strateg. Manag. Rev. 2020, 1, 233–253. [Google Scholar] [CrossRef]
- Ju, K.J.; Park, B.; Kim, T. Causal Relationship between Supply Chain Dynamic Capabilities, Technological Innovation, and Operational Performance. Manag. Prod. Eng. Rev. 2016, 7, 6–15. [Google Scholar] [CrossRef]
Demographics | Description | Frequency | % |
---|---|---|---|
Gender | Male | 307 | 64% |
Female | 173 | 36% | |
Education level | High school | 23 | 5% |
Bachelor | 170 | 35% | |
Master | 233 | 49% | |
PhD | 19 | 4% | |
other | 35 | 7% | |
Discipline | Natural Sciences | 95 | 20% |
Social Sciences | 139 | 29% | |
Management Sciences | 135 | 28% | |
Physical Sciences | 74 | 15% | |
Other | 37 | 8% | |
Position | Upper-Management | 106 | 22% |
Middle-Management | 242 | 51% | |
Lower-Management | 132 | 27% | |
Experience years | Less than 2 | 41 | 9% |
2–5 | 169 | 35% | |
6–10 | 196 | 41% | |
More than 10 | 74 | 15% | |
Size of the company (Number of employees) | Small (<50) | 183 | 38% |
Medium (50–250) | 211 | 44% | |
Large (>250) | 86 | 18% | |
Industry sector | Manufacturing and Production | 174 | 36% |
Healthcare and Pharmaceuticals | 35 | 7% | |
Telecommunication services | 74 | 16% | |
Energy Industry | 122 | 25% | |
Information Technology | 75 | 16% | |
International Experience (Number of Countries Worked In) | Local Experience | 38 | 8% |
1–3 | 214 | 45% | |
4–6 | 151 | 31% | |
more than 6 | 77 | 16% |
Index | Variables | FL |
---|---|---|
Technological Innovation Capabilities (TICs) (Cronbach’s-α = 0.869, rho_A = 0.874, CR = 0.874, AVE = 0.645) | ||
TIC1 | The firm capability to develop high-quality products/services across different geographical subunits | 0.832 |
TIC2 | The firm capability to develop products/services globally by adopting new technologies. | 0.929 |
TIC3 | The firm capability to effectively manage time to respond to urgent local and foreign demands | 0.900 |
TIC4 | The firm’s capability to attain external knowledge and advanced technologies. | 0.818 |
TIC5 | The firm has the innovative capability to improve global PD and control overseas management systems. | 0.861 |
TIC6 | The firm’s technological capability warrants the effective development of offshored products/services. | 0.735 |
TIC7 | The firm uses technologies and strategies that are ecologically friendly and cost-cutting. | 0.856 |
Team Creativity (TC) (Cronbach’s-α = 0.868, rho_A = 0.872, CR = 0.867, AVE = 0.617) | ||
TC1 | The teams generate new product ideas that originate from multiple sources worldwide. | 0.841 |
TC2 | The teams frequently incorporate new approaches and innovative concepts to enhance GPD tasks. | 0.922 |
TC3 | The distributed teams creatively tackle risks and uncertainties associated with overseas operations. | 0.766 |
TC4 | The creativity of globally spread teams affirmatively affects the firm overall performance. | 0.903 |
TC5 | The dispersed teams are praised as an excellent global role example for creativity. | 0.852 |
Dynamic Capabilities (DCA) (Cronbach’s-α = 0.870, rho_A = 0.885, CR = 0.869, AVE = 0.731) | ||
DCA1 | The firm’s ability to efficiently distribute product development activities. | 0.750 |
DCA2 | The firm capability to manage organizational assets to handle various conditions. | 0.927 |
DCA3 | The firm and its subsidiaries quickly acquire new expertise and skills to meet organizational needs. | 0.844 |
DCA4 | The firm actively implements efficient strategies within the GPD process to enhance performance. | 0.724 |
DCA5 | The firm capability to adapt to the quick shift in international business. | 0.815 |
Competitive Advantage (CA) (Cronbach’s-α = 0.895, rho_A = 0.878, CR = 0.902, AVE = 0.594) | ||
CA1 | The firm delivers and exports distinctive products/services that are hard to substitute due to GPD. | 0.771 |
CA2 | The firm’s products are more promising than those of its rivals due to global PD practice. | 0.856 |
CA3 | The firm can offer products at a more competitive price in the global market comparable to its rivals. | 0.780 |
CA4 | The firm’s strategies outstrip that of its rivals through GPD practice. | 0.879 |
Global Innovation Culture (GIC) (Cronbach’s-α = 0.938, rho_A = 0.902, CR = 0.941, AVE = 0.657) | ||
(1) The firm established an innovative and open corporate culture for our GPD program through: | ||
GIC1 | The firm acknowledges and generously rewards entrepreneurship. | 0.925 |
GIC2 | The firm actively encourages worldwide global teams to propose innovative product concepts. | 0.853 |
(2) In order to establish a “truly global” innovation culture, our firm: | ||
GIC3 | The firm highly promotes the recruitment of workforces from diverse nations and cultural backgrounds. | 0.883 |
GIC4 | The firm greatly stimulates knowledge exchange among all units dispersed abroad. | 0.740 |
GIC5 | The firm emphasizes responsiveness to differences in local markets. | 0.819 |
GIC6 | The firm reaches advanced interconnectedness levels across its global affiliates. | 0.927 |
GIC7 | The firm highly supports informal coordination among GPD teams and dispersed units. | 0.729 |
Global Product Development Performance (GPDP) (Cronbach’s-α = 0.857, rho_A = 0.843, CR = 0.860, AVE = 0.725) | ||
GPDP1 | The firm effectively manages the costs associated with distributed product development | 0.839 |
GPDP2 | The firm optimizes labor costs due to global product development practices. | 0.758 |
GPDP3 | The firm derives significant growth in new product sales in overseas markets. | 0.856 |
GPDP4 | The firm’s product development initiatives generate a satisfactory return on investment | 0.929 |
GPDP5 | The firm consistently meets project timelines and delivers products on schedule. | 0.901 |
GPDP6 | The firm improved the quality of its products generated through GPD processes. | 0.847 |
GPDP7 | The firm’s GPD practice contributes to high levels of customer satisfaction. | 0.859 |
GPDP8 | The firm delivers a notable percentage of innovative ideas and new products. | 0.903 |
GPDP9 | The firm’s global product development portfolio aligns effectively with its strategic goals. | 0.741 |
GPDP10 | The firm can efficiently bring products from the development stage to the market. | 0.833 |
GPDP11 | The firm demonstrates agility in developing new products in response to market demands. | 0.919 |
GPDP12 | The firm completes global product development projects within the intentional timeframe. | 0.774 |
GPDP13 | The firm actively assesses and reduces the carbon footprint of its product development activities. | 0.842 |
GPDP14 | The firm is conscious of managing energy consumption during the GPD processes. | 0.878 |
GPDP15 | The firm ensures compliance with local and overseas environmental regulations. | 0.925 |
TIC | TC | DCA | CA | GIC | GPDP | |
---|---|---|---|---|---|---|
TIC | 0.928 | |||||
TC | 0.825 | 0.897 | ||||
DCA | 0.914 | 0.823 | 0.936 | |||
CA | 0.778 | 0.751 | 0.780 | 0.872 | ||
GIC | 0.787 | 0.865 | 0.805 | 0.786 | 0.918 | |
GPDP | 0.819 | 0.742 | 0.731 | 0.807 | 0.826 | 0.832 |
Std Beta (β) | SD | T-Statistics | p-Values | Decision | ||
---|---|---|---|---|---|---|
H1 | TIC -> GPDP | 0.306 | 0.024 | 2.956 | 0.000 | Supported |
H2 | TC -> GPDP | 0.313 | 0.021 | 5.018 | 0.014 | Supported |
H3 | DCA -> GPDP | 0.128 | 0.019 | 6.766 | 0.000 | Supported |
H4 | CA -> GPDP | 0.012 | 0.003 | 4.544 | 0.009 | Supported |
H5 | GIC -> GPDP | 0.245 | 0.032 | 7.612 | 0.000 | Supported |
Hypotheses | Std Beta (β) | SD | T-Statistics | p-Values | Decision | |
---|---|---|---|---|---|---|
H6 | TICxGIC -> GPDP | 0.106 | 0.026 | 4.097 | 0.028 | Supported |
H7 | TCxGIC -> GPDP | 0.072 | 0.019 | 3.825 | 0.001 | Supported |
H8 | DCAxGIC -> GPDP | −0.227 | 0.036 | 6.376 | 0.000 | Supported |
H9 | CAxGIC -> GPDP | −0.010 | 0.006 | 1.774 | 0.076 | Not supported |
Disclaimer/Publisher’s Note: The statements, opinions and data contained in all publications are solely those of the individual author(s) and contributor(s) and not of MDPI and/or the editor(s). MDPI and/or the editor(s) disclaim responsibility for any injury to people or property resulting from any ideas, methods, instructions or products referred to in the content. |
© 2024 by the authors. Licensee MDPI, Basel, Switzerland. This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license (https://creativecommons.org/licenses/by/4.0/).
Share and Cite
Malek, R.; Yang, Q.; Dhelim, S. Toward Sustainable Global Product Development Performance: Exploring the Criticality of Organizational Factors and the Moderating Influence of Global Innovation Culture. Sustainability 2024, 16, 3911. https://doi.org/10.3390/su16103911
Malek R, Yang Q, Dhelim S. Toward Sustainable Global Product Development Performance: Exploring the Criticality of Organizational Factors and the Moderating Influence of Global Innovation Culture. Sustainability. 2024; 16(10):3911. https://doi.org/10.3390/su16103911
Chicago/Turabian StyleMalek, Razika, Qing Yang, and Sahraoui Dhelim. 2024. "Toward Sustainable Global Product Development Performance: Exploring the Criticality of Organizational Factors and the Moderating Influence of Global Innovation Culture" Sustainability 16, no. 10: 3911. https://doi.org/10.3390/su16103911
APA StyleMalek, R., Yang, Q., & Dhelim, S. (2024). Toward Sustainable Global Product Development Performance: Exploring the Criticality of Organizational Factors and the Moderating Influence of Global Innovation Culture. Sustainability, 16(10), 3911. https://doi.org/10.3390/su16103911