Innovation strategies and performance: Are they truly linked?

Purpose – The purpose of this paper is to test the linkage between innovation strategies (process innovation and service innovation) and organizational performance in the context of Malaysia hotel industry. Design/methodology/approach – A total of 475 sets of questionnaires administrated through mai...

Full description

Bibliographic Details
Main Authors: Abdullah, Haim Hilman, Kaliappen, Narentheren
Format: Article
Language:English
Published: Emerald Group Publishing Limited 2015
Subjects:
Online Access:https://repo.uum.edu.my/id/eprint/14089/1/WJEMSD.pdf
_version_ 1825803301597216768
author Abdullah, Haim Hilman
Kaliappen, Narentheren
author_facet Abdullah, Haim Hilman
Kaliappen, Narentheren
author_sort Abdullah, Haim Hilman
collection UUM
description Purpose – The purpose of this paper is to test the linkage between innovation strategies (process innovation and service innovation) and organizational performance in the context of Malaysia hotel industry. Design/methodology/approach – A total of 475 sets of questionnaires administrated through mail to all three star and above rating hotel managers in Malaysia, and only 24 percent of it, which is 114 were usable. Regression was utilized to test the link of innovation strategies and performance. Findings – The results showed that hotels in Malaysia used process innovation and service innovation as their functional-level strategy. Specifically, both process innovation and service innovation strategies positively linked with performance. But, the paired sample t-test result indicated that process innovation has slightly greater effect on performance than service innovation.In addition, this study found that hotel size significantly affected the performance.Research limitations/implications – This study is one of the limited number of studies which has empirically addressed the effect of innovation strategies on performance in hotel industry.Additional researches are needed to address effect of potential mediators or even moderators in innovation strategies and performance linkage.Practical implications – This study found that implementation of process innovation and service innovation as their functional strategy could assist to attain better performance in Malaysia hotel industry. Entirely the findings provided new insight to the hotel management in understanding the role of innovation strategies in generating enhanced performance. Originality/value – Process innovation and service innovation in the service industry have received very limited empirical attention in current innovation literature. This study extended the body of knowledge in innovation literature, particularly in hospitality sector in Malaysia.
first_indexed 2024-07-04T05:54:44Z
format Article
id uum-14089
institution Universiti Utara Malaysia
language English
last_indexed 2024-07-04T05:54:44Z
publishDate 2015
publisher Emerald Group Publishing Limited
record_format eprints
spelling uum-140892016-04-12T04:56:57Z https://repo.uum.edu.my/id/eprint/14089/ Innovation strategies and performance: Are they truly linked? Abdullah, Haim Hilman Kaliappen, Narentheren HD28 Management. Industrial Management Purpose – The purpose of this paper is to test the linkage between innovation strategies (process innovation and service innovation) and organizational performance in the context of Malaysia hotel industry. Design/methodology/approach – A total of 475 sets of questionnaires administrated through mail to all three star and above rating hotel managers in Malaysia, and only 24 percent of it, which is 114 were usable. Regression was utilized to test the link of innovation strategies and performance. Findings – The results showed that hotels in Malaysia used process innovation and service innovation as their functional-level strategy. Specifically, both process innovation and service innovation strategies positively linked with performance. But, the paired sample t-test result indicated that process innovation has slightly greater effect on performance than service innovation.In addition, this study found that hotel size significantly affected the performance.Research limitations/implications – This study is one of the limited number of studies which has empirically addressed the effect of innovation strategies on performance in hotel industry.Additional researches are needed to address effect of potential mediators or even moderators in innovation strategies and performance linkage.Practical implications – This study found that implementation of process innovation and service innovation as their functional strategy could assist to attain better performance in Malaysia hotel industry. Entirely the findings provided new insight to the hotel management in understanding the role of innovation strategies in generating enhanced performance. Originality/value – Process innovation and service innovation in the service industry have received very limited empirical attention in current innovation literature. This study extended the body of knowledge in innovation literature, particularly in hospitality sector in Malaysia. Emerald Group Publishing Limited 2015 Article PeerReviewed application/pdf en https://repo.uum.edu.my/id/eprint/14089/1/WJEMSD.pdf Abdullah, Haim Hilman and Kaliappen, Narentheren (2015) Innovation strategies and performance: Are they truly linked? World Journal of Entrepreneurship, Management and Sustainable Development, 11 (1). pp. 48-63. ISSN 2042-5961 http://doi.org/10.1108/WJEMSD-04-2014-0010 doi:10.1108/WJEMSD-04-2014-0010 doi:10.1108/WJEMSD-04-2014-0010
spellingShingle HD28 Management. Industrial Management
Abdullah, Haim Hilman
Kaliappen, Narentheren
Innovation strategies and performance: Are they truly linked?
title Innovation strategies and performance: Are they truly linked?
title_full Innovation strategies and performance: Are they truly linked?
title_fullStr Innovation strategies and performance: Are they truly linked?
title_full_unstemmed Innovation strategies and performance: Are they truly linked?
title_short Innovation strategies and performance: Are they truly linked?
title_sort innovation strategies and performance are they truly linked
topic HD28 Management. Industrial Management
url https://repo.uum.edu.my/id/eprint/14089/1/WJEMSD.pdf
work_keys_str_mv AT abdullahhaimhilman innovationstrategiesandperformancearetheytrulylinked
AT kaliappennarentheren innovationstrategiesandperformancearetheytrulylinked