The Role of Organizational Culture and Strategic Vision in Enhancing SME Performance through Ambidexterity: A Quantitative Study of Garments Industry

Syed Asad Hussain Shah Bukhari; Malik Javied Anwar; Ehsan Bhutta; Sohail Anwar

doi:10.52461/sabas.v7i2.4611

Authors

Syed Asad Hussain Shah Bukhari Superior University Lahore, Pakistan
Malik Javied Anwar Superior University Lahore, Pakistan
Ehsan Bhutta Pakistan Administrative Services (PAS)
Sohail Anwar Superior University Lahore, Pakistan

DOI:

https://doi.org/10.52461/sabas.v7i2.4611

Keywords:

Culture, Vision, Ambidexterity, Performance, Resource Based View, Dynamic Capability, Ambidextrous Capabilities

Abstract

Purpose: This study aims to investigate the direct effect of organizational culture and strategic vision development on organizational performance, specifically, its indirect effect through the mediation of organizational ambidexterity in the context of SMEs. Organizational ambidexterity is an important factor which is defined as an ability of an organization to balance exploration (innovation and new opportunities) and exploitation (efficient use of existing resources).

Methodology: This study adopted a quantitative research methodology and employed stratified random sampling. Data were collected from 110 employees of manufacturing firms. PLS-SEM method was used to analyze the collected data and to test both direct and indirect relationships between the variables, assess the reliability and validity of constructs and evaluate the overall fitness of the model.

Findings: The findings of this study support proposed hypothesized relationships. The results indicate that organizational culture and strategic vision development have a significant positive effect on organizational performance. Furthermore, organizational ambidexterity significantly plays a mediating relationship between organizational culture, strategic vision development and organizational performance. The results suggest that an organizational culture and strategic vision are the key organizational factors that enable SMEs to develop and practice ambidextrous capabilities.

Implications: The managers and leaders should foster an adaptive and innovative organizational culture and they must articulate strategic vision clearly and in structured manner. Managers should focus on the development of ambidextrous capabilities within the teams and ensure that the employees are well equipped to manage both innovative initiatives and operational efficiency.

Recommendations: Future Researchers can explore these relationships in terms of sustainable development practices in other industries. They should consider longitudinal designs and integrate qualitative approaches to gain better insights into the subject.

Author Biographies

Syed Asad Hussain Shah Bukhari, Superior University Lahore, Pakistan

Scholar, Superior University Lahore, Pakistan

Malik Javied Anwar, Superior University Lahore, Pakistan

Director, Faculty of Business and Management Sciences, Superior University Lahore, Pakistan

Ehsan Bhutta, Pakistan Administrative Services (PAS)

Pakistan Administrative Services (PAS)

Sohail Anwar, Superior University Lahore, Pakistan

Program Leader/Lecturer, Superior University Lahore, Pakistan

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