Organizational embeddedness and its effect on performance: an exploratory analysis for Malaysian business managers

In advancing the Malaysian industrial and business cause Malaysian business managers may have to reflect properly on the ‘myth of downsizing’ in inter-organization context. Firms’ network structural positions exert different effects upon the firms’ level of relational capital outcomes in an upstre...

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Main Author: Lokhman Hakim Osman
Format: Article
Language:English
Published: School of Social, Development and Environmental Studies, Faculty of Social Sciences and Humanities, Universiti Kebangsaan Malaysia 2016
Online Access:http://journalarticle.ukm.my/9826/
http://journalarticle.ukm.my/9826/1/19x.geografia-si-feb16-lokhman-edam_%281%29.pdf
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author Lokhman Hakim Osman,
author_facet Lokhman Hakim Osman,
author_sort Lokhman Hakim Osman,
building UKM Institutional Repository
collection Online Access
description In advancing the Malaysian industrial and business cause Malaysian business managers may have to reflect properly on the ‘myth of downsizing’ in inter-organization context. Firms’ network structural positions exert different effects upon the firms’ level of relational capital outcomes in an upstream supply network. Previous researches had largely focused on the context of decentralized network structure. However, the supply network is a centralized network because of the existence of the focal firm the existence of which may influence the impact of relational capital outcomes. Hence, the objective of this study was to determine the type of network structural positions required to obtain reasonable relational capital outcome in upstream supply network through an exploratory analysis of a small material-intensive maritime industry. The study found that network structural positions, i.e. degree centrality, did contribute to firms’ level of relational capital trust. In conclusion, firms embedded in upstream supply network benefit differently in terms of relational capital through different degrees of embeddedness. Firms’ resources should be re-aligned to match the benefits of different network structural positions.
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spelling oai:generic.eprints.org:98262016-12-14T06:50:57Z http://journalarticle.ukm.my/9826/ Organizational embeddedness and its effect on performance: an exploratory analysis for Malaysian business managers Lokhman Hakim Osman, In advancing the Malaysian industrial and business cause Malaysian business managers may have to reflect properly on the ‘myth of downsizing’ in inter-organization context. Firms’ network structural positions exert different effects upon the firms’ level of relational capital outcomes in an upstream supply network. Previous researches had largely focused on the context of decentralized network structure. However, the supply network is a centralized network because of the existence of the focal firm the existence of which may influence the impact of relational capital outcomes. Hence, the objective of this study was to determine the type of network structural positions required to obtain reasonable relational capital outcome in upstream supply network through an exploratory analysis of a small material-intensive maritime industry. The study found that network structural positions, i.e. degree centrality, did contribute to firms’ level of relational capital trust. In conclusion, firms embedded in upstream supply network benefit differently in terms of relational capital through different degrees of embeddedness. Firms’ resources should be re-aligned to match the benefits of different network structural positions. School of Social, Development and Environmental Studies, Faculty of Social Sciences and Humanities, Universiti Kebangsaan Malaysia 2016-02 Article PeerReviewed application/pdf en http://journalarticle.ukm.my/9826/1/19x.geografia-si-feb16-lokhman-edam_%281%29.pdf Lokhman Hakim Osman, (2016) Organizational embeddedness and its effect on performance: an exploratory analysis for Malaysian business managers. Geografia : Malaysian Journal of Society and Space, 12 (2). pp. 212-222. ISSN 2180-2491 http://www.ukm.my/geografia/v2/index.php?cont=a&item=2&thn=2016&vol=12&issue=2&ver=loc
spellingShingle Lokhman Hakim Osman,
Organizational embeddedness and its effect on performance: an exploratory analysis for Malaysian business managers
title Organizational embeddedness and its effect on performance: an exploratory analysis for Malaysian business managers
title_full Organizational embeddedness and its effect on performance: an exploratory analysis for Malaysian business managers
title_fullStr Organizational embeddedness and its effect on performance: an exploratory analysis for Malaysian business managers
title_full_unstemmed Organizational embeddedness and its effect on performance: an exploratory analysis for Malaysian business managers
title_short Organizational embeddedness and its effect on performance: an exploratory analysis for Malaysian business managers
title_sort organizational embeddedness and its effect on performance: an exploratory analysis for malaysian business managers
url http://journalarticle.ukm.my/9826/
http://journalarticle.ukm.my/9826/
http://journalarticle.ukm.my/9826/1/19x.geografia-si-feb16-lokhman-edam_%281%29.pdf