The The impact of innovation leadership on organizational performance of cooperative: The role of mediating strategic fit
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Published:
Nov 8, 2023
Keywords:
Cooperative, Innovation Leadership, Organizational Performance, Strategic Fit
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Economy
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Abstract
In the strategic leadership literature, innovation leadership plays an important role to realize strategic fit in an organization. Strategic fit indicates that the strategic planning made by the organization is in accordance with the vision and mission of the organization, thus having an impact on its business performance. This study aims to investigate the mediating role of strategic fit on the relationship between innovation leadership and organizational performance. The population in this study were cooperatives in Lima Puluh Kota Regency with a sample size of 134 cooperatives. Research data were collected through questionnaires. The partial least square- structural equation modeling method with Smartpls 4 was used to analyze the data. The results of this study confirmed that innovation leadership has a positive and significant influence on strategic fit. Strategic fit exerts a positive and significant influence on organizational performance. This study also found the mediating effect of strategic fit on the relationship between innovation leadership and organizational performance
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How to Cite
Shintya Dewi, D., Herri, H. and Lita, R. P. . (2023) “The The impact of innovation leadership on organizational performance of cooperative: The role of mediating strategic fit”, Jurnal Mantik, 7(3), pp. 1661-1670. doi: 10.35335/mantik.v7i3.4165.
References
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Anning-Dorson, Thomas. 2018. “Innovation and Competitive Advantage Creation: The Role of Organisational Leadership in Service Firms from Emerging Markets.” International Marketing Review 35(4): 580–600.
Boy Akdag, Leyla, and Özge Tayfur Ekmekci. 2023. “Exploring the Black Box of Human Resource and Business Strategy Linkage: The Effect of Strategic Fits on Organizational Performance.” International Journal of Manpower.
Carmeli, Abraham, Roy Gelbard, and David Gefen. 2010. “The Importance of Innovation Leadership in Cultivating Strategic Fit and Enhancing Firm Performance.” The Leadership Quarterly 21(3): 339–49.
Chen, Deng-Neng, and Ting-Peng Liang. 2011. “Knowledge Evolution Strategies and Organizational Performance: A Strategic Fit Analysis.” Electronic Commerce Research and Applications 10(1): 75–84.
Damanpour, Fariborz. 2014. “Footnotes to Research on Management Innovation.” Organization Studies 35(9): 1265–85.
Debi, Shintya Dewi. 2017. “Analisa Pengaruh Orientasi Kewirausahaan, Inovasi Organisasi Terhadap Kinerja Organisasi Industri Kerajinan Di Kota Payakumbuh Dan Kabupaten 50 Kota.”
Ekwutosi, Onuoha Charity. 2014. “Implication of Strategic Fit and Sustainability on Organizational Effectiveness.” International Journal of Business Tourism and Applied Sciences 2: 83–94.
Farrukh, Muhammad, Fanchen Meng, Muhammad Sajid, and Imran Shahzad. 2020. “Does Strategic Fit Matter in Measuring Organizational Performance? An Empirical Analysis.” Corporate Social Responsibility and Environmental Management 27(4): 1800–1808.
García-Morales, Víctor Jesús, María Magdalena Jiménez-Barrionuevo, and Leopoldo Gutiérrez-Gutiérrez. 2012. “Transformational Leadership Influence on Organizational Performance through Organizational Learning and Innovation.” Journal of business research 65(7): 1040–50.
Gliddon, David G, and William J Rothwell. 2018. Innovation Leadership. Routledge.
Gunardi, Gunardi, Luthfi Marfungah, Rayhan Fiqi Fansuri, Michelle Prawira, and Agatha Lafentia. 2022. “Analisis Yuridis Eksistensi Badan Hukum Koperasi Sebagai Sarana Kemajuan UMKM.” Jurnal Muara Ilmu Sosial, Humaniora, Dan Seni 6(1): 256–64.
Gupta, Vipin, and Yi Zhang. 2019. “Strategic Fit: Microfoundations of Firm’s Environmental Performance Ajuste Estratégico: Fundamentos Micro Del Resultado Medioambiental de La Empresa.” Management 17(2): 221–46.
Haapaniemi, Pinja. 2017. “Leadership in Innovations of Finnish Household Goods Producing Companies.”
Henseler, Jörg, Christian M Ringle, and Rudolf R Sinkovics. 2009. “The Use of Partial Least Squares Path Modeling in International Marketing.” In New Challenges to International Marketing, Emerald Group Publishing Limited, 277–319.
Herri, H. 2011. “Firms Performance and Top Management Characteristics in Indonesia.” International Business & Economics Research Journal (IBER) 10(8): 15–22.
Hervas-Oliver, Jose-Luis, Jose Albors Garrigos, and Ignacio Gil-Pechuan. 2011. “Making Sense of Innovation by R&D and Non-R&D Innovators in Low Technology Contexts: A Forgotten Lesson for Policymakers.” Technovation 31(9): 427–46.
https://disdagkopukm.limapuluhkotakab.go.id (Rabu/29 Maret 2023, pukul 09.50)
Hunter, Samuel T, and Lily Cushenbery. 2011. “Leading for Innovation: Direct and Indirect Influences.” Advances in Developing Human Resources 13(3): 248–65.
Jung, Dongil Don, Anne Wu, and Chee W Chow. 2008. “Towards Understanding the Direct and Indirect Effects of CEOs’ Transformational Leadership on Firm Innovation.” The leadership quarterly 19(5): 582–94.
Khan, Muhammad Shahid, Poramet Saengon, Thanaphon Cheungsirakulvit, and Kanyamon Kanchanathaveekul. 2021. “The Moderating Effect of Strategic Fit Enhances Business Performance: Empirical Evidence from the Telecommunication Industry.” Business Strategy & Development 4(3): 229–36.
Koperasi, Departemen. 1992. “Undang-Undang Republik Indonesia No 25 Tahun 1992.” Tentang Perkoperasian.
Lindow, Corinna M, Stephan Stubner, and Torsten Wulf. 2010. “Strategic Fit within Family Firms: The Role of Family Influence and the Effect on Performance.” Journal of Family Business Strategy 1(3): 167–78.
Lukoschek, Carmen Sabrina, Gisela Gerlach, Ruth Maria Stock, and Katherine Xin. 2018. “Leading to Sustainable Organizational Unit Performance: Antecedents and Outcomes of Executives’ Dual Innovation Leadership.” Journal of Business Research 91: 266–76.
Makri, Marianna, and Terri A Scandura. 2010. “Exploring the Effects of Creative CEO Leadership on Innovation in High-Technology Firms.” The leadership quarterly 21(1): 75–88.
Mulyani, Sitti Rizki, Vivi Nila Sari, and Marta Widian Sari. 2020. “Model of Employee Motivation and Cooperative Performance.” Utopía y Praxis Latinoamericana 25(1): 232–42.
Popli, Manish, Mohammad Akbar, Vikas Kumar, and Ajai Gaur. 2017. “Performance Impact of Temporal Strategic Fit: E Ntrainment of Internationalization with Pro?Market Reforms.” Global Strategy Journal 7(4): 354–74.
Prajogo, Daniel I. 2016. “The Strategic Fit between Innovation Strategies and Business Environment in Delivering Business Performance.” International Journal of Production Economics 171: 241–49.
Schneider, Benjamin, Mark G Ehrhart, David M Mayer, Jessica L Saltz, and Kathryn Niles-Jolly. 2005. “Understanding Organization-Customer Links in Service Settings.” Academy of management journal 48(6): 1017–32.
Setiawan, Setiawan, Bambang Wisnuadhi, Ghifari Munawar, Hasbi Assidiki Mauluddi, and Dimas Sumitra Danisworo. 2021. “Perancangan Aplikasi Sederhana Untuk Transaksi Harian Koperasi Syariah Berkah Kabupaten Bandung Barat.” E-Dimas: Jurnal Pengabdian kepada Masyarakat 12(2): 322–28.
Sousa, Carlos M P, and Qun Tan. 2015. “Exit from a Foreign Market: Do Poor Performance, Strategic Fit, Cultural Distance, and International Experience Matter?” Journal of International Marketing 23(4): 84–104.
Stock, Ruth Maria, Florian Totzauer, and Nicolas A Zacharias. 2014. “A Closer Look at Cross?functional R&D Cooperation for Innovativeness: Innovation?oriented Leadership and Human Resource Practices as Driving Forces.” Journal of product innovation management 31(5): 924–38.
Wang, Dan?Shang, and Chi?Lih Shyu. 2008. “Will the Strategic Fit between Business and HRM Strategy Influence HRM Effectiveness and Organizational Performance?” International journal of manpower.
Wang, Zhining, Nianxin Wang, Jinwei Cao, and Xinfeng Ye. 2016. “The Impact of Intellectual Capital–knowledge Management Strategy Fit on Firm Performance.” Management decision.
Widiartanto, and Suhadak. 2013. “The Effect of Transformational Leadership on Market Orientation , Learning Orientation , Organization Innovation and Organization Performance.” Journal of Business and Management 12(6): 8–18.
Y?ld?z, Sebahattin, Faruk Ba?türk, and ?lknur Ta?tan Boz. 2014. “The Effect of Leadership and Innovativeness on Business Performance.” Procedia-Social and Behavioral Sciences 150: 785–93.
Y?ld?z, Sebahattin, and Adem Karaka?. 2012. “Defining Methods and Criteria for Measuring Business Performance: A Comparative Research between the Literature in Turkey and Foreign.” Procedia-Social and Behavioral Sciences 58: 1091–1102.
Anning-Dorson, Thomas. 2018. “Innovation and Competitive Advantage Creation: The Role of Organisational Leadership in Service Firms from Emerging Markets.” International Marketing Review 35(4): 580–600.
Boy Akdag, Leyla, and Özge Tayfur Ekmekci. 2023. “Exploring the Black Box of Human Resource and Business Strategy Linkage: The Effect of Strategic Fits on Organizational Performance.” International Journal of Manpower.
Carmeli, Abraham, Roy Gelbard, and David Gefen. 2010. “The Importance of Innovation Leadership in Cultivating Strategic Fit and Enhancing Firm Performance.” The Leadership Quarterly 21(3): 339–49.
Chen, Deng-Neng, and Ting-Peng Liang. 2011. “Knowledge Evolution Strategies and Organizational Performance: A Strategic Fit Analysis.” Electronic Commerce Research and Applications 10(1): 75–84.
Damanpour, Fariborz. 2014. “Footnotes to Research on Management Innovation.” Organization Studies 35(9): 1265–85.
Debi, Shintya Dewi. 2017. “Analisa Pengaruh Orientasi Kewirausahaan, Inovasi Organisasi Terhadap Kinerja Organisasi Industri Kerajinan Di Kota Payakumbuh Dan Kabupaten 50 Kota.”
Ekwutosi, Onuoha Charity. 2014. “Implication of Strategic Fit and Sustainability on Organizational Effectiveness.” International Journal of Business Tourism and Applied Sciences 2: 83–94.
Farrukh, Muhammad, Fanchen Meng, Muhammad Sajid, and Imran Shahzad. 2020. “Does Strategic Fit Matter in Measuring Organizational Performance? An Empirical Analysis.” Corporate Social Responsibility and Environmental Management 27(4): 1800–1808.
García-Morales, Víctor Jesús, María Magdalena Jiménez-Barrionuevo, and Leopoldo Gutiérrez-Gutiérrez. 2012. “Transformational Leadership Influence on Organizational Performance through Organizational Learning and Innovation.” Journal of business research 65(7): 1040–50.
Gliddon, David G, and William J Rothwell. 2018. Innovation Leadership. Routledge.
Gunardi, Gunardi, Luthfi Marfungah, Rayhan Fiqi Fansuri, Michelle Prawira, and Agatha Lafentia. 2022. “Analisis Yuridis Eksistensi Badan Hukum Koperasi Sebagai Sarana Kemajuan UMKM.” Jurnal Muara Ilmu Sosial, Humaniora, Dan Seni 6(1): 256–64.
Gupta, Vipin, and Yi Zhang. 2019. “Strategic Fit: Microfoundations of Firm’s Environmental Performance Ajuste Estratégico: Fundamentos Micro Del Resultado Medioambiental de La Empresa.” Management 17(2): 221–46.
Haapaniemi, Pinja. 2017. “Leadership in Innovations of Finnish Household Goods Producing Companies.”
Henseler, Jörg, Christian M Ringle, and Rudolf R Sinkovics. 2009. “The Use of Partial Least Squares Path Modeling in International Marketing.” In New Challenges to International Marketing, Emerald Group Publishing Limited, 277–319.
Herri, H. 2011. “Firms Performance and Top Management Characteristics in Indonesia.” International Business & Economics Research Journal (IBER) 10(8): 15–22.
Hervas-Oliver, Jose-Luis, Jose Albors Garrigos, and Ignacio Gil-Pechuan. 2011. “Making Sense of Innovation by R&D and Non-R&D Innovators in Low Technology Contexts: A Forgotten Lesson for Policymakers.” Technovation 31(9): 427–46.
https://disdagkopukm.limapuluhkotakab.go.id (Rabu/29 Maret 2023, pukul 09.50)
Hunter, Samuel T, and Lily Cushenbery. 2011. “Leading for Innovation: Direct and Indirect Influences.” Advances in Developing Human Resources 13(3): 248–65.
Jung, Dongil Don, Anne Wu, and Chee W Chow. 2008. “Towards Understanding the Direct and Indirect Effects of CEOs’ Transformational Leadership on Firm Innovation.” The leadership quarterly 19(5): 582–94.
Khan, Muhammad Shahid, Poramet Saengon, Thanaphon Cheungsirakulvit, and Kanyamon Kanchanathaveekul. 2021. “The Moderating Effect of Strategic Fit Enhances Business Performance: Empirical Evidence from the Telecommunication Industry.” Business Strategy & Development 4(3): 229–36.
Koperasi, Departemen. 1992. “Undang-Undang Republik Indonesia No 25 Tahun 1992.” Tentang Perkoperasian.
Lindow, Corinna M, Stephan Stubner, and Torsten Wulf. 2010. “Strategic Fit within Family Firms: The Role of Family Influence and the Effect on Performance.” Journal of Family Business Strategy 1(3): 167–78.
Lukoschek, Carmen Sabrina, Gisela Gerlach, Ruth Maria Stock, and Katherine Xin. 2018. “Leading to Sustainable Organizational Unit Performance: Antecedents and Outcomes of Executives’ Dual Innovation Leadership.” Journal of Business Research 91: 266–76.
Makri, Marianna, and Terri A Scandura. 2010. “Exploring the Effects of Creative CEO Leadership on Innovation in High-Technology Firms.” The leadership quarterly 21(1): 75–88.
Mulyani, Sitti Rizki, Vivi Nila Sari, and Marta Widian Sari. 2020. “Model of Employee Motivation and Cooperative Performance.” Utopía y Praxis Latinoamericana 25(1): 232–42.
Popli, Manish, Mohammad Akbar, Vikas Kumar, and Ajai Gaur. 2017. “Performance Impact of Temporal Strategic Fit: E Ntrainment of Internationalization with Pro?Market Reforms.” Global Strategy Journal 7(4): 354–74.
Prajogo, Daniel I. 2016. “The Strategic Fit between Innovation Strategies and Business Environment in Delivering Business Performance.” International Journal of Production Economics 171: 241–49.
Schneider, Benjamin, Mark G Ehrhart, David M Mayer, Jessica L Saltz, and Kathryn Niles-Jolly. 2005. “Understanding Organization-Customer Links in Service Settings.” Academy of management journal 48(6): 1017–32.
Setiawan, Setiawan, Bambang Wisnuadhi, Ghifari Munawar, Hasbi Assidiki Mauluddi, and Dimas Sumitra Danisworo. 2021. “Perancangan Aplikasi Sederhana Untuk Transaksi Harian Koperasi Syariah Berkah Kabupaten Bandung Barat.” E-Dimas: Jurnal Pengabdian kepada Masyarakat 12(2): 322–28.
Sousa, Carlos M P, and Qun Tan. 2015. “Exit from a Foreign Market: Do Poor Performance, Strategic Fit, Cultural Distance, and International Experience Matter?” Journal of International Marketing 23(4): 84–104.
Stock, Ruth Maria, Florian Totzauer, and Nicolas A Zacharias. 2014. “A Closer Look at Cross?functional R&D Cooperation for Innovativeness: Innovation?oriented Leadership and Human Resource Practices as Driving Forces.” Journal of product innovation management 31(5): 924–38.
Wang, Dan?Shang, and Chi?Lih Shyu. 2008. “Will the Strategic Fit between Business and HRM Strategy Influence HRM Effectiveness and Organizational Performance?” International journal of manpower.
Wang, Zhining, Nianxin Wang, Jinwei Cao, and Xinfeng Ye. 2016. “The Impact of Intellectual Capital–knowledge Management Strategy Fit on Firm Performance.” Management decision.
Widiartanto, and Suhadak. 2013. “The Effect of Transformational Leadership on Market Orientation , Learning Orientation , Organization Innovation and Organization Performance.” Journal of Business and Management 12(6): 8–18.
Y?ld?z, Sebahattin, Faruk Ba?türk, and ?lknur Ta?tan Boz. 2014. “The Effect of Leadership and Innovativeness on Business Performance.” Procedia-Social and Behavioral Sciences 150: 785–93.
Y?ld?z, Sebahattin, and Adem Karaka?. 2012. “Defining Methods and Criteria for Measuring Business Performance: A Comparative Research between the Literature in Turkey and Foreign.” Procedia-Social and Behavioral Sciences 58: 1091–1102.
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