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HOW DOES ORGANIZATIONAL STRUCTURE IMPACT THE RELATIONSHIP BETWEEN ORGANIZATIONAL AGILITY AND CUSTOMER SATISFACTION?

Yıl 2023, Cilt: 5 Sayı: 2, 88 - 109, 29.10.2023

Öz

By applying organizational agility practices, organizations, especially, banks can achieve better customer satisfaction and centricity along with the ability to adapt their structure. This study investigates the direct relationship between organizational agility and customer satisfaction as well as the moderating effect of organizational structure on the organizational agility and customer satisfaction relationship. The study is cross-sectional based on using 33 Likert-scale items to design a questionnaire, which is distributed to 430 employees and managers working in the commercial banks of Jordan. By adopting SPSS, exploratory factor analysis is used to validate the study’s variables; multiple linear regression and process macro tool are used to test the study’s hypotheses. The findings show that organizational agility in terms of sensing, responsiveness, acting, and reconfiguration affects customer satisfaction. Moreover, all organizational agility factors affecting customer satisfaction are moderated by formalization while organic structure moderates only the relationship between two factors of organizational agility and customer satisfaction. Overall, the study found that while organizational agility may impact customer satisfaction, ultimately, its potential to achieve superior customer satisfaction is conditioned by the organizations' ability to adjust their internal structures. The contribution of this study lies in the moderation effect of organizational structure, which provides researchers and practitioners with an insight into competitively utilizing organizational structure.

Kaynakça

  • Ahmadi, S., Fathizadeh, A., Sadeghi, J., & Taherkhani, L. (2012). A study on the relationship between organizational structure and organizational agility: A case study of insurance firm. Management Science Letters, 2(8), 2777-2788.
  • Alabar, T. T., & Agema, R. J. (2014). Information and communication technology and customers’ satisfaction in Nigerian banking industry. Journal of Advanced Management Sciences, 2(4), 333-338.
  • Al-Hakim, L., Ali, Y., Thabit, H., & Al-Nasrawi, H. (2017). The complementary relationship between organizational architecture and organizational agility - An empirical study in mobile carriers of Erbil – Iraq. International Journal of Social Sciences & Educational Studies, 3(3), 19-28.
  • Ambrose, C., & Morello, D. I. (2004). Designing the agile organization: design principles and practices (pp. 1-25). Gartner; Inc.
  • Auh, S., & Menguc, B. (2007). Performance implications of the direct and moderating effects of centralization and formalization on customer orientation. Industrial Marketing Management, 36(8), 1022-1034.
  • Aydin, S., Ozer, G. O., & Rasil, A. (2005). Customer loyalty and the effect of switching costs as a moderator variable. Marketing Intelligence and Planning, 23, 89-103.
  • Barve, A. (2011). Impact of supply chain agility on customer satisfaction. International Conference On E-Business, Management and Economics. IPEDR (Vol. 3, pp. 325-329). IACSIT Press Hong Kong.
  • Dalvi, M. R., Shekarchizadeh, A. R., & Baghsorkhi, G. R. (2013). Investigating of organizational agility components (innovation speed, accountability, integrated information systems, flexible and multi-skilled employees and flexibility) on the organizational performance based on the satellite model (snowa company as a case study). Gjpast Journal, 3(4), 15-29.
  • Fateme, S., Abdolrahman, M., & Tahereh, A. (2013). Assessment aspects of organizational agility (Case study of khuzestan sport and youth organization). International Journal of Sport Studies, 3(6), 643-648.
  • Felin, T. (2015). Designing organizations for dynamic capabilities. California Management Review, 58(4), 78-96.
  • Felipe Llanos, C., Roldán, J., & Leal-Rodríguez, A. (2016). An explanatory and predictive model for organizational agility. Journal of Business Research, 69(10), 46-24.
  • Galbreath, J. (2010). How does corporate social responsibility benefit firms? Evidence from Australia. European Business Review, 22(4), 411-431.
  • Glenn, M. (2009). Organizational agility: How business can survive and thrive in turbulent times. A report from the economist intelligence unit sponsored by EMC.
  • Gligor, D., Bozkurt, S., Gölgeci, I., & Maloni, M.J. (2020). Does supply chain agility create customer value and satisfaction for loyal B2B business and B2C end-customers?. International Journal of Physical Distribution & Logistics Management, 50(7/8), 721-743.
  • Goldman, S. L., Nagel, R. L., & Preiss, K. (1995). Agile competitors and virtual organizations: Strategies for enriching the customers. Van Nostrand Reinhold, New York.
  • Haller, R. S. (2009). Organisational agility: A preliminary investigation into the South African financial services industry [Master Thesis]. University of Cape Town.
  • Harraf, A., Wanasika, I., Tate, K., & Talbott, K. (2015). Organizational agility. Journal of Applied Business Research, 31(2), 675-686.
  • Hess, R., Ganesan, S., & Klein, N. (2003). Service failure and recovery: The impact of relationship factors on customer satisfaction. Journal of the Academy of Marketing Science, 31(2), 127-145.
  • Hill, N., Roche, G., & Allen, R. (2007). Customer satisfaction: The customer experience through the customer's eyes. Cogent.
  • Ho, T., & Zheng, Y. (2004). Setting customer expectation in service delivery: An integrated marketing-operations perspective. Management Science, 50(4), 479-488.
  • Hunt, H. K. (1977). Overview and future research directions. In: H. Keith Hunt (Ed.), Conceptualization and measurement of consumer satisfaction and dissatisfaction (pp. 455-488). Marketing Science Institute.
  • Hur, W. M., Kim, Y., & Park, K. (2013). Assessing the effects of perceived value and satisfaction on customer loyalty: A ‘green perspective. Corporate Social Responsibility and Environmental Management, 20(3), 146-156.
  • Jain, P., & Aggarwal, V. (2017). The effect of perceived service quality on customer satisfaction. Pranjana. The Journal of Management Awareness, 20(2), 29-42.
  • Kettunen, P. (2009). Adopting key lessons from agile manufacturing to agile software product development-a comparative study. Technovation, 29(6-7), 408-422.
  • Kim, H. (2005). Organizational structure and internal communication as antecedents of employee organization relationships in the context of organizational justice: A multilevel analysis [Doctoral Dissertation]. University of Maryland.
  • Kish, Z. Y., & Rojuee, M. (2016). Investigating the relationship between organization agility and customer satisfaction in Iran insurance company (A case study in khorasan razavi province). International Business Management, 10(15), 3005-3009.
  • Lee, S., & Lee, D. (2017). The role of agility in the relationship between use of management control systems and organizational performance: Evidence from Korea and Japan. Journal of Applied Business Research, 33(3), 521-538.
  • Lin, C. T., Chiu, H., & Chu, P. Y. (2006). Agility index in the supply chain. International Journal of Production Economics, 100(2), 285-299.
  • Majlesi, H., & Sajjad, Z. (2015). Investigating the relationship between agility and the reputation of organization's brand in technical and engineering services firms (A case study: The employees' perspectives on the consulting industrial meta-research sepahan firm). Mediterranean Journal of Social Sciences, 6(5), 596-609.
  • Mirabi, M., Hatami, A., & Karamad, S. (2018). Impact of supply chain management and agile supply chain on customer satisfaction and competitive advantage. International Journal of Engineering and Technology, 10(4), 995-1004.
  • Nyachanchu, T., Bonuke, R., & Chepkwony, J. (2017). Moderating role of transformational leadership behaviour on the relationship between dynamic capabilities and performance of manufacturing firms in Nairobi County, Kenya. International Journal of Economics, Commerce and Management, 11, 343-364.
  • Park, Y. (2011). The dynamics of opportunity and threat management in turbulent environments: The role information technologies [Doctor Dissertation]. University of Southern California.
  • Preiss, K., Goldman, S. L., & Nagel, R. N. (1996). Cooperate to compete: Building agile business relationships. Van Nostrand Reinhold.
  • Rashidi, F., Rashidpoor, A., & Alinaghiyan, M. (2014). To assess the rate for affecting the structural dimensions of governmental organizations on their agility (Case study: Isfahan province jihad agriculture organization). International Journal of Academic Research in Business and Social Sciences, 4(4), 235-258.
  • Reed, K., & Blunsdon, B. (1998). Organizational flexibility in Australia. International Journal of Human Resource Management, 9(3), 457-477.
  • Robbins, S. P., Decenzo, D. A., & Coulter, M. K. (2015). Fundamentals of management: Essential concepts and applications (9th Ed.). Pearson.
  • Saddique, M., Hayat, K. B., & Abbas, M. A. (2013). Impact of organizational structure on product innovation and customer satisfaction. Management and Administrative Sciences Review, 5(1), 54-70.
  • Sambamurthy, V., Bharadwaj, A., & Grover, V. (2003). Shaping agility through digital options: Reconceptualizing the role of information technology in contemporary firms. MIS Quarterly, 27(2). 237-263.
  • Swafford, P., Ghosh, S., & Murthy, N. (2006). The antecedents of supply chain agility of a firm: Scale development and model testing. Journal of Operations Management, 24(2), 170-188.
  • Thompson, L. (2003). Improving the creativity of organizational work groups. Academy of Management Executive, 17(1), 96-109.
  • Wahjudi, D., Timoticin, K., & Rianthi, S. (2018). The impact of after-sales service quality on customer satisfaction and customer loyalty of middle-upper class landed housings. Jurnal Teknik Industri, 20(1), 65-72.
  • Wendler, R. (2014). Development of the organizational agility maturity model. In Proceedings of the 2014 Federated Conference on Computer Science and Information System, Vol. 2, pp. 1197-1206.
  • Wilden, R., & Gudergan, S., Nielsen, B., & Lings, I. (2013). Dynamic capabilities and performance: strategy, structure and environment. Long Range Planning, 46(1-2), 72-96.
  • Worley, C. G & III, Edward. (2010). Agility and organization design: A diagnostic framework. Organizational Dynamic, 39(2),194 -204.
  • Yauch, C. A. (2011). Measuring agility as a performance outcome. Journal of Manufacturing Technology Management, 22(3), 384-404. Yusuf, Y., Sarhadi, M., & Gunasekaran, A. (1999). Agile Manufacturing: The drivers, concepts, and attributes. International Journal of Production Economics, 62(1-2), 33-43.
  • Zhang, Q., Vonderembse, M. A., & Lim, J. S. (2005). Logistics flexibility and its impact on customer satisfaction. The International Journal of Logistics Management, 16(1), 71-95.
Yıl 2023, Cilt: 5 Sayı: 2, 88 - 109, 29.10.2023

Öz

Kaynakça

  • Ahmadi, S., Fathizadeh, A., Sadeghi, J., & Taherkhani, L. (2012). A study on the relationship between organizational structure and organizational agility: A case study of insurance firm. Management Science Letters, 2(8), 2777-2788.
  • Alabar, T. T., & Agema, R. J. (2014). Information and communication technology and customers’ satisfaction in Nigerian banking industry. Journal of Advanced Management Sciences, 2(4), 333-338.
  • Al-Hakim, L., Ali, Y., Thabit, H., & Al-Nasrawi, H. (2017). The complementary relationship between organizational architecture and organizational agility - An empirical study in mobile carriers of Erbil – Iraq. International Journal of Social Sciences & Educational Studies, 3(3), 19-28.
  • Ambrose, C., & Morello, D. I. (2004). Designing the agile organization: design principles and practices (pp. 1-25). Gartner; Inc.
  • Auh, S., & Menguc, B. (2007). Performance implications of the direct and moderating effects of centralization and formalization on customer orientation. Industrial Marketing Management, 36(8), 1022-1034.
  • Aydin, S., Ozer, G. O., & Rasil, A. (2005). Customer loyalty and the effect of switching costs as a moderator variable. Marketing Intelligence and Planning, 23, 89-103.
  • Barve, A. (2011). Impact of supply chain agility on customer satisfaction. International Conference On E-Business, Management and Economics. IPEDR (Vol. 3, pp. 325-329). IACSIT Press Hong Kong.
  • Dalvi, M. R., Shekarchizadeh, A. R., & Baghsorkhi, G. R. (2013). Investigating of organizational agility components (innovation speed, accountability, integrated information systems, flexible and multi-skilled employees and flexibility) on the organizational performance based on the satellite model (snowa company as a case study). Gjpast Journal, 3(4), 15-29.
  • Fateme, S., Abdolrahman, M., & Tahereh, A. (2013). Assessment aspects of organizational agility (Case study of khuzestan sport and youth organization). International Journal of Sport Studies, 3(6), 643-648.
  • Felin, T. (2015). Designing organizations for dynamic capabilities. California Management Review, 58(4), 78-96.
  • Felipe Llanos, C., Roldán, J., & Leal-Rodríguez, A. (2016). An explanatory and predictive model for organizational agility. Journal of Business Research, 69(10), 46-24.
  • Galbreath, J. (2010). How does corporate social responsibility benefit firms? Evidence from Australia. European Business Review, 22(4), 411-431.
  • Glenn, M. (2009). Organizational agility: How business can survive and thrive in turbulent times. A report from the economist intelligence unit sponsored by EMC.
  • Gligor, D., Bozkurt, S., Gölgeci, I., & Maloni, M.J. (2020). Does supply chain agility create customer value and satisfaction for loyal B2B business and B2C end-customers?. International Journal of Physical Distribution & Logistics Management, 50(7/8), 721-743.
  • Goldman, S. L., Nagel, R. L., & Preiss, K. (1995). Agile competitors and virtual organizations: Strategies for enriching the customers. Van Nostrand Reinhold, New York.
  • Haller, R. S. (2009). Organisational agility: A preliminary investigation into the South African financial services industry [Master Thesis]. University of Cape Town.
  • Harraf, A., Wanasika, I., Tate, K., & Talbott, K. (2015). Organizational agility. Journal of Applied Business Research, 31(2), 675-686.
  • Hess, R., Ganesan, S., & Klein, N. (2003). Service failure and recovery: The impact of relationship factors on customer satisfaction. Journal of the Academy of Marketing Science, 31(2), 127-145.
  • Hill, N., Roche, G., & Allen, R. (2007). Customer satisfaction: The customer experience through the customer's eyes. Cogent.
  • Ho, T., & Zheng, Y. (2004). Setting customer expectation in service delivery: An integrated marketing-operations perspective. Management Science, 50(4), 479-488.
  • Hunt, H. K. (1977). Overview and future research directions. In: H. Keith Hunt (Ed.), Conceptualization and measurement of consumer satisfaction and dissatisfaction (pp. 455-488). Marketing Science Institute.
  • Hur, W. M., Kim, Y., & Park, K. (2013). Assessing the effects of perceived value and satisfaction on customer loyalty: A ‘green perspective. Corporate Social Responsibility and Environmental Management, 20(3), 146-156.
  • Jain, P., & Aggarwal, V. (2017). The effect of perceived service quality on customer satisfaction. Pranjana. The Journal of Management Awareness, 20(2), 29-42.
  • Kettunen, P. (2009). Adopting key lessons from agile manufacturing to agile software product development-a comparative study. Technovation, 29(6-7), 408-422.
  • Kim, H. (2005). Organizational structure and internal communication as antecedents of employee organization relationships in the context of organizational justice: A multilevel analysis [Doctoral Dissertation]. University of Maryland.
  • Kish, Z. Y., & Rojuee, M. (2016). Investigating the relationship between organization agility and customer satisfaction in Iran insurance company (A case study in khorasan razavi province). International Business Management, 10(15), 3005-3009.
  • Lee, S., & Lee, D. (2017). The role of agility in the relationship between use of management control systems and organizational performance: Evidence from Korea and Japan. Journal of Applied Business Research, 33(3), 521-538.
  • Lin, C. T., Chiu, H., & Chu, P. Y. (2006). Agility index in the supply chain. International Journal of Production Economics, 100(2), 285-299.
  • Majlesi, H., & Sajjad, Z. (2015). Investigating the relationship between agility and the reputation of organization's brand in technical and engineering services firms (A case study: The employees' perspectives on the consulting industrial meta-research sepahan firm). Mediterranean Journal of Social Sciences, 6(5), 596-609.
  • Mirabi, M., Hatami, A., & Karamad, S. (2018). Impact of supply chain management and agile supply chain on customer satisfaction and competitive advantage. International Journal of Engineering and Technology, 10(4), 995-1004.
  • Nyachanchu, T., Bonuke, R., & Chepkwony, J. (2017). Moderating role of transformational leadership behaviour on the relationship between dynamic capabilities and performance of manufacturing firms in Nairobi County, Kenya. International Journal of Economics, Commerce and Management, 11, 343-364.
  • Park, Y. (2011). The dynamics of opportunity and threat management in turbulent environments: The role information technologies [Doctor Dissertation]. University of Southern California.
  • Preiss, K., Goldman, S. L., & Nagel, R. N. (1996). Cooperate to compete: Building agile business relationships. Van Nostrand Reinhold.
  • Rashidi, F., Rashidpoor, A., & Alinaghiyan, M. (2014). To assess the rate for affecting the structural dimensions of governmental organizations on their agility (Case study: Isfahan province jihad agriculture organization). International Journal of Academic Research in Business and Social Sciences, 4(4), 235-258.
  • Reed, K., & Blunsdon, B. (1998). Organizational flexibility in Australia. International Journal of Human Resource Management, 9(3), 457-477.
  • Robbins, S. P., Decenzo, D. A., & Coulter, M. K. (2015). Fundamentals of management: Essential concepts and applications (9th Ed.). Pearson.
  • Saddique, M., Hayat, K. B., & Abbas, M. A. (2013). Impact of organizational structure on product innovation and customer satisfaction. Management and Administrative Sciences Review, 5(1), 54-70.
  • Sambamurthy, V., Bharadwaj, A., & Grover, V. (2003). Shaping agility through digital options: Reconceptualizing the role of information technology in contemporary firms. MIS Quarterly, 27(2). 237-263.
  • Swafford, P., Ghosh, S., & Murthy, N. (2006). The antecedents of supply chain agility of a firm: Scale development and model testing. Journal of Operations Management, 24(2), 170-188.
  • Thompson, L. (2003). Improving the creativity of organizational work groups. Academy of Management Executive, 17(1), 96-109.
  • Wahjudi, D., Timoticin, K., & Rianthi, S. (2018). The impact of after-sales service quality on customer satisfaction and customer loyalty of middle-upper class landed housings. Jurnal Teknik Industri, 20(1), 65-72.
  • Wendler, R. (2014). Development of the organizational agility maturity model. In Proceedings of the 2014 Federated Conference on Computer Science and Information System, Vol. 2, pp. 1197-1206.
  • Wilden, R., & Gudergan, S., Nielsen, B., & Lings, I. (2013). Dynamic capabilities and performance: strategy, structure and environment. Long Range Planning, 46(1-2), 72-96.
  • Worley, C. G & III, Edward. (2010). Agility and organization design: A diagnostic framework. Organizational Dynamic, 39(2),194 -204.
  • Yauch, C. A. (2011). Measuring agility as a performance outcome. Journal of Manufacturing Technology Management, 22(3), 384-404. Yusuf, Y., Sarhadi, M., & Gunasekaran, A. (1999). Agile Manufacturing: The drivers, concepts, and attributes. International Journal of Production Economics, 62(1-2), 33-43.
  • Zhang, Q., Vonderembse, M. A., & Lim, J. S. (2005). Logistics flexibility and its impact on customer satisfaction. The International Journal of Logistics Management, 16(1), 71-95.
Toplam 46 adet kaynakça vardır.

Ayrıntılar

Birincil Dil İngilizce
Konular İşletme
Bölüm Araştırma Makaleleri
Yazarlar

Raghad Darweesh

Mohammad Abuareish

Yayımlanma Tarihi 29 Ekim 2023
Yayımlandığı Sayı Yıl 2023 Cilt: 5 Sayı: 2

Kaynak Göster

APA Darweesh, R., & Abuareish, M. (2023). HOW DOES ORGANIZATIONAL STRUCTURE IMPACT THE RELATIONSHIP BETWEEN ORGANIZATIONAL AGILITY AND CUSTOMER SATISFACTION?. Economics Business and Organization Research, 5(2), 88-109.