The impact of Environmental Uncertainty on Innovation: Mediating role of Organizational Structure

Authors
1 M.A. of EMBA, Faculty of Economic and Administrative SciencesFerdowsi University of Mashhad
2 Associated prof. Department of Management, Faculty of Economic and Administrative Sciences, Ferdowsi University of Mashhad, Iran
3 Assist Prof. Department of Management, Faculty of Economic and Administrative Sciences, Ferdowsi University of Mashhad, Iran
Abstract
In today's dynamic environment, having a proper strategy is not enough for companies to be able to adjust themselves with their environments. Companies through choosing a suitable organizational structure can benefit innovation to achieve sustainable competitive advantage. The aim of this study is testing the mediating role of organizational structure (formalization, centralization, complexity) between environmental uncertainty and organizational innovation. The questionnaire was used to collect data with high reliability and Structural Equation Modeling and Partial least squares were used for analyzing data. Data collected from medium and large manufacturing firms in the Mashhad city. The results showed that the theoretical model was good fitted and the relationship between environmental uncertainty and dimensions of Organizational structure (complexity, formalization and centralization) is meaningful. Also the relationship between complexity and formalization with organizational innovation were significant. Organizational formalization and complexity mediated between environmental uncertainty and organizational innovation was meaningful but mediating role of centralization was not meaningful.
Keywords

 


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