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Designing Innovative Organizations in Malaysia: Do Structure and Culture Matter?

Author

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  • Muhamad Jantan

    (School of Management, Universiti Sains Malaysia)

  • Aizzat Mohd Nasurdin

    (Organization Section, School of Management, Universiti Sains Malaysia)

  • Nur Fitriah Ahmed Fadzil

    (School of Management, Universiti Sains Malaysia)

Abstract

The purpose of this article is to determine the influence of organizational structure (formalization and centralization and culture (participative decision-making, support and collaboration, learning and development) on innovation (technological and process, administrative, product and overall) among firms operating in Malaysia. Regression analyses of 123 responses revealed that only cultural variables have positive effects on two forms of innovation (technological and process, and administrative). Specifically, both participation in decision-making, and support and collaboration had significant positive effects on technological and process innovation. On the other hand, both support and collaboration, and learning and development were found to have significant positive effects on administrative innovation. Structural variables (both formalization and centralization) had no effect on all forms of innovation investigated. Implications for managerial practice and suggestions for future research are discussed.

Suggested Citation

  • Muhamad Jantan & Aizzat Mohd Nasurdin & Nur Fitriah Ahmed Fadzil, 2003. "Designing Innovative Organizations in Malaysia: Do Structure and Culture Matter?," Global Business Review, International Management Institute, vol. 4(2), pages 213-226, August.
    • Handle: RePEc:sae:globus:v:4:y:2003:i:2:p:213-226
    DOI: 10.1177/097215090300400201
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    References listed on IDEAS

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    1. Karin Breu, 2001. "The Role and Relevance of Management Cultures in the Organizational Transformation Process," International Studies of Management & Organization, Taylor & Francis Journals, vol. 31(2), pages 28-47, June.
    2. Herbert A. Shepard, 1967. "Innovation-Resisting and Innovation-Producing Organizations," The Journal of Business, University of Chicago Press, vol. 40, pages 470-470.
    3. Gregory G. Dess & Richard B. Robinson, 1984. "Measuring organizational performance in the absence of objective measures: The case of the privately‐held firm and conglomerate business unit," Strategic Management Journal, Wiley Blackwell, vol. 5(3), pages 265-273, July.
    4. Paul Attewell, 1992. "Technology Diffusion and Organizational Learning: The Case of Business Computing," Organization Science, INFORMS, vol. 3(1), pages 1-19, February.
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