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Organizational Reliability Model Verification in the Crisis Escalation Phase Caused by the COVID-19 Pandemic

Author

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  • Agnieszka Bieńkowska

    (Department of Management Systems and Organizational Development, Wrocław University of Science and Technology, wyb. Wyspianskiego 27, 50-370 Wroclaw, Poland)

  • Katarzyna Tworek

    (Department of Management Systems and Organizational Development, Wrocław University of Science and Technology, wyb. Wyspianskiego 27, 50-370 Wroclaw, Poland)

  • Anna Zabłocka-Kluczka

    (Department of Management Systems and Organizational Development, Wrocław University of Science and Technology, wyb. Wyspianskiego 27, 50-370 Wroclaw, Poland)

Abstract

This article concerns the Organizational Reliability Model (ORM) verification in the crisis escalation phase caused by critical conditions of organization functioning induced by the COVID-19 pandemic. ORM is constituted by three reliabilities, human resources, information technology, and management, which are mediators through which Type-1 and Type-2 reliability capabilities influence organizational reliability. Organizational reliability is a prerequisite for sustainability of contemporary organizations. The model was developed and verified for a variety of operating conditions. However, crisis induced by a Black Swan type of event creates conditions so critical that it calls for verification of known paradigms and models, as an element of crisis-state theory building. This is why this paper’s aim was to verify the ORM and explain the mechanisms of shaping organizational reliability in such conditions in order to contribute to both theory (verifying the organizational reliability paradigm among organizations in crisis) and practice (proposing mechanisms, potentially helping them survive). The ORM is empirically verified based on the sample of 115 employees from Italy operating under critical conditions of the COVID-19 pandemic (research carried out in the week of 18–22 March 2020). In order to verify the hypothesis, the path analysis was executed using SPSS AMOS. The results confirmed that in the extreme critical conditions causing crisis escalation for the organizations, there is a need to redefine the existing paradigms, including ORM. The results show that the HR reliability role in the ORM has drastically changed and the mechanism of its influence on organizational reliability is significantly different in crisis influenced by critical conditions of organization functioning. They also confirmed that IT together with HR is dependent on management to change the way of working and until that, its reliability may be counterproductive for the reliability of organizational as a whole. Therefore, obtaining sustainability in the crisis escalation phase requires redefining the mechanisms for securing organizational reliability.

Suggested Citation

  • Agnieszka Bieńkowska & Katarzyna Tworek & Anna Zabłocka-Kluczka, 2020. "Organizational Reliability Model Verification in the Crisis Escalation Phase Caused by the COVID-19 Pandemic," Sustainability, MDPI, vol. 12(10), pages 1-22, May.
    • Handle: RePEc:gam:jsusta:v:12:y:2020:i:10:p:4318-:d:362680
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    1. Agnieszka Bieńkowska & Katarzyna Tworek, 2022. "Controlling and Its Influence on Organizations’ Functioning under Conditions Caused by the COVID-19 Pandemic," Sustainability, MDPI, vol. 14(24), pages 1-15, December.
    2. Tworek Katarzyna, 2023. "IT reliability as a source of sustainability for organisations operating during the COVID-19 pandemic," Engineering Management in Production and Services, Sciendo, vol. 15(1), pages 29-40, March.
    3. Ruixin Su & Bojan Obrenovic & Jianguo Du & Danijela Godinic & Akmal Khudaykulov, 2022. "COVID-19 Pandemic Implications for Corporate Sustainability and Society: A Literature Review," IJERPH, MDPI, vol. 19(3), pages 1-23, January.
    4. Ana Maria Corrales-Estrada & Loyda Lily Gómez-Santos & Cesar Augusto Bernal-Torres & Jaime Eric Rodriguez-López, 2021. "Sustainability and Resilience Organizational Capabilities to Enhance Business Continuity Management: A Literature Review," Sustainability, MDPI, vol. 13(15), pages 1-25, July.

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