Analysis of the effect of Information Capital in Organizational Improving Performance of start-up businesses with the mediate role of Human Resources Opportunity Recognition

Document Type : Research

Authors

1 Associate Prof, Department of Business Management, Lorestan University, Khoramabad,Iran

2 phD Organizational Human Resurce Management, Lorestan University, Khoramabad,,Iran

Abstract

Aim and Introduction: In today's complex world, one of the key elements to avoid fierce competition and widespread change is for the organization to know how and when to use information. The need for timely, reliable information and a strong information structure is an undeniable fact for any organization and institution and is a valuable lever for obtaining accurate and correct strategies. The last century, when we see new events and developments every day and thinkers have considered it as the "Age of Chaos"; it is a strong testimony to the need of human beings and organizations to prevent or deal with unrest. Today, information capital referred to as strategic information because it lead an organization to innovate, increase productivity , generate value for customers and be considered a competitive advantage. The aim of this study was to analyze the effect of information capital on improving the performance of start-up businesses with the mediating role of human resource opportunism.
Methodology: This study applied one in terms of purpose and in terms of method and nature is a descriptive-survey research. In this study, a standard questionnaire used to measure the variables. In order to measure the information capital variable, Woo and Hu questionnaire (2012) and Hersi et al. (2008) questionnaire were used to measure the performance improvement variable of start-up businesses. In addition, Hills et al. (1997) and Lee et al. (2015) questionnaires were used to measure the human resource opportunism variable. To assess the validity of the data collection tool, the face validity method was used using the views of professors familiar with the subject and evaluation through the construct validity of the questionnaire with two criteria of convergent validity and divergent validity, based on which the validity of the questionnaire was confirmed. For the reliability of the Cronbach's alpha questionnaire, which shows the internal correlation of the item, as well as another criterion called combined reliability (to determine the reliability of structures); Used to better measure reliability. For the reliability of both of these criteria, a high value of 0.7 mentioned. In addition, to evaluate the internal validity of research variables, the index (AVE) used as a convergent validity index. It noted that if AVE ≥ is 0.5, it reports its desirability. Regarding the statistical population, it said that the statistical population of the present study are start-up businesses in Tehran that selected using the available sampling method. Regarding the estimation of the sample size, it noted that using the Cochran's formula, the sample size was determined to be 186 people at the 95% confidence level. Finally, the data analyzed by using structural equation modeling and Amos and SPSS software.
finding: In this research, structural equation modeling method used to test the research model and to test the research hypotheses. Findings showed that at the confidence level of 0.95, information capital has a positive and significant effect on organizational performance and opportunism of human resources. In addition, indirect path analysis reveals the mediating role of human capital opportunism in the impact of information capital on organizational performance.
Discussion and Conclusion: Information capital can lead an organization towards innovation, increase productivity and value creation for customers and be considered as a competitive advantage. Given the irreplaceable importance of information capital, it is obvious that its effective use is promising to be able to provide valuable data for making important decisions and the effectiveness of the organization's activities. Information capital has a positive effect on improving the performance of start-ups. This means that the implementation of information capital and more and better access of managers and employees to relevant information will increase the quality of goods and services, improve organizational performance and customer satisfaction. Information capital has a positive effect on human resource opportunism. Information plays a different role and value than other resources in the organization and this is due to its unique feature. Undoubtedly, providing information to human resources and its proper distribution in the organization will help human resources to identify opportunities and better understand issues. Human resource opportunism has a positive effect on improving the performance of start-ups. The creative minds of people can observe environmental changes well and improve the performance of the organization in this turbulent environment by recognizing the opportunities and providing the right solutions. It is clear that leadership in industry and the competitive environment is achieved through timely understanding and discovery of situations and opportunities.

Keywords

Main Subjects


  1. Adali, S., Escriva, R., & Goldberg, M.K. (2010). Measuring behavioral trust in social networks. IEEE International Conference, 1-14.
  2. Ahlin, B., Drnovsek, M., & Hisrich, R. (2014). Entrepreneurs’ creativity and firm innovation: The moderating role of entrepreneurial self-efficacy, Small Business Economics,43(1), 101–117
  3. Alatailat, M., Elrehail, H., & Emeagwali, O. (2018). High performance work practices, organizational performance and strategic thinking a moderation perspective, International Journal of Organizational Analysis, 1-28.
  4. Aral, S., & Weill, P. (2007). IT assets, organizational capabilities, and firm performance: how resource allocations and organizational differences explain performance variation. Organization Science, 18(5), 763–780.
  5. Aydiner, A., Tatoglu, E., Bayraktar, E., & Zaim, S. (2019). Information system capabilities and firm performance: Opening the black box through decision-making performance and business-process performance, International Journal of Information Management, 47(1), 168- 182.
  6. Azizpour, M., Abdi, S., & Khodabakhshi, N. (2013). Personality traits and human resource productivity at cultural organizations. International Journal of Management Research and Review, 3(4), 2703-2706.
  7. Baron, R., & Ensley, M., (2006). Opportunity recognition as the detection of meaningful patterns: evidence from comparisons of novice and experienced entrepreneurs, Management Science,52(9), 1331-1344.
  8. Chen, K., Wang, J., Lin, M., & Chang, W. (2018). The influence of learning organization on organizational innovation and organizational performance relationship: the case of ecology industry, Foundation Environmental Protection & Research, 27(106), 329- 325.
  9. Chen, M., Tseng, M., & Teng, M. (2019). Creative entrepreneurs’well being, opportunity recognition and absorptive capacity: self-determination theory perspective, Entrepreneurship Research Journal, 1-15.
  10. Dawabsheh, M., Hussein, A., & Jermsittiparsert, K. (2019). The triangular relationship between TQM, organizational excellence and organizational performance: A case of Arab American University Palestine, Management Science Letters, 9, 921-932.
  11. Forsgren, M. (2016). A note on the revisited Uppsala internationalization process model – the implication of business networks and entrepreneurship, Journal of International Business Studies, doi: http://dx.doi.org/10.1057/s41267-016-0014-3
  12. Ghasemi, V. (2013). Structural equation modeling in social research using amos graphics. Publisher: Sociologists. (In Persian).
  13. Ghosh, B., & Scott, J. E. (2005). Comparing knowledge management in healthcare and technical support organizations. IEEE Transactions on Information Technology in Biomedicine, 9(2), 62-168.
  14. Guo, H., Tang, J., Su, Z., & Katz, J. (2016). Opportunity recognition and SME performance: the mediating effect of business model innovation, R & D Management, 14(6), 1-12.
  15. Han, Y., & Li, D. (2015). Effects of intellectual capital on innovative performance: The role of knowledge-based dynamic capability. Management decision, 53(1), 40-56
  16. Hanohov, R., & Baldacchino, B. (2017). Opportunity recognition in sustainable entrepreneurship: an exploratory study, International Journal of Entrepreneurial Behavior & Research, 1-27.
  17. Hassanzadeh, A., & Akbari, R. (2015). Designing a decision support system for resource allocation with a genetic algorithm approach (Case study: Tarbiat Modares University Central Library), Information Processing and Management, 29 (3), 783-801. (In Persian)
  18. Hersey, P., Blanchard, K., & Johnson, D. (2008). Management of organizational behavior: leading human resources. Retrieved from http://www.amazon.com/Management-Organizational-Behavior-Leading-Resources/ dp/0130175986.
  19. Hills, G.E., Hansen, D.J., & Hultman, C. (2004). Opportunity recognition processes: a value creation context, working papers of institute for entrepreneurial studies, University of Illinois at Chicago, 1–13.
  20. Hosseini, S.Y., Pozesh, A., & Yaduolahi, Sh. (2013). Behavioral approach of strategic intelligence of the leader of the organization, Strategic Management Studies, 4(16), 17-38. (In Persian)
  21. Hu, Y., Chang, C., & Hsu, W. (2017). Mediating effects of business process for international trade industry on the relationship between information capital and company performance, International Journal of Information Management, 37(5), 473-483.
  22. Humayon, A., Ansari, N., Khan, T., & Iqbal, M. (2018). Factors influencing Organizational Performance in Public Hospitals of Pakistan, Journal of Applied Environmental and Biological Sciences, 8(3), 123-128.
  23. Huysman, M., & Wulf, V. (2005). The role of information technology in building and sustaining the relational base of communities, The Information Society: An International Journal, 21, 81-89.
  24. Keshavarzee Behrghani, M., Seif, D., & Bashash, L. (2014). Predicting cognitive processes of information processing based on self-efficacy in experimental sciences in high school intelligence students, Quarterly Journal of Exceptional Children, 14(1), 35-47. (In Persian)
  25. Khalid, S., & Sekiguchi, T. (2018). The role of empathy in entrepreneurial opportunity recognition: An experimental study in Japan and Pakistan, Journal of Business Venturing Insights, 9, 1-9.
  26. Kreuzer, Ch., & Weber, S. (2017). Modelling opportunity recognition competence as a foundation for teaching and learning in vocational education, Springer Science+Business Media B.V., 1-25.
  27. Kruger, C. J., & Johnson, R. D. (2010). Information management as an enabler of knowledge management maturity: A South African perspective. International Journal of Information Management, 30(1), 576.
  28. Li, Y.U., Wang, P., & Liang, Y. (2015). Influence of entrepreneurial experience, alertness, and prior knowledge on opportunity recognition. Social behavior and Personality, 43(9), 1575-1583.
  29. Mansouri, H. (2018). The intellectual capital of academic libraries based on the bunt is model and its relation to organizational performance, National Library and Information Studies, 29(3), 131-152. (In Persian)
  30. Mirvahedi, S. S., Taghraei, M.T., & Sanjarian, Z. (2017). Investigating the factors affecting the identification of entrepreneurial opportunities, Journal of Entrepreneurship in Agriculture, 4(1), 53-75. (In Persian)
  31. Moura, I., Dominguez, C., & Varajão, J., (2018). Information systems projectteams: factors for high performance, Team Performance Management: An International Journal, 1-17.
  32. Olaniyi, M.I., & Lucas, O.E. (2016). Strategic thinking and organization performance: study of Nigeria firms, Journal of Business Administration Research, 5(1), 23-28.
  33. Puhakka, V. (2010). Versatile and flexible use of intellectual capital in entrepreneurial opportunity discovery. Journal of Management Research, 2(1), E3
  34. Rajabi Farjad, H., & Matieian Najjar, M. (2018). The effect of knowledge management on organizational performance considering the mediating role of strategic measures of human resource management, Human Resource Management Research, 3(33). 191-214. (In Persian)
  35. Ramezan, M. (2011). Intellectual capital and organizational organic structure in knowledge society:How are these concepts related?, International Journal of Information Management, 31, 88-95.
  36. Rastegar, A.A., Bagheri Gharabalagh, H., & Ain Ali, M. (2019). Analyze the role of strategic initiative and resilience in organizational performance, Strategic Management Studies, 10(40), 107-128. (In Persian)
  37. Rehman, Sh., Mohamed, R., & Ayoup, H. (2019). The mediating role of organizational capabilities between organizational performance and its determinants, Journal of Global Entrepreneurship Research, 1-23.
  38. Rezaei, R., Salahi Moghadam, N., & Shaban Ali Fami, H. (2016). Investigating the effect of knowledge management on organizational performance in Jihad Agriculture Organization in Alborz province, Agricultural Extension and Education Research, 7 (4), 77-92. (In Persian)
  39. Robert, S., David, K., & Norton, P. (2004). The strategy map: guide to aligning intangible assets, Strategy & Leadership, 32(5), 10-17.
  40. Sadeghi, M., Musavi, M., Samiie, S., & Behrooz, A. (2013). Developing human resource productivity through organizational justice. Public Administration and Governance, 3(2), 173-190.
  41. Sarfarazi, M., Balaghi Inalo, A., & Rouhi Khalili, M. (2012). Investigating factors of the performance of the Hormozgan Judiciary staff influencing client satisfaction using the A.C.H.I.V.E. model. Journal of American Science, 8(9), 864-872.
  42. Shane, S. (2003). A general theory of entrepreneurship: the individual-opportunity nexus, Edward Elgar, Cheltenham.
  43. Short, J.C., Ketchen Jr., D.J., Shook, C.L., Ireland, R.D. (2010). The concept of ‘opportunity’ in entrepreneurship research: past accomplishments and future challenges’, Journal of Management, 36(1), 40–65.
  44. Tan, A. (2009). Strategic Information Technology and Portfolio Management, Idea Group Inc. (IGI). PP, 254.
  45. Tanriverdi, H. (2005). Information technology relatedness, knowledge management capability, and performance of multi-business firms. MIS Quarterly, 29(2), 311–334.
  46. Ucbasaran, D., Wright, M., & Westhead, P. (2008). Opportunity identification and pursuit: does an entrepreneur’s human capital matter? Small Business Economics,30(2), 153-173.
  47. Wang, Y.L., Andrea, D., Ellinger, A.D., & Jim Wu, Y.C. (2013). Entrepreneurial opportunity recognition: an empirical study of R&D personnel, Management Decision, 2(51), 248-266.
  48. Wilson, R. & Stenson, J. (2008). Valuation of information assets on the balance sheet: The recognition and approaches to the valuation of intangible assets, Business Information Review, 25(3), 167-182.
  49. Wu, L., & Hu, Y. (2012). Examining knowledge management enabled performance for hospital professionals: a dynamic capability view and the mediating role of process capability, Journal of the Association for Information Systems, 13(12), 976- 999.
  50. Zare, Sh., Piccaluga, A., & Minin, A. (2019). Opportunity identification and different knowledge sources of entrepreneurship, Journal of Business venturing, 1- 13.