The Moderating role of organization culture in promoting external integration

Nadeem Talib, Muhammad Aftab Alam

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Abstract

This study investigates the relationship between internal integration and
external integration, and in this relationship it measures the moderating
role of Organization Culture. It takes into account externally focused
organizational culture i.e. Market and Adhocracy culture. Cross-sectional
data was collected from a stratified sample of 234 managers from
petroleum firms operating in Pakistan. Results indicated significant
relationship between internal and external integration (i.e. Customer and
Supplier integration). The moderating role of Organization culture was
investigated through multiple-group SEM, and it was found that internal
integration in organizations that possess high levels of market and
adhocracy culture lead to better external integration. Overall, results
indicated that internal integration is a precondition for external
integration, and the later can be effectively achieved if company focuses on
external positioning and external environment. The study extends
management theory and proffers worthwhile contribution to business
practice in achieving external integration owing to suitable organizational
culture.
Original languageEnglish
Pages (from-to)101-119
Number of pages19
JournalNUML International Journal of Business & Management
Volume11
Issue number2
Publication statusPublished - Dec 2016

Keywords

  • internal integration
  • market culture
  • adhocracy culture
  • customer integration
  • supplier integration

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