Congress Presentation 2009 Intrapreneurship

15
Juan A. Moriano and Antonio J. Adán Department of Social and Organizational Psychology Universidad Nacional de Educación a Distancia (UNED)

description

European Association of Work and Organizational Psychology (EAWOP). Congress: Santiago de Compostela - Spain, May 13-16, 2009

Transcript of Congress Presentation 2009 Intrapreneurship

Page 1: Congress Presentation 2009 Intrapreneurship

Juan A. Moriano and Antonio J. Adán

Department of Social and Organizational Psychology

Universidad Nacional de Educación a Distancia

(UNED)

Page 2: Congress Presentation 2009 Intrapreneurship

IntrapreneurshipIntrapreneurship is term used to describe entrepreneurial behavior inside established midsized and large organizations (Morris & Kuratko, 2002; Pinchot, 1985),

Intrapreneurial Behavior (IB) Intrapreneurial Behavior (IB) aims at increased profitabilityprofitability (Zahra, 1991), strategic renewal strategic renewal (Guth & Ginsberg, 1990) fostering innovativenessinnovativeness (Baden-Fuller, 1995) and international success international success (Birkenshaw, 1997).

Several studies have revealed a significant relationship between intrapreneurship and favorable business results in terms of salessales and profitprofit (Krauss, Frese, Friedrich & Unger, 2005; Morris & Kuratko, 2002; Zahra & Covin, 1995; Lumpkin & Dess, 1996).

Page 3: Congress Presentation 2009 Intrapreneurship

Intrapreneurship has been commonly associated with innovation.

Both concepts entail processes in which resources are combined to create something new and the purpose of both is to achieve profits or avoid substantial losses.

InnovationInnovation usually refers to radical or incremental changes in a product, service or process (Lumpkin, 2007).

Without the presence of some form of intrapreneurial intrapreneurial activities activities to exploit opportunities as they arise within organizations, innovation remains little more than an aspiration rather than a tangible destination (Drucker, 1985; Pinchot, 1987).

Page 4: Congress Presentation 2009 Intrapreneurship

An array of internal and external variables that drive intrapreneurship has been identified, such as:

Page 5: Congress Presentation 2009 Intrapreneurship

The objectives of this study are:

1. To analyze the influence of Organizational Organizational Culture Culture on employees’ Intrapreneurial Behavior (IB).

2. To study the moderating role of moderating role of Organizational Identification (OI)Organizational Identification (OI).

Page 6: Congress Presentation 2009 Intrapreneurship

Organizational culture Organizational culture is defined in terms of ‘‘core values, behavioral norms, artifacts, and behavioral patterns, which govern the ways people in an organization interact with each other and invest energy in their jobs and the organization at large’’ (Van Muijen, Koopman, Dondeyne, De Cock, & De Witte, 1992, p. 555).

The Quinn’s Competing Values Model Quinn’s Competing Values Model (1988) consists of two dimensions with contrasting poles:

1. The first dimension represents the viewpoint of the organization and focuses on the internal processes and employees of the organization, or on the external environment.

2. The second dimension contrasts the extremes of flexibility and control.

• Combinations of these two dimensions result in four organizational culture orientations: SupportSupport, InnovationInnovation, RulesRules and GoalsGoals.

Page 7: Congress Presentation 2009 Intrapreneurship

Hypothesis 1Hypothesis 1. The organizational culture of innovation will have a positive impact on employees’ IB.

External FocusInternal Focus

Flexibility

Stability and Control

Innovation orientation

Goal orientation

Support orientation

Rules orientation

Page 8: Congress Presentation 2009 Intrapreneurship

According to the Social Identity TheorySocial Identity Theory, OI is that part of an individuals’ self-concept which derives from their knowledge of their membership of an organization together with the value and emotional significance attached to that membership (Haslam, 2001; van Dick, 2001)

To the degree to which employees identify more with their organization, it is more likely for them to adopt the interests and goals of the organization as their own. In addition, they will make extra efforts for the benefit of the organization (Doosje, Spears, & Ellemers, 2002; Mael & Ashforth, 1992).

Previous research has found a positive correlation between OI and Job SatisfactionJob Satisfaction, Organizational Citizenship Behavior (OCB)Organizational Citizenship Behavior (OCB), Proactive BehaviorProactive Behavior, and IBIB (Haslam, Jetten, O'Brien & Jacobs, 2004; Haslam & Platow, 2001; van Knippenberg, 2000; Moriano, Topa & Lévy, 2009).

Page 9: Congress Presentation 2009 Intrapreneurship

Organizational Culture Organizational Culture of Innovation (OCI)of Innovation (OCI)

PredictorPredictor

ModeratorModerator

Organizational Organizational Identification (OIIdentification (OI))

PredictorX

Moderator

PredictorX

Moderator

Outcome VariableOutcome Variable

Intrapreneurial Intrapreneurial Behavior (IB)Behavior (IB)

H1 +H1 +

H2 +H2 +

H3 +H3 +

The higher the employees’ OIemployees’ OI,

the greater the impact of OCIOCI on the employees’ IBemployees’ IB.

Page 10: Congress Presentation 2009 Intrapreneurship

246 employees from a variety of Spanish organizations in the Public (40.7%) and Private (49.6%) Sectors.

56.1% were women and the average age was 35 (SD=8.82).

The average organizational tenure was 6 (SD=6.26)

Most of the participants had a university degree (57.7%) Table 1Table 1.. Organization Size Organization Size

n %1- Micro (less than 10 employees) 11 4.472- Small (from 10 to 49 employees) 38 15.453- Medium (between 50 and 250 employees) 93 37.804- Big (more than 250 employees) 104 42.28

Page 11: Congress Presentation 2009 Intrapreneurship

1. Organizational Culture1. Organizational Culture FOCUS (First Organizational Climate/Culture Unified Search) (Van

Muijen et al., 1999). 40 items ranged on a 7 point Likert scale from 1- ‘Nobody / Never’

to 7-‘Everyone / Always’

2. Organizational Identification2. Organizational Identification A single-item graphic scale for the measurement of organizational

identification (Shamir & Kark, 2004) 3 items from the scale of Van Dick, Wagner, Stellmacher and

Christ (2004). 7 point Likert scale from 1- ‘Completely agree’ to 7-‘Completely disagree’

3. Intrapreneurial Behavior 3. Intrapreneurial Behavior 12-item scale based on previous studies (Covin y Slevin, 1986;

Lumpkin y Dess, 1996; Lyon et al., 2000; Miller, 1983; Stull, 2005). Example: ‘In the course of my work, I generate useful new ideas’

Page 12: Congress Presentation 2009 Intrapreneurship

 Variables M DT α 1 2 3 4 5 6 7 8 9 101. Sector (Public or Private)

1.69 .64 1

2. Organization size

1.82 .85 -.26** 1

3. Organizational tenure

6.69 6.26 -.37** .03 1

4. Professional level

3.83 1.76 -.08 .15* .17** 1

5. OC Support 3.83 1.10 .73 .15* -.33** -.09 -.04 16. OC Innovation

3.81 1.60 .84 .47** -.06 -.37** -.29** .56** 1

7. OC Rules 4.54 1.21 .59 -.03 -.22** -.02 -.10 .57** .41** 18. OC Goals 3.98 1.18 .88 .21** -.19** -.21** -.15* .67** .73** .63** 19. OI 4.90 1.39 .81 .15* -.33** .02 .11 .48** .29** .45** .42** 110. IB 4.27 1.44 .95 .54** -.23** -.19** -.04 .33** .54** .17** .41** .37** 1*p < .05; ** p < .01  

Page 13: Congress Presentation 2009 Intrapreneurship

Predicting Intrapreneurial BehaviorPredicting Intrapreneurial Behavior

ββ FF RR22 ∆∆RR22  

1. OC SupportOC Support .0626.92**

*.30***  

OC RulesOC Rules -.13  

OC GoalsOC Goals .09  

OC InnovationOC Innovation .50***  

2. OI (moderator)OI (moderator) .31***29.13**

*.37*** .07***  

3. OC Support x OIOC Support x OI -.1218.34**

*.40** .03**  

OC Rules x OIOC Rules x OI .10  

OC Innovation x OIOC Innovation x OI .24**  

  OC Goals x OIOC Goals x OI -.03        

**p < .01; ***p < .001

Page 14: Congress Presentation 2009 Intrapreneurship

Low OC Innovation

HighOC Innovation

Low Identification

Organizational Culture of Innovation x Organizational IdentificationOrganizational Culture of Innovation x Organizational Identification

Page 15: Congress Presentation 2009 Intrapreneurship

1. The results suggest that thethe Organizational Culture of Innovation Organizational Culture of Innovation encourages employees’ intrapreneurial behavior and that this encourages employees’ intrapreneurial behavior and that this relationship is moderated by Organizational Identificationrelationship is moderated by Organizational Identification.

2. This study is an initial attempt to advance the field of intrapreneurship by shifting the focus of inquiry to include the interaction between the interaction between organizational and psychosocial factorsorganizational and psychosocial factors.

3. These findings provide tentative insight into why some employees why some employees pursue entrepreneurial activities while others do not, despite their pursue entrepreneurial activities while others do not, despite their exposure to the same organizational cultureexposure to the same organizational culture.

4. Our study results suggest that it is not sufficient for managers to provide resources or rewards to facilitate intrapreneurship, but that they also need to focus on promoting an innovation-oriented promoting an innovation-oriented organizational culture and to boost employees’ organizational organizational culture and to boost employees’ organizational identification identification through, for example, socialization practices and training.