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Improvisation-performance link and the moderating effects: A case of Malaysia technology-based companies

Abstract

This research aims to examine the relationship between organisational improvisation and firm performance as well as to identify the effect of environmental turbulence on improvisation performance relationship.Given the lack of studies on these relationships in the previous literature, there is significant contribution to the theories as well as for managerial practices. 128 responses from top management of technology-based companies in Malaysia were used as a sample in this study. The finding of the direct association between organisational improvisation and firm performance implies that improvisation provide the enhancement of firm performance as a whole.In testing moderating effects on the improvisation–performance link, the strength and type of relationship between improvisation and firm performance did change when moderated by environmental turbulence.The research findings identified both technological and competitive turbulence moderate the relationship between organisational improvisation and firm performance. Technological turbulence shows a negative moderating effect; meanwhile the competitive turbulence demonstrates a positive moderating effect on the improvisation–performance link

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