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The internal ecosystem of high performance work system and employee service-providing capability: A contingency approach for servitizing firms

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  • Baik, Kibok
  • Kim, Kyoung Yong
  • Patel, Pankaj C.

Abstract

Servitization, or expanding service offerings associated with products, is increasingly central to sustaining competitive advantage in manufacturing industries. We propose the role of an internal ecosystem of human resource practices—High Performance Work System (HPWS)—and the contingent effects of environmental conditions—industry dynamism and industry complexity—as drivers of employee service-providing capability. Based on longitudinal data from 217 firms representing 718 firm-years, HPWS is positively associated with the service-providing capability of employees, and this association is stronger at higher levels of environmental dynamism or environmental complexity. This research contributes to the servitization literature by examining how employee service-providing capability relies on the internal ecology of employee practices and changes in the external environment.

Suggested Citation

  • Baik, Kibok & Kim, Kyoung Yong & Patel, Pankaj C., 2019. "The internal ecosystem of high performance work system and employee service-providing capability: A contingency approach for servitizing firms," Journal of Business Research, Elsevier, vol. 104(C), pages 402-410.
    • Handle: RePEc:eee:jbrese:v:104:y:2019:i:c:p:402-410
    DOI: 10.1016/j.jbusres.2019.02.028
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    References listed on IDEAS

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    1. Jovanovic, Marin & Raja, Jawwad Z. & Visnjic, Ivanka & Wiengarten, Frank, 2019. "Paths to service capability development for servitization: Examining an internal service ecosystem," Journal of Business Research, Elsevier, vol. 104(C), pages 472-485.
    2. Sumi Jha, 2021. "Understanding mindfulness outcomes: a moderated mediation analysis of high-performance work systems," Palgrave Communications, Palgrave Macmillan, vol. 8(1), pages 1-13, December.
    3. Chen, Jian-xun & Zhang, Bo & Zhan, Wu & Sharma, Piyush & Budhwar, Pawan & Tan, Hui, 2022. "Demystifying the non-linear effect of high commitment work systems (HCWS) on firms’ strategic intention of exploratory innovation: An extended resource-based view," Technovation, Elsevier, vol. 116(C).
    4. Khanra, Sayantan & Dhir, Amandeep & Parida, Vinit & Kohtamäki, Marko, 2021. "Servitization research: A review and bibliometric analysis of past achievements and future promises," Journal of Business Research, Elsevier, vol. 131(C), pages 151-166.
    5. Do, Hoa & Budhwar, Pawan & Shipton, Helen & Nguyen, Hai-Dang & Nguyen, Bach, 2022. "Building organizational resilience, innovation through resource-based management initiatives, organizational learning and environmental dynamism," Journal of Business Research, Elsevier, vol. 141(C), pages 808-821.
    6. Kohtamäki, Marko & Parida, Vinit & Oghazi, Pejvak & Gebauer, Heiko & Baines, Tim, 2019. "Digital servitization business models in ecosystems: A theory of the firm," Journal of Business Research, Elsevier, vol. 104(C), pages 380-392.
    7. Lin, Chiou-Shiu & Jin, Ming & Huang, Pei-Chi & Xiao, Ran, 2023. "Does it take two to tango? The joint role of high-performance work systems and ethical leadership," Journal of Business Research, Elsevier, vol. 156(C).
    8. Khurram Rehmani & Yasir Ahmad & Afshan Naseem & Tasweer Hussain Syed, 2020. "Do they really coexist? An empirical analysis of a conjoint implementation of Quality Management System and High Performance Work System on organizational effectiveness," PLOS ONE, Public Library of Science, vol. 15(3), pages 1-20, March.
    9. Sehrish Atif, 2023. "Mapping circular economy principles and servitisation approach in business model canvas: an integrated literature review," Future Business Journal, Springer, vol. 9(1), pages 1-21, December.

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