Please use this identifier to cite or link to this item: http://hdl.handle.net/10397/79536
Title: The impact of enterprise communication initiatives on market-based firm performance : two empirical studies
Authors: Ng, Keng Hong
Advisors: Yee, Rachel (ITC)
Keywords: Communication in organizations
Communication in management
Issue Date: 2018
Publisher: The Hong Kong Polytechnic University
Abstract: Despite intense practitioner interest and rapid advances in technology in organizational communication (OC) facilitating value-adding work activities in companies, studies on the effects of such technological deployment have remained scarce in the field of operations management (OM). Using two empirical studies, we investigate the differentiating and causal effects of OC technologies implementation as enterprise communication initiatives (ECIs) on firm performance outcomes. The study reveals significant outcome differences between ECI-implementing and non-implementing firms. Our regression models indicate significant positive main and interactive effects on firm performance outcomes from ECIs. Our findings are supported by most theories and concepts drawn from relevant disciplines and fields such as OC and technology management. We also perform a further investigation to explore the business value implications of ECIs to companies operating in fashion and apparel industries. Our first study examines whether there are significant performance outcome differences in terms of market-based value (as measured using Tobin's q or TQ) between ECI-implementing and non-implementing firms. By viewing OC as a constituent of organizational value-creating activities, we propose that the introduction of novel OC technologies alter the prevailing work-related communications and activities, which in turn transform the value-adding dynamics of firms. Next, we conduct an event study in which both parametric and non-parametric tests are applied. A positive and significant TQ difference between both sets of firms is found for the period starting from the ECI-implementing year to one year after. This finding suggests that ECIs point to new ways for managers and employees to communicate, interpret, manipulate and act on the resources available at work. In sum, the technological affordances from ECIs changed both OC and value-adding dynamics of the implementing firms.
Our second study investigates a causal and interactive effect of ECIs with business orientations on a firm's TQ. From a marketing viewpoint, we test whether the extent to which firms commercialize their products and services (commercialization orientation or CO) and the extent of firms' internal focus on cost efficiency (internal orientation or IO) moderate the causal relationships between ECIs and firm TQ. Basing on both practical and theoretical grounds, we argue that employee work processes such as CO and IO activities are entangled with OC. The introduction of OC technologies via ECIs provides alternate and improved means for interaction and coordination among employees in different business oriented contexts. An event study approach is adopted to build the dataset, while a moderated multiple regression analysis is conducted to test them. A significant three-way interactive effect of CO is found on the ensuing TQ change, one year prior to ECI-implementation and during the implementation year. This suggests that firms devoting more effort in bringing their technological capabilities and products or services to the market (CO) prior to and during the ECIs would become keener and more active in actualizing and integrating the potential technological affordances resulting from the new OC technologies for business value creation. A further investigation is conducted to examine how firms in the fashion and apparel industries increasingly use OC and OC technologies to improve business performance, as they cope with recent market disruptions such as shoppers shifting rapidly towards e-commerce. A qualitative case study approach is adopted in this investigation. Through the use of six case reports, we find evidence suggesting that large fashion companies are aware of the opportunities from cross-cultural differences within and across business divisions and advantages by improving OC across geographical locations. Fashion companies tend to implement ECIs not only to take advantage of employee individual and collective knowledge but also to complement specific business orientations and enhance various operational and firm performance outcomes. A synthesis of the main arguments and findings from all studies is provided in the final section. Significant theoretical contributions and practical implications from our work are discussed there. Limitations of this research are identified and suggestions for future research are made.
Description: xii, 145 pages : color illustrations
PolyU Library Call No.: [THS] LG51 .H577P ITC 2018 Ng
URI: http://hdl.handle.net/10397/79536
Rights: All rights reserved.
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