Employees’ intrapreneurial engagement initiatives and its influence on organisational survival
Abstract
Employee intrapreneurial engagement is considered to be one of the fundamental initiatives that can help organisations to achieve a sustainable competitive advantage in the midst of economic hardship and stiff competition particularly in a volatile and competitive business environment. The main objective of this study is to examine how employees’ intrapreneurial engagement initiatives would influence organisational survival. Few studies analyse how employee intrapreneurial engagement may foster organisational survival. In order to bridge this gap, we conducted a survey with three main manufacturing companies in Nigeria. A descriptive research method (Structural Equation Model (AMOS 22)) was applied to analyse the two hundred and fifty-nine (259) copies of valid questionnaire completed by the respondents using stratified and simple random sampling techniques. However, the study indicated that fostering employees’ intrapreneurial engagement have positive significant implications on organisational survival. This suggests that employees’ empowerment, involvement, autonomy, relationships and reward system have significant effects on organisational survival. It is therefore recommended that organisations should challenge their employees by providing them with autonomy and the freedom to innovate and carve out spaces for them to take risks and experiment. The insights discovered from this study would help to facilitate stakeholders to develop or foster employee intrapreneurial engagement and strong institutional strategies to ensure organisational survival.
Keyword : intrapreneurship, empowerment, involvement, autonomy, relationships, reward, engagement
How to Cite
Falola, H. O., Salau, O. P., Olokundun, M. A., Oyafunke-Omoniy, C. O., Ibidunni, A. S., & Oludayo, O. A. (2018). Employees’ intrapreneurial engagement initiatives and its influence on organisational survival. Business: Theory and Practice, 19, 9-16. https://doi.org/10.3846/btp.2018.02
This work is licensed under a Creative Commons Attribution 4.0 International License.
References
Adeyeye JO, Falola HO, Waribo JY, Akinbode JO (2015) The effects of apprenticeship system on skill development of employees in the printing industry in Lagos State, Nigeria. British Journal of Economics, Finance and Management Sciences 10 (2): 16–30.
Alipour F, Idris K, Ismail IA, Uli JA, Karimi R (2011) Learning organization and organizational performance: mediation role of intrapreneurship. European Journal of Social Sciences 21 (4): 547–555.
Arnab B (2014) Intrapreneurship as an employee retention tool. International Journal of Research in Business Management 2 (3): 134–136.
Armstrong M, Taylor S (2014) Armstrong’s handbook of human resource management practice. 13th ed. UK, Kogan Page.
Antoncic B, Hisrich RD (2003) Clarifying the intrapreneurship concept. Journal of Small Business and Enterprise Development10 (1): 7–24. https://doi.org/10.1108/14626000310461187
Aspelund A, Fjell L, Rødland SE (2017) Doing good and doing well? International entrepreneurship and social responsibility. International Journal of Entrepreneurship 21 (2): 1–21.
Awang Z (2012) A handbook on SEM (Structural Equation Modeling), using AMOS graphic. Kota Baharu: Universiti Teknologi Mara Kelantan.
Azami S (2013) Intrapreneurship “an exigent employment”. International Journal of Scientific & Technology Research 2 (4): 194–198.
BarNir A (2012) Starting technologically innovative ventures: reasons, human capital, and gender. Management Decision 50 (3): 399–419. https://doi.org/10.1108/00251741211216205
Bhatia S, Khan PNU (2013) Building an intrapreneurial culture: a Sine-Qua- non for organizations today. Global Journal of Management and Business Studies 3 (8): 849–854.
Bhardwarj BR, Sushil Momaya K (2007) Corporate entrepreneurship: application of moderator method. Singapore Management Review 29 (1): 47–58.
Bockerman P, Bryson A, Ilmakunnas P (2012) Does high involvement management improve worker wellbeing? Journal of Economic Behavior and Organization 84 (2): 660–680. https://doi.org/10.1016/j.jebo.2012.09.005
Bimpitsos C, Petridou E (2012) A transdisciplinary approach to training: preliminary research findings based on a case analysis. European Journal of Training and Development 36 (9): 911–929.
https://doi.org/10.1108/03090591211280964
Byrne BM (2004) Testing for multigroup invariance using AMOS graphics: a road less traveled. Structural Equation Modeling
11 (2): 272–300. https://doi.org/10.1207/s15328007sem1102_8
Camelo-Ordaz C, Fernández-Alles M, Ruiz-Navarro J, SousaGinel E (2012) The intrapreneurs and innovation in creative firms. International Small Business Journal 30 (5): 513–535. https://doi.org/10.1177/0266242610385396
Clark MC (2008) The nature and structure of workers’ trust in management. Journal of Organisational Behaviour
18 (3): 205–224. https://doi.org/10.1002/(SICI)1099-1379(199705)18:3<205::AID-JOB792>3.0.CO;2-V
Domingo RS, Augusto JF, Ricardo R, Vítor RC (2012) The effect of intrapreneurship on corporate performance. Management Decision 50 (10): 1717–1738. https://doi.org/10.1108/00251741211279567
Elnaga AA, Imran A (2014) The impact of employee empowerment on job satisfaction: theoretical study. American Journal of Research Communication 2 (1): 13–26.
Falola HO, Ibidunni AS, Olokundun AM (2014) Incentives packages and employees’ attitudes to work: a study of selected government parastatals in Ogun State, South-West, Nigeria. International Journal of Research in Business and Social
Science 3 (1): 2147–4478.
Falola HO, Abasilim UD, Salau OP (2016) Strategic human resource development for enhanced job performance and universities’ competitiveness. Mediterranean Journal of Social Sciences 7 (3): 89–96. https://doi.org/10.5901/mjss.2016.v7n3p89
Fornell C, Larcker DF (1981) Evaluating structural equations with unobservable variables and measurement error. Journal of Marketing Research 18 (2): 39–50.
Ghosh AK (2013) Employee empowerment: a strategic tool to obtain sustainable competitive advantage. International Journal of Management 30 (3): 95–107.
Hayton JC (2005) Promoting corporate entrepreneurship through human resources management practices: a review of empirical research. Human Resource Management 15 (1): 21–41. https://doi.org/10.1016/j.hrmr.2005.01.003
Halim HA, Ahmad NH, Ramayah T (2017) Entrepreneurial readiness towards venture creation among bop community. International Journal of Entrepreneurship 21 (2): 1–12.
Irawanto DW (2015) Employee participation in decision-making: evidence from a state-owned enterprise in Indonesia. Management 20 (1): 159–172.
Ireland RD, Covin JG, Kuratko DF (2009) Conceptualizing corporate entrepreneurship strategy. Entrepreneurship Theory and Practice 33 (1): 19–46. https://doi.org/10.1111/j.1540-6520.2008.00279
Jasna AA, Bostjan A (2011) Employee satisfaction, intrapreneurship and firm growth: a model. Industrial Management & Data Systems 111 (4): 589–607. https://doi.org/10.1108/02635571111133560
Kacperczyk A (2012) Opportunity structures in established firms: entrepreneurship versus intrapreneurship in mutual funds.
Administrative Science Quarterly 57 (3): 484–521. https://doi.org/10.1177/0001839212462675
Kuratko DF, Hodgetts RM (2007) Entrepreneurship: theory, process, practice. Mason, OH: South-Western College publishers.
Kuratko DF, Ireland RD, Hornsby JS (2001) Improving firm performance through entrepreneurial actions: Acordia’s corporate entrepreneurship strategy. Academy of Management Executive 15 (4): 60–71. https://doi.org/10.5465/AME.2001.5897658
Lee SM, Hwang T, Choi D (2012) Open innovation in the public sector of leading countries. Management Decision 50 (1): 147–162. https://doi.org/10.1108/00251741211194921
Lutfihak AC, Bulut GG, Gunduz UK (2010) Organizational support for intrapreneurship and its interaction with human capital to enhance innovative performance. Management Decision 48 (5): 732–755. https://doi.org/10.1108/00251741011043902
Ma H, Liu TQ, Karri R (2016) Internal corporate venturing: intrapreneurs, institutions, and initiatives. Organizational Dynamics 45 (2): 114–123. https://doi.org/10.1016/j.orgdyn.2016.02.005
Molina C, Callahan JL (2009) Fostering organizational performance. The role of learning and intrapreneurship. Journal of European Industrial Training 33 (5): 388–400. https://doi.org/10.1108/03090590910966553
Moses CL, Olokundun MA, Akinnbode M, Agboola GM (2016) Organizational culture and creativity in entrepreneurship teaching in Nigerian secondary education. Research Journal of Applied Sciences 11 (1): 586–591.
Obeidat BU, Masa’deh RM, Abdallah AB (2014) The relationships among human resource management practices, organizational commitment, and knowledge management processes: a structural equation modeling approach. International Journal of Business and Management 9 (3): 9–26. https://doi.org/10.5539/ijbm.v9n3p9
Osibanjo AO, Salau OP, Falola HO, Oyewunmi AE (2016) Work place stress: implication for organisational performance in a Nigerian public university. Business: Theory and Practice17 (3): 261–269.
Osibanjo AO, Falola HO, Akinbode JO, Adeniji AA (2015) An assessment of workplace deviant behaviours and its implication on organisational performance in a growing economy. Journal of Organizational Psychology 15 (1): 90–100.
Parker S (2011) Intrapreneurship or entrepreneurship? Journal of Business Venturing 26 (1): 19–34. https://doi.org/10.1016/j.jbusvent.2009.07.003
Piening EP, Salge TO (2015) Understanding the antecedents, contingencies, and performance implications of process innovation: a dynamic capabilities perspective. Journal of Product Innovation Management 32 (1): 80–97.
https://doi.org/10.1111/jpim.12225
Rutherford MW, Holt DT (2007) Corporate entrepreneurship: an empirical look at the innovativeness dimension and its antecedents. Journal of Organizational Change Management 20 (3): 429–446.
https://doi.org/10.1108/09534810710740227
Sebora T, Theerapatvong T (2010) Corporate entrepreneurship: a test of external and internal influences on managers’ idea generation, risk taking, and reactiveness. International Entrepreneurship and Management Journal 6 (3): 331–350.
https://doi.org/10.1007/s11365-009-0108-5
Serinkan C, Kaymakci K, Arat G, Avcik C (2013) An empirical study on intrapreneurship: in a service sector in Turkey. Procedia – Social and Behavioural Sciences 89 (October 2013): 715–719.
https://doi.org/10.1016/j.sbspro.2013.08.920
Sharma M, Kaur G (2011) Workplace empowerment and organizational effectiveness: an empirical investigation of Indian banking sector. Academy of Banking Studies Journal 10 (2): 105.
Simon R, Barr C (2015) Endangered Species. The Wall Street Journal 6: 27–32.
Qureshi MI, Rasli AM, Jusoh A, Kowang TO (2015) Sustainability: a new manufacturing paradigm. Journal Teknologi 77 (22):
47–53. https://doi.org/10.11113/jt.v77.6661
Tabachnick BG, Fidell LS (2007) Using multivariate statistics. 5th ed. New York, Allyn and Bacon.
Urbano D, Turro A (2013) Conditioning factors for corporate entrepreneurship: an in external approach. International Entrepreneurship and Management Journal 9 (3): 379–396. https://doi.org/10.1007/s11365-013-0261-8
Vargas-Halabí T, Mora-Esquivel R, Siles B (2017) Intrapreneurial competencies: development and validation of a measurement scale. European Journal of Management and Business Economics 26 (1): 86–111. https://doi.org/10.1108/EJMBE-07-2017-006
Alipour F, Idris K, Ismail IA, Uli JA, Karimi R (2011) Learning organization and organizational performance: mediation role of intrapreneurship. European Journal of Social Sciences 21 (4): 547–555.
Arnab B (2014) Intrapreneurship as an employee retention tool. International Journal of Research in Business Management 2 (3): 134–136.
Armstrong M, Taylor S (2014) Armstrong’s handbook of human resource management practice. 13th ed. UK, Kogan Page.
Antoncic B, Hisrich RD (2003) Clarifying the intrapreneurship concept. Journal of Small Business and Enterprise Development10 (1): 7–24. https://doi.org/10.1108/14626000310461187
Aspelund A, Fjell L, Rødland SE (2017) Doing good and doing well? International entrepreneurship and social responsibility. International Journal of Entrepreneurship 21 (2): 1–21.
Awang Z (2012) A handbook on SEM (Structural Equation Modeling), using AMOS graphic. Kota Baharu: Universiti Teknologi Mara Kelantan.
Azami S (2013) Intrapreneurship “an exigent employment”. International Journal of Scientific & Technology Research 2 (4): 194–198.
BarNir A (2012) Starting technologically innovative ventures: reasons, human capital, and gender. Management Decision 50 (3): 399–419. https://doi.org/10.1108/00251741211216205
Bhatia S, Khan PNU (2013) Building an intrapreneurial culture: a Sine-Qua- non for organizations today. Global Journal of Management and Business Studies 3 (8): 849–854.
Bhardwarj BR, Sushil Momaya K (2007) Corporate entrepreneurship: application of moderator method. Singapore Management Review 29 (1): 47–58.
Bockerman P, Bryson A, Ilmakunnas P (2012) Does high involvement management improve worker wellbeing? Journal of Economic Behavior and Organization 84 (2): 660–680. https://doi.org/10.1016/j.jebo.2012.09.005
Bimpitsos C, Petridou E (2012) A transdisciplinary approach to training: preliminary research findings based on a case analysis. European Journal of Training and Development 36 (9): 911–929.
https://doi.org/10.1108/03090591211280964
Byrne BM (2004) Testing for multigroup invariance using AMOS graphics: a road less traveled. Structural Equation Modeling
11 (2): 272–300. https://doi.org/10.1207/s15328007sem1102_8
Camelo-Ordaz C, Fernández-Alles M, Ruiz-Navarro J, SousaGinel E (2012) The intrapreneurs and innovation in creative firms. International Small Business Journal 30 (5): 513–535. https://doi.org/10.1177/0266242610385396
Clark MC (2008) The nature and structure of workers’ trust in management. Journal of Organisational Behaviour
18 (3): 205–224. https://doi.org/10.1002/(SICI)1099-1379(199705)18:3<205::AID-JOB792>3.0.CO;2-V
Domingo RS, Augusto JF, Ricardo R, Vítor RC (2012) The effect of intrapreneurship on corporate performance. Management Decision 50 (10): 1717–1738. https://doi.org/10.1108/00251741211279567
Elnaga AA, Imran A (2014) The impact of employee empowerment on job satisfaction: theoretical study. American Journal of Research Communication 2 (1): 13–26.
Falola HO, Ibidunni AS, Olokundun AM (2014) Incentives packages and employees’ attitudes to work: a study of selected government parastatals in Ogun State, South-West, Nigeria. International Journal of Research in Business and Social
Science 3 (1): 2147–4478.
Falola HO, Abasilim UD, Salau OP (2016) Strategic human resource development for enhanced job performance and universities’ competitiveness. Mediterranean Journal of Social Sciences 7 (3): 89–96. https://doi.org/10.5901/mjss.2016.v7n3p89
Fornell C, Larcker DF (1981) Evaluating structural equations with unobservable variables and measurement error. Journal of Marketing Research 18 (2): 39–50.
Ghosh AK (2013) Employee empowerment: a strategic tool to obtain sustainable competitive advantage. International Journal of Management 30 (3): 95–107.
Hayton JC (2005) Promoting corporate entrepreneurship through human resources management practices: a review of empirical research. Human Resource Management 15 (1): 21–41. https://doi.org/10.1016/j.hrmr.2005.01.003
Halim HA, Ahmad NH, Ramayah T (2017) Entrepreneurial readiness towards venture creation among bop community. International Journal of Entrepreneurship 21 (2): 1–12.
Irawanto DW (2015) Employee participation in decision-making: evidence from a state-owned enterprise in Indonesia. Management 20 (1): 159–172.
Ireland RD, Covin JG, Kuratko DF (2009) Conceptualizing corporate entrepreneurship strategy. Entrepreneurship Theory and Practice 33 (1): 19–46. https://doi.org/10.1111/j.1540-6520.2008.00279
Jasna AA, Bostjan A (2011) Employee satisfaction, intrapreneurship and firm growth: a model. Industrial Management & Data Systems 111 (4): 589–607. https://doi.org/10.1108/02635571111133560
Kacperczyk A (2012) Opportunity structures in established firms: entrepreneurship versus intrapreneurship in mutual funds.
Administrative Science Quarterly 57 (3): 484–521. https://doi.org/10.1177/0001839212462675
Kuratko DF, Hodgetts RM (2007) Entrepreneurship: theory, process, practice. Mason, OH: South-Western College publishers.
Kuratko DF, Ireland RD, Hornsby JS (2001) Improving firm performance through entrepreneurial actions: Acordia’s corporate entrepreneurship strategy. Academy of Management Executive 15 (4): 60–71. https://doi.org/10.5465/AME.2001.5897658
Lee SM, Hwang T, Choi D (2012) Open innovation in the public sector of leading countries. Management Decision 50 (1): 147–162. https://doi.org/10.1108/00251741211194921
Lutfihak AC, Bulut GG, Gunduz UK (2010) Organizational support for intrapreneurship and its interaction with human capital to enhance innovative performance. Management Decision 48 (5): 732–755. https://doi.org/10.1108/00251741011043902
Ma H, Liu TQ, Karri R (2016) Internal corporate venturing: intrapreneurs, institutions, and initiatives. Organizational Dynamics 45 (2): 114–123. https://doi.org/10.1016/j.orgdyn.2016.02.005
Molina C, Callahan JL (2009) Fostering organizational performance. The role of learning and intrapreneurship. Journal of European Industrial Training 33 (5): 388–400. https://doi.org/10.1108/03090590910966553
Moses CL, Olokundun MA, Akinnbode M, Agboola GM (2016) Organizational culture and creativity in entrepreneurship teaching in Nigerian secondary education. Research Journal of Applied Sciences 11 (1): 586–591.
Obeidat BU, Masa’deh RM, Abdallah AB (2014) The relationships among human resource management practices, organizational commitment, and knowledge management processes: a structural equation modeling approach. International Journal of Business and Management 9 (3): 9–26. https://doi.org/10.5539/ijbm.v9n3p9
Osibanjo AO, Salau OP, Falola HO, Oyewunmi AE (2016) Work place stress: implication for organisational performance in a Nigerian public university. Business: Theory and Practice17 (3): 261–269.
Osibanjo AO, Falola HO, Akinbode JO, Adeniji AA (2015) An assessment of workplace deviant behaviours and its implication on organisational performance in a growing economy. Journal of Organizational Psychology 15 (1): 90–100.
Parker S (2011) Intrapreneurship or entrepreneurship? Journal of Business Venturing 26 (1): 19–34. https://doi.org/10.1016/j.jbusvent.2009.07.003
Piening EP, Salge TO (2015) Understanding the antecedents, contingencies, and performance implications of process innovation: a dynamic capabilities perspective. Journal of Product Innovation Management 32 (1): 80–97.
https://doi.org/10.1111/jpim.12225
Rutherford MW, Holt DT (2007) Corporate entrepreneurship: an empirical look at the innovativeness dimension and its antecedents. Journal of Organizational Change Management 20 (3): 429–446.
https://doi.org/10.1108/09534810710740227
Sebora T, Theerapatvong T (2010) Corporate entrepreneurship: a test of external and internal influences on managers’ idea generation, risk taking, and reactiveness. International Entrepreneurship and Management Journal 6 (3): 331–350.
https://doi.org/10.1007/s11365-009-0108-5
Serinkan C, Kaymakci K, Arat G, Avcik C (2013) An empirical study on intrapreneurship: in a service sector in Turkey. Procedia – Social and Behavioural Sciences 89 (October 2013): 715–719.
https://doi.org/10.1016/j.sbspro.2013.08.920
Sharma M, Kaur G (2011) Workplace empowerment and organizational effectiveness: an empirical investigation of Indian banking sector. Academy of Banking Studies Journal 10 (2): 105.
Simon R, Barr C (2015) Endangered Species. The Wall Street Journal 6: 27–32.
Qureshi MI, Rasli AM, Jusoh A, Kowang TO (2015) Sustainability: a new manufacturing paradigm. Journal Teknologi 77 (22):
47–53. https://doi.org/10.11113/jt.v77.6661
Tabachnick BG, Fidell LS (2007) Using multivariate statistics. 5th ed. New York, Allyn and Bacon.
Urbano D, Turro A (2013) Conditioning factors for corporate entrepreneurship: an in external approach. International Entrepreneurship and Management Journal 9 (3): 379–396. https://doi.org/10.1007/s11365-013-0261-8
Vargas-Halabí T, Mora-Esquivel R, Siles B (2017) Intrapreneurial competencies: development and validation of a measurement scale. European Journal of Management and Business Economics 26 (1): 86–111. https://doi.org/10.1108/EJMBE-07-2017-006