Analyzing the impact of excellence practices on organizational performance: knowledge management as a mediator in mobile network operators
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Al-Shami, Ali Mohammed; Al-Nashmi, Murad Mohammed Article Analyzing the impact of excellence practices on organizational performance: knowledge management as a mediator in mobile network operators Cogent Business & Management Provided in Cooperation with: Taylor & Francis Group Suggested Citation: Al-Shami, Ali Mohammed; Al-Nashmi, Murad Mohammed (2024) : Analyzing the impact of excellence practices on organizational performance: knowledge management as a mediator in mobile network operators, Cogent Business & Management, ISSN 2331-1975, Taylor & Francis, Abingdon, Vol. 11, Iss. 1, pp. 1-18, https://doi.org/10.1080/23311975.2024.2397565 This Version is available at: https://hdl.handle.net/10419/326540 Standard-Nutzungsbedingungen: Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden. Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen. Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Terms of use: Documents in EconStor may be saved and copied for your personal and scholarly purposes. You are not to copy documents for public or commercial purposes, to exhibit the documents publicly, to make them publicly available on the internet, or to distribute or otherwise use the documents in public. If the documents have been made available under an Open Content Licence (especially Creative Commons Licences), you may exercise further usage rights as specified in the indicated licence. https://creativecommons.org/licenses/by/4.0/
Cogent Business & Management ISSN: 2331-1975 (Online) Journal homepage: www.tandfonline.com/journals/oabm20 Analyzing the impact of excellence practices on organizational performance: knowledge management as a mediator in mobile network operators Ali Mohammed Al-Shami & Murad Mohammed Al-Nashmi To cite this article: Ali Mohammed Al-Shami & Murad Mohammed Al-Nashmi (2024) Analyzing the impact of excellence practices on organizational performance: knowledge management as a mediator in mobile network operators, Cogent Business & Management, 11:1, 2397565, DOI: 10.1080/23311975.2024.2397565 To link to this article: https://doi.org/10.1080/23311975.2024.2397565 © 2024 The Author(s). Published by Informa UK Limited, trading as Taylor & Francis Group Published online: 09 Sep 2024. Submit your article to this journal Article views: 1200 View related articles View Crossmark data Citing articles: 1 View citing articles Full Terms & Conditions of access and use can be found at https://www.tandfonline.com/action/journalInformation?journalCode=oabm20
ManageMent | ReseaRch aRticle Cogent Business & ManageMent 2024, VoL. 11, no. 1, 2397565 Analyzing the impact of excellence practices on organizational performance: knowledge management as a mediator in mobile network operators ali Mohammed al-shamia and Murad Mohammed al-nashmib aCenter of Business administration, sana’a university, sana’a, Yemen; badministrative sciences, university of science and technology, sana’a, Yemen ABSTRACT the purpose of this study is to analyze the impact of the eFQM excellence model in terms of the directional and executional excellence practices (the DePs and eePs) on organizational performance (OP). it also aims to analyze the mediation role of knowledge management processes (KMPs) between excellence practices and OP. a survey as an empirical data-collection instrument was deployed and distributed to mid and high-level management participants across four mobile network operators (MnOs) in Yemen. a dataset of 219 valid questionnaires were used for analysis. this paper employs the structural equation modelling (seM) disjoint two-stage approach to validate the research model using smartPls software. the results showed a complementary mediation by KMPs in the relationship between the DePs and OP, and interestingly, a full KMPs mediation between the eePs and OP. the findings indicate that KMPs promote the impact of the DePs on OP while they reduce the influence of the direct impact of the eePs on OP. Furthermore, to the best of the authors knowledge, the study represents a distinctive investigation in the relationship between the DePs, eePs, and OP by inclusion of KMPs as a mediator in MnOs, which contributes to the underdeveloped literature pertaining to these constructs. 1. Introduction in an increasingly turbulent environment, organizations strive to achieve high performance and gain competitive advantage by cultivating strategic resources (Daft, 2021). they shift from being completely reliant on physical resources to being dependent on knowledge (north & Kumta, 2018). Underpinning this transformation is the knowledge-based view (KBV), which emphasizes knowledge as a key resource (grant, 1996) that can improve organizational competitiveness (Barney, 1991) and overall organizational performance (OP) (Payal etal., 2019). achieving this objective mandates efficient utilization of knowledge as a resource. Knowledge management (KM) represents an intangible asset that is crucial for competitive advantage (lim etal., 1999). it involves systematic processes like creation, sharing, and application of knowledge by individuals, teams, and entire organizations, to manage knowledge resources (Pinho et al., 2012; Payal etal., 2019). these processes act as enablers for organizations to achieve strategic goals (north & Kumta, 2018) and competitive advantage (Ooi, 2014). and this interaction cannot be disregarded by organizations especially that extensive empirical research has consistently demonstrated their detrimental impact on organizational performance. it is evident that organizations lacking effective knowledge management processes may fail to leverage their value creation and organizational success (Payal etal., 2019; cordeiro et al., 2021). and to gain a comprehensive understanding of knowledge dynamics in organizations, it is critical to develop a KM framework that integrates diverse processes within an organization (north & © 2024 the author(s). Published by informa uK Limited, trading as taylor & Francis group. CONTACT ali Mohammed al-shami [email protected]e, [email protected] Center of Business administration, sana’a university, sana’a, Yemen https://doi.org/10.1080/23311975.2024.2397565 this is an open access article distributed under the terms of the Creative Commons attribution License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited. the terms on which this article has been published allow the posting of the accepted Manuscript in a repository by the author(s) or with their consent. ARTICLE HISTORY Received 13 December 2023 Revised 19 July 2024 accepted 22 august 2024 KEYWORDS Organizational excellence practices; eFQM; knowledge management processes; organizational performance; Partial leased squire-structure equation Modelling SUBJECTS information / Knowledge Management; Quality Management; Management & Organization
2 a. M. al-shaMi anD M. M. al-nashMi Kumta, 2018). these standards and processes evoke the spirit of ‘in search of excellence,’ as denoted by Peters and Waterman (1982). Organizational excellence (Oe), according to the american society for Quality (asQ, 2022), is the consistent high performance that exceeds the expectations of stakeholders. Oe practices encompass the methods utilized by organizations to achieve high performance. the latest version of the european Foundation for Quality Management excellence Model (eFQM-eM) introduces a multidimensional approach, remarkably the direction and execution dimensions (eFQM, 2021). the direction dimension serves as a primary element in providing guidance for organizations along their path of the success journey through the use of the directional excellence practices (DePs) (eFQM, 2021). While the executional excellence practices (eePs) focus on the implementation of the organization’s strategic directions, addressing ‘how does it intend to deliver on its strategy?’ (eFQM, 2021). however, the literature has elucidated the integration of excellence management practices with knowledge management as fundamental drivers of sustainable competitive advantage and organizational performance (criado-garcía et al., 2020; Bocoya-Maline et al., 2023). the integration of DePs and eePs of the eFQM dimensions provide a comprehensive approach to organizational excellence that aligns strategic objectives with operational capabilities, thus contributing to management literature on strategic management and organizational development. Despite the synergies surrounding the integration of organizational excellence practices or KMPs in the pursuit of outstanding organizational performance (criado-garcía et al., 2020), the existing literature remains notably deficient in establishing a clear nexus between the dimensions of the recent version of the eFQM-eM introduced in 2020 and OP through KMPs. Most previous studies have focused on investigating a limited set of variables centered around either the impact of KMPs and OP (gupta & chopra, 2018; Payal et al., 2019; cordeiro et al., 2021), or used the earlier versions of the eFQM dimensions and their impact on OP (tickle et al., 2016; calvo-Mora et al., 2020). conceptually, there is a need to explore how these dimensions interact within the MnOs, particularly in developing economies like Yemen given their economic significance. MnOs play in countries’ economy, adding $4.5 trillion of global economic value in 2021 (gsMa, 2022) and an average of 7% to Yemen’s economic output between 2015 and 2018 (Fadhl & sacchetto, 2023). however, the MnOs market in Yemen confronts different performance challenges with penetration below the regional average rates which has dropped by 11% since 2015, representing a loss of access to telecom services for citizens (international telecom Union [itU], 2018; Fadhl & sacchetto, 2023). this indicates a deficiency in strategic orientation aligned with value creation for stakeholders. however, the integration of excellence management practices encompassing strategic focus (as delineated in the eFQM DePs), stakeholders’ value perception (as delineated in the eFQM eePs), alongside KMPs, serves as fundamental drivers of sustainable competitive advantage and organizational performance (criado-garcía et al., 2020; Bocoya-Maline et al., 2023). this integration, as suggested in this study, is facilitated through stakeholders’ knowledge sharing that enable them to work cohesively towards a unified vision to improve organizational excellence in MnOs. While previous studies examine the nexus of organizational excellence practices and knowledge management from different perspectives, such as the eFQM-KM issues and OP (criado-garcía et al., 2020; Bocoya-Maline et al., 2023), this study distinguishes itself by incorporating the two enabling dimensions of the recent eFQM version, i.e. the directional excellence practices (DePs) and executional excellence practices (eePs) (turisová et al., 2021), along with KMPs and OP variables in a single comprehensive model. specifically, this study attempts to address the following research questions (RQs): RQ1. is there an impact of eFQM-eM DePs and/or eePs on KMPs? RQ2. Do KMPs influence OP? RQ3. is there an impact of eFQM-eM DePs and/or eePs on OP? RQ4. Do KMPs mediate the relationship between the eFQM-eM dimensions and OP? the study commences with a theoretical foundation to comprehend the interactions among the variables and develop the research hypotheses. the research design section provides details on the methodology and measures of the study. subsequently, the results section presents the empirical findings showing how the eFQM-eM dimensions influence OP through KMPs, contributing to advancements
cOgent BUsiness & ManageMent 3 in quantitative research related to the KM field. the paper concludes with a discussion of the implications, limitations, and prospects for future research, ensuring that the contributions are significant both theoretically and practically. By adopting this structure, this study provides a minimum of four theoretical and practical contributions to related literature. it provides pioneering empirical evidence that articulates the underlying processes of KM by which they mediate the relationship between the two eFQM enablers, i.e. DePs and eePs, and OP. this contribution deepens insights and expands upon the studies by calvo-Mora etal. (2015) and Bocoya-Maline etal. (2023), and the underexplored dimensions within the existing literature. this study also responds to calls for a comprehensive analysis of the mechanisms by which diverse knowledge management processes exert their influence on organizational performance (Migdadi etal., 2017; Payal etal., 2019). in addition, the study heeds Kafetzopoulos etal.’s (2019) call to dissect the soft and hard eFQM enablers separately and responds to Do and Mai’s (2020) recommendation for further studies on high organizational performance frameworks. Furthermore, this study has the capacity to include practical contributions to mobile network operators (MnOs) based on the presented results. this will outline opportunities related to Oe optimization through KMPs. 2.Theoretical foundation and hypotheses development 2.1. Theoretical underpinnings to explain the relationship among the variables of the study, the resource-based view (RBV) theory (Barney, 1991), knowledge-based view (KBV) theory (grant, 1996), and the contingency theory (Donaldson, 2001) were integrated. in this context, based on RBV theory, the directional and executional excellence practices (DePs and eePs) are seen as resources and capabilities that can improve organizational performance (calvo-Mora et al., 2020; Raoof et al., 2021). DePs, such as strategic planning, culture, and leadership; along with eePs, like stakeholder engagement, creation of sustainable value, and driving performance and transformation (eFQM, 2021), contribute in developing a strategic advantage. the reliance of the organizational excellence practices on specific strategic and operational knowledge difficult for competitors to replicate contributes in competitive advantage and high organizational performance (Barney, 1991). the DePs rely on strategic knowledge to draw directions; while the eePs depend on operational knowledge for execution of the strategic directions. in light of the knowledge-based view (KBV) theory – an extension of the RBV theory, knowledge management processes are essential to facilitate the adoptability and transformation of knowledge into strategic capabilities (north & Kumta, 2018). DePs foster a knowledge-driven strategic environment by continuous exploration and sharing of trends and changes. and to execute the new strategic directions, eePs require utilization of the operational knowledge by engaging stakeholders, improve value creation, and drive organizational performance and transformation (eFQM, 2021). the DePs and eePs, based on the KBV theory, are key resources and capabilities that foster the creation, sharing, and application of knowledge. Knowledge management processes play a role in enabling organizational resources and capabilities (i.e. the DePs and eePs) to adopt in response to environmental changes (grant, 1996). Donaldson (2001) introduced the contingency theory which suggests that organizations shall adopt their structures to the external environment, thereby impact organizational performance. this adaptability is vital for sustaining high organizational performance in dynamic market conditions like the mobile network operators. knowledge management processes mediate the relationship between organizational excellence practices and organizational performance by transforming the knowledge resources that responds to environmental changes ensuring effective creation, acquisition, storage, sharing, and application for improvement in organizational performance (Payal et al., 2019; abbas & Kumari, 2021). integrating these theories creates a robust theoretical foundation for understanding how DePs and eePs mediated by knowledge management processes impact on organizational performance. the RBV theory highlights the importance of resources and capabilities to achieve organizational performance (Barney, 1991), KBV theory emphasizes the criticality of internal knowledge resources (grant, 1996), while the contingency theory (Donaldson, 2001) stresses for resources adoptability to maintain high
4 a. M. al-shaMi anD M. M. al-nashMi organizational performance. this holistic framework not only explains the relationships among the variables of the study but offers insights into how organizations can utilize excellence practices and knowledge management processes to attain superior performance. 2.2. Organizational excellence practices and knowledge management processes Organizational excellence, is a strategy linked to decisions, customer focus, quality, ethics, organizational culture, social responsibility, and sustainability (lasrado, 2018). the eFQM-eM, introduced in 1991, has emerged as a globally adopted framework for enhancing quality and performance (lasrado, 2018). the latest version of the eFQM-eM 2020 embodies a multidimensional model encompassing the direction and execution dimensions (eFQM, 2021). the direction dimension of the eFQM-eM includes the strategy, culture and leadership subdimensions, it guides organizations along their path of the success journey through the utilization of the directional excellence practices (DePs) (eFQM, 2021). conversely, the execution dimension includes engaging stakeholders, create sustainable value, and drive performance and transformation (eFQM, 2021), which represent the executional excellence practices (eePs). however, organizational excellence frameworks are vital in integrating knowledge management initiatives (north & Kumta, 2018). the concept of knowledge management, introduced by nonaka and takeuchi (1995), revolves around the utilization of knowledge assets. this concept has been approached from various perspectives (lim etal., 1999; Pinho etal., 2012; north & Kumta, 2018). KM represents an intangible asset that is extremely difficult to replicate, making it a valuable competitive advantage (lim et al., 1999). While there is no consensus regarding knowledge management processes in literature, for the purpose of this study, the focus incorporated five essential KMPs in previous research: creation, acquisition, storage, sharing, and application of knowledge (Donate & Pablo, 2015; nafei, 2016; Obeso et al., 2020; cordeiro et al., 2021; abbas & Kumari, 2021). in line with analogous management systems, successful KM requires a framework that integrates diverse processes within an organization (north & Kumta, 2018). this study posits that the directional excellence practices (DePs) are contingent variables for the KMPs. Previous research shows a correlation and synergy between KMPs and the dimensions of DePs, such as strategic planning (Yoshikuni et al., 2024) and organizational culture and leadership (aldulaimi, 2015; sapta etal., 2021). Moreover, synergy also emerges between KM and eePs, such as engaging stakeholders (shahzad et al., 2020a). Previous studies have highlighted the synergies between eFQM-KM issues and KMPs (criado-garcía et al., 2020; Bocoya-Maline et al., 2023). the eFQM-eM promotes knowledge management within an organization, with evidence presenting that organizations with quality certificates tend to manage their knowledge (lee and Wong, 2015). in light of the KBV theory, an extension of the RBV theory, organizational excellence practices (i.e. DePs and eePs) are considered valuable internal resources and capabilities and mainly rely on knowledge. these resources are linked to KMPs, thereby facilitating the transformation of knowledge resources into strategic capabilities (grant, 1996), which, in turn, enhances performance and competitiveness (Barney, 1991). DePs can significantly influence KMPs. For instance, a culture that values knowledge sharing is more likely to foster effective knowledge management (Payal etal., 2019). eePs can also affect KMPs by engaging stakeholders in creation and share of knowledge. the interactions with customers, suppliers, or research centers can lead to enhanced knowledge. thereby improving an organization’s knowledge ecosystem. hence, the following hypotheses are formulated: H1. There is a significant impact of the DEPs on KMPs. H2. There is a significant impact of the EEPs on KMPs. 2.3. Knowledge management processes and organizational performance in the realm of market dynamics, the intersection of KMPs and OP plays a focal role. guided by the knowledge-based view, these processes harness transformed internal resources (grant, 1996) for improved OP (Payal et al., 2019).
cOgent BUsiness & ManageMent 5 Research suggests a relationship between KMPs and OP (abbas & Kumari, 2021). For instance, KM enhances employees’ capacity for mutual learning when exchanging internal and external resources, thereby increasing operational efficiency and enhancing organizational performance (Becerra-Fernandez & sabherwal, 2015). Previous studies have confirmed a correlation between KMPs and OP (cordeiro etal., 2021; Payal et al., 2019). however, Obeso et al. (2020) revealed that knowledge storage has no direct impact on performance. given these different viewpoints and supportive evidence, the following hypothesis was developed: H3. There is a significant impact of KMPs on OP. 2.4. Organizational excellence practices and organizational performance the eFQM-eM premised on achieving excellent performance results (al-Darmaki & al-Dhaafri, 2018; al-Dhaafri et al., 2016; calvo-Mora et al., 2020; Raoof et al., 2021; tickle et al., 2016). the interaction between organizational excellence practices (i.e. DePs and eePs) and OP assumes a multi-theoretical perspective. according to the resource-based view, DePs are believed to shape resources that promote sustainable competitive advantage (Barney, 1991) in terms of organizational strategy (george et al., 2019; calvo-Mora et al., 2020; emami et al., 2022), culture (Paschal and nizam, 2016; ghumiem et al., 2023), and leadership (calvo-Mora et al., 2020; sandhu & al naqbi, 2023). the eePs, from the RBV theory, encompass the capabilities to attain high organizational performance. additionally, guided by the resource-based theory, eePs are essential capabilities for utilizing organizational resources to achieve superior performance. to achieve this goal, organizations engage stakeholders (Ferro-soto etal., 2018), create sustainable value (calvo-Mora etal., 2020; ilyas and Osiyevskyy, 2022), and drive performance and transformation (De Waal & heijtel 2016; sousa-Zomer etal., 2020). Furthermore, stakeholder theory (Freeman, 1984) interprets the link between DePs, eePs, and OP through stakeholder engagement and value creation. studying this interplay is highly significant to understand how DePs and eePs are linked to OP, shedding light on strategic alignment, stakeholder involvement, and integrated approaches for value creation to drive current performance while drawing the path for future transformation. given these varying perspectives and supportive evidence, the following hypotheses were proposed to empirically examine the relationships between identified excellence practices (i.e. DePs and eePs) and OP: H4. There is a significant impact of The DEPs on OP. H5. There is a significant impact of The EEPs on OP. 2.5. Knowledge management processes as a mediator between the relationships of directional and executional excellence practices and organizational performance empirical evidence suggests that a significant relationship between Oe and OP has been extensively explored in the literature, with the consensus that higher levels of Oe can result in OP (al-Darmaki & al-Dhaafri, 2018; al-Dhaafri etal., 2016; calvo-Mora etal., 2020; tickle etal., 2016). additionally, previous studies have also highlighted the link and synergies between KMPs and excellence practices (nafei, 2016; criado-garcía etal., 2020; Bocoya-Maline etal., 2023). Knowledge management has also been recognized as a factor in enhancing OP (cordeiro et al., 2021; Payal et al., 2019). this study delves into the strategic value of resources (i.e. the directional excellence practices) and capabilities (i.e. the executional excellence practices) and how they contribute to organizational performance and competitive advantage through the organization’s valuable resources (i.e. knowledge). the resource-based view theory offers valuable lenses to interpret the link between excellence practices (i.e. DePs and eePs) that influence KMPs as a mediator variable, which in turn impacts OP. DePs and eePs are considered valuable resources and capabilities that can positively drive organizational performance (tickle et al., 2016; al-Darmaki & al-Dhaafri, 2018; calvo-Mora et al., 2020). effective KMPs can enhance the value and utilization of this resource (abbas & Kumari, 2021).
6 a. M. al-shaMi anD M. M. al-nashMi KMPs, as a mediator, reflect the focus of the RBV theory on how resources and capabilities are integrated and utilized for organizational performance and competitive advantage. Furthermore, from the contingency theory perspective (Donaldson, 2001), KMPs are essential for reconfiguring organization’s resources and capabilities in response to changes which, in return, impact organizational performance. KMPs enable the integration of strategic orientation and culture (the DePs perspective) and efficient execution of strategies (the eePs perspective) (Becerra-Fernandez & sabherwal, 2015). this integration is achieved by sharing expectations that enable stakeholders to work cohesively towards a unified vision and strategies that lead to improved quality of service and risk management for complex markets, such as MnOs. to address this research gap, the current study seeks to investigate the role of KMPs construct as mediators within the nexus of the impact of DePs and eePs on OP. the research model used in this study is illustrated in Figure 1. hence, the following hypotheses are formulated to bridge these domains: H6: There is a significant mediating role of KMPs between the DEPs and OP. H7:There is a significant mediating role of KMPs between the EEPs and OP. 3. Research design 3.1. Research methodology this study employs a quantitative research approach to explore and explain the relationships between variables (hair et al., 2019) using quantitative data (sekaran & Bougie, 2016). Prior to conducting data analysis, preliminary steps preparing data for analysis were conducted like standard deviation of the data (collier, 2020) and common method bias (Podsakoff et al., 2012). these steps were conducted to ensure the accuracy, completeness, and appropriateness of the data for analysis (sekaran & Bougie, 2016). Different statistical methods were employed using the statistical Package for the social sciences (sPss®) and smart Partial least squares (smartPls®) software. Partial leased squire-structure equation Modelling (seM-Pls) allows for simultaneous mediation testing by employing a two-stage process that comprises the direct and indirect impacts (hair et al., 2019). the two-stage approach is an alternative to the repeated-indicator approach (hair et al., 2022). in this study, the disjoint approach was used. to test the study model and hypotheses, two phases using smartPls® were followed. the first phase was the assessment of the measurement model. in this phase, the reliability and convergent validity of the first-order measurement constructs were conducted. then, the assessment of the second-order measurement constructs was performed to examine the validity of the higher-order constructs. the second phase involved the assessment of the structural model. criteria of assessing structural model were explanatory power, predictive power, path coefficients’ significance. Building on results of the path coefficients, hypotheses testing was performed for the main and mediating effects analysis. Figure 1. Research Model.
cOgent BUsiness & ManageMent 7 this study was authorized by the institutional Review committee (iRc) of the center of Business administration (Ref. no.: 000-164, date: 14 november 2022). the study participants were informed about the study’s procedures, confidentiality and other pertinent details a head of participation. Only participants who explicitly granted their consent were allowed to participate in this study. 3.2. Populations and data collection in this study, the organization was examined as the unit of analysis. Data were collected from four MnOs in Yemen through employees at mid and high management levels. employees at this level typically hold responsibility for management systems and organizational performance. the target population consisted of 256 employees within four MnOs in Yemen. the census method was used (sekaran & Bougie, 2016). a total of 256 questionnaires were provided and 236 completed questionnaires were collected from each organization. Minimal researcher interference was ensured. the researcher primarily focused on distributing the questionnaires to organizations or participants and addressing inquiries raised by respondents. to determine whether respondents engaged in misbehavior, an additional method was suggested to examine the standard deviation of the data. according to collier (2020), responses with a standard deviation below 0.25 are subject to case removal due to the low variance among responses throughout the questionnaire. however, respondents with a standard deviation of less than 0.25 were seventeen. the remaining 219 of the 236 questionnaires were valid for further analysis, representing 86% of the population. 3.3. Measures the questionnaire design incorporated the scales established in previous studies and was validated by a panel of 11 academic experts. it was refined according to the feedback provided by the panel. the study adopted a seven-item likert scale for sixty-six items (see table 1). the directional and executional excellence practices were measured using 16 and 19 items, respectively, adapted from the eFQM (2021) direction and execution dimension criteria (Fonseca et al., 2021), while knowledge management practices were measured using 21 items that had been adapted from previous studies (Donate & Pablo, 2015; nafei, 2016; cordeiro et al., 2021; abbas & Kumari, 2021). Organizational performance was measured using 10 items adapted from the eFQM (2021) result dimension criteria (Fonseca et al., 2021). 3.4. Common method bias common method bias (cMB) is a potential concern in which systematic variation among variables occurs because of the data collection method (Podsakoff et al., 2012). to test cMB, harman’s test of a single factor was performed. the result of the single factor contribution test was 37.13%. according to Podsakoff etal. (2012), if even a single factor contributes less than 50% of the entire variance, it suggests that cMB significantly influence the overall results. therefore, it can be concluded that common method bias is absent in the study. 4. Data analysis and results 4.1. Measurement Model – Assessment of first-order measurement constructs 4.1.1. Construct reliability and convergent validity the findings suggest that most indicators have loadings exceeding 0.708 (see table 1), except for Ksh1, sOP4, and Oc2, which had loadings of 0.663, 0.696, and 0.699, respectively. these values exceed the loading significance threshold of 0.50 (hair et al., 2019), indicating an acceptable association between the constructs and their respective indicators (hair etal., 2019). table 1 illustrates the assessment of the measurement model for the first-order constructs. the results showed that all composite reliability (cR)
14 a. M. al-shaMi anD M. M. al-nashMi results revealed that the eePs had an insignificant effect on OP. these findings underscore the operational nature of the eePs, indicating that their impact on OP is contingent upon manifestation of other variables. this discussion is the answer to the third question of this study. 5.1.1. The mediating role of knowledge management processes between the excellence practices and organizational performance Further to the assessment of the direct relationships, this study reveals interesting results on KMPs variable as a mediator on the relationship between the directional and executional excellence practices, and organizational performance. the results revealed a complementary partial mediating role in the relationship between DePs and OP. On their way to achieving OP, the DePs require the presence of KMPs. the significant mediation of KMPs suggests their facilitation role in the relationship between the strategic practices of the DePs and organizational performance. the KMPs enable the effective utilization of knowledge, sharing of information, and learning within MnOs, leading to improved organizational performance. Without effective knowledge management, organizations may not fully leverage their DePs to achieve high performance (Payal etal., 2019; cordeiro etal., 2021). the complementary mediation results imply that KMPs play a supportive role in the relationship between the DePs and OP in MnOs. this means that the more effective the KMPs are within the organization, the more significant is the positive impact of the DePs on organizational performance. KMPs function as complementary or enabler factors for the effects of the DePs on OP. these results imply that the significant impact of the DePs on KMPs can support MnOs navigate challenges and capitalize on opportunities in their dynamic and highly competitive market. alternatively, eePs on their way to achieve OP require the involvement of KMPs. the full KMPs mediation between the eePs and OP signifies that knowledge enable the smooth execution of the executional practices, which in turn, result in improved OP (Becerra-Fernandez & sabherwal, 2015; north & Kumta, 2018). these results underscore the operational nature of the eePs, indicating that enhancing OP is contingent upon their manifestation through KMPs. therefore, for MnOs, strategic focus on KMPs is essential for high organizational performance. the findings align with the principles of the RBV theory by considering knowledge as a strategic resource to drive organizational performance and competitive advantage. Furthermore, viewed through the lens of contingency theory, KMPs improve information flow and promote the alignment and adaptation of DePs and eePs to suit the context of the organization (Donaldson, 2001). in summary, the various types of mediation elucidated in this study provide valuable insights into MnOs. and, prioritizing the dimensions of DePs, eePs, and KMPs emerges as a strategic imperative to improve OP. the above discussion provides an answer to the fourth question of this study. 5.2. Conclusion and implications this study investigated the directional and executional excellence practices (DePs and eePs), knowledge management processes (KMPs), and organizational performance (OP) in the context of mobile network operators (MnOs) in Yemen. the seM-Pls method was used to analyze the data utilizing smartPls software. the study results show that the directional and executional excellence practices have a significant impact on KMPs. in addition, KMPs had a significant impact on OP. Meanwhile, in contrast to the findings of the mediation role in the relationship between DePs and OP, the direct effect of eePs and OP (with availability of KMPs) showed insignificant results. the findings show a complementary mediation role of KMPs in the relationship between the DePs and OP, while this mediation is full in the relationship between the eePs and OP. these findings suggest that the insignificant direct impact of the eePs on OP is counteracted by the presence of KMPs. this emphasizes that knowledge resources, a core RBV concept (Barney, 1991; conner & Prahalad, 1996), are crucial strategic assets that enable organizations to gain and sustain a competitive advantage (grant, 1996). these findings suggest that focusing solely on the eePs may not be sufficient to enhance organizational performance. Furthermore, this study embodies an advance in quantitative research related to KMPs that can act as both complementary partial mediators and full mediators, distinguishing between them aligns with the broader literature on mediation analysis (Zhao et al., 2010; hair et al., 2022). the complementary partial mediation in this study suggests that KMPs enhance the positive impact of DePs on OP, whereas the full mediation indicates that KMPs amplify
cOgent BUsiness & ManageMent 15 the impact of eePs on OP. this distinction, along with predictive modelling techniques, emphasizes the importance of understanding the interactions between different variables in this study. they support decision-making related to future organizations’ horizons and transformation (Mer et al., 2023). On the other hand, the contextual relevance of the findings highlights the importance of considering specific industry and organizational variables. the findings indicate that each investigated variable significantly validates a contribution to the performance of MnOs. in addition, scholars have consistently highlighted the significance of KM in the telecommunications sector, as evidenced by previous research (Zayed et al., 2022). however, previous studies have not highlighted the role of KMPs in the relationship between DePs, eePs, and OP. By bridging the knowledge gap, this study presents empirical implications for MnOs. the findings emphasize the importance of integrating DePs and eePs with KMPs to enhance stakeholder engagement and optimize decision-making processes, providing the MnOs in Yemen with a framework to utilize their resources and practices for performance improvement in the dynamic telecom industry. these results suggest that KMPs play a pivotal role in enabling the eePs to drive OP in MnOs. Management in the MnO market should emphasize driving current performance for future transformation to ensure the positive impact of the eePs on OP through effective knowledge management practices. it is proposed that becoming a learning organization should be a strategy for MnOs. MnOs should focus on integrating knowledge management objectives and practices into their human capital strategies. By implementing these recommendations, MnOs can leverage their organizational excellence practices and knowledge management for enhanced organizational performance. 5.3. Limitations and future research directions this study has several limitations which future research could address. the targeted population (i.e. 256 participants) along with factors like cultural dynamics and economic outlook, could limit the generalizability of the findings. Furthermore, performing the convergent validity measurement through a global item was not conducted which could be a limitation worth addressing in future studies. therefore, it is advisable to expand the investigation to diverse populations. additionally, the study is limited to one factor of the knowledge management, i.e. knowledge management processes, another factor like knowledge management infrastructure and enablers can be explored in future studies. Moreover, considering the conclusions drawn from the analyzed data, this study provides prospects for future research. in the first instance, given the complementary role of KMPs in the relationship between DePs and OP in this study, more research should thoroughly analyze the dimensions of KMPs or associated variables such as organizational learning. second, this study involved the analysis of higher-order constructs, and future studies could focus on second-order constructs to improve results in other contexts. Author contributions all authors collectively contributed to the study conception and design. Material preparation was conducted by both authors, and ali Mohammed al-shami undertook the data collection. the data analysis and interpretation were performed by both authors. the first draft of the manuscript was written by ali Mohammed al-shami, while the co-author provided valuable amendment comments, critically reviewing it for intellectual content. all authors thoroughly reviewed and approved the final manuscript. Furthermore, each author has committed to being accountable, ensuring that issues related to the accuracy or integrity are appropriately resolved. Disclosure statement the authors affirm that they have no potential conflicts of interest with respect to the research, authorship, and publication of the article. About the authors Ali Mohammed Al-Shami is a PhD scholar at the center of Business administration, sana’a University. he earned a Master’s degree in Business administration from Maastricht school of Management, the netherlands, in cooperation with sana’a University. his academic and professional pursuits are deeply rooted in organizational development, governance, operational excellence, as well as knowledge and people management. [email protected]; [email protected]
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