Track: Operations Management

Abstract

Performing well in developing production industry is an important factor for companies to survive and sustain a competitive edge in the current turbulent business environment. The purpose of this study is to explore the effect of learning orientation on innovation performance with the mediating role of operations strategy (cost, quality, flexibility, and delivery). Environmental uncertainty plays a moderator role in this model. Using a questionnaire to measure variables, data were collected from 243 UK production companies. Structural Equations Modelling used for data analysis and hypothesis testing. The results support 9 out of thirteen research hypotheses.  Learning orientation influences innovation performance and two dimensions of operations strategy (delivery and quality) mediates this relationship. Also, environmental uncertainty positively moderates the relationship between quality and flexibility strategies with innovation performance.