This paper aims to discuss the relationship between innovation and organizational performance in the construction industry. In Malaysia, the construction industry is known to be one of the industries that contribute significantly towards her economic growth. This contribution, more often than not is associated with the amount of innovation invested by organizations in the industry. The industry's innovation performance currently is reported to be amongst the lowest as compared to the others, which inspired this study to unveil the extent influence of innovation on performance. The instruments in measuring innovation and organizational performance specific to the construction industry were developed by adapting measures introduced by several scholars in these fields. While innovation is represented by innovative design solution, innovative project practices and advanced technology utilization, organizational performance is represented by project and business performance. Contractors and consulting companies were the sampling frame of this study and the samples were selected based on a stratified sampling method to gauge representation of the different groups in the population. The results revealed that principally innovation is significantly positive in influencing organizational performance. Nevertheless, innovative design solution and advanced technology dimensions were insignificant in influencing project performance and business performance respectively.
The Bridging Digital Divide (BDD) Program initiated by the Malaysian government in 1999 has successfully introduced the Information Technology (IT) to the rural communities particularly in Malaysia. The computers and internet connections are available almost at every part ofMalaysia including those in the remote areas. However; to have a real impact of technology on people slives, the effort has to go beyond the infrastructures and technology literacy programs and awareness. Having information available suit to the needs of the local community will bring greater impact ofthe technology to them. Nevertheless, the new approaches need to be introduced to make the effort less costly. Some of the Digital Divide programs require proper coordination with other projects. Coordination with the responsible agencies in providing power utilities and road infrastructures is essential to make such expensive digital divide program more cost effective·and give greater impact to the community. Thus, this paper will provide numerous suggestions on the improvement in providing greater benefits; both the users and the project implementers. Besides, this paper will also discuss on the need of local content in local language with self-sustained nature. lt further highlights the importanceof having basic infrastructure such as electricity and road accessibility that may have influence over the success of BDD program.
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