PurposeCOVID-19 and its economic consequences have provoked critical views on worldwide sustainable management, especially in the Arab world. Post-COVID-19, sustainability becomes important because the pandemic taught humanity to set aside differences and work together to support the global sustainability agenda. On the organizational level, sustaining an organization's competitive advantage is a key to surviving a crisis. Therefore, this study explores the impact of environmental scanning on sustaining Egyptian manufacturing SMEs' competitive advantage through organizational innovation.Design/methodology/approachThe study adopts a cross-sectional design to collect data. A self-administered questionnaire was used to collect data from a sample of 249 Egyptian SMEs. The smart partial least square structural equation modeling technique (PLS-SEM) was employed to test hypotheses.FindingsOrganizational innovation has an effect on competitive advantage. There is no direct effect of environmental scanning on competitive advantage. However, organizational innovation fully mediates the relationship between environmental scanning and competitive advantage.Research limitations/implicationsThe sample size was small, covering only Egyptian manufacturing SMEs. The results may differ in the service sector and in other countries. The study was cross-sectional and could not trace long-term effects of environmental scanning and organizational innovation on competitive advantage.Practical implicationsIn the face of crises, Egyptian SMEs' managers should regularly scan their environments to build organizational innovation and in turn sustain their competitive position.Originality/valueThis study is amongst the first to investigate the role played by environmental scanning in sustaining Egyptian SMEs competitive advantage through the mediation of organizational innovation amidst the COVID-19 epidemic.
Purpose This study aims to examine the impact of environmental scanning on organizational resilience through organizational learning based on organizational information processing theory (OIPT) in Egyptian small and medium-sized enterprises (SMEs) during the COVID-19 pandemic. Furthermore, this study aims to examine the moderating role of environmental uncertainty in this relationship. Design/methodology/approach The data for the mediation analysis was obtained using a cross-sectional design. Using a self-administered questionnaire, the authors collected data from a sample of 249 Egyptian SMEs. The authors tested the hypotheses using the smart partial least square structural equation modeling approach. Findings Organizational learning affects organizational resilience. Environmental scanning does not have a direct effect on organizational resilience. However, organizational learning fully mediates the relationship between environmental scanning and organizational resilience. Furthermore, environmental uncertainty does not moderate the indirect relationship between environmental scanning and resilience. Research limitations/implications The sample included only Egyptian manufacturing SMEs. The results in the service sector and in other countries may differ. This study was cross-sectional, which was limited in its ability to trace the long-term effects of environmental scanning and organizational learning on organizational resilience. Practical implications Egyptian SMEs’ managers should experience organizational learning as a pathway for environmental scanning to build organizational resilience. Originality/value To the best of the authors’ knowledge, this study is the first to investigate the role of environmental scanning in building organizational resilience through organizational learning and the moderating role of environmental uncertainty in this relationship.
Due to increased global environment volatility and uncertainty, organizations are constantly faced with unexpected events such as the COVID-19 pandemic, which has brought large international disruptions for several firms. Organizational resilience is a potential notion for describing how firms might stay alive and thrive in such a volatile environment. Therefore, this study aimed to examine how SMEs can foster their resilience through investigating the roles of environmental scanning and process innovation while testing the moderating role of environmental uncertainty. To achieve this aim, we tested a structural model through an empirical investigation with partial least squares structural equation modelling (PLS-SEM) using a sample of 249 Egyptian SMEs. The results reveal that process innovation is a necessary condition for environmental scanning to affect organizational resilience. Furthermore, the results do not support the moderating role of environmental uncertainty the indirect relationship between environmental scanning and organizational resilience. Our findings contribute to innovation and resilience literature by proving that process innovation is a necessary mechanism to translate environmental scanning information to enhance resilience. This research is the first to highlight the role of process innovation in linking environmental scanning to organizational resilience. Our results provide insights about how Egyptian SMEs could remain resilient amidst the COVID-19 through scanning their environments to improve internal processes. We discuss related theoretical and managerial implications.
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