Organizational Agility as a Key Driver of Innovation Performance in SMEs and Large Enterprises

Abstract

In today's fast-paced business environment, innovation performance plays a decisive role in maintaining the life cycle of businesses and gaining sustainable competitive advantage. High innovation performance offers strategic advantages in terms of financial, operational, and customer satisfaction, while decreased innovation performance has negative consequences for businesses in a dynamic and competitive environment. Success in innovation performance depends on accurately identifying the expectations and demands of internal and external customers and developing responses that meet those demands at the right time. Organizational agility (OA) capacities come to the fore in improving low innovation performance. Although OA improves innovation and operational performance, it is not yet widely known as a holistic business capability. In this context, the book chapter comprehensively discusses the relationship between organizational agility and innovation performance, providing important recommendations to increase awareness among large and small business managers and academicians.