THE Impact of Disruption on the Relationship Between Exploitation, Exploration, and Organizational Adaptation

Abstract

Firms should deploy exploration and exploitation to foster organizational adaptation. Previous research on exploration and exploitation lacked a focus on disruption implications in different contexts. This study aims to empirically test a moderation model including disruption events, exploration, exploitation, and organizational adaptation and enable a deeper understanding of organizational learning and innovation theory to yield competitive advantage and sustainability of innovative firms. Our results reveal that exploration is more effective during outside disruption events. The results do not support the concept that exploitation is more effective during inside disruptions. Disruptions also moderate the combined effect of exploration and exploitation. Although they are generally complementary in facilitating organizational adaptation, a singular focus on either exploration or exploitation is as effective as is combining exploration and exploitation during inside and outside disruption events. The results of an event study using seven Chinese international firms, including Alibaba, Meituan, Dianping, Baidu, Beibei, TP-link, and Maxio, provided 132 completed and usable questionnaires that supported our hypotheses. Our study contributes to a better understanding of disruption, exploration, exploitation, and related performance implications.

AI Implementation Impact on Workforce Productivity : The Role of AI Training and Organizational Adaptation

“…In conclusion, while the hypothesis that AIM directly influences WP without the mediating role of OA was not strongly supported, this finding underscores the intricate relationship between AI Implementation, Organizational Adaptation, and Workforce Productivity. It highlights the importance of organizational adaptability in realizing the full potential of AI technologies, in line with the insights provided by prior research (Shorey et al, 2019;Xiao et al, 2021).…”

“…The positive correlation suggests that as the Secretariat embraces AI, it acknowledges the need to support employees in adapting to these changes. This can foster a sense of preparedness and alignment among staff members, leading to a smoother transition and reduced resistance to change (Xiao et al, 2021). Secondly, the connection between AIM and AIT underscores the potential for the Regional Secretariat to realize the full benefits of AI integration.…”

Thinking Outside the Box: Advancing Clinical Education in an Era of Preceptor Shortage

“…The use of tax incentives for preceptors is currently limited to medical students in some US states. A key concept in the field of disruptive innovation is the ability to exploit and explore 43 : driving innovation from existing resources, focusing on enhancement and efficiency ( exploiting for innovation) or organizations leaving their comfort zone and examining new models unfamiliar to them ( exploring for innovation). In addressing the clinical site shortage, the PA profession should not look for solutions only from within, but also from outside.…”