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ENHANCING SUSTAINABLE PERFORMANCE IN PAKISTANβS TEXTILE INDUSTRY: THE ROLE OF ORGANIZATIONAL LEARNING AND INDUSTRY 4.0 TECHNOLOGIES THROUGH ORGANIZATIONAL INNOVATION
Abstract
Abstract
This paper explores how Organizational Learning (OL) and Industry 4.0 Technologies (I4.0) impactSustainable Performance (SP) in Pakistan textile industry with Organizational Innovation (OI) acting as amediating factor. Based on the Resource-Based View (RBV) and Dynamic Capabilities Theory (DCT), thestudy formulates a framework on the conversion of capabilities to yield sustainability results, whichinvolves employing knowledge and digital resources to generate sustainability. Based on a survey data of308 Middle and Top Managers of textile firms of Pakistan and further processed with the help of the PartialLeast Squares Structural Equation Modeling (PLS-SEM), the results show that Industry 4.0 technologieshave a strong, positive, direct effect on sustainable performance and greatly contribute to the innovationof the organization. Organizational innovation has a positive impact on sustainable performance, andmediates the impact of organizational learning and Industry 4.0 technologies. The findings prove thatsustainability is not a product of resources, but of innovation. The research can add to the sustainabilityand innovation literature in developing economies and provide strategic implications on digitaltransformation in the manufacturing industries.
This paper explores how Organizational Learning (OL) and Industry 4.0 Technologies (I4.0) impactSustainable Performance (SP) in Pakistan textile industry with Organizational Innovation (OI) acting as amediating factor. Based on the Resource-Based View (RBV) and Dynamic Capabilities Theory (DCT), thestudy formulates a framework on the conversion of capabilities to yield sustainability results, whichinvolves employing knowledge and digital resources to generate sustainability. Based on a survey data of308 Middle and Top Managers of textile firms of Pakistan and further processed with the help of the PartialLeast Squares Structural Equation Modeling (PLS-SEM), the results show that Industry 4.0 technologieshave a strong, positive, direct effect on sustainable performance and greatly contribute to the innovationof the organization. Organizational innovation has a positive impact on sustainable performance, andmediates the impact of organizational learning and Industry 4.0 technologies. The findings prove thatsustainability is not a product of resources, but of innovation. The research can add to the sustainabilityand innovation literature in developing economies and provide strategic implications on digitaltransformation in the manufacturing industries.