The impact of service orientation in corporate culture on business performance in manufacturing companies

Abstract

Purpose

The purpose of this paper is to examine if there is a relationship between the interdependence among different components of service culture and performance. This paper also contributes to the discussion on how integrating or separating the service organization from the product organization interacts with service culture.

Design/methodology/approach

Data are collected through a survey and structural equation modeling is used for the data analysis.

Findings

The three main findings are: identified interactions among different elements of service orientation in corporate culture, the positive association between the service orientation of corporate culture and business performance, and the moderating effects of the type of organizational structure on interactions among service‐orientation elements in corporate culture.

Research limitations/implications

There may be alternative explanations for the correlations in the model. There are limitations in survey research in measuring service orientation in service culture.

Practical implications

Separating the service and product organization strengthens the creation of a service orientation in the corporate culture, but at the same time, does not affect the link between culture and performance.

Originality/value

The originality of the paper comes from combining service orientation in corporate culture with types of organizational structure. In addition, compared to the dominant single dimension approach to service orientation in corporate culture, four dimensions are used (service orientation of management values, management behavior, employee values, and employee behavior).

Citation

Gebauer, H., Edvardsson, B. and Bjurko, M. (2010), "The impact of service orientation in corporate culture on business performance in manufacturing companies", Journal of Service Management, Vol. 21 No. 2, pp. 237-259. https://doi.org/10.1108/09564231011039303