Organizational Ambidexterity and Its Impact on Sustainability: Insights From Spain's Wine Industry

Organizational Ambidexterity and Its Impact on Sustainability: Insights From Spain's Wine Industry

DOI: 10.4018/979-8-3693-1151-6.ch008
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Abstract

This study offers a pioneering exploration into the influence of organizational ambidexterity (OA) on sustainable performance (SP) within the Spanish wine sector. It further delves into the potential catalytic roles of corporate social responsibility (CSR) and knowledge management infrastructure (KMI) on these constructs. Drawing from an extensive literature review, a novel theoretical framework is proposed and empirically tested using structural equation modeling (PLS-SEM) on data sourced from 202 Spanish wineries between September 2021 and January 2022. Findings reveal a robust positive correlation between OA and SP, with OA serving as a partial mediator in the CSR-SP and KMI-SP dynamics. This research not only fills a notable gap in the literature by being the first to probe the OA-SP nexus in the wine milieu but also illuminates the under-researched catalysts of OA, thereby offering a refreshed perspective on enhancing wineries' multifaceted performance.
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Introduction

The worldwide wine sector is demonstrating a growing commitment to sustainability. This trend is evident in the rising number of green certifications available to vineyards and the heightened emphasis on viewing wineries' social and environmental initiatives as key strategic components (Flores, 2018). Such developments have captured the attention of scholars, prompting the establishment of research groups focused on the relationship between sustainability and the wine sector. Additionally, there's been an emergence of new scholarly journals and conferences dedicated to sharing insights on this topic (Kariyapperuma and Collins, 2021).

The industry confronts profound obstacles that threaten its continuity, encompassing environmental shifts, energy shortages, and diminishing water supplies (Bandinelli et al., 2020). In a parallel vein, stakeholders in vineyards express amplified socio-environmental anticipations (Miranda et al., 2022). In response to these pressing issues, vineyards are broadening their assessment criteria to include not only economic results but also their impact on society and the environment, emphasizing their Commitment to Sustainability (CS). The impetus for vineyards to amplify their CS may originate from reactive, anticipatory, or a combination of these drivers. By integrating practices that favor both the community and the natural world, they can mitigate the adverse effects of environmental alterations (external factors) while concurrently fortifying their market position via improved brand perception, credibility, and uniqueness (internal factors).

To enhance Sustainable Performance (SP), firms can introduce innovations that enable them to simultaneously discover and utilize new insights, essentially amplifying their Organizational Ambidexterity (OA). While efficiency-driven innovations can bolster economic gains, those centered on discovery can pave the way for novel practices that uplift societal and ecological welfare, thereby elevating a business's social and environmental outcomes. Yet, achieving OA requires the formal integration of social and environmental initiatives via a Corporate Social Responsibility (CSR) framework. Additionally, a conducive environment that promotes idea-sharing, a non-centralized organizational layout, and the incorporation of Information and Communication Technologies (ICT) - essentially a robust Knowledge Management Infrastructure (KMI) - is crucial. This ensures that knowledge isn't restricted, and employees are empowered to propose innovative concepts that can transform into organizational advancements and further SP. This research seeks to understand the potential of CSR and KMI as accelerators for OA and SP, and the connection between OA and SP.

The research seeks to address the subsequent seven inquiries: (RQ1) Does CSR positively influence OA? (RQ2) Does CSR have a favorable impact on SP? (RQ3) Does KMI positively impact OA? (RQ4) Does KMI have a beneficial effect on SP? (RQ5) Is there a favorable correlation between OA and SP? (RQ6) Does OA serve as a bridge between CSR and SP? (RQ7) Is OA the intermediary in the KMI-SP connection? To tackle these queries, a conceptual framework is designed, drawing from an extensive literature assessment, and is later examined using structural equation modeling. Primary data was gathered by distributing surveys to the top executives of Spanish vineyards between September 2021 and January 2022.

This investigation offers multiple contributions to scholarly literature. Firstly, as far as we're aware, no prior research has delved into the influence of OA on SP within the realm of winemaking, marking a step forward in academic understanding. Secondly, we're not aware of any prior academic work that has explored potential drivers of OA. Our study introduces two precursor variables, shedding light on the elements that catalyze innovation rooted in discovery and utilization. Thirdly, the theoretical framework we present is novel, offering a fresh perspective on enhancing the financial, societal, and ecological outcomes of vineyards. Fourthly, the concept of KMI hasn't been previously explored within the wine sector, making our research a trailblazer in applying this construct to the wine domain. Lastly, the relationship between KMI and SP hasn't been examined in the context of winemaking, so our investigation unveils new insights by analyzing this connection in Spain's wine sector.

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