The impact of strategy diffusion on organisational performance of project-based organisations
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Date
2021-06
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The British University in Dubai (BUiD)
Abstract
Many studies have investigated topics related to strategy management, portfolio management, program management, and project management relationships. However, traditional one-way cascading of the strategy is still preferable by many organisations, with few studies investigating the use of top-down and bottom-up techniques to spread an organisation’s strategy and getting back the performance, or the possibility of employing one of diffusion theories (e.g., Rogers’ Theory of Innovation Diffusion) within strategy or project contexts in project-based organisations. Consequently, the need to understand and apply a strategy diffusion (top-down) and report its performance (bottom-up) was urgent and necessary within project-based organisations, to fulfil the complete drive of the strategy and raise the competitive advantage of businesses.
In this study, there was a comprehensive literature review of strategic management, diffusion theory, and project management facets, where the strategy spreading practices were based on the five well-known skills of Rogers’ diffusion theory; to diffuse the strategy (top-down) and reveal performance results (bottom-up) to feed each level of the project-based organisation hierarchy structure, taking the advantage of the interrelationships that exist amongst the strategy, the portfolio, the program, and the project levels. This was done to facilitate the deployment process.
Moreover, mediation effects were taken into consideration for the organisational culture and the performance (bottom-up) related to the four organisational levels during the relationships investigation between all the research variables; since it is known that organisational culture and bottom-up performance have huge influence on business outcomes. Accordingly, the research framework was adopted and designed. This study used a quantitative method to investigate the influence of strategy diffusion on organisational performance within project-based organisations, where significant positive influences on the relationships were found between the required research variables.
This thesis shifts strategy diffusion practices within the project context from a traditional one-way method to strategy diffusion top-down and performance bottom-up methods. Since, the study was limited to government agencies in the Emirate of Dubai located in United Arab Emirates (UAE), the generalisation of outcomes to other sectors is challenged.
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Keywords
strategy management, portfolio management, program management, project management, organisational culture, organisational performance., innovation theory, United Arab Emirates (UAE)