Eliciting the Pivotal Role of Sustainable Performance in Linking Organizational Agility with Institutional Excellence in Hotels and Egyptian Travel Agencies

Abstract

Organizational agility represents a modern administrative trend in the literature of administrative organization that enables tourism and hotel establishments to face changes in the environment surrounding. Besides, hotel and tourism establishments must have dynamic skills to be sustainable, and organizational agility may be one of those crucial skills. In turn, this leads to achieving institutional excellence. This paper elicits to explore the potential effect of organizational agility drivers on organizational excellence in hotel and tourism contexts. Besides, this paper highlights the boundary effect of sustainable performance in the agility-excellence linkage. Using online and hard-copy surveys, data was gathered from 246 departmental supervisors at A-class travel agencies and 343 departmental supervisors at five-star hotels in Luxor and Aswan and analyzed using Smart PLS v.4.4. Results confirmed that four key drivers of organizational agility positively affected organizational excellence through sustainable performance. Multi group analysis findings proved that sustainable performance was positively affected by flexibility, speed, and competence in favor of the hotel departmental supervisor group, while responsiveness positively affected sustainable performance in favor of the travel agency departmental supervisor group. Further, sustainable performance positively affected institutional excellence in favor of the hotel departmental supervisor group. Accordingly, this paper contributes valuable insights to decision-makers and practitioners in the hotel and tourism industry. For example, by prioritizing organizational agility practices, which aim to enable hotel establishments to adapt effectively to changing circumstances, attempting institutional excellence will provide hotel and tourism management firms with a high degree of exceptional performance and gain credibility in the perspective of their competitors.