Influence of Internal Organizational Factors and Institutional Pressures on Construction Firms' Performance

Abstract

A significant number of empirical studies have reported contrasting results regarding the effects of certain internal organizational factors (Leadership Style - Team competency and Skills - Effective Communication) on construction performance. As a result, generalizations remain sketchy, and a better understanding is needed. This study lends a voice to the literature's debate by introducing the part played by institutional pressures. The aim is to evaluate the impact of internal organizational factors and institutional pressures on a Syrian construction firm's performance outcomes, with institutional pressures playing a mediator's role. Data were collected using a questionnaire instrument from a sample of 197 building experts working in large public construction companies in Syria and analysed using the partial least squares structural equation modelling (PLS-SEM). The results reveal that leadership style and effective communication have a significant and positive effect on construction firm performance outcomes. However, the effect of team competency and skill was not supported; nonetheless, providing institutional pressures as a mediator into the relationship made it significant, thus, providing a vital theoretical contribution worth considering in future research. Practically, this study is the first attempt at evaluating organizational factors and institutional pressures as a critical determinant of organizational performance that should interest management at organizational levels.

Relationship between Training and Employees’ Work Performance in the Sultan Qaboos University: Mediating Effects of Personality Dimensions

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Modelling the Impact of Environmental Factors on the Performance of Construction Companies through the Lens of Institutional Pressures

“…This investigation has examined the direct and joint impacts of environmental factors and institutional pressures on construction companies' performance outcomes, as well as the potential indirect impacts of institutional constraints on the connection between environmental challenges and construction firms' performance. To increase the reliability and validity of the final study tool for this research, a prior pilot survey was performed among 25 construction businesses in this field of research before distributing the primary survey, which illustrated satisfactory results [36]. Due to the war situation happening in Syria during the time of conducting this study, an official data source that captures the exact number of construction firms, as well as their operations within Syria, was not accessible; thus, a non-probability sampling strategy was adopted.…”

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