ORGANISATIONAL CULTURE AND WORK–LIFE BALANCE AS FACILITATORS OF SERVICE INNOVATION: STUDY IN A TECHNOLOGY KNOWLEDGE-INTENSIVE BUSINESS SERVICES FIRM

Abstract

This study aimed at analysing the relationship among organisational culture, work–life balance, and service innovation in a technology-based Knowledge-Intensive Business Services (t-KIBS) firm. This quantitative, survey-typed, and cross-sectional research was performed in a sample of 278 respondents. Data were analysed using structural equation modeling by partial least squares. Our results showed that the adhocracy culture is positively related to work–life balance and service innovation. The results also showed a positive effect of work–life balance in the development of service innovations. Contributions of this study are focused on the understanding of the direct and indirect effects of organisational culture on the service innovation and work–life balance fields in a highly competitive industry as the t-KIBS’. Due to the dynamism of this market, urgent execution deadlines for demanding projects cause high levels of employee stress, making work–life balance policies more necessary, as they emerge on the leadership and organisational culture and impact its innovation. Thus, it is recommended to create a long-term sustainable competitive advantage in companies and promote service innovation, that organisational culture should be treated in synchrony with the strategic corporate objectives and simultaneously with programs and incentives to promote the balance between employees’ professional and personal lives.