The Impact of Organizational Inertia on Organizational Performance in Travel Agencies and Hotels: The Moderating Effect of Organizational Agility

Document Type : Original Article

Authors

1 Hotel Management Department, Faculty of Tourism and Hotels, University of Sadat City

2 Tourism Studies Department, Faculty of Tourism and Hotels, University of Sadat City

Abstract

This research aims to study the impact of organizational inertia dimensions (insight inertia, action inertia, and psychological inertia) on the organizational performance of travel agencies and hotels in Egypt. In addition, the research explores the moderating role of organizational agility in addressing organizational inertia to obtain the best performance. The research relies on the quantitative approach in collecting data through a questionnaire. Total valid forms 331 were obtained from employees working in travel agencies category (A) and five-star hotels in Greater Cairo. The WarpPLS 7.0 was used to analyze the received data to reach the research results. The research found that insight inertia and psychological inertia have a negative effect on organizational performance. In contrast, action inertia has a positive effect on organizational performance. The findings also indicated that organizational agility has no moderate role in the relationship between organizational inertia dimensions and organizational performance. The research results have important implications for the tourism and hospitality industry theoretically and practically. The present research contributes to reducing organizational inertia to improve organizational performance for travel agencies and hotels by introducing some recommendations and suggestions for hotels and travel agencies.  

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