Knowledge and organizational innovation-based dynamic capabilities in organic agriculture production units

Bernardes-de-Souza, Dércio; Callegaro-de-Menezes, Daniela; Revillion, Jean Philippe Palma; Paes-de-Souza, Mariluce

doi:10.1590/1806-9479.2023.279047

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ARTICLE • Rev. Econ. Sociol. Rural 62 (3) • 2024 • https://doi.org/10.1590/1806-9479.2023.279047 copy

Knowledge and organizational innovation-based dynamic capabilities in organic agriculture production units

Capacidades dinâmicas baseadas em conhecimento e inovação organizacional em unidades de produção de agricultura orgânica

Authorship SCIMAGO INSTITUTIONS RANKINGS

Abstract

This study aims to investigate the relationship between the dimensions of knowledge-based dynamic capabilities in innovation performance, operationalized by organizational innovation measures, in organic food production units. The research was carried out using a seven-point Likert questionnaire that measures the relationship between dynamic knowledge-based capabilities (Zheng et al., 2011) and organizational innovation (Camisón & Villar-López, 2010) in a sample of 154 organic food production units collected at ecological fairs in the metropolitan region of Porto Alegre, state of Rio Grande do Sul, Brazil. For data analysis, structural equation modeling was used. The results indicated that knowledge acquisition, generation and combination skills are important positive determinants for organizational innovation. The approach is groundbreaking in the literature as it addresses and broadens knowledge about the process of building knowledge resources and organizational innovation and adds an analysis model for studies in the interdisciplinary field of dynamic capabilities based on resource knowledge and organizational innovations. It contributes to the theory by reporting on empirical quantitative data through a measurement scale adapted and validated based on the proposal of Zheng et al. (2011).

Keywords:
dynamic capabilities; organizational innovation organic agriculture; Brazil

DIMENSION	VARIABLE DESCRIPTION (question)
Dynamic Capability of Knowledge Acquisition	We could acquire knowledge about technologies for organic production.
	We could acquire knowledge about the organic food market and consumers.
	We could acquire knowledge about property management and/or organic agribusiness.
	We could acquire knowledge about organic food manufacturing processes.
	We could acquire other knowledge about organic production.
Dynamic Capability of Knowledge Generation	We could create knowledge about technologies for organic production.
	We could create knowledge about the organic market and organic consumers.
	We could create knowledge about property management and/or organic agribusiness.
	We could create knowledge about organic food manufacturing processes.
	We could create knowledge about organic production.
Dynamic Capability of Knowledge Integration	We could combine externally acquired knowledge with the knowledge we already possess about organic production and/or agribusiness.
	We could absorb knowledge from different sources and integrate it into our property and/or organic agribusiness.
	We could combine knowledge in different technologies and markets.
	We could combine new knowledge with the set of knowledge we already possess about organic production and/or agribusiness.
	We could adapt processes and internal structure of our property and/or agribusiness to combine the knowledge of organic production and/or agribusiness.

DIMENSION	VARIABLE DESCRIPTION (question)
Organizational Innovations in Business Practices	We use knowledge absorbed through experience, lessons, training courses, and workshops.
	We implement practices to develop and improve the well-being of people working on the property and/or in the organic agribusiness.
	We comply with the quality standards required by organic certification and inspection systems.
Innovations in the Organization of the Workplace	We make participatory decisions with other members of the property and/or organic agribusiness.
	We encourage the creation of workgroups within the property and/or organic agribusiness.
	We provide autonomy for people working on the property and/or in the organic agribusiness.
Organizational Innovations in Business Practices	We establish cooperative relationships with our consumers.
	We establish long-term relationships with our suppliers.
	We establish cooperative relationships with other organic producers and/or educational, research, or promotion institutions.
	We outsource activities of the property and/or organic agribusiness.

Valuation Type	Validity Type	Indicator
Measurement model	Convergent validity - verifying whether variables are positively related to their construct	Factorial loadings >0.5;
		Average variance extracted (AVE)> 0.5
	Discriminating validity - Verification if one construct is distinct from another	Larger Crossloads in the original construct;
		Fornell-Larcker Criteria -> $\sqrt{A V E}$
		Correlations between constructs
	Reliability	Cronbach α > 0.7
	Reliability	Composite Reliability (CC)> 0.7
Structural Model	Structural Model Path Coefficient Evaluation (β)	T-Value> 1.96 or Sig (p) <0.05
Structural Model	Evaluation of Coefficient of Determination R²	R²> = 0.20 is high in social sciences

Scale	Construct / Dimension	Acronym
Knowledge-Based Dynamic Capabilities	Knowledge Acquisition Capacity	CAC
	Ability to Generate Knowledge	CGC
	Ability to Combine Knowledge	CCC
Organizational Innovations	Organizational Innovations in Business Practices	IOPN
	Workplace Organization Innovations	IOLT
	New Organizational Methods for External Relations	NMORE

Variables	CAC	CCC	CGC	IOLT	IOPN	AVE	α	CC
Variables	Factor loadings					AVE	α	CC
CD01	0.83					0.66	0.87	0.91
CD02	0.55
CD03	0.88
CD04	0.86
CD05	0.90
CD06			0.83			0.69	0.89	0.92
CD07			0.87
CD08			0.84
CD09			0.80
CD10			0.82
CD11		0.83				0.66	0.87	0.91
CD12		0.85
CD13		0.68
CD14		0.87
CD15		0.82
IO2				0.81		0.65	0.75	0.85
IO3				0.70
IO1				0.76
IO5					0.82	0.57	0.62	0.8
IO6					0.89
IO4					0.71

	CAC	CGC	CCC	IOPN	IOLT
CAC	0.81
CGC	0.39	0.81
CCC	0.45	0.53	0.83
IOPN	0.44	0.45	0.55	0.81
IOLT	-0.14	0.27	0.21	0.15	0.75

			β Original Sample	Standard Deviation	Standard Error	T Statistics
CAC	->	IOLT	-0.33	0.10	0.10	3.42
CAC	->	IOPN	0.24	0.07	0.07	3.47
CCC	->	IOLT	0.19	0.11	0.11	1.75
CCC	->	IOPN	0.39	0.07	0.07	5.29
CGC	->	IOLT	0.30	0.11	0.11	2.86
CGC	->	IOPN	0.15	0.08	0.08	1.92

	β	T-Statistic	Result
H1a.	0.24	3.47	Accepted
H1b.	-0.33	3.42	Rejected
H1c.	Invalid construct		Rejected
H2a.	0.15	1.92	Rejected
H2b.	0.30	2.86	Accepted
H2c.	Invalid construct		Rejected
H3a.	0.39	5.29	Accepted
H3b.	0.19	1.75	Rejected
H3c.	Invalid construct		Rejected

Sociedade Brasileira de Economia e Sociologia Rural Av. W/3 Norte, Quadra 702 Ed. Brasília Rádio Center Salas 1049-1050, 70719 900 Brasília DF Brasil, - Brasília - DF - Brazil
E-mail: sober@sober.org.br

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[1] Source: Adapted from Zheng et al. (2011)Zheng, S., Zhang, W., & Du, J. (2011). Knowledge-based dynamic capabilities and innovation in networked environments. Journal of Knowledge Management, 15(6), 1035-1051..

01	How did the activity with organic production begin?
02	What is the process of managing the production unit/agribusiness?
03	How are information organized, controlled, and stored in the production unit/agribusiness?
04	What changes and/or adaptations have occurred in management techniques or practices in the production unit/agribusiness in recent years?
05	Why were the changes and/or adaptations in management techniques or practices necessary? How were they developed and implemented in the production unit/agribusiness?
06	How is production and product quality control carried out?
07	Is the unit certified? What system is used, and why?
08	Does it employ techniques for effluent treatment, waste reduction, among others? If yes, which ones and when were they implemented?
09	What are the main problems/bottlenecks for making changes and/or adaptations to management techniques or practices in the production unit/agribusiness?
10	How do the employees of the production unit/agribusiness learn about organic production?
11	Do new employees receive training/courses to work in the production unit/agribusiness?
12	Have you (manager/owner) participated in any training courses in recent years? If yes, which ones?
13	Do you participate in field days or technical visits? If yes, please describe.
14	Do you participate in networks (or interact) with other production units/agribusinesses and/or external institutions? If yes, please describe.