Impact of organizational learning culture on organizational effectiveness: a serial mediation analysis with knowledge sharing and employee competencies

Abstract

Purpose

The main purpose of this study is to investigate the effect of learning culture and knowledge sharing (KS) on organizational effectiveness (OE). This study also proposed to investigate the role of employee competency in organizational success.

Design/methodology/approach

This study is based on the primary and secondary sources of data. The primary data comprises 392 responses from different information technology firms located in India, whereas secondary sources are based on journals, reports, company manuals, etc. The data was analyzed in partial least square-structural equation modeling using SMART-PLS 3.3 software.

Findings

This study confirms the conceptual model with the collected data. The key contributors to the model are organizational learning culture (OLC), KS, employee competencies (EC) and OE. The OLC and KS are the independent variables, and OE is the dependent variable, whereas the EC is the mediating variable in the research model. The findings reveal that there is a significant OLC on KS, EC and OE. Likewise, the relationship between KS and OE is also significant. The mediation analysis confirms the EC is significant for the relationships. However, the mediating effects of KS on the relationship between OLC and EC are not significant in this research.

Practical implications

An effective learning culture that leads to an increase in KS activities eventually enhances EC and promotes OE. It indicates that strengthening the learning culture will result in the promotion of knowledge sharing, and it is obvious that the employees’ competencies will increase when the employee is skilled and knowledgeable.

Originality/value

With references to different theories, this study provides an integrated model that shows the relationships between OLC, KS, EC and OE. By strengthening the OLC and KS, this relationship is benevolent to the success of the organization. The created framework paves the way for scholars to further explore insights from inside each component.

Citation

Meher, J.R., Nayak, L., Mishra, R.K. and Patel, G. (2024), "Impact of organizational learning culture on organizational effectiveness: a serial mediation analysis with knowledge sharing and employee competencies", VINE Journal of Information and Knowledge Management Systems, Vol. 54 No. 2, pp. 324-338. https://doi.org/10.1108/VJIKMS-10-2021-0230

1. Introduction

Technology, competences and leadership and learning activities have all emerged as organizational orientations at the start of the 21st century. Organizations are becoming more aggressive by emphasizing teamwork, encouraging a learning culture and providing staff with diverse abilities. There is no doubt that businesses are concerned about their financial performance, but the truth is that skills, knowledge, employee expertise and organizational interference in terms of innovation and advancement are at the root of this performance. This is why today’s businesses are inherently competitive and growing. The modern workforce, particularly Generation Y, values teamwork to facilitate knowledge-sharing (KS) activities within the company (Naim and Lenkla, 2016). Many studies have shown that KS may be beneficial when a company has a healthy learning culture (Marsick and Watkins, 2003; Meher and Mishra, 2019; Rafique et al., 2018; Wahda, 2017). The knowledge-based view perspective, on the other hand, proposes that its competitive success primarily governs a firm’s knowledge-based assets (Theriou and Chatzoglou, 2008) and that these assets are framed in a healthy learning culture in the company (Malik and Garg, 2017). Enhancement of the cultural dimensions signifies sharing the knowledge. However, the learning culture affects the KS among employees (Alshamsi et al., 2017).

In the 21st century, technological innovation has ushered in a new paradigm of learning processes. Knowledge has become a crucial resource for businesses during the last decade. Knowledge management is primarily concerned with three elements: knowledge, people and systems. Knowledge management process also contributes to the sustainable development of the organization (Al Yami and Ajmal, 2019). Changes in company operations can be communicated to all employees through knowledge management(Willems et al., 2016). A knowledge management portal is a platform that offers a standardized learning interface. Employees are no longer required to learn in a classroom; instead, they can digitally share and cooperate with co-workers (Azmee and Kassim, 2019). Knowledge management has numerous advantages. Knowledge management, for example, can aid firms in increasing their productivity and competitiveness by boosting decision-making processes and problem-solving abilities(Dang et al., 2018). When knowledge is shared, it can be put to good use. KS is a voluntary practise that entails a conscious exchange by a person who participates in a debate without being obligated to do so (Thomas, 2019). Employees share their knowledge through written papers, observations and face-to-face interactions (Wang and Noe, 2010). KS in a firm’s internal environment is dependent on employee behaviour (Ganzert et al., 2012). Employee KS is usually encouraged in a learning-oriented culture(Huang and Chin, 2018). KS allows employees to be more creative (Alzghoul et al., 2018; Bari et al., 2019). The social exchange relationship stimulates KS activities. It is also charitable and in charge of organizing learning events within the company. According to the social exchange theory, employees are willing to accomplish their job duties and responsibilities as required when they believe their company can provide appropriate learning to meet their job change and needs (Blau, 1964).

The current research concentrated on the link between corporate learning culture and KS. Employee competencies (EC) and OE are also discussed in certain literature (Potnuru and Sahoo, 2016). However, there is little evidence of the effects of OLC on EC and OE in the literature and there is also limited evidence of the effects of KS on EC and OE. As a result, this study emphasizes the importance of OLC and KS adhering to EC and OE. The following research questions were encountered while doing this study:

RQ1.

Does organizational learning culture have an impact on employee competencies and organizational effectiveness?

RQ2.

How can an organization’s learning culture and knowledge sharing boost employee competencies and efficiency?

2. Theoretical framework and hypothesis development

A set of constructions was chosen after a thorough assessment of the literature. OLC, KS and EC characteristics are thought to be crucial for OE. The conceptual model is framed based on available literature.

2.1 Organizational learning culture

Organizational culture is more concern about the other attributes that are responsible for organizational efficiency (Kassem et al., 2019). A learning organization’s OLC, or, to put it another way, the core of a learning organization, is a type of culture that should exist (Wang et al., 2007). By providing a friendly environment, an OLC is also considered as a tool that fosters and effects learning and KS at the participant, community and organizational levels (Kontoghiorghes et al., 2005; Marsick, 2009). Individual learning, teamwork, cooperation, creativity and KS have collective significance and value and it is also defined as a collection of norms and ideals concerning the functioning of an organization that fosters systematic organizational learning (Torres-Coronas and Arias-Oliva, 2009). However, in 2003, V.J. Marsick and Watkins highlighted seven key elements of OLC: continuous learning, inquiry and dialogue, collaboration and team learning, systems to capture learning, empower individuals, connect the company and give strategic learning leadership, among others. OLC plays a vital role in magnifying the organizational performance (Arefin et al., 2020). A collaborative culture stimulates the learning activity as well as the sharing of knowledge among employees (Nugroho, 2018). OLC also provides a ground for employee job satisfaction. It argues that learning culture will be more effective when the employee is proactive towards learning activity (Pantouvakis and Bouranta, 2013).

One of the most crucial parts of creating a learning culture is leadership. Employee behaviour can be influenced by a leader, who can encourage people to participate in learning events, resulting in increased organizational efficiency (Kim and Donna, 2012). A knowledge-based and learning-based culture within the organization strengthen the employee efficiency in the organization (Ajmal and Koskinen, 2008). Leaders and managers have an impact on OLC. They are in charge of finding new ways to improve organizational learning by include failures in the growth process (Tran, 2008). EC are bolstered by OLC. The development of new knowledge is encouraged in a community of continual learners (Potnuru et al., 2019). Because a strong OLC influences employees’ learning activities and the organization’s success, it is recognized as a hallmark for human resource development (HRD) (Kalyar and Rafi, 2013). Employees are more likely to absorb new technology and knowledge if the company has a strong learning culture (Reardon, 2010). A more potent technique for influencing KS is an OLC (Sorakraikitikul and Siengthai, 2014). The terms “KS” and “organizational learning” are interchangeable. Both aspects are considered as if they were the two wheels of a cart, which aids in team performance (Lin and Huang, 2020). OLC is used in the context of information acquisition, information interpretation, which also leads to the KS among employees. The OLC has a direct and positive impact on organizational performance (Skerlavaj et al., 2007).

EC have been strengthened as a result of the OLC (Potnuru et al., 2019). OLC supports continual learning and provides a foundation for long-term competitive advantage (Kalyar and Rafi, 2013).Various academics’ reasons lead to the conclusion that the presence of an OLC promotes knowledge and knowledge flow. As a result, the hypotheses might be stated as follows:

H1a.

OLC has a significant effect on KS.

H1b.

OLC has a significant effect on EC.

H1c.

OLC has a significant effect on OE.

2.2 Knowledge sharing

Knowledge management practices are concerned with the operational efficiency and organizational culture. A strong culture stimulates the sharing activity of the knowledge (Al-Qubaisi and Ajmal, 2018). KS is an important activity of knowledge management that shows that the benefits to the employee are sustained and that the employee is satisfied in the workplace. These techniques are geared more towards a source of incentive where they can improve their abilities (Meher and Mishra, 2021a). KS is one of the important elements of KM practices. However, the relevance of overall KM practices are responsible for the OE (Al Yami et al., 2021). The goal of KS is to make it easier for members of an organization to create new knowledge. It entails the dissemination of employees’ knowledge and ideas relevant to their core work. In general, it gives a means for each individual to solve problems (Naim and Lenka, 2017). KS is also like a behaviour of every individual that provides a perspective of opportunities and growth of the employee (Ali et al., 2016). KS activity requires a voluntary leadership to transmit the knowledge (Tripathi et al., 2021). KS is like a behaviour of every individual. An employee should have a positive behaviour towards sharing him/her knowledge for the organizational growth (Usmanova et al., 2020). KS is important for any groups or organization. It focuses on the individual, group, social, organizational and technological cohesion (Nguyen, 2020). KS possess a capability to moderate the effectiveness of the organization. OE is the outcome of KS (Tayal et al., 2021). EC, on the other hand, are heavily influenced by KS. KS facilitates the learning of new skills by members of an organization. It requires disseminating project-related knowledge, concepts and ideas, as well as coding principles, standard operating procedures, decision-making and problem-solving skills, among other things (Trivellas et al., 2015). As a result, the hypotheses might be stated as follows:

H2a.

KS has a significant effect on EC.

H2b.

KS has a significant effect on OE.

H3.

KS mediates the relationship between OLC and EC.

2.3 Employee competencies

“An underlying trait of an individual that is causally associated to criterion-referenced effective and/or superior performance in a job or situation” is how competency is defined (Spenser and Spenser, 1993). A competency is a measurable, relatively steady (enduring) trait of an individual, team or organization that causes and statistically predicts a measured level of performance. Employee competency is defined as the alignment of knowledge, skills, ability to perform and work diligence. The system that determines the flow of knowledge from one source to another is known as KS. Employees get the ability to perform and confidence in the workplace as a result of continuous sharing practise (Naim and Lenkla, 2016). The more knowledge you have, the more confident you will be at work. On the other hand, EC is a product of KS and denotes the efficacy of the activity. Competent workers finish their assignment in the time allotted. A team with a skilled workforce outperformed another team by a significant margin. Team effectiveness is more vital in the long run to keep the company afloat (Shet et al., 2019). As a result, the hypotheses might be stated as follows:

H4.

EC has a significant influence on OE.

H5.

EC mediates the relationship between OLC and OE.

H6.

EC mediates the relationship between KS and OE.

2.4 Organizational effectiveness

OE is a broad concept with a wide range of applications. Management assists in ensuring that all decisions made within the business are consistent. Technology aids productivity by making it easier for employees to communicate with one another within the company. Organizational success is also influenced by culture, which can assist shape an organization’s values and behaviours and the setting or atmosphere in which they operate (Smart et al., 1997). It focuses on the nomological endurance of employee capability, knowledge and achievement of plans and assignments within the set timeframe in the context of the organization’s knowledge management and learning activities. Its goal is to maximize the value of people’s knowledge so that it may be used more effectively across a company to achieve organizational success (Chidambaranathan and Swarooprani, 2015). The confusing business environment, which is also given through the OLC, has an impact on OE (Jha et al., 2019). Organizations must be able to take the time to consider their goals and the resources they will require to achieve them. They require an organizational strategy that will enable them to achieve success. People that are dedicated attaining their objectives and willing to take on new challenges are needed by the organization (Sharma and Singh, 2019). As a result, the hypothesis might be stated as follows:

H7.

KS and EC are the mediators for the relationship between OLC and OE.

Based on the above argument and hypothesis, the following research model has been framed for this study.

3. Research methodology

3.1 Research design, sampling and data collection

For the gathering of primary data, a structured questionnaire based on a five-point Likert scale was created. The structured questionnaire was re-created in a Google form and distributed to the respondents. The Google form is easily shared among the respondents, and they are encouraged to share it with their colleagues. The researcher has used the convenience sampling for this study. Because of COVID-19 restrictions, the majority of the employees from various organizations were working from home. So, the researcher has implied a convenience sampling method to collect the data from the population. Human resource (HR) executives, project managers, software developers and team leaders from information technology (IT) businesses in India’s Bhubaneswar, Bangalore and Hyderabad were surveyed. The information was gathered between September 2020 and April 2021. After the screening process, 502 data were collected and 392 responses were processed for analysis. The distribution of the respondents is shown in the Table 1.

3.2 Survey measures

Researchers used scales from several sources to measure the components in this study. The KS was measured using a three-item scale established by Choi et al. (2010). The learning culture of an organization is assessed using a seven-item scale adapted from Potnuru et al. (2019), Yang et al. (2004). The (Díaz-Fernández et al., 2014) scale is used to assess EC. A five-item scale is used to measure the OE adopted from Potnuru and Sahoo (2016). The adopted scale items were encountered with the minor changes in the wordings keeping the view of the population.

4. Results

The findings are presented in the order in which they were obtained. This research applied the partial least square-structural equation modeling (PLS-SEM) approach using SMART-PLS software tool. Various researcher has suggested these techniques for the assessment of the path analysis. Gefen et al. (2011) has suggested to use the PLS-SEM techniques in various area of management research. Legate et al. (2021) has used PLS-SEM techniques in the area of HRD research. In the area of knowledge management researchers like (Albort-Morant et al., 2018; Berraies and Zine El Abidine, 2019; Meher and Mishra, 2021b; Singh et al., 2018) have used this techniques. Confirmatory factor analysis (CFA) based on an outer model with adequate indicator loading, convergent validity, composite reliability (CR) and discriminant validation is confirmed by assessing the measurement model. The structural model is evaluated along with the inner model, which determines the path analysis coefficients and their relevance.

4.1 Measurement model assessment

Initially, a whole measuring model was put to the test. Items related to KS, OLC, OE and EC were loaded into the appropriate factors. To evaluate the outer model that represents the CFA results, this study went through reliability, convergent validity and discriminant validity tests (Schuberth et al., 2018). A first-order reflective–reflective technique was used to explore the KS, OLC, OE and EC.

Cronbach’s α and CR were used to examine internal reliability. Cronbach’s α was above the threshold limit, i.e. 0.70, for all constructs, whereas the value of CR reached the threshold limit, i.e. 0.70 (Hair et al., 2018). As a result, the build’s dependability is established. The value of average variance explained (AVE) was also used to verify convergent validity. For all abstracted constructions, the AVE had achieved the requisite threshold value of 0.50 (Fornell and Larcker, 1981; Hair et al., 2018). It justifies the model’s inclusion of convergent validity.

4.1.1 Discriminant validity assessment.

In this study, the discriminant validity assessment was also used. The discriminant validity was investigated by examining the relationship between the items, where a latent variable should be larger than the inter-item correlation values, the diagonal AVEs under the root of the build should be higher (Fornell and Larcker, 1981). Tables 3 and 4 show the results of the discriminant validity test. In addition to this research, a new approach to evaluating the discriminant’s validity has been used. The Heterotrait Monotrait (HTMT) correlation ratio must be less than one, although the maximum HTMT ratio should be 0.85 (Henseler et al., 2015). The HTMT ratio is displayed in Table 4. As a result, the discriminant validity is established.

4.2 Structural model assessment

Structural equation model evaluation was used to investigate the link between the constructs (Hair et al., 2018). This method is based on a mediation analysis and an interpretation of the hypothesis. To complete the p-values needed for the investigation, the mediation analysis used the bootstrapping approach with the suggested 5,000 bootstraps (Hair et al., 2018). All predictors in the dynamic inner model were accessed and the variance inflation factor (VIF) was less than three. It denotes a test for common method bias and reveals that the model is free of biases (Kock, 2015). The importance of the coefficient route, as well as its validity, will be tested next. The standardized root mean square residual (SRMR) standard is followed by the model fit indices because it is one of the best indices for measuring model fit and the SRMR threshold is 0.08. (Hair et al., 2018). The SRMR value in this analysis was 0.049, which is below the threshold value, indicating that the model has strong explanatory capacity. As a result, this study looks at the impact of independent variables on the dependent variable, in addition to the mediation research.

The findings demonstrate that OLC has a positive significant effect on EC with a standardized beta value of 0.617, p < 0.001 and that OLC has a positive significant effect on KS with a standardized beta value of 0.442, P< 0.001. As a result, hypotheses H1a and H1b were found to be true. In addition, the results also reveal the effect of OLC on OE is significant with standardized beta value of 0.179, p < 0.003. So, the H1c is also confirmed with the analysis. This study also tried to examine the effects of KS on EC and found positively significant with a standardized beta value of 0.274, p < 0.001. Likewise, the effect of KS on OE is positive and significant with a standardized beta value of 0.191, p < 0.001. This signifies that the H2a and H2b found to be significant for this study. Based on the hypothesized model, this study also found the significant effects of EC on OE with standardized value of 0.429, p < 0.001. Thus, the H4 is supported in this study. The other hypotheses are tested with the help of mediation analysis.

4.3 Mediation analysis

This research included a mediation analysis. Serial mediation is present in this investigation, as predicted by the postulated paradigm. According to the literature and hypothesized model, KS and employee competences are the mediators in this investigation. Considering the links between OLC, KS, EC and OE allows for serial mediation. For this study, the serial mediation analysis was established by the path from OLC to OE via KS and EC, whereas the simple mediation analysis was established by the road from OLC to OE via EC only and the path from KS to OE via EC. The variance explained for (VAF) methodology was used to examine the mediation effect, as it is one of the best methods for testing the mediation effect in the case of PLS-SEM (Hair et al., 2014b):

VAF=Indirect EffectTotal Effect

A VAF value more than 0.80 is regarded as full mediation; a VAF value between 0.20 and 0.80 is partial mediation and a value less than 0.20 is regarded as no mediation (Hair et al., 2014a). The mediation path and their VAF value are presented in Table 5.

As per the mediation analysis and its result, it is being observed that the researcher has properly tested the relationships and interpreted their results. The relationship between OLC and EC with mediating effect of KS is examined in this study. The VAF value found to be 0.164, which reveals that there are no mediation effects between OLC and EC. Thus, the H3 doesn’t support with the analysis. The mediation analysis is measured by the VAF value. The VAF value is determined by the ration of indirect effect to the total effects. In case of H3, the direct effect is more as compared to the indirect effects. So, the total effect is increase and the ratio between indirect effects to the total effects is not touching the threshold limit suggested by Hair et al. (2014a, 2014b). The literature also supports that the OLC is directly impacting EC. However, the direct effects of OLC on EC is positively significant which is stated in H1b. The effects of OLC on OE with the mediating effects of EC is found to be significant with the VAF value of 0.596 and confirms the partial mediation effects between OLC and OE. Thus, H5 is significant and positive. Another path relationship reveals that the EC is mediating the relationship between KS and OE. The results of mediation analysis are positive and significant with the VAF value of 0.380, which is a partial mediating effect on their relationship. Thus, the H6 is also confirmed with the study. In addition to this, the serial mediation takes place with the two consecutive mediating variable named KS and EC for the relationship between OLC and OE. The VAF value for this relationship is found 0.225, which is again positive and significant with a partial mediating effect.

5. Discussion and implications

This study aims to understand better the impact of OLC and KS activities on employee skills and OE. However, in the link between OLC, KS and OE, this research looked into the mediating effect of EC. Furthermore, the study looked into the mediation effect of KS. The results of the hypothetical model support the sample data. The findings reveal that all of the hypotheses have empirical validity. The findings show that the OLC has a large impact on KS. This finding is similar to Adeinat and Abdulfatah (2019), who found that corporate culture had a beneficial impact on other knowledge management methods. Several earlier research, including this one, have backed up this theory (Islam et al., 2013; Poell et al., 2004). According to the findings, an OLC encourages KS and decision-making, which leads to enhanced OE. Team leaders in IT companies build their OLCs by sharing their experiences and influencing their subordinates’ learning and by creating an environment of expectations that is achieved by meeting corporate goals. Employees with a learning culture are encouraged to share their knowledge, which helps managers make strategic decisions (Arefin et al., 2020).

The findings serve as a constant reminder to HR professionals that the most important thing they can do is to foster a positive learning culture. The findings of this study highlight the value of KS for employee productivity and OE. IT workers must be able to transition from one project to the next, from one client assignment to the next and they must be competent as a result. The impact of KS on staff competency is confirmed in this study. This finding is consistent with Otoo (2019), who emphasized the importance of HRD training techniques in the development of EC. This bond is bolstered by the fact that (Trivellas et al., 2015) OLC and OE, as well as KS and OE, are both mediated by EC. Similarly, in their investigations (Otoo, 2019; Potnuru and Sahoo, 2016), EC was used as a mediator. As a result, this research reaffirms the role of EC as a model mediator.

The study’s ultimate result is based on the model’s dependent variable, OE, having a substantial effect. The proposed model justifies the significance of each independent variable on the dependent variable. The mediation effects of EC on OE were also examined in this model. H1c indicates that OLC has a positive and significant effect on OE. H2b, likewise, discusses the beneficial and strong impacts of KS on OE. The H4 supports the significance of EC’s impacts on OE. Different hypotheses support EC’s involvement as a mediator. The EC is a perfect mediator in this paradigm, according to H3, H5, H6 and H7.

5.1 Theoretical implications

This study has significant implications for organizational practitioners, and it contributes to the corpus of knowledge by building on earlier studies. The growth rate is likely to accelerate because 21st century enterprises are working in an unprecedented and tough business climate (Malik and Garg, 2017). As a result, learning greater knowledge and sharing it with stakeholders ensures that the employee’s competencies grow. It inspires dedication to the task at hand. The current research makes a significant contribution to the social exchange theory. The usage of KS activities is how social exchange theory is understood. Employees’ socializing is bolstered by the exchange of knowledge and mutual trust inside the firm. This allows for KS and active engagement in corporate learning initiatives. The impacts of OLC and KS on employee skills were incorporated in the research model. This finding demonstrates that the link between OLC, KS and OE can be improved by improving EC. As a result, this study adds a contingency viewpoint to management research.

5.2 Practical implications

Aside from theoretical contributions, this study provides a clear direction to a variety of practitioners working in IT firms, such as HR practitioners, knowledge managers, team leaders and management information systems managers. Investing more and promoting an effective learning culture, leads to an increase in KS activities. HR practitioners focus on promoting a healthy organizational culture. KS is an effective practice amongst the employee to strengthen the flow of knowledge which in turn enhances EC. An employee can be competent enough when he apparent with a bunch of knowledge regarding their assignments. Proper utilization of knowledge with a strong culture reflects the OE. Furthermore, the findings of this article suggest that employees in IT organizations should focus on knowledge and knowledge exchange, which will ultimately improve OE.

This study also helps the researcher to clarify the relevance of KS and OLC to strengthen the EC. The researcher can use this empirically tested model in their research work and investigate whether there is any other contributing factor that fits in this model or not.

6. Conclusion

This study looked at the causes of corporate learning culture and KS, as well as the consequences of staff abilities on OE. According to the tested model, EC is critical in connecting the study’s antecedents and outcomes. The presence of EC as a mediator in this study shows that OLC and KS can lead to OE success.

There are certain drawbacks to this study. The convenience and referral sampling strategy was used in this investigation. Because of COVID-19 restrictions, the majority of employees from various organizations worked from home. As a result, the researcher will have a tough time collecting data at random. As a result, more research may be done using the random sample method, and the results will be more reliable.

Figures

Figure 1.

Research model

Table 1.

Distribution of the respondents

Particulars	Category	No. of respondents	(%)
Gender	Male	210	53.57
	Female	182	46.43
Annual income group	0–5 Lakhs	96	24.49
	05–08 Lakhs	116	29.59
	08–10 Lakhs	138	35.20
	More than 10 Lakhs	42	10.71
Designation	HR Executive	37	9.44
	Project Manager	59	15.05
	Software Engineer	248	63.27
	Team Leader	48	12.24
Total		392	100

Table 2.

Reliability and validity assessment

Items	Outer loadings	Cronbach’s α	Composite reliability	Average variance extracted (AVE)
EC1	0.746	0.828	0.873	0.537
EC2	0.792
EC3	0.632
EC4	0.654
EC5	0.812
EC6	0.743
KS1	0.864	0.822	0.879	0.646
KS2	0.754
KS3	0.726
OLC1	0.786	0.889	0.913	0.6
OLC2	0.734
OLC3	0.784
OLC4	0.769
OLC5	0.772
OLC6	0.81
OLC7	0.766
OE1	0.721	0.836	0.88	0.549
OE2	0.788
OE3	0.737
OE4	0.714
OE5	0.746

Source: Author’s own calculation

Table 3.

Fornell and Larcker criterion

Latent variables	EC	KS	OLC	OE
EC	0.733
KS	0.546	0.804
OLC	0.738	0.442	0.775
OE	0.665	0.504	0.579	0.741

Table 4.

HTMT criterion

Latent variables	EC	KS	OLC	OE
EC
KS	0.654
OLC	0.712	0.483
OE	0.764	0.583	0.663

Table 5.

Mediation analysis

Relationship	Direct effect	Indirect effect	Total effect	VAF value	Results
OLC → KS → EC	0.617	0.121	0.738	0.164	No mediation
OLC → EC → OE	0.179	0.264	0.443	0.596	Partial mediation
KS → EC → OE	0.191	0.117	0.308	0.380	Partial mediation
OLC → KS → EC → OE	0.179	0.052	0.231	0.225	Partial mediation