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Purpose

Innovation is the basic input to organizational endurance; therefore, the study of processes that support innovation should be of interest to practitioners and researchers alike. Consequently, there is increasing attention for the supplementary research examination of the influencing elements of innovativeness.

Design/methodology/approach

The data were collected in 2018 using adapted questionnaires that were tested. The respondents were 446 employees of Pakistan Electric Power Company (PEPCO). Bivariate correlations and hierarchical regression were used for the data analysis.

Findings

The findings showed that the competing value framework (CVF) model of organizational culture may promote innovativeness that translates to the progress of PEPCO, which deserved barrier for everyone relying on the values made by the culture of the organization. The adhocracy culture is considered to be statistically suitable for the prediction of performance and enhancement of innovation in the organization. Based on the above findings, it may be deduced that innovation mediated the relationship between some particular types of organizational culture and performance.

Practical implications

The CVF model provides a supportive framework for the development of procedures that promote innovation in the organization. The focus of the CVF model highlighted employees' behavior and function of organizational culture, which can restrain or stimulate performance. This study reported and developed a basis for an empirical model based on the CVF model.

Originality/value

This paper found that the CVF model and innovation are mega sources of innovation at PEPCO. This work should be of interest in the area of innovation and performance improvement. There are very few empirical research studies on the relationship between organizational culture, innovation and performance, specifically in the context of developing countries. This is one of the very few studies conducted to empirically examine the influence of CVF model on performance through the mediating role of innovation in PEPCO.

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