Skip to Main Content
Article navigation
Purpose

Cross-functional integration has been an important factor for manufacturing firms' performance outcomes. The study aims to expand previous research by investigating the moderating role of goal-based incentive systems in the relationship between cross-functional integration and competitive performance.

Design/methodology/approach

Based on multi-source data from 269 manufacturing firms around the world, regression analysis is used to test the proposed research model.

Findings

The authors' findings suggest that cross-functional integration enhances manufacturers' innovation and operational performance. Moreover, cross-functional integration has a stronger impact on operational performance when firms implement a well-designed goal-based incentive system. However, the authors find that the goal-based incentive system does not moderate the relationship between cross-functional integration and innovation performance.

Originality/value

The study, by investigating the fit between goal-based incentive systems and cross-functional integration, provides practical insights into the ways that firms apply cross-functional integration and goal-based incentive systems to enhance competitive performance.

Licensed re-use rights only
You do not currently have access to this content.
Don't already have an account? Register

Purchased this content as a guest? Enter your email address to restore access.

Please enter valid email address.
Email address must be 94 characters or fewer.
Pay-Per-View Access
$41.00
Rental

or Create an Account

Close Modal
Close Modal