THE IMPACT OF ENVIRONMENTAL TURBULENCE ON THE ORGANIZATIONAL RESILIENCE: A PERSPECTIVE FROM TELECOMMUNICATION SECTOR IN INDONESIA
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ABSTRACT
This study examines the effect of pandemic turbulence, market turbulence, and technology turbulence on organizational resilience in Indonesia’s telecommunication sector during the COVID-19 pandemic. It uses purposive sampling to collect responses from senior management executives of telecommunication companies in Indonesia. A total of 108 valid questionnaires were collected and analyzed using SmartPLS. The research found that pandemic turbulence affects organizational resilience through the mediating role of market turbulence and technological turbulence. Market turbulence positively influences organizational resilience directly and through the mediation of technological turbulence. The choice of a single industry sector in a single country provides a limitation on external validity. It is therefore suggested to extend the research efforts to other industry sectors in multi-country environments. Environmental turbulences drive new organizations to build organizational resilience to ensure business continuity. Thus, telecommunication companies should focus on opportunity-seeking actions since turbulence creates room to improve. This study’s results advance the concept of organizational resilience by understanding the role of each type of environmental turbulence. The findings indicate that market turbulence and technological turbulence positively influence organizational resilience. The study results also demonstrated that market turbulence positively influences technological turbulence. Furthermore, pandemic turbulence does not directly affect organizational resilience but through market turbulence and technological turbulence.