Impact of Ambidextrous Capability and Human Capital on SMEs Performance in The Tourism Industry Through Organizational Resilience and Strategic Renewal

Abstract

The main objective of this study is to examine the role of strategic renewal on the performance of Micro, Small, and Medium Enterprises (SMEs) in Tourism. This study uses a quantitative and qualitative approach and Structural Equation Modeling (SEM) analysis. Data were collected from 82 Tourism SMEs in Indonesia. This study highlights the importance of human capital and ambidextrous capabilities in improving enterprises performance through strategic renewal and to create resilience in an organization. Organizational resiliencies do not always affect the organization capability of strategic renewals. We argue that only high degree of organizational resiliencies with innovative capabilities that are able to orchestrate the strategic renewal. The innovative capabilities are mainly dependence on the quality human capital. Therefore, SMEs in tourism industry generally need to improve its ability of human capital to achieve innovative capabilities in order to survive in crises and have a competitive advantage necessary to keep up with changes in the tourism industry.

Keyword: Ambidexterity Capabilities, Human Capital, Organizational Resilience, Renewal Strategy, Organizational Performance