Document Type
Article
Publication Date
10-5-2025
Abstract
Purpose – This paper links employees’ relationship orientation, or their sense that the organization respects their contribution, to value co-creation and overall firm performance. It also measures the effects on innovation and knowledge sharing.
Design/methodology/approach – A total of 301 US product and marketing managers participated in a survey. Measurement and structural models were evaluated using partial least squares structural equation modeling.
Findings – Main findings suggest that increased value co-creation (VCC) activity has a significant effect on employee relationship orientation. This study also finds that employee relationship orientation plays a mediating role in the relationship between VCC and firm performance. Innovation as a moderator is shown to strengthen the positive relationship between value co-creation and employee relationship orientation. Finally, this study finds that knowledge sharing as a moderator has a negative effect on the relationship between VCC and employee relationship orientation.
Research limitations/implications – This study was conducted exclusively in the United States, so results may not apply elsewhere. Future research should explore the antecedent relationship between VCC and employee relationship orientation.
Practical implications – Addressing managers’ questions about the potential benefits of VCC, this study demonstrates that its effectiveness may depend on emphasizing employee relationship orientation, which can positively affect firm performance.
Originality/value – This study launches a new stream of research examining the relationship between VCC and employee factors. The quantitative model shows employee relationship orientation is a critical mediator in the relationship of VCC to firm performance.
Recommended Citation
Parke, Perry L.; Gala, Prachi; Iyer, Pramod; Sleep, Stefan; and Sinha, Mona, "The role of employee relationship orientation in the value co-creation – firm performance link" (2025). Faculty Scholarship. 31.
https://digitalcommons.wofford.edu/facultypubs/31
Included in
Business Administration, Management, and Operations Commons, Business and Corporate Communications Commons, Human Resources Management Commons
Comments
CC BY-NC 4.0