Title: How does relationship quality translate into better organisational performance: an empirical check

Authors: Waseem John

Addresses: Department of Management Studies, Islamic University of Science and Technology, India

Abstract: This paper examines the impact of relationship quality on organisational performance by testing the relationship quality-relationship outcome conceptual model. Organisational performance is measured in terms of relationship outcomes. A survey was used to collect data from pharmaceutical companies in India. Relationship quality is comprised of trust, commitment, communication quality, and, relationship satisfaction. Relationship outcomes conceived as a dependent variable for this study was also measured using suitable non-financial and relationship centred measures. The research instruments were refined and validated. The data were analysed using structural equation modelling. The results indicate that only communication quality and relationship satisfaction emerge as significant predictors of relationship outcomes in the current research context. This study provides valuable insights into the importance of communication quality and relationship satisfaction in sustaining the relationships and deriving required benefits from it. It also advocates the use of non-financial measures as indicators of organisational performance.

Keywords: relationship quality; business-to-business; organisational performance; relationship outcomes; communication quality; relationship satisfaction; SEM.

DOI: 10.1504/IJBEX.2021.115751

International Journal of Business Excellence, 2021 Vol.24 No.2, pp.187 - 205

Received: 18 Feb 2019
Accepted: 25 Jun 2019

Published online: 21 Jun 2021 *

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