The Moderating Role of Human Capital on the Operational Resilience and Strategic Orientation to Corporate Sustainable Longevity through Innovation Performance: Evidence from Indonesian Jamu Companies

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Dadang Irawan, Harjanto Prabowo, Engkos Achmad Kuncoro, Nurianna Thoha


Several terms that have developed in the field of psychology today are widely used as analogies to describe events in the business field. This emphasizes the importance of human capital as part of corporate capital. The company's ability to survive through operational resilience is shown in this study. This study analyzes whether strategic orientation and operational resilience affect the survival of the company through innovation performance and whether human capital moderates the relationship between strategic orientation, operational resilience, and innovation performance on corporate sustainable longevity (CSL). The research was conducted using a quantitative research approach through structural equation modeling data analysis techniques. The sample of the study consists of 131 jamu companies operating in Java, Indonesia. It is proven that in addition to being a precursor to the achievement of innovation performance and CSL, human capital can also function as a moderator for innovation performance to achieve CSL. The importance of a strategic orientation to improve innovation performance and achieve CSL is not proven in this study. Innovation performance is not sufficiently supported by a strategic orientation. Likewise, the Company's Sustainability is not supported by direct Strategic Orientation or through Innovation Performance.

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