Linking Petroleum Engineering Expertise to Organizational Performance through an Inclusive Work Environment: A Study of Libyan Oil Companies
Keywords:
Petroleum engineering expertise, inclusive work environment, organizational performance, oil and gas industry, LibyaAbstract
The oil and gas industry operates in an environment marked by high technical complexity, operational risk, and increasing performance pressures, making petroleum engineering expertise a vital organizational resource. However, the effectiveness of such expertise in driving organizational performance depends largely on the organizational conditions that enable its utilization. This study examines the relationship between petroleum engineering expertise and organizational performance, with a particular focus on the mediating role of an inclusive work environment in the context of Libyan oil companies. A quantitative, cross-sectional research design was adopted, and data were collected through a structured questionnaire distributed to employees across Libyan oil companies. A total of 380 valid responses were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) to assess both the measurement and structural models. The results indicate that petroleum engineering expertise has a significant positive effect on organizational performance and also positively influences the inclusiveness of the work environment. In addition, the inclusive work environment was found to have a significant positive impact on organizational performance and to partially mediate the relationship between petroleum engineering expertise and organizational performance. These findings suggest that technical expertise alone is insufficient to maximize performance outcomes unless supported by organizational climates that promote inclusion, collaboration, and knowledge sharing. The study contributes to the literature by providing empirical evidence from an underexplored, oil-dependent economy and by highlighting the importance of inclusive work environments as a strategic mechanism for translating technical human capital into sustained organizational performance.
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