Background and Objective: Considering the critical role of innovation in improving the quality of healthcare services and the necessity of effective financial resource management, an important question arises as to the extent to which the financial performance of Iran University of Medical Sciences can influence organizational innovation. Therefore, the present study aimed to determine the impact of financial performance on organizational innovation at Iran University of Medical Sciences.
Methods: This descriptive-correlational study was conducted among managers and employees of Iran University of Medical Sciences. The statistical population consisted of 140 individuals, and based on the Krejcie and Morgan table, a sample size of 103 participants was determined. Participants were selected using simple random sampling. Data were collected using the Financial Performance Questionnaire based on Kaplan and Norton’s (1992) Balanced Scorecard model and the Organizational Innovation Questionnaire developed by Wang and Ahmed (2004). Data were analyzed using regression analysis in SPSS software at a significance level of 0.05.
Results: The findings revealed that financial performance had a positive and significant effect on organizational innovation at Iran University of Medical Sciences. Regression analysis indicated a significant positive relationship between financial performance and organizational innovation. Furthermore, the positive beta coefficient demonstrated that an increase in financial performance was associated with a corresponding increase in organizational innovation.
Conclusion: Overall, the results of the present study indicate that financial performance is a significant determinant of organizational innovation at Iran University of Medical Sciences. Improvements in financial performance indicators can facilitate the growth and development of organizational innovation by enhancing access to resources, strengthening innovation infrastructures, increasing employee motivation, expanding research activities, and improving the capacity for investment in emerging technologies. Therefore, financial performance should be regarded as a strategic factor in promoting innovation and sustainable organizational development within medical universities.