Showing papers in "International Journal of Innovation Management in 2017"

Sustainable industrial value creation: benefits and challenges of industry 4.0

Abstract: The Industrial Internet of Things (IIoT) poses several implications on manufacturers in terms of economic, ecological, and social aspects referring to the Triple Bottom Line (TBL) of sustainable value creation. Due to its technical core, the current research focused on its technical fundamentals, whereas the economic discussion is still in its infancy. This paper aims at painting a comprehensive and structured picture of IIoT-related economic, ecological, and social benefits and challenges. For this purpose, we employ an exploratory multiple case study approach based on semi-structured expert interviews in 46 manufacturing companies from three leading German industries. Our study contributes to the sparse body of scientific IIoT literature by analysing the IIoT’s implications according to the TBL. We show that, in order to qualify for sustainable industrial value creation, the IIoT requires an extension of the established TBL by three further dimensions, i.e., technical integration, data and information, ...

Digital transformation of business models — best practice, enablers, and roadmap

Abstract: The purpose of this paper is to clarify the definition of digital transformation (DT) and to introduce a structured approach with phases, activities and results. Our research is based on a literature review which provides insight into the basic understanding of DT. Examples complete the research and show the practical application of DT. The main findings are that although DT is a widely known concept, an approach for the structured DT of business models is missing. The paper offers a clear definition of the DT of business models and phases for the DT of business models. Moreover, the paper offers examples of enablers and DT.

The business model pattern database — a tool for systematic business model innovation

Abstract: Companies are more frequently seen shifting their focus from technological innovation towards business model innovation. One efficient option for business model innovation is to learn from existing solutions, i.e., business model patterns. However, the various understandings of the business model pattern concept are often confusing and contradictory, with the available collections incomplete, overlapping, and inconsistently structured. Therefore, the rich body of literature on business model patterns has not yet reached its full potential for both practical application as well as theoretic advancement. To help remedy this, we conduct an exhaustive review, filter for duplicates, and structure the patterns along several dimensions by applying a rigorous taxonomy-building approach. The resulting business model pattern database allows for navigation to the relevant set of patterns for a specific impact on a company’s business model. It can be used for systematic business model innovation, which we illustrate via a simplified case study.

Values-based network and business model innovation

Abstract: Innovation management falls short in solving urgent societal problems, if it neglects the power of networks and the values of their constituent actors. Even though network and business model innovation have been acknowledged as innovation categories in their own right, their problem-solving potential remains unexplored. In this article, we argue that purposeful innovation requires considering the shared values of those engaging in innovation processes, where values are understood as subjective notions of the desirable. Values-based innovation can motivate the development of new networks and business models that address complex societal problems, such as the unsustainability of current forms of energy supply. We present a theoretical framework and facilitation methods for values-based network and business model innovation. Both have been applied in an exemplary workshop on regional energy networks in Germany. Reflecting upon the lessons learned from theory and practice, we conclude that crucial starting po...

Innovative born globals: investigating the influence of their business models on international performance

Abstract: Internationalization is a hot topic in innovation management, whereby the phenomenon of “Born Globals” is still limited to research in the domains of Entrepreneurship and International Management. As business model design plays a key role for Born Globals, we link these two concepts. For this, we propose hypotheses about the influence of efficiency-centered and novelty-centered business model design on international firm performance. To test these hypotheses, we performed a quantitative survey with 252 founders of international companies in Germany, Switzerland and Liechtenstein. Additionally, we gained further insights through a case study analysis of 11 Born Globals. The results show that business model design matters to international firm performance and the business model design of Born Globals tends to be more efficiency-centered. Based on a multiple case study, we analyzed business models in a more sophisticated way and derived propositions that yielded in an archetype of a Born Global’s business model.

Innovators and early adopters in the diffusion of innovations: a literature review

Abstract: Despite accounting for a very small percentage of the population that adopts an innovation, the ‘innovators’ and ‘early adopters’ — representing the two earliest groups of individuals to acquire the new product or service — play a crucial role in the dissemination of the innovation to larger market segments. The objective of this paper is to understand the characteristics of these individuals that positively influence their decisions to adopt innovations. We argue that awareness of these traits will enable firms to attain speedier uptake of their offerings while aiding policymakers achieve quicker and wider proliferation of new technologies intended for societal benefit. We undertake a review of the literature studying the diffusion of innovations and show future directions that this framework should take to analyse the adoption lifecycle.

OBSTACLES TO INNOVATION FOR SMEs: EVIDENCE FROM GERMANY

Abstract: Achieving effective innovation is a complex task and during this process, firms [especially small and medium sized enterprises (SMEs)] often face obstacles. However, research into obstacles to innovation focusing on SMEs is very scarce. In this study, we propose a theoretical framework for describing these obstacles to innovation and investigate their influence on the innovative performance of SMEs. Data were collected in 2013 through face-to-face interviews with executives of 49 technology SMEs from Germany. The semi-structured interviews were designed on the basis of scales for measuring innovativeness, financial/competitive performance and obstacles to innovation, next to purely open questions. We find that the internal obstacles, lack of know-how, capacity overloading, unclear roles and tasks as well as the external obstacle governmental bureaucracy negatively influence innovative performance of SMEs. However, in contrast to prior findings, this study shows that cooperation ties of firms might also negatively influence the innovative performance.

Internet of things business model innovation and the stage-gate process: An exploratory analysis

Abstract: Large manufacturing companies will in future be continuously challenged to develop and implement new IoT-related business models Existing research offers interesting insights on high-level stages of business model innovation (BMI) processes in general However, only little is known about the presence of main gates in BMI processes and even less about the underlying decision criteria applied at these gates To shed more light on this research field, 27 expert interviews with employees from eight companies across the IoT ecosystem were conducted The expert interviews reveal that, despite the increasing popularity of (radically) new innovation approaches, two main decision points can be identified across BMI processes These findings are a first explorative step towards a better understanding of IoT adoption and provide a starting point for interesting future research avenues

The relationship between national culture dimensions and degree of innovation

Abstract: The objective of this research is to analyse the relationship between cultural dimensions and the degree of innovation at the national level. For such, secondary data were collected relating to Hofstede’s cultural dimensions and the Global Innovation Index (GII). They were analysed using multiple linear technical regressions based on a sample of 72 countries. The results reveal the existence of three cultural dimensions associated with innovation outputs (technology and creativity): individualism, long-term orientation and indulgence, while a partially supported relationship was encountered for the power distance, uncertainty avoidance, and masculinity dimensions. National cultures were also classified as being competitive, planning, hierarchical or benevolent, to distinguish the most innovation-driven cultures. This evidence contributes to the innovation and competitiveness perspective, in which the intrinsic values of a national culture can favour the development of innovation and raise the competitiveness level of both nations and organisations.

Antecedents of employee creativity and organisational innovation: an empirical study

Abstract: As an important source of organisational innovation, employee creativity is considered by most scholars and practitioners as a must for contemporary organisations. In this vein, organisational members should and must actively engage in generating new and valuable ideas. Various scholars have emphasized the value of identifying and understanding the factors contributing to employee creativity. The purpose of this research is therefore to investigate the factors fostering individual creativity and organisational innovation. To this end, we have developed a conceptual model and tested it with an empirical study based on a sample of 307 participants from Canadian organisations. The results reveal that knowledge sharing and person–organisation fit have positive impacts on individual creativity. Furthermore, personal trust moderates the relationship between business ethics and individual creativity. The results also show that an initiative-friendly culture moderates the impact of individual creativity on organisational innovation.These findings offer a new framework for developing further studies on creativity and innovation, as well as important practical implications for managers.

The impact of leadership styles and the components of leadership styles on innovative behaviour

Abstract: The study on which this paper is based examined the effect of transformational and transactional leadership styles as well as the effect of each component of transformational and transactional lead

KNOWLEDGE ABSORPTIVE CAPACITY, INNOVATION, AND FIRM’s PERFORMANCE: INSIGHTS FROM THE SOUTH OF BRAZIL

Abstract: This paper aims to verify the relationships that may exist between knowledge absorptive capacity (ACAP), innovation performance, and organisational performance in Brazilian firms. A sample of 111 firms from Southern Brazil was surveyed and PLSSEM was used to test the theoretical hypotheses. The relevance of ACAP for innovation and organisational performance is supported. The research also shows that realised ACAP has more influence on innovation performance compared with potential ACAP. Some guidelines for furthering ACAP models suitable for developing countries are provided as well. The findings are a good reference for practitioners as they identify possible actions which can enhance ACAP and thereby contribute to improving innovativeness and performance. This research complements earlier studies which called for the exploration of the role of ACAP on innovation performance and firm’s competitiveness in developing countries, and it opens new avenues for multidisciplinary research.

KNOWLEDGE MANAGEMENT FOR OPEN INNOVATION: COMPARING RESEARCH RESULTS BETWEEN SMEs AND LARGE COMPANIES

Abstract: Knowledge co-creation and effective knowledge sharing boost innovativeness in companies. However, rapidly developing technologies and constant changes in the business environment challenge the companies’ practices for knowledge management (KM). The purpose of this paper is to compare the key KM practices and their effect on open innovation between the small- and medium-sized companies (SMEs) and the large companies, and as empirical focus, comparing them through quantitative survey and complementary qualitative interviews. The results indicate that large companies are more externally open to innovate than SMEs and the large companies also value open dialog and knowledge sharing more. Whereas, SMEs seem to rely more on developing their internal practices to support innovativeness. In the both company sizes technology is used rather poorly to support access to open data and networks. The identified factors provide insights for developing KM practices that support open innovation in varying sizes of companies.

Human Resources and Innovative Behaviour : Improving Nursing Performance

Abstract: This study examines, using the social exchange theory, the mediating effect of employees’ perception of wellbeing on the relationship between two human resource (HR) management factors (satisfaction with teamwork and satisfaction with training opportunities) and innovative behaviour of nurses working in Australian public and private hospitals. Current nurse shortages and limited budgets have increased the need for hospitals to improve their efficiency and cost-effectiveness. It is proposed that fostering innovative behaviour is one way that hospitals can improve the efficiency and effectiveness of nurses. A cross-sectional self-report survey was completed by 220 nurses working within Australian hospitals. The results show that an employee’s perception of their wellbeing completely mediated the relationship between satisfaction with training opportunities and their innovative behaviour and partially mediated the relationship between satisfaction with teamwork and innovative behaviour. The findings shed new light on how HR management factors can foster innovative behaviour. The results raise new implications for managers seeking to stimulate innovative behaviour, highlighting the importance of cultivating an organisational environment conducive to positive perceptions of wellbeing.

The influence of the manager on firm innovation in emerging economies

Abstract: The focus of this paper is on the relatively under-researched area of the influence of management on innovation activities for firms in emerging economies. Many emerging economies adopt a strategy of outward-oriented development with the aim to enhance innovation performance through Foreign Direct Investment (FDI) and international trade. However, attention should be paid to firm mechanisms, including intangibles, that may enable a firm to benefit from the more tangible performance-enhancing effects. It is through such a lens that we examine firm innovation in emerging economies, focusing on how variations in management experience, management practices and management incentives impact innovation performance. We employ a production function approach to identify the effect of the management environment on innovation diversity for firms in emerging economies. Our diversity of innovation measure takes account of five types of innovation activity, and is indicative of the degree of ‘innovativeness’ that the firm possesses. A Tobit estimation technique is employed. Innovation decisions typically involve managers as filtering mechanisms to consider a range of external and internal factors that enhance the likelihood of innovation outcomes. Our results indicate that management experience, management practices and management incentives are all important in determining innovation activities in firms from emerging economies. Our analysis reveals the importance of the management environment in explaining innovation differences at the level of the firm in emerging economies. Therefore, strategies to empower and support managers in emerging economies should be considered alongside outward-orientated development strategies.

Collaboration capability in virtual teams: examining the influence on diversity and innovation

Abstract: Virtual teams are being increasingly utilised in industry given their ability to bring together diverse knowledge and experience from individuals who are not geographically proximal. Having a diversity of knowledge within virtual teams is noted to benefit innovation outcomes; however, leveraging the benefits of diversity (both deep and functional-level) is likely to require a capability to facilitate collaboration among team members. In this study, we empirically validate a measure of collaboration capability (CCAP) and examine its role in enhancing the benefits of diversity on innovation within virtual teams. Using a sample of 375 design and software engineers working in virtual teams from a high-tech firm in Silicon Valley, we find that CCAP significantly moderates the relationship between functional-level diversity and innovation, but no significant influence is found for a similar moderating influence on deep-level diversity and innovation. The implications for the study of virtual teams are discussed and recommendations are offered for organisations using virtual teams.

Situational logic: an analysis of open innovation using corporate accelerators

Abstract: Open innovation is an innovation framework proposing that established firms use external sources as pathways to new ideas, technologies, business models and markets. Within this framework, established companies can use startups, or young, growth-oriented business to help them achieve radical or breakthrough innovations. In this paper, we focus on established firms which use “corporate accelerators” to run fast-moving, competitive programs in which startup companies participate. Our purpose is to identify inhibitors to the collaboration between established firms and startups in these accelerator programs. We conducted 27 interviews with participants from startups, established companies using startups as innovators, and the accelerator management who provided the platform for this engagement. Our theoretical framework is the social realist theory of Margaret Archer. This provides a conceptualisation of the reflexivity of the participants and the “situational logic” of conflict and competition in which they find themselves. We found that collaboration will be inhibited by conflicts in basic beliefs, or propositions, about concepts such as authority, autonomy and risk, as well as competition for material resources and personal goals.

Identification and generation of innovative ideas in the procurement of the automotive industry: the case of audi ag

Abstract: Open innovation and the use of suppliers and start-ups as external idea sources have become increasingly important in the automotive industry. Since the purchasing function in a company has corresp...

Development of an open innovation model for r&d collaboration between large firms and small-medium enterprises (smes) in manufacturing industries

Abstract: Mutual growth in the relation between large firms and small-medium enterprises (SMEs) has been an important issue that can be overcome with the concept of open innovation, which is the most continuous research topic in technology innovation. However, most previous studies on open innovation barely analyse both firm types, focusing only on one party. The aim of this study is to develop open innovation models for complementary cooperation between both types of firms in manufacturing industry. Based on a basic understanding of open innovation in each firm type, this study suggests open innovation typology with two main concepts of open innovation: knowledge interaction and technology innovation. Finally, open innovation models are developed, considering the cooperative participants, their relationships in open innovation processes, and open innovation activities illustrated through case studies. The results contribute to manage strategic open innovation between large firms and SMEs through various approaches of cooperation.

Towards a comprehensive model on the relationship between leadership styles, organisational climate, innovation and organisational performance

Abstract: The purpose of this paper is to examine the nature of the relationship between leadership styles, organisational climate, innovation and organisational performance. The study was quantitative in na...

Open innovation as a facilitator for corporate exploration

Abstract: While open innovation is a management concept of increased attention in academia as well as in industry, studies have also shown that the implementation of open innovation can be a rather difficult and challenging process. Installed organisational structures, culture and knowledge are often portrayed as hinder for change. This study provides an in-depth case study, based on 50 interviews, of how a large pharmaceutical corporation implemented an open innovation initiative. Instead of considering existing internal knowledge and structures as problematic, these resources were rather utilised as cornerstones for value offerings in open innovation. Furthermore, employees’ engagement in open innovation resulted in a more open and dynamic climate, as well as an improved entrepreneurial image of the corporation internally as well as externally. The study contributes to the open innovation literature by advancing the understanding about the organisational implications of implementing open innovation in practice. As such, it provides valuable insights for researchers and practitioners about implementing open innovation in practice.

The relationship among strategic orientations, organizational innovativeness, and business performance

Abstract: Today’s complex and competitive business environment restricts the managers to plan their futures strategically. Thus, strategic orientation approach is taking the place of traditional approach to strategic management by spreading strategic thinking to the employees like a corporate culture. The aims of this study are to explore the mutual relationships among market orientation, technology orientation, and organizational innovativeness, and to examine the joint effects of those key drivers on firm performance, and to advance the understanding of the role of the strategic orientations of the firms. Due to the general structure of the research model, a questionnaire survey on 161 manufacturing firms has been concluded. According to analysed data a strong relationship between strategic orientations and the firm performance is indicated. Foremost, the results show that product innovation can significantly assist a competitor-oriented firm in improving its financial performance, while a technology-oriented firm improving its growth and market performance.

The relationships between leadership, work engagement and employee innovative performance: empirical evidence from the indian r&d context

Abstract: Integrating the behavioural theory of leadership with job demands–resources theory of engagement, the present study examines the process through which leadership impact R&D professionals’ innovative work behaviours and innovative performance (measured through peer-reviewed journal papers, patents, PhDs guided and keynote addresses delivered). Data from 467 scientists working in India’s largest civilian R&D organisation were collected and analysed using structural equation modelling. The study found that work engagement was positively related to innovative work behaviours as well as innovative performance. Leader behaviours had significant indirect effects on innovative work behaviours as well as innovative performance via work engagement. While the total effect of leadership on innovative work behaviours, the total effect was non-significant for innovative performance. Implications for theory and practice are discussed.

Business models for corporate innovation management: introduction of a business model innovation tool for established firms

Abstract: Business model innovation (BMI) is the process of integrating a new logic of doing business into an established firm to improve profitability or to capitalise on new business opportunities. However, existing research offers only limited clarity on BMI compared to business model upgrades or a specific product innovation. From a body of extant literature, we develop a BMI identification tool which is then tested by senior managers from four large European corporations to assess whether innovation efforts represent BMI. The tool operationalises BMI and offers straightforward criteria and indicators to assist researchers but especially practitioners at accelerating BMI in established firms. This paper closes with recommendations for future research and limitations.

Managing innovation processes through value co-creation: a process case from business-to-business service practise

Abstract: Value co-creation is a specific type of collaboration that is considered to be an innovative and interactive process between end users and organizations; it aims to increase the value of a product or service. This study investigates how a network of stakeholders collaborating to manage innovation openly co-creates value over time; it contributes to the existing literature on value co-creation by taking the perspective of the network as a whole. The study follows a case in which value co-creation unfolds over time across a network of stakeholders within the business-to-business facility service context. The in-depth longitudinal investigation of a network composed of a corporate customer and its external facility service providers revealed that a network of stakeholders co-creates value over time by (i) offering an adaptable structure for the network to organize innovation activities and establish support routines, (ii) facilitating interactions to support stakeholder relation development and (iii) allowin...

The multifaceted role of the network orchestrator — a longitudinal case study

Abstract: This longitudinal empirical case study develops a new framework for the role of the orchestrator of networks of Small and Medium-sized Enterprises (SMEs). The SME network under study is followed during six years, through five stages of its lifecycle, and demonstrates the complex and multifaceted nature of the role of the network orchestrator. Various roles are needed for the various stages in order to achieve network retention and sustainability. This multifaceted role is found to encompass the roles as knowledge broker, innovation broker, network entrepreneur and leader and strategist, where the latter emerges as the most salient. The similarities with the role of a firm manager seem paradoxial in light of the dominating view of network management, characterized by the concept of distributed and collective leadership.

The effect of work-family conflict and job insecurity on innovative behaviour of korean workers: the mediating role of organisational commitment and job satisfaction

Abstract: South Korea is becoming an advanced economy based on continuous innovative organisational efforts. Job stressors have been identified in the literature as a major hindrance to many positive organisational behaviours. We predict that job insecurity and work–family conflict will have a negative effect on innovative behaviour with mediators of job satisfaction and organisational commitment. Results from structural equation models provided support for this study. From a practical perspective, the significant negative relationships between job stressors and innovative behaviour imply the need to reduce work–family conflict and feelings of job insecurity in Korean companies in order to foster innovation.

In search of the effects of business and political ties on innovation ambidexterity

Abstract: There has been a lack of empirical research on how firms integrate different types of network benefits to facilitate innovation ambidexterity. This study examines how different types of network ties (business and political) influence innovation ambidexterity. Using a sample of 264 Chinese industrial firms, we find that business ties are significantly associated with innovation ambidexterity. The results also show that although the direct effect of political ties on innovation ambidexterity is insignificant, political ties interact significantly with business ties to foster innovation ambidexterity.

Shades of the innovation-purchasing function — the missing link of open innovation

Abstract: This paper seeks to instigate a new area of research in the Early Purchasing Involvement (EPI) literature around the question: How should a Purchasing function evolve in order to identify and capture innovation in the supplier market? Particularly, we attempt to characterise the specificities of the Innovation-Purchasing function, an emerging function acting in the fuzzy-front-end of projects. The contribution of this paper is a reification of the role of this function in an Open Innovation context, through the description of Early Purchasing Involvement in the Innovation (EPI2) agenda. For that, we collected data through an internal benchmarking study within a multinational/multidivisional firm of the automotive sector. Our study reveals similarities and differences between the observed practices of what we call EPI2 and the more classical EPI activities in a New Product Development (NPD) context. This study provides a model that can help practitioners and raises some propositions to test in new research.

The effects of alliance portfolio diversity on innovation performance: a study of partner and alliance characteristics in the bio-pharmaceutical industry

Abstract: This study investigates the effects of alliance portfolio diversity on the innovation performance of firms Alliance portfolio diversity is defined using partner characteristics (partner industrial background) and alliance characteristics (alliance objective) We also investigate the interaction between these two measures of diversity on innovation performance The hypotheses are tested on a dataset of R&D alliances in the US biopharmaceutical industry from 1998–2002 We find an inverted U-shape relationship between the diversity of alliance partners’ industrial background and innovation performance, and a negative interaction of partner diversity and the diversity of the alliance objectives This study contributes to the growing field of alliance portfolio diversity research by introducing a new alliance characteristic-based dimension of diversity and testing the interaction of different diversities Our findings imply that firms with diverse alliance partners in particular need to be careful not to focus on too many objectives at the same time