How MNC’s subsidiaries may improve their innovative performance? The role of external sources and knowledge management capabilities

2017 ◽  
Vol 21 (3) ◽  
pp. 540-552 ◽  
Author(s):  
Alberto Ferraris ◽  
Gabriele Santoro ◽  
Luca Dezi

Purpose This paper aims at exploring the effect of knowledge management (KM) practices on the relationship between external research and development (R&D) and innovative performance. The authors argue that the firms which develop and possess superior KM capabilities have the ability to better manage external knowledge and combine it with the internal one. Design/methodology/approach The authors used a sample of 117 European MNC subsidiaries. An OLS regression analysis was carried out to evaluate the moderator effect of KM on the relationship between external R&D and innovative performance. Findings The authors found positive evidences in favor of a moderator effect of KM. This means that subsidiaries with superior KM capabilities are more effective in using external R&D, augmenting the magnitude of their external sources of knowledge and, consequently, improving their innovative performance. Practical implications Managerially speaking, both corporate and subsidiaries’ managers need to understand the relevance of managing knowledge effectively and efficiently at the subsidiary level. Corporate managers need to allocate more resources (both financial and managerial) to the subsidiaries that are active in knowledge transfer and sharing, while subsidiaries managers need to implement practically the KM tools and processes at the subsidiary organizational level to improve subsidiary’s innovative performance. Originality/value This paper contributes mainly to the KM field, highlighting the importance of KM at the subsidiary level, whereas most of previous studies focus on different units of analysis.

2019 ◽  
Vol 121 (2) ◽  
pp. 242-258 ◽  
Author(s):  
Valentina Cillo ◽  
Riccardo Rialti ◽  
Bernardo Bertoldi ◽  
Francesco Ciampi

Purpose The purpose of this paper is to analyze the relationship between knowledge management capabilities and successful open innovation within agri-food businesses. This particular piece of research focuses on agri-food businesses which utilize crowdfunding platforms. Design/methodology/approach The research adopts a survey-based methodology, which is useful in enhancing the generalization of results. The final sample includes 80 cases for the analysis. The model and the hypotheses were tested through a hierarchical regression model. Findings This research assesses the importance of knowledge management capabilities for successful open innovation in crowdfunding for agri-food businesses. In particular, it emerged that IT-based knowledge exploitation capabilities are enablers of open innovation strategies. Additionally, it emerged that knowledge exploration capabilities can positively mediate the relationship between IT-based knowledge exploitation capabilities and open innovation in the context of agri-food businesses. Originality/value To the authors’ best knowledge, few researchers have explored this topic and, as such, there is a need to better conceptualize this intriguing phenomenon and to provide empirical evidence to support it.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Irene Wei Kiong Ting ◽  
Hai Juan Sui ◽  
Qian Long Kweh ◽  
Gusman Nawanir

Purpose This study aims to examine the effect of knowledge management on firm innovative performance and the moderating effect of transformational leadership in the relationship between knowledge management and firm innovative performance. Design/methodology/approach In total, 200 managers of participating Malaysian public listed service companies responded to a self-report set of the survey questionnaire. Partial least squares-structural equation modelling technique is used to estimate the main effects of knowledge management, particularly its infrastructures and processes, on firm innovative performance and the moderating effects of transformational leadership on the relationship. Findings Knowledge management infrastructures and knowledge management processes both have statistically significant and positive effects on firm innovative performance. In addition, transformational leadership significantly and negatively moderates the relationships. Practical implications The findings of this study can be a reference for the Malaysian public listed service companies to understand how and why managing well knowledge management infrastructures and processes can improve firm innovative performance. Moreover, this study highlights the role of transformational leaders in the context of knowledge management. Originality/value This study brings about managerial viewpoints of the relationship between knowledge management and firm innovative performance, with the moderating role of transformational leadership.


2017 ◽  
Vol 55 (3) ◽  
pp. 526-546 ◽  
Author(s):  
Cristina Bayona-Saez ◽  
Claudio Cruz-Cázares ◽  
Teresa García-Marco ◽  
Mercedes Sánchez García

Purpose The purpose of this paper is to extend the knowledge into the relationship between open innovation (OI) and firm’s innovative performance. Specifically, the authors aim to determine whether the benefits of OI practices are different for Food and Beverage (FnB) firms as compared to those of other sectors. The FnB industry is relevant in terms of employment GDP generation in the UE, characterised by high integration and low-tech intensity. Design/methodology/approach In order to achieve the goal and obtain robust results, the authors consider four OI dimensions and four innovation performance measures using panel data (2004-2011) from 10,771 FnB and non-FnB firms using Tobit and Logit models by random effects. Findings The authors test and confirm the presence of the classical inverted U-shape relationship between OI and firm innovative performance for FnB and non-FnB companies. However, the optimal number of external sources of knowledge used is lesser for FnB than the rest of the companies. Originality/value The paper compares the OI effects in a traditional and low-tech industry vs other industries considering four innovation outputs (product innovations, process innovations, incremental innovation and radical innovation).


2020 ◽  
Vol 12 (4) ◽  
pp. 1366
Author(s):  
Julio C. Acosta-Prado ◽  
Oscar H. López-Montoya ◽  
Carlos Sanchís-Pedregosa ◽  
Ulpiano J. Vázquez-Martínez

The literature suggests that innovation allows organizations to reach a desirable level of sustainability. There is evidence to support the role of knowledge management (KM) as well as management capability (MC) in producing a sustainable approach at organizations. Furthermore, organizations commonly achieve sustainable practices through corporate social responsibility (CSR). In particular, the health sector is increasingly implementing CSR strategies, although with a narrow understanding of the factors to success. Hence, trends lead to asymmetric growth between organizations. This study aims to examine the mediating role of KM in the relationship between MC and innovative performance (IP) in 331 Health Provider Institutions (HPIs). The research reflective model was assessed through Partial Least Squares Structural Equation Modeling (PLS-SEM). According to the results, MC has a positive effect on IP, MC has a positive effect on KM, and KM has a positive effect on IP. Likewise, KM significantly mediates the relationship between MC and IP. Our findings support the importance of KM in addressing MCs in HPIs as it enables innovative practices to address CSR goals to achieve a sustainable impact. Moreover, this study contributes by expanding KM to contexts that are not usually studied, such as health in a South American country.


2016 ◽  
Vol 11 (3) ◽  
pp. 802-810 ◽  
Author(s):  
Nitin Yashwant Patil ◽  
Ravi M. Warkhedkar

Purpose In the past decade, much has been written about knowledge management (KM) in the manufacturing; however, less attention has been paid to the Indian automobile ancillary industries located in Chinchwad, Pune. It is suitable to find out the relationship of the factors of the study. It helps in identifying the hierarchy of factors to be taken, and interlinking of production department with KM improves the productivity of the industries. Categorization of these principles based on their driving power (principles which hold other principles) and dependence (principles which are dependent on other principles) has also been examined for KM implementation to study the driving power and dependence power of these principles. This paper aims to determine the roadmap of KM implementation and categorize KM principles based on their driving power for manufacturing industries with the use of the interpretive structural modeling (ISM)-based model. The results indicate that the principles possessing higher driving power, such as KM, inventory control, quality control, productivity and scheduling and their interlinking. The major contribution of this research lies in the development of contextual relationship among various identified factors of KM and determination of their driving and dependence power through a single systemic framework. Design/methodology/approach In this paper, author find out the suitability ISM for Indian Automobile industries to find the relation among the variables. Findings ISM model has been developed for the hierarchy of the identified KM. As ISM model results a hypothetical hierarchy which needs a proper quantitative analysis to evaluate their percentage effectiveness in the hierarchy. Research limitations/implications It is applied to automobile industries with limited number of variables that will show the dependence variable and driving variables and their interrelations. It can be applied other fields to fine the relationship of variables. Practical implications The ISM may be used in supply chain management and total quality management to find interlinking between the variables. Originality/value The limited data collected from Pimpri Chinchwad industrial area of Pune from Maharashtra state (India).


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Timothy Shea ◽  
Syed Aktharsha Usman ◽  
Sengottuvel Arivalagan ◽  
Satyanarayana Parayitam

Purpose The purpose of this study is to empirically examine knowledge management (KM) practices as a moderator in the relationship between organizational culture and performance. The effect of four types of organizational culture on organizational performance was studied. In addition to direct effects, most importantly, KM practices as a moderator in strengthening the culture-performance relationship were empirically examined. Design/methodology/approach A carefully crafted survey instrument was distributed and data was collected from 1,255 respondents from 10 information technology companies in India. After checking the psychometric properties of the instrument, this paper performs hierarchical regression to test hypotheses. Findings The results reveal that: cooperative culture, innovative culture, consistent culture and effectiveness culture were all positively and significantly related to organizational performance; KM practices were positively and significantly related to organizational performance, KM practices moderate the relationship between various dimensions of organizational culture and organizational performance. Research limitations/implications As with any survey-based research, the present study suffers from the problems associated with self-report measures. These are common method bias and social desirability bias. However, this study attempts to minimize these limitations by following appropriate statistical techniques. Practical implications This study contributes to both practicing managers and the literature on KM and organizational culture. The study suggests that managers use KM practices, which are all-pervasive and very important for improving organizational performance. The results highlight the importance of implementing KM practices in organizations. Originality/value This study provides new insights into the importance of KM practices in achieving sustained competitive advantage by achieving organizational effectiveness. To the knowledge, the importance of KM practices is underemphasized in organizational culture research.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muhammad Dharma Tuah Putra Nasution ◽  
Ahmad Rafiki ◽  
Adelina Lubis ◽  
Yossie Rossanty

Purpose The purpose of this study is to examine the dimensions of entrepreneurial orientation (EO), knowledge management process (KMP) and dynamic capability (DC) toward the adoption of electronic commerce (e-commerce) of small and medium enterprises (SMEs) in North Sumatera. Design/methodology/approach This study used a quantitative methodology using Smart PLS of structural equation model. A survey is done by distributing the questionnaires to the respondents (owner-managers) of SMEs across sectors. Using a convenient sampling technique, 131 respondents were selected. Using a cross-sectional survey design, 11 hypotheses were tested. Findings It is found that both innovativeness and proactiveness of EO have a significant relationship with e-commerce adoption (EA), while the risk-taking of EO is found as insignificant. Both risk-taking and proactiveness of EO are significantly related to KMP, but innovation of EO is found to be insignificant. Moreover, KMP significantly mediates the relationship between risk-taking and proactiveness of EO and EA, while KMP insignificantly mediates the relationship between innovativeness of EO and EA. Finally, it is found that DC has a significant relationship in EA. Originality/value By using the resource based-theory, the study on the decision of EA by SMEs is conducted which focuses on a number of internal and external factors influencing the adoption decision. This differs from other studies using theories of the technological, organizational and environmental, theory of acceptance and use of technology, theory of planned behavior, theory of reasoned action and others which emphasized on the implementation and usage of EA.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Robinson James

PurposeThis study aims to investigate the influence of organisational politics on work engagement and the moderator effect of positive framing on this relationshipDesign/methodology/approachData were collected from 241 public sector employees in Sri Lanka through a structured questionnaire and analysed with partial least square structural equation modelling (PLS_SEM).FindingsThe results indicated that organisational politics negatively influenced employees' work engagement, positive framing positively influenced engagement and weakened the negative relationship between politics and engagement.Practical implicationsThis study suggests that organisation and individuals must take the necessary steps to enhance work engagement. Organisations must be transparent in all activities to avoid employees' negative perception. Also, organisations need to take steps to recruit employees with positive framing or develop this competency through training and development. Individuals also need to take necessary steps to frame the work environment positively to enhance their engagement in work.Originality/valueThis study extends the literature by being the first to examine the positive framing as a moderator in the relationship between politics and engagement. This study found that positive framing as a resource reduced the harmful effect of organisational politics on engagement and suggested positive framing can be considered as a resource in the future investigation of the job demand–resource model.


2017 ◽  
Vol 21 (6) ◽  
pp. 1523-1539 ◽  
Author(s):  
David Doloreux ◽  
Ekaterina Turkina

Purpose This paper aims to explore the effects of multiple external sources of knowledge and of the use of winemaker consultants on innovation in the Canadian wine industry. Design/methodology/approach The data for the study are taken from an original survey of wine firms in Canada covering the 2007-2009 period. The survey was carried out by computer-assisted telephone interviews, and it was addressed to winery firms that are engaged in growing grapes and producing wine. Findings The results show that the use of winemaker consultants positively affects all forms of innovation. At the same, as far as external knowledge sources are concerned, marketing sources positively affect all types of innovation, while research sources and general sources have a positive influence on particular forms of innovation. The results also show that winemaker consultants interact with other knowledge sources. Nevertheless, there are important nuances with regard to which type of knowledge sources is more compatible with the use of winemaker consultants for which type of innovation. Originality/value To date, there is no empirical evidence of the extent to which the use of external winemaker consultants and external knowledge sources interact together and what are their impacts on the introduction of different forms of innovation.


2019 ◽  
Vol 57 (8) ◽  
pp. 1923-1936 ◽  
Author(s):  
Alberto Ferraris ◽  
Alberto Mazzoleni ◽  
Alain Devalle ◽  
Jerome Couturier

Purpose Big data analytics (BDA) guarantees that data may be analysed and categorised into useful information for businesses and transformed into big data related-knowledge and efficient decision-making processes, thereby improving performance. However, the management of the knowledge generated from the BDA as well as its integration and combination with firm knowledge have scarcely been investigated, despite an emergent need of a structured and integrated approach. The paper aims to discuss these issues. Design/methodology/approach Through an empirical analysis based on structural equation modelling with data collected from 88 Italian SMEs, the authors tested if BDA capabilities have a positive impact on firm performances, as well as the mediator effect of knowledge management (KM) on this relationship. Findings The findings of this paper show that firms that developed more BDA capabilities than others, both technological and managerial, increased their performances and that KM orientation plays a significant role in amplifying the effect of BDA capabilities. Originality/value BDA has the potential to change the way firms compete through better understanding, processing, and exploiting of huge amounts of data coming from different internal and external sources and processes. Some managerial and theoretical implications are proposed and discussed in light of the emergence of this new phenomenon.


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