scholarly journals Improving Innovation Performance by Convergence in Open Innovation: Evidence from Software Firms in Sri Lanka

2018 ◽  
Vol 4 (1) ◽  
Author(s):  
S.R. Yapa ◽  
R. Senathiraja ◽  
I. Kauranen
Keyword(s):  
Sri Lanka ◽  
Empirical Data ◽  
Open Innovation ◽  
Research Study ◽  
Innovation Performance ◽  
Popular Approach ◽  
Extant Literature ◽  
External Knowledge ◽  
Software Firms

Open innovation, which encourages firms to use external knowledge and external partners to accelerate innovation, has become a popular approach among organisations globally. Researchers have highlighted multiple benefits that open innovation offers. Extant literature often discusses factors of open innovation that increase innovation performance. However, open innovation does not always bring higher innovation performance and reasons for this are not adequately addressed in the existing literature. The objective of this research study is to increase understanding of factors that can hinder innovation performance in open innovation implementations. Special attention has given to convergence. In this case, convergence refers to alignment and coordination between innovation partner firms. The empirical data for this research study will be gathered from software firms in Sri Lanka. The background for this study is the software firms in Sri Lanka which have not reached the expectation that have been placed on them.

Unpacking the relationship between external IT capability and open innovation performance: evidence from China

2020 ◽  
Vol 26 (7) ◽  
pp. 1789-1805 ◽  
Author(s):  
Su-Ming Wu ◽  
Xiu-Hao Ding
Keyword(s):  
Information Technology ◽  
Open Innovation ◽  
Knowledge Integration ◽  
Search Strategy ◽  
Innovation Performance ◽  
External Information ◽  
Content Type ◽  
External Knowledge ◽  
It Capability ◽  
The Relationship

PurposeInformation technology plays a critical role in the open innovation process. The purpose of this study is to explore the inner mechanism of external information technology (IT) capability that affects open innovation performance.Design/methodology/approachIn this paper, responses to 232 questionnaires from different firms were collected in China. Then, the proposed hypotheses were tested using regression analysis by statistical product and service solutions (SPSS).FindingsThe results indicate that external knowledge integration plays a mediating role in the relationship between external IT capability and open innovation performance, openness breadth positively moderates the influence of external IT capability on external knowledge integration and openness depth negatively moderates the relationship between external IT capability and external knowledge integration.Practical implicationsThe results, which are based on Chinese responses, provide useful suggestions for firms in China. To use external IT capability to improve open innovation performance, firms should not only stress the role of external knowledge integration but also consider their search strategy.Originality/valueBoth researchers and practitioners are interested in the relationship between information technology and open innovation. However, the way in which the inner mechanism of external IT capability affects open innovation performance has not been thoroughly researched. Based on knowledge integration theory, the authors construct a model that includes external IT capability, external knowledge integration, search strategy and open innovation performance. The results of this paper confirm the mediating and moderating roles of external knowledge integration and search strategy, respectively.

ASSESSING THE OPEN INNOVATION TRENDS BY MEANS OF THE EUROSTAT COMMUNITY INNOVATION SURVEY

2016 ◽  
Vol 20 (03) ◽  
pp. 1650039 ◽  
Author(s):  
LIVIO CRICELLI ◽  
MARCO GRECO ◽  
MICHELE GRIMALDI
Keyword(s):  
Open Innovation ◽  
Large Scale ◽  
Innovation Performance ◽  
Scale Analysis ◽  
Community Innovation Survey ◽  
External Knowledge ◽  
Large Scale Analysis

Many authors showed the benefits of open innovation (OI) to firms, consequently encouraging managers to adopt the OI paradigm to improve innovation performance. Nevertheless, whether firms have accepted such exhortations or not is almost empirically unexplored. The frequent claim that firms are increasingly adopting the OI paradigm is mostly anecdotal. This paper presents a large-scale analysis of firms’ OI adoption by means of four waves of the community innovation survey, including 275,697 questionnaires. The analysis focuses on the trends in the use of inbound (internal use of external knowledge) and coupled (collaboration with partners) OI approaches. The results confirm that the share of firms adopting the OI paradigm has increased, both in terms of inbound and coupled OI actions. Similarly, firms have intensified the use of the inbound OI mode, whereas they have not intensified the use of collaborations. However, the analyses of different measures of OI show that in most cases the positive trends have not been monotonic, nor steep as they are anecdotally considered to be.

EXPLORING OPEN SEARCH STRATEGIES AND THEIR PERCEIVED IMPACT ON INNOVATION PERFORMANCE—EMPIRICAL EVIDENCE

2011 ◽  
Vol 15 (03) ◽  
pp. 525-541 ◽  
Author(s):  
KAISA HENTTONEN ◽  
PAAVO RITALA ◽  
TIINA JAUHIAINEN
Keyword(s):  
Empirical Evidence ◽  
Open Innovation ◽  
Search Strategies ◽  
Innovation Performance ◽  
Cross Sectional ◽  
Innovative Performance ◽  
External Knowledge ◽  
Market Driven ◽  
Perceived Impact ◽  
The Relationship

Given Chesbrough's idea of open innovation, it could be said that external knowledge is an important element in the optimisation of in-house innovation. External knowledge is distributed among various actors and is accessible through many channels. However, we still do not know much about the search strategies that affect innovation performance. Our study therefore explores the relationship between open knowledge search strategies and company-level innovative performance. This study examines the open search strategies of 193 firms on the basis of cross-sectional data from Finnish markets. We identified four specific strategies, namely (1) market-driven, (2) science-driven, (3) intermediary-driven and (4) generic-knowledge-driven. According to the results, all except intermediary-driven strategies positively affect innovation performance.

Open and closed knowledge sourcing

2017 ◽  
Vol 117 (6) ◽  
pp. 1166-1184 ◽  
Author(s):  
Juyeon Ham ◽  
Byounggu Choi ◽  
Jae-Nam Lee
Keyword(s):  
Open Innovation ◽  
Small And Medium Enterprises ◽  
Innovation Performance ◽  
Knowledge Sourcing ◽  
Content Type ◽  
External Knowledge ◽  
Negative Effect ◽  
Medium Enterprises ◽  
The Relationship ◽  
Internal Knowledge

Purpose Many studies have investigated the relationship between the adoption of open innovation and performance in large firms. However, limited research is available with regard to the use of open innovation in small and medium enterprises (SMEs). SMEs are important because of their contribution to innovation in almost all economies. The purpose of this paper is to extend the current literature by focusing on SMEs. Using complementarity and knowledge-based theories, this study develops three hypotheses to identify the effect of knowledge sourcing approaches for innovation on SMEs’ innovation performance. Design/methodology/approach Surveys collected from 196 SMEs in Korea were analyzed using the supermodularity function to test the hypotheses. Findings Results indicate that an external knowledge-oriented approach has no significant effect, whereas an internal knowledge-oriented (i.e. closed) approach has a positive effect on innovation performance. Interestingly, this study found that open innovation has a negative effect on SMEs’ innovation performance (i.e. both internal knowledge-oriented and external knowledge-oriented approaches have a substitutive relationship). Originality/value This study sheds new light on open innovation and knowledge management research by identifying the relationship between knowledge sourcing approaches for innovation, and innovation performance in SMEs. Practical implications highlight that open innovation could impede SMEs’ innovation performance.

scholarly journals SEARCHING WIDELY OR DEEPLY? THE IMPACT OF OPEN INNOVATION ON INNOVATION AND INNOVATION PERFORMANCE AMONG INDONESIAN MANUFACTURING FIRMS

2018 ◽  
Vol 33 (2) ◽  
pp. 123
Author(s):  
Arif Hartono ◽  
Ratih Kusumawardhani
Keyword(s):  
Technological Innovation ◽  
Open Innovation ◽  
Innovation Process ◽  
Manufacturing Firms ◽  
Innovation Performance ◽  
External Knowledge ◽  
Process Innovations ◽  
Innovation Surveys ◽  
External Sources ◽  
The Impact

Since the term Open Innovation (OI) was coined by Henry Chesbrough in 2003, OI studies have been frequently conducted. Surprisingly, OI insights, in the context of Indonesian firms, are scarce. Furthermore, there are no existing OI studies that use data derived from innovation surveys. Hence, this study attempts to close the gap in the literature, by providing insights into Indonesian firms’ openness toward external knowledge, and its impact on innovation performance. The main aim of this study is to investigate the impact of OI practices on Indonesian manufacturing firms’ propensity to innovate (i.e. their product, process, organization, and marketing) and innovation performance. Product and process innovations are grouped under the term technological innovation, while organization and marketing innovations are classified as non-technological innovation. Data used in this study were derived from the Indonesia Innovation Survey (IIS) 2011 that covered the period from 2009-2010. Following Laursen and Salter’s (2006) study, OI indicators consist of external search breadth (i.e. the number of external sources or search channels that firms rely upon in their innovative activities) and depth (the extent to which firms draw deeply from the different external sources or search channels) in innovation process. Undertaking logistic and tobit regressions, this study shows that in general, both breadth and depth significantly and positively affect technological and non-technological innovation, as well as innovation performance. However, the over-search on external knowledge, measured by breadth squared and depth squared, negatively and significantly influence innovation and innovation performance. This indicates that too much external knowledge, sourced during the innovation process will diminish the return of innovation. This study also finds an indication of a complementary relationship existing between internal R&D and external knowledge; meaning that the implementation of one knowledge-sourcing strategy (either sourcing from internal R&D or external knowledge) increases the marginal returns from another. Lastly, important implications related to theoretical and innovation strategies are proposed. 

Linking open innovation, innovation barriers and performance of Indonesian firms

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Arif Hartono ◽  
Abdur Rafik
Keyword(s):  
Open Innovation ◽  
Innovation Performance ◽  
Content Type ◽  
Barriers To Innovation ◽  
External Knowledge ◽  
Wide Range ◽  
Innovation Barriers ◽  
Knowledge Search ◽  
The Impact ◽  
Firm Openness

Purpose This study aims to examine open innovation that consists a wide range of external knowledge search activities, such external search breadth and depth, external R&D, cooperation and acquisition activities, as a response to different innovation barriers faced by Indonesian firms. Design/methodology/approach Data are derived from Indonesia innovation survey. Exploratory factor analysis is used to identify and combine innovation barriers variables. Ordered logistic estimation is used to measure the impact of innovation barriers on firm openness decision. Logistic regression is used to measure the impact of innovation barriers on firm openness indicators such as external R&D, cooperation and acquisition as the variables are binary. Finally, Tobit regression is used to measure the impact of firm openness decision on innovation performance. Findings The main findings indicate that different barriers to innovation lead to different firms’ openness decisions, and different decisions on openness have differentiated influence on innovation performance. Originality/value This study contributes to the innovation barrier literature by empirically testing whether experiencing barriers to innovation is associated with a broader external knowledge search activity. Previous studies tend to link innovation barriers with a narrow activity as indicated by external knowledge searching widely and deeply.

Effect of networks on product innovation: empirical evidence from Indonesian SMEs

2013 ◽  
Vol 1 (2) ◽  
pp. 140-158 ◽  
Author(s):  
Nurul Indarti ◽  
Theo Postma
Keyword(s):  
Empirical Evidence ◽  
Product Innovation ◽  
Dynamic Effects ◽  
Depth Of Knowledge ◽  
External Knowledge ◽  
Software Firms ◽  
Using Data

Innovative companies generally establish linkages with other actors and access external knowledge in order to benefit from the dynamic effects of interactive processes. Using data from 198 furniture and software firms in Indonesia, this study shows that the quality of interaction (i.e. multiplexity) as indicated by the depth of knowledge absorbed from various external parties and intensity of interaction (i.e., tie intensity) are better predictors of product innovation than the diversity of interaction.

scholarly journals Effects of Emerging-Economy Firms’ Knowledge Acquisition from an Advanced International Joint Venture Partner on Their Financial Performance Based on the Open Innovation Perspective

2021 ◽  
Vol 7 (1) ◽  
pp. 67
Author(s):  
Choo Yeon Kim ◽  
Eun-Hwa Seo ◽  
Canisha Booranabanyat ◽  
Kwangsoo Kim
Keyword(s):  
Financial Performance ◽  
Knowledge Acquisition ◽  
Absorptive Capacity ◽  
Open Innovation ◽  
Joint Venture ◽  
Emerging Economy ◽  
Innovation Performance ◽  
Mediation Effect ◽  
International Joint Venture ◽  
International Joint

Although emerging-economy firms (E-E firms) must have a keen interest in improving their performance by utilizing knowledge transferred from their advanced international joint venture (IJV) partner, there has been little research on the performance implications of E-E firms’ knowledge transferred from their advanced IJV partner. So, drawing on open innovation and organizational learning perspectives, we examine whether, how, and when E-E firms’ knowledge acquisition from their IJV partner has a positive impact on their financial performance. Based on data collected from 127 Thai manufacturing firms with a local IJV partnered with an advanced overseas firm, our results reveal that E-E firms’ knowledge acquisition from their IJV partner has an overall positive influence on their financial performance in terms of growth and profitability. Our results further show that innovation performance mediates the relationship between E-E firms’ knowledge acquisition and their financial performance based on a moderated mediation analysis including innovation performance as a mediator and absorptive capacity as a moderator. It is also found that the positive mediation effect of innovation performance is more pronounced in the presence of higher absorptive capacity than otherwise. That is, our results show that even among E-E firms which have acquired much knowledge from their IJV partner, those with higher absorptive capacity achieve better innovation performance than those with lower absorptive capacity, and improved innovation performance subsequently contributes to producing superior financial performance. The key conclusions, implications, and limitations of our study are presented based on these findings.

scholarly journals Bridging the gap: integrating external knowledge from open innovation platforms

2021 ◽  
Vol 1 (7) ◽  
Author(s):  
Marion A. Weissenberger-Eibl ◽  
Tim Hampel
Keyword(s):  
Open Innovation ◽  
Knowledge Integration ◽  
Organizational Factors ◽  
Project Teams ◽  
Negative Attitudes ◽  
Organizational Resistance ◽  
External Knowledge ◽  
Positive Effects ◽  
Innovation Activities ◽  
Project Level

AbstractWhile external knowledge has the potential to benefit a firm’s innovation activities, research shows that the positive effects of a more open model of innovation do not come naturally. This paper draws on the project level to explore the organizational factors that hamper or impede the integration of external knowledge sourced from an open innovation platform and to suggest interventions to overcome these barriers. While open innovation is mainly discussed as a concept that resides at the level of the organization, this paper draws on the project level to contribute to a multi-level understanding of open innovation and to offer a deeper understanding of the challenges project teams face, when integrating external knowledge. To investigate occurring barriers, four cases of external knowledge integration within a multinational corporation are analyzed. The results show that due to the external nature of the knowledge, an additional effort of project teams is required such as forming alliances with key individuals and changing negative attitudes towards external sources to overcome organizational resistance. Theoretical as well as practical implications are discussed.

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