scholarly journals Resource-Based Product and Process Innovation Model: Theory Development and Empirical Validation

2020 ◽  
Vol 12 (3) ◽  
pp. 913 ◽  
Author(s):  
Young Sik Cho ◽  
Kevin Linderman
Keyword(s):  
Product Life Cycle ◽  
Structural Equation ◽  
The United States ◽  
Process Innovation ◽  
Market Condition ◽  
Equation Modeling ◽  
Empirical Validation ◽  
Product And Process Innovation ◽  
Innovation Model ◽  
Product And Process

Using a resource-based approach to innovation, this study proposes an alternative innovation model to the existing market-based Product Life Cycle (PLC) model. In particular, this study explores how the attributes of corporate strategic resources affect product and process innovation patterns. This study covers the development of new theory, as well as the empirical validation of the innovation model proposed in this study. Based on survey data from 257 chief operations officers in the United States, the ‘resource-based innovation model’ was tested and validated through various analytical methods, such as clustering, discriminant, and structural equation modeling analysis. The main findings are that (1) companies relying on both knowledge-based resources (KBR) and property-based resources (PBR) tend to focus on product and process innovation at the same time, (2) companies relying heavily on KBR tend to centralize their efforts for process innovation rather than product innovation, (3) companies with low reliance on KBR and PBR tend to minimize R&D efforts in product and process innovation, and (4) in a dynamic market condition, process innovations serves as order winners, while product innovations serves as order winners in a stable market. This research contributes to the operational management literature by proposing a new resource-based innovation algorithm that helps to understand innovation phenomena that are difficult to explain through the lens of the PLC-based innovation paradigm.

Innovation capabilities for global R&D projects in subsidiaries

2019 ◽  
Vol 22 (4) ◽  
pp. 639-659 ◽  
Author(s):  
Elisangela Lazarou Tarraço ◽  
Roberto Carlos Bernardes ◽  
Felipe Mendes Borini ◽  
Dennys Eduardo Rossetto
Keyword(s):  
Emerging Markets ◽  
Multinational Corporations ◽  
Structural Equation ◽  
Emerging Market ◽  
Process Innovation ◽  
Equation Modeling ◽  
Foreign Subsidiaries ◽  
Content Type ◽  
Product And Process Innovation ◽  
Product And Process

Purpose Is the development of local innovation capabilities enough for foreign subsidiaries in emerging markets to be able to integrate into global R&D projects? The authors argue that it is not. The purpose of this paper is to show the central role of R&D capacities when it comes to inserting foreign subsidiaries in emerging markets into global R&D projects. Design/methodology/approach The study investigated 131 foreign multinational subsidiaries operating in Brazil. For each subsidiary, the authors surveyed two to five directors or C-level executives from innovation, R&D, engineering, product development and projects. the authors used structural equation modeling for analysis. Findings The results indicate that product and process innovations alone do not guarantee the insertion of the emerging market subsidiaries into global innovation projects. Such insertion depends on the subsidiary’s accumulation of R&D capacities. Practical implications The results reinforce the central issue of building product and process innovation capabilities as the first step toward a blueprint for global projects. However, the effort is not limited to these initiatives. Product and process innovation efforts need be reverted in headquarters’ eyes in order for subsidiaries to gain R&D center status. To achieve this, subsidiaries must align their technological innovations with multinational corporations’ innovation strategies. Originality/value In authors’ view, this study contributes to the literature in three main areas: the evolutionary process of innovation capability in subsidiaries, the reverse innovation debate and the discussion of subsidiaries’ initiatives.

The roles of external embeddedness and institutional distance in the subsidiary product/process innovation and R&D capacity

2020 ◽  
Vol 24 (10) ◽  
pp. 2513-2530
Author(s):  
Cristina Doritta Rodrigues ◽  
Felipe Mendes Borini ◽  
Muhammad Mustafa Raziq ◽  
Roberto Carlos Bernardes
Keyword(s):  
Structural Equation ◽  
Process Innovation ◽  
Institutional Distance ◽  
Equation Modeling ◽  
Content Type ◽  
Product And Process Innovation ◽  
Subsidiary Innovation ◽  
Product And Process ◽  
External Embeddedness ◽  
The Relationship

Purpose This study aims to look at the relationship of external embeddedness and institutional distance (governance aspects) with the foreign subsidiary research and development (R&D) capacity. Furthermore, it examines whether these relationships are mediated by subsidiary product and process innovation, and whether institutional distance plays a moderating role in the relationship between subsidiary innovation and R&D capacity. Design/methodology/approach The authors draw on survey data from 130 foreign subsidiaries operating in Brazil and test their model using variance-based structural equation modeling. Findings Results suggest that subsidiary (product and process) innovation fully mediates the relationships between: subsidiary external embeddedness and R&D capacity; and institutional distance and subsidiary R&D capacity, such that the relationship is positive in case of the former and negative in case of the latter. The relationship between subsidiary product and process innovation and R&D capacity is positive and stronger at lower levels of institutional distance. Originality/value The research ignores the underlying mechanisms of the external embeddedness and institutional distance relationship with subsidiary R&D capacity. Furthermore, institutional distance based on formal governance aspects and their impacts on subsidiary innovation and R&D capacity are rarely investigated. This paper contributes with regard to these aspects.

scholarly journals Transformational leadership and employee voice for product and process innovation in SMEs

2021 ◽  
Vol 18 (1) ◽  
pp. 69-89
Author(s):  
Muhammad Athar Rasheed ◽  
Khuram Shahzad ◽  
Sajid Nadeem
Keyword(s):  
Transformational Leadership ◽  
Product Innovation ◽  
Structural Equation ◽  
Process Innovation ◽  
Employee Voice ◽  
Equation Modeling ◽  
Content Type ◽  
Product And Process Innovation ◽  
Product And Process ◽  
The Impact

Purpose This study aims to investigate the impact of transformational leadership on the innovation of small and medium enterprises (SMEs) through employee voice behaviors. Drawing from the upper echelon theory, it is hypothesized that employee voice is the mediating mechanism through which transformational leadership affects the process and product innovation in SMEs. Design/methodology/approach Data was collected from 169 SMEs of Pakistan through an online self-administered questionnaire. The proposed hypotheses were tested using partial least squares structural equation modeling (PLS-SEM). Findings Findings confirm that transformational leadership positively affects both process and product innovation in SMEs and employee voice behavior mediates between these relationships. Originality/value This research contributes to both theoretical and practical domains by providing evidence that encouraging employees to raise their voice positively impacts product and process innovation and transformational leadership is a potential organizational factor to shape employee voice and process and product innovation. To the best knowledge, this is the first study that investigates the mediating role of employee voice between transformational leadership and process and product innovation in SMEs and developing country’s context.

Effect of Coopetitive Activity on Innovation and Management Performances in the Structural Context

2019 ◽  
Vol 24 (2) ◽  
pp. 365-384 ◽  
Author(s):  
Yongrae Cho ◽  
Choonghyun Lee
Keyword(s):  
Regression Model ◽  
Structural Equation ◽  
Business Environment ◽  
Process Innovation ◽  
Equation Model ◽  
Sustainable Growth ◽  
Structural Context ◽  
Innovation Activities ◽  
Product And Process Innovation ◽  
Product And Process

This study intends to demonstrate whether firms’ cooperative activities, particularly ‘coopetition’, affect business performances. Coopetition, which is cooperation with competitors, is a strategic concept that suggests competition and cooperation between firms can exist simultaneously. More specifically, in order to investigate cooperation as a part of innovation mechanism, this study analysed the mediating effects of product and process innovation performances in between cooperative activities and management performances. For this purpose, we applied a structural equation model (SEM) by integrating a regression model and a logistic regression model. The former analysed the effects of cooperation and innovation on management performances, whereas the latter studied influence of cooperation on innovation performances. For empirical analysis, we utilised data from Korea Innovation Survey (KIS), which incorporates information on Korean firm’s innovation activities and their relevant performances. The results from this study can be applied to addressing and diagnosing issues in Korean industries by analysing relationships among cooperative activities, innovation outcomes and management performances in the structural context. The analysis showed that coopetition, compared to other types of cooperation, has enhanced the performance of process innovation. Furthermore, the analysis demonstrated that cooperation related positively to management performances. This study, however, also addresses the problem that Korean firms have limitations in linking these innovation performances to actual management performances of financial growth. The results highlight the significance of strategic openness and flexibility, even to competitors, as the business environment and technology market may change drastically. Coopetition strategy can work as a facilitator in providing windows of opportunity for sustainable growth through field-based innovation.

scholarly journals Influences of Organizational Factors on Organizational Capability for Innovation: An empirical Study from Vietnamese Firms

2021 ◽  
Keyword(s):  
Transformational Leadership ◽  
Product Innovation ◽  
Organizational Factors ◽  
Process Innovation ◽  
Equation Modeling ◽  
Collaborative Culture ◽  
Innovation Capability ◽  
Organizational Capability ◽  
Product And Process Innovation ◽  
Product And Process

Given the key role of organizational factors for improving firm’s innovation capability, the purpose of this study is to explore the level of influence of organizational factors namely transformational leadership (TL), human resource management (HRM) practice and collaborative culture on two aspects of organizational innovation capability namely product and process innovation. The paper has developed a proposal research model and applied Structural Equation Modeling (SEM) to test research hypotheses using data collected from 168 participants in 51 Vietnamese firms. The findings of this study confirm the significant impacts of key organizational factors on firm’s capabilities for product and process innovation. Especially, the empirical findings reveal that TL has a greater impact on process innovation. In contrast, collaborative culture has more significant influence on product innovation. The findings of this study have significantly contributed to increasing the insight of the link between key organizational factors and specific aspects of innovation capability. Moreover, it provides a specific and effective pathway for Vietnamese firms to pursuit and foster each specific aspect of organizational capability for innovation. Keywords: Transformational Leadership, HRM Practice, Collaborative Culture, Product Innovation, Process Innovation, Innovation Capability

Strategic drivers for product and process innovation

2019 ◽  
Vol 27 (3) ◽  
pp. 1159-1187 ◽  
Author(s):  
Julio Cesar Ferro De Guimarães ◽  
Eliana Andréa Severo ◽  
Domingos Fernandes Campos ◽  
Walid Abbas El-Aouar ◽  
Fabiana Lucena Bezerra de Azevedo
Keyword(s):  
Organizational Performance ◽  
Structural Equation ◽  
Equation Modeling ◽  
Sustainable Competitive Advantage ◽  
Content Type ◽  
Process Innovations ◽  
Managerial Decisions ◽  
Innovation Product ◽  
Product And Process Innovation ◽  
Product And Process

Purpose The organizations need to use strategic drivers such as market orientation (MO) and knowledge management (KM) for the development of product and process innovations, which can become a major source of sustainable competitive advantage (SCA). However, there is a gap in the use of these precepts, specifically in Brazilian companies. The purpose of this paper is to measure the relationship among MO, KM orientation, innovation (product and process), SCA and organizational performance (OP). Design/methodology/approach The research was developed through a survey in 1,072 companies from the industrial manufacturing, commerce and services activity sectors. For the analysis of data, the study used the structural equation modeling method. Findings This study contributes to managerial decisions in the choice of investment in strategic drivers and innovation, to obtain competitive advantages and economic gains. The results highlight that companies that use market information have formal structures to support innovation processes achieving more successful results. Research limitations/implications The framework proposed in this research can be used for different industries and segments. Originality/value The theoretical value of this paper is the contribution to the literature with the provision of a framework to analyze the strategic drivers, which are antecedents of innovation in different sectors of activity and in different sizes of companies. It is highlighted as managerial contributions, that the study identified evidence that organizations seek a superior OP to the competitor, creating competitive differentials that result in SCA.

Relationship between quality management, innovation and competitiveness. Evidence from Greek companies

2015 ◽  
Vol 26 (8) ◽  
pp. 1177-1200 ◽  
Author(s):  
Dimitrios Kafetzopoulos ◽  
Katerina Gotzamani ◽  
Vasiliki Gkana
Keyword(s):  
Factor Analysis ◽  
Quality Management ◽  
Competitive Advantage ◽  
Structural Equation ◽  
Process Innovation ◽  
Dimensional Structure ◽  
Sustainable Competitive Advantage ◽  
Content Type ◽  
Product And Process Innovation ◽  
Product And Process

Purpose – The purpose of this paper is to examine the extent to which five core dimensions of quality management, as a single factor, are associated with product innovation and process innovation; and finally how these two affect a firm’s competitive advantage in the market. Design/methodology/approach – The analysis followed in order to investigate the relations between the constructs of the proposed model, includes an initial exploratory factor analysis (EFA), followed by confirmatory factor analysis (CFA) and finally structural equation modelling (SEM) Findings – According to the study findings, quality management (QM) directly contributes to product and process innovation. Furthermore, product and process innovation have a direct impact on companies’ competitive advantage. Thus, the study proves that QM is an opportunity for a firm to improve its innovation and consequently its competitiveness. Research limitations/implications – This study relies on the perceptions of the respondents to operationalize the survey instrument. In addition, all variables are measured in the year that the survey was carried out. However, since the research exams the relationship between QM, technical innovation and competitive advantage across various organizations, it would be interesting to conduct a longitudinal study within these organizations. Practical implications – Our study offers clear implications for managers, proving that they should give higher emphasis on QM and innovation in order to prioritize their product, production and technology strategies, to achieve sustainable competitive advantage. Originality/value – Based on the multi-dimensional structure of QM, this empirical study determines the contribution of QM to specific innovation performance and overall competitiveness of companies.

scholarly journals Mediating Role of Firm R&D in Creating Product and Process Innovation: Empirical Evidence from Norway

Economies ◽  
2021 ◽  
Vol 9 (2) ◽  
pp. 56
Author(s):  
Yee Yee Sein ◽  
Viktor Prokop
Keyword(s):  
Product Innovation ◽  
Structural Equation ◽  
Triple Helix ◽  
Public Funding ◽  
Process Innovation ◽  
Government Funding ◽  
Quadruple Helix ◽  
Product And Process Innovation ◽  
Product And Process

Government funding actively engages in private R&D investment to enhance firm innovation. At the same time, firms are forced to find additional sources of competitive advantage, e.g., through cooperation based on the triple- or quadruple-helix principles. This paper analyses whether government funding and cooperation based on the triple-helix and quadruple-helix principles spur firms’ product and process innovation rather directly or indirectly, taking into account the role of firms R&D. For this purpose, we collect data from the Community Innovation Survey and analyse 5045 Norwegian firms by using partial least squares structural equation modelling. Our results confirm hypotheses that public funding and both triple-helix and quadruple-helix cooperation significantly influence firms’ research and development activities. Surprisingly, on the one hand, we showed that neither public funding nor triple- and quadruple-helix cooperation affect firms’ product innovation directly. Moreover, the results show a negative influence of government funding and triple- and quadruple-helix cooperation on Norwegian firms’ product innovation. On the other hand, process innovation is influenced positively and directly by firms’ cooperation based on the triple- and quadruple-helix principles. The results of our analyses clearly show the key role of firm’s R&D, which has proven to be a mediator of the effects of public funding and triple- and quadruple-helix cooperation on the product and process innovation activities of Norwegian firms.

scholarly journals Relação entre gestão do conhecimento e inovação na cadeia produtiva da maçã

2020 ◽  
Vol 12 ◽  
pp. 1061
Author(s):  
Gabriela Zanandrea ◽  
Maria Emilia Camargo ◽  
Priscila Bresolin Tisott ◽  
Angela Isabel dos Santos Dullius
Keyword(s):  
Knowledge Management ◽  
Structural Equation ◽  
Strong Support ◽  
Equation Modeling ◽  
Production Chain ◽  
Management Processes ◽  
Product And Process Innovation ◽  
Apple Production ◽  
Product And Process ◽  
Quantitative Descriptive

The constant changes which have shaped the companies environment have mobilized researchers to investigate the factors that lead them to innovate and reach higher levels of performance. In this context, knowledge management has been considered as a driving force for development and crucial for innovation. However, little attention has been paid to the use of these concepts in the agribusiness sector. Thus, this study aimed to analyze the relationship between knowledge management processes and innovation in the apple production chain in the Southern Region of Brazil from the links of production and packing-houses. For that, a quantitative, descriptive study was carried out through a survey with 166 actors of the apple production chain, whose analysis was made using the structural equation modeling technique. The results obtained provided strong support for the hypothesized relation, which showed that knowledge management significantly influences both product and process innovation. The conclusions of this study provide a theoretical and empirical basis for a better understanding of the importance of knowledge management and innovation to improve the performance of the apple production chain.

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