Modes of Open Innovation in Service Industries and Process Innovation

2013 ◽  
pp. 15-36 ◽  
Author(s):  
Sean Kask
Keyword(s):  
Open Innovation ◽  
Fixed Effects ◽  
Manufacturing Sector ◽  
Process Innovation ◽  
Service Firms ◽  
Policy Makers ◽  
Product And Process Innovation ◽  
External Sources ◽  
Product And Process ◽  
External Sources Of Knowledge

This broad study empirically compares the returns to different open innovation approaches, namely forms of pecuniary acquisition and non-pecuniary sourcing, on both product and process innovation in low-tech service and manufacturing firms. A fixed-effects analysis reveals differing patterns of the effectiveness of open innovation strategies across sectors and type of innovation outcome, along with decreasing returns from being “too open”. In general, the purchase of intangible intellectual property and broad search breadth have greater effects on product innovation, whereas the returns to knowledge embodied in physical artefacts and to drawing deeply from external sources are greater for process innovation. Overall, external sources of knowledge more strongly predict innovation in low-tech service firms than in the manufacturing sector. The final section considers implications for managers and policy makers.

Modes of Open Innovation in Service Industries and Process Innovation

2012 ◽  
pp. 137-158
Author(s):  
Sean Kask
Keyword(s):  
Open Innovation ◽  
Fixed Effects ◽  
Manufacturing Sector ◽  
Process Innovation ◽  
Service Firms ◽  
Policy Makers ◽  
Product And Process Innovation ◽  
External Sources ◽  
Product And Process ◽  
External Sources Of Knowledge

This broad study empirically compares the returns to different open innovation approaches, namely forms of pecuniary acquisition and non-pecuniary sourcing, on both product and process innovation in low-tech service and manufacturing firms. A fixed-effects analysis reveals differing patterns of the effectiveness of open innovation strategies across sectors and type of innovation outcome, along with decreasing returns from being “too open”. In general, the purchase of intangible intellectual property and broad search breadth have greater effects on product innovation, whereas the returns to knowledge embodied in physical artefacts and to drawing deeply from external sources are greater for process innovation. Overall, external sources of knowledge more strongly predict innovation in low-tech service firms than in the manufacturing sector. The final section considers implications for managers and policy makers.

scholarly journals The Influence of Organizational Absorptive Capacity on Product and Process Innovation

Organizacija ◽  
2008 ◽  
Vol 41 (2) ◽  
pp. 43-49 ◽  
Author(s):  
Nika Murovec ◽  
Igor Prodan
Keyword(s):  
Absorptive Capacity ◽  
Positive Impact ◽  
Process Innovation ◽  
Positive Influence ◽  
External Information ◽  
Organizational Research ◽  
Policy Makers ◽  
The Past ◽  
Product And Process Innovation ◽  
Product And Process

The Influence of Organizational Absorptive Capacity on Product and Process InnovationThe innovativeness of an organization has an important impact on its profitability as well as on the competitiveness of a country's economy as a whole. Since the innovativeness of Slovenian organizations is low, it is important that managers and industrial policy makers know which factors influence an organizations' innovation. One of these factors is supposed to be the organizational absorptive capacity. Absorptive capacity is one of the most important concepts that have emerged in the field of organizational research in the past years. Absorptive capacity is defined as the set of organizational routines and processes through which an organization identifies and values new external information, and then acquires it, assimilates it and applies it to commercial ends. The results of this research confirm the strong and positive impact of Slovenian organizations' absorptive capacity on process innovation and the even bigger positive influence on the organizations' product innovation.

scholarly journals Absorptive capacity in low-tech industry: Case Study of Indonesian Manufacturing Companies

2018 ◽  
Vol 215 ◽  
pp. 02005
Author(s):  
Lutfah Ariana ◽  
Indri Juwita Asmara
Keyword(s):  
Absorptive Capacity ◽  
Open Innovation ◽  
Technology Development ◽  
Manufacturing Sector ◽  
Manufacturing Companies ◽  
Art And Design ◽  
Innovation Activities ◽  
External Sources ◽  
The Difference ◽  
External Sources Of Knowledge

Innovation has widely recognized as an important factor for driving competitiveness of many firms. In order to generate innovative performances, firms need to improve their capabilities in absorbing knowledge and technology from external sources, which is so called absorptive capacity. This paper will analyze what kind of sources of innovation in manufacturing sectors especially for low tech industries. Focusing on innovation activities, this paper aims to identify what kind of determinants in influencing the difference of absorptive capacity in low tech industries. The source of data is derived from Innovation Survey 2011 held by Center for Science and Technology Development Studies. The survey conducted for 1360 firms in manufacturing sector, in which most of the distribution is mainly consisted of low technology sectors. Instead of quantitative approach, the result is also supported by in depth interview from selected firms observed in 2013. This paper addresses multiple case studies as the qualitative approach, including firms in food and beverages, and jewelry art and design. According to the results, most of low tech companies searched their external sources of knowledge from their market, and customers were the main driver for their innovation output. In respond to this situation, this paper proposes an idea of open innovation for enhancing industrial competitiveness. As policy insights, the sources of competitive advantage in an open innovation setting will encourage the firm to the internal organizational processes that allow a firm to recognize, assimilate and exploit knowledge.

scholarly journals Product and process innovation in manufacturing firms: a 30-year bibliometric analysis

2017 ◽  
Vol 113 (2) ◽  
pp. 673-704 ◽  
Author(s):  
Giacomo Marzi ◽  
Marina Dabić ◽  
Tugrul Daim ◽  
Edwin Garces
Keyword(s):  
Bibliometric Analysis ◽  
Process Innovation ◽  
Manufacturing Firms ◽  
Product And Process Innovation ◽  
Product And Process

Knowledge Acquisition, Knowledge Application, and Innovation Towards the Ability to Adapt to Change

2018 ◽  
Vol 14 (2) ◽  
pp. 1-15 ◽  
Author(s):  
Lejla Turulja ◽  
Nijaz Bajgorić
Keyword(s):  
Knowledge Management ◽  
Knowledge Acquisition ◽  
Business Performance ◽  
Process Innovation ◽  
Mediating Effect ◽  
Knowledge Application ◽  
Complex Concept ◽  
Individual Knowledge ◽  
Product And Process Innovation ◽  
Product And Process

The objective of article is to provide important empirical evidence to support the role of individual knowledge management processes and separate innovation types within firms. Specifically, knowledge acquisition and knowledge application are analyzed and empirically tested in relation to product and process innovation as well as business performance. The results support the direct impact of product and process innovation on business performance. In addition, the results show the indirect effect of knowledge acquisition and knowledge application on firm business performance through product and process innovation. Although KM represents a complex concept of knowledge management in a firm and can contain more processes, this article confirms that KM processes individually contribute to the innovation and indirectly on business performance. Besides, it confirms mediating effect of innovation between both knowledge acquisition and knowledge application and organizational business performance. In addition, most of the similar studies have been focused on the developed Western countries.

Cooperation and competition among subsidiaries in a business group: their impacts on innovation

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Donghong Li ◽  
Zhenning Yang ◽  
Pengcheng Ma ◽  
Hang Chen
Keyword(s):  
Business Group ◽  
Ordinary Least Squares ◽  
Process Innovation ◽  
Least Squares Regression ◽  
Content Type ◽  
Cooperation And Competition ◽  
Group Cooperation ◽  
Group Competition ◽  
Product And Process Innovation ◽  
Product And Process

PurposeThe purpose of this paper is to document the relationship between intra-group coopetition and subsidiaries' innovation performance and the moderating impact of the intensity of external competition.Design/methodology/approachData were collected from 75 subsidiaries in China through a questionnaire survey of their R&D and general managers. The total number of individual respondents was 205. We tested our hypothesis by using ordinary least squares regression.FindingsIntra-group cooperation was found to promote a subsidiary's performance in product and process innovation. Intra-group competition was found to have a U-shaped relationship with product and process innovation. Intra-group cooperation strengthens the U-shaped relationship between intra-group competition and process innovation.Research limitations/implicationsThis study involved firms from more than one industry. Studies of specific industries might reach more specific conclusions. And all of the data were self-reported by the managers of the firms concerned. Future studies would be well-advised to consider more objective data describing pairs of parent firms and subsidiaries.Practical implicationsSubsidiaries ought to build their internal networks to cooperate with each other. That can bring significant advantages in terms of information and synergy in innovation. Subsidiaries are also suggested to take full advantage of the opportunities that intra-group competition brings.Originality/valueThis study is the first one to explore coopetition phenomenon in the context of business group. By taking Chinese business group subsidiaries as the research samples, this research not only extends the coopetition research but also reveals that cooperation and competition are co-existed and exert influence in subsidiaries.

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