Organisational change, technology, employment and skills: an empirical study of French manufacturing

This paper analyses the correlations between technological change,organisational change and skill change using a survey on organisationalchange in manufacturing firms conducted in 1993. Considerablediversity is allowed for in terms of the measure of technologicaland organisational change, and the analysis shows a positivecorrelation between technological change and reorganisations,whatever their types. The paper then analyses the relationshipsbetween these changes and the employment behaviour of firms.It shows that changes in the required skills and in the occupationalstructure of firms are more closely connected to organisationalthan to technological change. Although organisational changeaffects the work content and skill requirements of blue collarworkers, it is mainly indirect workers that are affected interms of the number employed. Finally, the analysis shows thattechnology tends to stabilise the workforce whereas the movetowards the model of ‘flexible enterprise’ favoursits renewal.     

The Impact of Competition and Trade Unions on Workplace Reform and Organisational and Technological Change

This article addresses two research questions, firstly to test the hypothesis that organisational and technological changes are more likely to occur in the traded goods sector, in the private sector relative to the public sector and in more competitive product markets. Secondly, to examine whether trade unions have a positive or negative effect on the implementation of different types of workplace reforms, and organisational and technological changes. The analysis supports the hypothesis that workplaces in the traded goods sector are more likely to implement organisational and technological changes. It also indicates that workplaces in the private sector are more likely to implement certain types of reforms, whereas workplaces in the public sector are more likely to implement others. However, this study does not provide conclusive evidence that competitive pressure in product markets increases the probability that a firm will implement each workplace reform mentioned in this study. The evidence on unions provides tentative support to the view that more unionised workplaces are less likely to implement the reforms in question.     

Technological Innovativeness and Firm Performance in Slovenia and Romania

This study contributes to a better understanding of performance induced by technological innovativeness by developing and testing a model. The model clarifies the nature of the influence of technological innovativeness and its organisational and inter-organisational antecedents (organisational support for innovativeness and technological alliances) on firm growth, profitability and wealth creation. Survey data were collected from firms in two countries: Slovenia and Romania; structural equation modelling was employed to test the model and the hypothesised relationships. Support for most of the model hypotheses was found. Among the control elements in the model, country, industry technological opportunities and firm age were found to be the most influential.     

The impact of old technologies on innovation: the case of the US biotechnology industry

This paper investigates the implications of a technology sourcing strategy maintaining a focus on the rediscovery of old technologies. Specifically, we study the different impact exerted by old technological solutions, distinguished on the basis of their organisational and industrial origins, on the innovation value. We develop a set of hypotheses about the impact exerted by four distinct types of old technological solutions (firm core technological heritage, firm lateral technological heritage, competitors’ technological heritage and others’ technological heritage) and test them on a sample of 1189 biotechnology patents registered at the US Patent and Trademark Office from 1979 to 2002. Results strongly support our hypotheses, revealing that: (1) using both firm core technological heritage and others’ technological heritage has an inverted U-shaped effect on innovation value; (2) employing firm lateral technological heritage is positively related to innovation value; (3) a negative relationship occurs between competitors’ core technological heritage and the value of subsequent innovations.     

The effects of Information Technology on absorptive capacity and organisational performance

Information Technology (IT) offers many opportunities for firms to succeed. The aim of this paper is to present a model to reflect how technical IT skills and the use of IT in interdependent tasks may influence the development of organisational absorptive capacity, both potential and realised, which also affects organisational performance. Since knowledge constitutes one of the main resources for organisations to gain competitive advantages and helps firms to improve their organisational performance, absorptive capacity is a key factor in success. This model was tested empirically using a sample of 160 European technological firms. The results of our analysis suggest that the mastery of technical IT skills and the use of IT in interdependent tasks positively affect potential and realised absorptive capacities, which in turn enhances organisational performance. The study concludes by presenting some theoretical and practical implications, limitations, and future research lines.     

Historical coevolution of governance and technology in the industrial revolutions

While the relationships between technological change and organisational change have been widely observed in specific cases, little has been done to generalise about such interrelationships over the longer term. The paper uses historical evidence to categorise the principal changes in governance (covering the control, structure and process of systems) in the industrial epoch, which are seen as the successive predominance of markets, (corporate) hierarchies and then networks. These correspond to the successive importance of labour processes, capital processes and information processes. There appears to be a link with the three ‘industrial revolutions’ that have arisen at century-long intervals since the later 18th century, though the causal interrelationships remain uncertain and by no means necessary. Network alignment is suggested as a means for bringing about the coevolution of governance and technology in development processes. A number of mechanisms for matching technological with organisational change are suggested by the governance literature, although no one theory of governance appears able to explain the observed historical phenomena.     

Capabilities,Structures and Strategies Re-Examined: Incumbent Firms and the Emergence of Complex Product Systems (CoPS) in Mature Industries

This paper re-examines theories about firm capabilities, industrial co-ordination and competitive strategies in the context of Complex Product Systems (CoPS). In particular, it looks at the applicability of concepts of technological and organisational capabilities, transaction and governance cost analysis and industry lifecycle models to the performance of mature industries under conditions of technological change. It does so in the light of empirical evidence from one sector of a mature but fast-changing industry in which CoPS are currently emerging: offset lithographic print and publishing technologies—the capital goods and systems used to produce printed mass media, particularly newspapers. In this sector of the graphic arts industries, three major incumbent producer firms which were previously similar had each begun to pursue different capabilities, structures and strategies, with apparent success. The complexity of CoPS and of the organisational arrangements for their design, development and commissioning are capable of supporting a wide variety of firm capabilities, structures and strategies.     

Capabilities, Structures and Strategies Re-Examined: Incumbent Firms and the Emergence of Complex Product Systems (CoPS) in Mature Industries

This paper re-examines theories about firm capabilities, industrial co-ordination and competitive strategies in the context of Complex Product Systems (CoPS). In particular, it looks at the applicability of concepts of technological and organisational capabilities, transaction and governance cost analysis and industry lifecycle models to the performance of mature industries under conditions of technological change. It does so in the light of empirical evidence from one sector of a mature but fast-changing industry in which CoPS are currently emerging: offset lithographic print and publishing technologies—the capital goods and systems used to produce printed mass media, particularly newspapers. In this sector of the graphic arts industries, three major incumbent producer firms which were previously similar had each begun to pursue different capabilities, structures and strategies, with apparent success. The complexity of CoPS and of the organisational arrangements for their design, development and commissioning are capable of supporting a wide variety of firm capabilities, structures and strategies.     

The framing of product ideas in the making: a case study of the development of an energy saving pump

Research regarding work with ideas in industrial settings has predominantly treated ideas as rather stable ‘black boxes’. This article contributes a new understanding of idea work and seeks to expand our understanding of how a product concept is constituted and synthesised through socio-material interaction of organisational members and engagement in idea work. The article contributes a case study of the development process behind the energy-saving Alpha Pro circulator launched by the Danish pump manufacturer Grundfos. Based on an analysis of how organisational players engage in the controversial and shifting understandings of what seems to constitute a successful product, the article offers a new perspective on navigating the players’ ideas in the political processes of innovation. It suggests that navigation of technological frames can offer a new perspective to make explicit the implicated actors’ world views, including what they perceive as relevant problems and related strategies for solving them.     

Technology interdependence and entry modes of the Taiwanese technological multinational companies: moderating effects of political instability,technological uncertainty,and Confucian dynamism

This study aims to examine how technology interdependence and three environmental variables, namely political instability, technological uncertainty and Confucian dynamism, in the host country collectively influence Taiwanese technological multinational company’s (MNC) entry mode choice between joint venture (JV) and wholly owned subsidiary (WOS). Grounded on theories of transaction cost economies and organisational design, this study hypothesises a positive technology interdependence–WOS relationship that can be explained by appropriation and coordination concerns. Moreover, the aforementioned relationship can be positively moderated by technological uncertainty while negatively moderated by political instability and Confucian dynamism. These hypotheses were examined and supported using logistic regressions in the analysis of 195 foreign entries undertaken by Taiwanese information and electronic MNCs.     

The Skill Bias: Comparative evidence and an econometric test

Many empirical studies have shown how technological change, organisational change and globalisation can be alternatively (or jointly) seen as causes of skill bias. In this paper, after discussing some evidence on the G7 countries which shows a clear upskilling trend in manufacturing industries over the 1980s, an illustrative example is provided.The panel analysis of a sample of 488 Italian manufacturing firms shows how the upskilling trend of employment is a function of the reorganisational strategy adopted by firms, while technological change and FDI seem to play negligible roles.     

Technology capabilities,marketing capabilities and innovation ambidexterity

Linking the literature of resource-based view (RBV) with ambidexterity, we construct an integrative framework of technology capabilities, marketing capabilities, innovation ambidexterity, and organisational performance. Using data from a sample of 190 Chinese hospitals, we find that both technology capabilities and marketing capabilities have an inverse U-shape relationship with innovation ambidexterity. And they can complementarily improve innovation ambidexterity, which further enhances organisational performance. This study deepens our understanding of RBV and ambidexterity by investigating the antecedent roles of technological and marketing capabilities on innovation ambidexterity. We also investigate their interactive role on improving innovation ambidexterity.     

Opportunism in labour contracting: An application of the ‘organisational failures’ framework

The ‘Markets and Hierarchies’ framework provides a basis for the analysis of employment relations. However, it fails to take the possibility of bilateral opportunism into account and in consequence exaggerates the ease of obtaining consummate cooperation. Once bilateral opportunism is admitted, the resolution of contractual problems becomes indeterminate, depending upon the preference and relative power of the parties. These preferences can be modelled,analysis of technological change issues reveals that such a model has some explanatory power. The implication of this approach is that the removal of opportunism implies relatively organisational surgery.     

The internationalisation of R&D by multinationals: a trade-off between external and internal proximity

Overseas production is frequently seen as a force inducing thedecentralisation of R&D. A complementary explanation canbe provided if we admit that the acquisition of knowledge isone of the key factors behind the internationalisation of R&D.Multinational firms which adopt such a technology-oriented posturemust create an external organisation that is designed to scanand absorb external scientific and technological capabilities,a process which we refer to as a quest for 'external proximity'.However, the multinational firm's external organisation shouldnot be constituted to the detriment of its organisational coherence;it should, on the contrary, be completed by the implementationof relations of proximity internal to the firm, which we referto as 'internal proximity'. From this perspective, the multinationalfirm that manages dispersed R&D units is seen as facinga tension - an organisational trade-off - between external proximityand internal proximity.     

Effect of proximity on recombination innovation in R&D collaboration: an empirical analysis

Recombination innovation is a process of creatively combining different knowledge domains in an invention. Recombination innovation in R&D collaboration – joint recombination process, which is integration of the organisation’s internal knowledge with the partner’s new knowledge, serves as the stepping stone of the knowledge search in the technological space. This paper tries to illuminate how different dimensions of proximity of the collaborating partners affect the probability of the collaborative innovation to be recombination innovation. Our result shows that technological proximity has a negative effect on joint recombination innovation. Geographical proximity has an inverted U-shaped effect on joint recombination innovation. The positive effect of organisational proximity on joint recombination innovation is not supported.     

Technological change and forms of innovation in consumer magazine publishing: a UK-based study

This paper presents the results of research undertaken between 2002 and 2004 into the impact of technological change on the UK consumer magazine industry. The findings highlight patterns of innovation, both in the range of products (most notably monthly magazine titles) and the structure of organisations and work practices, which have tended to elude much of the contemporary debate within the ‘cultural industries’ approach adopted in the media studies discipline. Instead, our analysis makes use of insights from the innovation literature to highlight the impact of technological discontinuities on the capabilities of both incumbent firms and new entrants. It also highlights the important and growing role that is being played in innovation-led industries through the adoption of organisational practices that find their origins in the traditions of project-based firms.     

Indian remote sensing program: A national system of innovation?

When India launched the satellite IRS 1C in 1995 with a resolution of 6 m, it had the distinction of having the highest spatial resolution among all operational civilian remote sensing satellites in the world at that time. This world-class technological capability in remote sensing was a result of favourable organisational and institutional factors that nurtured innovation. There was a domestic need for remote sensing information for managing natural resources like land, water and forests. Since India is still largely agriculture and natural resources dominated economy, a generic technology that could be used in many sectors related to natural resources has the potential to accelerate the economic development process. This paper looks at the link between an organisational innovation that creates a world-class capability that meets a domestic need and ability of this innovation to change the larger national system. It tries to identify institutional factors that seem to inhibit innovation and suggests approaches that can create a suitable national climate for the rapid diffusion of innovation.     

On the joint effect of technological and management innovations on performance: increasing or diminishing returns?

Most studies on innovation are aimed at covering technological innovation, neglecting other modes of innovation based on non-technological drivers. The latter, referred to as management innovation, consists of the implementation of new management practices, processes or organisational tasks. This work advances knowledge on the topic by exploring the joint effect of simultaneously introducing technological and management innovations on performance. Based on an analysis of 12,563 Spanish firms drawn from CIS data, our findings suggest that firms frequently pursue the simultaneous or joint introduction of both technological and management innovations and that integration impacts positively on a firm’s performance, evidencing an inverted U-shape that suggest positive but diminishing returns. A theoretical framework using the capability-based view embraces the emerging conversation on management innovation issues and its relationship with the well-researched technological one.     

Organisational learning capability,product innovation performance and export intensity

The hypothesis that managerial characteristics which facilitate the organisational learning process can provide firms with a basis for competitive advantage has received a great deal of attention. While there is evidence that organisational learning affects export intensity, we argue that intermediate variables, such as innovation, should be used in order to evaluate its impact in organisations. This study shows that firms with a higher organisational learning capability tend to be more innovative, and for this reason, they are more likely to export a higher share of their production. From a longitudinal perspective, we use structural equation modeling on a database from Italian and Spanish ceramic tile producers, worldwide leaders in terms of technology. The database combines primary and secondary data. The results support our theoretical conjectures. Findings improve our understanding of the antecedents of export intensity and are related to previous research.     

International,intra-national and inter-firm knowledge diffusion and technological catch-up: the USA,Japan, Korea and Taiwan in the memory chip industry

Using data on US patent citations, this paper investigates the pattern of international, intranational and interfirm knowledge diffusion in the process of technological catch-up by Japanese, Korean and Taiwanese firms in the memory chip industry. First, regarding international diffusion, this paper finds that the ordering of citations is exactly the same as the order of entry into the industry: Taiwanese firms tend to cite Korean firms, Korean firms tend to cite Japanese firms and Japanese firms tend to cite US firms. Second, the degree of intranational knowledge diffusion is proportional to the level of technological capability or order of entry, although it is also affected by organisational differences among the firms. Third, the difference in patterns of interfirm knowledge reflects difference across organisations, such that big Korean group firms are less oriented toward interfirm knowledge diffusion compared with their Taiwanese small and medium enterprise (SME) counterparts. To explain such difference, the role of government research institutions has been highlighted, especially since the Industrial Technology Research Institute (ITRI) accounts for the lion's share of Taiwanese-held patents and in the spin-offs of many firms in the industry.