The moderating effect of organizational cohesiveness in knowledge use and new product development

This study examined the influence of cohesiveness, an organizational cultural variable, on knowledge use and organizational learning within the context of new product development (NPD). The authors surveyed NPD managers from 323 firms, representing a wide range of product classifications, about their firms’ levels of cohesiveness and NPD efforts. Using structural equation modeling, the authors demonstrated that organizational cohesiveness has a moderating influence on both an organization’s use of its existing knowledge to develop innovative new products and the resulting performance of those products, which emphasizes how influential organizational “mind-set” can be. By considering cohesiveness an influence in new product innovativeness and new product performance, the authors incorporated a cultural variable that has received little attention in the NPD and more general marketing literature. This research reveals that much is left to learn about cohesiveness and that understanding it can advance knowledge use, organizational learning, and innovation. Beverly K. Brockman (bev-brockman@utc.edu) is an assistant professor of marketing at the University of Tennessee at Chattanooga. She holds BBA and MBA degrees from the University of Kentucky and a PhD from the University of Alabama. Her specialty areas include marketing strategy, entrepreneurship, product development, and organizational learning. Dr. Brockman has been an American Marketing Association Doctoral Consortium Fellow, and her work has been published inDecision Sciences, Journal of Services Research, Journal of Consumer Satisfaction, Dissatisfaction, and Complaining Behavior, and others. Robert M. Morgan (rmorgan@cba.ua.edu) (PhD, 1991, Texas Tech University) is Phifer Faculty Fellow and department head, Department of Management and Marketing, in the Culverhouse College of Commerce and Business Administration at the University of Alabama. His interests focus on relationship marketing and marketing strategy, and his research in these areas has been published in theJournal of Marketing, theAcademy of Management Journal, Decision Sciences, and other journals and book chapters. His article “The Commitment-Trust Theory of Relationship Marketing,” coauthored with Shelby D. Hunt and published in 1993 in theJournal of Marketing, was recognized in 2004 by the Institute for Scientific Information as the most cited article in business and economics journals over the previous decade. His article “The Comparative Advantage Theory of Competition,” also coauthored with Shelby D. Hunt and published in 1995 in theJournal of Marketing, received the Sheth Foundation/Journal of Marketing Award in 2004.