How constraints and knowledge impact open innovation

Laursen and Salter (2006) examined the impact of a firm's search strategy for external knowledge on innovative performance. Based on organizational learning and open innovation literature, we extend the model hypothesizing that the search strategy itself is impacted by firm context. That is, both ‘constraints on the application of firm resources’ and the ‘abundance of external knowledge’ have a direct impact on innovative performance and a firm's search strategy in terms of breadth and depth. Based on a survey of Swiss‐based firms, we find that constraints decrease and external knowledge increases innovative performance. Although constraints lead to a broader but shallower search, external knowledge is associated with the breadth and the depth of the search in a U‐shaped relationship. Copyright © 2013 John Wiley & Sons, Ltd.     

How knowledge affects radical innovation: Knowledge base,market knowledge acquisition,and internal knowledge sharing

This paper examines how existing knowledge base (i.e., knowledge breadth and depth) interacts with knowledge integration mechanisms (i.e., external market knowledge acquisition and internal knowledge sharing) to affect radical innovation. Survey data from high technology companies in China demonstrate that the effects of knowledge breadth and depth are contingent on market knowledge acquisition and knowledge sharing in opposite ways. In particular, a firm with a broad knowledge base is more likely to achieve radical innovation in the presence of internal knowledge sharing rather than market knowledge acquisition. In contrast, a firm with a deep knowledge base is more capable of developing radical innovation through market knowledge acquisition rather than internal knowledge sharing. Copyright © 2012 John Wiley & Sons, Ltd.     

Changes in firm knowledge couplings and firm innovation performance: The moderating role of technological complexity

We investigate the effect of changes in a firm's knowledge couplings on its innovation performance. We develop arguments to explain how changes in couplings among existing knowledge domains and those between new and existing knowledge domains affect the generation of valuable inventions. We also examine how observed domain complexity, an indicator of the inherent interdependencies among knowledge domains, moderates the effects of changes in a firm's knowledge couplings on innovation performance. Our results suggest that a change in couplings among existing knowledge domains hurts innovation outcomes, but not when the degree of domain complexity is high, whereas coupling new and existing knowledge domains leads to improved outcomes, but not when the degree of domain complexity is high. Copyright © 2013 John Wiley & Sons, Ltd.     

An empirical investigation of firm public and private knowledge

Many studies examine firm private knowledge, but purport to be generalizable to the totality of firm knowledge, both public and private. This study demonstrates that public and private firm knowledge are empirically separable constructs that have significant and yet different influences on innovative outcomes. The example of product development effectiveness within this study shows that both public and private knowledge are significantly related to product development quality; however, public knowledge is negatively related to quality lapses while private knowledge is positively related to quality lapses. Copyright © 2002 John Wiley & Sons, Ltd.     

Search behavior of the diversified firm: The impact of fit on innovation

This paper provides a new approach to account for the relationship between diversification and innovation by integrating insights concerning strategic fit. We argue that the type of diversification strategy leads to greater innovation output when the appropriate technological search strategy is employed. Using a longitudinal study of the patenting activity of 258 manufacturing firms, we find that strategic fit is important for innovation output. More specifically, a related diversification strategy leads to greater innovation when firms use a narrow technological search strategy. In contrast, an unrelated diversification strategy leads to greater innovation when a broader technological search strategy is used. Implications for future research are discussed. Copyright © 2013 John Wiley & Sons, Ltd.     

The dynamics of product innovation and firm competences

This study examines how product innovation contributes to the renewal of the firm through its dynamic and reciprocal relation with the firm's competences. Field research in five high‐tech firms of varying age, size, and level of diversification is combined with analysis of existing theory to develop the findings of the study. Based on the notion that new products are created by linking competences relating to technologies and customers, a typology is derived that classifies new product projects based on whether a new product can draw on existing competences, or whether it requires competences the firm does not yet have. Following organizational learning theory, these options are conceptualized as exploitation and exploration. These organizational learning concepts are used to gain a dynamic and path‐dependent view of product innovation and firm development, and to reveal the unique nature and challenges of different types of product innovation. Copyright © 2002 John Wiley & Sons, Ltd.     

Learning and product entry: How diversification patterns differ over firm age and knowledge domains in U.S. generic drug industry

This study uses learning theory to show how knowledge domains affect product extension decisions and how these product decisions change as firms age. Faced with the choice of new product‐markets, a firm might decide to introduce a similar product, by leveraging existing firm knowledge, or to experiment with a less familiar product, which requires new knowledge. Using data on new drug introductions in the US generic pharmaceutical industry, the analyses showed clear support for heterogeneous product‐market entry patterns across knowledge domains as the firm ages. Across time, the form of learning shifts from exploration to exploitation. Copyright © 2013 John Wiley & Sons, Ltd.     

IT competency and firm performance: is organizational learning a missing link?

Many companies have developed strategies that include investing heavily in information technology (IT) in order to enhance their performance. Yet, this investment pays off for some companies but not others. This study proposes that organization learning plays a significant role in determining the outcomes of IT. Drawing from resource theory and IT literature, the authors develop the concept of IT competency. Using structural equations modeling with data collected from managers in 271 manufacturing firms, they show that organizational learning plays a significant role in mediating the effects of IT competency on firm performance. Copyright © 2003 John Wiley & Sons, Ltd.     

Global integration and innovation: Multicountry knowledge generation within MNCs

This paper examines both conditions that can enable collaborative and combinative knowledge generation within multinational corporations (MNCs) and benefits that firms can achieve from these types of innovations. I posit that more basic relationships that have been established through manufacturing integration can enable multicountry collaborative innovations and that these innovations will bring together diverse knowledge that is likely to spawn further innovation within firms. Empirical analysis of a panel that includes comprehensive and confidential data on the worldwide operations of U.S. MNCs and their worldwide patents reveals robust support for these arguments. Overall, this paper broadens extant research on knowledge generation within MNCs by exploring both the antecedents and benefits of multicountry collaborative innovations. Copyright © 2013 John Wiley & Sons, Ltd.     

Examining the effect of complexity in strategic group knowledge structures on firm performance

A developing stream of research in the strategy field explores the competitive structure of industries from the perspective of industry participants. This work has demonstrated that managers develop strategic group knowledge structures in order to make sense of their competitive environment. This study extends this line of research by examining the complexity evident in the strategic group knowledge structures developed by firms' top management teams and assessing the relationship between complexity in these knowledge structures and subsequent firm performance. Specifically, we examine the complexity of top managers' knowledge structures regarding their competition using a sample of 76 top management teams from banks in three U.S. cities. Using hierarchical regression, we find a significant relationship between the complexity of cognitive strategic groups and subsequent firm performance. These results suggest that the structure of the cognitive templates that top managers use to understand their environment and the actions of their competitor influence the degree of strategic success of their firm. Copyright © 2002 John Wiley & Sons, Ltd.     

The role of external knowledge sources and organizational design in the process of opportunity exploitation

Research highlights the role of external knowledge sources in the recognition of strategic opportunities but is less forthcoming with respect to the role of such sources during the process of exploiting or realizing opportunities. We build on the knowledge‐based view to propose that realizing opportunities often involves significant interactions with external knowledge sources. Organizational design can facilitate a firm's interactions with these sources, while achieving coordination among organizational members engaged in opportunity exploitation. Our analysis of a double‐respondent survey involving 536 Danish firms shows that the use of external knowledge sources is positively associated with opportunity exploitation, but the strength of this association is significantly influenced by organizational designs that enable the firm to access external knowledge during the process of exploiting opportunities. Copyright © 2013 John Wiley & Sons, Ltd.     

知识密集型服务业的知识转移与创新

在详细分析集群企业间知识转移的方式、路径的基础上,提炼出知识转移过程的概念模型,并进一步讨论知识转移是如何推动创新活动的。     

Unbundling competitive heterogeneity: incentive structures and capability influences on technological innovation

Many studies argue that the continual creation of new ideas by small and young firms steadily destroys the competitive positions of their larger, more established rivals. Despite this attention, empirical results relating firm size to innovation remain exceedingly fragile. This study proposes three reasons for the empirical inconsistencies in the literature: that small and large firms differ in their: (1) stock of technological experiences, (2) use of own‐ and partner‐firm experiences, and (3) abilities to translate own‐ and partner‐firm experiences into innovation activity. Results from a 10‐year study of 463 semiconductor firms demonstrate that the mixed findings generated from prior work are partially attributed to these three general propositions. In particular, resource flows, in the form of operating experience developed internally and accessed through codevelopment partners, positively affect innovation activity; but these benefits diminish as a firm increases in size. The findings broadly support the notion that differences in the incentives and abilities of small and large firms give rise to heterogeneity in the firms' innovation activity. Copyright © 2008 John Wiley & Sons, Ltd.     

Organizing for knowledge generation: internal knowledge networks and the contingent effect of external knowledge sourcing

Research summary : When faced with a new technological paradigm, incumbent firms can opt for internal development and/or external sourcing to obtain the necessary new knowledge. We explain how the effectiveness of external knowledge sourcing depends on the properties of internal knowledge production. We apply a social network lens to delineate interpersonal, intra‐firm knowledge networks and capture the emergence of two important firm‐level properties: the incumbent's internal potential for knowledge recombination and the level of knowledge coordination costs. We rely on firm‐level internal knowledge networks to dynamically track the emergence of these properties across 106 global pharmaceutical companies over a 25‐year time period. We find that a firm's success in developing knowledge in a new technological paradigm using external knowledge sourcing is contingent on these internal knowledge properties . Managerial summary : Incumbent firms in high‐tech industries often face competence‐destroying technological change. In their effort to adapt and develop new knowledge in a novel paradigm, incumbent firms have several corporate strategy options available to them: internal knowledge development and a wide array of external knowledge sourcing strategies, including alliances and acquisitions. In this study, we make an effort to address a critical question: How effective is external knowledge sourcing under different internal knowledge generation regimes? We find that external sourcing strategies are less effective when firms can already internally generate new knowledge or if they have high internal coordination costs. Therefore, when considering external sourcing, managers must carefully weigh the benefits of it vis‐à‐vis its commensurate costs as the benefits of external sourcing may be overstated . Copyright © 2015 John Wiley & Sons, Ltd.     

Knowledge complexity and the performance of inter‐unit knowledge replication structures

Research Summary: Intra‐firm replication of complex knowledge is difficult yet critical to firm growth and the exploitation of competitive advantage. Inter‐unit organizational structures can facilitate the replication of complex knowledge between a source unit and a recipient unit. This study examines how inter‐unit organizational structures perform at different levels of knowledge complexity. We dimensionalize the patterns of information‐processing interactions according to three specific factors: the degree of inter‐unit connectivity, the extent of mirroring between the structure and the knowledge configuration, and coordination mechanisms. Simulation analyses offer a set of novel findings on how the information‐processing and bounded‐rationality concerns of organizational design impact the replication performance of the structures. We derive optimal structures for different levels of knowledge complexity, and articulate their theoretical and practical implications. Managerial Summary: The growth of firms often involves redeployment of their complex knowledge to new subunits or markets, in the context of acquisitions, alliances, or the creation of multinational subsidiaries. Complex knowledge is difficult to imitate, and thus, serves as a source of competitive advantage. However, it is also challenging to replicate within a firm, which limits firms’ ability to redeploy their capabilities in pursuit of new opportunities. A proper design of inter‐unit structures can facilitate the replication of complex knowledge between intra‐firm units. This study examines how the design of inter‐unit structures affects the outcome of this replication. Our results suggest that managers in charge of redeployment efforts should be mindful of the connectivity among units, coordination mechanisms, information overload, and the level of knowledge complexity.     

以知识创新为中介的社会资本对技术创新影响的模型分析

社会资本对技术创新的影响是学术界和实践界关注的热点问题之一,然而其路径和机理仍不明确。为此,试图通过一个模型分析了知识创新为中介的社会资本对技术创新的影响。首先,借鉴场论,提出了以知识创新为中介的社会资本影响技术创新的概念模型;其次,提出了修正的创新价值链模型和扩展的知识创新模型,并分析社会资本对知识创新和技术创新的直接影响,以及社会资本通过知识创新对技术创新的间接影响;最后,探究了社会资本通过知识创新影响技术创新的路径和机理,以期为企业技术创新更好地展开提供一些借鉴。     

Creating value in the face of declining performance: firm strategies and organizational recovery

Firms that have failed to meet the performance expectations of investors must seek new ways of creating value or face the loss of financial support. Using resource‐based arguments, we find that valuable and difficult‐to‐imitate strategies that recombine the firm's existing stock of resources to create new products, processes, or technologies have a positive effect on organizational recovery as measured by investors' expectations. Similarly, acquiring new resources through mergers or acquisitions also has positive effects on investors' expectations. In contrast, valuable and difficult‐to‐imitate strategies that provide the firm with access to new resources through alliances or joint ventures do not affect investors' expectations of performance. We also find that taking actions that are not valuable and difficult‐to‐imitate either have no effect on performance or may lead to further performance declines. Lastly, our results show that valuable and difficult‐to‐imitate strategic actions that use existing resources in new ways contribute the most to organizational recovery. Copyright © 2007 John Wiley & Sons, Ltd.     

Measuring organizational knowledge: a conceptual and methodological framework

Knowledge is fundamental to strategic success. Limited progress has been made, however, in measuring organizational knowledge. We employ research on resource‐based theory and organizational epistemology to suggest a perceptual approach to measuring knowledge. We present a research protocol to identify a domain of organizational knowledge resources within industries. Using a sample of organizations from the hospital and textile industries, we interviewed CEOs to identify the feasible set of knowledge resources. We presented this set to managers at those organizations to measure their perceptions of the value‐added of each knowledge resource for their organizations. The results demonstrate that the importance of knowledge resources varies by industry and organization, and calls to question efforts to generate an inventory of generic knowledge resources that is applicable across industries. Copyright © 2003 John Wiley & Sons, Ltd.     

Technological acquisitions and the innovation performance of acquiring firms: a longitudinal study

This paper examines the impact of acquisitions on the subsequent innovation performance of acquiring firms in the chemicals industry. We distinguish between technological acquisitions, acquisitions in which technology is a component of the acquired firm's assets, and nontechnological acquisitions: acquisitions that do not involve a technological component. We develop a framework relating acquisitions to firm innovation performance and develop a set of measures for quantifying the technological inputs a firm obtains through acquisitions. We find that within technological acquisitions absolute size of the acquired knowledge base enhances innovation performance, while relative size of the acquired knowledge base reduces innovation output. The relatedness of acquired and acquiring knowledge bases has a nonlinear impact on innovation output. Nontechnological acquisitions do not have a significant effect on subsequent innovation output. Copyright © 2001 John Wiley & Sons, Ltd.