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Service innovation management in a modern economy: Insights on the interplay between firms’ innovative culture and project-level success factors

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  • Santos-Vijande, María Leticia
  • López-Sánchez, Jose Ángel
  • Pascual-Fernández, Primitiva
  • Rudd, John M.

Abstract

Despite the growing importance of the service industry in modern economies, research on service innovation success has been far less prolific than has work on product innovation, and there is still a relative paucity of knowledge about the key factors to achieve new service success. The study of the relationships among these factors has also received very little attention and provides a significant opportunity for theoretical developments and managerial insights in service innovation. In this study, data drawn from a sample of 502 hotels and knowledge-intensive business service firms located in Spain allows testing the relationships among organizational and project-level success factors in new service development. Empirical evidence reveals several routes of effects useful to trigger external new service performance or market success, and internal new service performance, or the satisfaction, motivation, and commitment of front-line employees. Some relevant insights for managers include illustrating the crucial role of service firms’ innovative culture to configure project-level success factors; highlighting the social aspects of top management's support to the new service project; underlying the importance of human resource management practices during new service development for new service success, and the motivating effects that new service advantage has among front-line employees.

Suggested Citation

  • Santos-Vijande, María Leticia & López-Sánchez, Jose Ángel & Pascual-Fernández, Primitiva & Rudd, John M., 2021. "Service innovation management in a modern economy: Insights on the interplay between firms’ innovative culture and project-level success factors," Technological Forecasting and Social Change, Elsevier, vol. 165(C).
    • Handle: RePEc:eee:tefoso:v:165:y:2021:i:c:s0040162520313883
    DOI: 10.1016/j.techfore.2020.120562
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    2. Arias-Pérez, José & Vélez-Jaramillo, Juan, 2022. "Ignoring the three-way interaction of digital orientation, Not-invented-here syndrome and employee's artificial intelligence awareness in digital innovation performance: A recipe for failure," Technological Forecasting and Social Change, Elsevier, vol. 174(C).
    3. Mengdi Sun & Xiaoyu Zhao, 2023. "Influence of Organizational Ambidextrous Culture in Manufacturing Enterprises on Service Innovation Performance," Sustainability, MDPI, vol. 15(20), pages 1-26, October.
    4. Alemayehu, Fikru K. & Kumbhakar, Subal C. & Landazuri Tveteraas, Sigbjørn, 2022. "Estimation of staff use efficiency: Evidence from the hospitality industry," Technological Forecasting and Social Change, Elsevier, vol. 178(C).
    5. Tajeddini, Kayhan & Gamage, Thilini Chathurika & Tajdini, Javad & Qalati, Sikandar Ali & Siddiqui, Faiza, 2023. "Achieving sustained competitive advantage in retail and consumer service firms: The role of entrepreneurial orientation and entrepreneurial bricolage," Journal of Retailing and Consumer Services, Elsevier, vol. 75(C).

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