Tie Breadth, Tie Strength And The Location Of Ties: The Value Of Ties Inside An Emerging Mnc To Team Innovation

People differ in terms of the number and strength of ties that they cultivate. Previous literature has tended to focus on either strong ties or many weak ties with a largely unstated assumption that some degree of trade-off exists between the two (underlying trust and novel knowledge, respectively) and their relative contribution to innovation. Within the context of R&D in a SA MNC, this research provided evidence that tie breadth and tie strength are complementary in team innovation. The previously-documented tension between novelty and trust however remains present and becomes evident in the location of ties. Both strong and weak ties contribute most to innovation if they are neither too close (i.e., own team) nor too distant (i.e., outside the MNC). Instead, ties inside the greater R&D unit contributed most to innovation. This role of the location of ties suggests that studies of networks cannot remain limited to tie breadth and strength but has to be rooted in the specific context. This is consistent with prior evidence of innovation within mature and process-driven industries where an in-depth understanding of organisation knowledge is required rather than that of novel technologies. This largely inward orientation has important implications for the competitiveness of emerging MNCs.