IDEAS home Printed from https://ideas.repec.org/a/spr/rvmgts/v15y2021i7d10.1007_s11846-020-00419-8.html
   My bibliography  Save this article

Capacity of open innovation activities in fostering product and process innovation in manufacturing SMEs

Author

Listed:
  • Antonia Madrid-Guijarro

    (Universidad Politécnica de Cartagena, Cátedra de Emprendimiento Santander-UPCT)

  • Dominique Philippe Martin

    (Universités de Rennes)

  • Domingo García-Pérez-de-Lema

    (Universidad Politécnica de Cartagena, Cátedra de Emprendimiento Santander-UPCT)

Abstract

The purpose of this research is to study whether open innovation practices in SMEs favour technological innovations and the drivers of these. We propose a model of SME open innovation based on human capital (HC) approach and the commitment to learning with an emphasis on the risk taking and the formalization of an innovation strategy. The results, on a sample of 267 SMEs, show that a manager’s attitude to risk-taking and the formalization of an innovation strategy are the most important variables which promote SME open innovation. Innovation strategy formalization leverages the impact of HC and commitment to learning on open innovation, identifying an important mediating effect. Finally, open innovation activities promote product and process innovation, although this effect is greater for outbound activities. These findings have important implications for both managers and policy-makers.

Suggested Citation

  • Antonia Madrid-Guijarro & Dominique Philippe Martin & Domingo García-Pérez-de-Lema, 2021. "Capacity of open innovation activities in fostering product and process innovation in manufacturing SMEs," Review of Managerial Science, Springer, vol. 15(7), pages 2137-2164, October.
    • Handle: RePEc:spr:rvmgts:v:15:y:2021:i:7:d:10.1007_s11846-020-00419-8
    DOI: 10.1007/s11846-020-00419-8
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11846-020-00419-8
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s11846-020-00419-8?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Rangus, Kaja & Drnovšek, Mateja & Minin, Alberto Di & Spithoven, André, 2017. "The role of open innovation and absorptive capacity in innovation performance: Empirical evidence from Slovenia," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 22(1), pages 39-62.
    2. Milé Terziovski, 2010. "Innovation practice and its performance implications in small and medium enterprises (SMEs) in the manufacturing sector: a resource‐based view," Strategic Management Journal, Wiley Blackwell, vol. 31(8), pages 892-902, August.
    3. Domingo Garcia-Perez-De-Lema & Antonia Madrid-Guijarro & Dominique Philippe Martin, 2017. "Influence of university–firm governance on SMEs innovation and performance levels," Post-Print halshs-01354120, HAL.
    4. Anil K. Gupta & Vijay Govindarajan, 2000. "Knowledge flows within multinational corporations," Strategic Management Journal, Wiley Blackwell, vol. 21(4), pages 473-496, April.
    5. Erica Mazzola & Manfredi Bruccoleri & Giovanni Perrone, 2012. "The Effect Of Inbound, Outbound And Coupled Innovation On Performance," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 16(06), pages 1-27.
    6. Unai Arzubiaga & Amaia Maseda & Txomin Iturralde, 2019. "Exploratory and exploitative innovation in family businesses: the moderating role of the family firm image and family involvement in top management," Review of Managerial Science, Springer, vol. 13(1), pages 1-31, February.
    7. Patrizia Garengo & Giovanni Bernardi, 2007. "Organizational capability in SMEs," International Journal of Productivity and Performance Management, Emerald Group Publishing Limited, vol. 56(5/6), pages 518-532, June.
    8. Ardito, Lorenzo & Messeni Petruzzelli, Antonio, 2017. "Breadth of external knowledge sourcing and product innovation: The moderating role of strategic human resource practices," European Management Journal, Elsevier, vol. 35(2), pages 261-272.
    9. Elena M. Gimenez-Fernandez & Francesco D. Sandulli, 2017. "Modes of inbound knowledge flows: are cooperation and outsourcing really complementary?," Industry and Innovation, Taylor & Francis Journals, vol. 24(8), pages 795-816, November.
    10. Teller, Juliane & Unger, Barbara & Kock, Alexander & Gemünden, Hans Georg, 2012. "Formalization of Project Portfolio Management: The Moderating Role of Portfolio Complexity," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 63283, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
    11. Popa, Simona & Soto-Acosta, Pedro & Martinez-Conesa, Isabel, 2017. "Antecedents, moderators, and outcomes of innovation climate and open innovation: An empirical study in SMEs," Technological Forecasting and Social Change, Elsevier, vol. 118(C), pages 134-142.
    12. Wiklund, Johan & Shepherd, Dean, 2005. "Entrepreneurial orientation and small business performance: a configurational approach," Journal of Business Venturing, Elsevier, vol. 20(1), pages 71-91, January.
    13. Ma, Li & Zhai, Xin & Zhong, Weiguo & Zhang, Zhi-Xue, 2019. "Deploying human capital for innovation: A study of multi-country manufacturing firms," International Journal of Production Economics, Elsevier, vol. 208(C), pages 241-253.
    14. Alistair R. Anderson & Jialin Hardwick, 2017. "Collaborating for innovation: the socialised management of knowledge," International Entrepreneurship and Management Journal, Springer, vol. 13(4), pages 1181-1197, December.
    15. Aurora Teixeira, 2002. "On the Link between Human Capital and Firm Performance. A Theoretical and Empirical Survey," FEP Working Papers 121, Universidade do Porto, Faculdade de Economia do Porto.
    16. Dahlander, Linus & Gann, David M., 2010. "How open is innovation?," Research Policy, Elsevier, vol. 39(6), pages 699-709, July.
    17. Saebi, Tina & Foss, Nicolai J., 2015. "Business models for open innovation: Matching heterogeneous open innovation strategies with business model dimensions," European Management Journal, Elsevier, vol. 33(3), pages 201-213.
    18. Rune Dahl Fitjar & Martin Gjelsvik & Andrés Rodríguez-Pose, 2013. "The combined impact of managerial and relational capabilities on innovation in firms," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 25(5-6), pages 500-520, June.
    19. Veugelers, Reinhilde & Cassiman, Bruno, 1999. "Make and buy in innovation strategies: evidence from Belgian manufacturing firms," Research Policy, Elsevier, vol. 28(1), pages 63-80, January.
    20. Tharwa Najar & Karima Dhaouadi & Ibticem Ben Zammel, 2020. "Intellectual Capital Impact on Open Innovation: The Case of Technology-Based Sectors in Tunisia," Journal of Innovation Economics, De Boeck Université, vol. 0(2), pages 75-106.
    21. Fonseca, Tiago & de Faria, Pedro & Lima, Francisco, 2019. "Human capital and innovation: the importance of the optimal organizational task structure," Research Policy, Elsevier, vol. 48(3), pages 616-627.
    22. Lopes, Ana Paula Vilas Boas Viveiros & de Carvalho, Marly Monteiro, 2018. "Evolution of the open innovation paradigm: Towards a contingent conceptual model," Technological Forecasting and Social Change, Elsevier, vol. 132(C), pages 284-298.
    23. Nikolaus Franke & Marion K. Poetz & Martin Schreier, 2014. "Integrating Problem Solvers from Analogous Markets in New Product Ideation," Management Science, INFORMS, vol. 60(4), pages 1063-1081, April.
    24. Joseph F. Hair & G. Tomas M. Hult & Christian M. Ringle & Marko Sarstedt & Kai Oliver Thiele, 2017. "Mirror, mirror on the wall: a comparative evaluation of composite-based structural equation modeling methods," Journal of the Academy of Marketing Science, Springer, vol. 45(5), pages 616-632, September.
    25. Howard Van Auken & Antonia Madrid-Guijarro & Domingo Garcia-Perez-de-Lema, 2008. "Innovation and performance in Spanish manufacturing SMEs," International Journal of Entrepreneurship and Innovation Management, Inderscience Enterprises Ltd, vol. 8(1), pages 36-56.
    26. Christensen, Jens Froslev & Olesen, Michael Holm & Kjaer, Jonas Sorth, 2005. "The industrial dynamics of Open Innovation--Evidence from the transformation of consumer electronics," Research Policy, Elsevier, vol. 34(10), pages 1533-1549, December.
    27. Radziwon, Agnieszka & Bogers, Marcel, 2019. "Open innovation in SMEs: Exploring inter-organizational relationships in an ecosystem," Technological Forecasting and Social Change, Elsevier, vol. 146(C), pages 573-587.
    28. Doohee Chung & Marco Jinhwan Kim & Jina Kang, 2019. "Influence of alliance portfolio diversity on innovation performance: the role of internal capabilities of value creation," Review of Managerial Science, Springer, vol. 13(5), pages 1093-1120, November.
    29. André Spithoven & Wim Vanhaverbeke & Nadine Roijakkers, 2013. "Open innovation practices in SMEs and large enterprises," Small Business Economics, Springer, vol. 41(3), pages 537-562, October.
    30. Unger, Barbara & Kock, Alexander & Gemünden, Hans Georg & Jonas, Daniel, 2012. "Enforcing Strategic Fit of Project Portfolios by Project Moderating Role of Portfolio Complexity," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 63282, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
    31. Jose-Luis Hervas-Oliver & Francisca Sempere-Ripoll & Carles Boronat-Moll, 2014. "Process innovation strategy in SMEs, organizational innovation and performance: a misleading debate?," Small Business Economics, Springer, vol. 43(4), pages 873-886, December.
    32. Feranita, Feranita & Kotlar, Josip & De Massis, Alfredo, 2017. "Collaborative innovation in family firms: Past research, current debates and agenda for future research," Journal of Family Business Strategy, Elsevier, vol. 8(3), pages 137-156.
    33. Peter Love & Heng Li & Zahir Irani & Olusegun Faniran, 2000. "Total quality management and the learning organization: a dialogue for change in construction," Construction Management and Economics, Taylor & Francis Journals, vol. 18(3), pages 321-331.
    34. Jeffrey G. Covin & Dennis P. Slevin, 1989. "Strategic management of small firms in hostile and benign environments," Strategic Management Journal, Wiley Blackwell, vol. 10(1), pages 75-87, January.
    35. Greco, Marco & Grimaldi, Michele & Cricelli, Livio, 2016. "An analysis of the open innovation effect on firm performance," European Management Journal, Elsevier, vol. 34(5), pages 501-516.
    36. Escribá-Carda, Naiara & Balbastre-Benavent, Francisco & Teresa Canet-Giner, M., 2017. "Employees' perceptions of high-performance work systems and innovative behaviour: The role of exploratory learning," European Management Journal, Elsevier, vol. 35(2), pages 273-281.
    37. Gabriele Santoro & Alberto Ferraris & Elisa Giacosa & Guido Giovando, 2018. "How SMEs Engage in Open Innovation: a Survey," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 9(2), pages 561-574, June.
    38. Roland Helm & Herbert Endres & Stefan Hüsig, 2019. "When and how often to externally commercialize technologies? a critical review of outbound open innovation," Review of Managerial Science, Springer, vol. 13(2), pages 327-345, April.
    39. Todd Morgan & Sergey Alexander Anokhin & Joakim Wincent, 2019. "Influence of market orientation on performance: the moderating roles of customer participation breadth and depth in new product development," Industry and Innovation, Taylor & Francis Journals, vol. 26(9), pages 1103-1120, October.
    40. Nwachukwu, Saviour L. S. & Vitell Jr., Scott J. & Gilbert, Faye W. & Barnes, James H., 1997. "Ethics and Social Responsibility in Marketing: An Examination of the Ethical Evaluation of Advertising Strategies," Journal of Business Research, Elsevier, vol. 39(2), pages 107-118, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wang, Xinxin & Qin, Yong & Xu, Zeshui & Škare, Marinko, 2022. "A look at the focus shift in innovation literature due to Covid-19 pandemic," Journal of Business Research, Elsevier, vol. 145(C), pages 1-20.
    2. Antonio Duréndez & Julio Dieguez-Soto & Antonia Madrid-Guijarro, 2023. "The influence of CEO’s financial literacy on SMEs technological innovation: the mediating effects of MCS and risk-taking," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 9(1), pages 1-26, December.
    3. Omar Carrasco-Carvajal & Mauricio Castillo-Vergara & Domingo García-Pérez-de-Lema, 2023. "Measuring open innovation in SMEs: an overview of current research," Review of Managerial Science, Springer, vol. 17(2), pages 397-442, February.
    4. Zoppelletto, Alessia & Orlandi, Ludovico Bullini & Zardini, Alessandro & Rossignoli, Cecilia & Kraus, Sascha, 2023. "Organizational roles in the context of digital transformation: A micro-level perspective," Journal of Business Research, Elsevier, vol. 157(C).
    5. Wilson, Grant Alexander & Case, Tyler & Dobni, C. Brooke, 2023. "A global study of innovation-oriented firms: Dimensions, practices, and performance," Technological Forecasting and Social Change, Elsevier, vol. 187(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Omar Carrasco-Carvajal & Mauricio Castillo-Vergara & Domingo García-Pérez-de-Lema, 2023. "Measuring open innovation in SMEs: an overview of current research," Review of Managerial Science, Springer, vol. 17(2), pages 397-442, February.
    2. Domingo García Pérez-De-Lema & Peter Bent Hansen & Antonia Madrid-Gujjarro & Jane Lucia Silva-Santos, 2019. "INFLUENCE OF THE BUSINESS ENVIRONMENT IN THE DYNAMICS OF INNOVATION AND IN THE PERFORMANCE OF SMEs," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 23(05), pages 1-25, June.
    3. Lu, Qinli & Chesbrough, Henry, 2022. "Measuring open innovation practices through topic modelling: Revisiting their impact on firm financial performance," Technovation, Elsevier, vol. 114(C).
    4. Carmona-Lavado, Antonio & Cuevas-Rodríguez, Gloria & Cabello-Medina, Carmen & Fedriani, Eugenio M., 2021. "Does open innovation always work? The role of complementary assets," Technological Forecasting and Social Change, Elsevier, vol. 162(C).
    5. Greco, Marco & Grimaldi, Michele & Locatelli, Giorgio & Serafini, Mattia, 2021. "How does open innovation enhance productivity? An exploration in the construction ecosystem," Technological Forecasting and Social Change, Elsevier, vol. 168(C).
    6. Lingyan Meng & Md Qamruzzaman & Anass Hamad Elneel Adow, 2021. "Technological Adaption and Open Innovation in SMEs: An Strategic Assessment for Women-Owned SMEs Sustainability in Bangladesh," Sustainability, MDPI, vol. 13(5), pages 1-22, March.
    7. JUSTIN DORAN & NOIRIN McCARTHY & MARIE O’CONNOR, 2019. "The Importance Of Internal Knowledge Generation And External Knowledge Sourcing For Sme Innovation And Performance: Evidence From Ireland," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 23(07), pages 1-30, October.
    8. Yildirim, Ercan & AR, Ilker Murat & Dabić, Marina & Baki, Birdogan & Peker, Iskender, 2022. "A multi-stage decision making model for determining a suitable innovation structure using an open innovation approach," Journal of Business Research, Elsevier, vol. 147(C), pages 379-391.
    9. Graciela Corral De Zubielqui & Janice Jones & Laurence Lester, 2017. "KNOWLEDGE INFLOWS FROM MARKET- AND SCIENCE-BASED ACTORS, ABSORPTIVE CAPACITY, INNOVATION AND PERFORMANCE: A STUDY OF SMEs," World Scientific Book Chapters, in: Joe Tidd (ed.), Promoting Innovation in New Ventures and Small- and Medium-Sized Enterprises, chapter 15, pages 359-391, World Scientific Publishing Co. Pte. Ltd..
    10. Lindomar Subtil Oliveira & Márcia E. Soares Echeveste & Marcelo Nogueira Cortimiglia & Aline C. Gularte, 2019. "Open Innovation in Regional Innovation Systems: Assessment of Critical Success Factors for Implementation in SMEs," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 10(4), pages 1597-1619, December.
    11. Singh, Sanjay Kumar & Gupta, Shivam & Busso, Donatella & Kamboj, Shampy, 2021. "Top management knowledge value, knowledge sharing practices, open innovation and organizational performance," Journal of Business Research, Elsevier, vol. 128(C), pages 788-798.
    12. Lopes, Ana Paula Vilas Boas Viveiros & de Carvalho, Marly Monteiro, 2018. "Evolution of the open innovation paradigm: Towards a contingent conceptual model," Technological Forecasting and Social Change, Elsevier, vol. 132(C), pages 284-298.
    13. Hervas-Oliver, Jose-Luis & Sempere-Ripoll, Francisca & Boronat-Moll, Carles, 2021. "Technological innovation typologies and open innovation in SMEs: Beyond internal and external sources of knowledge," Technological Forecasting and Social Change, Elsevier, vol. 162(C).
    14. Livieratos, Antonios D. & Tsekouras, George & Vanhaverbeke, Wim & Angelakis, Antonios, 2022. "Open Innovation moves in SMEs: How European SMEs place their bets?," Technovation, Elsevier, vol. 117(C).
    15. Ovuakporie, Oghogho Destina & Pillai, Kishore Gopalakrishna & Wang, Chengang & Wei, Yingqi, 2021. "Differential moderating effects of strategic and operational reconfiguration on the relationship between open innovation practices and innovation performance," Research Policy, Elsevier, vol. 50(1).
    16. Syamsari Syamsari & Muhammad Ramaditya & Irma Andriani & Ayu Puspitasari, 2022. "Selecting Priority Policy Strategies for Sustainability of Micro, Small, and Medium Enterprises in Takalar Regency," Sustainability, MDPI, vol. 14(23), pages 1-12, November.
    17. Simona Gentile-Lüdecke & Rui Torres de Oliveira & Justin Paul, 2020. "Does organizational structure facilitate inbound and outbound open innovation in SMEs?," Small Business Economics, Springer, vol. 55(4), pages 1091-1112, December.
    18. González-Moreno, Ángela & Triguero, Ángela & Sáez-Martínez, Francisco José, 2019. "Many or trusted partners for eco-innovation? The influence of breadth and depth of firms' knowledge network in the food sector," Technological Forecasting and Social Change, Elsevier, vol. 147(C), pages 51-62.
    19. Tsai, Fu-Sheng & Cabrilo, Sladjana & Chou, Hsin-Hui & Hu, Feng & Tang, Au Due, 2022. "Open innovation and SME performance: The roles of reverse knowledge sharing and stakeholder relationships," Journal of Business Research, Elsevier, vol. 148(C), pages 433-443.
    20. Mario Barchi & Marco Greco, 2018. "Negotiation in Open Innovation: A Literature Review," Group Decision and Negotiation, Springer, vol. 27(3), pages 343-374, June.

    More about this item

    Keywords

    Open innovation; Risk-taking; Innovation strategy; SMEs; Human capital;
    All these keywords.

    JEL classification:

    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • M10 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - General
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • L20 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:rvmgts:v:15:y:2021:i:7:d:10.1007_s11846-020-00419-8. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.