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An investigation into the development of the absorptive capacity of manufacturing SMEs

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  • Mohammed Saad
  • Vikas Kumar
  • John Bradford

Abstract

To sustain their competitive advantage in a highly competitive landscape, SMEs, in spite of their limited resources, need to effectively learn. The ability to access and successfully use knowledge is at the heart of absorptive capacity. The main purpose of this empirical study is to investigate the importance of awareness as an antecedent dimension of the concept of absorptive capacity of manufacturing SMEs from aerospace and advanced engineering industry in the UK. The study will also attempt to explore the impact of awareness on the other dimensions of absorptive capacity. Awareness is related to the importance, motivation and interest of learning and innovating. Our study, which focuses on internal processes adopts a mixed method approach and is based on the data collected from 43 SMEs. Our finding suggests that awareness as an antecedent dimension can play a vital role in helping SMEs to improve their knowledge-based resources through changes within their internal organisational and cognitive processes.

Suggested Citation

  • Mohammed Saad & Vikas Kumar & John Bradford, 2017. "An investigation into the development of the absorptive capacity of manufacturing SMEs," International Journal of Production Research, Taylor & Francis Journals, vol. 55(23), pages 6916-6931, December.
    • Handle: RePEc:taf:tprsxx:v:55:y:2017:i:23:p:6916-6931
    DOI: 10.1080/00207543.2017.1327728
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    References listed on IDEAS

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    1. Vlačić, Ernest & Dabić, Marina & Daim, Tugrul & Vlajčić, Davor, 2019. "Exploring the impact of the level of absorptive capacity in technology development firms," Technological Forecasting and Social Change, Elsevier, vol. 138(C), pages 166-177.
    2. Benhayoun, Lamiae & Le Dain, Marie-Anne & Dominguez-Péry, Carine & Lyons, Andrew C., 2020. "SMEs embedded in collaborative innovation networks: How to measure their absorptive capacity?," Technological Forecasting and Social Change, Elsevier, vol. 159(C).
    3. Kai Wu & Ghassan Beydoun & Osama Sohaib & Asif Gill, 2022. "The Co-construct/ Co-evolving Process between Organization’s Absorptive Capacity and Enterprise System Practice under Changing Context: The Case of ERP Practice," Information Systems Frontiers, Springer, vol. 24(6), pages 2123-2138, December.
    4. Chrisovalantis Malesios & Prasanta K. Dey & Fuad Ben Abdelaziz, 2020. "Supply chain sustainability performance measurement of small and medium sized enterprises using structural equation modeling," Annals of Operations Research, Springer, vol. 294(1), pages 623-653, November.

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