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The Effects of Intellectual Capital and Supplier Knowledge Integration on Innovation
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Author: Min Zhang, U. of East Anglia
Author: Yinan Qi, U. of International Business and Economics
Author: Zhiqiang Wang, South China U. of Technology
Author: Kulwant Pawar, The U. of Nottingham
Author: Xiande Zhao, China Europe International Business School
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Both China and India are emerging as global centres for innovation. Chinese and Indian manufacturers rely on knowledge from both internal and external sources and supply chain capabilities to develop new products. However, there is limited empirical evidence on how knowledge is leveraged for innovation in these two countries. A research model is proposed to investigate the relationships among intellectual capital, which has three dimensions (i.e., human capital, structural capital and social capital), supplier knowledge integration, supply chain adaptability, and innovation performance in China and India. The hypotheses are empirically tested and compared using multiple group structural equation modelling and data collected from 300 Chinese and 200 Indian manufacturers. The results show that there are both similarities and differences regarding the effects of intellectual capital and supplier knowledge integration on innovation performance in these two countries. Intellectual capital and supply chain adaptability enhance innovation performance in both China and India. We also find that intellectual capital positively associates with supplier knowledge integration, which enhances supply chain adaptability. However, the direct impact of supplier knowledge integration on innovation performance is only significant in India, and the effect of intellectual capital on innovation performance is significantly higher in China than in India.
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Search Terms: intellectual capital | innovation | supply chain
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Paper is No Longer Available Online: Please contact the author(s).
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Asymmetrical Joint Action Expectations and Product Innovation Performance: A Conceptual Model
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Author: Hugo DeCampos, Wayne State U.
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This paper establishes a case for asymmetrical joint action expectations (AJAE) as a valid phenomenon in interfirm relations and as relevant to innovation performance in the supply chain. The paper lays the theoretical foundation of understanding how differing marginal cost and benefit curves associated with joint action between two firms can lead to differing optimal levels and therefore differing expectations regarding the desired level of joint action across those firms.
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Search Terms: joint action | innovation | supply chain
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Paper is No Longer Available Online: Please contact the author(s).
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Core Capabilities, Decision Making Norms, and Operational Innovation
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Author: Jie G. McCardle, Idaho State U.
Author: Thomas Kull, Arizona State U.
Author: Zhongzhi Liu, Arizona State U.
Author: Dennis Krumwiede, Idaho State U.
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Firm-specific and path dependent resources and capabilities can fuel innovation. In this study, we posit and examine the unique contribution of several core capabilities toward operational innovation in manufacturing plants. We find that engineering capability, technical capability, and proprietary resources have strong impact on both process and product innovation. We also examine the role of decision culture, as a unique core capability, in innovation. The results support a complementary model of dual process of decision making: both analytic and tacit norms positively contribute to innovation. Tacit decision norm also positively moderates the relationship between engineering capability and process innovation. In addition, our analysis shows an indirect mediating relationship between process innovation, product innovation, and new product performance. Our study highlights the strategic importance of developing a decision culture that integrates the paradoxical analytic and tacit decision approaches, besides the knowledge and skills capabilities, in the pursuit of innovation effectiveness.
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Search Terms: Core capabilities | Decision Making Norms | Operational Innovation
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Paper is No Longer Available Online: Please contact the author(s).
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High Variety Product Offerings and Company Performance
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Author: Moritz Wellige, RWTH Aachen U.
Author: Robin Kleer, RWTH Aachen U.
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Prior studies have emphasized that various organizational capabilities are crucial for companies pursuing a high variety product strategy. Necessary is their solution space development capability, which describes a company's ability to develop a set of product variants that allows to address a broad range of customers with heterogeneous needs as accurately as possible. However, literature suggest that further capabilities are required for successfully pursuing high variety strategies. First, a robust process capability is required in manufacturing, targeting a flexible but efficient manufacturing system. Second, an interaction competence capability is necessary in marketing, aiming at the efficient exchange of information with customers during the customization process. Despite the high relevance of these capabilities for the success of companies pursuing a high variety strategy, our understanding of their interrelations is limited. In this study, a conceptual model is derived from theory and empirically tested using a sample of 193 manufacturing companies. Results highlight that interaction competence and robust process design mediate the direct effect of solution space development on company performance. Findings also indicate that the three capabilities influence financial success indirectly through company performance. These results can help scholars and managers to better understand the foundation of sustainable company performance and financial success of companies pursuing a high variety product strategy. Furthermore, it can help managers conducting strategic considerations and deriving priorities to enhance company performance.
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Search Terms: High variety product strategy | capabilities | company performance
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Paper is No Longer Available Online: Please contact the author(s).
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