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Article
Publication date: 2 May 2023

Miao Hu, Shenyang Jiang and Baofeng Huo

Drawing on absorptive capacity theory, this study explores the impacts of supply visibility and demand visibility on product innovation (i.e. exploratory and exploitative

Abstract

Purpose

Drawing on absorptive capacity theory, this study explores the impacts of supply visibility and demand visibility on product innovation (i.e. exploratory and exploitative innovation), and it examines how supplier integration, customer integration and internal integration mediate these impacts.

Design/methodology/approach

The authors employ empirical survey data from 200 Chinese manufacturers and use structural equation modeling to test the proposed relationships.

Findings

The results show that supply visibility is positively related to supplier integration and internal integration and that demand visibility is positively related to customer integration. Furthermore, only customer integration and internal integration positively relate to exploratory and exploitative innovation.

Originality/value

First, this study emphasizes that supply visibility and demand visibility are important sources of a firm's innovation performance and that supply chain integration increases focal firms' capability of exploiting information and facilitates product innovation. Second, the study shows that supply visibility and demand visibility have distinct effects on three dimensions of supply chain integration and exploratory and exploitative innovation. The study also provides significant managerial guidelines for effectively leveraging supply chain visibility and integration in the promotion of product innovation.

Open Access
Article
Publication date: 4 January 2022

Xin He, Xia Wu, David Croasdell and Yanhai Zhao

The investigation of organization's ambidextrous innovation is a challenge in the research studies of management sciences. As existent literature showed a positive relation…

1372

Abstract

Purpose

The investigation of organization's ambidextrous innovation is a challenge in the research studies of management sciences. As existent literature showed a positive relation between dynamic capability (DC) and innovation, few empirical studies are conducted to explain how DC impacts on the balanced and combined dimension of ambidexterity and still less on how social network moderates this relation. As a result, this paper aims to investigate and provide empirical evidence on DC’s influence on ambidexterity in the context of China.

Design/methodology/approach

By a relational model of DC, ambidextrous innovation and social network, this study has conducted multiple regression analysis on the data collected from 350 small and medium enterprises (SMEs) in mainland China.

Findings

The results show that, DC has positive influence on both the combined and balanced dimension of ambidexterity; and both the relational network and structural network play an inverted U moderating role, where the moderation of relational network is stronger than that of structural network.

Originality/value

This study provides empirical support on DC's influence on ambidexterity together with the moderation of social network.

Details

Journal of Small Business and Enterprise Development, vol. 29 no. 6
Type: Research Article
ISSN: 1462-6004

Keywords

Open Access
Article
Publication date: 19 December 2023

Ruxin Zhang, Jun Lin, Suicheng Li and Ying Cai

This study aims to explore how to overcome and address the loss of exploratory innovation, thereby achieving greater success in exploratory innovation. This phenomenon of loss…

Abstract

Purpose

This study aims to explore how to overcome and address the loss of exploratory innovation, thereby achieving greater success in exploratory innovation. This phenomenon of loss occurs when enterprises decrease their investment in and engagement with exploratory innovation, ultimately leading to an insufficient amount of such innovation efforts. Drawing on dynamic capabilities, this study investigates the relationship between organizational foresight and exploratory innovation and examines the moderating role of breakthrough orientation/financial orientation.

Design/methodology/approach

This study used survey data collected from 296 Chinese high-tech companies in multiple industries and sectors.

Findings

The evidence produced by this study reveals that three elements of organizational foresight (i.e. environmental scanning capabilities, strategic selection capabilities and integrating capabilities) positively influence exploratory innovation. Furthermore, this positive effect is strengthened in the context of a high-breakthrough orientation. Moreover, the relationships among environmental scanning capabilities, strategic selection capabilities and exploratory innovation become weaker as an enterprise’s financial orientation increases, whereas a strong financial orientation does not affect the relationship between integrating capabilities and exploratory innovation.

Research limitations/implications

Ambidexterity is key to successful enterprise innovation. Compared with exploitative innovation, it is by no means easy to engage in exploratory innovation, which is especially important in high-tech companies. While the loss of exploratory innovation has been observed, few empirical studies have explored ways to promote exploratory innovation more effectively. A key research implication of this study pertains to the role of organizational foresight in the improvement of exploratory innovation in the context of high-tech companies.

Originality/value

This paper contributes to the broader literature on exploratory innovation and organizational foresight and provides practical guidance for high-tech companies regarding ways of avoiding the loss of exploratory innovation and becoming more successful at exploratory innovation.

Details

Journal of Business & Industrial Marketing, vol. 39 no. 13
Type: Research Article
ISSN: 0885-8624

Keywords

Open Access
Article
Publication date: 28 February 2023

M. Isabel González-Ramos, Mario J. Donate and Fátima Guadamillas

This paper aims to analyze unexplored connections between economic, environmental and social dimensions of corporate social responsibility (CSR) and knowledge management (KM…

3496

Abstract

Purpose

This paper aims to analyze unexplored connections between economic, environmental and social dimensions of corporate social responsibility (CSR) and knowledge management (KM) strategies (exploration, exploitation), also considering environmental dynamism as an influencing variable on these connections. The predicted CSR-KM interplay suggests, from stakeholder and knowledge-based views of the firm, the existence of ideal configurations between CSR and KM strategies that generate differentiated impacts on companies’ innovation capabilities, especially in dynamic environments.

Design/methodology/approach

Structural equation modeling by means of the partial least squares technique was used to test the study’s hypotheses after collecting survey data from Spanish companies of the renewable energy sector.

Findings

The study findings show that in highly dynamic environments, companies will tend to commit prominently in CSR, although their orientation (economic, environmental, social) and effects on innovation capabilities will depend mainly on the selected KM strategies. Social and environmental CSR are found to be highly related to KM exploration, whereas economic CSR is highly related to KM exploitation. Nevertheless, while a significant indirect effect of economic CSR by means of the KM exploitation strategy on innovation capabilities is found, the proposed indirect effect of both environmental and social CSR through the KM exploration strategy on innovation capabilities is not significant.

Practical implications

The results suggest that company managers should be aware of the advantages of following specific paths of investment in KM and CSR initiatives in highly dynamic environments, as there is a potential payoff in terms of innovation capability improvement. The results also suggest that “good” relationships with stakeholders, built from specific CSR investments, make firms able to get valuable knowledge that it is useful to develop KM strategies for innovation capability development.

Originality/value

Previous studies do not consider the interplay between KM strategies and CSR as a catalyzer for developing a firm’s innovation capabilities. This paper contributes to the KM and innovation literatures by introducing CSR into the conversation about how to improve innovation capabilities in dynamic and sustainable industries by using configurations of KM strategies and specific CSR investments in economic, social and environmental areas.

Open Access
Article
Publication date: 12 February 2019

Susana Pasamar, Mirta Diaz-Fernandez and Ma Dolores de la Rosa-Navarro

There is some research showing that leadership behaviors could be important antecedents to learning, but knowledge is scarce on the impact of which leadership styles support…

11680

Abstract

Purpose

There is some research showing that leadership behaviors could be important antecedents to learning, but knowledge is scarce on the impact of which leadership styles support exploitative and explorative learning. The purpose of this paper is to hypothesize that transformational leadership – more concerned with innovation – will encourage generalist human capital (HC), while transactional leadership – more focused on the efficiency of existing operations – will promote specialist HC.

Design/methodology/approach

To test the hypotheses, the authors adopt a structural ambidexterity approach as the authors consider that organizations need units working on both types of learning.

Findings

The results show the versatile role of transformational leaders, who are able to promote both types of HC and, in turn, both types of organizational learning. The authors have also found that marketing departments are more willing to explore than production departments.

Originality/value

This study highlights the relevance of considering the department as a unit of analysis (structural ambidexterity approach), the significant role of transformational leaders in organizational learning and the mediating role of HC.

Details

European Journal of Management and Business Economics, vol. 28 no. 1
Type: Research Article
ISSN: 2444-8494

Keywords

Open Access
Article
Publication date: 8 October 2021

Matteo Mura, Pietro Micheli and Mariolina Longo

This study aims to investigate how dynamic tensions between performance measurement system (PMS) uses enable organizations to achieve both exploitation and exploration and enhance…

2834

Abstract

Purpose

This study aims to investigate how dynamic tensions between performance measurement system (PMS) uses enable organizations to achieve both exploitation and exploration and enhance firm performance.

Design/methodology/approach

The authors collected survey data on 153 Italian companies. Scales for each construct were validated through an exploratory factor analysis. Data on firm performance were cross-validated by using lagged accounting data. The authors tested our hypotheses using hierarchical ordinary least squares regressions, together with bootstrapping procedures for the test on mediation.

Findings

A diagnostic use of PMS has a positive association with both exploitation – e.g. reductions in total costs and lead times – and exploration, e.g. introduction of new products and extension of product ranges. The dynamic tension created by a joint diagnostic and interactive use has the strongest association with organizational ambidexterity, measured as the multiplicative interaction between exploration and exploitation.

Practical implications

If an organization or business unit is mainly pursuing exploitative goals, a mainly diagnostic use of PMS would be most suitable. If goals are both exploitative and explorative, a mix of diagnostic and interactive uses would be most effective.

Originality/value

This research helps reconcile conflicting views in the literature. The diagnostic use of PMS, far from acting as a “negative force,” appears to be necessary to guide opportunity search and to establish an appropriate scope for exploration-related activities. The authors’ focus on the uses of PMSs shows that ambidexterity is achieved through managerial capability, rather than just through the introduction of systems and structures.

Details

International Journal of Operations & Production Management, vol. 41 no. 13
Type: Research Article
ISSN: 0144-3577

Keywords

Open Access
Article
Publication date: 7 August 2017

Per Erik Eriksson

The purpose of this study is to investigate how procurement strategies may be designed to facilitate exploration and exploitation in construction projects.

12302

Abstract

Purpose

The purpose of this study is to investigate how procurement strategies may be designed to facilitate exploration and exploitation in construction projects.

Design/methodology/approach

This paper is based on a literature review of organizational research and construction management literature together with a brief interview study of Swedish clients and contractors.

Findings

The theoretical and empirical findings propose that small and simple projects with low uncertainty and scarce resources may focus on exploitation to enhance short-term efficiency through traditional procurement strategies including delivery systems that separate the actors and their activities (i.e. pure design-build- or design-bid-build-contracts), fixed price payment and price focus in bid evaluation. Large complex projects with high uncertainty and customization benefit from combining exploration and exploitation to enhance sustainable performance. This requires collaborative procurement strategies including joint specification through early contractor involvement, cost reimbursement coupled with incentive-based payment, bid evaluation based on multiple criteria and collaborative tools and activities in partnering arrangements.

Research limitations/implications

This paper contributes to organizational learning literature by pinpointing the need for integrating procurement strategies that enhance combination of exploration and exploitation. The main contribution to the construction management literature involves the investigation of how procurement strategies may affect exploration and exploitation, as identified and articulated in the propositions developed in this paper.

Practical implications

From a practical perspective, the findings highlight the importance of tailoring procurement strategies to project characteristics to enhance a suitable balance between exploration and exploitation in construction projects.

Originality/value

The explicit focus on the operational project-level is uncommon but relevant in organizational learning literature.

Details

Journal of Financial Management of Property and Construction, vol. 22 no. 2
Type: Research Article
ISSN: 1366-4387

Keywords

Open Access
Article
Publication date: 5 August 2019

Risto Rajala, Saara A. Brax, Ari Virtanen and Anna Salonen

The purpose of this paper is to identify integrated solutions business as the first generation of servitized offerings and modular solution offerings as the second development…

4732

Abstract

Purpose

The purpose of this paper is to identify integrated solutions business as the first generation of servitized offerings and modular solution offerings as the second development phase in servitization of original equipment manufacturers. This study examines how the servitized manufacturer, Kone, moves from integrated solutions to modular solutions business and develops the requisite capabilities to design, produce and implement modular solution offerings.

Design/methodology/approach

The paper reports a longitudinal case study of a provider of integrated solutions installed in buildings. During the ten years studied, the manufacturer implemented a strategic initiative to modularize its integrated solutions offering.

Findings

The firm’s transition to modular solutions progressed through three major capability development phases: solutions based on ad hoc integration, smart solutions based on modular design and through-chain modularity. The modular structure aims at fostering the efficiency of the solution offering and the associated production system.

Research limitations/implications

Leveraging the benefits of modularity calls for an aligned combination of strategic, operational and technical capabilities contributing to the integration of resources in a modular production system for the solution providers’ competitive performance.

Practical implications

The study reports how a solution provider can develop the operational capabilities to integrate the core and peripheral components into the solution, and orchestrate the modular production system.

Originality/value

This study is a rare longitudinal analysis of how a manufacturer builds a modular offering, the solution platform and the required competitive capabilities to provide the solution.

Details

International Journal of Operations & Production Management, vol. 39 no. 5
Type: Research Article
ISSN: 0144-3577

Keywords

Open Access
Article
Publication date: 13 September 2021

Johannes W.F.C. van Lieshout, Jeroen M. van der Velden, Robert J. Blomme and Pascale Peters

Establishing a competitive advantage in today's dynamic environment involves optimizing an organization's exploration and exploitation strategy. This paper aims to explore how an…

6555

Abstract

Purpose

Establishing a competitive advantage in today's dynamic environment involves optimizing an organization's exploration and exploitation strategy. This paper aims to explore how an open innovation strategy complements the organization's ambidextrous strategy in attaining a competitive advantage. Organizational ambidexterity and dynamic capability theories are also explored to investigate the impact of open innovation on the organization's ambidextrous strategy and competitive advantage – especially inbound and outbound open innovation.

Design/methodology/approach

The authors conducted a systematic literature review using Boolean search techniques, which was focused on the research fields of the sub-areas of general management, strategy, innovation, organization studies, information management, entrepreneurship, international business, marketing, and economics, supplemented by the snowball technique.

Findings

Organizations that combine their ambidextrous strategy with open innovation attributes achieve a competitive advantage through developing their dynamic capabilities by which organizations change their value proposition. This study also shows that an ambidextrous strategy should no longer be viewed as a structural solution implemented by management, but also as a bottom-up intervention. Additionally, the authors found that the organization's dynamic capabilities establish a feedback loop, which changes the organization's ambidextrous strategy to resolve the efficiency–agility paradox.

Originality/value

Previous research has focused on strategic orientation; however, hardly any research has investigated how the interrelatedness of open innovation, organizational ambidexterity and dynamic capabilities support a competitive advantage. The authors present a conceptual model that inspires new research avenues.

Details

European Journal of Management Studies, vol. 26 no. 2/3
Type: Research Article
ISSN: 2183-4172

Keywords

Open Access
Article
Publication date: 9 February 2022

Eric Zabiegalski and Michael John Marquardt

This article couples organizational theory with practice with the union of action learning and the ambidextrous organization. It aims to show how action learning contributes to…

2139

Abstract

Purpose

This article couples organizational theory with practice with the union of action learning and the ambidextrous organization. It aims to show how action learning contributes to the creation and sustainment of an ambidextrous (learning) organization.

Design/methodology/approach

A side-by-side comparison of action learning and the ambidextrous organization was used.

Findings

Action learning “teaches” and promotes the framework and processes of ambidexterity and the practical creation of learning organizations. An action learning team in action performs like an ambidextrous organization to the extent that “acting” is synonymous with exploitation and “learning” with exploration.

Research limitations/implications

Action learning is a powerful tool for the ambidextrous organization, serving as a template for the practitioner to create a learning organization.

Originality/value

This paper extends the literature on organizational structure, leadership, culture and change as it relates to ambidexterity, learning organizations and action learning. It integrates learning theory through action learning with the practice of the ambidextrous organization. A synergistic theory/practice circle is created through the combination of the processes of “theory informing theory” from academia and “practice informing practice” from industry, creating a “theory informing practice and practice validating and updating better theory” circle.

Details

Journal of Work-Applied Management, vol. 14 no. 2
Type: Research Article
ISSN: 2205-2062

Keywords

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