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The purpose of this paper is to suggest a conceptual framework of collaborative networking among structurally and functionally varying types of Innovation Laboratories, which will enable them to leverage upon diverse competencies of each other and thereby facilitate their clients (business organizations) throughout the innovation process.

The conceptual framework proposed herein is oriented around design science research, whereby the important constructs underpinning the development of framework are identified from existing literature. The framework is based upon two constructs, service-based categorization of extant Innovation Laboratories, and concepts of horizontal and vertical modes of inter-InnoLab collaboration (collaboration among Innovation Laboratories). The framework is subsequently developed in iterations based on experts’ views and discussions.

The conceptual framework presents eight different opportunities of interconnection among Innovation Laboratories including the four horizontal collaboration possibilities as network of mentors, network of process intermediaries, network of resource providers and network of network coordinators which are followed by four subsequent vertical collaboration possibilities among these horizontal collaboration networks. The proposed collaborative network of Innovation Laboratories enables undertaking of complete innovation process with four possible entry and four possible exit points for business organizations.

The conceptual framework proposed herein is first of its kind to suggest a worldwide collaborative networking among Innovation Laboratories. The applicability and usefulness of the framework is supported by the existing ad hoc type individual collaborative activities being exercised by different kinds of Innovation Laboratories as reported by Innovation Laboratory facilitators and observed in practical field.

The paper aims to discuss the role of innovation labs as innovative management models to foster digital and continuous innovation practices within organisations of the digital ecosystem. A meta-model resulting from the analysis of the case study is proposed to describe the key phases and the relevant issues for the effective management of innovation labs as catalysts of digital innovation.

The paper combines theoretical insights with the empirical evidence gathered from a case study. The case study concerns the analysis of an innovation lab engaged in fostering innovation capacity and supporting digital transformation in a regional tourism ecosystem.

The study advances theoretical and practical knowledge about how to effectively design and manage innovation labs. Furthermore, the research provides scholars and practitioners with useful insights and implications for the elaboration, development and assessment of the managerial initiatives aimed at supporting organisations in facing the severe challenges of digital transformation, as well as in increasing organisations’ innovation capacity and continuous innovation attitudes.

The originality and value of the paper reside in enriching the empirical base for a later theory building on management issues of innovation labs, as well as in the proposal of a grounded-theory-based model for their successful management. In doing so, the study fills a relevant gap emerging in the current literature such as the lack of studies dealing with management models for the implementation of digital innovation strategies to manage digital knowledge, foster continuous innovation and based on innovative approaches and methodologies.

As innovation has been recognised as important in improving construction company performances, this study aims to determine the effects of client focus and company type on innovation and company financial performances.

A self-administered questionnaire was sent to 300 architectural and contractor companies and 163 (54.3%) were returned. The questionnaire data were analysed using a partial least squares structural equation modelling.

Client focus was found to have a complementary partial mediation effect on the relationships between innovation and company financial performance and that innovation independently affected company financial performance with the influence being stronger in the architecture companies than in the contractor companies.

The study adopted a broad definition for innovation without considering the innovation types. As different types of innovation require distinct knowledge, skills, capabilities and management practices, future studies could investigate the various types of innovation and their effects on financial performance.

The findings provide valuable suggestions for principals, top management and policymakers on the importance of client focus when developing and disseminating innovation within the company. Also, architecture companies should focus on implementing innovation to stay competitive.

The mediating effects of client focus and the moderating effects of company type were simultaneously analysed on the relationship between innovation and financial performance.