Improvisation for innovation: The contingent role of resource and structural factors in explaining innovation capability

Date

2018-03-13

Advisors

Journal Title

Journal ISSN

ISSN

0166-4972

Volume Title

Publisher

Elsevier

Type

Article

Peer reviewed

Yes

Abstract

This paper focuses on resource and structural factors to explore the relationship between organizational improvisation and innovation capability. Although the role of improvisation has attracted increasing academic attention in fast-changing environments, little is known about the conditions under which firms benefit from improvisation. This paper addresses this gap using an organizational learning perspective that explains the role of a firm's organizational structure and organizational resources for improvisation and innovation. A large-scale survey in China finds that firms vary in their levels of (I) centralization and formalization of decision making and (II) resource slack and investment irreversibility and that these factors moderate the relationship between improvisation and innovation capability in distinct ways. Consistent with our theorizing, improvisation enhances innovation capability when firms have a decentralized but formalized structure or pursue the dual goals of maximizing resource slack and minimizing investment irreversibility.

Description

The file attached to this record is the author's final peer reviewed version. The Publisher's final version can be found by following the DOI link.

Keywords

Improvisation, Innovation, Innovation capabilities, Centralization, Formalization, Resource slack, China

Citation

Yang, L., Lv, D., Ying, Y., Arndt, F. and Wei, J. (2018) Improvisation for innovation: The contingent role of resource and structural factors in explaining innovation capability. Technovation, 74-75, pp. 32-41

Rights

Research Institute

Centre for Enterprise and Innovation (CEI)