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Integrative capability and technology adoption: evidence from oil firms

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  • Jaana Woiceshyn
  • Urs Daellenbach

Abstract

For most companies, adopting new technology is a necessity of survival. But why do some firms fare better than others in adopting new technology? Why do some firms possess a greater ability to integrate it into their operations than others? These questions are addressed via a comparative case study of oil firms that all adopted the same technology: horizontal drilling. Two efficacious and two less efficacious adopters were contrasted. They differed in the processes of adoption: the efficacious adopters developed strong strategic commitment to the technology early, facilitating their more extensive external and internal integration activities. The more efficacious firms differed from the less efficacious ones also in their knowledge systems: employee skills, technical and managerial systems, and values and norms. The firms' integrative capability developed through a dynamic interplay of adoption processes and their knowledge systems, and affected efficacy of adoption. We contribute to the literature on firm capabilities by providing an empirically based model of the development of integrative capability in the context of high-uncertainty technology adoption. Copyright 2005, Oxford University Press.

Suggested Citation

  • Jaana Woiceshyn & Urs Daellenbach, 2005. "Integrative capability and technology adoption: evidence from oil firms," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 14(2), pages 307-342, April.
    • Handle: RePEc:oup:indcch:v:14:y:2005:i:2:p:307-342
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    Cited by:

    1. Ojha, Divesh & Patel, Pankaj C. & Sridharan, Sri V., 2020. "Dynamic strategic planning and firm competitive performance: A conceptualization and an empirical test," International Journal of Production Economics, Elsevier, vol. 222(C).
    2. Tarighi, Sina & Shavvalpour, Saeed, 2021. "Technological development of E&P companies in developing countries: An integrative approach to define and prioritize customized elements of technological capability in EOR," Resources Policy, Elsevier, vol. 72(C).
    3. Chirumalla, Koteshwar, 2021. "Building digitally-enabled process innovation in the process industries: A dynamic capabilities approach," Technovation, Elsevier, vol. 105(C).
    4. Demetrios Vakratsas & Zhenfeng Ma, 2009. "Firm adaptiveness and performance heterogeneity: the case of sales–advertising dynamics in an evolving product market," Journal of Evolutionary Economics, Springer, vol. 19(1), pages 21-40, February.
    5. Shah, Arsalan Nisar & Palacios, Miguel & Ruiz, Felipe, 2013. "Strategic rigidity and foresight for technology adoption among electric utilities," Energy Policy, Elsevier, vol. 63(C), pages 1233-1239.
    6. Nhat Strøm-Andersen, 2019. "Incumbents in the Transition Towards the Bioeconomy: The Role of Dynamic Capabilities and Innovation Strategies," Sustainability, MDPI, vol. 11(18), pages 1-20, September.
    7. Chia-Wen Hsu & Homin Chen, 2009. "Foreign Direct Investment and Capability Development," Management International Review, Springer, vol. 49(5), pages 585-605, October.
    8. Rosa Jordá-Borrell & Francisca Ruiz-Rodríguez & Reyes González-Relaño, 2015. "Factors and taxonomy of technology purchase (TP) by internationalized innovative companies in peripheral European regions," Papers in Regional Science, Wiley Blackwell, vol. 94, pages 139-174, November.
    9. MahdaviMazdeh, Hossein & Saunders, Chad & Hawkins, Richard William & Dewald, Jim, 2021. "Reconsidering the dynamics of innovation in the natural resource industries," Resources Policy, Elsevier, vol. 72(C).
    10. Mohsen, Kholoud & Eng, Teck-Yong, 2016. "The antecedents of cross-functional coordination and their implications for marketing adaptiveness," Journal of Business Research, Elsevier, vol. 69(12), pages 5946-5955.
    11. Pablo Martínez de Miguel & Carmen De-Pablos-Heredero & Jose Luis Montes & Antón García, 2022. "Impact of Dynamic Capabilities on Customer Satisfaction through Digital Transformation in the Automotive Sector," Sustainability, MDPI, vol. 14(8), pages 1-19, April.
    12. Nisar, Arsalan & Ruiz, Felipe & Palacios, Miguel, 2013. "Organisational learning, strategic rigidity and technology adoption: Implications for electric utilities and renewable energy firms," Renewable and Sustainable Energy Reviews, Elsevier, vol. 22(C), pages 438-445.
    13. Carlos Hernán González Campo & Andrea Hurtado Ayala, 2014. "Propuesta de un indicador de capacidad de absorción del conocimiento (ICAC-COL): evidencia empírica para el sector servicios en Colombia," Revista Facultad de Ciencias Económicas, Universidad Militar Nueva Granada, vol. 0(2), pages 29-46, December.

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