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Top Management Team Search and New Knowledge Creation

Author

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  • Mariano L. M. Heyden
  • Jatinder S. Sidhu
  • Frans A. J. Van Den Bosch
  • Henk W. Volberda

Abstract

This article probes the vital role a top management team (TMT) plays in the coupling of knowledge elements assembled through local and nonlocal search into radically new, exploratory innovations and incrementally new, exploitative innovations. It theorizes that the materialization of exploratory and exploitative innovations from a firm's recombinatory stock of knowledge elements is contingent on the interplay between a TMT's experience diversity and its shared vision. Multigroup structural equation modeling of data from a large cross-section of firms in the Netherlands supports the theoretical model. We find that although greater variation in TMT experiences fosters exploratory innovations, lesser variation promotes exploitative innovations. A shared TMT vision moderates these relationships. We discuss the implications for research and practice.

Suggested Citation

  • Mariano L. M. Heyden & Jatinder S. Sidhu & Frans A. J. Van Den Bosch & Henk W. Volberda, 2012. "Top Management Team Search and New Knowledge Creation," International Studies of Management & Organization, Taylor & Francis Journals, vol. 42(4), pages 27-51, January.
    • Handle: RePEc:taf:mimoxx:v:42:y:2012:i:4:p:27-51
    DOI: 10.2753/IMO0020-8825420402
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    Citations

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    Cited by:

    1. Xie, Xuemei & Wu, Yonghui & Devece, Carlos, 2022. "Is collaborative innovation a double-edged sword for firms? The contingent role of ambidextrous learning and TMT shared vision," Technological Forecasting and Social Change, Elsevier, vol. 175(C).
    2. Somendra Narayan & Jatinder S. Sidhu & Henk W. Volberda, 2021. "From Attention to Action: The Influence of Cognitive and Ideological Diversity in Top Management Teams on Business Model Innovation," Journal of Management Studies, Wiley Blackwell, vol. 58(8), pages 2082-2110, December.
    3. V. Kumar & Sourav Bikash Borah & Amalesh Sharma & Laxminarayana Yashaswy Akella, 2021. "Chief marketing officers’ discretion and firms’ internationalization: An empirical investigation," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(3), pages 363-387, April.
    4. Michaela Wrede & Tobias Dauth, 2020. "A temporal perspective on the relationship between top management team internationalization and firms' innovativeness," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 41(4), pages 542-561, June.

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