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Harnessing The Value Of Open Innovation: The Moderating Role Of Innovation Management

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  • TORSTEN OLIVER SALGE

    (Ruhr-University Bochum, Universitaetsstrasse 150, 44780 Bochum, Germany)

  • THOMAS MARC BOHNÉ

    (The University of Auckland Business School, The University of Auckland, 12 Grafton Road, Auckland 1142, New Zealand)

  • TOMAS FARCHI

    (IAE Business School, Universidad Austral Mariano Acosta s/n, Buenos Aires B1629WWA, Argentina)

  • ERK PETER PIENING

    (Faculty of Management and Economics, Leibniz University Hannover, Koenigsworther Platz 1, 30167 Hannover, Germany)

Abstract

In this paper, we develop and test a firm-level contingency model of inbound open innovation in an attempt to contribute to explaining the substantial disparities in open innovation payoff that exist between firms. Integrating elements from the resource- and knowledge-based views and the absorptive capacity literature, we propose that specific innovation management activities can play an important moderating role as they are likely to enhance firms' capacity to identify, assimilate and utilise external knowledge inputs. Drawing on longitudinal data from 1,170 German manufacturing and service firms, econometric analyses reveal that returns from open innovation are greatest when firms maintain their internal research capacity, employ a dedicated incentive system for innovation and advocate strong cross-functional collaboration. Decision-makers are thus well advised not to take positive returns from open innovation for granted. Rather, they need to achieve excellence in key innovation management activities, if their firm is to fully harness the value of openness.

Suggested Citation

  • Torsten Oliver Salge & Thomas Marc Bohné & Tomas Farchi & Erk Peter Piening, 2012. "Harnessing The Value Of Open Innovation: The Moderating Role Of Innovation Management," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 16(03), pages 1-26.
    • Handle: RePEc:wsi:ijimxx:v:16:y:2012:i:03:n:s1363919612400051
    DOI: 10.1142/S1363919612400051
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    1. K, S Chalapati Rao & Dhar, Biswajit, 2011. "India's FDI Inflows: Trends and Concepts," MPRA Paper 29153, University Library of Munich, Germany.
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    1. Foege, J. Nils & Lauritzen, Ghita Dragsdahl & Tietze, Frank & Salge, Torsten Oliver, 2019. "Reconceptualizing the paradox of openness: How solvers navigate sharing-protecting tensions in crowdsourcing," Research Policy, Elsevier, vol. 48(6), pages 1323-1339.
    2. Zhu, Xiaoxuan & Xiao, Zhenxin & Dong, Maggie Chuoyan & Gu, Jibao, 2019. "The fit between firms’ open innovation and business model for new product development speed: A contingent perspective," Technovation, Elsevier, vol. 86, pages 75-85.
    3. Zoltán Krajcsák, 2019. "Implementing Open Innovation Using Quality Management Systems: The Role of Organizational Commitment and Customer Loyalty," JOItmC, MDPI, vol. 5(4), pages 1-10, October.
    4. J. Nils Foege & Erk P. Piening & Torsten-Oliver Salge, 2017. "Don’T Get Caught On The Wrong Foot: A Resource-Based Perspective On Imitation Threats In Innovation Partnerships," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 21(03), pages 1-42, April.
    5. Mary Beth Rousseau & Blake D. Mathias & Laura T. Madden & T. Russell Crook, 2016. "Innovation, Firm Performance, And Appropriation: A Meta-Analysis," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(03), pages 1-29, April.
    6. Silvia Vicente-Oliva & Ángel Martínez-Sánchez & Luis Berges-Muro, 2016. "Enhancing The Outcomes In R&D Collaborative Projects: An Empirical Analysis Of The Middle Ebro Valley In Spain," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(07), pages 1-34, October.
    7. Livio Cricelli & Marco Greco & Michele Grimaldi, 2016. "Assessing The Open Innovation Trends By Means Of The Eurostat Community Innovation Survey," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(03), pages 1-30, April.
    8. Ramon Uribe-Echeberria & Juan Ignacio Igartua & Rafael Lizarralde, 2019. "Implementing Open Innovation in Research and Technology Organisations: Approaches and Impact," JOItmC, MDPI, vol. 5(4), pages 1-25, November.
    9. Natalia Vatolkina & Elena Gorbashko & Nadezhda Kamynina & Olga Fedotkina, 2020. "E-Service Quality from Attributes to Outcomes: The Similarity and Difference between Digital and Hybrid Services," JOItmC, MDPI, vol. 6(4), pages 1-21, November.
    10. Kolja Oswald & Xiaokang Zhao, 2021. "Collaborative Learning in Makerspaces: A Grounded Theory of the Role of Collaborative Learning in Makerspaces," SAGE Open, , vol. 11(2), pages 21582440211, June.
    11. Saebi, Tina & Foss, Nicolai J., 2015. "Business models for open innovation: Matching heterogeneous open innovation strategies with business model dimensions," European Management Journal, Elsevier, vol. 33(3), pages 201-213.
    12. Matthias R. Guertler & Udo Lindemann, 2016. "Identifying Open Innovation Partners: A Methodology For Strategic Partner Selection," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(05), pages 1-20, June.
    13. Andreas Braun & Laura Bockelmann, 2016. "An Individual Perspective On Open Innovation Capabilities In The Context Of Haute Cuisine," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(01), pages 1-24, January.
    14. M. Muzamil Naqshbandi, 2018. "Organizational Characteristics and Engagement in Open Innovation: Is There a Link?," Global Business Review, International Management Institute, vol. 19(3_suppl), pages 1-20, June.
    15. Sebastian Huber, 2017. "Methodology and Tool Support for Adaptive Idea Exploitation in Open Innovation," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 59(5), pages 331-345, October.
    16. Piening, Erk P. & Salge, Torsten Oliver & Schäfer, Sebastian, 2016. "Innovating across boundaries: A portfolio perspective on innovation partnerships of multinational corporations," Journal of World Business, Elsevier, vol. 51(3), pages 474-485.
    17. Chaudhary, Sanjay & Kaur, Puneet & Talwar, Shalini & Islam, Nazrul & Dhir, Amandeep, 2022. "Way off the mark? Open innovation failures: Decoding what really matters to chart the future course of action," Journal of Business Research, Elsevier, vol. 142(C), pages 1010-1025.
    18. Damien Dietsch & Rim Khemiri, 2018. "Impact Of The Use Of Knowledge Obtained Through Informal Exchanges On The Performance Of Innovation Projects: For The Enrichment Of Inbound Open Innovation Practices," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 22(06), pages 1-35, August.
    19. Schäper, Thomas & Jung, Christopher & Foege, Johann Nils & Bogers, Marcel L.A.M. & Fainshmidt, Stav & Nüesch, Stephan, 2023. "The S-shaped relationship between open innovation and financial performance: A longitudinal perspective using a novel text-based measure," Research Policy, Elsevier, vol. 52(6).

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