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Multi-Cultural Teams As Sources For Creativity And Innovation: The Role Of Cultural Diversity On Team Performance

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  • RICARDA BOUNCKEN

    (Chair of Strategic Management and Organization, University of Bayreuth, Prieser Str. 2, 95440 Bayreuth, Germany)

  • ALEXANDER BREM

    (Mads Clausen Institute, University of Southern Denmark, Alsion 2, 6400 Sønderborg, Denmark)

  • SASCHA KRAUS

    (Institute of Entrepreneurship, Fürst-Franz-Josef-Strasse, 9490 Vaduz, Liechtenstein)

Abstract

Multi-cultural teams are seen as a wellspring of creativity and innovativeness. Yet, we still miss an in-depth study of their potential and challenges during the innovation process in firms. This is a serious omission as many international firms are in need of improving their global innovation position by the inclusion of insights from team members of different nationalities with knowledge about markets and culture. To derive first insights, we conducted a longitudinal qualitative study in a large global company with 70 personal interviews in five innovation teams over a period of two years. These data, based on semi-structured interviews, provide us with rich information about effects of cultural diversity in teams in the innovation process. Data were analysed through a thematic network analysis and two coders inductively forming categories. Results indicate that cross-cultural teams have a high potential of creativity, but are confronted with difficulties arising from different working- and communication styles which have to be proactively managed from the beginning. While progressing, teams learn to cope with this diversity related to some more surface-level cultural dimensions and members even align. Yet, diversity of power distance induces conflicts that deeply impact the innovation process. Based on these findings, we develop a set of propositions, which lead into a conceptual model on the effects of multi-cultural team work on creativity and innovation. Finally, we discuss further implications for research and practice.

Suggested Citation

  • Ricarda Bouncken & Alexander Brem & Sascha Kraus, 2016. "Multi-Cultural Teams As Sources For Creativity And Innovation: The Role Of Cultural Diversity On Team Performance," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(01), pages 1-34, January.
    • Handle: RePEc:wsi:ijimxx:v:20:y:2016:i:01:n:s1363919616500122
    DOI: 10.1142/S1363919616500122
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    References listed on IDEAS

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    2. Gantert, Till M. & Fredrich, Viktor & Bouncken, Ricarda B. & Kraus, Sascha, 2022. "The moral foundations of makerspaces as unconventional sources of innovation: A study of narratives and performance," Journal of Business Research, Elsevier, vol. 139(C), pages 1564-1574.
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    4. Steuer-Dankert, Linda & Leicht-Scholten, Carmen, 2019. "Diversity- and Innovation Management in Complex Engineering Organizations," 7th International OFEL Conference on Governance, Management and Entrepreneurship: Embracing Diversity in Organisations (Dubrovnik, 2019), in: 7th International OFEL Conference on Governance, Management and Entrepreneurship: Embracing Diversity in Organisations. April 5th - 6th, 2019, Dubrovn, pages 136-157, Governance Research and Development Centre (CIRU), Zagreb.
    5. Dag Ingvar Jacobsen & Tore Hillestad & Birgitte Yttri & Jarle Hildrum, 2019. "Alternative Routes To Innovation — The Effects Of Cultural And Structural Fit," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 24(01), pages 1-20, January.
    6. Lee, Jeoung Yul & Choi, Byung Chul & Ghauri, Pervez N. & Park, Byung Il, 2021. "Knowledge centralization and international R&D team performance: Unpacking the moderating roles of team-specific characteristics," Journal of Business Research, Elsevier, vol. 128(C), pages 627-640.
    7. Berit Sandberg, 2020. "The Artist as Innovation Muse: Findings from a Residence Program in the Fuzzy Front End," Administrative Sciences, MDPI, vol. 10(4), pages 1-22, November.
    8. Merve Gercek, 2024. "Rethinking the Building Blocks of Employee Creativity: A Meta-Synthesis of Qualitative Research," Istanbul Business Research, Istanbul University Business School, vol. 53(1), pages 1-22, April.
    9. Arslan, Ahmad & Haapanen, Lauri & Ahokangas, Petri & Naughton, Sean, 2021. "Multicultural R&D team operations in high-tech SMEs: Role of team task environment and individual team members’ personal experiences," Journal of Business Research, Elsevier, vol. 128(C), pages 661-672.
    10. Christian R. {O}stergaard & Bram Timmermans, 2023. "Workplace diversity and innovation performance: current state of affairs and future directions," Papers 2311.05219, arXiv.org.
    11. Zouaghi, Ferdaous & Garcia-Marco, Teresa & Martinez, Marian Garcia, 2020. "The link between R&D team diversity and innovative performance: A mediated moderation model," Technological Forecasting and Social Change, Elsevier, vol. 161(C).
    12. C. Darawong & B. Igel, 2017. "Managing Interpersonal Conflict Between Expatriates And Thai Managers Through Intercultural Communication: The Moderating Effect Of Expatriates’ Culture Of Origin," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 21(04), pages 1-20, May.
    13. Parjanen, Satu & Hyypiä, Mirva, 2019. "Innotin game supporting collective creativity in innovation activities," Journal of Business Research, Elsevier, vol. 96(C), pages 26-34.
    14. Randel, Amy E. & Alexandra, Valerie, 2024. "From cultural intelligence to workgroup inclusion through synchrony preference and perceived workgroup similarity," Journal of World Business, Elsevier, vol. 59(1).
    15. Maria A. Bultseva & Nadezhda M. Lebedeva, 2019. "The Relationship Between Intercultural Interactions At University And The Creativity Of Russian Students: The Role Of Intercultural Competence," HSE Working papers WP BRP 108/PSY/2019, National Research University Higher School of Economics.
    16. Sascha Kraus & Alexander Brem & Miriam Schuessler & Felix Schuessler & Thomas Niemand, 2019. "Innovative Born Globals: Investigating the Influence of Their Business Models on International Performance," World Scientific Book Chapters, in: Alexander Brem & Joe Tidd & Tugrul Daim (ed.), Managing Innovation Internationalization of Innovation, chapter 11, pages 275-328, World Scientific Publishing Co. Pte. Ltd..
    17. Yaya Sun & Tao Wang & Xin Gu, 2019. "A Sustainable Development Perspective on Cooperative Culture, Knowledge Flow, and Innovation Network Governance Performance," Sustainability, MDPI, vol. 11(21), pages 1-17, November.
    18. Covin, Jeffrey G. & Rigtering, J.P. Coen & Hughes, Mathew & Kraus, Sascha & Cheng, Cheng-Feng & Bouncken, Ricarda B., 2020. "Individual and team entrepreneurial orientation: Scale development and configurations for success," Journal of Business Research, Elsevier, vol. 112(C), pages 1-12.
    19. Marco Nunes & Jelena Bagnjuk & António Abreu & Edgar Cardoso & Joane Smith & Célia Saraiva, 2023. "Managing Collaborative Risks of Integrated Open-Innovation and Hybrid Stage-Gate Model by Applying Social Network Analysis—A Case Study," Sustainability, MDPI, vol. 15(6), pages 1-33, March.
    20. Lulu Zhou & Haiyan Huang & Xiaolin Chen & Feng Tian, 2023. "Functional diversity of top management teams and firm performance in SMEs: a social network perspective," Review of Managerial Science, Springer, vol. 17(1), pages 259-286, January.
    21. Richter, Nicole Franziska & Martin, Jonathan & Hansen, Sofie V. & Taras, Vasyl & Alon, Ilan, 2021. "Motivational configurations of cultural intelligence, social integration, and performance in global virtual teams," Journal of Business Research, Elsevier, vol. 129(C), pages 351-367.
    22. Sa’adiah Munir & Gary John Rangel & Ravichandran K. Subramaniam & Mohd. Zulkhairi bin Mustapha, 2020. "Do Heterogeneous Boards Promote Firm Innovation? Evidence from Malaysia," Capital Markets Review, Malaysian Finance Association, vol. 28(1), pages 25-47.

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