Ministre de lenseignement suprieur et de la recherche scientifique

Universit de Carthage
Universite de tunisel Manar

Does incremental and radical innovation performance

depend on different
types of knowledge accumulation capabilities and
organizational size?

Elabor par :Garci Bayrem

Anne universitaire : 2015-2016

Plan
1

Introduction

Concept Definition /Research

hypotheses

Methodologie/Research model

Results

Limits

Article Information
3

Article Information

Review : Journal of Business Research ,

Elsevier
Author :Beatriz Fors , Csar Camisn
Date : avaible online 26 july 2015
4

INTRODUCTION
5

introduction

This article aims to address this

knowledge gap and to explore the
relationships between internal
knowledge creation and absorptive
capabilities, and incremental and radical
innovation performance
6

introduction

Research Question:

Does incremental and radical

innovation performance
depend on different
types of knowledge
accumulation capabilities and
organizational size?
7

Concept Definition :
8

Concept Definition

Internal knowledge creation capability :Internal

knowledge creation capability involves sustaining a
continuous internal system for the creation,
processing, dissemination and embodiment in the
firm of new knowledge that increases the existing
knowledge stock. According to Bierly & Chakrabarti
(1996)

Concept Definition

Absorptive capability : External knowledge

absorptive capability involves the identification,
acquisition, transformation and application of
knowledge not residing in the firm.
Radical innovation performance : is that which
produces fundamental changes in the firm's products,
processes,technologies and organizational structure and
methods.
10

Concept Definition

Incremental innovation Performance :

Incremental innovation performance entails the
refinement and reinforcement of existing products,
processes, technologies, organizational structure and
methods.

11

Research
hypotheses

Incremental innovation Performance :

Incremental innovation performance entails the
refinement and reinforcement of existing products,
processes, technologies, organizational structure and
methods.

12

Research hypotheses :
13

Research
hypotheses

Internal knowledge creation capability and

innovation performance
Internal knowledge creation capability allows a
company to improve the efficiency and reliability of
incremental innovation performance (HrnandezEspallardo et al., 2012; Soosay et al., 2008).
H1. The greater the firm's internal knowledge creation
capability, the higher its incremental innovation performance .

14

Research
hypotheses

Absorptive capability and innovation

performance
propelled innovation esearch, due to the important
role that absorptive capability plays in obtaining
incremental and radical innovation performance
(e.g., Bierly et al., 2009; Lichtenthaler, 2009).
H2. The greater the firm's absorptive capability, the
higher its incremental innovation performance.
H3. The greater the firm's absorptive capability, the higher its
radical innovation performance.
15

Research
hypotheses

Relationships among knowledge accumulation

capabilities: Internal knowledge creation and
absorptive capability
The direct, positive relationship between internal
knowledge creation capability and absorptive
capability appears in the work of Purvis et al.(2001).
H4. The greater the firm's internal knowledge creation
capability, the higher its capability to absorb external
knowledge.

16

Research
hypotheses

Therefore, firms increasingly compete on a deeper

factor: the capability to combine and integrate their
internal knowledge with knowledge from outside
(Teece, 2007; Zahra & George, 2002).
H5. Internal knowledge creation capability has a
positive indirect effect on radical innovation performance
through the mediating effect of absorptive capability.

17

Research
hypotheses

Size and knowledge accumulation

capabilities :Size and internal knowledge
creation capability
However, as firms become larger, they develop
norms, values, and intraorganizational social
networks for their operations (Tushman & O'Reilly,
1997)
H6. The larger the company, the greater its internal
knowledge creation capability.

18

Research
hypotheses

Size and knowledge accumulation capabilities :

Size and absorptive capability
Small firms possess the entrepreneurial culture
needed to grasp the market opportunities that lie
outside the firm's boundaries (Rothwell, 1983).
H7. The larger the company, the lower its absorptive
capability.

19

Research
hypotheses

Size and innovation performance

Some researchers argue that as firms grow, they
become more bureaucratic, slower to react, and less
willing to take risks and encourage creativity
(Damanpour & Wischnevsky, 2006).
H8. The larger the company, the greater its incremental
innovation performance.
H9. The larger the company, the lower its radical
innovation performance.
20

Methodologie:
21

Methodologie
Approach

Deductive

population

2000 firms ( classified into 14

sectors )

Method

Quantitative

Sample

Spanish industrial firms ( with

exception of the energy sector )

Epistemological position

Positivism

Statistic Methods

questionnaire

22

Research model:
23

Assimilatio
n

Acquisition

Transformati
on

Potential
Absorptive
Capacity

Applicatio
n

Realised
Absorptive
Capacity
Radical
Innovation
Performan
ce

Absorptive
Capacity

Age
Size

*Number of hierchical levels

**competititive environment
attractiveness
***general environment
uncreativity

Internal
Knowledge
Creation
Capacity

Num
of
H.L

C.E.
A**

Increment
al
Innovation
Performan
ce

G.E.
U***

Results:
25

Results

model 1

Model 3

Model 2

the chi-squares in Model 1 ( X

=400,29 ) and Model 2 ( X= 284,42) are
significantly greater than that in Model 3
( X = 240,48) , which represents the
fully mediating relationship among the
variables included in the hypothesized
model
26

Results

Results supported the study's original model

specification, highlighting that the influence of
internal knowledge creation capability on radical
innovation performance is achieved through
absorptive capability. Further-more, a comparison of
the two alternative models reveals that the partially
mediated model (Model 2) obtains a much better fit
than the non-mediated model (Model 1), reinforcing
the complementarity between internal and external
knowledge accumulation capabilities to radical
innovation performance.
27

Discussion:
28

Discussion

29

Limits :
30

 the responses are based on self-evaluation by a single

respondent.
the sample includes firms from different industries; however, it is
limited to Spanish firms only.
the data used in this study are cross-sectional, which allow us to
analyze only one specific organizational condition at a time, not
organizational conduct over time.