Ambidextrous Organizational Culture,Contextual Ambidexterity and New Product Innovation: A Comparative Study of UK and Chinese High‐tech Firms

Contextual ambidexterity is of paramount importance for new product innovation and organizational success, particularly in high‐tech firms operating in a dynamic environment. Whilst it is recognized that contextual ambidexterity is grounded in organizational culture, existing research has not crystallized what kind of organizational culture enables contextual ambidexterity and consequently new product innovation. In this paper, drawing on data from 150 UK and 242 Chinese high‐tech firms, we conceptualize ambidextrous organizational culture as a higher‐order construct consisting of organizational diversity and shared vision, and examine its impacts on contextual ambidexterity and consequently on new product innovation outcomes. Using structural equation modelling, we find significant relationships between ambidextrous organizational culture, contextual ambidexterity and new product innovation outcomes; contextual ambidexterity mediates the relationship between ambidextrous organizational culture and new product innovation outcomes. Our findings also suggest that the above relationships are robust in the UK–China comparative research context, and that contextual ambidexterity and new product innovation outcomes are dependent on business unit level heterogeneity (i.e. ambidextrous organizational culture and research and development strength) rather than industry or cross‐cultural differences.     

Ambidexterity penetration across multiple organizational levels in an aerospace and defense organization

The ambidexterity framework, which comprises two contradictory, yet interrelated processes of exploration and exploitation, has been researched using a variety of perspectives. Few studies, however, provide insight into the question: how is ambidexterity managed across multiple organizational levels? To address this question, we introduce the term ambidexterity penetration that refers to the enactment of ambidexterity across multiple organizational levels and develop a conceptual framework about how it is practiced (horizontally, vertically and organizationally). We empirically showcase this framework using findings from six business units of an aerospace and defense organization and analyzing data from 30 interviews. Overall, our study contributes to ambidexterity research and offers an empirical investigation of ambidexterity penetration across multiple organizational levels in the context of the aerospace and defense sector.     

债务约束下的企业广告与R&D投资研究

本文以Brander和Lewis的资本结构产业组织理论为基础,结合资本市场与产品市场,分析了企业负债与广告投资、R&D投资之间的关系。通过模型推导提出理论命题,并运用我国沪深两市A股上市公司数据进行验证得到相关结论。研究结果显示负债对企业广告投入存在刺激作用而对R&D投资存在抑制效应。企业广告投入与R&D投入行为存在明显的行业差异,制造业企业两种投入相对均衡,非制造业企业通常偏好于二者之一。企业广告与R&D投入之间相互影响,制造业两种投资之间存在互补关系,而非制造业两种投资之间存在替代关系。负债对企业广告与R&D投资行为的影响存在差异,并且不同债务类型的影响同样存在差异。本研究可进一步促进资本结构产业组织理论的发展,同时为企业改善广告与R&D投资策略提供理论和经验依据。     

The integration of TQM and technology/R&D management in determining quality and innovation performance

This paper presents an empirical study which examines the co-alignment between Total Quality Management (TQM) and technology/research and development (R&D) management in predicting organizational performance in terms of quality and innovation. This study improves our understanding of the relationship between TQM and innovation based on the following two major issues. First, this study contributes to the understanding of the co-alignment between TQM and technology management along with R&D management by bridging the gap between the two areas which are often addressed in a separate fashion. Second, this study also examines the impact of the integration between TQM and technology/R&D on quality and innovation performance which have been considered as the primary sources of a competitive advantage. The empirical data was drawn from 194 Australian organizations and analyzed using the Structural Equation Modeling (SEM) technique. The findings indicate that TQM shows a strong predictive power against quality performance but no significant relationship against innovation performance. On the other hand, technology and R&D management shows a significant relationship with quality performance but at a lower level than that of TQM, and shows much stronger relationship with innovation performance. In addition, there is strong and positive correlation between TQM and technology/R&D management. The major implication of this study is that technology/R&D management is an appropriate resource to be used in harmony with TQM to enhance organizational performance, particularly innovation.     

The value of board monitoring in promoting R&D: a test of agency-theory in the US context

Prior agency-theory research has presented conflicting findings regarding the importance of board monitoring in motivating R&D. We reinvestigate this literature by examining the value monitoring exerts in abating both the agency costs of underinvestment and overinvestment in R&D. We argue that monitoring that relies on board independence has both benefits and costs associated with promoting R&D. While we assert that intense monitoring by the board heightens underinvestment in the US context, it can also provide discipline over a firms free cash flows. We test our theory using a longitudinal panel data set consisting of a cross-section of S&P 1500 US-firms between 1997 and 2007. On average our study finds inside directors increase overinvestment in R&D, but facilitate better resource allocation when a firm has rich growth opportunities. Also, while too much emphasis on outside directors heightens underinvestment in R&D, a more independent board encourages better resource allocation when firms have high free cash flows that need to be paid back to owners. Thus, our results suggest a more inclusive perspective of agency-theory can help managers make better R&D investment decisions.     

Internationalization and Indigenous Technological Efforts of Emerging Economy Firms: The Effect of Multiple Knowledge Sources

Getting engaged in competitive international markets motivates exporting firms to enhance their technological competitiveness and invest in research and development (R&D). While in-house R&D investment is important for getting advanced technologies, the technologies needed by exporters located in emerging economies (EEs) typically readily exist overseas. Drawing on organizational learning literature, we argue that the R&D intensity stimulated by exporting may be reduced when 1) EE exporters are better prepared and motivated to absorb foreign knowledge, 2) foreign sources of knowledge are more available, and/or 3) local technology supply is poor. An analysis on 5592 automobile parts and component manufacturers in China during 2005–2007 supports these arguments. To compete in markets abroad, Chinese firms' R&D intensity increases with export intensity when their export intensity is low. As the export intensity exceeds a certain threshold, their R&D intensity starts to decrease as intensive exporters are better prepared and motivated to acquire knowledge from foreign sources. When substitutive foreign knowledge sources such as foreign parents and FDI spillovers in the local industry is available, firms' R&D intensity stimulated by exporting can be further reduced. Better local technology supply can increase the R&D intensity stimulated by exporting.     

Top management team diversity and ambidexterity: The contingent role of shared responsibility and CEO cognitive trust

Earlier research has suggested that diversity is a double-edged sword when achieving organizational ambidexterity. While it may contribute to the development of new combinations of exploration and exploitation, it may also lead to disagreements and potential conflict within top management teams (TMTs). To improve our understanding of the effectiveness of diversity in ambidextrous organizations, we develop a synergistic perspective on TMT diversity and examine how two types of diversity – functional and age diversity – affect the achievement of organizational ambidexterity. We also identify shared responsibility and CEO cognitive trust as important contingencies that may complement the effects of diversity within TMTs in terms of resolving potential conflicts and managing tensions between exploration and exploitation effectively. Based on multisource data, our study shows that CEO cognitive trust and shared responsibility moderate the relationship between different types of diversity and ambidexterity. Our study has important implications for research on organizational ambidexterity, diversity, and senior leadership.     

Casting a Wide Net for Innovation: Mediating Effect of R&D Human and Social Capital to Unlock the Value from Alliance Portfolio Diversity

This paper examines the performance effects associated with different alliance portfolio configurations in terms of geographical location and partner type. Based on these distinctions, the authors hypothesize that more diverse alliance portfolios enable firms to gain and exploit innovation opportunities. Additionally, the mediating effects of R&D human and social capital on the R&D alliance portfolio diversity–innovation performance relationship are explored. The authors reason that the absorptive capacity of R&D intellectual capital determines a firm's potential gains from highly diverse alliance portfolios. From panel data of manufacturing firms in Spain for the period 2008–2013, the results confirm the inverted U‐shaped relationship between alliance portfolio diversity and firm innovation performance, implying that both insufficient and excessive alliance portfolio diversity may be detrimental to firm innovativeness. Additionally, R&D human and social capital partially mediates the R&D alliance diversity–innovation performance relationship, emphasizing the importance of internal capabilities to leverage the benefits of highly diverse alliance portfolios. These findings add a dynamic dimension to the conceptualization of alliance portfolios and how firms create value by balancing explorative and exploitative alliances.     

A framework for understanding commitment in the R&D organization

The complex and long-range nature of technological innovation makes commitment particularly important to the R&D organization. Using findings from previous and current research, this paper develops a conceptual framework for understanding commitment in the technology-based organization that may be more precise and meaningful than the traditional, global conceptions. Three general conclusions emerge. First, organizational commitment has positive benefits not only for the organization but also for the individual. Second, given the popularity of the project form of organization in R&D and the deep commitments individuals sometimes make to those projects, some allowance should be made for multi-commitments. Third, one of the most important and least investigated antecedents of organizational commitment is the verbal behavior of the project manager. Some implications of this perspective for future research are presented.     

Managing Knowledge Creation in High‐Tech R&D Projects: A Multimethod Study

R&D projects in high‐tech organizations bring together diverse knowledge domains to quickly develop new products and processes. The fast‐paced context of high‐tech organizations makes it challenging to create new knowledge and solve complex problems. Managing these R&D projects requires understanding both the mechanisms and the type of knowledge created to achieve project objectives. This research conducts a two‐phased multimethod study to understand knowledge creation in high‐tech R&D projects. The first phase uses qualitative data to develop a theory on knowledge creation in R&D projects. The second phase involves a survey that collects data from R&D projects to test the theory. Results from the case study find that R&D projects benefit from two types of knowledge – objective and intuitive. The case analyses show that intuitive and objective knowledge creation in high‐tech organizations occurs by creating not only diverse but also psychological safe project teams. The large‐scale survey finds that team diversity positively influences objective knowledge creation while psychological safety affects intuitive knowledge creation. Surprisingly, the results show that team diversity negatively affects intuitive knowledge creation. A post hoc analysis takes a more granular look at diversity and shows that different kinds of diversity have different effects on knowledge creation. This helps to better explain how to manage innovation across boundaries. Finally, the analysis shows that both objective and intuitive knowledge influence R&D project performance. Taken together, these results help explain how to manage innovation across functional boundaries to create knowledge and enhance R&D project performance.      

Internationalization of R&D and Innovation Performance in the Pharma Industry

This research investigates the effect of R&D internationalization and contingency variables on innovation performance. A number of prior studies addressing this question have concluded in diverse and inconsistent findings, which can be attributed only partly to sample selection and measurement discrepancies. Using a longitudinal dataset of global pharmaceutical firms, we partly solve this ambiguity in the R&D internationalization and innovation performance relationship. The results reveal an S-shaped relationship, suggesting the benefits of R&D internationalization ultimately overcome the costs after critical levels of R&D internationalization. This finding combines and unites prior findings of a U-shaped, followed by an inverse U-shaped curve. In addition, we find that the experience in conducting R&D internationally, but not the degree of general internationalization, moderates the relationship between degree of R&D internationalization and performance. This suggests that the effect is contingent on the knowledge of internationalization path of the firm but can flourish in the absence of overall internationalization as well. Implications for theory and practice are derived.     

R&D internationalization,product diversification and international performance for emerging market enterprises: An empirical study on Chinese enterprises

One motivation behind R&D internationalization for emerging market multinationals (EM MNEs) is to expand international markets. This paper analyzes whether the R&D internationalization of EM MNEs contributes to an improvement in international performance measured by foreign sales as a percentage of total sales (FSTS). Using panel data on China's listed companies, this paper introduces more scientific and normative indicators for measuring R&D internationalization in terms of geographic distribution (breadth) and overseas investment (depth). The results reveal an inverted U-shape relationship between R&D internationalization and international performance that is initially positive and eventually becomes negative. Product diversification has a significant moderating effect on the relationship between R&D internationalization breadth and international performance.     

CEO goal orientations,environmental dynamism and organizational ambidexterity: An investigation in SMEs

Scholars have suggested that we need to further investigate the antecedents of ambidexterity at the top executive level. We develop a motivational perspective on organizational ambidexterity proposing that the different types of Chief Executive Officer (CEO) goal orientations (learning, approach and avoidance) may facilitate or hinder ambidexterity, and that these effects are conditioned by the level of environmental dynamism. Using a sample of 156 small and medium-sized enterprises (SMEs), we find a positive effect of CEO learning goal orientation on ambidexterity, which is strengthened as environmental dynamism increases. Further, we show that CEO approach goal orientation negatively affects organizational ambidexterity and this effect increases in highly dynamic environments. Finally, CEO avoidance goal orientation is negatively related to ambidexterity only when environmental dynamism is high. These results have important implications for our understanding of CEOs’ motivational characteristics in relation to ambidexterity under diverse environmental conditions.     

How do CEOs matter? The moderating effects of CEO compensation and tenure on equity ownership in international joint ventures

We propose that CEO compensation and tenure moderate the relationship between multinational corporations' (MNCs) R&D intensities and their percentages of equity ownership in international joint ventures (IJVs). Transaction cost economics (TCE) suggests a positive relationship between MNC R&D intensity and IJV equity ownership, but this relationship has not been confirmed consistently in prior research. We examine the moderating effects of CEO compensation and tenure on the relationship between MNC R&D intensity and IJV equity ownership, thereby bringing more nuanced explanations from agency theory and upper echelons theory into the discussion. Our proposed relationships were tested using a sample of 202 IJVs formed between U.S. MNCs and foreign partners in high-tech industries for the period 1993 to 2003. We found an overall positive relationship between MNC R&D intensity and the percentage of equity ownership in IJVs. Moreover, CEO tenure and bonus compensation each weaken the positive R&D intensity-equity ownership relationship in our sample, while CEO stock options compensation amplifies it. These findings indicate that CEO compensation and tenure influence decision making about equity ownership in IJVs, suggesting that scholars and boards of directors should consider these CEO-related factors when evaluating strategic decisions regarding IJVs.     

Institutionelle Determinanten von F&E-Investitionen

Utilizing country level data we demonstrate that a strong degree of investor protection can mitigate both asymmetric-information and agency problems that come along with R&D financing. Accordingly, we find that a higher degree of investor protection is associated with higher R&D investments. Moreover, for a sample of Austrian listed firms, we are able to show that ownership identities are significant drivers of R&D investments.     

Within-cluster determinants of output efficiency of R&D in the space industry

Dynamic slacks-based data envelopment analysis is applied to measure output performance efficiency of space R&D active private firms. Fractional logit panel analysis is used to identify associations between this firm level R&D output efficiency and space industry level R&D specialisation, presence of anchor firms, and public R&D capacity within geographical clusters.Primary data collected for the entire population of space R&D active firms in Belgium for the period 2011–2015 reveals that an environment specialized in the focus firm's space activities exerts a positive influence on R&D output efficiency. The public space R&D capacity and the presence of space anchor firms within the cluster do not influence R&D output efficiency. Firm age, a mixture of space and non-space R&D, and larger amounts of public funding positively affect R&D output efficiency. These findings should be seen in a context of a space industry dominated by SMEs and in a five year time-span.     

Macht und Einfluss verschiedener Abteilungen in fr��hen und sp?ten organisationalen Lebenszyklusphasen

The present research examines the performance consequences of the influence of four major departments (sales, marketing, R&D, and manufacturing) and integrates organizational life cycle stages as moderating variables. Further, the article derives a hypothesis that addresses the influence dispersion among the departments that is most beneficial for performance. In order to validate this research model empirically, survey data from small and medium-sized German firms were gathered. Findings show that the optimal distribution of influence among departments is a function of the organizational life-cycle stage. While no moderating effects of the life-cycle stage emerge for the sales or manufacturing departments, a strong marketing department contributes to organizational performance only in early stages, while a strong R&D department contributes only in later stages. Further, the estimation of the non-linear regression model shows that a medium level of influence dispersion among departments is most beneficial to organizational performance.     

双元文化、创新战略与科技企业创业绩效:一个知识流的视角

运用组织双元理论、战略管理理论和认知学习理论,构建了一个基于知识流动过程的双元文化机制、创新战略与科技企业创业绩效的关系框架,通过介入网络结构和领导调节因子来观察双元性三种前因机制的共同作用过程。对长江三角洲科技园区的283家小微创业型科技企业进行了实证调查,采用SPSS和AMOS软件进行统计分析,结果表明:双元文化通过改善企业创新战略的均衡实施来提高其创业绩效,其对突破及利润导向的战略行为均有正向影响;网络关系强度和权力距离在双元文化与创新战略之间产生调节作用,网络关系强度对利润导向行为产生正向调节,权力距离对利润导向行为的影响不显著,它们对突破导向行为均呈负向调节。研究将双元视角引入到组织与战略关系研究当中,对信息时代下的中国科技企业创业创新有一定的指导意义。     

F?rdern aktienkursbasierte Vergütungsinstrumente langfristig orientierte Unternehmensentscheidungen? Lehren aus der Kreditkrise

The question whether stock-based management incentives encourage long-term oriented management decisions is the topic of a controversial public debate. Also, the existing academic literature provides no clear picture, mainly due to endogeneity problems. In this paper, we reexamine the issue in the context of the recent credit crises, which allows us to solve the endogeneity problem. In the empirical analysis we find that firms, which have awarded stock-based incentives to their executives prior or during the financial crises, face substantially lower cuts in investment spending. These firms also show higher levels of R&D investments during the financial crises. Overall, our results suggest that stock based long-term incentives promote long-term oriented management decisions.