Stephen Kehinde Medase and Ivan Savin
Although employees' creativity is vital for firm innovation and overall performance, little is done to examine the potential association between creativity and employment. This…
Abstract
Purpose
Although employees' creativity is vital for firm innovation and overall performance, little is done to examine the potential association between creativity and employment. This paper investigates the contribution of employees' creativity, process and product innovations to firm-level employment growth.
Design/methodology/approach
The authors use data from World Bank Enterprise Survey and Innovation Follow-up Survey on 9503 firms covering the period 2012–2015 in 11 countries from sub-Saharan Africa and Heckman's two-stage estimation model.
Findings
This study's results indicate a positive role of creativity on firm-level employment growth. In addition, the authors find evidence for a complementary effect arising from the combination of creativity with managerial experience, staff level of education and their associated skills, in contrast, combining creativity with internal or external R&D results in a substitution effect. Interestingly, these synergy effects are pronounced for SMEs but absent for large firms.
Practical implications
Policy makers in developing economies of sub-Saharan Africa should stimulate company management to use free time offered to employees to be creative in the workplace as one of their key strategies to stimulate employment growth. This strategy is expected to be particularly fruitful among SMEs having some managerial experience and skilled stuff.
Originality/value
In contribution to innovative work practices and workforce creativity, the authors demonstrate that providing employees with free time could be an alternative way to enhance the focal firms' performance.
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Kehinde Medase and Laura Barasa
The purpose of this paper is to investigate how specialised capabilities including absorptive capacity and marketing capabilities influence innovation commercialisation in…
Abstract
Purpose
The purpose of this paper is to investigate how specialised capabilities including absorptive capacity and marketing capabilities influence innovation commercialisation in manufacturing and service firms in Nigeria. The authors hypothesise that absorptive capacity measures including openness and formal training for innovation, and marketing capabilities encompassing new product marketing and marketing innovation are positively associated with innovation performance.
Design/methodology/approach
The authors examine commercialisation of innovation within the profiting from innovation (PFI) and dynamic capabilities (DC) framework and use data from the 2012 Nigeria Innovation Survey to test the hypothesis by means of a Heckman sample selection model.
Findings
The authors find that absorptive capacity measures comprising openness and formal training are positively associated with innovation performance. The authors also find that marketing capabilities as indicated by new product marketing and marketing innovation are positively associated with innovation performance.
Research limitations/implications
The authors acknowledge that firms undergo continuous changes and that there may be the presence of unobserved or unmeasured heterogeneity. Taking into cognisance that Nigeria is a federal state, cultural diversity and economic factors are likely to differ widely between geographical regions. Also, while the proposed conceptual framework offers a deeper understanding of innovation performance, examining how integrating activities of the R&D department, human resource department and marketing department affect innovation commercialisation is likely to provide more meaningful insights.
Practical implications
The role that inter-organisational learning and intra-organisational learning play in driving innovation performance provide managers with a basis for incorporating absorptive capacity building programs that boost employees’ ability to recognise and apply valuable external knowledge to commercial ends. Similarly, firms may benefit from offering marketing capabilities development programs. Furthermore, innovation policies in Nigeria are generally designed to focus on fostering innovation activities aimed at developing innovative output. Accordingly, government support explicitly targeting new product marketing and marketing innovation is likely to play a vital role in the successful commercialisation of innovation in Nigeria.
Originality/value
This study fuses the PFI and DC framework to examine why innovating firms may not necessarily succeed. This area of study has received scant attention in sub-Saharan Africa given that extant literature focusses on value creation as opposed to value capture.
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Shoaib Abdul Basit and Kehinde Medase
The combination of different knowledge sources has been considered conducive for innovation performance. While the literature has advanced regarding the combination of knowledge…
Abstract
Purpose
The combination of different knowledge sources has been considered conducive for innovation performance. While the literature has advanced regarding the combination of knowledge inputs as in internal and external research and development (R&D), the evolvement of knowledge blend from customers and competitors has also received substantial attention. The purpose of this paper is to delineate the sources of information from the customers into private and public and examine their direct effect on firm-level innovation. While the extant literature is mixed regarding this, no clear-cut results have emerged yet on the effect of knowledge combination from the private and public customers with internal R&D and human capital on innovation activities. This study, however, shed more lights on the inconclusiveness of the effect of knowledge diversity on firm-level innovation.
Design/methodology/approach
Using the microdata from the German Community Innovation Survey 2013, the authors employ a binary instrumental variable treatment model with Heckman selection, a suitable strategy to estimate binary variables to cope with a possible endogeneity issue.
Findings
The paper demonstrates that knowledge from customers in the private and public sector, and competitors are positively and significantly associated with innovation. The authors find evidence of a positive and significant effect of the combination of firm internal knowledge competencies with information from the public sector. In contrary, the blend of knowledge competencies with information from customers in the private sector and information from the competitors results in decline to innovation. The results also show that the blend of internal R&D with knowledge source from the customers in the public sector appears to have a stronger influence in the manufacturing sector than services. The results offer strong evidence of the positive link between knowledge diversity and firm-level innovation performance.
Practical implications
The results have significant managerial implications on the role of the blend of different sources of information in supporting a compelling internal knowledge development to optimise innovation performance.
Originality/value
This study is foremost to focus on knowledge sources from the customers in the public and private sector and its relationship with R&D and human capital in supporting a successful introduction of innovation.
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The purpose of this study is to identify the impact of intellectual capital on the innovation performance of the Jordanian banking sector and identify the moderating role of big…
Abstract
Purpose
The purpose of this study is to identify the impact of intellectual capital on the innovation performance of the Jordanian banking sector and identify the moderating role of big data analytics.
Design/methodology/approach
For this study's purposes, 333 questionnaires were analysed. Convergent validity, discriminant validity and reliability tests were performed through structural equation modelling (SEM) in the Smart-PLS program. A bootstrapping technique was used to analyse the data.
Findings
Empirical results showed that each of the components of intellectual capital and big data analytics explains 63.5% of the variance in innovation performance and that all components of intellectual capital have a statistically significant impact on innovation performance. The results also revealed that the relationship between structural capital and innovation performance is moderated through big data analytics.
Research limitations/implications
This cross-sectional study provides a snapshot at a given moment in time, a methodological limitation that affects the generalisation of its results, and the results are limited to one country.
Practical implications
This study promotes the idea of focusing on components of intellectual capital to enhance innovation performance in the Jordanian banking sector and knowing the effect of big data analytics in this relationship.
Social implications
This study makes recommendations for financial policymakers to improve the effectiveness of intellectual capital practices and innovation performance in the context of big data analytics.
Originality/value
This study has important implications for leaders in the Jordanian banking sector, in general, as the study highlights the importance of intellectual capital to enhance the innovation performance, especially in light of the big data analytics in this sector, and thus increase the innovative capabilities of this banks, which leads to an increase in the level of innovation.