Applying deep learning to predict innovations in small and medium enterprises (SMEs): the dark side of knowledge management risk

Abstract

PurposeThis study aims to predict the dark side of knowledge management risk to innovation in Portuguese small and medium enterprises (SMEs). It examines the spinner innovation model factors of knowledge creation, knowledge transfer, private knowledge, public knowledge and innovation in uncertain environments.Design/methodology/approachThe authors developed a conceptual model to support the analysis. The survey data stemmed from a sample of 208 Portuguese SMEs in Portugal. The authors analyzed the primary data from the ad hoc survey using the data mining (deep learning) technique.FindingsThe research sets out and tests factors relevant to understanding how to predict innovation in uncertain business environments. This study identifies four factors fostering innovation in SMEs: knowledge creation, knowledge transfer, public knowledge management and private knowledge management. Knowledge creation showed the best return and presented the closest relationship with innovation.Originality/valueInnovation models generally measure the relationships between variables and their impacts on the economy (economic and regional development). Predictive models are considered in the literature as a gap to be filled, especially in an uncertain environment in the SME context.