Abstract

The software sector is of growing importance and, due to its degree of dynamism, the identification of capabilities for innovation is vital. This study identifies capabilities variables that distinguish Argentine software companies with high innovation results and high innovation impacts from those with lesser results and impacts. It is applied to a sample of 103 companies, a measurement model and the component variables of an innovation degree index for software companies (INIs) formulated in previous studies. A Principal Component Analysis and a biplot are conducted. In the analysis of results and impacts, 100% of the variability within the first two components is explained, which shows the high correlation between variables. From the biplots, it appears that companies with high results have higher degrees in the variables of motivation, strategy, leadership and internal determinants; and those with high impacts present higher degrees of structure, strategy, leadership, free software and innovation activities. The findings add elements to the theory of capabilities for innovation in the software sector and allow us to consider the relative importance of different capabilities variables in the generation of innovation results and impacts.

Highlights

  • The software sector has been growing in importance in countries likes Argentina

  • Taken into account the aim of identifying capabilities variables that distinguish those Argentine software companies with high innovation results and high innovation impacts from those with lower innovation results and innovation impacts and following the methodology described above, first we expose the correlations between the capabilities variables for both the innovation result groups and the innovation impact groups and the results of the Principal Component Analysis (PCA) and a Biplot were carried out

  • The present work is based on the interest for studying innovation capabilities in specific contexts, such as companies in the software sector operating in developing countries as Argentina

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Summary

Introduction

Innovation generation becomes of vital importance in sectors with constant changes, which can reformulate strategic positions In this context, and for smaller companies, the identification of key capabilities for results achievement and innovation related impact becomes a key feature in terms of research objectives. The transition to a knowledge-based society have increased the interest in investigating these subjects (López 1998) This is extremely necessary in developing economies, in which it is necessary to focus analysis on the capacities, since in some cases these capacities do not have a direct association, at a given moment, with the innovation results achieved by the companies. There is no research that focuses on identifying which capabilities in innovation management have been developed, and distinguish, companies with high innovation results and high innovation impacts This gap becomes greater when addressing the study of software firms, especially in the context of Argentina. Based on the questions presented above, the following objective arises: Identifying the capabilities variables that distinguish Argentine software companies with high innovation results and high innovation impacts from those with lower results and impacts

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