Dynamics of CSFs for business innovation: Normal vs. Crisis economic conditions

Abstract

This research reviews the literature on business innovation, identifies CSFs for business innovation, empirically tests the validity of CSFs as well as examines the impact of CSFs on the success of business innovation, and investigates whether CSFs for business innovation are identical or different in normal and crisis economic conditions. Thorough extensive literature review, eleven CSFs were identified: motivation and rewards, TF team manpower, strategy, methodology, goals and measurement, organizational structure, change management, role of information technology, implementation, leadership, and communication. The respondents rated leadership as the most important CSF, followed by motivation & rewards, change management, TF team manpower, role of information technology, and strategy. In crisis economic conditions, the respondents evaluated leadership as the most important CSF, followed by motivation and rewards, TF team manpower, change management, strategy, and role of information technology. It may be that management approaches business innovation more strategically and methodologically to successfully complete business innovation projects since there are scarce resources and increasing pressure for success in crisis economic conditions. Regression analyses show that CSFs in total have very significant explanatory power in the success of business innovation and reveal that leadership and TF team manpower have the strongest explanatory power.