Abstract
This study explores the strategic links between structural capital and organisational innovation in Australian SMEs. There are limited studies in the literature that investigate the connection between structural capital and organizational innovation using longitudinal data. Hence, for this study, the Confidentialised Unit Record File (CURF) database from the Australian Bureau of Statistics (ABS), Business Longitudinal Database (BLD). was used to investigate 2,154 SMEs. The analyses validate that structural capital is essential for achieving organisational innovation. However the relationship declines over time. Managers should be careful in investing in IT and technology in order to facilitate organisational innovation.
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