Implementation of an In-House Innovation Learning Project

Abstract

This paper reports on activities and results of a partnership approach to an in-house innovation learning project (ILP) that sought to leave a legacy of skills, expertise and experience to be retained and repeated in-house for participating owner-managed Small and Medium-sized Enterprises (SMEs). The project was geared at enhancing the competency, absorptive capacity, innovation capability, and technology transfer and licensing opportunities through engaging in activities that increased innovation capacity and organisational efficiency. The inclusion of activities for organisational efficiency was due to the fact that several SMEs in the eligible region did not have the preconditioned robust business foundations to effectively engage and harness the advantages of innovation. The project’s implementation took place between 2010 and 2013 and involved 90 owner-managed SMEs in three cohorts and three regions. These SMEs employed between six to 144 employees from various industrial sectors. Innovation consultants were contracted as facilitators, aided by specialist academics, in 12 half-day company sessions over a 12-month period in a hands-on ‘learning by doing’ customised process. This was also complemented by off-site practical learning workshops in innovation and skills development of three key people from each company, including the owner-manager. The paper tests and confirms significant improvements in sales, gross and net profits, innovation capacity, innovation skills and general business skills. A positive and significant relationship is also observed between sales turnover and the outputs of the innovation project.