The Role of Unabsorbed Slack in Internal and Collaborative Innovation Processes — A Resource-Based Framework

Abstract

Extant research has highlighted the critical role of unabsorbed slack resources in internal innovation processes. In recent years, many firms have continued to open up their innovation processes to actively collaborate with external partners. In light of a limited understanding of the determinants of collaborative innovation, we provide new theoretical arguments about the relationship of unabsorbed slack resources with internal and collaborative innovation processes. Specifically, we draw on resource-based and competence-based logic and develop a conceptual framework for intraorganizational and interorganizational innovation with propositions for the impact of unabsorbed slack resources on internal and external knowledge acquisition and commercialization processes. The arguments underscore the critical role of excess resources in collaborative innovation, and they highlight the need for a fine-grained examination of the impact of unabsorbed slack resources in innovation processes. The arguments are particularly important in light of a renewed interest in essential enablers and barriers to collaborative innovation processes.