The value of social media for innovation: A capability perspective

Abstract

Firms increasingly employ social media for innovation, yet current literature offers little guidance for developing their strategic uses. This study applies a qualitative, theory-building approach to derive a conceptual framework of the capabilities that allow companies to benefit by using social media throughout their innovation processes. This framework, designed to support applications of social media for innovation, sheds light on three key capabilities and related resources: social media managers who orchestrate social media activities across the innovation process; top management that cultivates support, team empowerment, and test-and-learn cycles; and agile processes that facilitate rapid decision making and knowledge flows across teams. This article enriches organizational capability theory as it pertains to innovation, and it provides managers with guidance for implementing social media strategies in practice.