Ambidextrous Innovation Research Articles

Ambidextrous leadership and project-based organisational innovation performance: the mediating role of innovative climate and moderating role of organisational learning

Ambidextrous leadership and project-based organisational innovation performance: the mediating role of innovative climate and moderating role of organisational learning

Concept for ambidextrous management of incremental and radical innovation in manufacturing

Innovation managers constantly seek to improve manufacturing systems using continuous improvement as a core process. On the other hand, significant technological advances promise to improve manufacturing systems’ performance radically. Therefore, manufacturing units must be able to deal with complex and volatile environments and at the same time act explorative and exploitative to produce both incremental and radical innovations. The organizational ability to achieve this balanced target state is called ambidexterity. The challenge of continuously increasing efficiency while at the same time developing and integrating radical innovation into the manufacturing system has grown enormously in recent years. Consequently, a severe challenge is imposed on the innovation management of the manufacturing unit. This implies ambidexterity management in manufacturing, encouraging organizational research to identify relevant design dimensions and describe concrete managerial implementation measures in a manufacturing context.Therefore, this paper presents an approach to enable ambidextrous innovation management in manufacturing, fostering radical innovation. Relevant organizational dimensions and their interconnections are identified using scientific literature and expert interviews. In addition, examples of concrete managerial implications for implementing ambidexterity in manufacturing are presented.

Marketing determinants of innovation ambidexterity in small and medium‐sized manufacturers

Marketing determinants of innovation ambidexterity in small and medium‐sized manufacturers

Innovation ambidexterity effects on product innovation performance: the mediating role of decentralization

PurposeThe purpose of the study was to analyse the impact of innovation ambidexterity represented by explorative and exploitative innovation capabilities and their combined effects on product innovation performance and to prove the mediating effect of decentralization.Design/methodology/approachThe study uses partial least squares for structural equation models and SmartPLS version 3.3.1 on a sample of 174 Romanian medium- and large-sized firms from the IT industry to test six research hypotheses. To measure innovation ambidexterity, the orthogonal approach was used, conceptualizing innovation ambidexterity as a multidimensional, second-order construct composed of explorative and exploitative innovation capabilities. Innovation ambidexterity was conceptualized as a multiplicative term of both explorative and exploitative innovation capabilities.FindingsThe empirical results prove that innovation ambidexterity is positively correlated with product innovation performance, while decentralization is mediating the impact of innovation ambidexterity on product innovation performance in the IT industry.Research limitations/implicationsThe data was based on self-reported assessments of senior executives. While innovation ambidexterity may influence product innovation performance in the long term, such long-term effects are not assessed. Other studies found a moderating effect between centralization or decentralization and ambidexterity, while we found that it has a mediating effect.Practical implicationsIn the context of innovation capability, the combination of explorative or exploitative capabilities may lead to a better synergy. Innovation ambidexterity influences product innovation performance through a synergistic effect, making the simultaneous combination of capabilities useful for firms willing to make efficient use of existing resources and make their capabilities mutually supportive. Moreover, for senior executives, the effects of decentralization as a mediator provide further incentive to include it in their development of firms' innovation capabilities.Originality/valueThis study extends findings of other studies by contributing to a deeper examination of the effects of decentralization, on innovation outcomes by focusing on a specific type of innovation, product innovation. Moreover, since innovation capability is often studied in small firms or in the manufacturing industry, this study contributes to the research on innovation capability and the consequences on innovation capability in the services sector and medium- and large-sized companies. By proving that decentralization mediates the effects of innovation ambidexterity on product innovation performance, it enables reconsideration of the organizational structure role in fostering innovation.

Role of innovation ambidexterity in technology startup performance: an empirical study

ABSTRACT Innovation ambidexterity is equivocal and this concept holds a significant position in the literature of strategic entrepreneurship as it binds together the crucial dimensions of organisational learning theory. Ambidexterity is recognised as a source for achieving higher levels of firm performance; however, scholars left a gap in examining how innovation ambidexterity is achieved, particularly so in startups. Therefore, this study investigates how a balance between exploratory and exploitative innovations can lead towards better startup performance under the moderating effects of absorptive capacity and environmental dynamism. This is a cross-sectional empirical research on young incubating technology startups and the data were analysed using partial least square structural equation modelling (PLS-SEM). Our results highlight that innovation ambidexterity plays a crucial role in achieving better startup performance. This research contributes to the ambidexterity literature by providing quantitative evidence at a large scale, delineating the procedure through which entrepreneurs can achieve innovation ambidexterity. The research enriches the organisational learning theory by providing a more inclusive understanding of innovation ambidexterity concept.

Role of Information System Strategies, Business Intelligence and Analytics used to Enhance Firm Performance: Mediating role of Innovation Ambidexterity

The objective of this research is to examine the aspects of Information System (IS) strategies, Business Intelligence, and Analytics (BI&A) used to enhance firm performance. The main purpose of this study is to assess the influence of IS strategy, BI&A impact on firm performance as well as to demonstrate the association of innovation ambidexterity between BI&A and firm performance. Statistically analyzed results were based on data obtained from a survey questionnaire filled out by 322 Indonesian, China, Japan, and Malaysian Small and Medium Enterprises employees. The findings revealed that IS strategies, business intelligence, and analytics use have a significant influence on firm performance. The findings also revealed that innovative adaptability is a mediating factor in the favourable relationship between BI&A use and business success. All of the hypotheses were supported and the partial least squares method was used to test them.

Horizontal innovation and ambidextrous organization: a new innovation model applied in a mature industrial company

Objective of the study: Analyze how Horizontal Innovation enables a company to produce radical and incremental innovations, making it ambidextrous.Methodology/approach: The research is a case study at a mature Brazilian company that puts Horizontal Innovation based on its Employee Suggestion System (ESS) into practice. A total of 18 interviews were conducted, including: all 4 directors and all 10 managers of the organization, in addition to 2 coordinators and 2 researchers.Originality/Relevance: The paper creates and defines the concept of Horizontal Innovation: a type of innovation that originates from all employees, usually stemming from an ESS. The study shows, based on continual ESS operations, how a company can achieve ambidexterity and systematically produce incremental, radical products and processes.Main results: ESS produces radical innovations as well as incremental ones, although the latter occur more frequently, and lead to Horizontal Innovations. The systematic search for Horizontal Innovations paves the way for a company to become ambidextrous, promoting, with the same competence, these two types of innovation.Theoretical/methodological contributions: The study contributes to the debate that defends the viability of innovative ambidexterity, and to new insights that clarify how a culture that stimulates ambidexterity can influence the ambidextrous behavior of employees through Horizontal InnovationPractical implications: A new type of innovation is proposed and described, reinforcing the value of an ESS as an important management tool. The case enables comparisons and contrasts with others for best practices benchmarking.

Research on a Compound Dual Innovation Capability Model of Intelligent Manufacturing Enterprises

The innovation capability of enterprises is reflected in whether their products and services can meet the needs of customers and adapt to the market. After analyzing the main differences between traditional manufacturing enterprises and intelligent manufacturing enterprises, it is proposed that intelligent manufacturing enterprises share the main characteristics of digitization, automation, platformization and flat manufacturing. Based on the theory of “ambidextrous innovation”, this paper analyzes the mechanism of the innovation capability of intelligent manufacturing enterprises and notes that informatization and intellectualization are the driving forces between the innovation capability of enterprises. In addition, a “dual drive” and “ambidextrous innovation” have a direct effect on manufacturing and management, promoting products and services and comprehensively improving the quality of such products and services to enhance the core competitiveness of intelligent manufacturing enterprises. A compound dual innovation capability model for intelligent manufacturing enterprises is constructed, and the evaluation indices of the model are provided for reference. The present work provides research focuses and a theoretical framework for follow-up research on the innovation capability of intelligent manufacturing enterprises to promote the innovation and development of intelligent manufacturing enterprises.

Does lean and sustainable manufacturing lead to Industry 4.0 adoption: The mediating role of ambidextrous innovation capabilities

On one hand, Industry 4.0-based sustainable manufacturing has been undergoing a revolution, and generating widespread interest both among business leaders and academicians, based on the assumption that it has a linear and direct relationship. On the other, sustainable ambidextrous innovation has become crucial in reducing carbon emissions, saving costs, and creating new market segments simultaneously. However, the research on the role of lean and sustainable manufacturing on Industry 4.0 adoption is developing, and literature has assumed a linear and direct relationship. Using Structural Equation Modeling, we investigate the mediating role of ambidextrous innovation capabilities on Industry 4.0 adoption in order to achieve sustainability goals across multiple businesses and stakeholders. In the process, we add to research on sustainable manufacturing and Industry 4.0, while making three salient contributions: (1) Scale development to measure constructs, such as lean manufacturing, sustainable manufacturing, innovation ambidexterity and Industry 4.0 adoption. (2) Establishing a relationship between lean & sustainable manufacturing and Industry 4.0. (3) Investigating the mediating role of innovation ambidexterity.

The Impact of CSR on Sustainable Innovation Ambidexterity: The Mediating Role of Sustainable Supply Chain Management and Second-Order Social Capital

As the concept of corporate social responsibility advances, it is crucial to recognize the broad roles of sustainability and the Sustainable Development Goals (SDGs) influencing the implementation of corporate social responsibility (CSR) initiatives. This research contributes to the expanding field of CSR, sustainable innovation ambidexterity (SIA), sustainable supply chain management (SSCM), and second-order social capital (SOSC). This research produced a theoretical framework based on social exchange theory, social capital theory, and Carroll’s CSP model to investigate the impact of CSR on SIA, SSCM, and SOSC. Furthermore, this study examined the mediating effects of SSCM and SOSC on the correlation between CSR and SIA. Additionally, this study presents a model to explain the impact of SSCM and SOSC on SIA. This study concentrated on top-level managers of several manufacturing businesses situated in Pakistan. A total of 42 manufacturing businesses were chosen utilizing a convenience cluster sampling method. As per the results of this research, CSR was discovered to have a positive impact on SSCM, SIA, and, SOSC. Moreover, SOSC and SSCM were found to be in a significant relationship with SIA. Finally, SOSC and SSCM fully mediated the relationship between CSR and sustainable innovation ambidexterity. This research can guide companies by effectively delivering their finances in CSR initiatives. The findings also suggest that companies should concentrate on improving their CSR initiatives because CSR has a significant effect on SIA. The SDGs provide a road map for companies that can assist them to tactically manage their CSR initiatives according to the international and national sustainable development guidelines. Hence, the CSR–SDG tie is essential for the improvement in the role of CSR in sustainable development. Moreover, to improve and measure SSCM, SOSC, and SIA, policymakers and general managers should devote efforts to CSR.

How ICT capability affects the environmental performance of manufacturing firms? – Evidence from the World Bank Enterprise Survey in China

PurposeThe objective of this paper is to empirically test and verify the influence of information and communication technology (ICT) capability on environmental performance (EP) of manufacturing, as well as the moderating effect of heterogenous factors and the mediating effect of ambidextrous innovation in the context of the Chinese manufacturing firms.Design/methodology/approachThe data come from the World Bank Enterprise Survey of China conducted from December 2011 to February 2013. The logistic regression is applied with Stata 15, and the robustness test by three methods is employed to verify the reliability of the results in this paper.FindingsThe research results suggest that the positive relationship between ICT capability and EP is moderated by two heterogenous factors, including main market and industry attributes. Meanwhile, the positive relationship between ICT capability and EP is mediated by ambidextrous innovation.Originality/valueThis work highlights ICT capability as an important, yet underexplored antecedent in improving the EP of manufacturing firms. This research further uncovers the moderating role of main market and industry attributes, as well as the mediating mechanism by introducing ambidextrous innovation in the relationship between ICT capability and EP.

Design thinking implementation for innovation: An organization's journey to ambidexterity

AbstractImplementing design thinking for innovation (DTI) is seen as a way to balance exploration and exploitation, and thus attain an ambidextrous innovation portfolio. Yet, transitioning to ambidexterity is challenging, and is often met with inertia. So how can managers implement DTI as a path toward ambidextrous innovation? In this article, based on an in‐depth longitudinal case study of a leading Australian property development firm and drawing on rich primary and secondary data collected over four years, we examine how middle managers leveraged DTI to respond to inertia generatively, and how this process helped shift the cognitive frame of the organization toward ambidexterity. In our case, the middle manager implemented three DTI practices—(1) creative problem‐solving, (2) sprint execution, and (3) creative confidence— to transition the organization's cognitive frame from an explorative to exploitative, to ultimately an ambidextrous innovation frame. Our argument is that these DTI practices trigger three generative mechanisms—frame flexibility, co‐optation, and collective sensemaking—to support this transition. Drawing on these insights, we develop a process framework of how different DT practices and related generative mechanisms can be deployed flexibly to adapt to the interim (explorative and exploitative) innovation objectives over time. We argue that freezing the innovation frame in each phase can trigger a generative response to inertia, which enables the organization to transition more radically to an ambidextrous innovation portfolio. We thus contribute to the limited design thinking research on the role of cognition in DTI implementation, and more generally to innovation management and ambidexterity research on how leveraging DTI to achieve an ambidextrous innovation portfolio is an emergent and adaptive process.

How Does Digital Transformation Improve Organizational Resilience?—Findings from PLS-SEM and fsQCA

Digital transformation has become a critical path for enterprises to improve organizational resilience, and has been widely considered by both academia and business practice. However, the extant literature focuses on the concepts and antecedents of digital transformation and the outcomes of digital transformation, lacking of exploring the effect mechanism of digital transformation of enterprises on organizational resilience. Based on the perspective of dynamic capacity and the theoretical path of “digital transformation—ambidextrous innovation—organizational resilience”, this study constructs a theoretical model to explore a path where digital transformation affects both exploitative innovation and exploratory innovation, and further affects the organizational resilience of enterprises. By performing a questionnaire investigation with 339 Chinese enterprises, this study adopted both a fuzzy-set qualitative comparative analysis (fsQCA) and structural equation modeling (SEM) to explore the relationships among digital transformation, ambidextrous innovation, and organizational resilience. The results show that the digital transformation of enterprises helps to improve organizational resilience. Additionally, digital transformation has a positive impact on the organizational resilience of enterprises mediated by both exploitative innovation and exploratory innovation. Finally, both exploitative innovation and exploratory innovation of enterprises have a positive impact on organizational resilience, and there is a complementary relationship between exploitative innovation and exploratory innovation. Further qualitative comparative analysis also shows that there are three types of configurations for achieving organizational resilience: digital transformation and exploitative innovation, digital transformation and exploratory innovation, and exploitative innovation and exploratory innovation. The paper is concluded by highlighting the importance of the practical significance for enterprises to effectively carry out digital transformation and further achieve organizational resilience.

How does ambidextrous leadership influence technological innovation performance? An empirical study based on high-tech enterprises

ABSTRACT The complex and changeable environment calls for entrepreneurs to adopt ambidextrous leadership (AL) strategies to balance the different demands within the organisation. Transformational and transactional leadership are the most widely studied leadership in the field of leadership and are regarded as an effective way to enhance enterprise technological innovation performance (ETIP) by scholars. However, previous studies have overlooked the complementary participation of these two paradoxical leadership behaviours in enterprise management as well as the influence of such complementary participation on employees’ psychological distance (PD). In order to make up for these gaps, this paper uses linear regression analysis, SEM, and ANOVA to explore the influence of AL on ETIP by empirically studying 308 functional department managers in 77 high-tech enterprises in China. The main conclusions are as follows: (1) AL has a significant positive impact on ETIP. (2) The positive impact of AL on ETIP is better than that of single transformational or transactional leadership. (3) PD partially mediates the relationship between AL and ETIP. The finding refines the academic understanding of the relationship between AL, PD, and ETIP, and is enlightening for entrepreneurs to effectively manage their enterprises.

Exploring the Co-effect of Market-Orientation and Ambidextrous Innovation in Service Innovation of SMEs

Market-orientation capability (MOC) and ambidextrous innovation (AI) as dynamic capabilities have a significant role in the success of SME service innovation. Their co-effect, which has not been studied previously, represents the linking strategy and actions that relate MOC to AI to reconfigure resources based on market insights to balance the exploration-based and exploration-based innovation activities and leads SMEs to seize service innovation opportunities effectively. Thus, this study examined the relationships among these variables and firm performance, considering international environmental hostility (IEH) as a moderator, in a model using data from 154 tourism and travel firms in Iran as an emerging market. The results reveal a significant association between each of MOC and AI with firm performance, in which IEH significantly moderates these relationships. Also, their co-effect negatively influences the firm performance, which indicates a weak relation between MOC and AI in these SMEs. This research suggests that tourism SME managers should deliberately adjust the linking strategy between their MOC and AI to accurately respond to service innovation opportunities and attempt to turn the threats of environmental hostility into opportunities for the sustainability of their firm performance.

Is Ambidextrous Innovation Strategy Beneficial to International Joint Venture Performance? Evidence from China

While the strategic marketing literature promotes ambidexterity as a critical innovation strategy that can enhance firm performance, its value in the international marketing context remains underexplored. Combining the ambidexterity and international marketing literatures, this study investigates how ambidexterity affects performance of the international joint ventures (IJVs) and how parent control asymmetry and cultural distance moderate the effects. Using polynomial analysis, this study simultaneously considers both the balance and intensity elements of ambidexterity and examines their effects on IJV performance in China. The authors argue that ambidexterity balance has a U-shaped effect on IJV performance, whereas ambidexterity intensity exerts an inverted U-shaped effect; such effects are further moderated by the unique features of IJVs—that is, parent control asymmetry and cultural distance. With a data set that combines survey and archival data on IJVs in China, the authors find strong empirical evidence for the hypotheses. These findings offer important advances to innovation research on IJVs.

Moderator Effect of Innovation on the Relationship between Internationalization and Performance in Brazilian and European Companies

Objective: To analyzes the moderating effect of innovation on the relationship between internationalization and financial performance.
 Method: The sample gathers 1,840 companies listed on Brasil, Bolsa, Balcão (B3) and NYSE Euronext during the period of 2014-2018. Tests for difference of means were performed and linear regression models with panel data via systemic generalized moments method (GMM-Sys) were estimated.
 Results: Estimates indicate that the degree of internationalization alone does not assure high financial performance in Brazilian companies, while in European companies it influences return on assets (ROA) negatively. Moreover, in both contexts, the individual moderating effect of the two variables of innovation, exploration (R&D) and exploitation (Capex), could not be identified. However, a positive and significant effect of ambidextrous innovation activities in the relationship between internationalization and financial performance was verified. Evidence of the effect of internationalization on financial performance in both Brazilian and European companies is confirmed when enhanced by the simultaneous engagement of innovation activities.
 Contributions: This study contributes to a recent investigative line, which verifies the effect of intervening variables in the internationalization-performance relationship. It contributes to the analysis of this relationship in companies from emerging markets, a much and still needed research focus as a way of gaining a better understanding of business opportunities in adverse institutional conditions and how to seize them.

Knowledge network capability and organizational innovation: Network position transition and ambidextrous innovative behaviors as mediators

In this study we examined the influence of knowledge network capability on organizational innovation. Drawing on organizational network theory and taking a knowledge-based view, we proposed ambidextrous innovation behavior and network position transition as mediators to clarify the underlying mechanisms of the effect of knowledge network capability on organizational innovation. Furthermore, we proposed knowledge base as a boundary variable to understand its interplay with knowledge network capability in regard to organizational innovation. Participants were 265 senior managers of recently established high-tech enterprises in China. Consistent with our predictions, the results show there was a positive relationship between knowledge network capability and ambidextrous innovation behavior, and network position transition mediated this relationship. In addition, the results suggest that knowledge base can strengthen the direct effect of knowledge network capability on organizational innovation. Our findings enrich the literature on knowledge networks and innovation, and provide important implications for enterprises to innovate by employing knowledge network capability.

Innovation and Ambidextrous Transition: The Implications for China and Beyond

Intrigued by recent scandals of Chinese public firms in manipulating earning reports, this paper examines the relationship between managerial choices of exploitation vs. exploration, earnings management, and firm risk in China. Building on Teece’s PFI framework and the innovation ambidexterity literature, we propose the term of ambidextrous transition to encapsulate the dynamic process of deploying exploitation and exploration to changing environments. Using a large Chinses dataset consisting of 10,122 firm-year observations (2,430 public firms) spanning from 2007 to 2017, we find that an exploitation-dominant strategy in China helps curb earnings management and that ambidextrous transition helps mitigate firm risk. Results from this study offer important implications for our understanding of the innovation strategies adopted by firms in China and other emerging economies with similar institutional limitations.

The Role of Corporate Social Responsibility in Supporting Second-Order Social Capital and Sustainable Innovation Ambidexterity

This research contributes to the developing literature on CSR, second-order social capital, and sustainable innovation ambidexterity by (1) offering a complete theoretical framework grounded on related theories by clarifying the associations between the four components of CSR proposed by Carroll, because this model suggests a company to be a responsible member of the society by following the required laws while generating profits and conducting philanthropic initiatives, SSC, and sustainable innovation ambidexterity, and (2) testing this framework in a new setting and with a new target population. This study focuses on the top-level management of different manufacturing companies located in Pakistan. A total of 34 manufacturing industries were selected using a cluster sampling technique based on their proximity in the selected cluster. Geographical location and industry type were selected as the criteria to group the industries in clusters. The data collected from 220 top and middle-level managers were analyzed using a partial least square method while the moderation analysis was conducted by using variance analysis. According to the findings of this study, economic, ethical, legal, and philanthropical responsibilities of CSR were all found to have a positive influence on second-order social capital. The economic, ethical, and legal responsibility of CSR did not influence sustainable innovation ambidexterity, whereas the philanthropical responsibility of CSR was found to have a positive influence on sustainable innovation ambidexterity. The findings of this research study will allow the managers to identify the right mix of CSR initiatives required to manage SSC and sustainable innovation exploitation and exploration techniques.