Effect Of Process Innovation Research Articles

The effects of process innovation and partnership in SCM: Focusing on the mediating roles

In this study, we examined the impact of supply chain management factors on firm performance, and we focused on the mediating role of process innovation and partnerships. For the analysis, we surveyed 193 workers working in smartphone manufacturing companies. We found that information systems, support of top management, and performance management have positive impacts on a company?s process innovation. The factors that affect partnership are the support of top management and performance management. Process innovation and partnership also positively affect a firm?s financial and nonfinancial performance. Nonfinancial performance also shows effectiveness. Thus, to improve a firm?s supply chain management (SCM) performance, companies should focus on enhancing process innovation and partnerships that positively affect firm performance. Furthermore, this research can serve as a stepping stone for the development of SCM in line with the technological innovation of Industry 4.0.

Sustainable Manufacturing Supply Chain Performance Enhancement through Technology Utilization and Process Innovation in Industry 4.0: A SEM-PLS Approach

The fourth industrial revolution brought a paradigm shift in the present manufacturing system and its supply chain management (SCM). The evolution of Industry 4.0 (I4.0) brought several disruptive technologies like cloud computing (CC), blockchain, the Internet of Things (IoT), cyber-physical systems (CPS), etc. These disruptive technologies have changed the face of the modern manufacturing system and its manufacturing supply chain (SC). Several changes in manufacturing in terms of lead time, cost reduction, agility, flexibility, and response to market sensitivity are seen in almost all types of manufacturing. I4.0’s disruptive technologies influence lean SC, agile SC, leagile SC, and green SC. The current study examines how I4.0 technologies affect society on such supply chains (SCs), which leads to enhanced performance of the manufacturing SC. The effect of process innovation (PI) resulting from I4.0 innovations is also investigated. SEM-PLS-based modeling is constructed based on 195 responses received from manufacturing enterprises implementing various SC practices in managing their manufacturing SCs. The findings demonstrate a favorable correlation between I4.0 technology and the enhancement of various SCs. The result also revealed that there is a positive impact of I4.0 technologies on PI, which leads to manufacturing SC performance improvements.

Does Innovation Shape the Employment Growth Distribution? Evidence from East European Firms

Abstract Employment growth is one of the most crucial indicators for economic policy. Existing studies show that only a small fraction of firms experience high growth rates and create the most new jobs. Making use of recentered influence function regressions, this study examines the effects of process and product innovations on the employment growth distribution. The analysis is based on firm data from Eastern European countries. The effects of process innovation on job creation are ambiguous. An increase in firms with products and services that are new to the market shape the upper tail of the employment growth distribution. Product and service innovations thus cause skewness of the employment growth distribution and are a major determinant of job creation. This study therefore presents evidence on whether and how innovation activities affect employment growth and contributes to the lively debate about how to foster employment growth.

Экономические эффекты технологических инноваций в обрабатывающей промышленности России и Дальнего Востока

The study is devoted to the assessment of the economic effects of technological innovations on productivity in the manufacturing industry of the regions of Russia with a more detailed analysis given for the Russian Far East. The study was carried out on the materials of official statistics of provided by Rosstat and covers the period between 2006–2020 with the detailed periods of 2006–2013 and 2014–2020. It is established that on average, in the period of 2006–2020, technological innovations significantly and positively influenced the productivity of Russian manufacturing enterprises in the regions of the country. The effect of product innovations was most pronounced in 2006–2013 against the background of the financial and economic crisis and the subsequent recovery of the Russian industry. The effect of process innovations, on the contrary, gained strength only in 2014–2020 as foreign markets closed for Russian manufacturers. It is shown that technological innovations are not the most significant factor in increasing the productivity of manufacturing enterprises. In manufacturing industries, productivity depends more on the volume of goods shipped in previous years, as well as on the industry environment of enterprises and the infrastructure constraints within which they have to operate. The total effect of these factors on productivity is 1.5 times greater than the effect of innovation. It is shown that in the manufacturing industry in the Russian Far East, the effect of the total volume of technological innovations on productivity is 1.5–2 times less than in Russia in general, which can be explained by the low efficiency of process innovations in the Far Eastern Federal District. At the same time, the processing enterprises of the district demonstrate an increased effect (by 25–40%) of product innovations relative to the average level in Russia, which is associated with a greater dependence of the enterprises of the district on the fulfillment of individual orders

Effect of Process Innovations on Performance of Insurance Companies in Nyeri County

Effect of Process Innovations on Performance of Insurance Companies in Nyeri County

Does Innovation by Firms Still Create Jobs even after the Business Stealing Effect at the Sector Level?

ABSTRACT The literature on innovation and employment has not provided theory-consistent results about the question of whether innovation by firms would still create jobs after the canceling out by a negative or business stealing effect and a positive spillover effect at the sector level. This study addresses this issue using Korean firm and sector data over a long-term period. Beyond the consensus results by firm-level analyses, this study also produces the sector-level results confirming the significant and positive long-term effects of product innovation, as well as no significant effects of process innovation, on the net employment growth of a sector.

Estimating a non-neutral production function

AbstractIn this article we estimate a production function that allows us to depart from the standard hypothesis of Hicks neutrality (HN) while also coping with the endogeneity of a dummy innovation variable. We consider specifications that relax HN, and we derive the testable conditions for common parametric approximations under which HN holds. The model is estimated using instrumental variable methods, allowing innovation to have a heterogeneous effect on the production process. The econometric analysis rejects HN and highlights three main features: a biased technical change (TC), with a higher ratio between the marginal product of labour and the marginal product of capital for innovative firms; a locally progressive TC; fully heterogeneous technologies when comparing innovative to non-innovative firms. We also address other issues, taking a closer look at the effect of process innovation and the role of sector heterogeneity and considering the potential endogeneity of labour input.

Process innovation and performance: the role of divergence

PurposeProcess innovation is a key determinant of performance. While extant literature paints a clear picture of the drivers of process innovation, the effect of process innovation on performance has received little attention. This paper aims to examine how the divergence of process innovation impacts performance. Divergence concerns the extent to which the observed level of process innovation diverges from the expected level of process innovation. Positive divergence occurs when the observed level of process innovation is higher than expected while for negative divergence the opposite occurs. In turn, the authors consider how divergence acts as a driver of performance.Design/methodology/approachThe authors use survey and archival data from 5,594 firms across 15 countries. The authors analyze the data using an advanced two-step random-effects estimator that accounts for the multi-level data used.FindingsThe authors find negative divergence to reduce performance under high competitive intensity, whereas positive divergence is detrimental under high environmental uncertainty.Research limitations/implicationsThe authors present new and unique insights into the relationship between divergence and performance. The authors argue that each firm has an “ideal” level of process innovation, based on their resources and business environment, relative to which performance diminishes. Specifically, the authors argue that divergence from the firm’s expected level of process innovation is associated with the reduced performance during high environmental uncertainty or high competitive intensity. Furthermore, the authors argue that there can be “too much” process innovation. This nuance of the majority of prior empirical studies in this area suggests that more innovation is always better for firms. The more nuanced approach reveals that the process innovation-performance debate should not focus on more or less innovationper se, but on how innovation is constructed and supported.Practical implicationsSome argue the existence of an academia-practitioner gap, with both living in different worlds (Reibsteinet al., 2009). The findings suggest that theory is not only useful to practitioners but also has a crucial and central role regarding decisions relating to efficiency and effectiveness of scarce resources, in the field of process innovation. More specifically, the authors demonstrate that the prior study on process innovation seems to be useful in that relative to a theory-predicted level, divergence diminishes performance in the global sample of companies across a wide range of industries. In addition, the authors suggest that firms should not strive for more innovationper se. The findings suggest that positive divergence or too much innovation is detrimental for performance under environmental uncertainty, while negative divergence or too little innovation is harmful to performance under competitive uncertainty. Moreover, the divergence approach is also useful for comparing performance to that of other firms, typically referred to as benchmarking.Originality/valueThis paper is useful and important for managers and theory development as it provides insight into situations where a firm may have “too little” or “too much” process innovation. Thus, divergence advances understanding as, in contrast with the previous study, the authors do not suggest that more innovation is always better.

Effect of Process Innovation and Market Innovation on Financial Performance with Moderating Role of Disruptive Technology

This study examined the relationship between process innovation, market innovation and firm financial performance of Indonesian pharmaceutical firms. This study also intended to investigate the moderating role of disruptive technology on the relationship of process innovation and market innovation with Indonesian pharmaceutical firms’ financial performance. To investigate the proposed relationship, this study collected the data from managers of pharmaceutical firms in Indonesia by using survey questionnaire. PLS statistical software was employed to analyse the data. The result of this study highlighted that there is a positive relationship between process innovation, market innovation and financial performance of firms. While, results indicated that disruptive technology moderate the relationship of process innovation with financial performance, but it has no moderating role on the relationship of market innovation with financial performance. The results of this study contribute to the body of knowledge by adding to the existing literatures in the domain of innovation capabilities and financial performance. Moreover, the findings of the study have shown that innovation capabilities are capable of influencing the performance of firms. How to Cite this Article Pubmed Style Hari Muharam, Fredi Andria, Eneng Tita Tosida. of Process Innovation and Market Innovation on Financial Performance with Moderating Role of Disruptive SRP. 2020; 11(1): 223-232. doi:10.5530/srp.2020.1.29 Web Style Hari Muharam, Fredi Andria, Eneng Tita Tosida. of Process Innovation and Market Innovation on Financial Performance with Moderating Role of Disruptive http://www.sysrevpharm.org/?mno=83858 [Access: March 29, 2021]. doi:10.5530/srp.2020.1.29 AMA (American Medical Association) Style Hari Muharam, Fredi Andria, Eneng Tita Tosida. of Process Innovation and Market Innovation on Financial Performance with Moderating Role of Disruptive SRP. 2020; 11(1): 223-232. doi:10.5530/srp.2020.1.29 Vancouver/ICMJE Style Hari Muharam, Fredi Andria, Eneng Tita Tosida. of Process Innovation and Market Innovation on Financial Performance with Moderating Role of Disruptive SRP. (2020), [cited March 29, 2021]; 11(1): 223-232. doi:10.5530/srp.2020.1.29 Harvard Style Hari Muharam, Fredi Andria, Eneng Tita Tosida (2020) of Process Innovation and Market Innovation on Financial Performance with Moderating Role of Disruptive SRP, 11 (1), 223-232. doi:10.5530/srp.2020.1.29 Turabian Style Hari Muharam, Fredi Andria, Eneng Tita Tosida. 2020. of Process Innovation and Market Innovation on Financial Performance with Moderating Role of Disruptive Systematic Reviews in Pharmacy, 11 (1), 223-232. doi:10.5530/srp.2020.1.29 Chicago Style Hari Muharam, Fredi Andria, Eneng Tita Tosida. Effect of Process Innovation and Market Innovation on Financial Performance with Moderating Role of Disruptive Technology. Systematic Reviews in Pharmacy 11 (2020), 223-232. doi:10.5530/srp.2020.1.29 MLA (The Modern Language Association) Style Hari Muharam, Fredi Andria, Eneng Tita Tosida. Effect of Process Innovation and Market Innovation on Financial Performance with Moderating Role of Disruptive Technology. Systematic Reviews in Pharmacy 11.1 (2020), 223-232. Print. doi:10.5530/srp.2020.1.29 APA (American Psychological Association) Style Hari Muharam, Fredi Andria, Eneng Tita Tosida (2020) of Process Innovation and Market Innovation on Financial Performance with Moderating Role of Disruptive Systematic Reviews in Pharmacy, 11 (1), 223-232. doi:10.5530/srp.2020.1.29

Analysis of Types, Intensity, Methods and Effects of Process Innovations

Purpose: The purpose is to provide knowledge about the intensity and types of process innovation in the business sphere, as well as the representation of entities involved in creating innovation, and about the effects of process innovation.Methodology/Approach: Data from the statistical survey on innovation activities carried out by the Czech Statistical Office according to the Eurostat methodology were used, supplemented by some results of the own questionnaire survey. Methods of sorting, size arrangement, structure analysis, comparison, context analysis were used.Findings: The large enterprises were significantly more active than SMEs in implementing process innovations, as well as foreign affiliates were more active than domestic enterprises. Besides typical competitive advantages of process innovation benefits the benefits in ecology, occupational safety and reduced labour demand have also proved to be numerous. Co-operation of enterprises with universities has proved to be low. The lack of skilled workers and financial resources were the main obstacles to the innovation activity of enterprises.Research Limitation/implication: The research is focused on companies in the Czech Republic.Originality/Value of paper: The actual contribution of the article lies in the purpose-oriented comparison of process innovations between fields of enterprise activities, especially in the area of logistics innovations, in some aspects the comparison of process-innovation activities according to the size of the company and the ownership of the company.

Effect of Process Innovations on Financial Performance of Commercial Banks in Kenya

Process innovations positively influence the firm’s performance and ultimately influence the industry’s performance and interactions. This study aimed to evaluate the effect of identified process innovations as independent variables on the financial performance as dependent variables in Kenyan commercial banks using panel data for the period from 2014 to 2018. The study assessed the performance of the commercial banks during the pre-innovation period of 2009 to 2013 using return on assets the performance measure and compared the performance during the two periods. Based on the analysis results, firms’ performance as measured by the return on assets (ROA) improved during the post innovations period as compared to pre-innovations period as per the calculated p- values. The findings show that mobile banking transactions, agency banking transactions and internet banking transactions controlled by the firm size and leverage positively affect the financial performance of commercial banks in Kenya. Further, it can be deduced that in order to harness efficiency and operational effectiveness, banks need to be innovative to provide better service to their customers, save on costs, tap markets towards competing effectively. The study evaluated the commercial banks in Kenya especially those whose data on innovation activities was available. The F-statistics test was used to test the validity of the variables and the model used. However, though the findings of the study were positive, further research should be conducted especially focusing on the effects of other forms of innovations (product innovation, marketing and organization innovation) and evaluate how they influence firms performance using other performance measures and incorporating other variables like ownership structures, capital structures or corporate governance measures as either mediating or moderating variables. Keywords: Innovation activities, financial institutions, financial inclusion, mobile banking, internet banking and agency banking. DOI : 10.7176/JESD/10-20-03 Publication date :October 31 st 2019

Industrial Revolution(s): Transformation Processes of Capitalism

Angesichts der sich ausbreitenden Digitalisierung wird aktuell befürchtet, daßs die damit verbundenen Prozessinnovationen sich überaus negativ auf die Beschäftigung auswirken könnten. Aus historischer Perspektive zeigt sich indes, dass mehr oder weniger disruptive Produktivitätssteigerungen zur Genese des historisch gesehen recht jungen Kapitalismus gehören. Demzufolge setzen Innovationen allein, so gravierend sie sein mögen, die zentralen Funktionsprinzipien der modernen Ökonomie nicht außer Kraft. Mit einer geeigneten Politik lässt sich im Übrigen ein drohender Stellenabbau infolge solcher Transformationsprozesse des in seiner Grundstruktur gleichbleibenden zeitgenössischen Wirtschaftssystems bekämpfen.

Innovation and employment: an introduction

The eight papers of this icc special section address the relationships between innovation of different kinds—related to products, processes, or organizational arrangements—in their effects on job creation and job destruction at the level of both firm and whole sectors, in a wide range of countries from all continents except north america and oceania. The evidence suggests that product innovation as such does not lead to job destruction but possibly to a polarization of jobs. The effects of process innovation are more controversial. At a purely firm level, a significant negative effect on employment is often absent. However, this does not rule out the possibility of industry-wide labor shedding outcomes. Finally, the evidence so far suggests that a driver of employment dynamics in western advanced economies much more powerful than the patterns of innovation has been exerted by globalization and offshoring to competition from emerging economies like china.

공정혁신과 제품혁신이 고용구조와 경제성장에 미치는 영향

공정혁신과 제품혁신이 고용구조와 경제성장에 미치는 영향

The Effect of Process Innovation on Organizational Commitment in Supply Chain Management

The Effect of Process Innovation on Organizational Commitment in Supply Chain Management

Are Micro-Analyses of Employment Effects of Innovation Too Optimistic? A Sector-Level Analysis of the Austrian Economy between 2008 and 2012

Innovation – the development of new products and services as well as the application of new technologies – is widely assumed to be an important strategy for securing or improving competitiveness, growth and welfare. Usually, it is expected that rising competitiveness leads to positive effects on employment, particularly through product innovation. Comparing the innovation activity in the sectors of the Austrian economy which is covered by the European innovation survey CIS in the period 2008-2010 with the employment trends in the years of recovery from the crisis in 2009 until 2012 shows that the situation at sector level is more diverse. Regarding product innovation, the sector-level correlation analysis tends to confirm the often stated positive relation between product innovation and employment growth, but there is also a considerable number of opposite cases. Interestingly, there is almost no difference between general product innovations and products which are new to the market. Regarding the employment effects of process innovation, the group of sectors where there is a relation between process innovation and a reduction of employment and the group where such a relation cannot be found are of similar size. However, the results look very different when focusing on explicitly labour saving process innovations. Here the group of sectors with a negative relation between innovation intensity and employment growth is considerably bigger than in the case of process innovation in general.

Environmental Regulation, Process Innovation and Social Cohesion in Korea

Combining input-output analysis and the growth-accounting formula of total factor productivity, this paper unveils the links between environmental regulation, process innovation, and social cohesion in Korea. Focusing on interactions between CO2 emissions regulation and inter-industrial performance, this paper first explores the spillover role of the process innovation of major manufacturing sectors in overall price competitiveness in Korea. Then, it simulates the countervailing economic spillover effects of process innovation on income inequality in the face of CO2 emissions regulation and provides policy recommendations for Korea.

Технологические нововведения в условиях конкуренции по Курно для n > 2

This study reveals incentives for process innovations and their effects related to different conditions of creation process and the provision of an access to the results of intellectual activity for companies in the absence of antitrust restrictions and unfair competition. The model of the process innovation is designed for competition à la Cournot for N firms. Conclusions on the effect of process innovations on changes in prices, volumes, consumer surplus and industry profit are presented. A numerical example is employed to identify cost thresholds for innovations and conditions for voluntary licensing. It is shown that the total effects of innovations are higher than the effects related to the returns of technological leader. This indicates not only the problem of probable underinvestment but also demonstrates transaction cost arising form the process innovation. Technology competition and cooperation cases for three initially symmetric firms are discussed.

Effects of process and product‐oriented innovations on employee downsizing

PurposeThe purpose of this paper is to examine the role played by different types of firm innovation on employee downsizing. Drawing on economic and management views, the authors aims to assess the potential positive or negative effect of different types of processes (i.e. new technology via the introduction of new equipment as well as new methods of organizing the workforce) and product (i.e. number of innovations) innovations on employee downsizing.Design/methodology/approachThe empirical setting is a sample of Spanish manufacturing firms over the period 1994‐2006. The authors employ probit models for panel data as an empirical tool.FindingsThe results show a negative and significant effect of process innovations associated with acquiring and deploying new production equipment and product‐oriented innovations on the probability of carrying out important reductions in workforce. However, a positive and significant effect is found when process innovations are linked to the adoption of new methods of organizing the workforce.Practical implicationsManagers might play a significant role in employment creation, especially when they carry out process innovations related to the acquisition of complementary production assets (i.e. new equipment) and market highly innovative products. Policy makers might contribute to diminish the potential number of employees affected by firms’ downsizing strategies by designing, for example, public subsidies systems that deliberately prompt both types of innovations.Originality/valueThe authors make an effort to provide alternative explanations about why firms downsize, as they analyze different types of process and product innovations whose effects on employment (and, thus, downsizing) do not seem to be clear. Moreover, the paper furthers one's understanding of the effect of firm innovation by focusing on the potential effect of one type of process innovation which has not been examined until now: the adoption and implementation of new methods of organizing the workforce owing to new technology.

Spillover effects of innovation: Taiwanese evidence

This article evaluates spillover effects of innovation of Taiwan's industries by using the input–output (IO) analysis framework. On the basis of IO tables for the years 1981, 1986 1991 and 1996, the structure, magnitude and ranking list of the spillover effect of innovation are revealed. Additionally, several findings are also achieved from the empirical results. First, the spillover effect of process innovation is stronger and about more than twice the spillover effect of product innovation in Taiwan. Furthermore, Taiwan's industries manifest a dispersive technological distribution structure and the spillover effect of the process innovation is more dispersive than that of product innovation. Moreover, Taiwanese industries are rather dependent on foreign technologies, particularly in terms of product innovation.