Impact Of Absorptive Capacity Research Articles

Same model, same data, but different outcomes: Evaluating the impact of method choices in structural equation modeling

AbstractScientific research demands robust findings, yet variability in results persists due to researchers' decisions in data analysis. Despite strict adherence to state‐of the‐art methodological norms, research results can vary when analyzing the same data. This article aims to explore this variability by examining the impact of researchers' analytical decisions when using different approaches to structural equation modeling (SEM), a widely used method in innovation management to estimate cause–effect relationships between constructs and their indicator variables. For this purpose, we invited SEM experts to estimate a model on absorptive capacity's impact on organizational innovation and performance using different SEM estimators. The results show considerable variability in effect sizes and significance levels, depending on the researchers' analytical choices. Our research underscores the necessity of transparent analytical decisions, urging researchers to acknowledge their results' uncertainty, to implement robustness checks, and to document the results from different analytical workflows. Based on our findings, we provide recommendations and guidelines on how to address results variability. Our findings, conclusions, and recommendations aim to enhance research validity and reproducibility in innovation management, providing actionable and valuable insights for improved future research practices that lead to solid practical recommendations.

Absorptive Capacity and Project-Driven Firm Performance

Absorptive capacity is an important determinant of a routine-based firm performance. However, there is need to validate its impact on project-driven firm performance such as in construction companies. In this article, we conceptualize absorptive capacity and firm performance as third-order hierarchical constructs. Our model is tested based on the impact of absorptive capacity on firm performance by using survey data from a sample of 158 project managers in construction companies belonging to the Federation of Construction Industries (FOCI). Using the partial least square structural equation model (PLS-SEM) approach for the hierarchical order constructs (HOC), the findings from the research corroborate most of the earlier studies as well as contrasting relationship between the realised absorptive capacity and financial performance (β = -0.029, t = 0.565). The study offers useful insight into the experiential relationship for our conceptualization and its influence on project-driven firm performance.

Knowledge Sharing in Organization: Increasing Job Performance through Absorptive Capacity and Transformational Leadership

Currently, organizations across a range of industries actively encourage knowledge sharing to boost employee productivity and organizational competitiveness. However, despite enormous efforts made by organizations to encourage knowledge sharing among their staff, many individuals are hesitant to do so. Therefore, this study attempts to identify the antecedent and consequences of knowledge sharing. This study considers the role of transformational leadership as a contextual factor that acts as moderator in the linkage between absorptive capacity and knowledge sharing. By providing questionnaires to the samples, namely 200 bank employees in Bandung City, West Java Province, a quantitative approach with a survey method is used. Utilizing structural equation modeling (SEM), the data is examined with AMOS software. The results indicate that absorptive capacity has a favorable impact on knowledge sharing, which in turn has a beneficial impact on job performance. Knowledge sharing also acts as a mediator between absorptive capacity and job performance. In addition, absorptive capacity's impact on knowledge sharing is moderated by transformational leadership. This work adds to the body of research on knowledge management in organization by confirming the antecedents and consequences of knowledge sharing aspect, namely absorptive capacity and employee performance.

Impact of absorptive capacity on project success through mediating role of strategic agility: Project complexity as a moderator

The purpose of this study is to explore the role of potential and realized absorptive capacity on project success through both the mediating roles of strategic agility and the moderating role of project complexity. A simple random sampling was used to collect data from 285 respondents working in the IT sector of small-medium sized Portuguese enterprises (SMEs). Due to the Covid-19 pandemic, data were collected from and distributed on, several online channels (Gmail, LinkedIn, Twitter, and Facebook). Smart PLS-SEM, version 3.2.8 was used for the analysis. The results indicate that the two absorptive capacity sub-dimensions, potential and realized absorptive capacity, not only directly affect a project's success but also indirectly through the mediator of strategic agility. Although the moderating role of project complexity has a positive and significant effect on the relation between potential absorptive capacity and strategic agility, it is insignificant concerning the relation between realized absorptive capacity and strategic agility. Finally, theoretical and practical contributions are made, research limitations are stated and future research is suggested.

Business Intelligence and Absorptive Capacity Impact on Firm Performance in Manufacturing Companies: A Systematic Literature Review

Business Intelligence and Absorptive Capacity Impact on Firm Performance in Manufacturing Companies: A Systematic Literature Review

How potential and realized absorptive capacity increased ability to innovate: the moderating role of structural ambidexterity

Purpose Digital start-ups have limited resources. With the demands of rapid growth, digital start-ups need to rely on their ability to explore external knowledge and exploit it into swift innovation. Developing absorptive capacity is an alternative to overcome this difficulty. This study aims to demonstrate how the potential and realized an increase in absorptive capacity enables organizations to innovate moderated by structural ambidexterity. Empirical evidence places more emphasis on the impact of absorptive capacity on innovation but still leaves the “black-box” question of innovation and how potential absorptive capacity (PACAP) can achieve realized absorptive capacity (RACAP). Design/methodology/approach This study tests, with a structural equation model, samples collected from 143 digital start-ups in Indonesia. Findings The finding of this study suggests that PACAP influences the ability to innovate only if RACAP mediates it and structural ambidexterity positively moderates the relationship between these two variables. Research limitations/implications First, this study uses digital start-up organizations as respondents. Second, this study explores the role of the structural ambidexterity that moderates the relationship between PACAP and RACAP manifested in digital start-ups organizations that are identical to temporary companies with limited resources. Third, digital start-ups have a fast-growth life cycle, unlike regular companies. Finally, the validated scale is based on data collected entirely from digital start-ups located in Indonesia, which may limit the generalizability of the findings to other industry contexts. Practical implications Start-ups suffer from the ability to innovate that increases their propensity to fail. They overcome this failure by increasing the absorptive capacity of the founding team to improve their ability to innovate. Because of limited resources available at digital start-ups, the flexibility of their management style can overcome these barriers, allowing the pursuit of both knowledge exploration and exploitation in a balanced way. Originality/value Most of the studies explained that the ability to innovate comes from absorptive capacity. In fact, they do not explore PACAP and RACAP and their relationships. Moreover, the studies also indicated that the contextual ambidexterity moderated PACAP and RACAP. Meanwhile, digital start-ups in this study revealed that structural ambidexterity with two dimensions, i.e. shared value, and behavioral integration, enables and positively moderates the relationship between PACAP and RACAP.

The study of innovation and absorptive capacity of BRICS countries by using multiple regression analysis

Objective of the study: This research aims to explore the diverse impacts of national innovation systems of BRICS countries by indicating the key elements and systems aspect, how these aspects have committed to the running of the whole systems and interpreted inside the economic development of these nations.Methodology/approach: Data were collected from the World Bank (WDI), United Nations Educational, Scientific and Cultural Organization (UNESCO), United State Patent and Trade office (USPTO), and World Intellectual Property Organization (WIPO) for Brazil, Russia, India, China and South Africa (BRICS) countries. Data used for following research are time series, annual data from 1999-2014. The multi-regression analysis was completed with utilizing the Statistical package for the Social Science (SPSS).Originality/Relevance: We intend at devoting to the research literature and policy by producing quantitative based proof of the framework that connects the comprehensive element of innovation system to economic system for a longtime.Main results: The findings showed the degree to which components of the National innovation system (NIS), depend on one another for Brazil, Russia, India, China and South Africa (BRICS) , in this regard, any changes in one indicator can effect on other indicators in the system.Theoretical/methodological contributions: Our research is based on the conceptual analyses which draw from the existing literature. It is based on a model to evaluate the dynamics of innovation capacity, absorptive capacity impact and robustness of the economic development.Social /management contributions: Our results have significant implication for policy makers.

The Impact of Absorptive Capacity on Innovation: The Mediating Role of Organizational Learning.

Although the relevant literature has already demonstrated the impact that absorptive capacity has on companies’ innovation capacity, we have found few studies that analyze the role of learning capability in this relationship. The main objective of this study was to examine the role of organizational learning in this relationship. For this purpose, a quantitative research approach was used. A total of 306 valid questionnaires were obtained from small and medium-sized Spanish companies in different sectors. The collected data were analyzed using the multivariate Partial Least Square (PLS) quantitative structural equation technique. According to the result, absorption capacity turns into innovation mainly when learning capacity is involved in this process. This study provides empirical evidence of this relationship and fills this gap. It can also help organizations understand and clarify what would be the most appropriate way in to manage knowledge to improve their innovation levels.

Project Performance and Innovation: The Impact of Absorptive Capacity and Learning Culture

Project Performance and Innovation: The Impact of Absorptive Capacity and Learning Culture

Absorptive Capacity Impact of Labor Market in Saudi Arabia: A proposed Model for Building National Plan Unemployment.

Absorptive Capacity Impact of Labor Market in Saudi Arabia: A proposed Model for Building National Plan Unemployment.

The Impact of Absorptive Capacity on Innovation in Peru

This research aims to determine absorptive capacity’s impact on innovation in SMEs in Peru. SMEs in Latin America tend to be characterized by technological backwardness, and innovations, if any, tend to be incremental in nature. In Peru, more than half of innovation activities are destined to the acquisition of capital goods. In this sense, rather than generate innovation, SMEs tend to adopt existing innovations. Thus, in order to reap the benefits of innovation adoption, SMEs must possess a high degree of absorptive capacity, understood as the firm’s capacity to value external knowledge, assimilate, and exploit it towards commercial ends. In this respect, Innovate Peru, an innovation agency, grants subsidies to SMEs for facilitating innovation adoption. In collaboration between the public and academic sector, data was recollected from 88 SMEs that were granted this innovation subsidy. This paper contributes to the literature on absorptive capacity and innovation within Latin America, which has been vaguely studied. Likewise, it holds practical implications for top managers from SMEs who are looking to innovative, and policy implications for innovation policy makers, as it validates the effect of an innovation policy instrument.

Social Capital and Sustainable Innovation in Small Businesses: Investigating the Role of Absorptive Capacity, Marketing Capability and Organizational Learning

Facing resource constraints and fierce competition, it is relatively difficult for small firms to achieve product innovation to gain sustainable development independently. Previous studies have explored the positive relationship between social capital and product innovation, yet there is still a lack of a comprehensive understanding of the underlying mechanism and the boundary conditions. Drawing upon the dynamic capabilities framework, we expect that absorptive capacity and marketing capability will mediate the relationship between social capital and new product development. Moreover, since product innovation is considered a process of learning, we also examine the moderating effects of explorative learning, and exploitative learning within moderated mediation models. Employing a sample of 221 small firms based in China, we find that social capital is indeed positively associated with new product development and is simultaneously fully mediated by absorptive capacity and marketing capability. Furthermore, the impact of absorptive capacity on new product development is amplified when a condition of explorative learning exists. This study, therefore, advances the current understanding on the predictors of innovation and enriches the dynamic capabilities theory, and also provides empirical support for the sustainable development of small firms.

An Analysis on the Spatial Effect of Absorptive Capacity on Regional Innovation Ability Based on Empirical Research in China

Innovation is the primary driving force for development and the core of green, healthy, and sustainable economic development. This paper researches the spatial effect of absorptive capacity on regional innovation capacity from the perspective of knowledge spillover. We use the seven dimensions such as R & D intensity to build an absorptive capacity index evaluation system. After statistical verification, we select the most suitable empirical model, the dynamic Spatial Durbin Model with two-way fixed effect. The empirical results show that: (1) The promotion effect of absorptive capacity on knowledge spillovers in one province has no obvious effect on innovation promotion in other provinces, especially provinces at similar economic levels. However, it tends to inhibit the innovation development of neighboring provinces. (2) The impact of absorptive capacity on promoting knowledge spillovers varies from region to region. The eastern provinces of China are not affected by the absorptive capacity of neighboring provinces. The regression results of the central and western regions are not substantially different from the full sample. This study puts forward some policy suggestions based on the empirical results. It shows that a higher absorptive capacity does not mean better performance. The Chinese government should thus promote innovation in different provinces according to the local conditions.

The impact of absorptive capacity and innovation ambidexterity on sustainable competitive advantage: the case of Indonesian higher education

The purpose of this study is to empirically examine the mediation role of innovation ambidexterity on the impact of absorptive capacity on sustainable competitive advantage from the previous researchers' data article publication. A survey of academic and non-academic staff from sixty four private higher education institutions (PHEIs) in Bandung, West Java, Indonesia was conducted for the research. A total of five hundred and thirty completed questionnaires from 478 academic and 52 non academic staff were statistically analyzed using SPSS and smart PLS. Investigating sustainable competitive advantage related issues for PHIEs in Indonesia is important for a number of reasons, including supporting the vision of the Golden Indonesia generation 2045. Moreover, the impact of absorptive capacity on sustainable competitive advantage in the literature is remains unclear, thus a new theoretical framework is needed related to the concept of ambidexterity. The finding of this research shows that innovation ambidexterity partially mediates the effect of absorptive capacity on sustainable competitive advantage as proposed in the hypothesis. The implications of this study are discussed.

Competences for Environmental Sustainability: A Systematic Review on the Impact of Absorptive Capacity and Capabilities

Responsible management competences are the skills of managers to deal with the triple bottom line, stakeholder value and moral dilemmas. In this paper, we analyse how managers develop responsible management competences and how the competences interact with capabilities at the organisational level. The paper contributes to the responsible management literature by integrating research on absorptive capacity and organisational learning. By creating intersections between these disparate research streams, this study enables a better understanding of the development of responsible management competences. The paper is a systematic literature review on environmental competences, which are a type of responsible management competences referring to the managerial skills aimed at improving environmental sustainability. The findings demonstrate that managers who are able to recognize and acquire external knowledge develop environmental competences, and organisations capable of assimilating, transforming and exploiting knowledge develop environmental capabilities. The paper establishes that a dynamic and recursive relation exists between environmental competences and capabilities. Antecedents and contextual conditions specific to a sustainability context, such as eco-centric values and stakeholder pressures, influence the development of environmental competences. The study shows that environmental competences have a positive direct effect on environmental performance, and an indirect effect as a mediator between environmental capabilities and performance.

Impact of absorptive capacity and dominant logic on ERP assimilation in Chinese firms

Firms belong to social communities that are experts in creation of new knowledge from environment. Knowledge that is generated from past experience and from environment can affect firm’s process positively. Processing knowledge assimilation in a better way, strong leadership abilities are needed. That can recognize knowledge from environment in the sense of opportunities and threats. In this article, we discuss the effect of absorptive capacity (ACAP) and dominant logic (DL) on enterprise resource planning (ERP). Dynamic capabilities (DC) of top managers to absorb the knowledge from the environment and assimilate it according to their needs that improve firm’s enterprise resource planning (ERP). Our main focus in this article is knowledge and how top-level managers routine that knowledge to get the future benefits for their respective firms. The model was adopted from past literature that shows the effect of absorptive capacity its subsets and dominant logic and its dimensions on ERP assimilation. For this study we examined the Chinese firms located in Hefei city (Anhui province) China. Hefei is one of the fastest developing and emerging economic hub in China. Employees from top level are the target group in this study. The results prove our hypotheses that absorptive capacity and dominant logic have a positive influence on ERP in Chinese firms, that not only increases the productivity and performance of the firm, but also helps in the allocation of resources and decision making processes to stand in the dynamic market and oppose any kind of threats. Our results showed positive correlation between all the variables.

Impact of absorptive capacity and dominant logic on innovation performance of public sector organizations in Hefei (Anhui Province), China

Impact of absorptive capacity and dominant logic on innovation performance of public sector organizations in Hefei (Anhui Province), China

Challenges on Technology Acquisition Based on Absorptive Capacity of Composite Materials in Iran’s aviation industry

Today, technology is presented for various reasons and is considered as a candidate for investment. Firms have to obtain technology for growth, competitiveness, product and service presentation, daily activities, meeting organizational damage, environmental, legal and governmental conditions, and many other reasons. One of the areas of science and technology that has a significant impact on improving living standards and serving the citizens is the airline industry which has an important role in improving the standard of living with the development in commercial and public sectors. One of the most important characteristics of this emerging industry is the multiplicity of application of new technologies, including composite structures technology. Entry of composite structures into the aerospace industry is for meeting its exceptional and unique needs, and it can be said that the perfect position and continuation of aerospace industry development depends on the progress of composites and the relevant techniques. One of the most significant parameters in the design of aircraft construction is the light weight along with good stability against the stresses and forces imposed which leads to reduced fuel consumption and increased payload, and specifies the position of these products in the aerospace industry. Absorptive capacity is defined as the ability to identify, acquire and apply knowledge in the environment, and technology acquisition is often referred to processes, strategies and using opportunities that provide the possibility of achieving desired goals in a short time. In this study, the most important issues and challenges on facing the composites industry are discussed in various domains including: Supply of raw materials, technology and production capacity, final market and product trade, business environment and political content of the industry. Finally, the impact of absorptive capacity on technology acquisition in the field of technology of composite structures is studied.

The impact of absorptive capacity, exploration, and exploitation on individual creativity: Moderating effect of subjective well-being

This study proposes a new individual creativity model divided into seven main constructs: creative self-efficacy, individual knowledge, IT support, individual absorptive capacity, exploration, exploitation, and individual creativity. We assumed that creative self-efficacy, individual knowledge, and IT support positively affect individual creativity through the mediating effect of individual absorptive capacity, exploration, and exploitation. Additionally, we examined the moderating effects of subjective well-being by dividing the sample into a high subjective well-being group and a low subjective well-being group. After collecting 706 valid questionnaires from IT companies in South Korea, we applied a structural equation modeling technique to analyze the data. Empirical results reveal the following: (1) creative self-efficacy, individual knowledge, and IT support influence individual creativity through individual absorptive capacity, exploration, exploitation; and (2) subjective well-being moderates the relationship between the two constructs of the research model.

Knowledge creation capability, absorptive capacity, and product innovativeness

This study focuses on the impact of knowledge creation capability and absorptive capacity on product innovativeness. Capabilities contribute through their uniqueness, their integration into effective configurations, and their deployment in response to external environment changes. Therefore, this study examines the individual (uniqueness) and interactive (integration) effects of knowledge creation capability and absorptive capacity on product innovativeness as well as how these effects vary in differing technologically turbulent contexts (deployment). Based on a survey of 212 Chinese firms, this study finds that in addition to their individually positive effects, knowledge creation capability and absorptive capacity have a synergistic effect on product innovativeness. Moreover, the individual effect of knowledge creation capability and the synergistic effect become stronger as technological turbulence increases, whereas the impact of absorptive capacity tends to be dampened by technological turbulence.