Open Innovation Framework Research Articles

Mapping the Scientific Shreds on Barriers to SMEs’ Innovation

The present study aims to showcase the vital contributions to innovation barriers in the context of small and medium enterprises (SMEs) for 1975–2022. With the help of VOSviewer, this bibliometric analysis employs a quantitative method based on documents retrieved from SCOPUS database to assess historical patterns, results and the key elements affecting open innovation in SMEs. The results show an upward trend of research publications in the totality of the 222 documents contributed by 160 authors from 59 countries. The majority of research was conducted in developed countries. Findings also reveal the most cited research articles, keyword analysis, country collaboration and the number of documents published yearly. Language bias may occur as this bibliometric study only included literature written in a single language. Consequently, studies released in other languages may go unnoticed. This study is helpful for policymakers to provide a conducive environment for innovation among SMEs to keep economic growth on priority. This study offers the first comprehensive assessment of innovation barriers in a holistic manner. With the help of bibliometric analysis, the study assesses the intellectual framework of open innovation in SMEs.

Data-driven approach for identifying the factors related to debt collector performance

The company's success and growth heavily rely on its workforce's performance, yet the evaluation of employees has been only partially and inconclusively executed so far. The primary goal of this research is to build an open innovation framework for analyzing the performance of the debt collector. We have developed the Reinforcement Learning based Continual Learning (RLC) approach for evaluating the performance by analyzing the metrics such as visit patterns and collection percentage. We have used the private debt collection dataset to assess the debt collector's performance. We formulated hypotheses derived from insights gained during exploratory data analysis and subsequently validated them through statistical testing. Whether there are noticeable distinctions among debt collectors in terms of visitation frequency, collection rates, and collection modes. This proposed open innovation framework for analyzing the debt collector performance provides significant variation in terms of collection rate. The proposed EDQN-CL achieved a 13.56 % higher classification rate than the existing algorithm for categorizing the debt collector performance.

Open innovation in the tourism field: A systematic literature review

Open innovation shapes how organizations innovate and compete, particularly in the dynamic tourism sector. Despite its potential, the theoretical framework for open innovation in tourism is still developing, and there is a need for further understanding of its applications in the tourism sector. This research aims to define the dimensions of open innovation in tourism to understand how these practices can be tailored to meet the sector's unique challenges. Through a systematic literature review of 17 articles from Scopus and Web of Science databases (2016–2023), the study confirms the critical role of open innovation in enhancing tourism competitiveness by enabling adaptation to market changes. Key findings include the importance of collaboration and co-creation among tourism industry stakeholders, which is crucial due to the sector's constant evolution driven by consumer preferences, technological advancements, and competition. Thirteen of the reviewed studies emphasize this aspect, while others highlight the role of digital technologies in modernizing and improving tourism processes, thereby creating innovative services for digitally connected consumers. Additionally, fostering an innovation culture and sustainability is essential for integrating innovative practices that consider future environmental and societal impacts. The research identifies four dimensions of open innovation crucial for tourism: digital technologies, collaboration and co-creation, innovation culture, and sustainability. These dimensions help guide strategies for developing competitive and memorable tourist experiences. The study underscores the complexity and relevance of open innovation as a strategy for tourism development, with the identified themes paving the way for innovation and sustainable success in the sector.

Open Innovation Strategies and Organization Performance of the Telecommunication Industry in Kenya

Purpose: The purpose of this study was to evaluate the relationship between open innovation strategies and organization performance of the telecommunication industry in Kenya. The study was guided by the following objectives: to examine the effect of innovations and innovation strategies on organizational performance; to establish the effect of open innovation strategies on organization performance; to assess the role of organization factors in moderating open innovation strategies; and to identify the open innovation strategies adopted in the telecommunication industry in Kenya. Methodology: The study relied on desktop research to address the existing gaps in the literature. Information for the research was obtained from published literature and information in the public domain. The information was critically reviewed, analyzed, synthesized, and conclusions were drawn. Findings: The findings of this study revealed that collaboration between firms in the telecommunication industry and various stakeholders through open innovation strategies influences the performance of the organizations in the industry. These findings suggest that organizations in the telecommunication industry in Kenya, which adopt open innovation strategies, can effectively innovate and compete in the industry, despite the dominant position of one organization. Unique Contribution to Theory, Practice and Policy: Utilizing the Open Innovation (OI) Theory and the Resource-Based View (RBV) Theory, the researcher explored the relationship between open innovation strategies and organization performance of the telecommunication industry in Kenya. The study deepened our understanding of RBV theory in explaining the dominance of one firm in the telecommunication industry. In addition, the study focused on how organizations are able to access talent and resources using the OI theory framework and therefore are able to innovate and compete. The various stakeholders including customers, suppliers and the Government of Kenya will benefit from this study by having additional insights into open innovation strategies and practices. A key recommendation is to the Communications Authority of Kenya, the regulatory body in the telecommunication industry in Kenya. The regulator should provide an enabling environment which facilitate innovations and collaboration using open innovation framework, benefitting all organizations and stakeholders in the industry.

Statistical analysis and open innovation in economic growth of scottish business SMEs for sustainable development

The propulsion of economic growth is a multifaceted construct, influenced by technology, capital, and resource management, with Small and Medium-sized Enterprises (SMEs) being a significant contributors to innovation and employment. This study examines the growth of Scottish SMEs across four sectors over a 14-year period (2008–2021) by employing a novel statistical approach to understand their development trajectories within the framework of open innovation. The paper engaged in a longitudinal analysis to assess trends and inform policy for sustainable growth by the utilization of open-access data. Theoretical metrics such as the Average Growth Rate, Compound Average Growth Rate (CAGR), and Year-Over-Year (YoY) Growth were applied to evaluate sectoral performance. The findings revealed varied growth patterns; the information technology sector exhibited a robust increase, while the telecommunications sector showed significant percentage growth. Conversely, the Information and Communication Technologies (ICT) sector experienced a decline that suggests a potential market gap. An affirmative trajectory in CAGR was observed in most sectors except ICT, which corroborates a shift in technological evolution and market needs. The study illuminates the dynamic economic landscape of Scottish SMEs, with telecoms emerging as the most prosperous sector in terms of growth rates, thus indicates a shifting economic focus. The study’s limitations are briefly discussed, in addition to the need for updated databases and further research employing predictive modeling with machine learning to enhance forecasting capabilities and foster open innovation for sustainable economic development.

The impact of forum content on data science open innovation performance: A system dynamics-based causal machine learning approach

Open innovation in data science generally takes the form of public competitions where teams exchange messages and solutions by competing and collaborating simultaneously. Team behaviours are widely heterogeneous in terms of the performance of their solutions and the participation in knowledge creation. We present a novel research framework for open innovation by integrating system dynamics and structural topic modelling to extract open factors and adopting a machine learning-based difference-in-differences estimator to understand the impact of team behaviour on their performance using data from Kaggle's competition. Our results identify four team behaviour categories—active, learner, lurker, and passive— in data science open innovation competitions which depend on the performance of their solutions and actions related to posting and reading messages in the forum. Furthermore, the activities of model evaluation, community support, and business understanding are the top three most positive and significant factors affecting team performance. Our research contributes to the literature by highlighting the value of forum feedback and exploring the data science activities in the forum discussion, in relation to innovation performance, to enrich the empirical understanding of open innovation. Research implications for researchers and practitioners participating in, organising, and supporting data science open innovation activities are provided.

Unleashing open innovation: A decomposition nexus of Sharia-compliant financing and job creation

This study investigates the impact of Sharia-compliant financing on job creation in Indonesia. Utilizing provincial-level data and employing fixed effects panel data regression with the GLS estimator, we explore the decomposition effects of Sharia-compliant financing on job creation. Our findings reveal that an increase in the market share of sharia-compliant financing in total, working capital, and consumption does not have a significant impact on job creation. Surprisingly, the share of sharia-compliant financing in investment shows a significant negative impact on job creation. However, it is important to note that overall, Sharia-compliant financing has a positive impact on increasing job creation. Specifically, Sharia-compliant financing for working capital exhibits the highest impact on job creation, followed by Sharia-compliant financing for investment and households. Based on these findings, we propose an open innovation framework to expand the dissemination of Sharia-compliant financing, with a particular focus on MSMEs, with the aim of enabling Islamic banks to play a pivotal role in job creation.

Entrepreneurs: Gender and gendered institutions' effects in open innovation

The open innovation framework is particularly important for entrepreneurs, but related studies have not adequately explored the impact of institutions and important social constructs – such as gender or family embeddedness - on firm performance. Yet, these constructs may influence outcomes. To contribute to unraveling this unknown, we analyzed survey responses from 198 man and 188 women entrepreneurs in technology parks across China and found that gender played a significant role in how open innovation practices relate to firm performance, with women-led firms engaged in open innovation outperforming those led by men. This relationship strengthened as perceived institutional quality improved, yet it dissipated when women entrepreneurs were embedded in firms with family involvement. We posit that this is caused by differences in perceptions of institutional quality and gendered institutions, as family is in China, among genders. Our study, therefore, uses gender and gendered institutions to enrich the open innovation, family business, and entrepreneurship literature. We show that these factors influence entrepreneurs' perceptions of institutional quality and therefore play an important role in the performance outcomes of firms engaging in open innovation activities in a given institutional environment. Managerial summaryOur study shows that institutional support gained by being embedded within technology parks is important for entrepreneurs to engage in open innovation practices and the resulting performance benefits that accrue, which indicates that policymakers should focus on improving such support. In addition, our study shows that institutional quality is perceived differently by genders. The result is that women-led firms involved in open innovation perform significantly better than those led by men. This finding provides an important incentive for investors to engage with women entrepreneurs in technology parks. However, investors should also note that the performance benefits for women-led firms disappear when women entrepreneurs are embedded in firms with family involvement. Finally, managers of other firms in a technology park may benefit from the positive spillover effects of women-led firms engaging in open innovation activities.

Developing Methods for Assessing the Introduction of Smart Technologies into the Socio-Economic Sphere Within the Framework of Open Innovation

Developing Methods for Assessing the Introduction of Smart Technologies into the Socio-Economic Sphere Within the Framework of Open Innovation

When do M&As with Fintech Firms Benefit Traditional Banks?

AbstractIn the last decade, fintech has emerged in the financial sector, introducing numerous innovations that have severely impacted traditional banks. To respond to fintech firms and meet the new needs of consumers, banks seek to align their offerings by integrating fintech knowledge through mergers and acquisitions (M&As) within an open innovation framework. However, it is still not clear when exactly M&As with fintech firms benefit banks. This paper examines the contingency factors that make M&As beneficial for acquirer banks by using a holistic approach that considers the type of firm, type of deal and the context in which M&As occur. We analysed the effect produced by acquirer sustainability, minority acquisitions and institutional distance between the fintech and the bank's country of incorporation by applying an event study methodology using cumulative abnormal returns to gauge effects on expected performance. We have shown which are the conditions that allow us to maximize the acquirer bank's expected performance. Our research advances the scientific understanding of M&A contingency factors, and more generally of open innovation, in the specific context of fintech and banks. Moreover, we provide managers and policymakers with initial advice on the effects fintech M&As have on traditional banks, showing that they can be beneficial under specific conditions.

Open Innovation Frameworks: A Diagnostic Analysis of Deployment, Engagement, Evaluation, and Governance of Open Innovation in Smes

Open Innovation Frameworks: A Diagnostic Analysis of Deployment, Engagement, Evaluation, and Governance of Open Innovation in Smes

Designing an Open Innovation Framework for Digital Transformation Based on Systematic Literature Review

Background: Innovation is a critical success factor of digital transformation (DX). Previous research has shown that open innovation (OI) can help companies accelerate DX and improve their business performance. Objective: This study develops a conceptual OI framework to support DX (OIDX) and provides an overview of the dimensions. OI in this study refers to Open Innovation 2.0. Methods: We review previous research on OI dimensions, identify the activities, and map them along with the challenges that lead to failure. With this, we develop a framework to meet the needs and solve problems of OI implementation. Results: The OIDX framework has a comprehensive dimensional scope consisting of three perspectives, eight dimensions, and 26 sub-dimensions. The perspectives are enablers, activities, and output, and the dimensions are OI governance, external environment, internal climate, digital technology, importing mechanisms, collaboration, protection mechanisms, and export mechanisms. Conclusion: This study highlights the importance of defining dimensions to establish General System Theory. The practical application of this framework is to build an OI ecosystem that can increase the internal and external values of an organisation. The OI framework provides OI success parameters and criteria for building the OI maturity framework in future research. Keywords: DX, Innovation, Open Innovation, Open Innovation Framework

What Skills for Multi-Partner Open Innovation Projects? Open Innovation Competence Profile in a Cluster Ecosystem Context

Industry 4.0 and the turbulent environment have rendered increasing interest in open innovation that extends from the bilateral transmission of expertise to multilateral platform collaborations. Open innovation ventures are seen as intricate collaborations that require the commitment of numerous partners during the lifetime of the project. In order to examine the specific competence of open innovation teams, we set the research question as follows: What individual competencies facilitate the exchange of knowledge in open innovation projects? We explored the theoretical framework of open innovation and collected information from a nation-wide, cross-industrial set of OI projects from three high-performing clusters, facilitating a total of 102 OI projects to identify open innovation competence dimensions, thus creating a novel profile. The outcomes showed that competencies facilitate the exchange of knowledge in open innovation ventures in distinct ways. Our findings showed that open innovation competence can be captured using a profile with the dimensions of creativity, entrepreneurship, communication and networking, open-minded thinking, risk-taking, and self-efficacy in digital skills. These dimensions of the open innovation competence profile are necessary for cluster project set-up. This analysis demonstrated that components of the open innovation competence profile could be paramount in understanding the underlying factors in the success of collaborative innovation projects.

Grassroot processes of knowledge sharing to build social innovation capabilities

PurposeThis study aims to offer an empirical analysis to identify the relation between the adoption of knowledge management practices and the improvement of social innovation capabilities as an outcome of the knowledge sharing. Specifically, social innovation capabilities are triggered by knowledge-sharing enablers, such as intrinsic and extrinsic socially driven motivations.Design/methodology/approachBased on a sample from 300 nonprofit organizations, the study explains causal relationships in terms of the multiplicity of triggers that act on a social innovation capability. The research applied the partial least squares structural equation modeling (PLS-SEM) method through SmartPLS 3.3 software. Data are collected from an online survey and highlight the employees’ and volunteers’ boost in nonprofit organizations to seek positive social change as a priority goal of their business model.FindingsThe results support the existence of a direct and positive relationship between knowledge-sharing enablers (i.e. intrinsic and extrinsic socially driven motivations), the mechanism of the formation of knowledge-sharing behaviors (an inside-out and outside-in process) and social innovation capabilities.Research limitations/implicationsThe study combines the open innovation framework with social innovation activities and investigates the role of knowledge sharing in the building of social innovation capabilities. To the best of the authors’ knowledge, the paper is the first attempt to describe a synergic framework, including open innovation literature, social innovation capability and knowledge-sharing processes.Originality/valueThis paper is a part of the research stream that focuses on the processes of distribution of knowledge flows along the boundaries of the organization. Thus, this study broadens the field of knowledge management and social innovation initiatives.

Innovation in family firms: The Brittelstand

PurposeThe Brittelstand are innovative, family-owned firms that offer national and international opportunities in the United Kingdom (UK). These fast-growing businesses are customer-oriented and proud of family ownership and embeddedness of the businesses within communities. While Brittelstand firms are as likely to deploy open innovation models as non-Brittelstand firms, these firms' engagement with customers in regional and national markets and the ability to benefit from this collaboration contrasts with these firms' willingness to engage in open innovation.Design/methodology/approachUsing longitudinal data and regression analysis on 13,876 firms with 24,286 observations over 2004–2020, the authors develop and test a theoretical framework of open innovation in the Brittelstand. The authors' model explains the willingness and ability of the Brittelstand firms to engage in open innovation and benefit from it.FindingsThe authors' results show that Brittelstand firms are less willing than non-Brittelstand firms to collaborate with customers and universities, contrasting prior research on family firms, and distinguishing the innovation model of the Brittelstand from a family business model. The Brittelstand firms who are able to engage in collaboration with customers in domestic markets will outperform the firms' non-Brittelstand counterparts in innovation outputs.Research limitations/implicationsIn line with other studies, this study is associated with several limitations that open opportunities for further research that replicate and/or extends this study. First, this study is unbalanced panel data and the fact that some firms appear in the model only once from 2004–2020. The longitudinal study will allow to enforce causality of the relationship and examines the dynamics of open innovation in the Brittelstand. Second, the indicator on the extent and mechanisms of collaboration with customers could be better explained and measured, for example, using a scale indicator instead of a binary variable for knowledge collaboration across different types of partners and four geographical dimensions.Practical implicationsFirst, Brittelstand firms who are less likely to employ open innovation models nationally and with customers. However, those Brittelstand firms who decide to collaborate with customers nationally are more likely to increase the innovation sales compared to those firms that do not engage in such collaborations? This is an interesting and unexpected finding, which means that low willingness of cross-country and cross-regional collaboration for Brittelstand firms is not optimal and engagement in collaboration with customers in domestic markets is beneficial for innovation. Managers and policymakers may use this finding to design and re-design open innovation strategies managers and policymakers with customers within and across regions in the UK. Second, managers may benefit from the integrated view on the two drivers of firm innovation – collaboration with customers and the local embeddedness of such collaboration.Social implicationsThe authors' results show that Brittelstand firms outperform the firms' non-Brittelstand counterparts by adopting an open model of innovation with customers in domestic markets. This means that the most dynamic and fast growing Brittelstand firms are those who collaborate with customers for new ideas and innovation.Originality/valueThis study describes the phenomenon of the Brittelstand and investigates the link between open knowledge sourcing across different geographical proximities and partners and innovation outputs. First, the authors contribute to open innovation and resource-based view (RBV) literature in family firms by theorizing and empirically testing the open innovation model for the Brittelstand firms. The authors also debate that the Brittelstand firms should overcome this inertia of willingness to collaborate across heterogeneous external partners and convert regional/national embeddedness of the firms with customers into strengths for greater product innovation. Second, the authors contribute to family business literature by explaining how and why the Brittelstand firms can achieve greater innovation outputs. In doing so, the authors draw on the concept of familiness and local embeddedness.

Entrepreneurs: Gender and Gendered Institutions Effects in Open Innovation

The open innovation framework is particularly important for entrepreneurs but related studies have not adequately explored the impact of institutions and important social constructs – e.g. gender or family embeddedness - on firm performance. Yet, these constructs may influence outcomes. To contribute to unraveling this unknown, we analyze survey responses from 198 male and 188 female entrepreneurs in technology parks across China and found that gender played a significant role in how OI practices related to firm performance, with women-led firms engaged in OI outperforming those led by men. This relationship strengthened as perceived institutional quality improved, yet it dissipated when women entrepreneurs were embedded in firms with family involvement. We posit that these performance outcomes result from the genders’ different perceptions of institutional quality and gendered institutions, as family is in China. Our study uses gender and gendered institutions to enrich the literature of OI and entrepreneurship. In so doing, we show that gender and gendered institutions influence entrepreneurs’ perceptions of institutional quality and therefore play an important role in the performance outcomes of firms engaging in OI activities in a given institutional environment.

The tensions between Openness Dimensions in Explaining Innovation Performance

While there is growing importance attributed to open innovation collaborations, the existing framework does not provide clear directions on how firms should distribute their attention to the depth and breadth of their external search strategy. To navigate this tension, we extend the open innovation framework to explore how the value of external search depth on customers for the firm innovation performance may be contingent on two key factors that generate relational and informational benefits: how firms coordinate their activities with clients and the external search breadth of their open innovation strategies. In a sample of Italian firms operating in knowledge-intensive business sectors (N = 358), the study shows that excessive involvement of clients can weaken the benefit of the external search depth yielding an inverted U-shaped relationship with innovation performance, but also that coordination mechanisms and the breadth of the external search strategy can, both separately and jointly, provide informational and relational opportunities that might help to deal with an excessive reliance on customers. This article proposes a novel perspective on open innovation that, exploring the tension between integration with a single source and differentiation with a variety of sources, suggests how firms can leverage multiple types of external collaborations, combining the depth and breadth components of the openness in their external search strategies, and situating them in an integrated relationship with customers.

Banks responding to the digital surge through Open Innovation: Stock market performance effects of M&As with fintech firms

The rise of digitalization and advancements in information technology are changing the business environment in a radical manner. In the banking sector specifically, in response to these recent trends and embracing the Open Innovation (OI) framework, banks increasingly seek mergers and acquisitions (M&As) with fintech firms. Since it is unclear what is the impact of these M&A transactions, this research investigates their effect on an acquiring bank’s future profits. To this end, the study applies an event study methodology to measure the stock market reaction to the announcements of M&A operations. In addition to advancing scientific knowledge about the effects brought about by fintech M&As on a bank’s future profits, and more broadly shedding light on the boundary conditions that make OI practices beneficial for organizations, the findings of this study are also relevant for managers because they provide preliminary advice on which acquisitions are more beneficial for banks.

Responsiveness of open innovation to COVID-19 pandemic: The case of data for good.

Due to the COVID-19 pandemic, countries around the world are facing one of the most severe health and economic crises of recent history and human society is called to figure out effective responses. However, as current measures have not produced valuable solutions, a multidisciplinary and open approach, enabling collaborations across private and public organizations, is crucial to unleash successful contributions against the disease. Indeed, the COVID-19 represents a Grand Challenge to which joint forces and extension of disciplinary boundaries have been recognized as main imperatives. As a consequence, Open Innovation represents a promising solution to provide a fast recovery. In this paper we present a practical application of this approach, showing how knowledge sharing constitutes one of the main drivers to tackle pressing social needs. To demonstrate this, we propose a case study regarding a data sharing initiative promoted by Facebook, the Data For Good program. We leverage a large-scale dataset provided by Facebook to the research community to offer a representation of the evolution of the Italian mobility during the lockdown. We show that this repository allows to capture different patterns of movements on the territory with increasing levels of detail. We integrate this information with Open Data provided by the Lombardy region to illustrate how data sharing can also provide insights for private businesses and local authorities. Finally, we show how to interpret Data For Good initiatives in light of the Open Innovation Framework and discuss the barriers to adoption faced by public administrations regarding these practices.

A dynamic framework for sustainable open innovation in the food industry

PurposeThis study aims to take a holistic perspective to investigate how open innovation supports sustainability and the contribution to the Unite Nations (UN) Sustainable Development Goals (SDGs).Design/methodology/approachThe study is based on an in-depth single case study of Andriani SpA, a leading Italian company in the food industry. The case is built by triangulating data from direct observations, documentary analysis and semi-structured interviews.FindingsThe findings show an organization that has developed its competitive advantage by adopting open innovation to embed sustainability in its strategy and business model. The case study complements the understanding of how open innovation can effectively drive strategic renewal and innovation activities to address sustainability objectives in the food industry.Originality/valueThis study contributes to theoretical development by offering new and insightful explanations of firms' strategic behaviour and coevolution toward sustainability via open innovation. It provides practitioners, policymakers, researchers and students with reflections and inspiration about how open innovation may be deployed to support a holistic strategic renewal aimed at sustainability objectives, such as the SDGs, in the food industry.