PurposeInnovation is considered an important stage in the process of competitiveness of companies. While there is an extensive literature in the management and innovation field that shows the characteristics that enhance a firm's ability to innovate, there is still no consensus on its determinants and nature. This study aims to advance the understanding of innovation capability (IC) by conducting a systematic review of relevant literature at the firm level.Design/methodology/approachThe study reviews the literature by applying the categorization and contextualization of qualitative strategies. The study gathered 137 peer-reviewed papers from Scopus and Web of Science databases.FindingsThe papers were analysed and synthesized into an integrated framework that links IC with its internal and external determinants, and its consequences. In doing this, this study proposes directions for future investigations that might enlighten a better understanding of IC.Practical implicationsThe study provides elements that can be useful during the design and implementation of innovative initiatives in a firm.Originality/valueThe paper jointly examines in the same model the nature, antecedents and consequences of IC. In the same vein, the framework provides the little-researched links between those themes in the IC literature.