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Organisational Innovation in Indian Firms – A Multi Level Perspective Pawan Budhwar, Kishore Pillai and Smitha Nair 3 rd ESRC Seminar, Lancaster, 11 June 2013 Developing Leaders for Innovation and Change
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Background, Rationale & Study Research in innovation Innovation in emerging markets Organisational innovation Operational framework Research aims Hypotheses Methods Initial findings Implications
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Research in Innovation Schumpeter (1942) Gained momentum in 1970s (Freeman, 1974; Nelson & Winter, 1982; Pavitt, 1984; Rosenberg, 1976, 1982) Business & management (Miller, Kirton) Traid vs. emerging markets Emerging markets - India
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What is Innovation? West & Farr (1990, p. 9) “As the intentional introduction and application within a role, group or organization of ideas, processes or procedures, new to the relevant unit of adoption, designed to significantly benefit the individual, the group, organization or wider society”.
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Innovation Research in India National Knowledge Commission Survey on Innovation (2007) Emerging global hub of innovation R & D (Xerox), IT, software, animation, bio-tec, pharma The universities for research and innovation Bill, 2012 Non profit research organisations (CRISP) India-EU (and others) cooperation http://www.nif.org.in/ Indigenous (Jugaad) innovation
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Innovation Research in India Jugaad - the uniquely Indian concept of low-cost, improvised innovation. http://www.slideshare.net/ProfessorMathur/jugaad- innovation-in-india Radjou, Pradbu & Ahuja (2012) Jugaad Innovation: A Frugal and Flexible Approach to Innovation for the 21st Century. Random House. The India Way (Harvard Publishing)
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Determinants of Research Aims Damanpour (1991) Factors influencing organisational innovation Scope of innovation Stages of innovation Critique in literature (Anderson et al., 2004) Emerging markets - India
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Research Aims Analyse organisational innovation in India by adopting a multi-level perspective and focusing on R&D departments Examine the effects of antecedents - individual, organisational/ team and environmental level factors on innovation.
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Organizational Innovation Transformational Leadership Resource Availability Group Attributes -Support for innovation -Participative Safety Group Attributes -Support for innovation -Participative Safety R&D Manager (Individual Attributes) -Role Breadth Efficacy -Proactive Personality -Favoring Change -Job Satisfaction - Need for cognition - Regulatory focus R&D Manager (Individual Attributes) -Role Breadth Efficacy -Proactive Personality -Favoring Change -Job Satisfaction - Need for cognition - Regulatory focus Organizational Performance Environmental Turbulence -Market Turbulence -Technological Turbulence Environmental Turbulence -Market Turbulence -Technological Turbulence Control Variables -Size -Diversification -Industry -Age -Domestic/MNC -International Presence -R&D spend Control Variables -Size -Diversification -Industry -Age -Domestic/MNC -International Presence -R&D spend Operational Framework
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Hypotheses --- H1: A positive association exists between the R&D manager’s need for cognition and organisational innovation H2a: A positive association exists between the R&D manager’s promotion focus and organisational innovation H2b: A negative association exists between the R&D manager’s prevention focus and organisational innovation
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Hypotheses --- H3: A positive association exists between the participative safety within the team and organisational innovation H4: A positive association exists between the transformational leadership provided and organisational innovation H5b: A positive association exists between technological turbulence in the environment and organisational innovation
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Methodology u Questionnaire survey u Respondents, sectors, sample u Contents of survey u Data analysis
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Measures OI – 9 item (7-point) scale by Garcia-Morales et al. (2012) (α =.935) NfC – 18 item (7-point) scale by Cacioppo et al. (1984) (α =.705) P&P Focus - 11 item (5-point) scale by Higgins et al. (2001) (α =.554 &.668 respectively) TL – 4 item (7-point) scale by McColl-Kennedy & Anderson (2002) (α =.856) PS – 9 item (5-point) scale by Anderson & West (1998)(α =.921) TT – 3 item (7-point) scale by Jaworski & Kohli (1993) (α =.738)
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Initial Results & Findings Descriptives No issue of multicollinearity No significant correlations between organisational innovation and need for cognition & promotion focus Negative correlation of organisational innovation with prevention focus
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Support for Hypotheses H1 = no H2(a & b) = no & yes respectively H3 = yes H4 = yes H5 = yes
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Key Messages Findings Conclusions Implications Recommendations
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