• Title/Summary/Keyword: Incremental Innovation Performance

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How Does Openness Influence Innovation of Korean Manufacturing Firms? (외부 지식 활용이 한국 제조 기업들의 혁신에 어떤 영향을 미치는가?)

  • Moon, Seong-Wuk
    • Journal of Korea Technology Innovation Society
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    • v.14 no.4
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    • pp.711-735
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    • 2011
  • This study examines whether firms' openness to external knowledge improves their innovative performance and what factors make openness more effective in generating innovation. Using 2008 Korean Innovation Survey in manufacturing sector, this study tests whether openness improves innovative performance and how absorptive capacity, small size and use of appropriation methods to a high degree influence the effect of openness on innovation in Korean manufacturing industries. This study finds the followings: First, the effect of openness varies depending on type of innovation. Openness is more effective for incremental innovation than for radical innovation. Second, there exists complementarity between openness and the R&D intensity when innovation is incremental. When the R&D intensity level is high, the effect of openness on incremental innovation is stronger than on radical innovation. Third, openness is more effective for small firms to perform radical innovation than incremental innovation. Fourth, when a firm uses appropriation methods to a high degree, openness is not effective for incremental innovation.

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Service Innovation Strategic Consensus: A Lesson from the Islamic Banking Industry in Indonesia

  • MUAFI, Muafi;DIAMASTUTI, Erlina;PAMBUDI, Argo
    • The Journal of Asian Finance, Economics and Business
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    • v.7 no.11
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    • pp.401-411
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    • 2020
  • This study aims to analyze the agreement of service innovation using contingency approach (manager personality, organizational structure) moderated by leadership agility. The study has been carried out on Islamic banking companies' managers in Indonesia, from East Java and Yogyakarta region using purposive sampling technique with questionnaire and interviews as the method of data collection. The total number of respondents in the sample is 184. This sample is then analyzed using Euclidience Distance Simple Regression and Simple Regression Moderation method. The results prove that: (1) there is a partial fit between incremental strategy with reactive personality and mechanical organizational structure, which increases the service performance; (2) there is a partial fit between radical strategy with proactive personality and organic organizational structure, which increases the service performance; (3) leadership agility is able to strengthen the fit of the relationship between incremental innovation strategy and reactive personality toward service performance; (4) leadership agility is able to strengthen the fit the relationship between radical innovation strategy and proactive personality toward service performance; (5) leadership agility is able to strengthen the fit of the relationship between incremental innovation strategy and mechanical organizational structure toward service performance; and (6) leadership agility is able to strengthen the fit of the relationship between radical innovation strategy and organic organizational structure toward service performance.

Employees' shop-floor participation and incremental innovation in small business (중소기업의 기술혁신에 관한 연구 : 종업원의 현장참여를 중심으로)

  • 안관영
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.19 no.40
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    • pp.119-136
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    • 1996
  • With new competitive environments, innovation is more necessary to survive severe competitions than ever. However, most Small and Medium(SM) businesses are used to be short of professional staffs, money and equipments for performing various innovations(ie., technological or administrative innovation, product development or Process development, and radical or incremental innovation). Many students have suggested that incremental innovation is more adequate than radical innovation in SM business. The purpose of this paper is to find antecedent factors In promote employees' Incremental Innovation Activities(IIA), In analyse moderating effects of ability and attitudes, and to test the difference of IIA-level by ability(or attitudes) and 11 independent factors. Each IIA-level by 5 variables of 11 independent variables-job variety, importance, identity, communication, performance dependency-is found to be significantly different in high-ability group affirmative-attitude group.

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The Effect of Dynamic Capabilities, Operational Capabilities, and IT Capabilities on Innovative Performance : Focusing on Exploration and Exploitation (동적역량, 운영역량, IT역량이 혁신성과에 미치는 영향 : 탐험과 활용을 중심으로)

  • Kim, Moon-Shik
    • Journal of the Korea Academia-Industrial cooperation Society
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    • v.20 no.1
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    • pp.41-51
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    • 2019
  • This study examined the relationship between dynamic capabilities and innovation performance and the mediating effect of exploration/exploitation operational capabilities as well as the moderating effect of exploration/exploitation IT capabilities. The results are as follows: seizing capability and reconfiguration capability had positive effects on incremental and radical innovation performance. Exploration and exploitation operational capability had positive effects on incremental innovation performance. Furthermore, exploration operation capability had a positive effect on radical innovation performance. 'Exploration operational capability-exploration IT capability' had moderating effects on 'exploration operational capability-exploitation IT capability', and 'exploitation operational capability-exploitation IT capability' on incremental innovation performance. Lastly, 'exploration operational capability-exploration IT capability' had a significant mediating effect on radical innovation performance. This study is the first empirical research that divides the effects of dynamic capabilities into direct and indirect effects, and the operational/IT capabilities into exploration and exploitation.. Dynamic and operational capabilities play a complementary role in adapting and evolving companies.

Exploratory Study on the Influence on Family Involvement on Corporate Innovation Performance (가족의 경영참여 수준이 기업의 혁신성과에 미치는 영향에 대한 탐색적 연구)

  • Kim, Young-kyun
    • Journal of Korea Society of Industrial Information Systems
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    • v.20 no.5
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    • pp.95-105
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    • 2015
  • Prior studies have reported equivocal patterns of the results about the relationships between family involvement and firm performance, particularly financial performance. In line with this research trend, this study focuses on non-financial performance that agency costs may marginally influence. tries to identify the relationship between nepotism and the three types of innovation performance, namely corporate entrepreneurship, radical innovation performance, and incremental innovation performance. The results has shown that family involvement is positively correlated with the three types of innovation performance.

Manufacturing strategy and change programs of Korean firms (한국제조기업의 생산전략과 생산혁신활동)

  • 이승규;김진섭
    • Korean Management Science Review
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    • v.13 no.1
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    • pp.135-156
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    • 1996
  • The purpose of this paper is to study the links between manufacturing strategy and change programs of manufacturing firms in Korea. The nature of our analysis is more descriptive than normative or confirmative. First, we investigate the linkage between manufacturing strategy, manufacturing capability, change programs and performance measurement systems. Secondly, we intend to explore an empirical typology of manufacturing strategy and change programs. The initial findings of the study are as follows: Linkage between manufacturing strategy and change programs of manufacturing firms was not apparent. Flexibility as a strategic priority is positively related to the innovative change programs. There are two distinctive strategies of manufacturing firms in Korea, namely, quality strategy and balanced strategy. We identified three types of change programs, which are incremental change, administrative innovation, and process innovation. Incremental change group has represented low factor score in the change program dimensions. The firms in administrative innovation group mainly depend on information systems and business reengineering. Korean manufacturing firms seem to pursue process improvement by trying simultaneously incremental change in the process, managerial process improvement, and a little bit of innovative change. Performance variable utilization of the firms are not significantly different along with manufacturing strategies and change programs. We found, however, learning and improvement performance dimension is significantly related to flexibility variables. Process innovation group marked high score in usage of learning and improvement indices. The findings of this study seem to have various implications on realigning the manufacturing strategy, change programs, and performance systems in Korean firms.

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Corporate Innovation and Business Performance Prediction Using Ensemble Learning (앙상블 학습을 이용한 기업혁신과 경영성과 예측)

  • An, Kyung Min;Lee, Young Chan
    • The Journal of Information Systems
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    • v.30 no.4
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    • pp.247-275
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    • 2021
  • Purpose This study attempted to predict corporate innovation and business performance using ensemble learning. Design/methodology/approach The ensemble techniques uses weak learning to create robust learning, which combines several weak models to derive improved performance. In this study, XGboost, LightGBM, and Catboost were used among ensemble techniques. It was compared and evaluated with traditional machine learning methods. Findings The summary of the research results is as follows. First, the type of innovation is expanding from technical innovation to non-technical areas. Second, it was confirmed that LightGBM performed best for radical innovation prediction, and XGboost performed best for incremental innovation prediction. Third, Catboost performed best for firm performance prediction. Although there was no significant difference in predictive power between ensemble techniques, we found that comparative analysis was necessary to confirm better prediction performance.

The Roles of Knowledge Sources in and out of the Value Chain on Radical and Incremental Innovation : Moderating Effects of Knowledge Sources on the R&D Investment-Innovation Relationship (가치사슬 내부 및 외부의 지식원천이 급진적 혁신 및 점진적 혁신에 미치는 영향 : 지식원천들의 연구개발투자-혁신성과 관계에 대한 조절효과)

  • Kim, KonShik
    • Journal of Korea Technology Innovation Society
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    • v.21 no.1
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    • pp.454-490
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    • 2018
  • This paper examined the nonlinear relationships between external knowledge sources and the innovation performance of SMEs (small and medium-sized enterprises). Using 3,218 firm-year panel data in South Korea, this study found that increasing the number of external knowledge channels out of the value chain increases radical innovation. Meanwhile, increasing the number of external knowledge channels within the value chain increases the incremental innovation. Further, the external sources of knowledge both out of and in the value chain had inverted U-shaped relationships on radical and incremental innovation respectively. This finding implies that a mechanism of diminishing returns works in the relationship between the external sources of knowledge and innovation. The study also identified the synergistic effects between the external sources of knowledge out of the value chain and within the value chain, and confirmed that the synergistic effects strengthen the linear mechanism between the external sources of knowledge and innovation. In addition, this study found that the sources of knowledge both out of and within the value chain positively moderate the relationships between R&D investment and radical innovation of SMEs.

National Embeddedness of Economic Activities: Industrial and Technology Policy in Korea and Taiwan

  • Gammeltoft, Peter;Sornn-Friese, Henrik
    • Journal of Technology Innovation
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    • v.13 no.2
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    • pp.1-22
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    • 2005
  • This paper adopts an embeddedness perspective and discusses rationales for government intervention in relation to economic development. Looking at East Asian experiences with industrial and technology policy the paper examines the general requirements, specific areas of focus and appropriate techniques for industrial and technology policy. Eight generic policy requirements are identified, viz. government capacity; monitoring and adjustment; policy sequencing; incremental upgrading; progressive market reliance; performance-orientation; selectivity; and flexibility.

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The effect of levels of open innovation activity on innovation performance: Focusing on the mediating effect of technology protection (개방형 혁신활동의 수준이 혁신성과에 미치는 영향: 기술보호의 매개효과를 중심으로)

  • Park, Yuan;Lee, DaYoung;Cho, KeunTae
    • Journal of Technology Innovation
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    • v.29 no.4
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    • pp.31-57
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    • 2021
  • This study explores the effect of open innovation activities on innovation performance by dividing into two dimensions of breadth and depth of open innovation activity, and it also verifies the mediating effect of technical protection between open innovation activities and innovation performance. In order to examine the hypothesis, it has surveyed 1,403 companies of manufacturing and service with experience in producing innovative results. The results find that the breadth of open innovation activities has a positive effect on the achievement of radical innovation, and the depth of open innovation activities brings a positive effect on the achievement of incremental innovation. The verification result of the mediating effect of technology protection indicates that partially mediated between the breadth of innovation activities and radical innovation activities, and in the case of the depth, it is completely mediated. The results of this study provide the crucial implications not only for the company promoting open innovation, but especially also for the companies promoting product innovation by acquiring technology.