The Role of Capabilities in Innovation Adoption Decisions

The Role of Capabilities in Innovation Adoption Decisions
Author: Kevin M. Snyder
Publisher:
Total Pages: 115
Release: 2013
Genre: Diffusion of innovations
ISBN:

Successful innovations have been assumed by prior literature to ultimately be adopted by all competitors within an industry based on social explanations or economic rationale specific to the efficiency of the innovation. However, capabilities possessed by a firm can enhance or inhibit the adoption based upon their similarity to those used in the innovation. In categorizing a firm's capabilities as complementary, substitutive, or neutralizing to the innovation, this study provides an economic explanation for the role of internal capabilities in adoption decisions. Using a sample of professional football teams adopting the West Coast Offense, I find that capabilities influence the decision process in favor of adopting for organizations with complementary and substitutive capabilities. The role of knowledge from the innovator is highlighted in adopting the innovation, but fails to moderate the relationship between adoption and firm performance. I also illustrate how adopting firms with complementary capabilities outperform those organizations with similar capabilities that elect not to adopt. Finally, I demonstrate that firms with neutralizing capabilities are better off not adopting the innovation based on comparative performance of adopters and non-adopters. The overall results suggest a greater emphasis on internal capabilities of the firm in innovation adoption and reconsideration of theories stating that innovations should be adopted throughout an industry.

The Chocolate Model of Change

The Chocolate Model of Change
Author: Diane Dormant
Publisher: Lulu.com
Total Pages: 273
Release: 2011-07-03
Genre: Business & Economics
ISBN: 1257867555

A how-to-guide to get others in your organization to accept new technologies, processes, regulations, management, etc.

A Dynamic Capabilities View of Technology Adoption Success

A Dynamic Capabilities View of Technology Adoption Success
Author: Kenneth W. Graham
Publisher:
Total Pages: 347
Release: 2015
Genre:
ISBN:

Among ongoing concerns for firms is the need to remain relevant and competitive. To address these concerns, firms often turn to technology to meet rapidly changing consumer demands, to provide differentiated offerings and to increase firm efficiency and productivity. Thus, the decision-making process that leads to the adoption of new technology is of great importance to marketers. Grounded in the resource-based view of the firm, this dissertation examines absorptive capacity and technological opportunism as firm dynamic capabilities and their role in delivering successful, firm-level technology adoption decisions. This research also examines the moderating role of internal micro-politics on the technology adoption process. With a qualitative and quantitative approach, this dissertation develops and tests an empirical model of the firm-level adoption decision process and its outcomes. Theoretical and empirical evidence provided by this research offers insights into the firm-level technology adoption process that should be of value to both researchers and practitioners. Analyses show that firm absorptive capacity and technological opportunism are instrumental in shaping the firm’s perceptions of a transformational technology, which in turn positively influences overall satisfaction with the adopted technology. In contrast to theoretical support, results also show that the positive relationship between a firm’s dynamic capabilities and its perceptions of a technology’s characteristics is negatively influenced by the presence of micro-political strategies used to garner internal buy-in and support for the technology adoption decision. These findings indicate marketers of technology should utilize this knowledge to guide client firms through the technology adoption process based on evaluations of the client firm’s level of dynamic capabilities and micro-political environment. Further, managers seeking to enhance product or service offerings through technology adoption should seek to develop their dynamic capabilities that inform adoption decisions. Additionally, managers should carefully manage stakeholder relationships to minimize any negative influence micro-political strategies may have on the decision-making process. Study limitations and areas of future research are also discussed.

Diffusion of Innovations

Diffusion of Innovations
Author: Everett M. Rogers
Publisher:
Total Pages: 0
Release: 2012
Genre:
ISBN:

Getting an innovation adopted is difficult; a common problem is increasing the rate of its diffusion. Diffusion is the communication of an innovation through certain channels over time among members of a social system. It is a communication whose messages are concerned with new ideas; it is a process where participants create and share information to achieve a mutual understanding. Initial chapters of the book discuss the history of diffusion research, some major criticisms of diffusion research, and the meta-research procedures used in the book. This text is the third edition of this well-respected work. The first edition was published in 1962, and the fifth edition in 2003. The book's theoretical framework relies on the concepts of information and uncertainty. Uncertainty is the degree to which alternatives are perceived with respect to an event and the relative probabilities of these alternatives; uncertainty implies a lack of predictability and motivates an individual to seek information. A technological innovation embodies information, thus reducing uncertainty. Information affects uncertainty in a situation where a choice exists among alternatives; information about a technological innovation can be software information or innovation-evaluation information. An innovation is an idea, practice, or object that is perceived as new by an individual or an other unit of adoption; innovation presents an individual or organization with a new alternative(s) or new means of solving problems. Whether new alternatives are superior is not precisely known by problem solvers. Thus people seek new information. Information about new ideas is exchanged through a process of convergence involving interpersonal networks. Thus, diffusion of innovations is a social process that communicates perceived information about a new idea; it produces an alteration in the structure and function of a social system, producing social consequences. Diffusion has four elements: (1) an innovation that is perceived as new, (2) communication channels, (3) time, and (4) a social system (members jointly solving to accomplish a common goal). Diffusion systems can be centralized or decentralized. The innovation-development process has five steps passing from recognition of a need, through R&D, commercialization, diffusions and adoption, to consequences. Time enters the diffusion process in three ways: (1) innovation-decision process, (2) innovativeness, and (3) rate of the innovation's adoption. The innovation-decision process is an information-seeking and information-processing activity that motivates an individual to reduce uncertainty about the (dis)advantages of the innovation. There are five steps in the process: (1) knowledge for an adoption/rejection/implementation decision; (2) persuasion to form an attitude, (3) decision, (4) implementation, and (5) confirmation (reinforcement or rejection). Innovations can also be re-invented (changed or modified) by the user. The innovation-decision period is the time required to pass through the innovation-decision process. Rates of adoption of an innovation depend on (and can be predicted by) how its characteristics are perceived in terms of relative advantage, compatibility, complexity, trialability, and observability. The diffusion effect is the increasing, cumulative pressure from interpersonal networks to adopt (or reject) an innovation. Overadoption is an innovation's adoption when experts suggest its rejection. Diffusion networks convey innovation-evaluation information to decrease uncertainty about an idea's use. The heart of the diffusion process is the modeling and imitation by potential adopters of their network partners who have adopted already. Change agents influence innovation decisions in a direction deemed desirable. Opinion leadership is the degree individuals influence others' attitudes.

Managing Innovation Adoption

Managing Innovation Adoption
Author: Majharul Talukder
Publisher: Lund Humphries Publishers
Total Pages: 204
Release: 2014
Genre: Business & Economics
ISBN: 9781472413369

When Innovation is considered one of the key drivers of corporate success, why do organisations struggle to implement it? Research suggests that innovations fail due to a lack of acceptance by employees; therefore an understanding of potential adopters and the factors influencing their decisions is essential. Despite much research on adoption of innovation by an organization, very little is known about its acceptance by individuals within it. Managing Innovation Adoption addresses this by presenting a new theoretical framework. The data collected proves that Dr Talukder's enhanced model, based on the theory of reasoned action (TRA), the technology acceptance model (TAM) and other conceptual frameworks, will assist a broader understanding of how people adopt innovations. As well as contributing to academic knowledge, the author's discoveries have practical implications for organizations, managers, administrators and employees.

Cognition and Innovation

Cognition and Innovation
Author: Kristian J. Sund
Publisher: Emerald Group Publishing
Total Pages: 229
Release: 2018-11-27
Genre: Business & Economics
ISBN: 1787694313

This third volume in the New Horizons in Managerial and Organizational Cognition series comprises a collection of contributions that reflect the multiple emerging intersections between cognition and innovation studies.

The Measurement of Scientific, Technological and Innovation Activities Oslo Manual 2018 Guidelines for Collecting, Reporting and Using Data on Innovation, 4th Edition

The Measurement of Scientific, Technological and Innovation Activities Oslo Manual 2018 Guidelines for Collecting, Reporting and Using Data on Innovation, 4th Edition
Author: OECD
Publisher: OECD Publishing
Total Pages: 258
Release: 2018-10-22
Genre:
ISBN: 9264304606

What is innovation and how should it be measured? Understanding the scale of innovation activities, the characteristics of innovative firms and the internal and systemic factors that can influence innovation is a prerequisite for the pursuit and analysis of policies aimed at fostering innovation.