• Title/Summary/Keyword: Internal Innovation

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Impact of Internal Marketing Factors on Technological Innovation and Perceived Service Quality in Telecommunications (내부마케팅 요인이 조직의 기술혁신과 지각된 서비스 품질에 미치는 영향)

  • Jung, Gap-Jin;Hwang, Hee-Joong;Song, In-Am
    • Journal of Distribution Science
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    • v.13 no.6
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    • pp.87-96
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    • 2015
  • Purpose - Several domestic telecommunication companies have made a considerable effort to continuously grow and survive, and they have strived to thrive in the midst of mature market competition. To overcome this challenging situation and to grow continuously, while still meeting customer needs that are becoming more diverse and complicated with the passage of time, extensive support for internal marketing is essential. Without such internal support, companies face serious limitations and market roadblocks. The communication industry is a high-level service industry and a basic communications industry characteristic is its significant dependence on the employees delivering the services. Therefore, entrepreneurs in the information/communications industry, as well as existing competitors, should look to satisfy external customers through critical investment in internal customers (employees). Therefore, it is important for research to examine how internal factors influence technology innovation and service quality, which are the key drivers for companies that are seeking leading market positions. Research design, data, and methodology - The purpose of this study is to analyze the relationship of technology innovation and perceived service quality with the internal marketing factors in the communication industry and to offer suitable and effective internal marketing suggestions. The independent variables of this study are internal communication, education and training, the support of the executives, reward systems, and empowerment. The dependent variables are technology innovation and perceived service quality. Utilizing these, this paper studies the influence of internal marketing factors on technology innovation and perceived service quality. Results - The study results revealed the following. First, the identified internal marketing factors have a positive effect on technology innovation. Among the five internal marketing factors, three had a significant effect on product innovation, empowerment, the support of executives, and education and training, in this order. Second, the internal marketing factors also had a positive effect on the process innovation of technology innovation. The marketing factors, the support of executives, empowerment, internal communication, and education and training, in this order, significantly affect process innovation. Third, technology innovation had a positive effect on perceived service quality. All of the five service quality factors, namely, tangibles, reliability, assurance, responsibility, and empathy, in this order, significantly affect product innovation. Additionally, tangibles, reliability, responsibility, empathy, and assurance, in this order, significantly affect process innovation. Fourth, product and process innovation significantly affect tangibles and reliability in technology innovation. To enhance tangibles and reliability, process innovation should first be enhanced. Fifth, product and process innovation significantly affect responsibility and empathy in technology innovation. To enhance the responsibility and empathy, process innovation should first be enhanced. Sixth, product and process innovation significantly affect assurance in technology innovation. To enhance the assurance, product innovation should first be enhanced. Conclusions - According to the results, a company's internal marketing factors have a positive and significant effect on technology innovation and, further, product and process innovation have a positive and significant effect on the perceived serviced quality.

The relationship between internal marketing and incremental innovation in small business (중소기업에서의 내부마케팅과 구성원들의 점진적 혁신의 관계에 대한 연구)

  • Ahn, Kwan-Young
    • Journal of the Korea Safety Management & Science
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    • v.13 no.4
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    • pp.171-177
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    • 2011
  • This paper reviewed the relationship between internal marketing and incremental innovation, and the moderating effect of firm size. The results of hierarchical multiple regression analysis, based on the responses from 322 employees in small business, showed that almost internal marketing factors effects positively on incremental innovation. All internal marketing factors(CEO support, compensation system, education & training, internal communication, authority delegation) appeared to be related positively with process innovation and service innovation. And all other factors(compensation system, education & training, internal communication, authority delegation) except CEO support showed to have positive relationship with operation innovation. In the moderating effects, internal communication effects more positively on incremental innovation in large firm-size than in small firm-size. But delegation effects more positively on incremental innovation in small firm-size than in large firm-size.

The Impact of Internal and External Sources of Knowledge on Innovation Performance in Independent Firms and Business Group Affiliates (기업의 내·외부 지식원천이 혁신성과에 미치는 영향과 기업집단 효과)

  • Kim, Ji-Hee;Lee, Ji-Hwan
    • Knowledge Management Research
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    • v.16 no.1
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    • pp.171-191
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    • 2015
  • This paper investigates how internal knowledge dependency and its interaction with external knowledge adoption affect innovation performance in Korean companies. We categorize innovation performance into exploratory innovation and exploitative innovation. Especially, we examine business group effects as group headquarters and sister subsidiaries holistically form the boundary of the firm. Our empirical results first suggest that the degree of internal knowledge dependency is positively associated with exploitative innovation, but negatively with exploratory innovation. Second, internal knowledge dependency is more negatively related to exploratory innovation in independent firms than in business group affiliates. Third, independent firms' adoption of external knowledge tends to strengthen the positive relationship between internal knowledge dependency and exploitative innovation. Finally, exploitative external knowledge search appears to strengthen the negative relationship between internal knowledge dependency and exploratory innovation in both types of firms.

The Effect of Innovation Activities on Innovation Performance according to the size of SMEs in the Field of Electronics and Communication Industry (전자.통신 분야에서 중소기업 규모에 따른 내.외부 혁신활동이 혁신성과에 미치는 영향에 관한 연구)

  • Shin, Sunah;Lee, Moonsu
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.37 no.1
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    • pp.79-90
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    • 2014
  • The Purpose of this study is to empirically examine the impact of various internal and external innovation activities of SMEs on their innovation performances in the field of electronics and communication industry. Drawing upon the literature review, internal and external innovation activities are defined and conceptualized, and independent, dependent and moderator variables are developed. We have used survey-based data for this study from the survey of technology innovation activities in manufacturing industry, which was conducted by the Science and Technology Policy Institute (STEPI) in 2010. The main result of this study shows that there were no significant differences in the impact of innovation activities on market performance according to the size of SMEs. On the other hands, we found that there were significant differences in the impact of innovation activities on technological innovation performance according to the size of SMEs. Therefore, in order to make high technological innovation performance, companies in the field of electronics and communication industry need to properly implement the internal and external innovation activities by considering their size.

Alliance Portfolio Diversity on Innovation Performance - the Role of Internal Capabilities of Value Creation

  • Chung, Doohee;Kim, Marco;Kang, Jina
    • Proceedings of the Korea Technology Innovation Society Conference
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    • 2017.05a
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    • pp.357-391
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    • 2017
  • In this study, we suggest a new perspective on the linkage between alliance portfolio diversity and innovation performance based on a contingency approach. Using a longitudinal data set on alliance portfolios and patents of 182 firms in the U.S. manufacturing industries, we examined that alliance portfolio diversity has a U-shaped relationship with firm-level innovation. Internal value creation capabilities in terms of routine and ability are found to moderate the relationship between alliance portfolio diversity and innovation performance: Organizational search routine strengthens the relationship of alliance portfolio diversity and innovation performance while technological capabilities weaken and flip the relationship.

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The Effect of External R&D on the Innovation Efficiency : An Empirical Study of Manufacturing Industries in Korea (외부 R&D가 혁신 효율성에 미치는 영향 분석 : 국내 제조 산업을 중심으로)

  • Lee, Jiyoung;Kim, Chulyeon;Choi, Gyunghyun
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.39 no.4
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    • pp.125-136
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    • 2016
  • The external R&D, which includes the adoption of the external technology and knowledge in addition to the internal R&D, is one of important factors for the innovation. Especially for small and medium-sized enterprises (SMEs), the external R&D has been considered as a key factor to carry out the innovation more efficiently due to the limitations of their resources and capacities. However, most of extant studies related to external R&D have focused on analyzing the influence of external R&D on innovation outputs or outcomes. Only a few studies have explored the impact of external R&D on the innovation efficiency. This study therefore investigates whether the external R&D effects the industry's innovation efficiency and productivity. On this study, we used Korean manufacturing industry data of SMEs from 2012 to 2014 and employed a global Malmquist productivity analysis technique, which is based on the Data Envelopment Analysis (DEA), to assess the innovation efficiency and productivity. Innovation performances of external R&D group and internal R&D group are compared. Then, the sectoral patterns of both innovation efficiency and productivity are analyzed with respect to the technological intensity, which is introduced by OECD. The results show that the gap of innovation efficiency between external and internal R&D groups has gradually decreased because of the continuous improvement of the external R&D group's performance, while the external R&D group lag behind the internal R&D group. In addition, patterns of the innovation efficiency and productivity change were different depending on the technological intensity, which means that the higher the technological intensity, the greater the effect of external R&D.

Knowledge Search and Organizational Ambidexterity (지식탐색과 조직양면성)

  • Huh, Moon-Goo
    • Knowledge Management Research
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    • v.16 no.1
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    • pp.95-115
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    • 2015
  • This paper attempts to delineate and analyze the relationship between organizational search activities and organizational ambidexterity. A growing number of studies confirm that organizational ambidexterity is important for firm survival and long-term prosperity. However, research on how to achieve ambidexterity is still limited. To date, structural separation, contextul ambidexterity, and top management team attributes are proposed and examined as major antecedents of organizational ambidexterity. In this paper, I argue that orgnizational search may influence ambidexterity through its effect on exxploratory innovation and exploitative innovation. Since little study has been paid to uncover the relationship between knowledge search and ambidexterity, I develop theoretical arguments and propose some propositions rather than examine hypotheses. The propositions developed in the study are as follows; P1: The breadth of internal search is positively associated with exploratory innovation; P2: The breadth of external search has a reverse U-shaped relationship with exploratory innovation; P3: The depth of internal search is positively associated with exploitative innovation; P4: The depth of external search has a reverse U-shaped relationship with exploitative innovation; P5: The interaction between internal search breadth and internal search depth is positively associated with organizational ambidexterity; P6: The interaction between external search breadth and external search depth is positively associated with organizational ambidexterity. Based on the above propositions, I suggest some considerations for empirical research and propose avenues for future research.

Relationship between Ambidexterity Learning and Innovation Performance: The Moderating Effect of Redundant Resources

  • Wang, Dongling;Lam, Kelvin C.K.
    • The Journal of Asian Finance, Economics and Business
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    • v.6 no.1
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    • pp.205-215
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    • 2019
  • Researchers have confirmed the relationship between ambidexterity learning and innovation performance, but according to the resource-based theory, the relationship between ambidexterity learning and innovation performance is also affected by the internal resources of the organization. Internal resources are an important factor affecting the transformation of learning outcomes into performance. In addition, few scholars have pointed out whether different types of learning have different effects on different types of innovation performance. This study collects data from 170 High-tech enterprises in Shandong, china, and discusses the effects of exploitative learning and explorative learning on management innovation performance and technological innovation performance. This study further examines the moderating role of slack resource on the relationship between ambidexterity learning and innovation performance. Results show that ambidexterity learning has positive effect on innovation performance. Compared with exploitative learning, explorative learning has a greater impact on management innovation performance; compared with explorative learning, exploitative learning has a greater impact on technological innovation performances. Slack resource has positive moderating role between the relationship of exploitative learning, explorative learning and technology innovation performance. But Slack resource has no moderating role between the relationship of exploitative learning, explorative learning and management innovation performance.

The Effect of Technology Innovation Capability of Domestic Root Companies on Business Performance: Focusing on the Mediating Effect of Internal Resources (국내 뿌리기업의 기술혁신역량이 경영성과에 미치는 영향: 내부자원의 매개효과를 중심으로)

  • Seo, Sunyoung;Seo, Jonghyen
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.45 no.3
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    • pp.90-103
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    • 2022
  • The purpose of this study is first to understand whether technology innovation capability, which is considered an important factor in the Root companies, directly affects the business performance of the company. Second, it was attempted to determine whether internal resources deemed necessary for a company's continuous competitive advantage and excellent business performance play a mediating role in the technological innovation capability of the Root companies and the business performance. The implications of this study derived from the research results are as follows: Among the elements of technology innovation capability, R&D capability, positively affects both financial and non-financial performance. It was confirmed that the investment ratio could positively affect financial performance such as sales, market share, and yield, and non-financial performance such as corporate image, employee satisfaction, and productivity. Among the factors of technology innovation capability, the technology innovation system positively affects both financial and non-financial performance. Therefore, it can be said that securing rights to owned technology, establishing technology and funding, efficient use of resources, etc., affects financial performance such as sales or market share of a company, and affect the company's production capacity, image, and employee satisfaction. It has been verified that internal resources, including financial, physical, and human resources, can mediate between the three elements of technology innovation capability and corporate financial and non-financial performance.

A Study on Competitiveness of Korean Components Manufacturers under the Types of Innovation Strategies (한국 부품공급업체 생산혁신전략 유형이 경쟁력에 미치는 영향)

  • Kim, Dae-Hong;Chung, Soong-Hwan
    • IE interfaces
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    • v.11 no.1
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    • pp.165-174
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    • 1998
  • This study has empirically analyzed the competitive strategies of the Korean component manufacturers. To differentiate the competitive strategies, the study employed two indexes: degree of support from customer firms and degree of internal innovation process. The performance measures include cost, quality, delivery and flexibility. 115 questionnaires were finally collected from the Korean part manufacturers and used for the final analyses. ANOVA, Chi-squared tests and t-tests were employed for statistical analyses. There are two major findings in this study. First, both internal innovation and external support from customers are equally important to improve manufacturing competitiveness of Korean component manufacturers. Second, strategic path to improve competitiveness of Korean component manufacturers is as follows: focusing on internal innovation ${\rightarrow}$ seeking for formal relationship with customers ${\rightarrow}$ pursuing external support from customers.

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