What facilitates external knowledge utilisation in SMEs? – An optimal configuration between openness intensity and organisational moderators

ABSTRACT

This study explores the complex relationships between open innovation (OI) climate and OI activities by investigating the changing moderating effects of organisational facilitators in small innovative firms. Our partial least squares structural equation modelling analysis suggests (1) OI-friendly climate promotes OI activities, (2) this process is further facilitated by various organisational efforts, but (3) the efforts firms must put in are proportional to the level of openness intensity. The findings also suggest that systematic knowledge management is the most basic facilitator, while entrepreneurial orientation is generally underperformed despite its high importance. This study provides implications for managers and policymakers who lead OI adoption and implementation.

Abbreviation: SMEs - Small and Medium-sized Enterprises; PLS-SEM - Partial Least Squares - Structural Equation Modeling

KEYWORDS:

• Open innovation
• organisational moderators
• SMEs
• PLS-SEM

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes

¹ In this study, EO was measured as having uni-dimensionality for model parsimony. There were no differences between the analyses of the cases of EO comprising three dimensions (second-order confirmatory factor analysis) and one dimension (first-order confirmatory factor analysis).

² These include the product indicator, two-stage, hybrid, and orthogonalising approaches.

Additional information

Funding

This research was funded by Nation Research Foundation in Korea (NRF-2017R1C1B5018009).