Innovation, work organization and knowledge sharing in Uruguayan firms

ABSTRACT

How work is organised is a critical component of firms’ learning process. Because of that, the relationship between firms’ work organisation and their innovative effort is endogenous in nature and, in turn, causal effects are hardly identifiable. This paper aims to contribute by analysing the effects of organisational work practices oriented toward knowledge sharing and innovative efforts in Uruguayan firms between 2009 and 2015. Our research design allows us to test both the endogenous relationship and the potential causal effects, using econometric panel data techniques and instrumental variables. The results corroborate the endogenous relationship between these variables. Moreover, a positive and significant effect of communication practices on the innovative effort is identified in low-tech manufacturing firms but not in high-tech firms. This result offers valuable implications for public policy and industrial practices in developing countries since it reflects the main features of an innovation pattern that mostly relies on modernisation strategies rather than on high-tech innovations based on R&D.

KEYWORDS:

• Work organization
• knowledge sharing
• innovation
• Latin America
• Uruguay

JEL Classification:

• D22
• D83
• M12
• M51

Acknowledgements

We acknowledge the microdata access given by the National Agency of Research and Innovation, Uruguay.

Disclosure statement

No potential conflict of interest was reported by the author(s).

Data transparency

Readers can have access to the dataset employed in this paper by filling in the information request available at the website of the Agencia Nacional de Investigación e Innovación of Uruguay (http://www.anii.org.uy/institucional/documentos-de-interes/)

Notes

1 We also run all the estimations using a balanced panel, obtaining similar results. The results are available on request from the authors.

Additional information

Notes on contributors

Carlos Bianchi

Carlos Bianchi, PhD in Economics at Universidade Federal de Rio de Janeiro; Master in Economic History and Sociologist at Universidad de la República (UdelaR), Uruguay. Currently holds a position as Assistant Professor at the Institute of Economics of the School of Economics and Administration, UdelaR, Uruguay. He is Researcher of the Uruguayan System of Researchers. His main research lines are: science, technology and innovation policies, innovative performance and structural change and health innovation.

Maximiliano Machado

Maximiliano Machado, PhD Candidate in Economics, University of Toronto, Canada. He has experience as Research Assistant at the Institute of Economics of the School of Economics and Administration, UdelaR, Uruguay. His main research interests are: industrial organisation, innovation and matching.