Effects of innovation types on firm performance

Innovation is broadly seen as an essential component of competitiveness, embedded in the organizational structures, processes, products, and services within a firm. The objective of this paper is to explore the effects of the organizational, process, product, and marketing innovations on the different aspects of firm performance, including innovative, production, market, and financial performances, based on an empirical study covering 184 manufacturing firms in Turkey. A theoretical framework is empirically tested identifying the relationships amid innovations and firm performance through an integrated innovation-performance analysis. The results reveal the positive effects of innovations on firm performance in manufacturing industries

Innovative capabilities, operations priorities and corporate performance in manufacturing firms

The purpose of this paper is to explore the linkage between innovative capabilities and operations priorities and corporate performance and try to answer the question of how innovative capabilities support a manufacturing firm’s operations priorities and corporate performance. By using survey data from 184 manufacturing firms, firms are clustered according to their innovative capabilities. These clusters are explored in terms of operations priorities and corporate performance. The findings substantiate that manufacturing firms can be clustered according to their innovative capabilities. Each innovation cluster adopts and develops different operations priorities and they attain diverse financial performance levels implying that there are alternative ways to compete in the market even within the same industry. However, each alternative strategy provides diverse levels of benefits. The findings demonstrate further that high performing firms compete effectively on multiple operations priorities simultaneously. Hence, firms need to excel in multiple priorities and innovation types in their market

Determining the factor structure of an integrated innovation model

This paper reports on elemental factor analyses of the innovativeness study in the Turkish manufacturing industry, drawing on a sample of 184 manufacturing firms. Factor structures are constructed in order to empirically test a framework identifying the relationships among innovativeness, performance and determinants of innovation. After several independent principal component analyses, factor structures of innovations, firm performance, organization culture, intellectual capital, manufacturing strategy, innovation barriers, and monitoring strategies are presented

Innovation determinants in manufacturing firms

In this paper the findings of an empirical study concerning the innovation determinants in manufacturing firms is presented. The empirical study covers 184 manufacturing firms located in the Northern Marmara region of Turkey. The types of innovation considered here are product, process, marketing and organizational innovations. An extensive literature survey on innovation determinants is provided. A model is proposed to explore the probable effects and the amount of contribution of the innovation determinants to firm’s innovativeness level. Among all possible determinants considered, intellectual capital has the highest impact on innovativeness followed by organization culture

An integrated innovation model: how innovations are born and what are their impacts on firm performance?

The main objective of this paper is to present a comprehensive and integrated model of innovation at the firm level and to discuss the effects of firm characteristics on the innovativeness capabilities of companies. The results are based on an empirical survey covering 184 manufacturing firms in the Northern Marmara region within Turkey. In this study, first an integrated model of innovativeness is proposed. Later, the innovation determinants, especially firm characteristics, which have a significant role on innovation development success, are analyzed together with how innovativeness of firms influences their competitiveness and performance

An empirical study into the determinants of innovativeness in manufacturing firms

The main objective of this paper is to report on the findings of an empirical study on the determinants of innovativeness in manufacturing firms. The empirical study covers 184 manufacturing firms located in the Northern Marmara region of Turkey. The types of innovation are taken as product, process, marketing and organizational innovations as suggested in the Oslo Manual 2005 published by OECD. A model is proposed to explore the probable effects and the amount of contribution of the determinants of innovativeness to innovativeness level. Among all possible determinants of innovativeness considered, intellectual capital has the highest impact on innovativeness followed by firm culture

What are the determinants leading to innovation in manufacturing firms

In this paper, a comprehensive model of innovation determinants is analyzed based on empirical data gathered from 184 manufacturing firms located in the Northern Marmara region in Turkey. As opposed to the studies that establish the relationship with a limited set of antecedents and innovativeness, this study allows us to investigate how significant is an antecedent compared to others. Such knowledge is invaluable for the decision makers in order to manage their innovation strategies and provides a guideline for effective allocation of their limited resources to be more innovative. The analysis reveals that among all possible determinants considered, intellectual capital has the highest impact on innovativeness followed by organization culture. Path analyses for both of these major innovation determinants are investigated in detail. Some managerial implications are suggested

Effects of organizational innovations on firm's production performance

In the literature, various papers investigate the effects of the technological (product and process) innovations on firms performance. However, research on the effects of organizational innovations is rare. Furthermore, the performance of the firms is usually measured in terms of financial criteria such as the return on assets or equity., and the research on the effects of innovations on production performance is limited. The objective of this paper is to explore the role of different innovation types as well as the organizational innovations on the firm's production performance based on an empirical study covering 184 manufacturing firms in the Northern Marmara region within Turkey. A significant positive relationship between organizational innovations and the firm's production performance is determined

Modeling innovation: determinants of innovativeness and the impact of innovation on firm performance

The objective of this paper is to report on the method, analysis, and conclusions concerning two research questions formulated as: What are the determinants of innovation at firm level?” and “what is the impact of innovation on firm performance?” The results are based on an empirical study covering 184 manufacturing firms in the Northern Marmara region within Turkey. A comprehensive and integrated innovation model is presented composed of two sub-models proposed in line with the two research questions posed. Results and conclusions are presented

Business strategy and innovativeness: results from an empirical study

This study reports on the testing of the hypothesis that there is a positive relationship between business strategy and innovativeness. Business strategy is defined here to include market focus strategy, technology development strategy, and operations priorities - including cost, quality, delivery / dependability, and flexibility. An empirical study is conducted based on data collected using a questionnaire developed. 184 manufacturing firms from different industries in the Northern Marmara region in Turkey participated in the study. Multivariate statistics techniques and structural equation modeling are employed. The results have been affirmative supporting the hypothesis. Market focus and technology development factors are found to mediate the effects of operations priorities on innovativeness. That market focus, technology development and cost efficiency have direct effects on innovativeness is another finding of managerial importance