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Background:  The increasingly competitive business environment has made it imperative for organisations to put in place systems and processes that will guarantee appreciable firm performance in the interest of its stakeholders. To this end, several solutions have been developed to ensure that desired firm outcomes are achieved despite the dynamics of competition. However, critical review of extant literature reported mixed results on the innovative capabilities of firms and their performance nexus. Therefore, this article explored the role of innovative capabilities on the performance of firms with the University of Cape Coast as a case study.   Aim:  This paper explored the role of innovative capabilities on the performance of firms with the evidence from the University of Cape Coast.   Setting:  The research was carried out in Ghana to assess innovative capabilities and performance relationship among institutions of higher learning with evidence from the University of Cape Coast.   Methods:  Using a descriptive research design, the study collected data from 250 administrative staff in the university of Cape Coast. The findings of the study confirmed that the administrative staffs of the University of Cape Coast have embraced innovation at different levels of operations.   Results:  The findings indicate that innovation in the organisation is able to promote high team spirits, risk taking, productivity, low resistance to change, competitive advantage, increase market share, increase productivity among staffs, growth and profitability of educational institutions, creates loyalty towards the institution’s services, and makes teaching and learning convenient.   Conclusion:  It was concluded that there have been some innovations in University of Cape Coast and so much of such innovations would make teaching and learning more convenient, lead to higher competitive advantage and market share and boosting overall performance.

Critical analysis of the role of innovative capabilities on firm performance: Evidence from the University of Cape Coast administration in Ghana