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Innovating via building absorptive capacity: Interactive effects of top management support of learning, employee learning orientation and decentralization structure
Author(s) -
Li Chenwei,
Sun LiYun,
Dong Yuntao
Publication year - 2018
Publication title -
creativity and innovation management
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.148
H-Index - 60
eISSN - 1467-8691
pISSN - 0963-1690
DOI - 10.1111/caim.12261
Subject(s) - decentralization , absorptive capacity , business , knowledge management , organizational learning , perspective (graphical) , organizational structure , industrial organization , management , computer science , economics , artificial intelligence , market economy
Building on the organizational learning perspective, the study examines the effect of learning‐related personal and contextual factors on organizational absorptive capability (AC) and subsequent innovative performance, as well as how a decentralized organizational decision‐making structure may moderate these relationships. Using data collected from 112 manufacturing firms, we found a positive effect of top management support of learning and employee learning orientation on AC and subsequent firm innovative performance. Further, we found that decentralization moderated the effect of top management support of learning on innovative performance via AC such that the indirect effect was significant only when decentralization was higher. However, we did not find that the indirect effect of employee learning orientation on innovative performance via AC varied significantly as a function of decentralization structure. This study extends the AC literature by highlighting the importance of managerial learning‐supportive practices and employee learning orientation, and by revealing how decentralization structure facilitates the organization and employees to translate the learning support and learning motivation to AC and innovation.