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Core Knowledge Employee Creativity and Firm Performance: The Moderating Role of Riskiness Orientation, Firm Size, and Realized Absorptive Capacity
Author(s) -
Gong Yaping,
Zhou Jing,
Chang Song
Publication year - 2013
Publication title -
personnel psychology
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 6.076
H-Index - 142
eISSN - 1744-6570
pISSN - 0031-5826
DOI - 10.1111/peps.12024
Subject(s) - absorptive capacity , creativity , perspective (graphical) , psychology , core (optical fiber) , business , industrial organization , social psychology , materials science , artificial intelligence , computer science , composite material
In this study, we examine when creativity is positively or negatively related to firm performance. Building on the creation–implementation tension theorized in the literature and the attention capacity perspective, we argue that the relationship between creativity and firm performance is contingent on riskiness orientation, firm size, and realized absorptive capacity. Data were collected from 761 core knowledge employees, 148 CEOs, and 148 HR executives from 148 high‐technology firms. The results indicated that core knowledge employee creativity was negatively related to firm performance when riskiness orientation was high. The relationship was positive when realized absorptive capacity was high. Finally, the relationship was more positive in small firms than in large firms. We discuss the implications of our findings for creativity research and managerial practices.