The Library
How innovative are UK firms? Evidence from the Fourth UK Community Innovation Survey on synergies between technological and organizational innovations
Tools
Battisti, Giuliana and Stoneman, Paul. (2010) How innovative are UK firms? Evidence from the Fourth UK Community Innovation Survey on synergies between technological and organizational innovations. British Journal of Management, Vol.21 (No.1). pp. 187-206. ISSN 1045-3172
|
PDF
WRAP_Stoneman_BJM_Second_revision_FINAL_PS_4908.pdf - Requires a PDF viewer such as GSview, Xpdf or Adobe Acrobat Reader Download (417Kb) |
Official URL: http://dx.doi.org/10.1111/j.1467-8551.2009.00629.x
Abstract
Using data from the Fourth UK Community Innovation Survey this paper explores the diffusion of a range of innovative activities (encompassing process, product, machinery, marketing, organization, management and strategic innovations) across 16,383 British companies in 2004. Building upon a simple theoretical model it is shown that the use of each innovation is correlated with the use of all other innovations. It is shown that the range of innovations can be summarized by two multi-innovation factors, labelled here `organizational' and `technological', that are complements but not substitutes for each other. Three clusters of firms are identified where intensity of use of the two sets of innovations is below average (56.9% of the sample); intermediate but above average (23.7%); and highly above average (19.4%). Distinctive characteristics are found to be common to the companies in each cluster. Finally, it is shown that innovativeness tends to persist over time.
| Item Type: | Journal Article |
|---|---|
| Subjects: | H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management |
| Divisions: | Faculty of Social Sciences > Warwick Business School |
| Library of Congress Subject Headings (LCSH): | UK Community Innovation Survey, Technological innovations -- Great Britain, Organizational change -- Great Britain, Synergetics, Organizational learning -- Great Britain |
| Journal or Publication Title: | British Journal of Management |
| Publisher: | Wiley-Blackwell Publishing Ltd. |
| ISSN: | 1045-3172 |
| Date: | March 2010 |
| Volume: | Vol.21 |
| Number: | No.1 |
| Page Range: | pp. 187-206 |
| Identification Number: | 10.1111/j.1467-8551.2009.00629.x |
| Status: | Peer Reviewed |
| Access rights to Published version: | Restricted or Subscription Access |
| Funder: | Great Britain. Dept. of Trade and Industry (DTI) |
| References: | Arora A. (1996) „Testing for complementarities in reduced-form regressions: A note,‟ Economics Letters, Elsevier, 50(1), pp. 51-55. Arora A. and A. Gambardella (1990) „Complementarity and External Linkages: The Strategies of the Large Firms in Biotechnology,‟ Journal of Industrial Economics, Blackwell Publishing, 38(4), pp 361-79. Ǻstebro T. (2002) „Non-capital investment costs and the adoption of CAD and CNC in US metalworking industries‟, Rand Journal of Economics, 33, pp.672-688. Astebro, T. (1995), „The effect of management and social interaction on the intra firm diffusion of electronic mail systems‟, IEEE Transactions on Engineering Management, 42 (4), pp 319 –331. Bartel, A. P. and Lichtenberg, F. R. (1987) „The Comparative Advantage of Educated Workers in Implementing New Technology‟, Review of Economics and Statistics, 69, pp 1-11. Battisti G., Mourani G. A., and P. Stoneman (2008) „Causality and a firm level Innovation Scoreboard‟, The Economics of Innovation and New technology- special issue on Corporate R&D, forthcoming. Battisti, G., Canepa, A., Stoneman, P., (2008). „The diffusion of e-business activities in the UK: productivity, profitability, externalities and policy‟, Research Policy, forthcoming. Battisti G., Colombo M.G., Rabbiosi L. (2005) 'Complementarity effects in the simultaneous diffusion of technological and organisational innovations', WP.05.03 Quaderni CIRET, CIRET-Dipartimento di Ingegneria Gestionale, Universita' Politecnico di Milano –Italy, pp 1-32.. Battisti G. and A. Iona (2006) „Can management practices explain the UK productivity gap? A review of the evidence from the adoption of management practices‟, Aston Business School Working Paper, RP number: RP0632 Battisti G. and A. Iona (2007) 'On the adoption decision and the intensity of use of complementary innovations: the intra firm diffusion of management practices across UK establishments', Aston Business School Working Paper Series, RP number:RP0722, pp.1-31. 28 Berman E., Bound J. and Z. Griliches (1994). „Changes in the demand for skilled labor within U.S. manufacturing: Evidence from the annual survey of manufactures,‟ Quarterly Journal of Economics, 109, pp. 367-97. Berman E., Bound J. and S. Machin, (1997) „Implications of skill-biased technological change: International evidence‟, Centre for Economic Performance Discussion Paper No. 24. Black SE, Lynch L. (2004) „What's Driving the new economy? The Benefits of Workplace Innovation‟, Economic Journal, 114 (493), pp. 97-116. Bloom N. and Van Reenen J. (2007), ‟Measuring and explaining management practices across firms and countries‟, Quarterly Journal of Economics, 122 (4), pp. 1351-1408 Bresnahan TF, Brynjolfsson E, Hitt LM. (2002) „Information Technology, Workplace Organization, and the Demand for Skilled Labor: Firm-Level Evidence‟. Quarterly Journal of Economics, 117 (1), pp. 339-376. Brynjolfsson E., and Hitt L.M. (1994), „Paradox lost? Firm-level evidence of high returns to information systems spending‟, MIT Discussion Paper. Brynjolfsson E., and Hitt L.M. (2000), „Beyond computation; information technology, organizational transformation and business performance‟, Journal of Economic Perspectives, 14 (4). Cappelli P, Neumark D. (2001) „Do „High-Performance‟ Work Practices Improve Establishment- Level Outcomes?‟ Industrial and Labor Relations Review, 54(4), pp. 737-775 Caroli E. and Van Reenen J. (2001), ‟Skill-biased organisational change? Evidence from a panel of British and French establishments„, The Quarterly Journal of Economics, 116 (4), pp.1449-1492.. Cohen, W. and D. Levinthal (1989), „Innovation and Learning: the Two faces of R&D, Economic Journal, 99, pp.569-96. Colombo M.G. and M. Delmastro (2002) „The determinants of organisational change and structural inertia: Technological and organisational factors”, Journal of Economics & Management Strategy, 11, pp. 595-635. Colombo M.G. and R. Mosconi (1995) „Complementarity and cumulative learning effects in the early diffusion of multiple technologies‟, The Journal of Industrial Economics, 63, pp. 13-48. David P. A. (2003) „Zvi Griliches on diffusion, lags and productivity growth ... connecting the dots‟, Prepared for the Conference on R&D, Education and Productivity Held in Memory of Zvi Griliches (1930 –1999) 25-27th, August 2003, Carre des Sciences, Ministère de la Recherche Paris, France Edwards T., Battisti G., and Neely A. (2004), „Value creation and the UK economy: A review of strategic options‟, International Journal of Management Reviews, 5/6 (3&4), pp.191-213. Finegold, D, Soskice, D.(1988) 'The failure of training in Britain: analysis and prescription', Oxford Review of Economic Policy, 4,: pp. 21-53. Geroski, P. A., (2000) „Models of technology diffusion‟, Research Policy, Elsevier, 29 (4-5), pp. 603-625, April. Griffith, R, Harrison, R, Haskel, J and Sako, M (2003), „The UK productivity gap and the importance of the service sectors‟, Advanced Institute of Management (AIM) Briefing Note, December. Hall, B. (2004), ‟Innovation and diffusion„, NBER Working Paper No.10212, NBER, Cambridge Mass. Hannah T.H. and J.M. McDowell (1984) ‟The determinants of technology adoption: The case of the banking firm„, Rand Journal of Economics, 15, pp. 328-335. Ichniowski C. and Shaw K. (1995) ‟Old dogs and new tricks: Determinants of the adoption of productivity-enhancing work practices‟, Brookings Papers on Economic Activity: Microeconomics, Spring, pp. 1-65. Ichniowski, C. Shaw and K. Prennushi, G. (1997), „The effects of human resource management practices on productivity: a study of steel finishing lines, American Economic Review, 87 (3), pp. 291-313. Ireland, N., Stoneman, P., 1986. Technological diffusion, expectations and welfare. Oxford Economic Papers, 38, pp. 283-304. Karshenas M. and P. Stoneman (1993) „Rank, stock, order and epidemic effects in the diffusion of new process technologies: An empirical model‟, Rand Journal of Economics, 24, pp. 503-28. Little J. S. and R. K. Triest (1996), „Technology Diffusion in U.S. Manufacturing: The Geographic Dimension‟ in Fuhrer J.C. and J. S. Little (Ed), Technology and Growth. Conference proceedings, Federal Reserve Bank of Boston. Mansfield E. (1968) „Industrial research and technological innovation’, New York: W.W. Norton.' Milgrom, P. and J. Roberts (1990) „The economics of modern manufacturing: Technology, strategy, and organisation‟, American Economic Review, 80, pp. 511-28. Milgrom, P. and J. Roberts (1995), „Complementarities and Fit: Strategy, Structure, and Organizational Change in Manufacturing”, Journal of Accounting and Economics, 19, pp. 179-208 Noteboom B. (1993), „Adoption, Firm Size and Risk of Implementation‟, The Economics of Innovation and New Technology, 2, pp. 203-216. O‟Mahony, M and de Boer, W (2002), “Britain‟s relative productivity performance: has anything changed?”, National Institute Economic Review, January. Porter, M.E. and Ketels, C.H.M. (2003), „UK Competitiveness: moving to the next stage‟, DTI Economics Paper No.3 (May). Ruigrok W, Pettigrew A, Peck S and Whittington R, (1999) „Corporate Restructuring and New Forms of Organizing: Evidence from Europe‟, Management International Review, Special Issue,199 (2), pp 41 – 64. Saloner G. and Shephard A. (1995), „Adoption of Technologies with Network Effects: an Empirical Examination of the Adoption of Automated Teller Machines‟, Rand Journal of Economics, 26 (3), pp. 479-501. Stoneman P (2002) „The Economics of Technological Diffusion’. Oxford: Blackwell Publishers. Stoneman P. (2004), „Path Dependency and Reswitching in a model of Multi -Technology Adoption‟ in Guinnane T, Sundstrom W and W. Whatley (eds.), History Matters: Essays on Economic Growth, Technology and Demographic Change, Stanford University Press, pp.36 – 62. Stoneman P. and G. Battisti (2008) „The Diffusion of New Technology „ Chapter 3 of Part IV of Bronwyn H Hall and Nathan Rosenberg (eds.)‟Handbook of the Economics of Technical Change‟ North Holland, Elsevier, forthcoming. Whittington R, Pettigrew A., Peck S., Fenton. E. and M. Conyon (1999): „Change and Complementarities in the New Competitive Landscape: A European Panel Study, 1992 - 1996‟, Organisation Science, 10 (5), pp. 583-600 Wengel J, Nylund, A, Sjogren, L. B., Stoneman P.,L., Bellini, N. Bonaccorsi, A., and Shapira. P., (2000), Surveying Organisational Innovation on a European Level – Challenges and Options, a Report to the CIS, DG XIII–C of the European Commission, April. |
| URI: | http://wrap.warwick.ac.uk/id/eprint/3229 |
Data sourced from Thomson Reuters' Web of Knowledge
Actions (login required)
![]() |
View Item |
Tools
Tools

