ACTIVATION TRIGGERS: RECONCEPTUALIZATION AND REVIEW

Year 2023, , 58 - 68, 30.06.2023

Nader Salehı , Mir Hadi Moazen Jamshıdı

https://doi.org/10.17261/Pressacademia.2023.1736

Abstract

Purpose- Businesses depend more on knowledge than other factors. Many academics have described the idea of absorptive capacity as a skill for handling outside knowledge. Since organizational phenomenon is a complex , the issue of absorptive capacity as a strategic and dynamic capability still merits further research consideration. Previous research shows that some of the variables are beyond the firm's control and moderate the effect of knowledge source and experience on absorptive capacity. The intensity of the triggers may have an impact on the firm's investment in absorptive capacity capability. The purpose of this study is to review and identify endogenous and exogenous contingencies that function as activation triggers on absorptive capacity based on the previous literature.
Methodology- The theoretical model, hypothesis, and measurement indicators for the study's variables are described in this paper.
Findings- The study of previous research shows that learning organization structure, business environment, organizational leadership, learning culture, management review, and competitive strategy play roles as moderator activation triggers in this study. According to the findings, businesses face complex and unpredictable business environment changes, as well as significant knowledge gaps. Decentralized and dynamic structures with participation in decision-making have a moderating effect on the capacity to absorb knowledge and make it easier for businesses to absorb new ideas. The results show that organizational culture fosters the development of fresh perspectives and encourages the integration of external knowledge to maximize the benefits of complementary knowledge sources. Also, the competitive strategy defines the scope and context of perception and learning. Other activation triggers that require more investigation include information technology, stakeholders, professional conduct, and research and development units.
Conclusion- Managers can explore a variety of strategic alternatives and forge competitive advantages for their companies by using activation triggers as a group of variables to upgrade existing talents and develop new capabilities of absorptive capacity.

Keywords

Absorptive capacity, activation triggers, endogenous and exogenous contingencies, knowledge

References

• Akpoviroro, K. S., et al. (2018). Impact of external business environment on organizational performance. International Journal of Advance Research and Innovative Ideas in Education, 4(3): 498-505. 16.0415/IJARIIE-8444
• Andrawina, L., et al. (2008). Absorptive capacity moderates the relationship between knowledge sharing capability and innovation capability. 2008 IEEE International Conference on Industrial Engineering and Engineering Management. https://doi.org/10.1109/IEEM.2008.4738009
• Anseel, F., et al. (2009). Reflection as a strategy to enhance task performance after feedback. Organizational Behavior and Human Decision Processes, 110(1): 23-35. https://doi.org/10.1016/j.obhdp.2009.05.003
• Barney (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1): 99-120. https://doi.org/10.1177/014920639101700108
• Camisón, C. and B. Forés (2010). Knowledge absorptive capacity: New insights for its conceptualization and measurement. Journal of Business Research, 63(7): 707-715. https://doi.org/10.1016/j.jbusres.2009.04.022
• Cegarra-Navarro, J. G. and G. Cepeda-Carrión (2008). Why open-mindedness needs time to explore and exploit knowledge. Time & Society, 17(2-3): 195-213. https://doi.org/10.1177/0961463X08093422
• Chilton, M. A., & Bloodgood, J. M. (2008). The dimensions of tacit & explicit knowledge: A description and measure. International Journal of Knowledge Management (IJKM), 4(2), 75-91. https://psycnet.apa.org/doi/10.4018/jkm.2008040106
• Cohen, W. M. and D. A. Levinthal (1989). Innovation and learning: The two faces of R&D. The Economic Journal, 99(397): 569-596. https://doi.org/10.2307/2233763
• Davenport, T. H. and L. Prusak (1998). Working knowledge: How organizations manage what they know. Boston, Mass, Harvard Business School Press. http://dx.doi.org/10.1145/348772.348775
• Drucker, P. F. (1985). Innovation and entrepreneurship: practice and principles Harper & Row, Publishers, Inc. https://ssrn.com/abstract=1496169
• Fabrizio, K. R. (2009). Absorptive capacity and the search for innovation. Research Policy, 38(2): 255-267. https://doi.org/10.1016/j.respol.2008.10.023
• Fiol, C. M. and M. A. Lyles (1985). Organizational learning. Academy of Management Review, 10(4): 803-813. https://doi.org/10.2307/258048
• Flood, R. L. (1998). Fifth Discipline: Review and Discussion. Systemic Practice and Action Research, 11(3): 259-273. http://dx.doi.org/10.1023/A:1022948013380
• Gray, C. (2006). Absorptive capacity, knowledge management and innovation in entrepreneurial small firms. International Journal of Entrepreneurial Behavior & Research, 12(6): 345-360. https://doi.org/10.1108/13552550610710144
• Harris, R. and Q. C. Li (2008). Exporting, R&D, and absorptive capacity in UK establishments. Oxford Economic Papers 61(1): 74-103. https://www.jstor.org/stable/25167722
• Hilden, S. and K. Tikkamäki (2013). Reflective practice as a fuel for organizational learning. Administrative Sciences, 3(3): 76-95. https://doi.org/10.3390/admsci3030076
• Hisnanick, J. J. (2002). Knowledge emergence: Social, technical, and evolutionary dimensions of knowledge creation. Journal of Economic Issues, 36(3): 819-821. https://doi.org/10.1080/00213624.2002.11506518
• Hult, G. T. M. and O. C. Ferrell (1997). A global learning organization structure and market information processing. Journal of Business Research, 40(2): 155-166. https://doi.org/10.1016/S0148-2963(97)00006-4
• Kim, L. (1998). Crisis construction and organizational learning: capability building in catching-up at Hyundai Motor. Organizational Science, 9: 506-521. http://dx.doi.org/10.1287/orsc.9.4.506
• Lane, P. J. and M. Lubatkin (1998). Relative absorptive capacity and interorganizational learning. Strategic Management Journal, 19: 461-477. https://doi.org/10.1002/(SICI)1097-0266(199805)19:5%3C461::AID-SMJ953%3E3.0.CO;2-L
• Liu, H., et al. (2009). Why absorptive capacity is more essential in some situations? International Conference on Information Management, Innovation Management and Industrial Engineering, IEEE Computer Society: 282-285. https://doi.org/10.1109/ICIII.2009.75
• Martin, S. L. and R. G. Javalgi (2019). Explaining performance determinants: A knowledge-based view of international new ventures. Journal of Business Research, 101: 615-626. https://doi.org/10.1016/j.jbusres.2019.02.041
• McKelvie, A., et al. (2008). Modes of knowledge acquisition and innovation in different environments: an examination of new firms. Frontiers of Entrepreneurship Research, 28(19): 1-13. https://dx.doi.org/10.2139/ssrn.1348157
• Murovec, N. and I. Prodan (2009). Absorptive capacity, its determinants, and influence on innovation output: cross-cultural validation of the structural model. Technovation, 29: 859-872. https://doi.org/10.1016/j.technovation.2009.05.010
• Nonaka, I. (1994). A dynamic theory of organizational knowledge creation. Organization Science, 5(1): 14-37. https://www.jstor.org/stable/2635068
• Qiao, M. and D. Chen (2010). Growing though innovatively exploiting context-related knowledge- cases of entrepreneurial firms from China's information technology industry. 2010 International Conference on Management and Service Science. https://doi.org/10.1016/j.jbusres.2022.113423
• Saeidi, P., et al. (2021). How does organizational leadership contribute to the firm performance through social responsibility strategies? Heliyon, 7(7): 12-11. https://doi.org/10.1016/j.heliyon.2021.e07672
• Salehi, N., Omar, R., & Ismail, K. (2012). A Model of Absorptive Capacity in Public Sector: Based on Individual and Organizational Cognitive Process. Paper presented at the 2nd International Conference on Management (2nd ICM 2012), Langkawi Kedah, Malaysia. https://www.semanticscholar.org/paper/A-model-of-absorptive-capacity-in-public-sector%3A-ON-Salehi/8f9848d362c91d770c2ab5cf0ce0d56228af7e2d
• Salehi, N. (2021). Activation triggers as endogenous and exogenous contingencies on absorptive capacity. International Business Management, 15(8): 324-330. https://dx.doi.org/10.36478/ibm.2021.324.330
• Salehi, N. (2022). How to properly apply new external knowledge: the waterfall model of absorptive capacity and innovation. Journal on Innovation and Sustainability, 13(2): 73-83. http://dx.doi.org/10.23925/2179-3565.2022v13i2p73-83
• Salehi, N., & Asrar, M. M. (2022). The effect of open innovation mindset on absorptive capacity: The mediation role of entrepreneurial alertness. Journal of Management Marketing and Logistics, 9(4): 147-155. https://dergipark.org.tr/en/pub/jmml/issue/75138/1232281
• Santos-Vijande, M. L., et al. (2013). The brand management system and service firm competitiveness. Journal of Business Research, 66(2): 148-157. https://doi.org/10.1016/j.jbusres.2012.07.007
• Schmidt, T. (2010). Absorptive capacity—one size fits all? A firm‐level analysis of absorptive capacity for different kinds of knowledge. Managerial and Decision Economics, 31(1): 1-18. https://doi.org/10.1002/mde.1423
• Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and strategic management. Strategic Management Journal, 18(7): 509-533. https://www.jstor.org/stable/3088148
• Tian, H., et al. (2020). Organizational learning ambidexterity and openness, as determinants of SMEs' innovation performance. European Journal of Innovation Management, 24(2): 414-438. https://doi.org/10.1108/EJIM-05-2019-0140
• Todorova, G., & Durisin, B. (2007). Absorptive capacity: Valuing a reconceptualization. Academy of Management Review, 32(3): 774-786. https://www.jstor.org/stable/20159334
• Turi, J. A., et al. (2019). Impact of the cognitive learning factors on sustainable organizational development. Heliyon, 5(9): 1-9. https://doi.org/10.1016/j.heliyon.2019.e02398
• Van den Bosch, Frans AJ, Henk W. Volberda, and Michiel De Boer. Coevolution of firm absorptive capacity and knowledge environment: Organizational forms and combinative capabilities. Organization Science, 10.5 (1999): 551-568. https://www.jstor.org/stable/2640317
• Walesh, J. P. and G. R. Ungson (1991). Organizational memory. Academy of Management Review, 16(1): 57-91. https://doi.org/10.1057/978-1-137-00772-8_210
• Wang, D. and S. Chen (2009). Human resource practices and organizational innovation performance in the PRC: The mediating role of absorptive capacity. Management and Service Science, 2009., MASS '09. International Conference on, IEEE Conferences. http://dx.doi.org/10.1109/ICMSS.2009.5302091
• Wang, H. L., & Wu, C. N. (2008, October). A Study on Technological Knowledge Internalization of Enterprises. In 2008 4th International Conference on Wireless Communications, Networking and Mobile Computing (pp. 1-3). IEEE. http://dx.doi.org/10.1109/WiCom.2008.2621
• Ward, P. T., et al. (1995). Business environment, operations strategy, and performance: An empirical study of Singapore manufacturers. Journal of Operations Management, 13(2): 99-115. https://doi.org/10.1016/0272-6963(95)00021-J
• Yang, M. M., et al. (2017). How a reflection intervention improves the effect of learning goals on performance outcomes in a complex decision-making task. Journal of Business and Psychology, 33(5): 579-593. https://doi.org/10.1007/s10869-017-9510-0
• Yao, Z., et al. (2013). Knowledge complementarity, knowledge absorption effectiveness, and new product performance: The exploration of international joint ventures in China. International Business Review, 22(1): 216-227. http://www.corc.org.cn/handle/1471x/6497884
• Zahra, S. A. and G. Geroge (2002). Absorptive capacity: A review, reconceptualization, and extension. Academy of Management Review, 27(2): 185-203. https://doi.org/10.2307/4134351
• Zahra, S. A., Filatotchev, I., & Wright, M. (2009). How do threshold firms sustain corporate entrepreneurship? The role of boards and absorptive capacity. Journal of Business Venturing, 24(3): 248-260. https://doi.org/10.1016/j.jbusvent.2008.09.001
• Zhou, K. Z. and F. Wu (2010). Technological capability, strategic flexibility, and product innovation. Strategic Management Journal, 31: 547-561. https://www.jstor.org/stable/40587598