Quantifying Open Innovation: A Machine-Learning Textual Analysis Approach

This study investigates how the open innovation paradigm influences firm performance by synthesizing the existing literature on open innovation and firm performance. This study provides a better understanding of the concept of open innovation based on the current literature. The selection criteria were executed by the PRISMA article selection process linking open innovation and firm performance, published in peer-reviewed journals from 2015 to June 2021. The search string was tailored by Ebsco host, Elsevier, Emerald Insight and Sage publishers considering the inclusion and exclusion criteria. The descriptive method was used to analyze the selected articles. Numerous studies investigated that open innovation positively impacts firm performance, and few researchers demonstrated that open innovation has a U-shaped relationship with firm performance. Some studies discovered negative and mixed results on open innovation and firm performance. Due to the contradictory findings, more investigations on open innovation and firm performance are needed and this review produces knowledge for both practitioners and policymakers to implement their roles effectively. Especially these findings are significant for future researchers to identify the key areas that need to be investigated in the field of open innovation.

To successfully implement open innovation, it is essential for firms to build close relationships with external innovators. Although many studies have suggested that relational governance, also known as social control, can effectively manage inter-organizational relationships, the role of relational governance on firms’ open innovation remains equivocal. Using a survey of 318 manufacturing firms from China, this study used a conditional process model to analyze the interplay of relational governance, open innovation, and firms’ innovation performance and examine the influence of environmental dynamism. The results demonstrate that relational governance has a positive impact on firms’ open innovation (both inbound and outbound) and innovation performance. We also found that open innovation mediates the association between relational governance and firms’ innovation performance. A high level of environmental dynamism enhances the indirect effect of relational governance on firms’ innovation performance through open innovation. These findings help clarify the interaction between relational governance and open innovation. They also deepen understanding of the value co-creation principle of open innovation.

Open innovation (OI) is one of attractive concepts in innovation management literature. Many firms have been investing their resources and efforts into activities and development programs along with the OI concept to improve their innovation performance. The fundamental of OI concept relies on making the best usage of innovation through either integrating external complementary resources with internal ones or commercialising unused internal technologies to the market or both. Hence, the value creation and value capture in OI involve partnering firms with the perfect blend of complement traits and compatible ones. Given multiple choices of alliances in a technology market, managers are however vulnerable to a risk of selecting inappropriate partners especially external ones. The consequences possibly lead to unsmooth coordinations and failures in the OI activities and projects. Drawing on OI literature, this article presents the understanding of complementarity and compatibility dimensions and discusses the roles of managers in determining the appropriateness of external partners.

Open Innovation gains a wide spread attention in technology management research in recent years. Because existing research about the relationship between outbound open innovation and innovation performance is limited and context factors are ignored in existing research and based on Chesbrough’s open innovation model and theory of enterprise competence, this study introduces enterprise competence and knowledge spillovers into the field of outbound open innovation, explores their moderated roles between open innovation and innovation performance. We use high-tech firms as research sample to test the hypothesis that we proposed and find that: (1) outbound open innovation has a positive effect on innovation performance; (2) both enterprise competence and knowledge spillovers moderate the relationship between outbound open innovation and innovation performance. These conclusions have important implications for the development and application of open innovation theory.

Against the backdrop of sustainability, open innovation has been widely adopted by various businesses. Within scholarly communities, how corporate openness affects innovation performance has also become a focal topic. Nevertheless, existing literature has not carried out an in-depth exploration of the intrinsic mechanisms that link openness to open innovation performance. To illustrate how corporate openness affects open innovation performance, this research intends to incorporate knowledge management capability and organizational learning as dual mediating variables. This study utilizes several research methods, including SEM analysis and Bootstrap testing, to confirm the relevant hypotheses. The findings reveal that openness and open innovation performance are mediated by external and internal knowledge management capability. In the same vein, the relationship between the two is also mediated by explorative learning and exploitative learning. Furthermore, two dual-chain mediating paths enable openness to improve open innovation performance, namely “external knowledge management capability—explorative learning” and “internal knowledge management capability—exploitative learning”. By establishing a chain mediation mechanism of “capability-learning-performance”, this study delivers a more holistic theoretical structure for deciphering the mechanisms that shape open innovation performance, in turn propelling theoretical advancements within this domain.

There is growing interest in the role of strategic human resource management (SHRM) in managing employees and supporting their capacity for innovation in high‐tech firms. In this paper, using dynamic capabilities theory we examine the role of SHRM in supporting open innovation (OI) performance of employees in four US multinational technology firms. We introduce OI mindset as a new concept that is critical for organisations engaging in OI and conceptualise it as consisting of values, attitudes, and beliefs that capture an individual’s openness towards knowledge sourcing and sharing inside and outside organisational boundaries. We examine the mediating role of OI mindset on the relationship between SHRM and OI performance. Our results confirm three hypotheses and that OI mindset mediates the relationship between SHRM and OI performance. These findings demonstrate the utility of OI mindset and the important role of SHRM in predicting OI performance. We draw implications for theory and HR practice in the Asia‐Pacific region.

Empirical work on the causes and effects of inventive activity has had difficulty in finding measures that can indicate when and where changes in either inventive inputs or inventive output have occurred. The recent computerization of the U.S. Patent Office's data base may prove helpful in this context, but there is the problem that a priori we do not know the relationships between patent applications and economically meaningful measures of these inputs and outputs. To help solve this problem, this paper investigates the dynamic relationships among the number of successful patent applications of firms, a measure of the firm's investment in inventive activity (its R & D expenditures),\tand an indicator of its inventive output (the stock market value of the firm).

While confronting a multitude of internal and external challenges, public service organizations are consistently subjected to greater expectation and public scrutiny to perform. As such, previous studies have suggested that innovation could play important roles in enhancing the performance of public service organizations, especially by leveraging external resources and capabilities through open innovation. Despite the promise of how advantageous open innovation is, there is conflicting evidence of its impact on organizational performance. Therefore, this study was conducted to investigate the relationship between open innovation and organizational performance in the context of public service organizations. Through a survey questionnaire collected from 112 out of 155 local authorities in Malaysia, quantitative data were analyzed using PLS-SEM in the SmartPLS 4 software to test hypotheses of this study. The results suggest that while open innovation has a significant positive effect on organizational performance, the relationship was not moderated by the type of innovation. The findings of this study provide some new insights into the impact of open innovation on organizational performance, particularly in the public sector. Nevertheless, it is recommended for future research to investigate the specific impacts of different open innovation activities or types on performance in a more diverse context.

Abstract. Companies increasingly leverage social media tools to access knowledge from external actors, particularly customers and other users, to facilitate innovation processes and corporate performance. Little empirical research has investigated the impact of external knowledge sourced through social media. This research aims to analyze the influence of human capital on open innovation and business performance through social media. This research was conducted on MSMEs in Padang City, West Sumatra, Indonesia. The sample was 200 MSMEs in Padang City. The sampling technique is purposive sampling. The quantitative method is then processed and analyzed using Structural Equation Modeling (SEM) data analysis techniques with smartPLS. This research examines how external knowledge flows of human capital sourced from social media influence open innovation and business performance. The findings in this research are that there is a positive and significant influence between human capital on business performance, human capital on open innovation, human capital on social media, and social media on open innovation. On the other hand, social media does not have a positive or significant influence on business performance. This research also shows the role of social media as a mediator of the positive and significant relationship between human capital and open innovation. Meanwhile, social media fails to mediate the relationship between human capital and company performance. Overall, these findings underscore the importance of human capital in enhancing open innovation through social media, thereby impacting firm performance. Keywords: Human capital, social media, open innovation, business performance

Relationships between external knowledge, internal innovation, firms’ open innovation performance, service innovation and business performance in the Pakistani hotel industry

The development of digital technology has encouraged the adoption of Augmented Reality (AR) as a strategic innovation in various industries, but its application in Indonesia remains limited due to low awareness and a lack of an integrated innovation strategy. This research aims to develop a strategy to strengthen AR technology through the integration of the Stimuli-Organism-Response (SOR) model, the concept of Open Innovation (OI), and Organizational Performance (OP), with a case study on PT. X in the city of Bandung. A mixed methods approach was applied, combining qualitative and quantitative analysis using the Fuzzy Analytical Hierarchy Process (F-AHP) method to determine the priority of the strategy, as well as Partial Least Squares Structural Equation Modeling (PLS-SEM) to test the relationships between variables. The results showed that stimuli in the form of interactivity, augmentation, and AR aesthetics had a significant influence on internal organizational factors (organisms) and subsequently affected user behavioral responses, including reuse intentions. Meanwhile, open innovation plays an important role in strengthening organizational competitiveness through external collaboration, with inbound innovation being the most dominant factor. The research also resulted in three main strategies: improving interactive features and user experience, developing high-quality visual content, and strengthening collaborative networks through open innovation. The integration of SOR, OI, and OP models has proven effective in shaping a holistic, data-driven AR development strategy. The conclusion states that this approach can increase the adoption of digital technology and make a real contribution to organizational performance and digital economic growth in Indonesia.

Open Innovation remains the process of enabling inflow and outflow of knowledge, ideas, design, plus technologies throughout the organization during the various stages of the innovation process. This Innovation consists of inbound and outbound open innovations, whereby inbound open Innovation is the influx of knowledge, while outbound open innovation remains the outward flow of knowledge. Previously, studies related to open innovation have only focused specifically on the business world, the industrial sector while less focused on strategy and its implementation in the education sector. This study aims to fill this gap by studying open innovation in ordinary day secondary schools due to their significant contribution to development Malaysian education. Based on an open innovation model and a theory of views based on resources, this study will analyse the role of open and innovative innovation activities government support in determining the innovative capabilities of secondary schools. In this conceptual paper, the author develops the conceptual model that will be used in further research activities in education sector and will contribute to a better understanding of open innovation activities and their practices in secondary schools in Malaysia.

PurposeDespite the importance of top management team (TMT) gender diversity in a firm's strategic decisions and the high degree of innovation activities that several firms have experienced in recent years, little or no research has examined how TMT gender diversity affects a firm's open innovation decision. The authors examine how TMT gender diversity impacts firms' open innovation activities. The authors further examine how this impact is affected by women executives' personal attributes and institutional conditions.Design/methodology/approachThe sample comprised of 62,745 firm-year observations (9,831 firms) from 25 countries from 1990 to 2010. The authors employed the system generalized method of moments (GMM) estimation technique to estimate the results.FindingsEmploying novel panel data on co-owned patents across 25 economies, the authors find that proportion of women in TMTs has a positive impact on open innovation activities. Moreover, the authors find that women managers' power and institutional gender parity strengthen the association between gender diversity and open innovation.Practical implicationsThe findings of this study indicate that firms committed to optimizing their open innovation policies and practices should include women in TMTs and create such conditions that are supportive for women executives to effectively express their innate inclinations. Importantly, our study supports the business case for gender diversity in top leadership positions by providing a compelling evidence for the positive impact of TMT gender diversity on open innovation.Originality/valueThis study contributes to the gender diversity literature by showing how women leaders' values and character become embedded in their companies' strategy and present empirical evidence that having women in TMTs increase the likelihood of conducting open innovation. Further, the authors show how women executives' power and institutional level gender parity provide boundary conditions that moderate the relationship between TMT gender diversity and open innovation.

The capacity to innovate has grown to be a major obstacle in the corporate environment in the digital age. For technology-based small and medium-sized enterprises (SMEs), open innovation provides a strategic and cultural means to improve their innovation capacity by using internal and external ideas, resources, and technical knowledge-how. Although earlier studies have examined how open innovation affects big businesses, there is a great knowledge vacuum on how open innovation and strategic orientation affect innovation performance in SMEs, especially in underdeveloped countries. This research fills this need by investigating in Costa Rican technology-based SMEs the link between open innovation, strategic orientation, and inventive performance using a quantitative, cross-sectional methodology. The research supports the suggested hypotheses using Cronbach’s alpha and statistical models, showing that strategic orientation and open innovation favorably affect inventive performance. The results add to the state of the art by giving empirical data from a developing economy setting and pragmatic advice for SMEs trying to improve their capacity for innovation in a fast-changing digital environment. Received: 14 January 2025 | Revised: 15 April 2025 | Accepted: 4 July 2025 Conflicts of Interest The author declares that he has no conflict of interest in this work. Data Availability Statement Data sharing is not applicable to this article as no new data were created or analyzed in this study. Author Contribution Statement Gabriel Silva-Atencio: Conceptualization, Methodology, Validation, Investigation, Resources, Data curation, Writing – original draft, Writing – review & editing, Visualization, Supervision, Project administration, Funding acquisition.

This study discusses the trust-driven mechanism of open innovation under intellectual property cooperation. The paradox of openness is a prominent problem in open innovation, reflected as the paradox of openness of intellectual property rights in intellectual property cooperation. Based on the sample data of 400 open innovation enterprises in China, this study analyzes the optimization mechanism of trust on open innovation performance through structural equation model. It incorporates intellectual property rights into the research framework, to provide theoretical support for driving open innovation. The results show that trust guarantee contributes to the optimization of trust mechanism, and the two jointly drive the governance of open innovation paradox, thus improving the performance of open innovation. However, competence trust cannot promote the protection of enterprise intellectual property, and reputation trust cannot facilitate the transformation of enterprise intellectual property.