Factors promoting organizational innovation Research has shown that 3 main factors influence organisational innovation:

Behaviour of individuals Internal characteristics of organisation Extra-organisational factors (external market factors

Behaviour of individuals !here is significant evidence a participative and interactive leadership st"le promotes innovation Availability of change agents promotes innovation - internal or external individuals willing and a#le to drive innovation$ !his factor is particularl" important if "our organisation positivel" encourages such #ehaviour Willingness to change - tolerance of am#iguit" and uncertaint" in the #usiness environment ensures "our organisation is receptive to innovation$ %onversel"& '(elective perception' - the tendenc" to respond to possi#ilities within an esta#lished outlook will inhi#it innovation$

Internal characteristics of organisation Centralisation inhi#its initiation of innovation #ut ma" help implementation of innovation$ Formalisation generall" inhi#its innovation& although a formal mandate to innovate ma" stimulate innovation$ Complex structure is positivel" related to initiation of innovation& #ut negativel" related to implementation of innovation$ Investment inertia: 'sunk costs' can inhi#it innovation& 'too much invested to )uit' Positive organisational culture encompassing participation& freedom of expression and demanding performance standards promotes innovation$ * pro-innovation culture emphasises performance rather than st"le and status differences within the organisation

Organisational strateg"

%learl" defined vision and climate of excellence - promotes quality of innovation %ulture fostering perception of safet" #" individuals& (i$e$ expectation and+or accepta#ilit" to challenge status )uo Esta#lished norms for innovation - promotes quantity of innovation

Extra organisational factors Research has shown that organisations experiencing competition and "Environmental turbulence" - insta#ilit" and unpredicta#ilit" are more likel" to innovatei

Organisational innovation in companies

Organisational changes play an increasingly important role in innovation processes in companies in Luxembourg. This is the findings of a 2008 study by the Centre for Population Poverty and !ocioeconomic Policy !tudies. The research is based on data from the Community "nnovation !urvey covering the period bet#een 2002 and 200$ and relates to companies of different si%es and economic sectors #ith a base in Luxembourg.

About the study

In ,--.& the %entre for /opulation& /overt" and (ocioeconomic /olic" (tudies (%entre d01tudes de /opulations& de /auvret2 et de /oliti)ues (ocio-Economi)ues+International 3etwork for (tudies in !echnolog"& Environment& *lternatives& 4evelopment& %E/(+I3(!E*4 & in cooperation with the 5uxem#ourg %entral (ervice for (tatistics and Economic (tudies ((ervice central de la statisti)ue et des 2tudes 2conomi)ues& (!*!E% & carried out a stud" (in 6rench& 7$78# /46 examining the characteristics and relevance of organisational innovation in 5uxem#ourg-#ased companies$ !he anal"sis is #ased on data from the fourth %ommunit" Innovation (urve" (%I(9 conducted over the period ,--,:,--9 and coordinated #" Eurostat$ *ccording to the ;slo 8anual& pu#lished in 7<<= #" the ;rganisation for Economic %ooperation and 4evelopment (;E%4 in colla#oration with Eurostat& a compan" is regarded as technologicall" innovative if it introduces a production innovation and+or if it has developed a process innovation$ 3on-technological innovation is defined as the introduction of organisational changes and+or the implementation of new or significantl" improved marketing methods in the compan"$

Methodology
!he %I(9 surve" was conducted on a face-to-face #asis among a representative sample of >?. companies #ased in 5uxem#ourg& emplo"ing at least 7- workers and #elonging either to the manufacturing industr" or a selection of services sectors$ !he surve" aimed to collect data relating to innovation activities of companies in 5uxem#ourg$

Organizational innovation most widespread

;rganizational innovation is the most widespread form of innovation among companies in 5uxem#ourg$ In total& ><@ of the companies surve"ed report that the" have emplo"ed this form of innovation over the period ,--,:,--9$ Ahen comparing the surve" results #" sector& companies in services innovate more in the field of organisation (?7@ than companies in manufacturing (>,@ $ Bowever& an anal"sis of the surve" results #" compan" size reveals that =9@ of companies in industr" with over ,>- emplo"ees engage in organizational innovation& compared with 9,@ of those emplo"ing 7- to 9< staff (see ta#le $ Distribution o orms o innovation in companies! by sector and size "#$ %otal Manu acturing industry &ervices sector 3 2*, "').,$ ?? =93 == .7 'o( o employees +,-./ *,-2./ 3 2*, +,-./ *,-2./ "')***$ "sample size$ "')01$ "')02$ "')2*$ "')2,/$ "')++2$ %echnological innovation >3= 9, 79 9= >? >? ?? 3< =, .? .=9 37 =9 <, 9= >= 33 ?, =?3 =3 ,< =? .>

Organisational >< innovation Innovation related 3to mar4eting 'on5technological ?9 innovation 6lobal innovation =3

&ote' ($) of companies in industry #ith more than 2*0 employees practise organisational innovation. !ource' C+P!,"&!T+-. C"!$ 2002/200$

%ypes o organisational innovation

!hree t"pes of organisational innovation are considered in the surve": knowledge management& work organisation and the development of external relations$ Cnowledge management& which includes training& knowledge sharing& codification or storage and

flexi#le remuneration& is the organisational practice most widel" adopted #" companies (9=@ & regardless of whether the" engage in product and+or process innovation (6igure 7$ (ome 93@ of companies surve"ed have changed the wa" in which the" organise their work& #" introducing& for example& proDect groups& decentralised decision-making processes& Dust-in-time production or teamworking$ *lmost a )uarter of companies (,9@ have also introduced organisational changes that involved modif"ing or improving relations with external partnersE such changes included outsourcing& su#contracting& customer relations and formation of research networks$ Figure +7 Distribution o organisational innovation practices across companies "#$

(ource: %E/(+I3(!E*4& %I(9 ,--,:,--9 4istri#ution of organisational innovation practices across companies (@ *ll organisational practices com#ined& companies with over >- emplo"ees innovate more fre)uentl" than smaller ones: for instance& 3.@ of companies emplo"ing 7-:9< staff innovate in terms of work organisation& while the proportion for companies with more than >- emplo"ees amounts to over one compan" out of two$ ;f all the economic sectors surve"ed& companies in the wholesale sector are the most innovative in the area of knowledge management (?,@ $ ;ver half of companies in sectors such as financial intermediation& research and development (RF4 & architecture and engineering have also introduced such practices$

Aims and context o innovation

In general terms& regardless of the sector of activit" and compan" size& more than one in two companies introduce organisational changes with the aim of su#stantiall" improving

the )ualit" of their goods and services (>.@ & or reducing their turnaround time (>,@ $ Bowever& onl" one out of four companies report that the" have #enefited in terms of improved emplo"ee satisfaction (,?@ or reduced unit costs (7<@ $ In most cases& these organisational changes coexist with technological innovation& particularl" in a competitive context characterised #" strongl" fluctuating demand or products and services rapidl" #ecoming o#solete$

8erceived barriers to innovation

!echnologicall" innovative companies that have encountered significant #arriers during the innovation process are also more likel" to introduce innovations of an organisational t"pe than other companies$ (ome 7<@ of technologicall" innovative companies report that the" have encountered significant #arriers associated with cost (lack of finance or scale of innovation costs & 7>@ of such companies have experienced difficulties relating to knowledge (lack of )ualified personnel& lack of information a#out technolog" or difficult" in finding cooperation partners and ,-@ have experienced difficulties relating to markets (dominance of incum#ent operators and uncertaint" of demand $

Organisational innovation! 9:D and 4nowledge trans er or ac;uisition

In the course of an innovation process& the activities of technologicall" innovative companies are often associated with organisational innovation& particularl" where the" consist of external RF4 or the transfer or ac)uisition of other knowledge from external partners$ !he former refers to an" creative work performed #" other companies (including other companies within the same group & or other pu#lic or private research esta#lishments where the compan" purchases RF4$ !he latter relates to the purchase of rights to use patents and unpatented inventions& know-how and other t"pes of knowledge from other companies or organisations$ 3earl" <-@ of technologicall" innovative companies which have introduced external RF4 for their technological innovation activities have introduced organisational changes internall"$ !hese companies have made extensive use of knowledge management& as well as modif"ing and improving external relations : =9@ and =-@ of companies& respectivel" (6igure , $ Figure 27 Organisational innovation o companies! by involvement in innovation activities "#$

3ote: /roportions given of technologicall" innovative companies that have introduced organisational innovation activities$ (ource: %E/(+I3(!E*4& %I(9 ,--,:,--9 ;rganisational innovation of companies& #" involvement in innovation activities (@

<ommentary
!he stud" highlights that organisational innovation is the most widespread form of innovation among companies in 5uxem#ourg$ Cnowledge management and work organisation are the organisational practices most widel" adopted #" companies$ In general& enterprises in the services sectors innovate more fre)uentl" in the organisational field than those in the manufacturing industr"& and larger companies innovate more fre)uentl" than smaller ones$ In most cases& the organisational changes coexist with technological innovation& particularl" in a competitive context$ !echnologicall" innovative companies that have encountered #arriers during the innovation process are more likel" to introduce innovations of an organisational t"pe than other companies$ In the course of an innovation process& technologicall" innovative companies often link their activities with organisational innovation& particularl" where the" consist of external RF4 or the transfer or ac)uisition of other knowledge from external partners$ii Geroni)ue 4eBroeck& /revent *#out this document

ID7 5H-<-<-7<I Author7 Geroni)ue 4eBroeck Institution7 /revent <ountry7 5uxem#ourg =anguage7 E3 8ublication date7 -.--3-,-7&ub>ect7 ;rganisational change& !echnolog"& Aork organisation

Individual versus organisational innovation

Ahen attempting to improve creativit" in #usiness& there are two approaches which ma" #e taken& either individuall" or together: I34IGI4H*5 %RE*!IGI!I and ;RJ*3I(*!I;3*5 %RE*!IGI!I$ Individual creativit" is& of course& the creativit" of the individual$ Ever"one has what I call a creative comfort level which is #ased on their natural creativit" )uotient& their willingness to risk new ideas and their personalit"$ /eople can #e trained to think more creativel" and to appl" creative thinking strategies to various activities$ Bowever& "ou cannot push someone far #e"ond her creative comfort level without causing stress$ *nd stress is likel" to lead to reduced creativit"& unhappiness with the compan" and other pro#lems$ 5ikewise& naturall" creative people forced to work in an organisation that inhi#its creativit" will also #ecome stressed$ 3aturall" creative people have ideas all the time and like to share those ideas$ 8oreover& the" appreciate the recognition that is showered upon a good idea$ Baving their ideas ignored& criticised and #eing told to focus on the tried and tested rather than finding new approaches will onl" disillusion the creative thinker and cause stress$ ;rganisational creativit"& on the other hand& is the creative capa#ilit" of an entire organisation$ ;ne method of #oosting an organisationKs creativit"& of course& is #oosting the creativit" of the individuals within the organisation$ Hnfortunatel"& this is inefficient and will not succeed at all unless aspects of the organisationKs creative processes are also managed$ In order to #oost organisational creativit"& it is critical that the organisation create an environment that includes:

!rust$ Emplo"ees must trust management #efore the" will share ideas with management$ Emplo"ees must not feel their Do#s or their future prospects will #e threatened should the" propose a #ad idea$ Emplo"ees must feel the" will #e rewarded for sharing ideas with the compan" rather than have their ideas stolen #" the compan"$ *n environment that activel" encourages the sharing of new ideas$

Jood communications that ensure ever"oneKs voice is heard& ever"one can find out what is happening throughout the compan" and ever"one can share ideas across the compan"$ *n idea management structure that ensures good ideas are shared with the organisation& recognised and implemented for the organisation$

5ikewise& it is important for companies to recognise who their creative thinkers are and to take advantage of them$ %reative thinkers can lead : or at least participate in : creative teams that review pro#lematic issues within the organisation and propose solutions$ (I will look at creative teams in organisations in a future issue of Report 7-3 8oreover& creative thinkers should participate in creative teams dealing with issues outside their divisions$ HnpreDudiced #" the methodolog" of those divisions& creative thinkers will often #ring ver" new ideas to and new approaches to the divisions$ It is also important for companies to hire management from other industries than their own$ * car compan" hiring an executive with ,--3- "ears of experience in the car industr" can #e assured of hiring someone who knows the car industr"$ Hnfortunatel"& such a manager will #e #ringing tried and tested car industr" solutions to the compan"$ !here is nothing wrong with this$ But it is not innovative$ Better to hire some managers from completel" different industries$ * car compan" hiring managers from a film production compan"& fashion compan" and service compan" can #e assured of hiring managers with different wa"s of looking at issuesE people who might #e a#le to appl" operational ideas from other industries to the car industr"$ /eople who will #ring innovative approaches : at least from the perspective of the car industr"$ *nd it is onl" #" #ringing such new approaches that companies can out-innovate the competition$ iii

?ire @e reyA %he author o many o these articles is available to lead a wor4shop! acilitate a creative thin4ing session or spea4 at your eventA

Individual Innovation7 %he <onnection Between =eadership and EmployeesB Innovative Cor4 Behavior
*uthor info L *#stract L /u#lisher info L 4ownload info L Related research L (tatistics Author Info @eroen de @ong Abstract !his stud" contri#utes to the literature on individual innovation in two respects$ 6irst& this

stud" contri#utes to the measurement of individual innovation #" developing and empiricall" validating a multi-dimensional measure of innovative work #ehaviour$ (econd and most important& the stud" aims to improve our understanding of the antecedents of individual innovation #" investigating the impact of leadership$ Download Info %o download7 If "ou experience pro#lems downloading a file& check if "ou have the proper application to view it first$ Information a#out this ma" #e contained in the 6ile-6ormat links #elow$ In case of further pro#lems read the I4E*( help page$ 3ote that these files are not on the I4E*( site$ /lease #e patient as the files ma" #e large$ File D9=7 http:++www$entrepreneurship-sme$eu+pdf-ez+R,--?-9$pdf File Format7 application+pdf File Function7 Download 9estriction7 no
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4eterminants of innovative #ehaviour: a path model of individual innovation in the work place$
Abstract
!he present stud" integrated a num#er of streams of research on the antecedents of innovation to develop and test a model of individual innovative #ehavior$ B"pothesizing that leadership& individual pro#lem-solving st"le& and work group relations affect innovative #ehavior directl" and indirectl" through their influence on perceptions of the climate for innovation& we used structural e)uation anal"sis to test the parameters of the proposed model simultaneousl" and also explored the moderating effect of task characteristics$ !he model explained approximatel" 3= percent of the variance in innovative #ehavior$ !ask t"pe moderated the relationship #etween leader role expectations and innovative #ehavior$ v (ervices and organisational innovation !heme leader: Ian 8iles

Introduction
&ervice and Organisational Innovation is one of the InstituteKs five research platforms& where expertise has #een esta#lished over a long period$ *s well as #eing a maDor area of work& the Institute has #een pioneering this topic - which is now attracting interest all around the world& in academia& management and polic" circles$ Hntil recentl"& it was widel" #elieved that service sectors and firms (perhaps with exceptions at the #oundar" such as telecommunications were largel" laggards when it came to innovation& at #est adopting and adapting innovations from the manufacturing sector$ Aork from the 8anchester team has pla"ed a maDor role in ensuring that services innovation has now #een recognised as standing alongside goods and process innovation& and is increasingl" important in knowledge-#ased economies$ 8anchester researchers have provided advice on services innovation and related topics to man" governments and international organisations& and helped inform the new agenda$

&ervices Innovation

!he '(ervice (ector' is vast and disparate$ It includes transport and telecommunications& retail and real estate& finance and hospitalit"& computer services and consultanc" services (#oth within the #usiness services su#-sector & pu#lic and communit" services& and assorted recreational and artistic activities$ !he" have man" differences& for instance some su#-sectors feature the highest proportion of graduates (education& #usiness services$$$ while others have unusuall" high proportions of unskilled workers (hotels& retail$$$ $ (ome are extremel" active in terms of investment in new technologies (financial services& and technolog"-#ased #usiness services & others are relativel" uninvolved here$ !he" t"picall" do not produce tangi#le artefacts& and instead focus on effecting transformations in artefacts& in people& or in information and knowledge$ !he term 'service innovation' is often used to refer to innovation in these sectors$ * great deal of our own research in the 8anchester Institute of Innovation Research at 8B( has focused on firms in services sectors$ Ae have explored how innovation here differs from the patterns generall" descri#ed in the academic& polic" and management literatures on innovation& which until recentl" were ver" much dominated #" ideas #ased on the stud" of (high-tech manufacturing$ *part from demonstrating that some services are highl" innovative& we have shown that services innovation processes var" across su#-sectors$ !he technolog"-#ased services are not so dissimilar from high-tech manufacturing& #ut other sets of services operate in )uite different wa"s$ !here is& for instance& less focus on formal RF4 and on intellectual propert" tools like patents& though some service organisations do use these approaches$ !here is relativel" more emphasis on organisational innovation and factors such as staff and market development$ (ervices in general have poorer links to the 'science #ase' in universities& and much of their innovation occurs in an ad hoc& in-practice context$ 6or such reasons& their innovative activities often remain hidden$ But services are not confined to service sectors$ (ervices are produced and consumed within organisations of all t"pes - what we call #usiness services are simpl" firms who specialise in undertaking these activities for other organisations who do not wish to undertake them (entirel" themselves$ Increasingl"& we are learning of manufacturing and other non-service firms who actuall" find themselves delivering services to their clients& and who see that service )ualit" is an important element of competitive edge$ (ome manufacturing firms find themselves #ecoming service firms (this is common in the I! industr"& for instance & and others spin off some of their internal service operations& or engage in shared service facilities with other partners$ (ervice innovation& then& can concern organisations across the whole econom"$ It means that their managers - and those of us that attempt to stud" and measure innovation - have to #e aware of these changing foci for innovative effort& and the different sorts of knowledge and new approaches that ma" #e associated with them$ It is conventional to differentiate #etween product innovation and process innovation which& in this case& translates into service innovation ('new service development' and service process innovation$ But services are often characterised #" the close relationships #etween service producer and consumer& and even #etween the production of the service and its consumption (the two ma" #e more or less collocated& as when an artistic

performance is experienced $ !his means that we ma" need to think a#out rather different categories of innovation - in the deliver" of the service& in the client interface and service context (some service marketing specialists talk of 'servicescapes' & in the content of the service as well as in its form$ !he importance of such issues is highlighted #" the revival of interest in 'self-service' and 'user-generated innovation'& where important management strategies and pu#lic policies are involved - as well as challenges to conventional wisdom in innovation studies& productivit" measurement& and much else$ !hese challenges make the topic of service innovation one which is continuall" throwing up new issues for 8B( research$ !his research is simultaneousl" of interest to managers and polic"makers& as well as contri#uting at the cutting edge of scholarl" anal"sis$

MIOI9 &ervices 9esearch

(ervices arise as an issue in man" Institute research proDects& #ut some researchers have more of a focus on these issues than others$ Indeed& three professors have ver" longstanding interests in the field (in two cases over ,> "earsR and have made numerous international presentations on the topic$ @eremy ?owells has produced widel"-cited studies of intermediaries (especiall" RF4 services in innovation s"stems (work supported #" an E(R% fellowship with *IR!; and %ER*8 & and has contri#uted nota#l" to the anal"sis of service innovation traDectories with such notions as 'encapsulation' (introduced at an ;E%4 conference& ("dne"& ,--> $ Be chaired the E% Expert (teering Jroup producing the ;fficial %ommunication on Innovation in (ervices (,--?-= $ Bowells contri#uted su#stantiall" to the recent 4!I report on "nnovation in !ervices (,--= & in which a strong 8anchester influence is apparent$ Ian Miles first defined the term CIB( (Cnowledge-Intensive Business (ervices & and contri#utes research and consultanc" on these firmsK roles in innovation$ Bis research has #een funded #" the E%& B8!& 3E(!*& etc& and he provides expert advice to these #odies& the /8Ks (trateg" Hnit& and others internationall"$ Recent work has included anal"sis of the role of RF4 in services& pu#lic sector and 'creative sector' innovation& and of the paradoxes of productivit" growth in services$ Marcela Miozzo& whose taxonom" of innovating services is widel" cited& was scientific expert for E% 4J !rade (prioritising areas for the A!; J*!( negotiation $ 8iozzo has examined innovation& emplo"ment and growth in computer services firms& (with *nglo Jerman 6oundation& British *cadem" and 6/? support & and linkages of HC services multinationals with 54% firms (E(R% funded $ 8iozzo and 8iles have #egun to develop the topic of the relation #etween services internationalisation and innovation as a central concern$ In Sune ,--?& these researchers hosted an *I8-sponsored conference on Innovation in (ervices (>- international participants - 8anchester having hosted three international %RI% workshops on the theme& and the ,--, RE(ER conference on service innovation$

Ae plan to continue organising such meetings& and to launch summer schools and other training fora on the topic$ !he research methods used are extremel" diverse:

anal"sis of secondar" data (innovation surve"s& macrostatistics& #usiness data services organising our own surve"s interviews case studies workshops 6oresight approachesE and so on

4/hil and 8asters students work on complementar" topics$ ;ur future work will continue to explore new avenues for understanding how the variet" of service organisations and processes& the variet" of service innovations& and the structure of services innovation management and innovation s"stems are intertwined and how this is evolving as service activities #ecome ever more intimatel" intertwined with knowledge-#ased and glo#alising economies$

Main ;uestions and directions or uture wor4

Measurement o Innovation
!he )uestion of whether new t"pologies of innovation are re)uired to deal with service innovation is still open$ Garious suggestions have #een made as to taxonomies that include& for instance& service concept& deliver" innovation& customer interface and servuction& in addition to the standard& more technolog"-#ased& t"pes of innovation - or more precisel"& dimensions of innovation& since man" innovations com#ine one or more of these categories $ ;ne class of innovation that ma" prove particularl" pro#lematic& #ut that is hugel" economicall" and sociall" significant& is innovation in content (in creative sectors - #ut also in areas like management consultanc" and in aesthetic design (in experience industries like sports and conference venues& for instance $ Sust ike other (features of products+services& there are specialised tools to help producers generate content and aesthetics$ !here is a cacophon" of terminolog" to understand genres& tropes& novelt"& and so on& hereR In general the non-technolog" components of service innovation are important to consider$ Ae see from %I( and Inno#arometer that there is a tendenc" for some services to emphasise these (though the two sets of surve" data give rather different reports as to the scale of this $ Bow to #etter understand and assess the social-organisational and other

aspects that make service innovations create value and have impactQ Bow can we s"stematicall" classif" and measure inter as well as intra-organisational innovation (%I(9 has made a start on the latter & social innovation& design innovation&and other classes of innovationQ !hese are commonl" (#ut not alwa"s intimatel" tied to technological innovation$ Bow can we understand their contri#ution& and the wa"s in which the com#ination of different t"pes of innovation is #eing effected& drawing on what com#inations of knowledge& put together howQ (ervice industries are performing differentl" in different economies$ !he comparative s"stems literature has focused on manufacturing& with little attempt to examine socioeconomic features that characterise diverse service sectors$ !here is a need to understand the reasons #ehind these differences and to develop strategies for future improvements in performance at national levels and at a European scale in competition with other regions$ !his re)uires attention to the following )uestions:

Bow is high performance in services to #e assessed and measuredQ Bow to assess productivit"& contri#ution to comparative advantage+innovation+growth+ emplo"ment+sustaina#ilit" in servicesQ Ahat are the institutional arrangements at European& national and su#-sectoral level - including #usiness& innovation and emplo"ment s"stems - that ma" #est support high-performing servicesQ

Management o Innovation

Bow do service organisations (of different t"pes manage innovation processes in practiceQ (Ahat can we esta#lish from existing surve"s and case studies& what is missing from these& how can the" #e improvedQ Bow do these organisations capture intelligence on innovation so as to make it more reproduci#le (this ma" #e referred to as 'knowledge management' and wh" is this apparentl" often lackingQ Bow can matters #e improvedQ Ahat is the role in services of traditional innovation activities (RF4& design& sourcing information from professional networks and from contract research and universities& ac)uiring e)uipment and software& training$$$ Q Ahat other mechanisms and practices are involvedQ *re there factors here that need to #e conceptualised (for instance& to do with organisational and 'content' innovations (eg in creative industries Q Bow are these activities planned& implemented& monitored& evaluatedQ *re there roles for #etter polic" support& #etter metrics& etcQ

!he role of clients in the co-production of services and service innovations needs to #e examined and conceptualised$ !he client is often especiall" critical in services innovation& so )uestions arise a#out:

Bow to understand and assess the role of clients in innovation processes& to measure the co-production of innovations& the exchange and fusion of knowledge that goes on hereQ

Bow to understand and assess the 'impact' of innovation on service firm& client& and the service-client relationshipQ Bow to understand changing division of la#our #etween the client and provider (as exemplified #" self-service and user-driven innovation strategies& and as confronted in make-vs-#u" choices Q

8anagement and decision-making issues do not solel" arise in the service organisation& in man" of these cases$ !his means that further )uestions arise concerning client decisions as to evaluating service propositions (especiall" given the difficult" of assessing services in advance of their production & and estimating the inputs re)uired from the client (how is risk assessed and sharedQ Bow is trust esta#lished in innovation contextsQ Bow do customer perceptions of proDect success var" during the course of one or more services engagement (and associated learning effects Q

&ystems o Innovation
(ome )uestions here include:

Ahat is the linkage of services into innovation s"stems and into communities of practice constituted around #oth technological and+or non-technological innovationsQ *re these distinctive (eg the professional communities around some service activities pla" a prominent role in diffusing #est practice - #ut is not the same true for professional associations in engineering& etcQ and wh"Q Ah" do some services appear to #e relativel" poorl" linked& is this a #arrier to their innovationQ *re new communities and institutions #eing forged for the services econom" (rapidl" and ade)uatel" enough Q

8ore institutionall"& there are issues such as:

Ahether and when intellectual propert" rights help incentivise creation and capture of value - or hinder service innovation$ /atenting in services has gathered a little attention& other modes of service innovation I/ and trade secrets - and appropriation mechanisms - should also #e examined& as well as I/ that cannot #e ade)uatel" protected toda"$ Exploring& explaining& and ela#orating efforts to esta#lish 'service science' and service engineering practice$

&ome recent MB& publications in the area

Boo4s

*ndersen B& S Bowells& R Bull& I 8iles& and S Ro#erts (eds ,--- Enowledge and Innovation in the 'ew &ervice Economy %heltenham& Elgar

Boden 8 and I 8iles (eds ,--- &ervices! Innovation and the Enowledge Economy 5ondon& %ontinuum 8etcalfe ( and I 8iles (eds (,--- Innovation &ystems in the &ervice Economy 4ordrecht: Cluwer 8iozzo& 8$ and 4ewick& /$ (,--9 Innovation in <onstruction7 A European Analysis& %heltenham: Edward Elgar$ 8iozzo 8 and 4 Jrimshaw (,--? eds Enowledge Intensive Business &ervices7 Organizational Forms and <ountry Institutions& %heltenham& Elgar 8iozzo 8 and I 8iles (eds (,--, Internationalization! %echnology and &ervices %heltenham& Elgar

@ournal articles and boo4 chapters

%unningham /& % Jrant-/earce& 5 Jreen& I 8iles& E H"arra& ,--> TIn (ickness& in Bealth and in Innovation: 3B( 4IRE%! : a health sector innovation stud"U Administration >3 (3 & pp 9,-?> Bowells& S$ (,--7 K!he nature of innovation in servicesK in ;E%4 (Eds$ Innovation and 8roductivity in &ervices ;E%4& /aris& pp >>-=< Bowells& S$ (,--3 'Barriers to innovation and technolog" transfer in services: firm level and polic" issues in a glo#al context' Asia 8aci ic %ech Monitor ,(3 & pp ,<-3>$ S Bowells& B !ether& 4 %ox and S Rig#" (,--? 'Information !echnolog" Research in the HC: perspectives on services research and development and s"stems of innovationU &cience and 8ublic 8olicy& 33 (7 S Bowells (,--9 'Innovation& %onsumption and (ervices: encapsulation and the com#ination role of services' %he &ervice Industries @ournal& ,9& pp 7<-3 8artinez %& and I 8iles ,--?& TInside the software firm: co-production of knowledge and CI(* in the innovation processU International @ournal o &ervices %echnology and Management& = (, & pp 77>-7,> ( 8assini (,--9 '!he 4iffusion of 8o#ile !elephon" in Ital" and the HC: an empirical investigation'& Economics o Innovation and 'ew %echnology& 73 (3 & pp ,>7-,== ( 8assini& * I 5ewin& B R Jreve (,--> TInnovators and imitators: ;rganizational reference groups and adoption of organizational routinesU 9esearch 8olicy& 39 (7- & pp 7>>--7>?< 8iles I& B *ndersen& 8 Boden F S Bowells (,--- T(ervices /rocesses and /ropert"U International @ournal o %echnology Management& ,- (7-, & pp <>77> 8iles I& (,--- T(ervices Innovation: %oming of *ge in the Cnowledge-Based Econom"U International @ournal o Innovation Management 9 (9 & pp 3=7-3<8iles I& ,--9 TInnovation in (ervicesU chapter 7?& pp 933-9>. in San 6ager#erg& 4avid 8ower"& and Richard 3elson (eds %he Ox ord ?andboo4 o Innovation ;xford: ;xford Hniversit" /ress& ,--9 I 8iles (,--> UCnowledge Intensive Business (ervices: /rospects and policiesU Foresight = (? & pp 3<-?3

I 8iles (,--= TRF4 #e"ond 8anufacturing: the strange case of services0 RF4U 9:D Management! 3= (3 & pp ,9<-,?. 8iles I& ,--= TCnowledge-Intensive-(ervices and Innovation T %hapter 7? in Sohn Br"son and /eter 4aniels& %he ?andboo4 o &ervice Industries 8iozzo& 8$ and Ramirez& 8$ (,--3 V(ervices innovation and the transformation of work: the case of HC telecommunications0! 'ew %echnology! Cor4 and Employment& 7. (7 & pp ?,-= 8iozzo& 8$ and (oete& 5$ (,--7 VInternationalisation of services: a technological perspective0& %echnological Forecasting and &ocial <hange& ?= (, & pp 7><-7.> 8 8iozzo and 4 / Jrimshaw (,--> '8odularit" and innovation in knowledgeintensive Business (ervices: I! outsourcing in Jerman" and the HC'& 9esearch 8olicy& 39 (< & pp 797<-793< 8 8iozzo and 4 / Jrimshaw (,--= '(ervice 8ultinationals and 6orward 5inkages with %lient 6irms: the case of I! outsourcing in *rgentina and Brazil'& International Business 9eview& 7? (? & ,--= * /ettigrew and ( 8assini& (,--3 TInnovative forms of organizing: trends in Europe& Sapan and H(* in the 7<<-sU in: *$8$ /ettigrew& R$ Ahittington& 5$ 8elin& %$ (anchez-Runde& 6$ van den Bosch& A$ Ruigrok and !$ 3umagami& eds& Innovative Forms o Organizing7 International 8erspectives& (age& 5ondon (,--3 !ether B (& % Bipp F I 8iles$ ,--7 '(tandardisation and /articularisation in (ervices: evidence from Jerman"U 9esearch 8olicy& 3-& pp 77>-773.

Other 8ublications

6hJ-I(I& /RE(!-%RI%& 3R-I(/RI and !H Bam#urg-Bar#urg (,--3 8atents In %he &ervice Industries Carlsruhe& 6hJ-I(I Institute of Innovation Research& (,--3 Enowing ?ow! Enowing Chom7 A &tudy o the =in4s between the Enowledge Intensive &ervices &ector and %he &cience Base& I;IRE Report to the %ouncil for (cience and !echnolog" 8iles I& ,--7 Enowledge Intensive Business &ervices 9evisited 3iDmegen (chool of 8anagement& Hniversit" of 3iDmegen& &i0emegen lectures in "nnovation 1anagement no 8 I(B3 <- ?,7> =.. , 9=pp 8iles I& ,--7 &ervices Innovation7 A 9econ iguration o Innovation &tudies Hniversit" of 8anchester: /RE(! discussion paper 4/-7--> 8iozzo& 8$ and Aalsh& G$ (,--? International <ompetitiveness and %echnological <hange& ;xford: ;xford Hniversit" /ress /RE(!& !3;& (ERGI5*B& *R%( (,--? WI8 main authorX ,--?& %he uture o 9:D in services7 implications or ED research and innovation policy& Brussels& European %ommission 4J Research ((F! 6oresight Hnit 4irectorate C Hnit C,& EHR ,7<>< I(B3 <, =< -7,-< ? RE3E(ER (proDect participants from 4ialogic& HtrechtE 8IoIR& 8anchesterE (ervila#& 8adridE I*;& (tuttgart (,--? 9esearch and Development 'eeds o Business 9elated &ervice Firms 4elft: 4ialogic innovatie F interactie

!ether B& %hristiane Bipp F Ian 8iles& 7<<< &tandardisation and &pecialisation In &ervices7 Evidence From 6ermany %RI%& Hniversit" of 8anchester& 4iscussion /aper no 3- ;cto#er 7<<< !ether B& I 8ilesE C Blind$ % BippE 3 de 5iso and J %ainelli ,--,& Innovation in the &ervice &ector7 Analysis o Data collected under the <I&2 Hniversit" of 8anchester& %RI% Aorking paper no 77 I(B3 7 .9-, --?M (Hnattri#uted& I8 sole author (,--> &ector Futures 5 %he 4nowledge5 intensive business services sector European 8onitoring of %hange %entre& European 6oundation& 4u#lin vi

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