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International transfer of organizational innovation

A report on the "International transfer of organizational innovation" has recently been published by the European Innovation Monitoring System (EIMS). The report, prepared for EIMS by an international team coordinated by the Institute for Management of Innovation and Technolog...
A report on the "International transfer of organizational innovation" has recently been published by the European Innovation Monitoring System (EIMS). The report, prepared for EIMS by an international team coordinated by the Institute for Management of Innovation and Technology (IMIT) in Sweden, examines in greater depth the importance and character of the phenomenon of organizational innovation.

The research team carried out a survey of the transfer of organizational innovation at international level, investigating specific cases in various countries (Canada, Germany, Italy, France, Japan, Spain, Sweden, UK and the USA).

Among other things, the study highlights the following points:

- Organizational innovation is an economic growth factor in itself which, over and above pure product or process innovation, can contribute to the competitiveness and success of a firm and to the development of a regional or national economy;

- Organizational innovation is often a prerequisite for rapid growth of a firm. Such growing firms constitute an important market for products based on new technology;

- Organizational innovation may provide the motivational and social conditions in a firm which are necessary conditions for future technological innovation. Also, organizational innovations are, as a rule, a necessary condition for the successful exploitation and marketing of a technological innovation;

- Organizational innovation in a firm from a certain country may form the platform for a global expansion of that firm.

The processes of technological and organizational innovation share surprisingly many characteristics. However, social agents such as industry bodies (eg. associations promoting total quality management), consultants, and top management have important roles to play in bringing organizational innovation about. It is more unclear if and how policy-makers can influence the path of technological innovation. The possibilities and methods for achieving organizational innovation are probably more accessible. The pay-off for efforts to promote and facilitate organizational innovation can therefore be substantial - especially considering the large amount of public support aimed at technological development. The report notes that even marginal efforts for promoting organizational innovation may prove worthwhile.

Source: European Commission, DG XIII

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