• Title/Summary/Keyword: Absorptive Capacity

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The Role of Operational Absorptive Capacity on Supply Chain Risk

  • Jeong, EuiBeom
    • Journal of Korea Society of Industrial Information Systems
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    • v.26 no.6
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    • pp.61-80
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    • 2021
  • As the business environment becomes more rapid and unpredictable change, greater diversity, increased complexity, and intensified competitive pressures, supply chain risk management has been growing attention over the past several decades. However, little of known about how absorptive capacity can mitigate supply chain risk for improving operational performance despite its important role in responding to supply chain risk. Therefore, we aim to examine the role of organizational-level absorptive capacity on operational performance, and further identify how the interplay of individual-level and organizational-level absorptive capacity results in operational performance. Our results represent not only direct but also indirect effects of supply chain risk on operational performance, mediated by organizational-level absorptive capacity. Furthermore, this study reveals that individual-level absorptive capacity enhances the effect of organizational-level absorptive capacity on operational performance.

The Effect of IT Human Capability and Absorptive Capacity on Knowledge Transfer

  • Park, Joo-Yeon
    • Journal of Information Technology Applications and Management
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    • v.15 no.3
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    • pp.209-225
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    • 2008
  • The purpose of this study is to examine the relationship between IT human capability and knowledge transfer and the role of absorptive capacity between them. From the test of both measurement and structural model using Partial Least Squares (PLS), IT human capability is found to be significant to absorptive capacity and knowledge transfer. Absorptive capacity is also significantly related to knowledge transfer. The interesting result found in this study is that the path of absorptive capacity drawn from IT human capability to knowledge transfer is stronger than the direct relationship between IT human capability and knowledge transfer, indicating that absorptive capacity plays an important role in knowledge transfer. This result indicates that IT personnel with stronger technical skill, interpersonal skill and management capability are more likely to acquire and learn knowledge effectively from outside expertise. Moreover, this study shows that absorptive capacity, the individual’s ability to utilize external knowledge is derived from IT human capability and strongly effects on transferring knowledge from outsourcing vendors. This study suggests IT related managers that the development of IT human capability and absorptive capacity should be recognized for a successful exploitation of outside knowledge within a firm. It is also a necessary condition for a successful IT implementation and maintenance independently and economically from outside vendors.

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Absorptive Capacities of CoP Members and Their Performances (실행 공동체 구성원의 흡수능력과 공동체 성과간의 관계)

  • Suh, Hyunju
    • Knowledge Management Research
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    • v.15 no.1
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    • pp.1-19
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    • 2014
  • Absorptive capacity is an ability to acquire, assimilate, transform, and apply external knowledge. Since the objectives of communities of practice(CoPs) are to share task-related knowledge and to apply it to operations, individual absorptive capacities of CoP members are one of the most important success factors of CoPs. The study examined the structural relationship among three groups; antecedents of absorptive capacity, absorptive capacity, and the performance of CoPs. The findings are as follows; Goal interdependence, reciprocal altruism, coordination mechanism and socialization mechanism had significant and positive effects on absorptive capacity. In addition absorptive capacity had significant and positive effects on goal attainment and knowledge application of CoP.

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Effects of Absorptive Capacity on Innovation Performance: Evidence from Small and Medium Enterprises in Vietnam

  • NGUYEN, Dan Thi Thanh
    • The Journal of Asian Finance, Economics and Business
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    • v.9 no.6
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    • pp.139-149
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    • 2022
  • The article investigates the impact mechanism of absorption capacity (potential absorptive capacity - PAC and realized absorptive capacity - RAC) on the innovation efficiency of enterprises through the intermediate variable of dual innovation (exploratory innovation- INOR and exploitative innovation- INOI), based on the actual situation of Vietnam's small and medium enterprises (SMEs). A survey of Vietnam's SMEs was conducted from August 2020 to April 2021. The data was collected through interviews and questionnaires, and 146 valid questionnaires were received. The following results were acquired using SPSS 20.0 software to do correlation and regression analysis of data results.: The results show that the absorptive capacity of enterprises has a positive impact on innovation performance and dual innovation acts as a mediator in how absorptive capacity affects innovation performance. This study deepens the understanding of how absorptive capacity affects innovation performance and provides important new evidence for developing absorptive capacity and dual innovation in both theories and practice in Vietnam's SMEs. The study also proposes several solutions and recommendations to help Vietnam's small and medium enterprises improve their innovation capacity, competitiveness, and performance.

Enhancing organizational commitment and job involvement through self-directed learning and absorptive capacity (조직구성원의 자기주도학습능력이 흡수능력과 정서적 몰입 및 직무몰입에 미치는 영향)

  • Chang, Tae-Won;Hong, Ah-Jeong
    • Knowledge Management Research
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    • v.12 no.2
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    • pp.17-34
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    • 2011
  • As organization's success depends on how much employees are active in recognizing new knowledge and transform into organization's value, this study is to examine the influence of employees' self-directed learning capacity on organizational absorptive capacity, organizational commitment and job involvement. The study has shown that managerial level employees have high level of self-directed learning capacity, and employees who have such high level capacity also shown to have high level of absorptive capacity and organizational affective commitment and job involvement. There were static correlations between all the variables, and absorptive capacity has a complete meditated effect on each variables. Hence, in order to enhance absorptive capacity, organizations should put their effort to develop employees' self-directed learning capacity, which will not only improve individual competency but also lead to organization's success in this competitive global market.

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The Impact of Existing Relationship and IT-based collaboration activities on the Performance of Supply chain: Focused on Absorptive Capacity (공급 사슬 참여 기업간 기존 거래 관계와 IT 기반 협업 활동이 공급 사슬 성과에 미치는 영향: 흡수 역량을 중심으로)

  • Lee, Won Jun;Bock, Gee-Woo;Kang, Youn Jung
    • Knowledge Management Research
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    • v.19 no.4
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    • pp.77-98
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    • 2018
  • The purpose of this paper is examine the existing relations structure and IT use for collaboration activities on supply chain and their impacts on the performance of supply chain. This study made a design of the research model that was further constructed by integrating the relationship structure, IT exploration, IT exploitation, supply chain collaboration, absorptive capacity, and knowledge creation, efficiency and efficient. The survey data were collected from 378 companies, where firms are facing increased global competitive pressure and heavily utilize SCM to retain their competitive advantages. The authors validated a measurement model with structural equation modelling and tested eight hypotheses. As a result, the absorptive capacity was closely related to trust, IT exploitation and IT exploration, but supply chain collaboration. Examining the effect of supply chain collaboration with two types of absorptive capacity, the authors found positive effect on potential absorptive capacity, but a non-significant effect on realized absorptive capacity. This finding suggests that the improving performance of supply chain not only is related to the relations structure and IT use on supply chain, but also is closely related to the absorptive capacity.

Effects of Absorptive Capacity on Technology Innovation and Commercialization Capacities and Management Performance (흡수역량이 기술혁신역량 및 기술사업화 역량과 경영성과에 미치는 영향)

  • Kim, Young-Ki;Park, Seong-Taek
    • Journal of the Korea Convergence Society
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    • v.9 no.12
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    • pp.217-225
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    • 2018
  • This study analyzes the effects of the absorptive capacity on the technology innovation and commercialization capacities and the management performance. Based on previous studies, the absorptive capacity is sub-classified into the exploratory absorptive capacity and the exploitative absorptive capacity, which are set as independent variables, to analyze their effects on the technology innovation and commercialization capacities. In short, the absorptive capacity has positive effects on the technology innovation and commercialization capacities. In addition, the technology innovation capacity and the technology commercialization capacity have positive effects on the management performance. The findings confirm that the absorptive capacity is an important factor impacting on the corporate innovation, and suggest that businesses should recognize the importance of the absorptive capacity as a guideline for developing their strategies for technological innovation.

The Effects of Management Consulting Quality and Consultant Capability on Entrepreneurial Firms' Performance (창업기업의 경영성과에 있어서 컨설팅품질과 컨설턴트역량의 영향에 대한 연구: 흡수능력과 자원역량의 매개효과를 중심으로)

  • Yoon, Ki-Chang
    • Journal of Distribution Science
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    • v.14 no.5
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    • pp.81-89
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    • 2016
  • Purpose - Prior researches have empirically focused on the effect of management consulting quality and consultant capability on entrepreneurial firms' performance. This study, however, focused on investigating the moderating role of absorptive capacity and resource capability between management consulting and entrepreneurial firms' performance. So, this study investigated the relationship among consulting quality, consultant capability, absorptive capacity, resource capability, and entrepreneurial firms' performance from the resource based view (RBV). Especially, this study focused on the mediating role of absorptive and resource capability in relational structure of entrepreneurial firms' dimensions. Research design, data, and methodology - In this study, research hypotheses and model are established by the prior researches from the fields of strategic management and entrepreneurial behavior. Concretely, H1~H4 are the relationship between consulting (consulting quality, consultant capability) and innovation (absorptive capacity, resource capability); H5 is the relationship between absorptive capacity and resource capability; and H6~H7 are the relationship between innovation (absorptive capacity, resource capability) and management performance. The data was collected 207 copies from entrepreneurial firms in South Korea. These firms were established in January 2014 and maintained by November 2015 in high-tech industry. The questionnaire was consisted of five dimensions; consulting quality, consultant capability, absorptive capacity, resource capability, and management performance. Each dimension measured multi items on a 5-point Likert scale. The hypotheses and research model are analyzed using structural equation modeling (SEM) with AMOS 22. Results - The results of this study are as follows. 1) Consulting quality significantly influenced on the absorptive capacity of entrepreneurial firms. 2) But, consultant capability did not influence on the absorptive capacity of entrepreneurial firms. 3) Consulting quality and consultant capability significantly influenced on the resource capability of entrepreneurial firms. 4) Absorptive capacity significantly influenced on the resource capability of entrepreneurial firms; 5) Absorptive capacity did not significantly influence on the management performance of entrepreneurial firms. 6) Resource capability, however, significantly influenced on the management performance of entrepreneurial firms. By these results, absorptive capacity of entrepreneurial firms had a mediating role partly among consulting quality, consultant capability, and management capability. The resource capability of entrepreneurial firms had a mediating role among consulting quality, consultant capability, and management capability, perfectly. Conclusions - According to this study, the high level of consulting quality and consultant capability may enforce the resource capability of entrepreneurial firms. It means, practically, that external knowledge is a driver for innovation, and then the innovation effects on the management performance of entrepreneurial firms. So, at the initial stage, the management consulting programs are very important to entrepreneurial firms and should be conceived as an essential element. This study may contribute to the advancement of academic in field of new start business, small business, or venture business based on resources, especially the role of absorptive capacity and resource capability between consulting programs and management performance. However, this study has some limitations. They are the measurement of consulting quality's items, cross-sectional research, and the limitation of concept and industry.

The Effect of Individual's on Absorptive Capacity on Process and Product Innovation (개인의 흡수 역량이 프로세스 및 제품 혁신에 미치는 영향에 대한 연구)

  • Jang, Jae-Seung;Lee, Junyeong;Kwak, Chanhee;Lee, Heeseok
    • Knowledge Management Research
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    • v.17 no.1
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    • pp.135-154
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    • 2016
  • Absorptive capacity has been increasingly thought of as a potential source of innovation. From the knowledge management perspective, absorptive capacity is composed of a set of activities dealing with acquisition, assimilation, transformation, and exploitation of external and internal knowledge. This study investigates what relationship the absorptive capacity of individuals who have technical knowledge in the organization has with process innovation and product innovation. Mobile based survey was conducted from the employees working for the largest electronics manufacturer in Korea. The analyzed data was based on 156 responses from 199 participants. The analysis result shows that four phases of absorptive capacity such as acquisition, assimilation, transformation and exploitation have different effects on process innovation and product innovation, respectively. Specifically, transformation is found to be most critical in leading to innovation.

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The Effect of Technology Start-up Companies' Absorption Capacity on Start-up Performance: Focusing on the Mediating Effect of Patent Activities (기술창업기업의 흡수역량이 창업성과에 미치는 영향: 특허활동의 매개효과를 중심으로)

  • Kim Jong Sik;Nam Jung Min
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.18 no.3
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    • pp.191-209
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    • 2023
  • Amid rapid changes in technological innovation due to the influence of the 4th Industrial Revolution and COVID-19, research related to absorption capacity and patent activities to promote technological innovation of Korean technology start-ups is important in this uncertain environment. This study aims to examine the effects on entrepreneurial performance and patent activities by reconstructing absorptive capacity, an organizational capability, for technology-based startups in fields such as BT and ICT with less than seven years of establishment, distinguishing between potential absorptive capacity and realized absorptive capacity. The study also seeks to develop a theoretical research model. To accomplish this, data was collected from managerial executives, including CEOs of 215 technology startups. The following hypotheses were tested: Firstly, potential absorptive capacity had a significant impact on patent activities, while realized absorptive capacity did not. Secondly, potential absorptive capacity had a significant impact on technological performance, while realized absorptive capacity did not. Thirdly, both potential and realized absorptive capacity had a significant impact on financial and non-financial performance. Fourthly, patent activities indirectly influenced potential absorptive capacity and technological performance, but did not affect realized absorptive capacity. Fifthly, patent activities indirectly influenced potential absorptive capacity and financial performance, but did not affect realized absorptive capacity. Lastly, patent activities indirectly influenced potential absorptive capacity and non-financial performance, but did not affect realized absorptive capacity. The practical significance of this study lies in providing useful guidelines for building the core capabilities of organizations through absorptive capacity and patent activities. Furthermore, it is expected that startups that have not recognized the formation process of absorptive capacity for patent activities will perceive the formation mechanism of absorptive capability anew and show considerable interest in future potential and realized absorptive capacity as part of their management strategies. This is anticipated to play an important role in adapting to rapidly changing technological advancements, the startup ecosystem, and securing sustainable competitive advantages.

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