Matti Pihlajamaa

The role of users and customers in digital innovation

We study three B2B manufacturing firms that deal with digital innovation.We identify the distinct roles of customers and users in guiding digital innovation.Customer knowledge provides short-term guidance for digital innovation processes.User knowledge provides long-term guidance for digital innovation processes.We identify 12 practices for leveraging customer and user knowledge for use in digital innovation. Diffusion of digital technologies into the manufacturing industry has created new opportunities for innovation that firms must address to remain competitive. We investigate the role of customer and user knowledge in the digital innovation processes of three global B2B manufacturing companies. We find that the B2B manufacturing industrys characteristics influence how users and customers may be leveraged. Customers making the purchasing decisions are considered for knowledge about short-term changes in market needs, while users working directly with the products provide long-term guidance for digital innovation. We identify practices for acquiring, distributing, and using customer and user knowledge for digital innovation.

Inducement and blocking mechanisms in the Finnish life sciences innovation system

Purpose – This paper aims to identify inducement and blocking mechanisms which impact the development of the life sciences innovation system in Finland. Innovation system analysis of emerging technologies is important for the design of technology-specific innovation policy measures to promote desirable futures Design/methodology/approach – This exploratory study uses a functional technological innovation system analysis framework designed to identify policy goals for emerging technological fields. The data consist of 33 qualitative face-to-face interviews with senior managers and decision-makers. Best practices are identified from the San Francisco Bay Area and the Finnish life sciences innovation system is analyzed in detail. Findings – The Finnish system has a good capability to perform top-level basic research, but the commercial aspect is largely missing because of the lack of business know-how, small size of the domestic market, networking failures, scarcity of funding and poor public image. Research...

User knowledge utilization in innovation of complex products and systems: An absorptive capacity perspective

Firms tap into user knowledge to learn about the users’ needs. While users have been recognized as a valuable source of knowledge for innovation, few studies have investigated how their knowledge is integrated into innovation processes in the context of complex products and systems (CoPS). The purpose of this study is to reveal the practices of CoPS manufacturers to facilitate user knowledge utilization for innovation. We investigate two case companies, a medical device manufacturer and an aircraft manufacturer, and report on seven managerial practices for utilizing user knowledge. We adopt the absorptive capacity model in structuring our findings and elaborate three of the models sub‐capabilities (recognition of the value of user knowledge, acquisition of user knowledge, and assimilation/transformation of user knowledge) by proposing that each is associated with a distinct managerial goal and related practices: (1) Sensitizing the organization to the innovation potential of user knowledge, (2) identifying and gaining access to suitable user knowledge, and (3) analyzing and interpreting user knowledge and integrating it into product development. Our study contributes to the innovation management literature by analyzing the capabilities required to utilize user knowledge throughout the CoPS innovation process.

Absorbing radical ideas from unusual sources: the role of social integration mechanisms

ABSTRACT If companies rely strongly on internal R&D and existing networks their ability to introduce radical innovations may suffer. Opening up to new idea sources may provide a solution. Incumbent companies, however, often suffer from the tendency to reject radical ideas from unusual sources. This study investigates how social integration mechanisms (SIMs; coordination, socialisation, and systems mechanisms) influence an incumbent steel company’s absorptive capacity (AC). A micro-level analysis of two radical ideas from unusual sources contributes to AC and radical innovation literatures by exploring relationships between SIMs and four AC capabilities (acquisition, assimilation, transformation, and exploitation). The findings suggest that AC capabilities are context-specific with respect to innovation novelty and idea source. The results emphasise the negative sides of socialisation and formalisation mechanisms, and the positive effects of coordination mechanisms on the AC capabilities in such high uncertainty contexts.