Behavioral Competencies for Innovation

Behavioral Competencies for Innovation

Using Emotional Intelligence to Foster Innovation

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Springer Nature Switzerland AG

06/2020

Dura

Inglês

9783030407339

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Introduction It provides the motivation for this project, the relevance of the topic addressed by the book and a synopsis of the main themes covered by each chapter. Chapter 1. Current trends in innovation management and emerging competency profiles The management of firm innovation processes has significantly changed during the last decades due to the widespread of new paradigms that have challenged the traditional vertical integration model of innovation. For instance, the open innovation phenomenon has demonstrated that externally sourced knowledge plays a central role in different stages of the innovation process (Chesbrough, 2003). Moreover, due to the process of technological convergence, innovation opportunities may reside also outside the value chain of the specific sector. Consequently, firms are increasingly spurred to find innovative solutions in different fields (Enkel and Gassmann, 2010). Furthermore, the proliferation of digital technologies in the innovation process is rapidly changing the way firms collect, analyse and transfer knowledge, conduct forecasting and decision-making activities (Johnson, Friend and Lee, 2017: Urbinati et al. 2018). A challenge in realizing the potential benefits of these emerging trends lies in modifying at the organizational level the existing innovation activities and in developing at the individual level the required competencies. Indeed, companies are not only asked to revise their innovation strategy and related organizational structures (Salter et al., 2014), but also to adopt a micro level of analysis redesigning the portfolio of the individual competencies that can be mobilized for innovation purposes (Borges, Foss and Lyngsie, 2018). For instance, individuals in charge of the innovation process are required to monitor and recognize cross-industry opportunities and to start collaborations with partners with a high cognitive distance (Enkel and Gassmann, 2010). Moreover, they need to engage and lead their employees toward organizational changes that enable the company to implement new technologies and managerial practices for new knowledge absorption and sharing within the organizational boundaries. However, innovation management literature has primarily drawn its attention to the cognitive skills that enable individuals to pursue innovative outcomes, such as lateral and analogical thinking (Enkel and Gassmann, 2010; Gassmann and Zeschky, 2008), neglecting the relevance of other behavioral competencies that are increasingly considered important to pursue innovation in the workplace. Only recently, the innovation management literature has started to consider the so called "intangible elements" of human capital (McGuirk et al., 2015), namely the soft skills for innovation (OECD, 2011; du Chatenier et al., 2010). This chapter will contribute to these debate providing new insights on the following issues: i) the macro trends in the management of innovation that are modifying the competency profile required by individuals in charge of the innovation process inside the firm; ii) the main limitations of the extant contributions in the innovation and competency-based research in defining the behavioral competencies required by the key roles in charge of the innovation process. Therefore, the chapter offers a comprehensive view of the challenges firms are facing in their innovation effort and opens the debate on the relevant skills that are required by individuals to successfully pursue innovative outcomes. Keywords: Innovation, open innovation, digitalization, human capital, individual competencies. Main References Chesbrough, H., 2003. Open Innovation: The New Imperative for Creating and Prof-iting from Technology. Harvard Business School Press, Boston. du Chatenier, E., Verstegen, J.A.A.M., Biemans, H.J.A., Mulder, M., Omta, O.S.W.F, 2010. Identification of competencies for professionals in open innovation teams. R&D Management 40 (3): 271-280. Enkel, E., Gassmann, O., 2010. Creative imitation: Exploring the case of cross-industry innovation. R&D Management 40 (3): 256-270. Gassmann, O., Zeschky, M., 2008. Opening up the solution space: The role of analogical thinking for breakthrough product innovation. Creativity and Innovation Management 17 (2): 97-106. Johnson, J. S., Friend, S.B., Lee, H. S., 2017. Big Data Facilitation, Utilization, and Monetization: Exploring the 3Vs in a New Product Development Process. Journal of Product Innovation Management, 34(5):640-658. OECD, 2011. Skills for Innovation and Research. OECD Publishing (down-loaded on 22 February 2015 from http://www.oecd-ilibrary.org/science-and-technology/skills-for-innovation-and- research_9789264097490-en). Salter, A., Criscuolo, P., Ter Wal, A.L.J., 2014. Coping with open innovation: Responding to the challenges of external engagement in R&D. California Management Review 56 (2), 77-94. Urbinati, A., Chiaroni, D., Chiesa, V., Frattini, F. 2018. The role of digital technologies in open innovation processes: an exploratory multiple case study analysis. R&D Management, 1-25. Chapter 2. The human side of innovation: A competency-based view As illustrated in Chapter 1, it is a widely held view that human capital represents an essential driver for innovation. Thus, it has become strategically important for firm performance to identify and evaluate the key characteristics of those individuals in charge of the firm innovation process that enable them to generate commercial applications of new knowledge and to implement new ideas in the workplace (McGuirk et al., 2015; Vila et al., 2014). Extant contributions has primarily devoted attention to the "generic human capital" (Becker, 1993) considering the individual' level of education and the prior professional experience. Besides the relevance of technical knowledge and skills on a specific technological field and sector, the "intangible elements" of human capital (Becker, 1993), namely soft skills or behavioral competencies, are assuming an increasing importance in favouring innovation. Adopting a competency-based perspective (Boyatzis, 1982; McClelland, 1973; Spencer and Spencer, 1993), a behavioral competency is defined as an underlying characteristic of the person that leads to or causes effective or superior performance (Boyatzis, 1982). The concept of competency encompasses both action (that is a set of alternate behaviors varying according to the situation) and the intent that moves individuals to manifest the behaviors (Boyatzis 2009). The most recent advancement in the competency-based perspective defines three main clusters of behavioral competencies, that are emotional, social, and cognitive (Boyatzis, 2009). However, existing competency-based codebook still lacks the definition of those skills that are assuming an increasing relevance in the current debate on innovation management. This chapter adds to this debate proposing a fine-grained classification of behavioral competencies for innovation as a result of a comprehensive review of the extant competency-based research and of recent contributions in the fields of innovation. The authors start their analysis drawing on existing competency dictionaries, which focus on the competencies needed to obtain effective results in leadership roles (Boyatzis, 1982; Spencer and Spencer, 1993), enriching them through the analysis of the emerging competencies that have been classified by the innovation management literature (for instance Dyer, Gregersen and Christensen, 2008; Puccio, et al., 2011). This process allows to create a new comprehensive codebook of competencies that characterize the profiles of individuals in charge of the innovation process inside firms. The full description of the competency framework and the definition of clusters of competencies are presented in the chapter. Keywords: behavioral competencies, emotional, social and cognitive intelligence competencies, human capital, soft skills, innovation Main References Becker, G. S., 1993. Human Capital. The University of Chicago Press, Chicago/London. Boyatzis, R.E., 1982. The Competent Manager: A Model for Effective Performance. Wiley Interscience, New York. Boyatzis, R.E., 2009. Competencies as a behavioral approach to emotional intelligence. Journal of Management Development 28 (9): 749-770. Dyer, J.H., Gregersen, H.B., Christensen, C., 2008. Entrepreneur behaviors, opportunity recognition, and the origins of innovative ventures. Strategic Entrepreneurship Journal 2: 317 - 338. McClelland, D.C., 1973. Testing for competency rather than intelligence. American Psychologist 28 (1): 1-40. McGuirk, H., Lenihan, H., Hart M., 2015. Measuring the impact of innovative human capital on small firms' propensity to innovate. Research Policy 44 (4): 965-976. Puccio, G.J., Mance, M., and Murdock, M.C., 2011. Creative Leadership. Skills that drive change. Sage: New York. Spencer, L.M. Jr., Spencer, S.M., 1993. Competence at work: Models for superior performance. John Wiley & Sons, New York. Vila L.E., Perez P.J., Coll-Serrano V., 2014. Innovation at the workplace: Do professional competencies matter? Journal of Business Research 67, 752-757. Chapter 3. Competencies entrepreneurs need to implement different types of innovation Entrepreneurs contribute in different ways to economic development (Nissan et al., 2011). They represent an essential driver of innovation through the development of new products and processes, the exploitation of new markets, the introduction of new ways to organize the firms and the implementation of new business models. While the connection between entrepreneurship and technological (product and process) and non-technological (organizational, marketing and strategic) innovation is widely acknowledged, there is an increasing need to investigate the factors that at the individual level may better explain differentials in terms of entrepreneurs innovation capacity (Santandreu-Mascarell et al., 2013). In this regard, prior research has provided evidence on the positive relationship between the tangible elements of the entrepreneurs' human capital, in terms of educational background and prior technology knowledge, and their ability to pursue innovation (Kato et al., 2015; Marvel and Lumpkin, 2007; Tang and Murphy, 2012). While limited attention has been devoted to those competencies that entrepreneurs require to promote and introduce innovation in their organizations (Baron, 2006; Baron and Ensley, 2006; Christensen et al., 2011; Dyer et al., 2008; Santandreu-Mascarell et al., 2013), previous studies addressing this issue considered only few competencies, especially cognitive ones, such as associational thinking, experimenting, questioning and observing the environment, neglecting the relevance of other self-management and relational competencies that entrepreneurs need to activate for managing the innovation process effectively. Moreover, the extant research has not investigated the portfolio of competencies that entrepreneurs need to mobilize to promote and implement different technological and non-technological innovations. This chapter addresses this void presenting the stories of entrepreneurs who introduced changes in the firm products, processes, organization, marketing and strategy along with the related behavioral competencies that they mobilized to successfully implement these types of innovation. The narratives illustrated in the chapter are based on an empirical research conducted by the authors on a sample of Italian entrepreneurs leading small medium sized companies in different industrial sectors. Interviews were administrated to entrepreneurs using the Behavioral Events Interview technique (Boyatzis, 1998; McClelland, 1998). In the chapter, the competency portfolio of entrepreneurs is described according to the codebook introduced in Chapter 2, providing concrete examples of how emotional, social and cognitive competencies can be activated to positively pursue innovation outcomes. Keywords: entrepreneurs, behavioral competencies, product innovation, process innovation, marketing innovation, organizational innovation, strategic innovation. Main References Baron, R. A., 2006. Opportunity recognition as pattern recognition: How entrepreneurs "connect the dots" to identify new business opportunities. Academy of Management Perspectives 20(1): 104 -119. Baron, R. A., Ensley, M. D., 2006. Opportunity recognition as the detection of meaningful patterns: evidence from comparisons of novice and experienced entrepreneurs. Management Science 52(9): 1331 -1344. Boyatzis, R.E. 1998. Transforming Qualitative Information. Thematic Analysis and Code Development, Thousand Oaks, CA: Sage. Christensen, C. M., Dyer, J., Gregersen, H., 2011. The Innovator's DNA: Mastering the Five Skills of Disruptive Innovators. Harvard Business Review Press. Humphrey, R.H., 2013. The Benefits of Emotional Intelligence and Empathy to Entrepreneurship. Entrepreneurship Research Journal 3 (3): 287-294. Kato, M., Okamuro, H., Honjo, Y., 2015. Does founders' human capital matter for innovation? Evidence from Japanese start-ups. Journal of Small Business Management 53(1): 114-128. Marvel, M. R., Lumpkin, G. T., 2007. Technology Entrepreneurs' Human Capital and Its Effects on Innovation Radicalness. Entrepreneurship Theory and Practice 31: 807-828. McClelland, D.C., (1998). Identifying competencies with behavioral-event interviews. Psychological Science 9 (5): 331 - 339. Nissan, E., Martin, M.A.G. Picazo, M.T.M., 2011, Relationship between organizations, institutions, entrepreneurship and economic growth process. International Entrepreneurship and Management Journal 7 (3): 311-324. Santandreu-Mascarell, C., Garzon, D., Knorr, H., 2013. Entrepreneurial and innovative competences, are they the same? Management Decision 51 (5): 1084-1095. Tang, J., Murphy, P. J., 2012. Prior Knowledge and New Product and Service Introductions by Entrepreneurial Firms: The Mediating Role of Technological Innovation. Journal of Small Business Management 50: 41-62. Chapter 4. Competency profiles of key roles involved in successful new product development projects The process through which firms manage a New Product Development (NPD) project has significantly changed over the last decade. The open innovation paradigm has questioned the conventional Stage- Gate process highlighting the importance to assume an "external thinking" in implementing innovation (Groenlund, Roennberg Sjoedin, Frishammar, 2010). This implies not only the need of cognitive skills to better scan the environment in different technological domains, but also the exploitation of behavioral competencies related to relationship management to promote and manage effectively inter-firm collaborations. Moreover, since the activities of each stage, that are typically cross-functional, are undertaken in parallel so as to enhance speed to market, self-management and social competencies are needed to effectively manage intra-firm collaboration among the NPD members. The competency profile of the key roles involved in the NPD project emerges as a salient factor in explaining firm innovation performance (du Chatenier et al., 2010). However, in prior studies the description of these required competencies remains vague and research mainly focus on the job profile of R&D professionals, neglecting the competency portfolio of other profiles who co-operate in the NPD process. This chapter explores how employees from different functional areas (R&D, marketing, and design) manifest their behavioral competencies/soft skills during the implementation of a NPD project. Narratives of successful episodes in which the interviewee felt effective during the innovation project have been collected through the administration of Behavioral Events Interviews (Boyatzis, 1998; McClelland, 1998) to a sample of members of NPD projects. The detailed and vivid description of these episodes allowed the authors: i) to define the competency profiles activated by different functional roles in charge of the innovation process according to the codebook introduced in Chapter 2; ii) to provide evidence of the behaviors through which the competencies are manifested during the innovation effort; iii) to illustrate the differences that emerged among the NPD members in the activation of the competency profile. Keywords: new product development project, innovation, soft skills, behavioral competencies, R&D professionals, marketing managers, designers Main References Boyatzis, R.E. 1998. Transforming Qualitative Information. Thematic Analysis and Code Development, Thousand Oaks, CA: Sage. du Chatenier, E., Verstegen, J.A.A.M., Biemans, H.J.A., Mulder, M., Omta, O.S.W.F, 2010. Identification of competencies for professionals in open innovation teams. R&D Management 40 (3): 271-280. Groenlund, J., Roennberg Sjoedin, D., Frishammar, J., 2010. Open Innovation and the Stage-Gate Process: A Revised Model for New Product Development. California Management Review, Vol. 52, No. 3, pp. 106-131. Mcclelland, D.C., (1998). Identifying competencies with behavioral-event interviews. Psychological Science 9 (5): 331 - 339. Chapter 5. Managing innovation through a competency-based approach This chapter contributes to the current debate on how to foster firm innovation capacity nurturing the behavioral competencies of the key roles involved in the innovation processes. First, policy makers have long emphasized the importance of the development of behavioral skills through education and training in order to foster the capacity of a firm to implement different types of innovation (OECD, 2011). The chapter discusses how higher education and local institutions can play a salient role in promoting awareness of the impact of behavioral competencies on innovation through the promotion of initiatives and training programs (Boyatzis et al., 2002; Boyatzis and Saatcioglu, 2008; Hoover et al., 2010) that enable firms and individuals to acquire the appropriate competencies and support their optimal use for innovation activities. Moreover, the chapter offers insights on how HR practitioners can benefit from the competency-based approach to improve the effectiveness of the selection and recruiting processes of candidates who are asked to contribute to the innovation activities. Further, the chapter discusses how firms can benefit from a competency-based development program across organizational units to stimulate employees' awareness on the relationship between behavioral competencies and innovation. Finally, the chapter supports practitioners in the design of competency assessment and development programs (Boyatzis, 2006). Keywords: managerial implications, hiring process, policy implications, educational programs, innovation, job competency profiles Main References Boyatzis, R. E., and A. Saatcioglu. 2008. A 20-year view of trying to develop emotional, social and cognitive intelligence competencies in graduate management education. Journal of Management Development, 27, 92-108. Boyatzis, R. E., E. C. Stubbs, and S. N. Taylor. 2002. Learning cognitive and emotional intelligence competencies through graduate management education. Academy of Management Learning and Education, 1, 150-162. Boyatzis, R.E. 2006. An overview of intentional change from a complexity perspective. Journal of Management Development, 25 (7), 607-623. Hoover, D. J., R. C. Giambatista, R. L. Sorenson, and W.H. Bommer. 2010. Assessing the effectiveness of whole person learning pedagogy in skill acquisition. Academy of Management Learning and Education, 9, 192-203. OECD, 2011. Skills for Innovation and Research. OECD Publishing (down-loaded on 22 February 2015 from http://www.oecd-ilibrary.org/science-and-technology/skills-for-innovation-and- research_9789264097490-en).
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