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Title: Effects of absorptive capacity and innovation spillover on manufacturing flexibility
Authors: Pinheiro, J.
Lages, L. F.
Silva, G. M.
Dias, Á.
Preto, M. T.
Keywords: Dynamic capabilities
Absorptive capacity
Market orientation
Innovation competence orientation
Manufacturing flexibility
Issue Date: 2021
Publisher: Emerald
Abstract: Shifting demand and ever-shorter production cycles pressure manufacturing flexibility. Although the literature has established the positive effect of the firm’s absorptive capacity on manufacturing flexibility, the separate role of the innovation competencies of exploitation and exploration in such a relationship is still under-investigated. In this study, we examine how these competencies affect manufacturing flexibility. We use survey data from 370 manufacturing firms and analyze them using covariance-based structural equation modeling (CB-SEM). The results indicate that absorptive capacity has a strong, positive, and direct effect on exploitative and exploratory innovation competencies, proactive and responsive market orientations, and manufacturing flexibility. Our findings also demonstrate that the exploratory innovation competencies mediate the relation between responsive market orientation and manufacturing flexibility. Essentially, these exploitative innovation competencies produce a direct positive effect on manufacturing flexibility while simultaneously being a vehicle for absorptive capacity’s indirect effects on it. An exploration innovation strategy does not significantly affect manufacturing flexibility. This study contributes by combining key strategic features of firms with manufacturing flexibility, while providing new empirical evidence of the mediation of the exploratory innovation competencies in the relation between responsive market orientation and manufacturing flexibility.
Peer reviewed: yes
DOI: 10.1108/IJPPM-04-2020-0156
ISSN: 1741-0401
Appears in Collections:DMOG-RI - Artigos em revistas internacionais com arbitragem científica

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