Innovation capability and R&D performance of organizations: moderating role of industry–academic knowledge transfer

Abstract

Purpose This study aims to examine how an organization’s innovation capability could influence research and development (R&D) performance. It also investigates if industry–academic knowledge transfer has a moderating relationship between organizational innovation capability and exploration and exploitative innovation in improving the R&D performance of the organizations. Design/methodology/approach Based on the literature and dynamic capability view, a conceptual model was developed and then validated using the partial least squares-structural equation modeling technique considering 387 responses from academicians and industry personnel. Findings The study found that industry–academic knowledge transfer has a significant moderating impact toward improving innovation capability, organizations’ R&D performance and exploration innovation. However, it has an insignificant moderating impact on improving innovation capability and exploitative innovation. Practical implications Organizational innovation capability is characterized by both exploratory and exploitative innovation. Both types of innovation support the R&D performance of an organization. Also, organizations that closely work with academic institutions could gain significant R&D knowledge from academic expertise. This study provides food for thought for the academic community as well as industry policymakers. Originality/value There are significant opportunities for academic institutions to gain practical knowledge from industry which can help them to accelerate their R&D activities. However, transferring knowledge between industry and academia has challenges related to intellectual property, patents and so on. Not much research has been conducted in this area. Thus, the proposed research model is unique and adds to the existing literature.

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