The effect of Employee-Driven Innovation (EDI) on product innovation in the Dutch manufacturing industry
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2020-12-18
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en
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The world is now changing faster than ever. Innovation no longer only belongs to Research and Development (R&D) to develop and improve products in order to keep up with competition and to survive, but today’s employees are also a source of innovative potential in order to contribute to innovation. Employee-Driven Innovation (EDI) is an emerging phenomenon with regard to this view. EDI contains the acknowledgement of the importance of employees at all levels of the firm to contribute to innovation. This master thesis investigates the effect of EDI on product innovation in the Dutch manufacturing firms. This master thesis also takes it a step further, by comparing and combining with the innovative input of external cooperation partners as well as R&D-workers. In this study, EDI consists of four elements: autonomy, leader support, competence-building, and internal collaboration. Based on theoretical research, EDI was expected to has autonomously a positive influence on product innovation. Also the presumption was made that EDI and external cooperation partners strengthen each other, whereas no reinforcing effect with R&D-workers was expected. In order to test the hypotheses, a mixed methods study is conducted. The quantitative data derives from the European Manufacturing Survey 2015 (N=177). The qualitative data consist of eight semi-structured interviews. The quantitative results show that EDI autonomously has a positive effect on both incremental- and radical product innovation, whereas qualitative analysis shows only support for incremental product innovation. Contrary to expectations, no support is found for the combined effect with external cooperation partners on both types of product innovation. Finally, no significant enhancing effect is found for the combined effect with non-R&D employees and R&D-workers to radical product innovation. These findings have not only theoretical implications, but offers also managerial implications with regard to optimally making use of current capabilities for innovation outcomes.
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Faculteit der Managementwetenschappen