Knowledge tensions and decision-making challenges in open innovation: Standardization as a de-biasing mechanism

Cristina Marullo and Joon Mo Ahn

Technovation, 2024, vol. 136, issue C

Abstract: Complexities in external knowledge evaluation present significant “limits” to open innovation (OI), challenging decision making in the processes of searching, accessing, and using external knowledge for recombination, which are central to the OI paradigm. Grounded in the theory of attitudes, this study investigates the role of standardization in preventing the negative behavioral influence of “not invented here” (NIH) and “not-shared-here” (NSH) attitudes on knowledge search and sourcing decisions by debiasing decisional paths associated with reluctance to adopt OI. Using hurdle model estimations on 600 small-and medium-sized enterprises, the results of the study reveal that NIH and NSH attitudes are the origin of decision-making biases at different stages of OI implementation, where external knowledge is the focus of evaluation. Proactive standardization efforts are shown to be effective in countering the impact of NIH and NSH attitudes on knowledge sourcing decisions and on the intensity of knowledge sourcing, typically leading to bounded search, inward decisions, and anticipated termination of projects. This study provides insights into the influence of standardization efforts specifically addressing challenges related to the evaluation of external knowledge, where the likelihood of failure is higher and associated costs are significant.

Keywords: Open innovation; Decision making; NIH syndrome; NSH syndrome; Standardization; Attitudes (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:eee:techno:v:136:y:2024:i:c:s0166497224001329

DOI: 10.1016/j.technovation.2024.103082

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