Costs and benefits of inter-departmental innovation collaboration

Maarten Cuijpers, Hannes Guenter and Katrin Hussinger

No 11-003, ZEW Discussion Papers from ZEW - Leibniz Centre for European Economic Research

Abstract: Inter-departmental innovation collaboration facilitates innovation performance. At the same time, it has been identified as source of increased coordination costs. Using organizational information processing theory, this paper builds and tests hypotheses on the costs and benefits of innovation-related collaboration within firms. Based on a sample of 433 German manufacturing firms we show inter-departmental innovation collaboration to increase process innovation performance, but also to produce costs in terms of project delay and project termination. These costs, however, do not affect innovation performance at the firm level. This finding suggests firms to be well able to balance the costs and benefits of interdepartmental collaboration across their innovation project portfolio. Theoretical and managerial implications are discussed.

Keywords: Inter-departmental innovation collaboration; innovation performance; project delay; project termination (search for similar items in EconPapers)
JEL-codes: M54 O31 O32 (search for similar items in EconPapers)
Date: 2011
New Economics Papers: this item is included in nep-cse, nep-ino, nep-knm and nep-ppm
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (21)

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Journal Article: Costs and benefits of inter-departmental innovation collaboration (2011)
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Persistent link: https://EconPapers.repec.org/RePEc:zbw:zewdip:11003

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