Governing generative AI in R&D: process agility as a dynamic capability for exploratory innovation

An Chin Cheng

European Journal of Innovation Management, 2026, 1-14

Abstract: PurposeThis study investigates the structural mechanism through which firms translate AI-enabled synergistic invention capabilities (AI-SIC) into exploratory innovation, addressing the governance challenges of algorithmic variance within digitalized R&D architectures.Design/methodology/approachGrounded in the dynamic capabilities view (DCV), the study employs a quantitative cross-sectional design. Data were collected from 328 high-tech R&D executives (CTOs, CIOs and R&D Directors) in Taiwan and analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM).FindingsThe empirical results reveal a full mediation mechanism. Raw AI-SIC does not directly yield exploratory innovation; rather, its strategic value is entirely channeled through R&D process agility. This agility acts as a crucial cognitive filter, enabling organizations to mitigate stochastic algorithmic variance and potential technological hallucinations.Originality/valueThis research extends the DCV into the algorithmic era by shifting the scholarly focus from mere digital technology adoption to internal variance governance. It conceptualizes the novel multidimensional AI-SIC construct and reconceptualizes R&D process agility as an indispensable dynamic capability for navigating generative AI. Crucially, this study contributes primarily to Dynamic Capabilities research while informing the digital innovation literature.

Keywords: Generative AI; Dynamic capabilities; R&D process agility; Digital innovation; Exploratory innovation (search for similar items in EconPapers)
Date: 2026
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.emerald.com/ejim/article/doi/10.1108/E ... mp-D-process-agility (text/html)
https://www.emerald.com/ejim/article-pdf/doi/10.11 ... m-06-2026-0751en.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eme:ejimpp:ejim-06-2026-0751

DOI: 10.1108/EJIM-06-2026-0751

Access Statistics for this article

European Journal of Innovation Management is currently edited by Dr Vincenzo Corvello

More articles in European Journal of Innovation Management from Emerald Group Publishing Limited
Bibliographic data for series maintained by Emerald Support ().