Raising Radicals: Different Processes for Championing Innovative Corporate Ventures

Diana L. Day
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Diana L. Day: Department of Management, The Wharton School, University of Pennsylvania, Philadelphia, Pennsylvania 19104

Organization Science, 1994, vol. 5, issue 2, 148-172

Abstract: This study investigates the types of championing processes that explain the innovativeness of 136 internal corporate ventures. Current theory suggests that bottom-up champions create the most innovative ventures. In contrast, this paper argues that both bottom-up and top-down champions are suitable for developing innovative ventures. Using a broadly based sample of Fortune 1000 firms, the study supports both bottom-up and top-down processes including a special dual-role principal champion, who acts both as product champion and organizational sponsor. The functions or roles of these top management and dual-role champions are quite different from bottom-up champions and represent relatively unexplored top-down championing processes. Preliminary results show support for an emerging theory that top management champions arise when ventures are expensive and visible and when they represent new strategic directions or resource reconfigurations for the firm. In contrast, dual-role champions emerge from the firm's upper ranks when an innovative idea is highly uncertain but not technology-driven. The paper proposes an integrative view of championing in which any one of three types of championing processes may be the most relevant for a particular venture, depending on what it needs to achieve innovative outcomes.

Keywords: championing; corporate entrepreneurship; internal corporate venturing; innovation; top management (search for similar items in EconPapers)
Date: 1994
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