How culture affects innovation in an organization

Abstract

Both technology and innovation are considered major contributors to the competitiveness of companies and in exploiting opportunities in the market; however, too often the people processes are not given enough attention in transformation efforts - they are viewed as "HR processes" and technical leaders may not see the value of examining these areas early on as accelerators for change. The innovation culture framework presented in this paper is based on three thematic elements of innovation culture in organizations: Transformational Leadership, Organizational Climate / Environment, and Organizational Practices & Processes. The project tested and refined the framework by conducting a set of interviews, focus groups and workshop-based trials with participating commercial organizations. By focusing on the culture within an organization and coupling with other technology and innovation management efforts, leaders will have a more systemic understanding of how to sustain and increase the innovation capabilities of their organizations.