Using new external ideas to make innovation work

In a commentary, SMU Professor of Organisational Behaviour & Human Resources, and Academic Director of SMU Master of Science in Innovation Programme, Thomas Menkhoff noted that one key to successful innovation is the criticality of absorptive capacity which is concerned with "the ability of a firm to recognise the value of new, external information, assimilate it and apply it to commercial ends", according to its conceptual creators, US management professors Wesley M Cohen (Duke University) and Daniel A Levinthal (The Wharton School, University of Pennsylvania). He added that key enablers to do so include exposure to relevant knowledge via relentless networking, the presence of prior related knowledge so as to recognise the value of new knowledge, and diversity of experience (the latter increases the scope for acknowledging external ideas and stimuli). Prof Menkhoff concluded by stating that innovation consultants, tertiary educational institutions as well as Spring Singapore's innovation framework provide many helping hands for Singapore-based firms to acquire innovation management knowhow which is crucial for improving an organisation's innovation performance.

Source
The Business Times