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The role of stimulating employees’ creativity and idea generation in encouraging innovation behaviour in Irish firms

The Irish Journal of Management
Volume 36 (2017): Issue 1 (June 2017)
By:
Open Access
|Jun 2017

Figures & Tables

Descriptive statistics of idea generation and creativity stimuli variables

Variable%
Number of stimuli introduced
    No stimuli47.38
    One stimuli16.31
    Two stimuli16.12
    Three stimuli9.99
    Four stimuli5.83
    Five stimuli2.90
    Six stimuli1.48
Type of stimuli introduced
    Work teams30.52
    Job rotation19.67
    Brainstorming40.29
    Training15.84
    Financial incentives8.6
    Non-financial incentives10.27

Results of multivariate probit estimation of equation (1)

Product innovatorProcess innovatorOrganisational innovatorMarketing innovator
Constant-2.2215***-1.5317***-1.5105***-1.8570***
(0.3806)(0.2868)(0.2878)(0.3065)
R&D
Intramural R&D0.1448***0.0777***0.0481***0.0565***
(0.0094)(0.0088)(0.0090)(0.0086)
Extramural R&D0.0732***0.0360***0.0367***0.0313***
(0.0143)(0.0128)(0.0134)(0.0121)
Networking
Backwards0.2478***0.2047***0.1767***0.1195***
(0.0543)(0.0465)(0.0486)(0.0394)
Forwards0.1701***0.1398***0.06360.0599
(0.0633)(0.0600)(0.0617)(0.0511)
Horizontal0.10120.09160.01680.0329
(0.1141)(0.1100)(0.1080)(0.0900)
Public-0.0428-0.09720.0735-0.0220
(0.0733)(0.0622)(0.0695)(0.0558)
Firm specific factors
Employment0.0815***0.1169***0.0961***0.0662***
(0.0270)(0.0249)(0.0253)(0.0243)
Irish owned0.02430.08170.00190.2431***
(0.0659)(0.0608)(0.0602)(0.0607)
Stimulating factors
Work teams0.3666***0.2529***0.4375***0.3324***
(0.0713)(0.0659)(0.0645)(0.0644)
Job rotation-0.08710.05490.2874***0.0458
(0.0733)(0.0667)(0.0656)(0.0642)
Brainstorming sessions0.2363***0.2416***0.4269***0.4050***
(0.0653)(0.0598)(0.0582)(0.0584)
Training0.09550.2559***0.2929***0.0472
(0.0803)(0.0742)(0.0746)(0.0710)
Financial incentives-0.03460.04660.05540.1017
(0.1001)(0.0933)(0.0948)(0.0889)
Non-financial incentives0.10220.12720.14220.1212
(0.0970)(0.0903)(0.0916)(0.0857)
No. Obs3,244
χ21998.07
P>χ20.0000
Log-likelihood-6218.90

Results of multivariate probit estimation of equation (2)

ProductProcessOrganisationalMarketing
Constant–2.2772–1.5681–1.5864–1.9235
(0.3791)(0.2889)(0.2888)(0.3104)
R&D
Intramural R&D0.1430***0.0781***0.0478***0.558***
(0.0094)(0.0088)(0.0090)(0.0087)
Extramural R&D0.0648***0.0292**0.0302**0.0241**
(0.0143)(0.0128)(0.0133)(0.0122)
Networking
Backwards0.6085***0.6306***0.4876***0.4861***
(0.1146)(0.1086)(0.1118)(0.1024)
Forwards0.3971***0.2749**0.2756**0.0441
(0.1329)(0.1230)(0.1280)(0.1141)
Horizontal0.29010.28660.11810.1674
(0.1936)(0.1784)(0.1869)(0.1572)
Public0.0818-0.18680.07240.0224
(0.1273)(0.1151)(0.1207)(0.1075)
Firm specific factors
Employment0.0899***0.1158***0.1021***0.0687***
(0.0269)(0.0249)(0.0252)(0.0243)
Irish owned-0.00860.0533-0.00830.2131***
(0.0657)(0.0605)(0.0599)(0.0602)
Stimulating factors - number
  Any 1 stimulating factor0.3978***0.4817***0.6585***0.4953***
(0.0762)(0.0690)(0.0678)(0.0690)
  Any 2 stimulating factors0.5145***0.4349***0.8535***0.7628***
(0.0787)(0.0721)(0.0703)(0.0706)
  Any 3 stimulating factors0.5235***0.6051***1.103***0.812***
(0.0949)(0.0869)(0.0866)(0.0846)
  Any 4 stimulating factors0.4225***0.7173***1.0493***0.6259***
(0.1215)(0.1119)(0.1109)(0.1052)
  Any 5 stimulating factors0.7588***1.0835***1.6757***0.9495***
(0.1627)(0.1600)(0.1820)(0.1440)
  Any 6 stimulating factors0.6495***0.6439***1.5143***0.9496***
(0.2238)(0.2136)(0.2346)(0.1981)
No. Obs3,244
χ22131.50
P>χ20.0000
log-likelihood-6166.30

j_ijm-2017-0005_tab_006_w2aab3b8c18b1b7b1ab2b1ab1aAa

VariablesCIS questionIndicator type
ProductinnovationDuring the three years 2008 to 2010, did your enterprise introduce: (i) new or significantly improvedgoods. (Exclude the simple resale of new goods purchased from other enterprises and changes ofa solely aesthetic nature); (ii) new or significantly improved services.1/0
ProcessinnovationDuring the three years 2008 to 2010, did your enterprise introduce: (i) new or significantly improvedmethods of manufacturing or producing goods or services; (ii) new or significantly improvedlogistics, delivery or distribution methods for your inputs, goods or services; (iii) new or significantlyimproved supporting activities for your processes, such as maintenance systems or operations forpurchasing, accounting or computing.1/0
OrganisationalinnovationDuring the three years 2008 to 2010, did your enterprise introduce: (i) new business practices fororganising procedures; (ii) new methods of organising work responsibilities and decision-making;(iii) new methods of organising external relations with other firms or public institutions.1/0
MarketinginnovationDuring the three years 2008 to 2010, did your enterprise introduce: (i) new methods for productplacement or sales channels; (ii) new media or techniques for product promotion; (iii) significantchanges to the aesthetic design or packaging of a good or service (exclude changes that alter theproduct’s functional or user characteristics - these are product innovations); (iv) new methods ofpricing goods or services.1/0
CreativityDuring the three years 2008 to 2010, did your enterprise use any of the following methods tostimulate new ideas or creativity among your staff? If yes, was the method successful in producingnew ideas or increasing creativity? (i) Brainstorming sessions; (ii) multidisciplinary or cross-functional work teams; (iii) job rotation of staff to different departments or other parts of yourenterprise group; (iv) financial incentives for employees to develop new ideas; (v) non-financialincentives for employees to develop new ideas, such as free time, public recognition, moreinteresting work, etc.; (vi) training employees on how to develop new ideas or creativity.Series of six variableswith outcome 1/0
Intramural R&DCreative work undertaken within your enterprise to increase the stock of knowledge for developingnew and improved products and processes (include software development in-house that meetsthis requirement).€ per worker
Extramural R&DSame activities as above, but performed by other enterprises (including other enterprises orsubsidiaries within your group) or by public or private research organisations and purchased byyour enterprise.€ per worker
NetworkingDuring the three years 2008 to 2010, did your enterprise co-operate on any of your innovationactivities with other enterprises or institutions? Innovation co-operation is active participation withother enterprises or non-commercial institutions on innovation activities. Both partners do notneed to commercially benefit. Exclude pure contracting out of work with no active co-operation.Series of four variableswith outcome1/0 indicating ifa firm engagedwith (i) customers,(ii) suppliers, (iii)competitors andconsultants, (iv) publicresearch institutionsand universities.

Correlation matrix of encouragement variables (full sample)

Work teamsJob rotationBrainstormingTrainingFinancial incentivesNon-financial incentives
Work teams1
Job rotation0.33571
Brainstorming0.53380.30351
Training0.30460.31200.35271
Financial incentives0.22650.19670.24790.28241
Non-financial incentives0.32730.27730.30410.35670.33101

Descriptive statistics of variables

VariableStatisticssd
Innovation
 Product (%)31.37na
 Process (%)35.75na
 Organisational (%)39.48na
 Marketing (%)32.2na
Firm specific factors
 Irish owned (%)73.37na
 Employment (mean)96.22381.54
Networking
 Backwards (%)12na
 Forwards (%)9na
 Horizontal (%)3na
 Public (%)8na
R&D
 Intramural R&D (mean)€2236.1311307.95
 Extramural R&D (mean)€530.435419.8
DOI: https://doi.org/10.1515/ijm-2017-0005 | Journal eISSN: 2451-2834 | Journal ISSN: 1649-248X
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Language: English
Page range: 32 - 48
Published on: Jun 30, 2017
Published by: Irish Academy of Management
In partnership with: Paradigm Publishing Services
Publication frequency: 3 issues per year
Keywords:
componential theory of creativity,
creativity,
idea generation,
innovation,
Ireland
Related subjects:
Business and economics,
Business management,
Marketing, sales, customer relations,
Management, organization, corporate governance,
Entrepreneurship,
Human resources, labor practice, job and career

© 2017 Justin Doran, Geraldine Ryan, published by Irish Academy of Management
This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

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