Investigating the Key Indicators of Innovation Evaluation in Production-Oriented Organizations
Subject Areas : industrial engineering
Javid Ghahremani-Nahr
1
(Ph.D.candidate of Industerial Engeening,Faculty of Industrial Engineering,Sanandaj University,Sanandaj, Iran)
Hamed Nozari
2
(Assistant Professor, Department of Industrial Engineering, Faculty of Industrial Engineering, University of Science and Technology, Tehran, Iran)
Alireza Aliahmadi
3
(.Professor, Department of Industrial Engineering, Faculty of Industrial Engineering, University of Science and Technology, Tehran, Iran)
Meisam Jafari
4
(Assisstant Professor, Department of Industrial Engineering, Payame Noor University of North Tehran, Tehran, Iran)
Keywords: hierarchical analysis, Innovation evaluation, Evaluation Indicators, Innovation in Production and Service,
Abstract :
Innovation can be a source of competitive advantage for companies. Therefore, recognizing and evaluating innovation in manufacturing and service industries is an effective step to start measuring innovation in these industries. Considering the importance of this issue, it is very important to know key dimensions and indicators to measure these innovations. Hence, the purpose of this research is to address each of the main indicators of organizational innovation and discuss the inherent advantages and disadvantages of their deployment separately. In this research, based on the literature review and the opinions of 15 academic experts and manufacturing industry experts, 10 indicators have been categorized as the most important key indicators of innovation evaluation in three general categories of input, intermediary and output. In order to evaluate and prioritize the most important innovation evaluation indicators, a non-linear quantitative analysis based on hierarchical analysis (Mikhailov's method) was used in a fuzzy environment, and for the analysis of cause and effect relationships, the fuzzy Dimetal method was used. The results show that the presence knowledgeable people and the growth of education are the most important indicators in the evaluation of innovation, and therefore, with special emphasis and attention on these indicators, we can witness an increasing growth in the field of innovation in organizations. The amount of effort to register a patent as well as the number of registered patents are among other important indicators in the field of innovation evaluation, which should be given special support in order to develop innovation in organizations. Also, it was found that the protection of innovation during the growth period is the next priority and can be very important in creating a safe environment as well as increasing the peace of technology people in innovative organizations. The analysis of cause and effect relationships using the Dimtel method also showed that the development of knowledge capital and educated people has the highest impact on other factors, which confirms the hierarchical analysis.
Andersson, D. E., & Tell, F. (2019). From Fighting Monopolies to Promoting Industry: Patent Laws and Innovation in Sweden 1819–1914. Jahrbuch für Wirtschaftsgeschichte/Economic History Yearbook, 60(1), 123-156.
Antons, D., Grünwald, E., Cichy, P., & Salge, T. O. (2020). The application of text mining methods in innovation research: current state, evolution patterns, and development priorities. R&D Management, 50(3), 329-351.
Arundel, A., & Hollanders, H. (2005). An Exploratory Approach to Innovation Scoreboards. Innovation, 1-44.
Avenyo, E. K., Konte, M., & Mohnen, P. (2021). Product innovation and informal market competition in sub-Saharan Africa. Journal of Evolutionary Economics, 31(2), 605-637.
Azadi, S., Green, I. C., Arnold, A., Truong, M., Potts, J. , & Martino, M. A. (2021). Robotic surgery: the impact of simulation and other innovative platforms on performance and training. Journal of Minimally Invasive Gynecology, 28(3), 490-495.
Azadi, T., Sadoughi, F., & Khorasani-Zavareh, D. (2020). Using modified Delphi method to propose and validate the components of a child injury surveillance system for Iran. Chinese Journal of Traumatology, 23(5), 274-279.
Bahl, M. , Lahiri, S. , & Mukherjee, D. (2021). Managing internationalization and innovation tradeoffs in entrepreneurial firms: Evidence from transition economies. Journal of World Business, 56(1), 101150.
Barros, H.M.(2021). Neither at the cutting edge nor in a patent-friendly environment: Appropriating the returns from innovation in a less developed economy. Research Policy, 50(1), 104097.
Bates, R., & Khasawneh, S. (2005). Organizational learning culture, learning transfer climate and perceived innovation in Jordanian organizations. International journal of training and development, 9(2), 96-109.
Beneito, P. (2006). The innovative performance of in-house and contracted R&D in terms of patents and utility models. research Policy, 35(4),502-517
Biletska, I. O., Paladieva, A. F., Avchinnikova, H. D. , & Kazak, Y. Y. (2021). The use of modern technologies by foreign language teachers: developing digital skills. Linguistics and Culture Review, 5(S2), 16-27.
Block, J., Fisch, C., Ikeuchi, K., & Kato, M. (2021). Trademarks as an indicator of regional innovation: evidence from Japanese prefectures. Regional Studies, 56(2), 190-202.
Bryndin, E. (2019). Creative innovative higher education of researchers with flexible skills and synergy of cooperation. Contemporary Research in Education and English Language Teaching, 1(1), 1-6.
Calabrò, A., Vecchiarini, M., Gast, J., Campopiano, G., De Massis, A., & Kraus, S. (2019). Innovation in family firms: A systematic literature review and guidance for future research. International journal of management reviews, 21(3), 317-355.
Chen, Y., & Lee, C. C. (2020). Does technological innovation reduce CO2 emissions? Cross-country evidence. Journal of Cleaner Production, 263(2), 121550
Damanpour, F., Walker, R. M., & Avellaneda, C.N.(2009). Combinative effects of innovation types and organizational performance: A longitudinal study of service organizations. Journal of management studies, 46(4), 650-675
de Oliveira, R. T., Gentile-Lüdecke, S., & Figueira, S.(2021). Barriers to innovation and innovation performance: the mediating role of external knowledge search in emerging economies. Small Business Economics, 58(4), 1953–1974.
Dearing, J. W., & Cox, J. G. (2018). Diffusion of innovations theory, principles, and practice. Health Affairs, 37(2), 183-190.
Den Hertog, P. , & Bilderbeek, R. (2019). The new knowledge infrastructure: the role of technology-based knowledge-intensive business services in national innovation systems. In Services and the knowledge-based economy (pp. 222-246). Routledge.
Durst, S., Mention, A. L., & Poutanen, P. (2015). Service innovation and its impact: What do we know about?. Investigaciones europeas de dirección y economía de la empresa, 21(2), 65-72.
Fallah, M., & Nozari, H. (2020). Quantitative Analysis of Cyber Risks in IoT-Based Supply Chain (FMCG Industries). Journal of Decisions & Operations Research, 5(4), 511-521.
Flikkema, M., Castaldi, C., de Man, A. P., & Seip, M. (2019). Trademarks’ relatedness to product and service innovation: A branding strategy approach. Research Policy, 48(6), 1340-1353.
Gifford, E., McKelvey, M., & Saemundsson, R. (2021). The evolution of knowledge-intensive innovation ecosystems: co-evolving entrepreneurial activity and innovation policy in the West Swedish maritime system. Industry and Innovation, 28(5), 651-676.
Janger, J., Schubert, T., Andries, P., Rammer, C., & Hoskens, M. (2017). The EU 2020 innovation indicator: A step forward in measuring innovation outputs and outcomes? Research Policy, 46(1), 30-42.
Kemp, R. G., Folkeringa, M., De Jong, J. P., & Wubben, E. F. (2003). Innovation and firm performance (No. H 200207). Zoetermeer, The Netherlands: EIm, 1-67.
Khasawneh, M. A. S. (2021). An electronic Training Program on Developing the Written Expression Skills among a Sample of foreign language learners EFL who are at-risk for Learning disabilities during the emerging Covid-19. Academy of Social Science Journal, 7(10), 1974-1982.
Kowalski, A. M., & Rybacki, J. (2021). Moderate Innovator Trap-Does the Convergence of Innovation Performance Occur in the World Economy?. Economies, 9(1), 1-12.
Mac Lennan, M. L. F., Tiago, E. F., & Pereira, C. E. C. (2021). Technological and non-technological trends in fashion eco-innovations. Innovation & Management Review, 20(1), 60-75.
Madhou, M., Moosun, S. B., & Nagowah, D. N. M. (2021). Using research and development indicators to shape innovation in Mauritius. African Journal of Science, Technology, Innovation and Development, 14(17), 1813-1828.
Malecki, E. J. (2021). The geography of innovation. Handbook of regional science, 819-834.
Malik, S.(2021). Emotional intelligence and innovative work behaviour in knowledge-intensive organizations: how tacit knowledge sharing acts as a mediator?. VINE Journal of Information and Knowledge Management Systems, 52(2), 650-669.
Manohar, S. , Mittal, A. , & Tandon, U. (2020). HEd-INNOSERV: perceived service innovation scale for the higher education sector. Benchmarking: An International Journal,28(3), 957-989.
Morrar, R. (2014). Innovation in services: A literature review. Technology Innovation Management Review, 4(4), 6-14.
Nozari, H., Szmelter-Jarosz, A., & Ghahremani-Nahr, J. (2022). Analysis of the Challenges of Artificial Intelligence of Things (AIoT) for the Smart Supply Chain (Case Study: FMCG Industries). Sensors, 22(8), 1-18.
Ozkaya, G., Timor, M., & Erdin, C.(2021). Science, Technology and Innovation Policy Indicators and Comparisons of Countries through a Hybrid Model of Data Mining and MCDM Methods. Sustainability, 13(2), 1-52.
Paredes, O., Melo, D., Guamán, A. R., García, M., & Guamán-Guevara, F. (2021). Which Innovative Solutions of Non-Technological and Technological Nature are Needed to Improve Tourism Services? A Case of Tungurahua Province in Ecuador. Tourism: An International Interdisciplinary Journal, 69(4), 559-577.
Parveen, I., Uzair-ul-Hassan, M., & Zainib, H. (2021). Professional and Social Adjustment of Women Employees in Higher Education Institutions: A Regional Perspective. Research Journal of Social Sciences and Economics Review, 2(1), 343-351.
Pereira, L. , Santos, R. , Sempiterno, M. , Costa, R. L. D. , Dias, Á. , & António, N.(2021). Pereira problem solving: Business research methodology to explore open innovation. Journal of Open Innovation: Technology, Market, and Complexity, 7(84):1-14.
Phan, K.(2013). Innovation measurement: A decision framework to determine innovativeness of a company (Doctoral dissertation, Portland state university), 1-262.
Prabowo, R., Singgih, M. L., Karningsih, P. D. , & Widodo, E. (2020). New product development from inactive problem perspective in indonesian SMEs to open innovation. Journal of Open Innovation: Technology, Market, and Complexity, 6(1), 1-20.
Prajogo, D. I. (2006). The relationship between innovation and business performance-a comparative study between manufacturing and service firms. Knowledge and process management, 13(3), 218-225.
Rahbari, M., Samiee, R., Ashrafi, M., & Shojaei, S.(2019). Identifying Components of Organizational Innovation in Dairy Cooperatives by the Use Fuzzy Delphi Technique. Co-Operation and Agriculture, 7(28), 1-24 .
Schumpeter, J. A. (1982). The theory of economic development: An inquiry into profits, capital, credit, interest, and the business cycle (1912/1934). Transaction Publishers. 1-244.
Stanko, M. A., & Henard, D. H. (2017). Toward a better understanding of crowdfunding, openness and the consequences for innovation. Research Policy, 46(4), 784-798.
Taques, F. H., López, M. G., Basso, L. F., & Areal, N. (2021). Indicators used to measure service innovation and manufacturing innovation. Journal of Innovation & Knowledge, 6(1), 11-26.
Thabet, S.(2021). Indicators–The Complexity of Innovation Indicators. Innovation Economics, Engineering and Management Handbook 1: Main Themes, 189-194.
Trevlopoulos, N. S., Tsalis, T. A., Evangelinos, K. I., Tsagarakis, K. P., Vatalis, K. I., & Nikolaou, I. E. (2021). The influence of environmental regulations on business innovation, intellectual capital, environmental and economic performance. Environment Systems and Decisions, 41(1), 163-178.
Wang, F., & Chen, K. (2020). Do product imitation and innovation require different patterns of organizational innovation? Evidence from Chinese firms. Journal of Business Research, 106, 60-74.
_||_Andersson, D. E., & Tell, F. (2019). From Fighting Monopolies to Promoting Industry: Patent Laws and Innovation in Sweden 1819–1914. Jahrbuch für Wirtschaftsgeschichte/Economic History Yearbook, 60(1), 123-156.
Antons, D., Grünwald, E., Cichy, P., & Salge, T. O. (2020). The application of text mining methods in innovation research: current state, evolution patterns, and development priorities. R&D Management, 50(3), 329-351.
Arundel, A., & Hollanders, H. (2005). An Exploratory Approach to Innovation Scoreboards. Innovation, 1-44.
Avenyo, E. K., Konte, M., & Mohnen, P. (2021). Product innovation and informal market competition in sub-Saharan Africa. Journal of Evolutionary Economics, 31(2), 605-637.
Azadi, S., Green, I. C., Arnold, A., Truong, M., Potts, J. , & Martino, M. A. (2021). Robotic surgery: the impact of simulation and other innovative platforms on performance and training. Journal of Minimally Invasive Gynecology, 28(3), 490-495.
Azadi, T., Sadoughi, F., & Khorasani-Zavareh, D. (2020). Using modified Delphi method to propose and validate the components of a child injury surveillance system for Iran. Chinese Journal of Traumatology, 23(5), 274-279.
Bahl, M. , Lahiri, S. , & Mukherjee, D. (2021). Managing internationalization and innovation tradeoffs in entrepreneurial firms: Evidence from transition economies. Journal of World Business, 56(1), 101150.
Barros, H.M.(2021). Neither at the cutting edge nor in a patent-friendly environment: Appropriating the returns from innovation in a less developed economy. Research Policy, 50(1), 104097.
Bates, R., & Khasawneh, S. (2005). Organizational learning culture, learning transfer climate and perceived innovation in Jordanian organizations. International journal of training and development, 9(2), 96-109.
Beneito, P. (2006). The innovative performance of in-house and contracted R&D in terms of patents and utility models. research Policy, 35(4),502-517
Biletska, I. O., Paladieva, A. F., Avchinnikova, H. D. , & Kazak, Y. Y. (2021). The use of modern technologies by foreign language teachers: developing digital skills. Linguistics and Culture Review, 5(S2), 16-27.
Block, J., Fisch, C., Ikeuchi, K., & Kato, M. (2021). Trademarks as an indicator of regional innovation: evidence from Japanese prefectures. Regional Studies, 56(2), 190-202.
Bryndin, E. (2019). Creative innovative higher education of researchers with flexible skills and synergy of cooperation. Contemporary Research in Education and English Language Teaching, 1(1), 1-6.
Calabrò, A., Vecchiarini, M., Gast, J., Campopiano, G., De Massis, A., & Kraus, S. (2019). Innovation in family firms: A systematic literature review and guidance for future research. International journal of management reviews, 21(3), 317-355.
Chen, Y., & Lee, C. C. (2020). Does technological innovation reduce CO2 emissions? Cross-country evidence. Journal of Cleaner Production, 263(2), 121550
Damanpour, F., Walker, R. M., & Avellaneda, C.N.(2009). Combinative effects of innovation types and organizational performance: A longitudinal study of service organizations. Journal of management studies, 46(4), 650-675
de Oliveira, R. T., Gentile-Lüdecke, S., & Figueira, S.(2021). Barriers to innovation and innovation performance: the mediating role of external knowledge search in emerging economies. Small Business Economics, 58(4), 1953–1974.
Dearing, J. W., & Cox, J. G. (2018). Diffusion of innovations theory, principles, and practice. Health Affairs, 37(2), 183-190.
Den Hertog, P. , & Bilderbeek, R. (2019). The new knowledge infrastructure: the role of technology-based knowledge-intensive business services in national innovation systems. In Services and the knowledge-based economy (pp. 222-246). Routledge.
Durst, S., Mention, A. L., & Poutanen, P. (2015). Service innovation and its impact: What do we know about?. Investigaciones europeas de dirección y economía de la empresa, 21(2), 65-72.
Fallah, M., & Nozari, H. (2020). Quantitative Analysis of Cyber Risks in IoT-Based Supply Chain (FMCG Industries). Journal of Decisions & Operations Research, 5(4), 511-521.
Flikkema, M., Castaldi, C., de Man, A. P., & Seip, M. (2019). Trademarks’ relatedness to product and service innovation: A branding strategy approach. Research Policy, 48(6), 1340-1353.
Gifford, E., McKelvey, M., & Saemundsson, R. (2021). The evolution of knowledge-intensive innovation ecosystems: co-evolving entrepreneurial activity and innovation policy in the West Swedish maritime system. Industry and Innovation, 28(5), 651-676.
Janger, J., Schubert, T., Andries, P., Rammer, C., & Hoskens, M. (2017). The EU 2020 innovation indicator: A step forward in measuring innovation outputs and outcomes? Research Policy, 46(1), 30-42.
Kemp, R. G., Folkeringa, M., De Jong, J. P., & Wubben, E. F. (2003). Innovation and firm performance (No. H 200207). Zoetermeer, The Netherlands: EIm, 1-67.
Khasawneh, M. A. S. (2021). An electronic Training Program on Developing the Written Expression Skills among a Sample of foreign language learners EFL who are at-risk for Learning disabilities during the emerging Covid-19. Academy of Social Science Journal, 7(10), 1974-1982.
Kowalski, A. M., & Rybacki, J. (2021). Moderate Innovator Trap-Does the Convergence of Innovation Performance Occur in the World Economy?. Economies, 9(1), 1-12.
Mac Lennan, M. L. F., Tiago, E. F., & Pereira, C. E. C. (2021). Technological and non-technological trends in fashion eco-innovations. Innovation & Management Review, 20(1), 60-75.
Madhou, M., Moosun, S. B., & Nagowah, D. N. M. (2021). Using research and development indicators to shape innovation in Mauritius. African Journal of Science, Technology, Innovation and Development, 14(17), 1813-1828.
Malecki, E. J. (2021). The geography of innovation. Handbook of regional science, 819-834.
Malik, S.(2021). Emotional intelligence and innovative work behaviour in knowledge-intensive organizations: how tacit knowledge sharing acts as a mediator?. VINE Journal of Information and Knowledge Management Systems, 52(2), 650-669.
Manohar, S. , Mittal, A. , & Tandon, U. (2020). HEd-INNOSERV: perceived service innovation scale for the higher education sector. Benchmarking: An International Journal,28(3), 957-989.
Morrar, R. (2014). Innovation in services: A literature review. Technology Innovation Management Review, 4(4), 6-14.
Nozari, H., Szmelter-Jarosz, A., & Ghahremani-Nahr, J. (2022). Analysis of the Challenges of Artificial Intelligence of Things (AIoT) for the Smart Supply Chain (Case Study: FMCG Industries). Sensors, 22(8), 1-18.
Ozkaya, G., Timor, M., & Erdin, C.(2021). Science, Technology and Innovation Policy Indicators and Comparisons of Countries through a Hybrid Model of Data Mining and MCDM Methods. Sustainability, 13(2), 1-52.
Paredes, O., Melo, D., Guamán, A. R., García, M., & Guamán-Guevara, F. (2021). Which Innovative Solutions of Non-Technological and Technological Nature are Needed to Improve Tourism Services? A Case of Tungurahua Province in Ecuador. Tourism: An International Interdisciplinary Journal, 69(4), 559-577.
Parveen, I., Uzair-ul-Hassan, M., & Zainib, H. (2021). Professional and Social Adjustment of Women Employees in Higher Education Institutions: A Regional Perspective. Research Journal of Social Sciences and Economics Review, 2(1), 343-351.
Pereira, L. , Santos, R. , Sempiterno, M. , Costa, R. L. D. , Dias, Á. , & António, N.(2021). Pereira problem solving: Business research methodology to explore open innovation. Journal of Open Innovation: Technology, Market, and Complexity, 7(84):1-14.
Phan, K.(2013). Innovation measurement: A decision framework to determine innovativeness of a company (Doctoral dissertation, Portland state university), 1-262.
Prabowo, R., Singgih, M. L., Karningsih, P. D. , & Widodo, E. (2020). New product development from inactive problem perspective in indonesian SMEs to open innovation. Journal of Open Innovation: Technology, Market, and Complexity, 6(1), 1-20.
Prajogo, D. I. (2006). The relationship between innovation and business performance-a comparative study between manufacturing and service firms. Knowledge and process management, 13(3), 218-225.
Rahbari, M., Samiee, R., Ashrafi, M., & Shojaei, S.(2019). Identifying Components of Organizational Innovation in Dairy Cooperatives by the Use Fuzzy Delphi Technique. Co-Operation and Agriculture, 7(28), 1-24 .
Schumpeter, J. A. (1982). The theory of economic development: An inquiry into profits, capital, credit, interest, and the business cycle (1912/1934). Transaction Publishers. 1-244.
Stanko, M. A., & Henard, D. H. (2017). Toward a better understanding of crowdfunding, openness and the consequences for innovation. Research Policy, 46(4), 784-798.
Taques, F. H., López, M. G., Basso, L. F., & Areal, N. (2021). Indicators used to measure service innovation and manufacturing innovation. Journal of Innovation & Knowledge, 6(1), 11-26.
Thabet, S.(2021). Indicators–The Complexity of Innovation Indicators. Innovation Economics, Engineering and Management Handbook 1: Main Themes, 189-194.
Trevlopoulos, N. S., Tsalis, T. A., Evangelinos, K. I., Tsagarakis, K. P., Vatalis, K. I., & Nikolaou, I. E. (2021). The influence of environmental regulations on business innovation, intellectual capital, environmental and economic performance. Environment Systems and Decisions, 41(1), 163-178.
Wang, F., & Chen, K. (2020). Do product imitation and innovation require different patterns of organizational innovation? Evidence from Chinese firms. Journal of Business Research, 106, 60-74.
