Integrating leader-users’ knowledge: Evaluating
the absorptive capacity of different technological
companies.
PHD Student: Ana Elisa Martins Pacheco de Castro
Supervisor: Prof. Dr. Roberto Sbragia
São Paulo University
AGENDA
Context
 Gap from Literature
 Question Point
 Literature Review
 Conceptual Model
Methodology
 Expected Contribuitions
CONTEXT
Environment is changing
The increased flow of knowledge (ICTs):
The information created and transmitted via the Internet, telephone networks and
private networks reached more than 900 billion gigabytes (IDC, 2010);
 People are getting more technological;
 Restructuring of old business models eg: music industry;
 Emergence of new business models based on external knowledge – Youtube;
Wikipedia; Red Hat.
CONTEXT
P&D:
Commoditization of technology X
 Firms invest in greater
product variety but are less
able to differentiate
themselves and the concern
about how to create value have

become the dominant themes
for managers.
 The meaning of value and
the process of value creation
are rapidly shifting from a
product- and firm-centric
view to personalized
consumer experiences.
Reduced costs and risks
 Knowledge’ specialization
 Rising collaboration
networks complexity
CONTEXT
Innovation Process
Lean
 Organizational and systems integration
Flat and flexible organizational structures
Bank developed data (information integration)
 Rapid prototyping
Efficient sharing of knowledge
-
CONTEXT
Challenge for companies
 Increase internal knowledge
Improve the user experience
 Reduce costs and risks
 Expand the product line, but focused
-
How to resolve these issues?
WHAT DOES THE LITERATURE SAY
Users
Collaboration
Innovation
Absortive
Capacity
(ZAHRA; GEORGE, 2002, VON HIPPEL, 1986)
LEAD USER (VON HIPPEL, 1986)
1. Lead users have new product or service needs before the others consumers
2. Lead users expect to benefit significantly by finding a solution to their needs.
Churchill et al, 2009
CONCEPTUAL LOGIC ON ZAHRA; GEORGE,
2002, P. 192 )
Absortive Capacity
- Knowledge
source and
complementar
y
- Prior
Knowledge
Activation
triggers
Potential
Realized
Acquire
Transform
Assimilate
Exploitation
Social
integration
mechanism
Regimes of
apropriability
Competitive
Advantage
-Flexibility
- Innovation
- Performance
WHAT HAS BEEN SAID
Lead User Innovation
Absortive Capacity
- Risks (ENKEL; KRAUSCH, GASSMANN, 2005)
-Dimensions
- Benefits (VON HIPPEL, 1986; EISENBERG, 2011)
- Combining ideas from employees and
lead users (EISENBERG, 2011)
GEORGE, 2002; TODOROVA; DURSIS, 2007)
- AbsortIve routines (DUCHEK, 2013; EASTERBYSMITH et.al.; 2008; COHEN; LEVINTHAL, 1990)
- Practices (FOSS et.al, 2011)
- Determinants
(FLATTEN et.al, 2011; LÜTTHEJE;
HERSTATT, 2004; RITTER, WALTER, 2003; GASSMANN
et.al, 2010)
- Motivation
(HUANG et.al.; 2009; RAYMOND, 2001;
DAHALANDER, GASS, 2010)
- Methods to integrate lead users
(CHURCHILL et.al, 2009)
- Determinants
(ENKEL; HEIL, 2014;
LANE;LUBATKIN, 1998; MOWERY; OSLEY, 1995;
PENNINGS; HIRIANTO, 1992)
- Absortive toolkits
- Internal team characteristics (MOWERY;
OSLEY, 1995)
- Results from colaboration (VON HIPPEL,
1996)
- Lead user typology
(COHEN; LEVINTHAL, 1990; ZAHRA;
(CHURCHILL et al, 2009)
- Knowledge absorbed characteristic
absorbed (VERONA, 1999)
WHAT HAS NOT BEEN SAID YET
- There are few studies that address all dimensions of absorptive NPD (DUCHECK
2013);
- Many studies have dealt with the integration of lead users in a specific phase of DNP,
usually in the early stages (ENKEL,E.; KAUSCH, C.; GASSMANN, 2005; VON HIPPEL,
THOMKE; SONNACK, 1999; LUTHJE E HERSTATT, 2004; OLSON; BAKKE, 2001;
LAURSEN, SALTER, 2006; OLIVEIRA; VON HIPPEL, 2011; VON HIPPEL, 1988; ENKEL,E.;
KAUSCH, C.; GASSMANN, 2005), but few talk about how this integration can happen in
more advanced stages of the NPD process.
- Studies talk about absorptive capacities in different companies but no one evaluates
the absorptive differences of different sectors with the aim of linking the different
absorptive practices to the results of innovation leaders users.
WHAT HAS NOT BEEN SAID YET
- Few studies that address all dimensions of absorptive NPD (DUCHECK 2013);
- Many studies have dealt with the integration of lead users in a specific phase of DNP,
usually in the early stages (ENKEL,E.; KAUSCH, C.; GASSMANN, 2005; VON HIPPEL,
THOMKE; SONNACK, 1999; LUTHJE E HERSTATT, 2004; OLSON; BAKKE, 2001;
LAURSEN, SALTER, 2006; OLIVEIRA; VON HIPPEL, 2011; VON HIPPEL, 1988; ENKEL,E.;
KAUSCH, C.; GASSMANN, 2005), but few talk about how this integration can happen in
more advanced stages of the NPD process.
- Studies talk about absorptive capacities in different companies but no one evaluates
the absorptive differences of different sectors with the aim of linking the different
absorptive practices to the results of innovation leaders users.
QUESTION POINT
How do companies absorb lead-user's knowledge
and which kind of contribution this knowledge brings
to innovations’ outcomes in companies with different
technologic demands?
LITERATURE REVIEW
Colaborative Perspective
Typology
Firm’s
Result
Perspective
Market
Oriented
Knowledge’s
Perspective
Routines
Acquire
Toolkits
Lead User
Companies
University
Users
FIRMS
Early
Adopter
Competidors
OPEN INNOVATION
(CHESBROUGH, 2003
USER INNOVATION
(VON HIPPEL, 1988)
Assimilate
Transform
Motivation
Explore
Communication
Routine
user
Supplier
Literature
Perspective
Technology
Oriented
Practices
Perspective
Coordination
Laggards
User
Innovation
(VON
HIPPEL,
1988)
Innovation
ABSORTIVE CAPACITY
TODOROVA; DURISIN, 2007
CONCEPTUAL MODEL
Absortive Capacity
Lead User’s K
Technical
K
Nature of
the project
Lead User
Colletive
Lead Users
Individual
Prior
Knowledge
Lead User
Colletive
Market K
Lead Users
Individual
Activation
triggers
Based on Zahra; George, 2002; Von Hippel,
Discovery
Phase
Concept
Phase
K ‘s
Acquisition
K ‘s
Assimilation
Development
Test Phase
A Phase
Routines
and
Toolkits
K ‘s
Transformation
Social
integration
mechanism
Market
introductio
n
K ‘s
Explotation
Regimes of
apropriability
Inovations
Results
METHODOLOGY
 Multiple case’s study (6 projects in different industries)
 Time Dimension: Longitudinal
 Retrospective Case
 Triangulation: documents and enterviews
 Analises Unit: User Innovation’s Project
 Respondent’s profile: marketing/ sales, manufacture and P&D people.
Absorptive Capacity
1- rotines (how is the
integration)
2- toolkits (mode of
interaction, intensity of
relationship, nature of the
relationship
Results of
Innovation
1-Market oriented: raising
expectations, minor
modifications of the
product, product
development, with greater
acceptance, reducing errors
in the development.
Lead Users
Variables:
2 -Oriented technology:
Significant improvement in
product quality;
development of new
products or services
1- Individual or coletive
2- From the nature of
knowdledge: marketoriented or technologyoriented
Variables:
Technological
Demand
(Services; TI;
Indústria)
Rotine
Absorptive Capacity of
Lead Users Knowledge
Acquire
Toolkits
Assimilate
Lead User
Colletive
Transform
Exlplore
Acquire
Rotine
Toolkits
Techinical K
Assimilate
Lead Users
Individual
Nature of the
Project
Transform
Exlplore
Acquire
Rotine
Toolkits
Assimilate
Lead User
Colletive
Market K
Transform
Exlplore
Acquire
Assimilate
Lead Users
Individual
Transform
Exlplore
Rotine
Toolkits
Service
Service
Inovation’s Results
In Service
Industry
Industry
Inovation’s Results
In Industry
IT Company
IT Company
Inovation’s Results
In IT Companies
Innovation’s
Outcomes
from Lead
User
CONTRIBUTION
Academic Contribuitions:
1- Lead User Innovation – by comparing the behavior for lead users in different sectors and
segments.
2- Absortive Capacity - by showing how users leaders’ knowledge can be incorporated into
all phases of NPD.
3- Innovation Strategy – by connecting such different results arising from the absorption of
lead users knowledge in different sectors.
Manager Contribuitions:
The results of this study are relevant for companys of different segments that seeking to
involve appropriate users in NPD. In a more timely manner, this study aims:
1- Display the ways of involving lead users in different phases of DNP.
2- Clarify the types of problems that can be solved by lead users and suggest some ways
to protect this knowledge (appropriabily);
3- Pointing different forms of relationship and communication most appropriate choices of
different types lead users (individual and collective);
4 - Increase understanding of the innovative possibilities from the integration of lead users
in NPD.
Thank you
absorptive
capacity
Results of Innovation
Lead Users
Demanda
Tecnológica
(Serviços; TI;
Indústria)
(ZAHRA; GEORGE, 2002, VON HIPPEL, 1986....)