How To Synergize Independent R&D And Cooperative R&D

Although increasing firms are pursuing an open innovation paradigm by conducting independent R&D and cooperative R&D in parallel,in practice the expected synergy effects between independent and cooperative R&D are difficult to realize.What’s more,studies on how to manage these two R&D approaches so as to obtain superior innovation performances are rare.To fill the above-mentioned gap,this study aims to search for an effective integrative mechanism that promotes the synergy between independent and cooperative R&D activities.By narrowing down to the problems concerning knowledge management,this study claims that it is essential to address two critical issues.Firstly,it is essential to figure out effective governance mechanisms to manage the cooperative R&D to acquire valuable knowledge from outside;secondly,extra values would be created and transformed into improved performance only if organizations can effectively absorb,integrate and exploit the acquired knowledge to strengthen inner innovation competence.Accordingly,this study proposes that knowledge acquisition is positively associated with synergy between independent and cooperative R&D,with the impact of contract mechanism on knowledge acquisition exhibiting an inverted U-shape while trust mechanism affecting knowledge acquisition positively.Moreover,it is argued that the relationship between knowledge acquisition and synergy effects is negatively moderated by centralization but positively moderated by formalization.Based on the data from 112 Chinese firms,hypothesis in this research are all supported.All in all,this study distinguishes itself by enriching our knowledge about how to synergize independent and cooperative R&D,and also provides useful guidance for firms struggling to coordinate independent and cooperative R&D for outstanding innovation and competitive advantages.