The influence of decision comprehensiveness on innovative behaviors in small entrepreneurial firms: the power of connectivity

Yair Friedman, Abraham Carmeli

Research output: Contribution to journalArticlepeer-review

Abstract

Small entrepreneurial firms lack the resources that large firms possess, but they often thrive on innovation. A key question is how these firms develop this innovative capacity despite their limited resources and administrative support. We examine decision-making processes and explore the relational conditions within a firm’s top management team (TMT) that drive innovation. Specifically, we develop a conceptual model in which we theorize about the socio-psychological conditions of connectivity under which strategic decision-making processes help to defy the norms and facilitate innovative behaviors. Results of data collected from the TMTs of 149 small entrepreneurial firms indicate that the link between Strategic Decision Comprehensiveness (SDC) and TMT innovative behavior was stronger when the relationships among TMT members were characterized by a high level of connectivity. This research integrates the emerging theory of Positive Work Relationships to inform Upper Echelon research on the socio-psychological conditions in which SDC may drive TMT innovative behavior.

Original languageEnglish
Pages (from-to)61-83
Number of pages23
JournalInnovation: Management, Policy and Practice
Volume20
Issue number1
DOIs
StatePublished - 2 Jan 2018

Keywords

  • Comprehensiveness
  • connectivity
  • innovation
  • innovative work behavior
  • small entrepreneurial firms
  • top management teams

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