Consequences of open innovation: effects on skill-driven recruitment

Abstract

Purpose This paper aims to focus on the human side of inbound open innovation by analyzing the effects that the adoption of different knowledge search strategies for innovation has on new recruitment needs. Design/methodology/approach Building on several theoretical perspectives, the study proposes three hypotheses regarding the relationship between openness and the need to recruit people with high technical and social skills. Using a pooled panel data from the Uruguayan Innovation Survey between 2004 and 2012, the authors identify open strategies followed by the firm. Findings The estimation results using pooled panel data confirm that the adoption of inbound open search strategies for innovation demands the recruitment of new employees with higher technical and social skills. Technical skills are more likely to be demanded than social skills. The effects observed are moderated by the intensity in the use of knowledge and information sources (KISs). Originality/value This paper revisits the analysis of specific knowledge search strategies at the firm level. In doing so, the study looks for the effects of specific strategies combining different knowledge sources and considers different levels of use of external KISs, from narrow to wide. While other studies have analyzed the human factor as a determinant of the success of openness for innovation, this paper re-examines the direction of this relationship. Finally, the study contributes to the evidence from a Latin American country, where these topics have received less attention.