Selected internal and external factors of Innovation in PSEs in India

Abstract

newlineInnovation has prime importance and significant contribution in advancement of humanity as a whole. Its significance cannot be denied by any organization, country, community or any other entity. It s equally important for public as well as private sectors, developed or developing nations, be it western or oriental. Still, the scholastic attention to study innovation is inclined more towards private sectors in western developed countries. It is attempted here to study issues related to innovation in a different context with the help of three distinct but related field studies.The overall objective of studying Innovation in public sector enterprises is covered by three independent but related studies. Each of these three studies provides a systematic review of the research topic and takes the respective body of knowledge further. First study deals with the Management control system (MCS) and its relationship with Innovation. Second study analyses effect of new entrant and technology turbulence on Innovation followed by third study on relationship between type of strategy followed and innovation. As such strategy is viewed from two different angles. One is from management control angle and the other is strategy typology which are the internal factors affecting innovation outcome. The study also examines impact of two prominent external factors- technology turbulence and new entrant on innovation outcome. All three studies have used primary data collected from incumbent, large, listed public sector enterprises of India engaged in manufacturing sector. Management control systems are commonly assumed to limit autonomy and freedom, thereby hindering innovation. Over the past several years, researchers have studied this relationship in western societies and have compiled contradictory findings. As such, the relationship between management control systems and innovation needs to be further explored. This study seeks to provide a better understanding of this relationship by applying the of two new second-or