Towards enhancing innovation capability of teams: a conceptual perspective

Purpose This conceptual paper aims to explain the unidirectional cross-level impact of five “organizational-level” factors on “team-level” innovation capability through two “team-level” mediating factors. This multivariate model consists of five organizational-level factors (higher-level) factors – leadership, culture, structure, networks and knowledge – and team-level (lower-level) factors – “innovation capability”, “team-level focus” and “team-level intensity” towards innovation. Understanding the top-down influence of higher-level factors on lower-level ones gives this study a cross-level and unidirectional nature. Design/methodology/approach A keyword-based approach was used to select “relevant” articles from major journals to collect evidences and develop a conceptual model. All factors in the conceptual model were chosen from the organizational- and the team-level literature. Theoretical background for each of the chosen “factors” has been presented under relevant headings. Findings First is the conceptualization of team-level mediators – intensity and focus – towards innovation. Second is the conceptualization of innovation capability as a team-level factor, characterized by two sub-dimensions: customer orientation and manifestation. Research limitations/implications This conceptual paper does not contain any empirical data analysis. The authors have not considered individual-level factors like individual excellence, personalities, etc., which may impact team-level innovation. They are specifically looking at the top-down “unidirectional” cross-level impact of “higher-level” (organizational-level) factors on “lower-level” (team-level) factor, not the other way around. Practical implications Innovation-driven organizations can use this model to build long-term “innovation capabilities” by developing the right kind of “intensity” and “focus” of their R&D teams towards innovation. R&D teams can be encouraged to work closely with their “target” customers and manifest their innovation capabilities (to them) to ensure market success. Social implications Top management can design organizational-level policies to improve their leadership, culture, structure, networks and knowledge to encourage better innovation. Future researchers who wish to study the “cross-level” influence of organizational-level factors on team-level innovation capability may find this paper useful. Originality/value This study’s original contributions include: first, the conceptualization of a multivariate “cross-level” model to understand team-level innovation capability. Second is proposing the mediating role of “team-level” factors like focus and intensity while building innovation capability. Third is conceptualizing innovation capability as a team-level construct, with sub-dimensions: customer orientation and manifestation.