Organizational Innovation Capability, Product Platform Development and Performance: The  case of Iranian API companies, TAPIC subsidiaries

• This study attempts to explore (examine) the relationship between organizational innovation capability and product platform development as well as organizational performance in Active Pharmaceutical Ingredient (API) producer in Iran. Accordingly, a conceptual and analytical model for examining relationship of innovation capability of a firm with product platform development as well as performance  of API producers is developed which consisting of components:  strategy, processes, Linkage, organizational structure,  learning, product platform development and performance. The model is operationalized and tested in a group of Iranian API producers.The data were collected from eight subsidiaries companies of TAIC which are the largest conglomerate in production, provision and distribution of API in Iran. Our database consists of 168 questionnaires and companies, internal documents. Both quantitative and qualitative analyses were used as complementary to each other.1. The results show that most of Iranian API companies buy the required technology in order to establish a new product platform. This behavior was common among in both successful and unsuccessful firms. However, they were different in using the acquired technology for developing derivative products internally. The successful API producers (high performance) because of having better innovation capability are prone to use the opportunities to develop the new product derivatives, which can increase the sale and also the profit of company as well as its performance.2. There is a positive relationship between the organizational innovation capability and product platform development of the companies, and the firms which are better in innovation capability are prone to develop more products (derivatives) in the existing product platform when there is opportunity to develop new products and also there is a positive relationship between the performance of the companies and their innovation capabilities too, In which the firms which have the better innovation capabilities, have the better performance.3. Firms with good organizational innovation capability have a great possibility to develop their product platform as well as their organizational performance. Such firms had well communicated vision and mission, clear organizational purpose, long term commitment to the main projects, effective mechanisms to implement the innovation, systematic problem solving, proper organizational context, proper working structure, reward system, effective internal and external organizational systems, close relationship with customers, supplier and partners, commitment to training and development.

Ämnesord

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business (hsv//eng)

Nyckelord

Innovation Capability

Product Platform Development

Performance

Pharmaceutical

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