An Exploratory Study of Innovation Effectiveness Measurement in Australian and Thai SMEs
International Journal of Organisational Behaviour, 12(1) 2007
16 Pages Posted: 29 Nov 2012
Date Written: August 23, 2007
Abstract
The advantages of using a balanced approach to measurement of overall organisational performance are well-known. We examined the effects of a balanced approach in the more specific domain of measuring innovation effectiveness in 144 small to medium-sized companies in Australia and Thailand. We found that there were no differences in the metrics used by Australian and Thai companies. In line with our hypotheses, we found that those SMEs that took a balanced approach were more likely to perceive benefits of implemented innovations than those that used only a financial approach to measurement. The perception of benefits then had a subsequent effect on overall attitudes towards innovation. The study shows the importance of measuring both financial and non-financial indicators of innovation effectiveness within SMEs and discusses ways in which these can be conducted with limited resources.
Keywords: Balanced Scorecard, Innovation effectiveness, Implementation, Performance measurement
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