Cover -- Half-title -- Title page -- Copyright information -- Dedication -- Table of contents -- List of Figures -- List of Tables -- List of Boxes -- Preface -- Acknowledgements -- Part I Opening the Black Box of Innovation Networks -- 1 Introduction -- 1.1 The Network Perspective -- 1.2 The Changing Meaning of Networks and Innovation -- 1.3 What is an Innovation Network? -- 1.4 The Structure-agency Debate and Network Management -- 1.4.1 Direct Network Interventions -- 1.4.2 Situation Analysis -- Change Management. -- Knowledge Management. -- Decision-making. -- Industry Analysis. -- Discussion Questions -- 2 Two Sides of Innovation: Search and Selection -- 2.1 Growing Role of Interactions in Innovation Studies: 1950 Onwards -- 2.2 The Myth of the Lonely Inventor: Knowledge Flow between People -- 2.3 Innovation is Clustered -- 2.4 Innovation is Path-dependent -- 2.5 Recombination is Central in Innovation -- 2.6 Innovation is Uncertain -- Further Reading -- 2.7 Search and Networks -- 2.7.1 Learning -- 2.7.2 Creativity -- 2.8 Selection and Networks -- 2.8.1 Signalling -- 2.8.2 Organisational Change -- 2.8.3 Innovation Diffusion -- Discussion Questions -- 3 Network as a Nested System -- 3.1 Hierarchical Nesting of Networks -- 3.2 The Network Horizon: How Far to Look -- 3.3 The Upper Network Horizon: Inter-organisational Level -- 3.3.1 Alliance Level -- 3.3.2 Alliance Portfolio -- 3.3.3 Inter-organisational Networks -- 3.3.4 Platform -- 3.4 The Lower Network Horizon: Intra-organisational Level -- 3.4.1 Teams -- 3.4.2 Inter-team Relations -- 3.4.3 Inter-departmental Relations -- 3.4.4 Strategic Business Unit Networks -- Discussion Questions -- 4 Social Network Analysis for Innovation Networks -- 4.1 Network Data Sources in Innovation Studies -- 4.1.1 Bibliometric Data -- 4.1.2 Boundary Specification -- Risks of Omission. Boundary Specification in Bibliometric Data. -- 4.2 Basic Notation -- 4.3 Focus on the Node -- 4.3.1 Prominence of Nodes in Advice Networks -- 4.3.2 Knowledge Brokerage -- 4.3.3 Prominence in Cross-boundary Knowledge Flow -- 4.3.4 Social Influence -- 4.3.5 Controlling Information Flow -- 4.3.6 Buy-in Ties -- 4.3.7 Detecting Important Patents -- Citation Count. -- Connectivity Analysis. -- Downsides of Using Patent Citation Data. -- 4.3.8 Finding Breakthrough Inventions -- 4.4 Detecting Cohesive Subgroups -- 4.5 Knowledge Mapping -- 4.5.1 Inventor Collaborations -- 4.5.2 Analysing the Knowledge Base of Firms by Co-occurrence of Technological Domains -- 4.5.3 Analysing Technology or Industry Evolution -- Defining Technological Domains. -- Domain Analysis by Co-occurrence Networks. -- Domain Analysis by Citation Networks. -- 4.6 Focus on Global Networks -- 4.6.1 Creativity and Recombination Capacity -- Small-world Network. -- Scale-free Network. -- 4.6.2 Concentration of Power -- 4.6.3 Interaction Intensity -- Density. -- Clustering Coefficient. -- 4.6.4 Speed of Knowledge Diffusion -- 4.7 Some Important Topics -- 4.7.1 Balance Theory and Homophily -- 4.7.2 Strong and Weak Ties -- 4.7.3 Closure and Structural Holes -- 4.7.4 Structural and Regular Equivalence -- 4.7.5 Structure and Agency -- Discussion Questions -- 5 Managing Innovation Networks -- 5.1 What is Network Management? -- 5.1.1 Aims of Network Management -- Change Management. -- Fit between Informal and Formal Networks. -- Creativity Management. -- Knowledge Management. -- Partner Selection. -- Transfer of Capabilities. -- Industry and Competitiveness Analysis. -- Supply Chain Management. -- Diffusion of Managerial Practices. -- Marketing. -- Decision-making. -- Venture Capital and Entrepreneurs. -- Implementation of Innovation. -- 5.1.2 Which Network? -- 5.1.3 Social Network Analysis. 5.1.4 Appraisal -- 5.1.5 Planning -- 5.1.6 Follow-up -- 5.2 Innovation Types and Networks -- 5.2.1 Product and Process Innovations -- Process Innovations. -- Cross-industry Collaborations. -- Product Innovations. -- 5.2.2 Radical and Incremental Innovations -- Alliance Portfolios and Radical/Incremental Innovations. -- Intra-organisational Networks and Radical Innovations. -- Radical Innovations and Network Change. -- 5.2.3 Architectural versus Component Innovations -- 5.3 RandD Intensity and Networks -- 5.3.1 Absorptive Capacity and Network Advantage -- 5.3.2 Cognitive Distance between Partners -- 5.4 Sources of Innovation and Networks -- 5.4.1 Sectoral and Country Differences -- 5.4.2 Range of Information Sources -- 5.5 Innovation Timing and Networks -- 5.5.1 Timing in Standards-based Industries -- 5.5.2 Early Access to Information -- 5.5.3 Industry Life Cycle -- 5.6 Revisiting the Network Horizon -- 5.7 Complexity and Novelty Trade-off: Institutional, Technological and Firm-specific Factors -- 5.7.1 Institutions -- 5.7.2 Technology and Market-specific Factors -- Economies of Scope. -- Heterogeneous Consumer Preferences. -- Modularity. -- Knowledge Base. -- Stage in the Industry Life Cycle. -- Network Externalities in User Markets. -- Uncertainty. -- 5.7.3 Firm-specific Factors -- Size and Diversification of Organisation. -- Incremental or Radical Innovation Strategy. -- Absorptive Capacity. -- Experience in Network Management. -- First Mover or Follower? -- Discussion Questions -- Part II Search Processes -- 6 Alliances, Networks and Learning -- 6.1 Organisational Learning -- 6.1.1 Exploration and Exploitation -- 6.1.2 Ambidexterity -- 6.2 Learning at the Dyadic Level -- 6.2.1 Strength of Ties -- 6.2.2 Knowledge Overlap between Firms -- 6.2.3 Alliance Management Capability -- 6.3 Learning and Alliance Portfolios -- 6.3.1 Portfolio Diversity. Partner Diversity. -- Tie Diversity. -- Pairwise Diversity. -- 6.3.2 Ties between Partners -- 6.4 Learning in Networks -- 6.4.1 Contingency and Balance Perspectives -- 6.4.2 Brokerage and Learning Performance -- Absorptive Capacity. -- Institutional Framework. -- Stability of the Industry. -- Time. -- Nature of Task. -- Interactions with Other Network Metrics. -- 6.5 Revisiting the Network Horizon -- Discussion Questions -- 7 Creativity and Networks -- 7.1 The Individual and Social Sides of Creativity -- 7.2 Recombination, Diversity and Complexity -- 7.2.1 Recombination and Analogous Thinking -- 7.2.2 What Kind of Diversity? -- 7.2.3 Complexity -- 7.3 Brokerage and Ideation -- 7.3.1 Sustaining brokerage -- 7.3.2 Brokerage Roles -- Consultant. -- Coordinator. -- Liaison. -- Boundary Spanner. -- 7.4 Strong Ties, Cohesion and Creativity -- 7.4.1 Cohesive Networks -- 7.4.2 Trade-off between Cohesion and Sparseness -- 7.4.3 Nature of Tasks -- 7.5 Global Network Structures and Creativity -- 7.5.1 Small-world Networks -- 7.5.2 Core-periphery Networks -- Discussion Questions -- 8 Users, Product Systems and Networks -- 8.1 Modularity -- 8.1.1 What is Modularity? -- 8.1.2 Design Structure Matrix -- 8.1.3 Modularity and Product Performance -- 8.1.4 Teams -- 8.1.5 Outsourcing and Knowledge Transfer -- Does Modularity Increase Outsourcing? -- Does Modularity Increase Inter-firm Knowledge Transfer? -- 8.1.6 Modularity and Platforms -- 8.2 Interactions with Users -- 8.2.1 Direct Involvement of Users in Innovation -- 8.2.2 Indirect Involvement of Users in Innovation -- 8.2.3 Network Structure of User Innovation -- Discussion Questions -- Part III Selection Processes -- 9 Decision-making, Signals and New Ventures -- 9.1 Organisational Routines and Selection Biases -- 9.1.1 Adaptation and Routines -- 9.1.2 The Two Faces of Routines. 9.2 Noticing Information and Making Sense of It -- 9.3 Networks and Cognitive Biases -- 9.3.1 False Consensus Effect -- 9.3.2 Bounded Awareness -- 9.3.3 Groupthink -- 9.3.4 Group Polarisation -- 9.3.5 Dealing with Biases by Managing Networks -- 9.4 Networks as Signals -- 9.4.1 Network Perception -- 9.4.2 Networks as a Source of Legitimacy for Entrepreneurs -- 9.5 Entrepreneurship and Networks -- 9.5.1 Cohesive Networks -- 9.5.2 Brokerage -- 9.5.3 Venture Capital Networks -- 9.6 Buy-in Ties and Intrapreneurs -- 9.6.1 The Role of Networks in Attracting Support -- 9.6.2 Network Positions for Validation -- Discussion Questions -- 10 Networks and Organisational Change -- 10.1 Why Change? -- 10.2 Change Management and Networks -- 10.2.1 Reallocation of Resources Following the Change -- 10.2.2 Influence and Pre-change Networks -- 10.3 Anticipating Post-change Networks -- 10.3.1 Capability Bias -- 10.3.2 Network Position Bias -- 10.3.3 Fit between Formal and Informal Networks -- 10.4 Understanding Pre-change Networks -- 10.5 Cohesion and Structural Equivalence -- 10.5.1 Cohesion and Influence -- 10.5.2 Strong Ties and Persuasion -- 10.5.3 Cohesion and Perceived Reduction of Uncertainty -- 10.5.4 Measuring Cohesion -- 10.5.5 Structural Equivalence and Mimetic Isomorphism -- 10.6 Change Agents and Centrality -- 10.7 Advice Networks and Friendship Networks -- Discussion Questions -- 11 Networks and Diffusion -- 11.1 Diffusion Studies: From Past to Present -- 11.2 Threshold Models of Diffusion -- 11.2.1 Examples of Threshold Models -- 11.2.2 Threshold Model and Networks -- 11.2.3 Network-related Determinants of Adoption -- 11.3 Influentials -- 11.3.1 Who are Opinion Leaders? -- Timing of Adoption. -- Experience. -- Distance between Adopter and Opinion Leader. -- Loyalty. -- 11.3.2 Detecting Opinion Leaders by SNA -- 11.4 Centrality -- 11.4.1 Degree Centrality. 11.4.2 Betweenness Centrality.