Abstract and Keywords
This article seeks to understand the interaction between organization and innovation from three different but interdependent perspectives. It examines the relationship between organizational structures and innovation, drawing on the various strands of work in organizational design theories. It also looks at organizational innovation from the micro-level perspective of learning and organizational knowledge creation. It argues that organizations with different structural forms vary in their patterns of learning and knowledge creation, engendering different types of innovative capabilities. It then turns to the discussion of organizational adaptation and change, focusing on whether and how organizations can overcome inertia in the face of discontinuous technological changes and radical shifts in environmental conditions. This article concludes by discussing the limitations and gaps in the existing literature, and the areas for future research.
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