Because the resources necessary for innovation often exist beyond the boundaries of the organization, top management team (TMT) members often access them from their personal networks. Because small organizations tend to lack a history of high growth, they are often perceived as less legitimate than large organizations and thus their access to critical resources is often constrained, suggesting that small organizations would have a greater need to develop and use network resources. However, creating/maintaining/leveraging networks is more difficult for small organizations; thus, managers from large firms may have greater access to needed resources because the size of their firms reflects greater commitment to the network relationship and likelihood of reciprocity. Thus, we hypothesize that the positive relationship between a variety of network dimensions (tie strength, redundancy, external locus of orientation, size, utilization) and innovativeness will be strongest for large organizations.
Clark, Kevin D. and Newbert, Scott L.
"TMT NETWORKS AND ORGANIZATIONAL INNOVATIVENESS: CONTRASTING THE BENEFITS OF ORGANIZATIONAL SLACK WITH THE LIABILITIES OF SMALLNESS (INTERACTIVE PAPER),"
Frontiers of Entrepreneurship Research: Vol. 31
, Article 3.
Available at: http://digitalknowledge.babson.edu/fer/vol31/iss10/3