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The Innovation Arena: A Method for Comparing Innovative Problem-Solving Across Groups
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Centralization or decentralization? Power allocation in team innovation management.

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Power disparity in teams can boost innovation through coordination but hinder it via conflict. Power legitimacy strengthens positive coordination and weakens negative conflict, ensuring overall innovation gains.

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Area of Science:

  • Organizational Behavior
  • Management Science

Background:

  • Power disparity within teams creates a dual effect, impacting team dynamics and performance inconsistently.
  • Existing research lacks a comprehensive model to explain the varied outcomes of power disparity.

Purpose of the Study:

  • To develop and test a theoretical model explaining the influence of power disparity on team innovation performance.
  • To investigate the mediating roles of team coordination and team conflict.
  • To examine the moderating effect of power legitimacy.

Main Methods:

  • A quantitative study analyzing survey data from 76 teams across 27 company types.
  • Statistical analysis and hypothesis testing were employed to validate the proposed model.

Main Results:

  • Power disparity positively impacts team innovation through enhanced team coordination.
  • Power disparity negatively affects team innovation through increased team conflict.
  • Power legitimacy moderates these effects, suppressing conflict and strengthening coordination.

Conclusions:

  • Power disparity can positively influence team innovation performance when managed effectively.
  • Power legitimacy is crucial for optimizing the relationship between power disparity and team innovation.
  • Findings offer insights for designing organizational structures and decision-making processes.