A knowledge-based innovation assessment system for small- and medium-sized enterprises: adding value with cognitive mapping and MCDA

Abstract

Purpose The 2008 global financial crisis showed that the ability to innovate is a key management skill and that approaches to assessing the innovation capability of small- and medium-sized enterprises (SMEs) need to be as realistic as possible. This study aims to address the latter practical need through a sociotechnical approach. Design/methodology/approach Based on a combined use of cognitive mapping and the Decision EXpert (DEX) technique, and grounded on the insights generated by a panel of SME managers and entrepreneurs in two intensive group meetings, a knowledge-based assessment system for evaluating SMEs’ innovation capability was created, tested and validated. Findings The knowledge-based assessment system identified the most innovative SMEs in a sample of companies. The “plus-minus-1” and dominance analyses carried out provided further support for the results. Research limitations/implications The proposed system is extremely versatile but process-oriented and idiosyncratic in nature, meaning that extrapolations to other contexts need to be done with due caution. Practical implications The panel of SME decision makers agreed that the system improves the current methods used to evaluate SMEs’ innovation capability, contributing to a more informed perspective on management issues. The panel members also noted that the proposed system functions as a learning mechanism, facilitating the development of well-focused suggestions for improvements SMEs can make. Originality/value The integrated use of cognitive maps and rule-base decisions contributes to a better understanding of how to assess SMEs’ innovation capability. No prior work reporting the integrated use of these two techniques in this study context has been found.