Exploring the Interplay of the Physical Environment and Organizational Climate in Innovation

Abstract

The intricate relationship between physical and social environments within organizations plays a pivotal role in shaping innovation endeavors. This paper introduces a three-dimensional framework aimed at comprehending the intricate mechanisms through which the physical and social environments synergistically drive innovation. Building on this, a systematic four-dimensional framework (communality, individuality, comfort, and health) is proposed to structure a comprehensive literature review, mapping out the intricate linkages between innovation and the physical environment. Through this extensive review, we delve into the intricate connections between the physical innovation environment and the broader innovation climate, unearthing valuable insights. Additionally, we highlight two promising directions for future research within the realm of physical environment–innovation climate interactions. Furthermore, we underscore the paramount importance of embracing an interdisciplinary approach, seamlessly blending perspectives from both the physical and social spheres to gain a holistic and nuanced understanding of the innovation landscape. This integrated viewpoint is pivotal to unraveling the multifaceted dynamics that underlie successful innovation initiatives.