Influence of Top Management on Ambidextrous Innovation in Regional SMEs
DOI:
https://doi.org/10.33414/rtyc.55.13-32.2026Keywords:
ambidexterity, innovation, top management teamAbstract
This study examines how the composition and functioning of top management teams (TMT) in Argentine SMEs located far from major urban centers influence the implementation of their ambidextrous innovation strategy. The literature conceives innovation from two perspectives characterized by qualitatively different learning and development processes: exploration and exploitation. While exploration is associated with new knowledge capable of generating "radical innovations," exploitation involves the intensive use of existing knowledge to promote "incremental innovations." The simultaneous coexistence of both orientations is precisely referred to as “ambidextrous innovation.” The importance of managerial leadership has been highlighted in cultivating and managing the mechanisms that allow for a balance between different strategic orientations, such as in this case. Equally emphasized is the value of cognitive diversity, beliefs, and thinking styles within the TMT. However, there is limited research examining the influence of the TMT and the impact of its diversity and functioning on ambidextrous innovation in companies from developing countries. This study contributes to existing knowledge by demonstrating that, although the “owner-managed” leadership of regional SMEs has been characterized by remarkable determination and a strong entrepreneurial and creative spirit, they have not developed TMT diversity or its functioning as recommended by the academic community, hindering their “ambidextrous leadership.” As a result, they have seen a reduced likelihood that ambidexterity will become an organizational value capable of systematic implementation, thereby undermining the assurance of their competitive sustainability based on innovation. This paper offers a way to overcome this problem, suggesting that top management fully recognize the relevance assigned by the Upper Echelons theory and restructure its identity, for which purpose it is recommended to adopt an approach and certain practices that are extremely useful and necessary to form a leadership capable of effectively promoting these two antagonistic cultures: exploration and exploitation.
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