Impact of Product and IT Open Innovation on Performance in Banking

Based on open innovation theory and interviews with managers of 18 banks,it re-developed and built open innovation strategy constitution in banking. It carried out an empirical analysis based on 126 questionnaires of sample banks,in order to investigate the impact of financial product and information technology open innovation on company performance. The results show that the banks implement the strategy of open innovation primarily through collaboration with customers,technological suppliers,financial institutions and research institutions,and open innovation significantly promotes product innovation,IT innovation and operational performance. However,there exist some minor differences in the participation extent and effects on performance among these partners. Knowledge management capability moderates the positive relationship between open innovation and performance. At the same time,product innovation and IT innovation have interactive effects on operational performance.