The interplay of open innovation, knowledge-oriented leadership and project performance

Purpose Recently, researchers have recommended open innovation (OI) as the appropriate innovation model to improve firm performance and innovative performance, as it considers innovation based on knowledge inflows and outflows. However, this research literature has a gap as to studies on the contribution of OI to project performance. This study aims to examine the interplay of knowledge-oriented leadership (KOL), OI and project performance and evaluates the moderator role that KOL imposes on the relation between OI and project performance in companies in the automobile sector. Design/methodology/approach This study uses partial least squares-structural equation modeling to evaluate the proposed research model through a sample of 137 companies in the Brazilian automobile industry. Findings The results of the study show that both inbound and outbound OI have a positive impact on project performance. Furthermore, this research indicates that while KOL does not directly contribute to project performance, it moderates the positive relationship between inbound and outbound OI and project performance. Practical implications Project team represents the place where the innovation process is developed. It is through the project team that the firm establishes partnerships with other organizations to provide knowledge inflows and outflows. Furthermore, project managers must change the leadership model based essentially on technical aspects (hard) to KOL, also intervening in the cognitive process of team members, as to interpersonal communication, application of decision-making and problem-analysis methods and development of action plans. Originality/value Much research focuses on studying OI at the firm level. This research contributes to the OI literature by studying OI at the project level. This study indicates that both inbound and outbound OI flows positively impact project performance, with the latter having a greater positive impact. The research results also show that although KOL does not directly impact project performance, it moderates the relationship between inbound and outbound OI on project performance. KOL more significantly moderates the relationship between outbound OI and project performance.