Can innovative R&D performance be managed

Companies around the world look toward their R&D function for innovative ideas that can be transferred to market for economic gain. Yet, managers often argue that innovative R&D performance is difficult to measure and nearly impossible to control. The findings of a field study into technology-oriented R&D environments show that effective management of innovative R&D teams involves a complex set of variables related to the task, people, and organizational environment. Correlation of these variables to performance suggests that many of the performance variables have their locus outside the R&D organization, however managerial leadership style has significant cross-functional impact and drives R&D creativity. Suggestions for examining leadership effectiveness are discussed.