A knowledge-based innovation assessment system for small- and medium-sized enterprises : adding value with cognitive mapping and MCDA

Purpose: The 2008 global financial crisis showed that the ability to innovate is a key management skill and that approaches to assessing the innovation capability of small- and medium-sized enterprises (SMEs) need to be as realistic as possible. This study aims to address the latter practical need through a sociotechnical approach. Design/methodology/approach: Based on a combined use of cognitive mapping and the Decision EXpert (DEX) technique, and grounded on the insights generated by a panel of SME managers and entrepreneurs in two intensive group meetings, a knowledge-based assessment system for evaluating SMEs’ innovation capability was created, tested and validated. Findings: The knowledge-based assessment system identified the most innovative SMEs in a sample of companies. The “plus-minus-1” and dominance analyses carried out provided further support for the results. Research limitations/implications: The proposed system is extremely versatile but process-oriented and idiosyncratic in nature, meaning that extrapolations to other contexts need to be done with due caution. Practical implications: The panel of SME decision makers agreed that the system improves the current methods used to evaluate SMEs’ innovation capability, contributing to a more informed perspective on management issues. The panel members also noted that the proposed system functions as a learning mechanism, facilitating the development of well-focused suggestions for improvements SMEs can make. Originality/value: The integrated use of cognitive maps and rule-base decisions contributes to a better understanding of how to assess SMEs’ innovation capability. No prior work reporting the integrated use of these two techniques in this study context has been found.