Knowledge assets, innovation ambidexterity and firm performance in knowledge-intensive companies

Purpose This study aims to build upon resource orchestration theory to theorize and empirically test a model that demonstrates how knowledge assets and innovation ambidexterity trigger a synergy in favor of firm performance. Design/methodology/approach Drawing on a survey of 158 Iranian knowledge-intensive companies, this study uses the partial least squares based on structural equation modeling to test the research hypotheses. Findings The results show that two elements of knowledge assets, namely, structural and relational capital, indirectly affect firm performance through the full mediation of innovation ambidexterity. The findings indicate that human capital has no relationship with both innovation ambidexterity and firm performance. Practical implications This study offers fresh insights into the issue of how organizations can create value from an effective orchestration of various strategic resources and capabilities, including knowledge assets and innovation ambidexterity. Originality/value This study applies resource orchestration theory to concurrently the areas of knowledge resources and organizational ambidexterity to show how innovation ambidexterity plays a role in translating three various knowledge assets into performance.