Managing functional diversity, risk taking and incentives for teams to achieve radical innovations

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In this study we analyse the effect of team diversity, encouragement to take risks and team incentives on the degree of radicalness of innovation. Empirical research has been conducted with a sample of 95 companies from four innovative industries according to their high number of patents. The results indicate that team diversity and the combined use of long- and short-term incentives are associated with incremental innovation, whereas the development of risk-taking attitudes within the team is associated with radical innovation.

Document Type: Research Article


Affiliations: Departamento de Dirección de Empresas, Universidad Pablo de Olavide, Ctra. Utrera, Km. 1 – 41013 Sevilla, Spain. ;;;, Email:

Publication date: January 1, 2008

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