An Analysis of Innovation in Oil and Gas Projects

We examine the effects of predictors from the firm, project, and individual levels on innovative behavior within oil and gas projects. The theory and propositions tested in this study stem from extant work on (1) innovation in poor performance conditions and (2) the availability of slack resources. The research findings revealed that innovative behaviors were present regardless of size, type, and project performance level. Further, it appears that the relationship between slack and innovation depends on when the innovation is introduced (i.e., when project performance is ahead of, or behind, a plan). Finally, the existence of innovation in (1) under-performing projects did not appear to exert any influence on project outcome, and (2) over-performing projects appeared to exert a negative influence on project outcome.
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