Innovation research suggests that innovation types have different attributes, determinants, and effects. This study focuses on consequences of adoption of three types of innovation (service, technological process, and administrative process) in service organizations. Its main thesis is that the impact of innovation on organizational performance depends on compositions of innovation types over time. We examine this proposition by analysing innovative activity in a panel of 428 public service organizations in the UK over four years. Our findings suggest that focus on adopting a specific type of innovation every year is detrimental, consistency in adopting the same composition of innovation types over the years has no effect, and divergence from the industry norm in adopting innovation types could possibly be beneficial to organizational performance. We discuss the implications of these findings for theory and research on innovation types. Copyright (c) Blackwell Publishing Ltd 2009.

Th e backbone of theory of the market-based approach New Public Management is that market orientation improves public service performance. In this article, market orientation is operationalized through the dominant theoretical framework in the business literature: competitor orientation, customer orientation, and interfunctional coordination. Market orientation is examined from the vantage point of three stakeholder groups in English local government: citizens, public servants, and the central government's agent, the Audit Commission. Findings show that market orientation works best for enhancing citizen satisfaction with local services, but its impacts on the performance judgments of local managers or the Audit Commission are negligible.

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