Exploring the Interplay of the Physical Environment and Organizational Climate in Innovation

Abstract

The intricate relationship between physical and social environments within organizations plays a pivotal role in shaping innovation endeavors. This paper introduces a three-dimensional framework aimed at comprehending the intricate mechanisms through which the physical and social environments synergistically drive innovation. Building on this, a systematic four-dimensional framework (communality, individuality, comfort, and health) is proposed to structure a comprehensive literature review, mapping out the intricate linkages between innovation and the physical environment. Through this extensive review, we delve into the intricate connections between the physical innovation environment and the broader innovation climate, unearthing valuable insights. Additionally, we highlight two promising directions for future research within the realm of physical environment–innovation climate interactions. Furthermore, we underscore the paramount importance of embracing an interdisciplinary approach, seamlessly blending perspectives from both the physical and social spheres to gain a holistic and nuanced understanding of the innovation landscape. This integrated viewpoint is pivotal to unraveling the multifaceted dynamics that underlie successful innovation initiatives.

Places and spaces of collaborative R&D and innovation: navigating the role of physical and virtual contexts

“…For instance, physical spaces tend to be flexible and allow for modifying the degree to which the physical space and its location are the same, equivalent, or independent from the stakeholders' normal operating environment (e.g., work, study, and shopping) (Moultrie et al., 2007). This is particularly important as collaborative R&D and innovation tend to capitalize on the benefits of a particular physical space and the innovation climate that the physical space and the participating innovators create (Peng and Jia, 2023). Furthermore, physical spaces facilitate shared experiences when people meet face‐to‐face, which enriches the mutual understanding of meanings and fosters collaboration (Nyström et al., 2014; Peschl and Fundneider, 2014).…”