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Establishing SME–university Establishing

SME-
collaboration through innovation university
collaboration
support programmes
Martin Kurdve
Division of Supply and Operations Management,
Technology Management and Economics, Chalmers University of Technology, Received 15 September 2018
Revised 14 July 2019
G€oteborg, Sweden and 25 November 2019
Materials and Production, RISE Research Institutes of Sweden AB, M€olndal, Sweden 17 April 2020
24 June 2020
Anna Bird Accepted 24 July 2020

Innovation and Design Technology, M€alardalens University, Eskilstuna, Sweden, and

Jens Lage-Hellman
Division of Supply and Operations Management,
Technology Management and Economics, Chalmers University of Technology,
G€oteborg, Sweden

Abstract
Purpose – The research purpose is to analyse when and how innovation support programmes (ISPs) can affect
collaboration between universities and established small and medium sized enterprises (SMEs). The paper
specifically considers SME’s absorptive capacity.
Design/methodology/approach – A Swedish research centre is studied in the context of innovation support
and two of its SME-ISPs are examined with regards to industry–university collaboration and impact on firm
innovation capabilities. Data collection and analysis are performed, using interviews, survey answers,
document search and reflectional analysis to evaluate processes and effects of the centre and the programmes.
Findings – A developed research centre, integrated into both academia and industry, can support
translational collaboration and promote SME innovation absorptive capacity. The action learning elements
and the organisational development approaches used when coaching in the ISPs contribute to the SMEs
internal absorption capacity and collaborational skills. Organising collaboration into ISPs can provide a
relational path to future collaboration with universities, which, for example start with student projects.
Research limitations/implications – The study, though limited to one Swedish region, adds to empirical
innovation research as it connects industry–university collaboration and absorptive capacity to organisational
learning.
Practical implications – The empirical results indicate possible long-term gains for industry and
universities in building collaborative innovation into SME-ISPs.
Originality/value – The contribution of this study pertains to the practice of innovation support for
established SMEs with the inclusion of absorption capacity and collaborative innovation development.
Keywords Innovation, SMEs, Industry–university collaboration, Organisational development, Production
system management development
Paper type Research paper

Introduction
The mission of universities are to conduct academic research and to spread knowledge
through education. Industrial firms benefit from this by recruiting educated staff and
appropriating new knowledge by, for example reading scientific journals. Nowadays,
Journal of Manufacturing
Funding: This research was performed in connection to M€alardalen University, XPRES and Living-Lab, Technology Management
RISE production system development and Area of advance–Sustainable production at Chalmers © Emerald Publishing Limited
1741-038X
University of Technology. It was partly funded by the Vinnova (Sweden’s Innovation Agency) project Pin3. DOI 10.1108/JMTM-09-2018-0309
JMTM universities have a so-called third mission where they contribute directly by collaborating
with firms to support their innovation activities. Innovation is a process were knowledge is
generated, applied and put into a broader use. Industry–university collaboration increasingly
constitutes an important means to spread and implement research-based knowledge and
ideas. to the result is the development and commercialisation of new products, services and
processes. This collaboration development is interconnected with the extent of innovation
and correlated competitiveness of firms (Serrano-Bedia et al., 2012) and thus dependent on
development of innovation absorption capacity (T€odtling et al., 2009).
There are different types of innovation support organisations with varying connection to
universities. A common way to organise industry–university collaboration is through
business-based technology centres or university-based research centres (Kaufmann and
T€odtling, 2002). The activities carried out here may include, for example, joint research
projects (see, e.g., Lind et al. (2013)) and activities like coaching, training and student projects
(Sann€o et al., 2018). Sometimes research centres run organised innovation support
programmes (ISPs) with a specified structure to coaching, seminars and other
collaboration activities.
From the firm perspective the aim of university collaboration is to increase its innovation
and competitiveness. Firm innovation includes internal innovation capabilities (e.g. firm
R&D) and external innovation capabilities through consultants (Bessant and Rush, 1995) or
collaboration with academia. University collaboration is considered an important
complement to firms’ internal innovation activities and consultant generated external
innovations (Serrano-Bedia et al., 2012; T€odtling et al., 2009), especially when encountering
rapid changes in business (Sann€o et al., 2018). A prerequisite for successful innovation
leading to implementation of new knowledge are sources of new knowledge (e.g. through
research collaboration), as well as developing internal innovation absorption capacity within
the firm (Serrano-Bedia et al., 2012; Zahra and George, 2002).
Absorption capacity is divided into potential absorption capacity (PAC), including
external collaboration capabilities in forming new knowledge, and realised absorption
capacity (RAC) where internal processes transform and assimilate the knowledge into
operative practice. Socialisation or internal collaboration capabilities are antecedents of
realised absorption capacity (Castillo and Trinh, 2019). Tacit and organisational knowledge
implementation requires more frequent interactions, richer communication and experience-
sharing to be applied within the firm (Bierly III et al., 2009). Thus, the coaching elements and
the structure of an ISP supports both the firms realised absorption capacity development of
organisational change management abilities (Castillo and Trinh, 2019) and the development
strategies of collaborational research capabilities and potential absorption capacity (Laursen
and Salter, 2004).
Small and medium sized enterprises (SMEs) struggle to collaborate with universities for
innovation purposes (Laursen and Salter, 2004), though university spin-offs and high-tech
start-ups are possible exceptions. Activities in industry–university research centres have
often focused on large firms and technology-intensive SMEs, while less attention has been
paid to other types of SMEs (T€odtling and Kaufmann, 2001). Established SMEs (older SMEs
in traditional industries) still provide an important base for industrial development in Europe
(Taticchi et al., 2012) and the promotion of collaborative innovation activities for SMEs have
great relevance (Serrano-Bedia et al., 2012). Hence, there is a need for research centres to take
the role of connecting established SMEs to universities (T€odtling and Kaufmann, 2001).
This is the starting point for the present study. The purpose is to analyse two Swedish
ISPs, provided by a university run research centre, that supports innovation in established
SMEs. M€alardalen Industrial Technology Centre (MITC), a research centre tied to M€alardalen
University in east-mid-Sweden, is studied. In this study, MITCs role is analysed through
interviews. Two of its ISPs, Produktionslyftet (PL) and Tillv€axtmotorn (TM) are examined
with regards to how their coaching elements and structure impacts on industry-university Establishing
collaboration, potential absorption capacity and realised absorption capacity. The paper SME-
presents a reflexive analysis of the ISPs coaching and organisational learning results, placed
in the theoretical contexts of innovation absorption capacity (Zahra and George, 2002) and
university
internal, external and collaborative innovation (Serrano-Bedia et al., 2012). collaboration
The two ISPs were researched since they engage university representatives and support
and coach industrial SMEs development. Although the two use different set-ups and
coaching strategies. Produktionslyftet is one of the largest SME-development programmes in
Sweden. Tillv€axtmotorn is with its smaller size, target-group and programme length,
representative of many similar programmes. Both programmes are standardised,
documented and evaluated regularly. Focusing on innovation skills, change management
and continuous improvement, both use a mix of practice and theory in experiential learning.
The study assesses the programmes with regards to their foundational theories. The
scientific aim of this study was to increase the general understanding of how university
research centres can facilitate long-term SME–collaboration through ISPs. Here there are
several questions on the role research centres and ISPs play for SME innovation. What is the
role of the development of innovation skills (both potential and realised absorption capacity
skills) and how coaching elements, and structure of, the ISP affect SME–university
collaboration? This contribution of the paper focuses around two research questions:
(1) What role do the needs for development, in particular absorptive capacity, play for
SME–university collaboration?
(2) How does the design of ISPs affect university collaboration and absorptive capacity
for participating SMEs?
The research questions demand a mixture of broad and in-depth information sources. Since
this was a qualitative study on a single case, based on interviews, surveys and reflection of
action research (Shani and Coghlan, 2019; Coughlan and Coghlan, 2002), the results can be
used to increase understanding of the influential factors of the researched phenomenon and to
generate hypotheses for future quantitative research. Risks of bias in the reflectional analysis
were minimised by using complementary sources. The scientific contribution of the study
pertains to the practice of innovation support for established SMEs. It supplements previous
innovation research on absorptive capacity and university collaboration in the context of how
ISPs have been put into practice. In addition, there is practical contribution to how to place
ISPs in a theoretical context and improve their performance.

Theoretical background
SME collaboration, innovation support and research centres
Industrial firms can gain knowledge through internal, external and collaborative innovation
processes (Serrano-Bedia et al., 2012; T€odtling et al., 2009). Firms learning and acquisition,
that is search and selection of innovative knowledge, can be internal, from own creation
processes, or external (Bessant and Rush, 1995), for example from consultants and
collaborative actors like universities. The aim of participating in research centre activities
from the university perspective is co-production (Sann€o et al., 2018) or collaborative research
(Bierly III et al., 2009) with industry. From the firm perspective collaborative research may
include external collaboration with universities or with other firms, but similar cooperative
and absorptive capabilities and skills are needed (Bessant et al., 2012; Taticchi et al., 2012).
There are several ways to organise innovation support; support of start-ups, backing
investments and strengthening innovation capabilities of firms (Kaufmann and T€odtling,
2002). Research centres are a type of innovation support organisation which mediate or
facilitate collaboration between universities and industrial firms. They fund, put forward
JMTM research agendas, order and participate in research projects to create long-term value for both
actors (Lind et al., 2013). Villani et al. (2017) categorise three different roles for such centres:
incubators, technology transfer offices and collaborative research centres. Lind et al. (2013)
have identified four forms of collaboration for projects/processes that take place in research
centres: distanced, specified, translational and developed. Several of these can be present in
one centre acting as a mediator enabling the actors to learn how to collaborate efficiently
(Lind et al., 2013). Clearly the collaboration is dependent on the innovation needs of the firm.
Soosay et al. (2016) point out that for manufacturing firms it is often crucial to sustain
competitiveness by incremental exploitation, for example by improving process quality and
cost efficiency. Long term, maintaining skills, process flexibility and market adaptability is
also beneficial (Soosay et al., 2016). Larger businesses are more structured than SMEs when
collaborating with universities and research centres, with formal contractual relationships
and projects often driven by alumni or affiliated researchers (Laursen and Salter, 2004). SMEs
that are established (i.e. not high-tech start-ups) are particularly challenged by lower
educational level among staff and are less inclined to collaborate with universities (Laursen
and Salter, 2004; Kaufmann and T€odtling, 2002). Since there is a societal demand for regional
innovation support connecting SMEs to universities (T€odtling and Kaufmann, 2001), many
research centres focus on collaborative research projects or provide labs, facilities and
seminars for SMEs (T€odtling et al., 2009). To gain advantage from external collaboration and
potential absorption capacity activities, SME’s need to operationalise realised absorption
capacity. Research centres can perform additional technology transfer activities supporting
this (Villani et al., 2017). Collaborative innovation support activities (such as coaching,
training and less advanced, applied projects) fits SME needs better than advanced research
and can therefore be run as ISPs.

Operationalisation of innovation support for SMEs in ISPs

ISPs can be a way to operationalise support for collaborative innovation capabilities in SMEs
(Serrano-Bedia et al., 2012). Assimilation, analysis, interpretation and understanding of new
knowledge in potential absorption capacity is done internally in firms but can be supported
by external collaborative efforts. Supporting a firm’s internal collaboration, management
structures, processes and strategies and their members mental models is crucial for future
development (Castillo and Trinh, 2019). The development of internal capabilities is important
for firm success in external innovation (e.g. commissioned R&D) and in collaborative
innovation (e.g. R&D projects in collaboration with universities and other firms) (T€odtling
et al., 2009). The organisational learning involved can be divided into conceptual and
operational learning (Kim, 1993) and depends on both potential absorption capacity (PAC)
and realisable absorption capacity (RAC) (Zahra and George, 2002) as depicted in Table 1.
Finding and conceptualising knowledge are the essentials in conceptual learning and
potential absorption capacity development of firms. To put knowledge into operation, firms
also need realised absorption capacity and operational learning. This includes
transformation of, and combination with, already implemented innovations in the firm to
exploit the new knowledge (Serrano-Bedia et al., 2012; Zahra and George, 2002). This is
analogous to the organisational learning view where learning processes include observing,

Table 1.
Subdivision of
organisational Aspects Division
learning, absorption
capacity and Collaboration capability External collaborative research Internal operational collaboration
collaboration Organisational learning Conceptual learning Operational learning
capability Absorption capacity Potential absorption capacity Realisable absorption capacity
assessing, designing and implementing new organisational behaviour (Kim, 1993). Managers Establishing
at firms need to facilitate the realised absorption capacity process, especially for tacit SME-
knowledge (Bierly III et al., 2009). A proven way to reach higher innovation realised
absorption capacity, is to develop a lean type of production system (Parnaby and Towill,
university
2010) by coaching regarding continuous improvement and change management skills. collaboration
Coaching with experiential learning is a way to assimilate, transform and exploit new
knowledge and capabilities from universities to SMEs. An experiential Kolb-learning
feedback loop (Kim, 1993) is the main process for learning from pilot trials used in lean
transformations, where we ‘make the world into a laboratory’ or “experimenting” in
improvement-Kata (Rother, 2010).
Many ISPs utilise theories of coaching, group experiential learning, motivation and
organisational change. This supports incremental exploitive collaboration capability.
Assimilated experiences are translated into accommodated concepts by imitation and
experimenting. Tacit and organisational knowledge implementation requires more direct
coaching through frequent interactions, richer communication and experience-sharing to be
transferred (applied) to the firm. Explorative innovation has more transformation and
assimilation barriers than exploitive innovation (Bierly III et al., 2009). Connecting strategic
top-down development with bottom-up learning can follow, for example lean theories of
Hoshin-Kanri and Kata (Rother, 2010), requiring a sense of urgency and the development of a
common vision (Appelbaum et al., 2012).
Socialisation and internal collaboration capabilities are antecedents of realised absorption
capacity and adaptivity (Castillo and Trinh, 2019), while transformation and experimentation
are important elements of realised absorption capacity. Experimental practice in pilot trials
gives further social acceptance and engagement in the new practice implementation (Kim,
1993). In Kotters change model (Appelbaum et al., 2012), eight steps, common in
organisational learning and change management programmes, are used. Step (1) establish
a sense of urgency, (2) create a guiding coalition, (3) develop a vision and strategy and (4)
communicate the vision, are connected to acquisition and assimilation of knowledge and
potential absorption capacity, which may include internal or external search for new
knowledge. Step (5) empower employees for broad action, (6) generate short-term wins, (7)
consolidate gains for further change and (8) anchor approaches in company culture, mainly
involve internal realised absorption capacity processes (transformation and exploitation of
the knowledge) and each step involves innovation, learning and the generation of company-
specific application of knowledge (Chebbi et al., 2019).
Transferring tacit knowledge through coaching is about sharing experiences (Bierly III
et al., 2009), asking questions and facilitating learning, rather than instructing (as in teaching
explicit knowledge) (Whitmore, 2004). Brockbank and McGill (2012) differentiate between
directive coaching, for performance and organisational change, and non-directive coaching
used to develop and increase creative engagement. “Kata-coaching” is mainly a directive lean-
type of coaching of groups and individual adepts (Rother, 2010), enabling learners to observe
events from new perspectives and to build understanding. The role of the Kata-coach is to
support experimenting, reflection and learning through experiences. The Kata-coach has
expertise in the subject coached and act as a “sensei” (Rother, 2010). Non-directive coaching
(as in Tillv€axtmotorn) is a facilitating coaching style, like “clean coaching”, that can be
applied to enhance an unbiassed creativity of the coachee (Dunbar, 2016). Facilitating
coaching focuses on the process of the meeting or the workshop by creating dynamics in the
group that enables and sustains group discussion (rather than influencing content)
(Brockbank and McGill, 2012). This encourages realised absorption capacity through open
group learning and builds collaborative skills. The facilitator upholds meeting structure and
assures inclusion, which leads to integrated group development, trust and productive
innovation (Wheelan, 2009; Tuckman and Jensen, 1977).
JMTM Research design and methods
Since the research aim was to describe and analyse the pattern of relationships between the
research centre MITC and SME’s in two ISP’s, a qualitative analysis methodology was used
(Miles and Huberman, 1994). The conceptual research framework depicted in Figure 1
emphasises the definition of the case with the research centre (MITC) and the two subcases of
ISPs (PL and Tillv€axtmotorn) run by the university-driven research centre. The focus of
research was on support of SME’s capability for collaboration with the university and
absorptive capacity (innovation). The sources were practicing coaches’ reflections, ISP-
surveys, research databases, interviews and ISP-reports. Although the research questions are
interconnected, answers to the first research question especially used broader information
from centre interviews and the ISP surveys. To answer the second research question
regarding ISP-design, in depth information from reflectional analysis, complemented with
survey answers, ISP-reports and database information, were chosen. The empirical
experience was then put into a theoretical context to improve the practical methods used
(Coughlan and Coghlan, 2002).
The research was empirically driven in iterations (Miles and Huberman, 1994), starting
with initial descriptive reflections on the ISPs and the research centre’s role. A study of
research centres in the region was used to highlight the selected research centre’s role and to
identify innovation challenges of SMEs in the region. The case is mainly limited to the
research centre and the two ISPs, but some data samples were national. The two ISP’s were
identified since they have similar goals but differ and complement each other with regards to
the type of support given. Two authors had experience of coaching and managing the
programmes which allowed for reflexive knowledge on running the ISPs and the centre. To
reduce risk of biased data the researchers searched literature and sampled objective data on
programme results. For Tillv€axtmotorn data from survey-based evaluations was used and,
for Produktionslyftet, raw data from selected questions in a national survey and published
evaluation reports, was used. A database search for collaborations between
Produktionslyftet-firms and the university was also conducted.

Figure 1.
Conceptual research
framework
 The first part of the study, where one author participated, mapped several organisations, Establishing
including MITC, in the East Middle Sweden region and identified needs of SMEs (Gullander SME-
et al., 2017). Presentations of the organisations and interviews with a representative of each
organisation were used. The structured interviews contained 27 open ended questions on
university
their role and collaboration in relation to the interests and needs of their industrial collaboration
participants. The different types of innovation support and forms of collaboration were
classified into (1): Support for start-ups and new innovations and (II) Support for innovation
in existing firms (Laursen and Salter, 2004). Critical collaboration attributes for the research
centre were subsequently identified (Lind et al., 2013). Interviews were conducted with
representatives of 11 organisations, three of which were classified type I, four of type II and
three were both I and II. The seven type II interviews were mainly used in this study.
The background literature review on “university industry collaboration” and “innovation
support” was made mainly through Google scholar, Scopus and Emerald insights. Literature
mentioned in ISP-documentation were supplemented with additional literature search for, for
example “absorptive capacity”, “change model” and “coaching” as keywords. The theoretical
background was also divided into one subsection for each of the research questions. The
centre’s ISP-descriptions from strategy documents and handbooks were related to theories
and analysed in relation to expectations of programme result and long-term effects.
The ISP effects on collaboration and absorption capacity skills were subsequently
evaluated using data from follow-up reports and surveys. Tillv€axtmotorn was evaluated by
participants answering a local survey the year of participation. The analysis summarises 70
answers from firms over three years of surveys. The survey contains specific questions on
collaboration in general and on collaboration activities with the local university.
Produktionslyftet was evaluated in a national wide survey sent out once to over 200 firms
(of which 45 were from the studied region) providing 95 answers. Some survey results are
available in a published report (SWECO, 2017). The authors were given access to anonymised
data from the national Produktionslyftet-survey. But it is unknown if there were regional
differences in the answers. Since the Produktionslyftet-survey did not address university
collaboration directly, two databases, one with student theses (DIVA-MDH, 2018) and one
internal university project database, were searched for corresponding company names.
As quantitative statistics is used to find indicative effects and not causality, qualitative
data is useful to get the full picture. A reflection analysis of experiences from running the
programmes (participatory action research) was used (Table 2) to find root causes in the
coaching methodologies in Tillv€axtmotorn and Produktionslyftet (Shani and Coghlan, 2019).
Reflective research involves careful interpretation and critical reflection (Alvesson and
Sk€oldberg, 2009). Reflection on the two ISPs was conducted in two major iterations. First a
systematic, mainly descriptive, iteration. After analysing the other sources and the theory, an
interpretative iteration was performed where the reflections were finalised, referencing to
these sources. Finally, the reflexive discussion was undertaken, with consideration of social
and political perspectives with regards to the research questions (Alvesson and
Sk€oldberg, 2009).

Table 2.
The authors’
researcher
Participant researcher MK AB participation in the
programmes
Coaching #firms PL 6# (all regions) TM 30# Produktionslyftet (PL)
Coordinating in the region PL 3 years TM, PL 6 years and
Developing PL (all regions) TM Tillv€axtmotorn (TM)
JMTM The combination of survey answers and the document analysis reduces the risk of biased
influence in the deeper coaching reflection analysis. The study generalisation is limited by the
case definition and sampling (Miles and Huberman, 1994).

Description of MITC and other regional support organisations

SME needs and collaboration with innovation support centres in the region
A review of the innovation eco-system in the East Mid-Sweden showed that there are
numerous types of innovation support organisations collaborating with SMEs (Gullander
et al., 2017). Interviews were done with representatives of eleven organisations, categorised
into groups such as; investment support, incubators, science parks, industrial development
centres, technology clusters and university innovation offices. Some organisations represent
a number of these and had in part misleading names. Some were connected to universities,
others were not. The actors provide two main types of support (Laursen and Salter, 2004).
(1) Support for start-ups and new innovations.
(2) Support for innovation in existing firms.
Type I. The region has five universities operating in the five sub-regions. Three of these have
holding firms where innovation spin-offs from research are incubated. Two incubators
typically focus on start-ups and/or research spin-offs. Almi is a national investment authority
without connection to universities but with regional offices supporting innovation through
investment loans and funding for growing private firms.
Type II. Industrial technology clusters and competence hubs in the region supports the
introduction of new technologies. Some are topic-based industry support organisations with
connection to university researchers, examples are Automation Region and Robotdalen with
focus on digitalisation and automation innovation, and Uppsala Bio, which supports life-
science development. Science parks are usually broader, local initiatives, near universities.
Industrial development centres (IDCs) exist in many regions in Sweden and are usually
university independent but aim to transfer technology and innovation to industry. In the
studied region MITC and to some extent Automation Region work in corresponding ways to
IDCs but are driven by the local university.
Although all interviewed organisations play important roles in the local innovation
ecosystem (Gullander et al., 2017), many only support start-ups or established large firms.
Three of the interviewed organisations were type I only, support for start-ups, and there were
seven of type II (three of which also give support to start-ups, e.g. science parks). The type II
actors interviewed included three science parks connected to, but not run by, universities, and
four research centres (where activities are run by a university): two topic-based centres, one
industrial development research centre (MITC) and one hybrid (topic based industrial
development research centre). All seven type II actors interviewed, worked with SMEs as well
as larger firms, in both manufacturing and services, and their support activities include
limited engagements like seminars, mapping of industrial needs, as well as longer
programmes and collaborative research projects and labs. Only one of the seven, MITC,
showed documented standardised ISPs for development of established SMEs.
Regarding SME-development challenges, all interviewed organisation representatives
believed that resource efficient sustainable manufacturing, advanced manufacturing and
digitalisation were among the major technology challenges for industry (large and SMEs) in
the region. SME development needs mentioned included innovative business models,
competence development and the development of innovation (absorptive) capacity.
Networking for improved collaboration was regarded an important need for firms,
although collaboration capabilities were not specified. The internal capabilities of the firms
supported by the centres included leadership skills, business development, innovation and Establishing
change management. SME-
university
The research centre M€alardalen Industrial Technology Centre (MITC) collaboration
The only research centre in the region providing ISPs, MITC, supported large firms, SMEs
and the university by facilitating technology transfer of academic knowledge. Using
students, researchers and education, MITC supports industrial development and university
collaboration by matching industrial and university needs in a translational “win-win”
relationship (MITC, 2018). MITC, works as an IDC with a broad range of support within
manufacturing, product development, sustainability and innovation management (Gullander
et al., 2017).
MITC is founded by M€alardalen University and ten local industrial firms, one of which is
an SME. The university engages researchers into the centre. The founding firms, the
municipality and the university; fund, put research agendas, order and participate in research
projects in accordance to Lind et al. (2013). MITC is therefore categorised as a “developed
collaboration research centre” with regards to its founding firms. An important mission of
MITC is to encourage industry–university “co-production”, research collaboration where
problems and challenges are jointly defined and the solutions benefit both university and
industry. This generates new knowledge and ensures relevance to society. MITC arranges
seminars and workshops with university and industry and generates collaborative research
projects. Some of MITC’s activities are cluster-programmes for a sector with specific
challenges, while other activities, like the SME ISPs, are of general technology transfer
character (Villani et al., 2017). MITC’s ISPs aim to support increased innovation and
collaboration with SMEs.

The innovation support programmes design and effects

Two established ISPs used by MITC to support innovation and change management in SMEs
were Tillv€axtmotorn and Produktionslyftet at the time of the study. Both programmes
addressed SMEs internal innovation (Serrano-Bedia et al., 2012) through organisational
development (Kotter) and organisational learning (Kolb), connecting top-down strategy with
bottom-up learning in accordance with lean and organisational development theories
(Rother, 2010).
The programmes studied differ in terms of how coaching is performed, their structure and
their programme goals. The programme attributes, such as number of participants, time of
coaching and learning from others via networking, are shown in Table 3.

Produktionslyftet (the production-leap)

Produktionlyftet (PL) use a proven, well-documented methodology for coaching and
management in SMEs and larger firms (Produktionslyftet, 2018). It has a structured process,

Coaching in ISP PL (directive) TM (non-directive) Table 3.

The Produktionslyftet
Total time 18 months 13 months (PL) and
# coaching 30–32 13 Tillv€axtmotorn (TM)
Time/coaching 8h 3h programmes use of
Firms/coaching 1 10–12 networking, coaching
Participants/firm 15–250 1 and university
External learning network No Yes involvement
JMTM a handbook and certification of coaches. The methodology is based on all eight steps of
Kotters change model and Kolbs learning model is used to train a broad group of leaders and
employees through coaching sessions over a period of 18 months. Produktionslyftet requires
the firm to send two key personnel to a lean management course provided by partnering
universities. The coaches guide a selected group of staff eight hours every two weeks. In early
stages, the coaches use a mentoring approach, then move towards Kata-coaching (Rother,
2010) in later stages. Kata-coaching in Produktionslyftet uses the coach as mentor and
change-leaders in the firm as adepts in a train-the-trainer phase. When ready, the change-
leaders do Kata-coaching with team leaders as adepts.
The aim of Produktionslyftet is to support SMEs in their own ability to implement lean
and perform change management. At the end of Produktionslyftet, the result is evaluated
based on firm performance and suitability of the programme content. The financing agency
also evaluates Produktionslyftet through a survey one or several years after participation to
assess long-term effects. Expected primary effects of the programme include that
participants increase their knowledge of lean operations management, increase their
capability for change management, development and continuous improvement and
consequently become more cost effective, productive and attractive to employees. An
intended secondary effect is increased collaboration with universities and innovation
capability.
PL-evaluations show that participating firms’ performance such as turnover, stock
turnover and value added per employee improved more (2007–2010) than industry average
(Olsson and Hellsmark, 2012). Firms’ answers in earlier surveys has shown that capability of
internal change, learning and collaboration were main gains of participation (Berglund, 2012).
The latest evaluation (the Produktionslyftet-survey below) conclude that most firms have
implemented lean strategies, visualisation, daily visual management and team-based work
improvements (SWECO, 2017). It is considered a bonus if contact with university and
research centres has also increased.
To identify realised industry–university collaboration, the M€alardalen University
database (DIVA-MDH, 2018) was searched for the number of student-theses performed
with the 45 Produktionslyftet-firms in the region. In addition, the University research project
database was scanned to find collaboration projects with SMEs. At least ten student-theses
included one of the 45 firms. Of the 45 Produktionslyftet-firms 7 participated in other ISPs
and at least 4 in research projects with the University. One firm (X) did all of these. It was a full
founding member of MITC, participated in several research projects, had participated in both
Produktionslyftet and Tillv€axtmotorn and took on student projects every other year. The
conclusion is that clearly some SME-university collaboration took place with a significant
minority of the Produktionslyftet-firms, but that there was a potential to increase these
collaborative post-PL-programme activities.
When asked in the Produktionslyftet-survey about challenges/hinders (Future challenges.
To what extent do the following represent a hindrance to your company’s development and
growth?) (Figure 2) and what initiatives are needed (To what extent are the following aspects
important to your company’s growth and development?) (Figure 3) responses indicated that
competition and access to skilled recruits were the greatest challenges while access to
investment capital, loans and infrastructure were less important. Initiatives for internal
competence development was the most crucial action suggested but new sales channels,
increased marketing development of products/services and investment in equipment/
facilities were also seen as important by most. The high levels for skills and competence
development indicate an importance of realised absorption capacity in these firms.
When asked what factors had changed with Produktionslyftet-participation (To what
extent has improvements been made, with regards to the following aspects, in your company
since completing Produktionslyftet?) the answers (Figure 4) showed that adaptability to
 Future challenges. To what extent do the following represent a Establishing
hindrance to your company’s development and growth?
SME-
university
Compeon from other companies
collaboration
Access to recruits with appropriate skills
Demand for your products
Capacity of equipment, facilies, etc
Your company’s profitability
Laws and regulaons
Access to loans and credit
Access to infrastructure
Access to external capital Figure 2.
The Produktionslyftet-
0 20 40 60 firms development
challenges
Large hindrance Small hindrance No hindrance Cannot be judged

To what extent are the following acons important to your

company’s growth and development?

Internal competence development

Develop new products and services
New sales channels
Increased markeng acvies
Investments in equipment/facilies
Research and development
Figure 3.
Internaonal expansion Important
Recruitment development factors
for
0 10 20 30 40 50 60 70 80 Produktionslyftet-
firms
Very important Less important Not at all important Cannot be judged

change, organisational learning and personnel well-being were the factors most say
increased. The activities mostly implemented were lean strategy, daily visual management,
team-based improvement work (SWECO, 2017). Together these answers indicated that firms
indeed had developed several realised absorption capacity and collaboration skills.
The collaboration effects were only addressed indirectly in the Produktionslyftet-survey,
but, “access to skilled recruits” was the second largest challenge, after “competition” and
before “demand” (Figure 2). Internal competence development was regarded an important
action by most firms (Figure 3). Thus, collaboration in competence development was deemed
important. The responses to the question on developments achieved through
Produktionslyftet, improved “organisational learning” and “change adaptability”
(Figure 3) point to Produktionslyftet contributing to collaborative learning capabilities.
Specifically, regarding internal collaboration where 99% say they run daily visual
management meetings with 80% (median) of the personnel participating and 89% run
JMTM To what extent has improvements been made, with regards to the
following aspects, in your company since compleng Produkonslyet?

Ability to adapt to changes

Producvity
Delivery precision
Occupaonal health and safety
Throughput leadme
Organisaonal learning
Profitability
Well-being
Quality
Turnover
Recruitment
Capital ed up
Figure 4.
Improvement areas 0 20 40 60 80
from Produktionslyftet
Large improvement Some improvement No change Deterioraon

improvement meetings with 80% (median) participation. Whether external collaboration is

needed, or undertaken, was not determined from the Produktionslyftet-survey.
Tillv€axtmotorn (the growth-motor)
Tillv€axtmotorn (TM) relies on a methodology for developing leadership skills traced to Kolbs
learning cycle (Kim, 1993) and development of individuals in groups (Tuckman and Jensen,
1977). The programme does not mention Kotter’s theories, but the participating managers are
encouraged to develop their firm’s vision and reflect on urgent change needs in line with
Kotters first three steps. The aim of Tillv€axtmotorn is to support SME-management in
identifying challenges, increase collaboration and improve change management capabilities.
The learning process is based on action learning theory when a group of people in similar
roles reflect together in a group on their shared experience (Bessant et al., 2012).
The programme runs through 13 learning meetings, one per month. Each 3-h meeting
follows a set agenda. During the first hour an invited topic expert presents on business or
industry related topics. Subjects of the presentations are chosen according to the needs and
interests of the group and range from softer areas like stress management, leadership skills,
conflict resolution etc. to more traditional business topics such as sales and marketing, lean
management and recruitment. The idea of the presentation is to initiate discussion and
encourage the flow of new ideas. Whenever possible the presenter stems from the local
university.
The expert presenter leaves after presenting to allow for the second hour of discussion and
group learning. In the next action learning part of the meeting, one member of the group
shares an operational or strategic challenge with the rest of group. Questions and suggestions
follow, and the presenting member is encouraged to commit to changes and report back at the
next meeting. This discussion, reflection and commitment cycle allow for the group members
to follow each other’s development over the course of the programme. The end of the meeting
invites a member to present their business plan and receives feedback as well as
improvement suggestions. The Tillv€axtmotorn-coach acts as a group facilitator asking
questions and encourages reflection and discussion but will not make suggestions for Establishing
improvement or provide solutions. The source of the knowledge and experts of the group are SME-
the members themselves (apart from the invited expert that presents but then leaves).
The main expected Tillv€axtmotorn-effect is that managers/CEOs should gain increased
university
innovation potential absorption capacity, change management skills, collaboration and collaboration
business competence through the Tillv€axtmotorn-programme, which in turn should make the
firms more competitive. The focus on lean management is less than in Produktionslyftet but
intended further collaboration with the university is clearly expressed. Tillv€axtmotorn-
surveys were collected from the participants at the start and the end of the 13-month
programme. The surveys questions were more directed to if, and what type of collaboration
was initiated, than in the Produktionslyftet-survey.
Most of the Tillv€axtmotorn-participants are small businesses, 51/68 in the
Tillv€axtmotorn-survey have ten or less employees and most (39/70) mainly provide a
service, only 9/70 are pure manufacturing firms. When asked about improvements (Has your
participation in Tillv€axtmotorn contributed to any of these specific improvements?) a majority
answers that business planning, new ideas and new knowledge/skills have been developed,
while, for example costs, technology and recruitment were not affected in more than a few
firms (Figure 5). When asked about development activities, (Has your participation in
Tillv€axtmotorn contributed to you doing any of the following?) Tillv€axtmotorn has contributed
to more internal discussions of improvement, openness to new ideas and encouragement of
continuous improvements in a majority of answering firms (Figure 6). From the aims, and
wanted effects of Tillv€axtmotorn, Figures 5 and 6 indicate that the innovation goals were
mainly met while collaboration had potential to improve. The potential absorption capacity
skills were deemed to have increased by Tillv€axtmotorn.
When asked directly if participation in Tillv€axtmotorn has contributed to collaboration
with M€alardalen University and MITC, 30/67 (45%) answered yes. On the other hand, when
asked about which collaborations Tillv€axtmotorn has contributed to, only 15/66 (23%)
answered universities (Figure 7). Although not in majority, a significantly large minority
claimed increased collaboration thanks to Tillv€axtmotorn, mainly with customers, other
businesses, internally and/or with universities.

Has your parcipaon in Tillväxtmotorn contributed to any of these specific

improvements? (n=66)
-New knowledge/skills
-Business planning/strategy
-New ideas
-New customers
-Improved efficiency
-Markeng
-Service or product development
-New markets
-Recruitment
-New technology
-Cost cung
Figure 5.
0 10 20 30 40 50 60 Areas improved by
Tillv€axtmotorn
Improved Not changed Deteriorated Cannot be judged
JMTM Has your parcipaon in Tillväxtmotorn contributed to you doing any of the
following: (n=66)
-Encouraging connuous improvements at the
company

-Connuously looking for beer ways of doing things

-Taking part in discussions about improvements at the

company

-Inving others in discussions about improvements at

Figure 6. the company
Tillv€axtmotorn
induced change 0 10 20 30 40 50
Increased Not changed Deteriorated Cannot be judged

Has your parcipaon in Tillväxtmotorn contributed to collaboraon with any of the

following: (n=66)
-Customers

-Other businesses (eg through Tillväxtmotorn)

-Internally

-Universies

-Suppliers

-Competors or others in your sector

Figure 7.
-Internaonal collaboraon
Tillv€axtmotorn
induced collaboration 0 10 20 30 40 50 60 70
Increased Not changed Deteriorated Cannot be judged

It was concluded that many Tillv€axtmotorn-participants report increased collaboration with

university, but there is an opportunity to increase the number of collaborating firms. The
improvement opportunities in new technologies and recruitment suggest that connections to
students, and other potential recruits, and collaboration around technology development are
areas that could be strengthened.

Reflective analysis
Reflection on programme design and collaboration in Produktionslyftet (the
production-leap)
Reflection by coach MK on Produktionlyftet (PL): Produktionslyftet has an easy to follow
methodology with a mentoring approach in early stages and Kata-coaching in later stages.
The methodology provides tools for identifying challenges and addressing these with
incremental improvements based on the firms’ specific business situation. The coaches,
usually from research or consultancy, are experts in lean and organisational development.
Coaches shift between coaching and mentoring and work in pairs where one, usually a
researcher, has the responsibility for continuous development of the coaching methodology.
Coaching in pairs is crucial in the first phase of the programme where vision, firm principles
and urgent challenges for the future, aligned with Kotter step 1–4 (Appelbaum et al., 2012) are
defined by a diverse group of key personnel. Participants are encouraged to “see with their
own eyes” and identify challenges while guided towards a self-identified goal. The group
usually goes through group development dynamics (Wheelan, 2009). It takes effort and
patience for all involved to reach the long-term commitment needed for undergoing the Establishing
programme. SME-
Later in the programme participants experiment in pilots with tools to increase continuous
improvement, daily visual management and other lean tools for increased internal
university
communication, experiential learning and collaboration. The tools are experimented with collaboration
in one or several pilot teams before being rolled out to the rest of the firm. The pilot team is
usually not the same as the group of key individuals but will include one or two people from
that group.
Specific support is provided for internal firm change leaders who attends a university
course in lean management together with change leaders from other firms. In the course they
are trained in coaching pilot teams and training personnel in Produktionslyftet tools, using a
train-the-trainer approach. An important benefit is that change managers network with
others in a similar role.
The development of daily visual management, together with lean strategy formation and
the establishment of improvement teams are the main advantage of the programme
according to the firms. These are examples of internal incremental process innovations that
raise innovation realised absorption capacity and are in line with survey answers.
Unfortunately, apart from the course in lean management, the programme does not
encourage external collaboration or university contacts. The coach is the only connection to
the university for most firms although some take on student projects. Of the six firms coached
by MK, half worked with university students afterwards. Those who did were satisfied and
continued collaborating with students and in research projects. It is usually the change
leaders who maintain collaboration with the university. Another challenge has been to find
coach competence at the regional universities and connection between Produktionslyftet and
the university has generally been perceived as weak.

Reflection on programme design and collaboration in Tillv€axtmotorn (the growth-motor)

Reflection by coach AB on Tillv€axtmotorn (TM): Tillv€axtmotorn is a personal learning
journey for SME managers and a business development programme. The learning process
plays out as follows. Participating managers discuss individual challenges with the group
and commit to improvements between meetings. These are documented and subsequently
followed up on at the following meeting. Reflection and feedback are provided by the group.
Trust grows over time and the participants increasingly open-up to the group, learning
evolves and the improvements made in each firm result in incremental innovation.
A high level of trust develops over the course of the programme since the group stays
intact, signs an NDA and agrees on a code of conduct early on. The group follows classic
development of group dynamics with more serious and challenging questions raised over
time and a growing atmosphere of emotional support. The Tillv€axtmotorn coach act as a non-
directive facilitator for the network learning part of the meetings and act at the same
authority level as group members (Berne, 2011). Learning is self-driven by participants and
can be a challenge for the coach. A facilitator style coach is usually not found in a university
setting which promotes expertise.
Participators in Tillv€axtmotorn are encouraged to take on thesis students outside the
programme and an aim is to support this. A recent development has been a workshop early in
the programme where potential thesis topics are discussed and the firms are encouraged to
attend the yearly thesis-day run by MITC, which many do. Collaboration often continues
after the programme.
Collaboration among the participating firms is also common as the members get to know
each other and often meet up outside of the group meetings. At programme end, groups often
attempt to facilitate their own meetings but with varied results due to the lack of a facilitator
or coach. Some have initiated collaborative joint ventures afterwards.
JMTM A challenge specific to Tillv€axtmotorn is that the managers often struggle to transfer
learnings internally as well as to build a culture of change and innovation in the firm. Despite
this, the CEO’s find the time away from the business valuable since it allows him or her to
reflect on the business and its future development.
In Tillv€axtmotorn there is no work expected in-between meetings. The expectations on
participants is limited to the commitments made in the action learning part of the meeting, the
requirement to be active in the meetings as well as to be open and honest to the rest of the
group. It is very much the case that the more you give, the more you get out of participating.
CEO’s often comment on the value of talking to peers and that the leader position is
sometimes lonely.

Programme comparison
The ISPs studied were classified in terms of coaching learning and supported capability
developments. While Produktionslyftet mainly focuses on internal build-up of incremental
innovation (internal elements of potential, and realised absorption capacity skills), for
example through a Lean transformation process, such as assimilation, transformation and
exploitation, Tillv€axtmotorn focuses both on building innovation (especially finding and
conceptualising knowledge in potential absorption capacity) and the collaboration skills of
top management. Although both aim at supporting innovation, the programmes target
different levels or positions in the firms, as shown in Figure 8. Coaching and learning
structure differ. In Tillv€axtmotorn learning takes place with a facilitating coach who is expert
in coaching, while in Produktionslyftet learning comes via a topical expert coach. The coach
in Produktionslyftet should be skilled in the areas of work and share that knowledge. In
Tillv€axtmotorn, the coach has guidelines not to present own knowledge or ideas, to allow for
the managers’ unbiassed knowledge to emerge and be shared (Dunbar, 2016). The coach lets
the group members challenge each other.
The structures of the programmes differ in how they connect firms to the university. In
Tillv€axtmotorn it is via student projects and invited experts (researchers or teachers) and in
Produktionslyftet the only link is the coaches. In both programmes it is perceived challenging
to find university coaches. Tillv€axtmotorn uses group development and experiential learning
to coach individual managers in the initiation of innovation and change management and to
exchange experience with others outside the firm, while Produktionslyftet uses group
development with representatives from all hierarchical levels of the firm to drive change
management forward and to experiment with internal innovation ideas. Thus,
Tillv€axtmotorn has a stronger focus on external collaboration and potential absorption
capacity while Produktionslyftet has a strong focus on internal collaboration and innovation
realised absorption capacity as shown in Table 4.

Figure 8.
The different ways
firms participate in the
programmes
Produktionslyftet (PL)
and
Tillv€axtmotorn (TM)
 Action learning is used to different extents in the programmes. Produktionslyftet use it for Establishing
improvement work and encourages co-worker’s participation to develop realised absorption SME-
capacity. In Tillv€axtmotorn, the managers share their experiences. The group offers support
and ideas for resolution, after which the individual managers commits to act and test ideas.
university
The more the managers open-up the more he/she receives back in developing collaborative collaboration
skills and potential absorption capacity which can be used in firm innovation management.

Discussion
What role do the needs for development, in particular absorptive capacity, play for SME-
university collaboration?
Development of research centre collaboration with SMEs is challenging (Laursen and Salter,
2004). The studied research centre can be classified as a developed research centre with
regards to its founding firms. With regards to the management of ISPs, it has a firm-focused
problem-solving orientation with specified collaboration (Lind et al., 2013) or a technology
transfer organisation (Villani et al., 2017). Lind et al. (2013) further point out that the specified
form can be used as a pre-stage to a developed form of collaboration characterised “by both
academic and industrial partners being engaged with research tasks considered relevant for
both partners” (Lind et al., 2013, p. 82). By running ISPs for SMEs MITC have initiated such
development.
In the aftermath of attending Produktionslyftet, R&D is seen as important to most
Produktionslyftet-firms surveyed (Figure 3) but was considered unimportant to a significant
minority of the Produktionslyftet-firms. This means that some firms neglect or are unaware
of the value of R&D, possibly due to misdirected innovation support, in line with Austrian
findings (Kaufmann and T€odtling, 2002). Despite this, development of products and services
were regarded as important to most Produktionslyftet and Tillv€axtmotorn firms. Innovation
support organisations studied expressed that SMEs in the region need advanced and
sustainable manufacturing technology R&D and business model development. Here, a closer
relationship with a university could be beneficial. As suggested by Produktionslyftet surveys
(Figure 3), internal competence development is crucial for SMEs. This is in line with Laursen

Produktionslyftet (PL) (production- Tillv€axtmotorn (TM) (growth-

leap) motor)

Potential absorption Conceptual learning Conceptual learning

capacity Motivation for change Information sharing
Vision development External group reflection
Vision development
External collaboration Low or no external activities Network learning
External experts
Trust
Realised absorption Coaching leadership Coaching leadership
capacity Operational learning Change management knowledge
Continuous improvement practice Low or no operationalisation
support
Change management skills
Internal collaboration Communication Communication
Teamwork Table 4.
Internal communication and The coaching content
visualisation of the programme’s
Internal group reflection connection to
Other features Expert coaching Facilitative coaching capabilities
JMTM and Salter (2004) who found that internal sources of knowledge is the most important factor
for SME innovation development. Collaboration with universities may not be the major
innovation bottleneck for all firms. If they lack realised absorption capacity further external
collaboration may not be useful. Some may have other internal and external sources of
knowledge.
A significant, large, minority of Tillv€axtmotorn-firms state that their university
collaboration has increased, and surveys indicate that their overall collaboration capability
has increased after participation. In Tillv€axtmotorn the firms were encouraged to work with
thesis students and attend university networking events. Produktionslyftet lacks such
encouragement, but some firms still initiate university collaboration (DIVA-MDH, 2018). On
the other hand, the connection between university collaboration and the firm’s development
challenges perceived by Produktionslyftet- firms (Figures 2 and 3) is also unclear.
SMEs may not step into developed research collaboration immediately but may slowly
mature into it. One SME (firm X mentioned earlier) that participated in both ISPs is a founder
of MITC and performs all developed types of collaborations mentioned by Lind et al. (2013);
funding projects, set research agendas, order and participate in research with university. In
addition, the firm collaborates with the university in education efforts for employees and
students. A significant part of SMEs participating in Produktionslyftet and Tillv€axtmotorn
collaborated in some respect, e.g. in student projects or seminars and in ISPs with MITC, but a
majority did not have structured collaboration activities after the programmes. The research
centre can thus encourage a stepwise collaboration, starting with student projects followed
by collaboration in research projects, after the programmes. Such development can prepare
SMEs for next-generation collaborative innovation (Sann€o et al., 2018).

How does the design of ISPs affect university collaboration and absorptive capacity for
participating SMEs?
Both ISPs could gain from connecting even stronger with innovation development theory and
highlight skills for absorption capacity. Innovation supported in both programmes is to a
large extent incremental process innovation, but in Tillv€axtmotorn collaborative creation and
conceptualisation with other participants is also triggered. In Tillv€axtmotorn, leaders are
coached to embrace initial capabilities in the innovation process such as search and selection
of innovative knowledge and assimilation (e.g. Kotters step 1–5) in a collaborative network,
clearly contributing to important elements of potential absorption capacity.
Produktionslyftet covers all Kotters steps and is an advanced form of support for internal
innovation and absorptive capacity development, especially assimilation (potential
absorption capacity), transformation and exploitation (realised absorption capacity).
Experimental group learning is used in pilots where new skills are implemented (Kotters
steps 5–8) (Appelbaum et al., 2012) and realised absorption capacity is developed (Zahra and
George, 2002). It may be advantageous to embark on Produktionslyftet after prior leadership
development, such as Tillv€axtmotorn. Both ISPs train the firm representatives in different
innovation and collaborative skills (Table 4). A challenge specific to Tillv€axtmotorn is that
attending managers often struggle to transfer learnings and ideas for innovation to the rest of
the firm. Continuing interaction with the university through collaboration projects has been
helpful in this regard but there is potential to systematise the transfer of new ideas and
promote innovation.
Organising collaboration into ISPs for SME development provides a channel to the
university and when trust builds collaboration can appear more appealing, as the case of
Tillv€axtmotorn shows. The results indicate that educating staff (e.g. the lean course required
in Produktionslyftet), promoting students projects or collaborative research can be fruitful.
Stronger university connection between ISP-participants and student projects and research
could mean significant improvement in collaboration capabilities and potential absorption
capacity for the firms but would also mean benefits for the university in improved education Establishing
and research. The Produktionslyftet follow-up report (SWECO, 2017), acknowledges that SME-
Produktionslyftet lacks adequate connection to universities, arguing that without university
connection Produktionslyftet might as well be run by consultants. However, as indicated by
university
T€odtling et al. (2009), collaboration with universities could play a significant role for post- collaboration
programme innovation and access to research funding for SMEs. ISPs could support this if
innovation development is emphasised and, when, as Villani et al. (2017) highlight, matching
industrial research needs is included.
Two challenges in running Produktionslyftet and Tillv€axtmotorn have been finding
suitable coaches and establishing a translational SME-university collaboration. Peer pressure
may play a role in learning and development in Tillv€axtmotorn where network learning and
continuous feedback from other group members give training in collaborative skills and
provides a strong motivation for change. However, it requires trust within the group, which
the coach facilitates. In Produktionslyftet, group learning takes place within the firm and peer
pressure is mainly internal by commitment to the development plan (assimilation).

Development of recent programmes and further research

There are several implications for ISP practice, especially recognition of the importance of
building innovation absorption capacity and long-term SME-university collaboration.
Several ISPs have recently been initiated on national and regional level. These are often
shorter in both time and number of coaching sessions than Produktionslyftet and
Tillv€axtmotorn and (so far) lack clearly documented methodologies with reference to
theories. Still, they generally follow Kotters step 4–7 and support elements of internal realised
absorption capacity. They are performed in network settings which supports collaboration
capabilities and some potential absorption capacity elements. Many are designed based on
Produktionslyftet-experiences and production development research addressing the need for
digitalisation skills and production development while managing daily operations. Kotters
step 1–3, including forming a vision and strategy are prerequisites for participation. Active
learning in these programmes takes place through learning from others (as in
Tillv€axtmotorn) and through experiential learning on the concepts introduced, in
implementation projects. These new programmes seem advantageous since they draw on
successful elements from Produktionslyftet and Tillv€axtmotorn but due to the shorter time
span the intention to build-up innovation absorption capacity can be questioned.
Further structured research on ISPs and on collaborative industry–university innovation
support to established SMEs is needed. A proper scientific evaluation, e.g. by in-depth
interviews, of programmes and other efforts should consider absorptive capacity elements
and collaborative skills. Future ISP-surveys and research on ISP-effects should include the
impact on collaborative skills and the benefits for SMEs, universities and their funding
agencies. In addition, effects of educational collaborative efforts such as student projects and
courses could be more evaluated. Another type of research that may be needed is how to
organise university resources to promote the “third mission”. If universities are to engage
staff in ISP activities, there is a need to employ personnel with coaching skills and allocate
time for these activities.

Concluding remarks
To conclude, industry–university collaboration with SMEs is challenging. This study shows
how SMEs can absorb new knowledge and become more innovative. In addition, from both
the perspective of theory and experience, SME support activities can establish collaborative
university–industry relationships. Action learning and organisational development elements
JMTM in the programmes contributed to innovation absorption capacity and collaboration
capabilities of SMEs. For collaborative innovation with university to occur it needs to be
integrated into, and promoted by, the ISPs. ISPs can then provide a relational path to the
university where collaboration develops over time, becoming increasingly intricate and
complex. Collaboration may start with SMEs participating in an ISP where they are
introduced to working with students and education. Over time they take part in research
projects and R&D agendas, co-production grows and becomes beneficial to both parties and
to a wider part of society. However, many SMEs may need to mature into this advanced form
of collaboration and increasingly build up their realised absorption capacity skills. The full
effects of innovation and collaborative R&D requires realised absorption capacity to be
developed inside firms before the benefits of collaboration research can be reaped. When this
happens, SMEs may sooner realise their upcoming research and development challenges.
This study shows that it is worthwhile for SMEs, as well as for the university, to put greater
emphasis on industry–university collaboration when designing and running ISPs.
This study contributes with empirical research on SME industry–university collaboration
generated by a research centre which runs ISPs. It showed that ISPs promotes innovation,
collaboration and absorptive capacity through their coaching elements. Further research is
needed into the performance of companies attending ISPs in relation to how the ISPs are
managed and what type of organisation provides them. In addition, evaluation of the
elements of absorptive capacity and the collaboration development of the ISPs is suggested.

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About the authors

Martin Kurdve is a PhD at the division of Materials and Production at RISE in M€olndal. Martin
also works part-time at Supply and Operations Management employed as postdoc in the research
Area of Advance of Transportation at Chalmers University of Technology. His research includes
industrial innovation support and implementation of green lean and circular economy. A large part of
previous and current research projects is concerned with automotive and metalworking manufacturing.
Martin Kurdve is the corresponding author and can be contacted at: martin.kurdve@chalmers.se
Anna Bird is working as process manager at School of Innovation, Design and Engineering,
M€alardalen University and is co-manager of M€alardalen Industrial Technology Centre (MITC) a Living
Lab initiative connected to M€alardalen University. She coordinates the universities research
collaboration activities with MITC. Her research interest includes innovation process management,
academia-industry collaboration, technology transfer, knowledge sharing and organisational learning.
A large part of previous and current research projects are concerned with production management,
product development, innovation and digitalisation.
Jens Lage-Hellman has a part-time position as an Associate Professor at the Division of Supply and
Operations Management at Chalmers University of Technology. He is also affiliated with the foundation
Institute for Management of Innovation and Technology (IMIT). Jens’ research focuses primarily on
technological development and innovation, with particular emphasis on collaboration, networks and
commercialization of science. A large part of previous and current research projects are concerned with
life sciences.

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