Orchestrating R&D networks: Absorptive capacity, network stability, and innovation appropriability

► In the paper we argue that firms need to embrace paradoxes to fully benefit from R&D collaboration. ► Paper is empirical with data collected from 213 R&D-intensive firms. ► Based on our study stability and absorptive capacity are most relevant for the alliance level success. ► Absorptive capacity and appropriability are most relevant for the firm level success. Networked R&D has faced upheaval over the last decade. However, in order to fully benefit from collaboration, firms need to embrace paradoxes that are inherent in R&D networks. We therefore investigate how orchestration (rather than traditional management) of relationships by improving absorptive capacity, network stability, and innovation appropriability contribute to the success of both the network and the individual firm, from the firm’s point of view. We use survey data collected from 213 R&D-intensive firms. The results indicate that diverging effects emerge regarding alliance and firm success; stability and absorptive capacity are most relevant for the former, and absorptive capacity and appropriability for the latter.