Enabling collaborative innovation – knowledge protection for knowledge sharing Pia Hurmelinna-Laukkanen University of Oulu, Oulu Business School, Oulu, Finland Abstract Purpose – Collaboration for research and development (R&D) and innovation among various organizations can be beneficial and in some cases even imperative, but in order to realise the potential, effective management is required. Effective innovation requires firms to share their core knowledge, and simultaneously make sure that they will not lose their core knowledge and future competitive advantage. In line with this, this study aims to clarify the role of knowledge protection in relation to collaborative innovation endeavours. Design/methodology/approach – This study approaches the knowledge protection and knowledge sharing issues through a literature review and subsequent empirical analysis of 242 Finnish companies. Findings – The results indicate that when a firm has put effort in getting strong protection at its disposal, sharing knowledge with varying partners is more likely, which, in turn, improves innovation performance of the firm. It is not just about the strength of protection, but also – and even more importantly – using it efficiently that counts. Research limitations/implications – The data are collected from one country only, with its specific features, and thus further research might reveal more on the studied phenomenon. Also utilising more detailed measures might reveal more. Practical implications – This study augments both theoretical and managerial perspectives as it discusses a variety of protection mechanisms. In particular, it offers managers a new way of approaching the means of knowledge protection for innovation-related collaboration. Originality/value – This study shows that a wide range of knowledge protection mechanisms can be relied on, and that strategic use of these mechanisms improves knowledge sharing and innovation performance. Keywords Collaboration, Innovation, Knowledge protection, Knowledge sharing, Appropriability regime, Knowledge management, Finland Paper type Research paper 1. Introduction The success in managing research and development (R&D) and innovation activities strongly depends on the effectiveness with which the firm can gain, create, and transfer knowledge and resources both within the firm and beyond its boundaries (see, e.g. Gemu ¨nden et al., 1996; Jones et al., 1998; Peters et al., 1998; De Luca and Atuahene-Gima, 2007; Carson, 2007). Because of the high level of technological change and complexity, the ability to access and leverage diverse knowledge-based assets from complementary sources is essential (Grant, 1996; Spender, 1996; Teece et al., 1997). Thus collaboration and networking are becoming increasingly important in R&D and innovation among other areas (Chesbrough and Teece, 1996; Miles et al., 2005). The challenge is that management of networks and other collaborative activities between different organizations, let alone those aiming at creation of new innovation, is The current issue and full text archive of this journal is available at www.emeraldinsight.com/1460-1060.htm Enabling collaborative innovation 303 European Journal of Innovation Management Vol. 14 No. 3, 2011 pp. 303-321 q Emerald Group Publishing Limited 1460-1060 DOI 10.1108/14601061111148816