Management of Knowledge and Innovation Research Unit ©OUBS, 2000 Flexibility, networks and the management of innovation Philip Taylor, Paul Quintas, John Storey, Christine Tillsley & Wendy Fowle Working Paper Number 00/2 ESRC Innovation Programme Project L125251051 Management of Intellectual Capital for Innovation: Individuals and Organizations The Open University Business School January 2000 Acknowledgement The authors gratefully acknowledge the support of the ESRC Innovation Programme in funding this research. Working Paper Number 00/2  2000 Philip Taylor, Paul Quintas, John Storey, Christine Tillsley, Wendy Fowle ABSTRACT This working paper reports on the findings from a research project, just completed. The project aimed to contribute to understanding of the innovative performance of UK industry by bringing together human resources and innovation management expertise. The central research question being investigated was: how do companies maintain the ability to innovate, given looser formal ownership of intellectual capital, due to increasingly flexible contractual relationships between companies and their staff, and increased outsourcing of business functions. Research methods included a postal survey of 2700 employers of 100 or more people, covering the whole of the private sector. This was complemented by eight detailed case studies of organizations and networks of organizations. This paper is the first summary of findings from the whole research programme.