What Makes Knowledge Ties Span Across Projects? The Role of Autonomy in Industrial Research & Development

Considerable research has established the performance implications of knowledge mobilization through individuals' informal ties. Scholars have also explored how the formal organization and the informal patterns of ties in organizations intermingle. Less is known, however, about how formal organizational elements influence what flows through these informal ties. We develop and test a theory about how granting autonomy in R&D activities impact the type of knowledge individuals choose to acquire from one another through informal ties. In particular, we study knowledge ties among researchers working in an R&D laboratory in a global pharmaceutical company. Results from our analysis show that there is a U‐shaped relationship between granted autonomy to researchers in their R&D projects and cross‐project knowledge ties. Our findings reveal the nuanced relationship between formal and informal organization, suggesting new implications for the organization of innovative activities within firms.