Collective Engagement for Innovation: An Alternative to Ambidexterity in Established Firms?

ABSTRACT This study examines how established firms can overcome internal barriers to innovation by introducing collective engagement as an alternative to ambidexterity, which may be difficult to enact and insufficient under conditions of radical change. Drawing on 52 interviews and 32 months of observations in a Scandinavian renewable energy utility, supplemented by eight Nordic leader interviews, we adapt Barrick et al.'s (2015) collective engagement model to provide the first empirically grounded account of how management can facilitate employees' choice to engage in innovation. We conceptualise collective engagement as a multilevel dynamic capability that emerges when management orchestrates three levers: leveraging organisational resources, involving employees in strategic processes and monitoring engagement conditions. We extend Kahn's (1990) framework by introducing empowerment as a fourth condition for engagement. To better equip managers to translate innovation ambitions into tangible outcomes, we offer an actionable three‐step pathway that mobilises the firm's full resource base and aligns employees with strategic priorities, something ambidextrous strategies alone has struggled to achieve. The study reframes innovation as a strategically enabled collective endeavour, advancing engagement, innovation and ambidexterity research and opening new avenues at their intersections.