The purpose of this paper is to provide an example of how an apparently incongruent combination of organizational variables can have a positive effect on innovation through knowledge creation.

Based on previous theory, four original hypotheses were developed and later tested with empirical data collected from 125 research and development organizations in Japan, using analysis of variance and regression analysis.

Managerial influences and resources can significantly interact to generate a combined impact on the knowledge creation capability of organizations, which in turn is positively associated with their innovation performance. In particular, long‐term managerial influences were found to have a greater impact on knowledge creation when combined with knowledge‐exploitation resources. Synthesizing short‐term managerial influences with knowledge‐exploitation resources is not better than combining them with exploration resources. This holds true especially for organizations of small and medium size.

This study only evaluates one case of many possibilities of seemingly antithetical combinations that can also have a beneficial impact in organizations. A larger and diverse sample, together with enhanced dimensions of managerial influences and organizational resources can make this study's implications much more universal.

An ingenious and purposeful synthesis of organizational variables conventionally seen as incompatible and contradictory can in reality benefit organizational goals related to knowledge creation and innovation.

This study puts forward a unique framework and perspective highlighting the importance of combinatory effects and the management of duality in organizations.