Abstract:
This article aims to identify the determinants of organizational innovation on the performance of Small and
Medium Enterprises (SMEs) by looking at research trends, data sets, and research methods. The industrial
era 4.0 brings organizations, including SMEs, into a complex, dynamic, and interconnected environment
full of unpredictability and rapid change. For this reason, SMEs need to consider internal and external
factors in the study of organizational innovation. Knowledge sharing is one of the ways that companies can
optimize information and knowledge obtained from partners and competitors in identifying market
opportunities. This article uses a systematic literature review method to elaborate on the literature related
to determining the impact of organizational innovation on SME performance. Twenty-six articles reviewed
in this study were sourced from Google Scholar by adding the keyword Elsevier in the search mode. This
literature review concludes that current research on the determinants of organizational innovation on SME
performance focuses on two topics and trends: estimation and classification. In addition, 81% of the
selected studies used private datasets, and 19% used public datasets. Twelve different methods have been
applied to address the impact of organizational innovation on SME performance. Of these twelve methods,
three were identified as the most widely used in the abovementioned topic. They are Qualitative approaches
(QA), Linear Regression Analysis (LRA), and Structural Equation Modeling (SEM).
