Diversity, networks, and innovation: A text analytic approach to measuring expertise diversity

Abstract Despite the importance of diverse expertise in helping solve difficult interdisciplinary problems, measuring it is challenging and often relies on proxy measures and presumptive correlates of actual knowledge and experience. To address this challenge, we propose a text-based measure that uses researcher’s prior work to estimate their substantive expertise. These expertise estimates are then used to measure team-level expertise diversity by determining similarity or dissimilarity in members’ prior knowledge and skills. Using this measure on 2.8 million team invented patents granted by the US Patent Office, we show evidence of trends in expertise diversity over time and across team sizes, as well as its relationship with the quality and impact of a team’s innovation output.