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This dissertation builds on a dual insight. On the one hand, various economic theories associate the extraordinary growth in free-market as compared to other economic systems with the phenomenon of routinization of innovation. On the other hand, studies confirm that the majority of companies are not able to generate above-average profitable growth in the long-term. This dual insight suggests there is an opportunity to investigate how companies can capitalize on the phenomenon of routinization of innovation to secure profitable long-term growth. This opportunity is explored in a joint research effort combining two research projects: while this research project develops a theory of routinization at the generalized level of the firm's innovation activities, a fellow research project (Deplazes 2009) develops an approach of organizational design based on routinization of innovation.