Inter-organizational and cross disciplinary collaboration has been widely perceived as the important vehicle for SME to develop breakthrough innovation and sustain competitive advantage in the technology-based industries. The performance of R&D collaboration depends on firm’s strategies to cross the organizational boundary and bridge the knowledge gap between firm and partner. Drawing on the literatures of organization theory and knowledge management, we explored inherent obstacles and key enablers to the inter-organizational and cross disciplinary collaboration. Through a qualitative study, we investigated the value synergy from firm’s boundary spanning competence and organizational absorptive capacity which were powered by people and enabled by IT. We also drew implications from our newly developed understanding of IT’s role in the inter-organizational and cross disciplinary collaboration and then proposed a conceptual framework to shed light on the theory of open innovation.