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Heterogeneous Combinations of Knowledge Elements: How the Knowledge Base Structure Impacts Knowledge‑related Outcomes of a Firm*

01 Apr 2013-Research Papers in Economics (Research Institute for Economics & Business Administration, Kobe University)-
TL;DR: In this paper, the authors examined the effects of the knowledge base structure, how knowledge elements are linked or separated from each other in clusters, on a firm's knowledge-related outcomes.
Abstract: Knowledge is the preeminent resource of a firm. Although many scholars have focused on the firm's knowledge base, few studies have examined the effects of the knowledge base structure—how knowledge elements are linked or separated from each other in clusters—on firm's knowledge-related outcomes. This study examines the knowledge base structure, and tests hypotheses about the effects of heterogeneous combinations of knowledge elements on the outcomes. Through an analysis of the patents related to LCD technology, (1) the usefulness of an organization's inventions correlates positively with the density of the knowledge links between technologically different knowledge components, (2) the average usefulness of a firm's inventions correlates positively with the density of the knowledge links between technologically disparate knowledge components, (3) the number of inventions correlates negatively with the density of the knowledge links between excessively disparate knowledge components.

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TL;DR: In this article, the authors reconceptualize the firm-level construct absorptive capacity as a learning dyad-level measure, relative absorptive capacities, and test the model using a sample of pharmaceutical-biotechnology R&D alliances.
Abstract: Much of the prior research on interorganizational learning has focused on the role of absorptive capacity, a firm's ability to value, assimilate, and utilize new external knowledge. However, this definition of the construct suggests that a firm has an equal capacity to learn from all other organizations. We reconceptualize the firm-level construct absorptive capacity as a learning dyad-level construct, relative absorptive capacity. One firm's ability to learn from another firm is argued to depend on the similarity of both firms' (1) knowledge bases, (2) organizational structures and compensation policies, and (3) dominant logics. We then test the model using a sample of pharmaceutical–biotechnology R&D alliances. As predicted, the similarity of the partners' basic knowledge, lower management formalization, research centralization, compensation practices, and research communities were positively related to interorganizational learning. The relative absorptive capacity measures are also shown to have greater explanatory power than the established measure of absorptive capacity, R&D spending. © 1998 John Wiley & Sons, Ltd.

335 citations

Journal ArticleDOI
TL;DR: This paper aims to help organizations define the demand structure and distribution characteristics of human resources’ functional knowledge, business process knowledge, environmental knowledge, logical thinking knowledge, based on the situated functional levels of human Resources.
Abstract: The importance of studying organizational human resources knowledge structure is self-evident for organizational human resources selection and training It is also significant for organizations to conduct knowledge management and gain competitive advantages In this way, how do we understand the relationship among the knowledge structure owned by the organizational human resources, the functional levels and the business process situated, and the logical thinking applied? This is what this paper will further explore This paper aims to help organizations define the demand structure and distribution characteristics of human resources’ functional knowledge, business process knowledge, environmental knowledge, logical thinking knowledge, based on the situated functional levels of human resources Furthermore, it endeavors to provide a framework for determining the knowledge system and structure which are closely related to human resources selection and training From the perspective of System Theory, each organization is an independent system The work of any individual within the organization is one part of a system engineer Naturally, system engineering methodology becomes its methodology Based on the four-dimensional structure of system engineering methodology, this paper analyses human resources knowledge structure from the perspectives of function levels, environment, process and logic, and further constructs the organizational human resources knowledge four-dimensional structure model (HRKFDM) The knowledge of organizational human resources is closely related to business process, environmental conditions, function levels and thinking logic The organizational HRKFDM shows that organizational human resources knowledge is made up with functional knowledge dimension, environmental knowledge dimension, process knowledge dimension, and logical knowledge dimension In the problem-solving process with logical thinking and decision-making, human resources need to comprehensively use the functional knowledge, environmental knowledge, process knowledge and logical knowledge In each knowledge dimension, the functional knowledge, environmental knowledge, process knowledge and logical knowledge requirements for grass-roots workers, middle-level workers, and senior workers follow trapezoidal distribution, yamagata distribution and trapezoidal distribution respectively The organizational HRKFDM can be used as an important reference framework for promoting organizational learning, as well as an instruction for organizational learning, knowledge management, building a learning organization, and developing the core competence of an organization

7 citations


Cites background from "Heterogeneous Combinations of Knowl..."

  • ...The literature focusing on knowledge structure mostly discussed the influence of knowledge structure on organizations, such as the different impacts of element knowledge and structure knowledge on enterprise competitive advantage [14, 15]....

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References
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Journal ArticleDOI
TL;DR: In this paper, the implications of specialization in knowledge production for the organization and the boundaries of the field of aircraft engine control systems are explored. But they focus on a single aircraft engine.
Abstract: This paper uses an analysis of developments in aircraft engine control systems to explore the implications of specialization in knowledge production for the organization and the boundaries of the f...

1,409 citations


"Heterogeneous Combinations of Knowl..." refers background in this paper

  • ...If an organization has a broad knowledge base, it also has greater ability to explore external knowledge (Brusoni et al. 2001; March 1991)....

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Book
07 Aug 2002
TL;DR: In this article, the authors demonstrate the usefulness of patents and citations data as a window on the process of technological change and as a powerful tool for research on the economics of innovation.
Abstract: Innovation and technological change, long recognized as the main drivers of long-term economic growth, are elusive notions that are difficult to conceptualize and even harder to measure in a consistent, systematic way. This book demonstrates the usefulness of patents and citations data as a window on the process of technological change and as a powerful tool for research on the economics of innovation. Patent records contain a wealth of information, including the inventors' identity, location, and employer, as well as the technological field of the invention. Patents also contain citation references to previous patents, which allow one to trace links across inventions. The book lays out the conceptual foundations for such research and provides a range of interesting applications, such as examining the geographic pattern of knowledge spillovers and evaluating the impact of university and government patenting. It also describes statistical tools designed to handle methodological problems raised by the patent and citation processes. The book is accompanied by a set of auxiliary materials, including complete data on 3 million patents with more than 16 million citations and a range of author-devised measures of the importance, generality, and originality of patented innovations. This is available for download at http://mitpress.mit.edu/jaffecdcontents.

1,284 citations

Journal ArticleDOI
TL;DR: In this paper, the authors developed a theory of invention by drawing on complex adaptive systems theory and showed that inventors might face a "complexity catastrophe" when they attempt to combine highly interdependent technologies.

1,139 citations


"Heterogeneous Combinations of Knowl..." refers background in this paper

  • ...Fleming and Sorenson (2001) also argued that a knowledge base is an aggregation of knowledge components....

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  • ...Therefore, it is necessary to consider the ease of citation for each technology field (Yayavaram and Ahuja 2008; Fleming and Sorenson 2001)....

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Journal ArticleDOI
TL;DR: In this paper, the authors show that without the understanding provided by scientific research, inventors face a "complexity catastrophe" that limits the usefulness of their efforts when they attempt to combine multiple interdependent components.
Abstract: Although received wisdom suggests that scientific research increases the rate of technological advance, little research considers why and how this acceleration occurs. By treating invention as a process of recombining interdependent technological components, we gain traction on this issue. Inventors searching these combinatoric spaces face a "complexity catastrophe" that limits the usefulness of their efforts when they attempt to combine multiple interdependent components (Fleming and Sorenson, 2000). Scientific knowledge allows inventors to overcome the difficulties inherent in searching these spaces by improving their understanding of these interactions, essentially providing them with a map of the technological landscape. Thus, inventors can more effectively take advantage of the useful synergies between technological components, while avoiding many of the deleterious interactions. Our empirical analyses of patent citations support this model. Inventions that arise without the understanding provided by scientific research decline precipitously in usefulness as they combine increasingly interdependent components. Meanwhile, inventions that draw from previous scientific research do not exhibit this complexity catastrophe; their usefulness actually increases as the degree of interdependence rises. Scientific understanding also appears to alleviate much of the uncertainty associated with combining increasingly interdependent components.

1,026 citations


"Heterogeneous Combinations of Knowl..." refers background in this paper

  • ...Here we refer to knowledge and basic bits of matter as technology components that the inventor uses during the invention process (Fleming and Sorenson 2004)....

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  • ...Decomposability of Knowledge Structure and Outcomes One representative view in the history of technology conceptualizes invention as a process of recombination (Fleming and Sorenson 2004; Fleming 2001)....

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Journal ArticleDOI
TL;DR: The authors argue that science alters inventors' search processes, by leading them more directly to useful combinations, eliminating fruitless paths of research, and motivating them to continue even in the face of negative feedback.
Abstract: A large body of work argues that scientific research increases the rate of technological advance, and with it economic growth. The precise mechanism through which science accelerates the rate of invention, however, remains an open question. Conceptualizing invention as a combinatorial search process, this paper argues that science alters inventors' search processes, by leading them more directly to useful combinations, eliminating fruitless paths of research, and motivating them to continue even in the face of negative feedback. These mechanisms prove most useful when inventors attempt to combine highly coupled components; therefore, the value of scientific research to invention varies systematically across applications. Empirical analyses of patent data support this thesis. Copyright © 2004 John Wiley & Sons, Ltd.

937 citations