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The knowledge-creating company : how Japanese companies create the dynamics of innovation

TL;DR: In this article, Nonaka and Takeuchi argue that Japanese firms are successful precisely because they are innovative, because they create new knowledge and use it to produce successful products and technologies, and they reveal how Japanese companies translate tacit to explicit knowledge.
Abstract: How has Japan become a major economic power, a world leader in the automotive and electronics industries? What is the secret of their success? The consensus has been that, though the Japanese are not particularly innovative, they are exceptionally skilful at imitation, at improving products that already exist. But now two leading Japanese business experts, Ikujiro Nonaka and Hiro Takeuchi, turn this conventional wisdom on its head: Japanese firms are successful, they contend, precisely because they are innovative, because they create new knowledge and use it to produce successful products and technologies. Examining case studies drawn from such firms as Honda, Canon, Matsushita, NEC, 3M, GE, and the U.S. Marines, this book reveals how Japanese companies translate tacit to explicit knowledge and use it to produce new processes, products, and services.
Citations
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Proceedings ArticleDOI
24 May 2004
TL;DR: M Modesitt and Greeves are among a growing number of researchers taking note of government use of the Internet, Geographic Information Systems (GIS), and Web technologies to establish external collaboration, civic engagement, networking, and customer service.
Abstract: E-government, a concept that emerged in the late 1990s, is facing challenging opportunities for improving public service delivery to individual citizens The Internet, the World Wide Web, and other digital tools are transforming the ways in which business, the public, and government communicate, and altering citizen demand for government service delivery (Council for Excellence in Government [CEG], 2000; Stowers, 2002; Strover & Straubhaar, 2000) Public expectations for fast and convenient service delivery and institutional needs for efficiency are motivating agencies to experiment with e-government ventures (CEG, 2000; Center for Technology in Government [CTG], 1999; National Electronic Commerce Coordinating Council [NECCC], 2000a) Modesitt (2002) and Greeves (2000) are among a growing number of researchers taking note of government use of the Internet, Geographic Information Systems (GIS), and Web technologies to establish external collaboration, civic engagement, networking, and customer service E-government services are clearly expanding and will continue to do so; the speed at which the expansion occurs will be limited only by the speed at which technical and financial capacities evolve and organizational/managerial philosophies emerge

71 citations


Cites background from "The knowledge-creating company : ho..."

  • ...Nonaka and Takeuchi (1995) indicate that a combination of a formal organizational structure and a non-hierarchical, self-organizing organizational structure would improve knowledge creation and sharing capabilities....

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  • ...However, this effect can also be achieved by maintaining the formal hierarchical structure while adding the dimension of flexibility (Nonaka & Takeuchi, 1995)....

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Journal ArticleDOI
08 Aug 2014-Vine
TL;DR: It is found that it is possible to create a system for identifying which knowledge is most likely to be lost and to guide an organization towards the appropriate actions for capturing that knowledge before it is lost.
Abstract: Purpose – The purpose of the paper is to propose a methodology for organizations to use to assess the risk of knowledge loss should a specific employee leave. The article also proposes actions that can be taken by the organization to capture this knowledge before it is lost. Design/methodology/approach – Applied research based on the systems analysis approach. Findings – The paper finds that it is possible to create a system for identifying which knowledge is most likely to be lost and to guide an organization towards the appropriate actions for capturing that knowledge before it is lost. Research limitations/implications – The process has only been piloted on a single organization and with a limited number of subjects. However, the results are promising, and future research is focused on exploring generalizability. Practical implications – The paper provides a process that will assist managers in making better decisions when allocating resources for capturing knowledge from departing individuals. Social ...

71 citations


Cites methods from "The knowledge-creating company : ho..."

  • ...Sources used are Nonaka and Takeuchi, 1995; Szulanski, 1996; Disterer, 2001; Wasko and Faraj, 2005, Parise et al., 2006; Kaplan, 2008; and Aggestam et al., 2010....

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Journal ArticleDOI
TL;DR: The results show that trust at workplace has a mediating effect on organizational knowledge‐sharing behavior and there is significant correlation between expected personal benefit through sharing knowledge and the development oftrust at workplace.
Abstract: Purpose – The purpose of this paper is to look at the relationships among factors which result in improved knowledge sharing, through the empirical validation of a theoretical model consisting of three dimensions: expected benefit in relation to knowledge sharing, trust at workplace, and employee knowledge‐sharing behavior.Design/methodology/approach – This study targets three technological companies with a total of employees exceeding 1,500 (n=563), utilizing a survey questionnaire as the data collection instrument to test the relationship among the three dimensions. The structural equation modeling approach is used to test the proposed model.Findings – The results show that trust at workplace has a mediating effect on organizational knowledge‐sharing behavior. It is also discovered that there is significant correlation between expected personal benefit through sharing knowledge and the development of trust at workplace.Originality/value – This study contributes empirical data to the predominantly theore...

71 citations


Cites background from "The knowledge-creating company : ho..."

  • ...Knowledge sharing has been considered a key enabler of knowledge management (Nonaka and Takeuchi, 1995)....

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  • ...Introduction Knowledge sharing has been considered a key enabler of knowledge management (Nonaka and Takeuchi, 1995)....

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Journal ArticleDOI
TL;DR: The main conclusion is that a “realized absorptive capacity” is unlikely without being fostered by the transference and storage of new knowledge and it therefore require...
Abstract: Purpose – Spanish banks which took rescue packages are trying to find innovative ways to improve customer value. The main purpose of this paper is to investigate the extent to which banks combine external knowledge with internal knowledge to build customer value. Design/methodology/approach – A firm ' s knowledge corridor is an organizational capacity, referring to the ability to absorb external knowledge and utilize it in generating innovative outputs. This paper examines the relative importance and significance of knowledge transfer and knowledge storage/retrieval processes as bridges between “potential absorptive capacity” and “realized absorptive capacity” and its effects on the application of knowledge through an empirical investigation of 76 banks. Findings – The results are calculated using structural equation modelling. This leads to the main conclusion that a “realized absorptive capacity” is unlikely without being fostered by the transference and storage of new knowledge and it therefore require...

71 citations


Cites background from "The knowledge-creating company : ho..."

  • ...The recognition of knowledge as a key resource for firms in the current business environment confirms the need for processes that facilitate individual and collective knowledge creation, transfer and leverage (Becerra-Fernandez and Sabherwal, 2001; Ipe, 2003; Nonaka and Takeuchi, 1995)....

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  • ...For example, Nonaka and Takeuchi (1995) discuss the ability of a firm to create knowledge, but they seem to assume that once created, knowledge will be effectively implemented....

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Journal ArticleDOI
TL;DR: In this paper, the authors drew on the knowledge management (KM) and organizational change literature to take a first step in the development of a synergistic instrument that measures readiness for KM and applied it in an organizational setting.
Abstract: Implementing knowledge management (KM) projects or knowledge-sharing philosophies in organizations require significant organization change. Because the introduction of change is difficult, leaders have been encouraged to proactively prepare their organizations and its members as they begin one of these initiatives. As the first step in this process, managers should comprehensively examine their organization's underlying readiness to embrace these initiatives. Unfortunately, the measurement of an organization's readiness for KM initiatives poses significant challenges because no known instrument is available to do so. Accordingly, this study drew on the KM and organizational change literature to take a first step in the development of a synergistic instrument that measures readiness for KM and applied it in an organizational setting.

70 citations


Cites background from "The knowledge-creating company : ho..."

  • ...…Management Research & Practice (2007) 5, 75–92. doi:10.1057/palgrave.kmrp.8500132 Keywords: KM enablers; KM readiness; readiness for change Introduction It is commonly accepted that the richest resource of today’s organizations is knowledge (Drucker, 1993; Wiig, 1993; Nonaka & Takeuchi, 1995)....

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References
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Journal ArticleDOI
TL;DR: The objective of KMS is to support creation, transfer, and application of knowledge in organizations by promoting a class of information systems, referred to as knowledge management systems.
Abstract: Knowledge is a broad and abstract notion that has defined epistemological debate in western philosophy since the classical Greek era. In the past few years, however, there has been a growing interest in treating knowledge as a significant organizational resource. Consistent with the interest in organizational knowledge and knowledge management (KM), IS researchers have begun promoting a class of information systems, referred to as knowledge management systems (KMS). The objective of KMS is to support creation, transfer, and application of knowledge in organizations. Knowledge and knowledge management are complex and multi-faceted concepts. Thus, effective development and implementation of KMS requires a foundation in several rich literatures.

9,531 citations

Journal ArticleDOI
TL;DR: This research suggests that a knowledge infrastructure consisting of technology, structure, and culture along with a knowledge process architecture of acquisition, conversion, application, and protection are essential organizational capabilities or "preconditions" for effective knowledge management.
Abstract: A hallmark of the new economy is the ability of organizations to realize economic value from their collection of knowledge assets as well as their assets of information, production distribution, and affiliation. Despite the competitive necessity of becoming a knowledge-based organization, senior managers have found it difficult to transform their firms through programs of knowledge management. This is particularly true if their organizations have long histories of process and a tradition of business success. This research examines the issue of effective knowledge management from the perspective of organizational capabilities. This perspective suggests that a knowledge infrastructure consisting of technology, structure, and culture along with a knowledge process architecture of acquisition, conversion, application, and protection are essential organizational capabilities or “preconditions” for effective knowledge management. Through analysis of surveys collected from over 300 senior executives, this research empirically models and uncovers key aspects of these dimensions. The results provide a basis for understanding the competitive predisposition of a firm as it enters a program of knowledge management.

4,646 citations

Journal ArticleDOI
TL;DR: In this paper, the authors explore the nature of value co-creation in the context of service-dominant (S-D) logic and develop a conceptual framework for understanding and managing value cocreation.
Abstract: Central to service-dominant (S-D) logic is the proposition that the customer becomes a co-creator of value. This emphasizes the development of customer–supplier relationships through interaction and dialog. However, research to date suggests relatively little is known about how customers engage in the co-creation of value. In this article, the authors: explore the nature of value co-creation in the context of S-D logic; develop a conceptual framework for understanding and managing value co-creation; and utilize field-based research to illustrate practical application of the framework. This process-based framework provides a structure for customer involvement that takes account of key foundational propositions of S-D logic and places the customer explicitly at the same level of importance as the company as co-creators of value. Synthesis of diverse concepts from research on services, customer value and relationship marketing into a new process-based framework for co-creation provide new insights into managing the process of value co-creation.

3,114 citations

Journal ArticleDOI
TL;DR: In this paper, the authors examined how aspects of intellectual capital influenced various innovative capabilities in organizations and found that human, organizational, and social capital and their interrelationships selectively influenced incremental and radical innovative capabilities.
Abstract: We examined how aspects of intellectual capital influenced various innovative capabilities in organizations. In a longitudinal, multiple-informant study of 93 organizations, we found that human, organizational, and social capital and their interrelationships selectively influenced incremental and radical innovative capabilities. As anticipated, organizational capital positively influenced incremental innovative capability, while human capital interacted with social capital to positively influence radical innovative capability. Counter to our expectations, however, human capital by itself was negatively associated with radical innovative capability. Interestingly, social capital played a significant role in both types of innovation, as it positively influenced incremental and radical innovative capabilities. It is widely accepted that an organization’s capability to innovate is closely tied to its intellectual capital, or its ability to utilize its knowledge resources. Several studies have underscored how new products embody organizational knowledge (e.g., Stewart, 1997), described innovation as a

3,008 citations

Journal ArticleDOI
TL;DR: In this article, the authors outline a perspective on knowing in practice which highlights the essential role of human action in knowing how to get things done in complex organizational work and suggest that the competence to do global product development is both collective and distributed, grounded in the everyday practices of organizational members.
Abstract: In this paper, I outline a perspective on knowing in practice which highlights the essential role of human action in knowing how to get things done in complex organizational work. The perspective suggests that knowing is not a static embedded capability or stable disposition of actors, but rather an ongoing social accomplishment, constituted and reconstituted as actors engage the world in practice. In interpreting the findings of an empirical study conducted in a geographically dispersed hightech organization, I suggest that the competence to do global product development is both collective and distributed, grounded in the everyday practices of organizational members. I conclude by discussing some of the research implications of a perspective on organizational knowing in practice.

2,670 citations