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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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Journal ArticleDOI
TL;DR: A model is developed through a grounded theory approach, using qualitative analysis of case data from four medical‐device companies, that classifies ambiguity along two dimensions: subject and source.
Abstract: Purpose – The “fuzzy front end” of new product development (NPD) is characterized by considerable uncertainty and ambiguity, but detailed studies of ambiguity specifically related to NPD are missing. This paper aims to establish a classification of ambiguity in NPD processes.Design/methodology/approach – The authors' research design is a holistic multiple‐case‐study design with the NPD project as the unit of analysis. A model is developed through a grounded theory approach, using qualitative analysis of case data from four medical‐device companies.Findings – The authors present a model that classifies ambiguity along two dimensions: subject and source. The subjects of ambiguity include product, market, process, and organizational resources, whereas the sources of ambiguity include multiplicity, novelty, validity, and reliability.Research limitations/implications – As the study is based on just four case studies in a single industry segment, further research is needed to determine the model's wider applica...

65 citations


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

  • ...Nonaka and Takeuchi (1995, pp. 82-83) have also stressed the need for variety to achieve innovation through the term “requisite variety.”...

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Journal ArticleDOI
TL;DR: This article argues that OR interventions, particularly problem structuring methods (PSM), are complex events that cannot be understood by conventional methods alone, and introduces an alternative approach where the units of analysis are the activity systems constituted by and constitutive of PSM interventions.

64 citations


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

  • ...In a further refinement, Franco (2013) applied the concept of boundary objects (based on Nonaka and Takeuchi (1995)) to facilitate the micro-level study of the dynamics in OR interventions....

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Journal ArticleDOI
TL;DR: In this article, an interpretivist methodology was adopted for this research using convergent interviewing and observation techniques to help build up a picture of SME owner/managers' perceptions in relation to innovative marketing and to develop an understanding of the nature and scope of their marketing in practice.
Abstract: This paper considers the nature of innovative marketing in the context of SMEs (small to medium sized enterprises). Research was carried out to identify SME decision-makers' perspectives on innovative marketing and to compare these with the nature of innovative marketing practices actually carried out by the SMEs. An interpretivist methodology was adopted for this research using convergent interviewing and observation techniques to help build up a picture of SME owner/managers' perceptions in relation to innovative marketing and to develop an understanding of the nature and scope of their marketing in practice. Eight case SMEs were selected in accordance with a pre-determined set of criteria enabling a purposive selection of case companies which were ‘rich’ in information in the selected research area. The empirical findings demonstrated that innovative marketing pervades much of SME owner/managers' thinking and marketing activity with particular reference to the competitive market circumstances within wh...

64 citations


Additional excerpts

  • ...…new product or service development, new approaches to marketing issues (Knight, Omura, Hills, & Muzyka, 1995), competitive advantage (Kandampully, 2002; Martin & Rana, 2001; Stokes, 2000) and opportunity (Hulbert & Brown, 1998; Nonaka & Takeuchi, 1995; Raymond, Bergeron, & Rivard, 1998)....

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Journal ArticleDOI
TL;DR: Schaap, H., De Bruijn, E., Van der Schaaf, M. F., and Kirschner, P. A. as discussed by the authors studied students' personal professional theories in competence-based vocational education: the construction of personal knowledge through internalisation and socialisation.
Abstract: Schaap, H., De Bruijn, E., Van der Schaaf, M. F., & Kirschner, P. A. (2009). Students' personal professional theories in competence-based vocational education: the construction of personal knowledge through internalisation and socialisation. Journal of Vocational Education & Training, 61(4), 481-494.

64 citations

Proceedings ArticleDOI
05 Jan 2004
TL;DR: The model can be applied in a business setting and the first hypothesis is supported: successful KM links knowledge resources to company objectives; the second hypothesis is not supported: KM in the case is not based on explicit and quantitative indicators.
Abstract: This paper outlines an approach to determine key performance indicators and metrics for knowledge management (KM) in communities of practice. The approach is based on analysis of the KM literature on (i) types of knowledge, (ii) processes of knowledge development and social learning, and (iii) metrics for KM, such as from the intellectual capital method. To embed communities of practice and KM processes in an organizational context, we introduce our knowledge governance framework, which combines knowledge resources, KM, and organizational objectives. Our first hypothesis is that successful KM in organizations requires the linking of knowledge resources to organizational objectives. Our second hypothesis is that a precondition for successful KM is that explicit, quantitative indicators are used. We tested the framework in a small organization in the financial industry. According to our first case experience, the model can be applied in a business setting and our first hypothesis is supported: successful KM links knowledge resources to company objectives. Our second hypothesis is not supported: KM in the case is not based on explicit and quantitative indicators.

64 citations


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

  • ...The approach is based on existing typologies of knowledge [10, 11], processes of knowledge development and social learning [12, 13, 14], and metrics for KM, like from the Intellectual Capital...

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  • ...Types of knowledge and the knowledge creating process [10, 13] Proceedings of the 37th Hawaii International Conference on System Sciences - 2004...

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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