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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: In this paper, the authors investigated cultural (learning organization culture), psychological (organizational commitment), and behavioral antecedents of knowledge-sharing intention of employees, and found that learning organization culture was significantly associated with organizational commitment, organizational citizenship behavior, and knowledge sharing intention.
Abstract: This study investigated cultural (learning organization culture), psychological (organizational commitment), and behavioral (organizational citizenship behavior) antecedents of knowledge-sharing intention of employees. The authors’ structural equation model using data collected from 452 Korean workers showed that learning organization culture was significantly associated with organizational commitment, organizational citizenship behavior, and knowledge-sharing intention. Organizational citizenship behavior turned out to fully mediate the relationship between organizational commitment and knowledge-sharing intention. Theoretical and practical implications, limitations, and recommendations for future research are discussed.

171 citations


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

  • ...Nonaka and Takeuchi (1995) indicated that a hypertext organizational culture, characterized as flexible opposed to bureaucratic, facilitates sharing of individuals’ tacit knowledge and converts it into explicit knowledge....

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  • ...These results were consistent with the findings of previous literature (e.g., Bock & Kim, 2002; Nonaka & Takeuchi, 1995)....

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  • ...Nonaka and Takeuchi (1995) indicated that a hypertext organizational culture, characterized as flexible opposed to bureaucratic, facilitates sharing of individuals’ tacit knowledge and converts it into explicit knowledge. Robertson and Hammersley (2000) also insisted that a working environment where the notion of egalitarianism and autonomy was entrenched produced a significant contribution to knowledge creation and sharing within the organization....

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Journal ArticleDOI
01 Aug 2001
TL;DR: A productivity perspective on knowledge sharing in organizations that is based on the differential value of different types of knowledge for task units is developed in this article, where the sharing of codified knowledge is considered.
Abstract: We develop a productivity perspective on knowledge sharing in organizations that isbased on the differential value of different types of knowledge for task units. While thesharing of codified knowl...

170 citations


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

  • ...There has been considerable debate about the distinction between codified and tacit knowledge, focusing for example on the relationship between these two knowledge types and on the codification process (e.g., Ancori, Bureth, and Cohendet, 2000; Cowan and Foray, 1997; Nonaka and Takeuchi, 1995)....

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  • ...…view ∗ Correspondence to: Martine R. Haas, The Wharton School, University of Pennsylvania, 2000 Steinberg Hall-Dietrich Hall, 3620 Locust Walk, Philadelphia, PA 19104, U.S.A. E-mail: mrhaas@wharton.upenn.edu and Zander, 1992; Nonaka and Takeuchi, 1995; Teece, Pisano, and Shuen, 1997)....

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Journal ArticleDOI
TL;DR: In this paper, the authors compare the VET systems of England, Germany and The Netherlands and identify a major distinction between a knowledge-based VET model in Germany and the Netherlands and a skills-based model in England.
Abstract: Policy debates on employability, lifelong learning and competence‐based approaches suggest a convergence of VET approaches across European countries. Against the background of the creation of a European Qualifications Framework, this paper compares the VET systems of England, Germany and The Netherlands. The analysis reveals the distinct understandings and meanings of outwardly similar terms. These meanings are deeply rooted in the countries’ institutional structures and labour processes and still inform national debates and policies today. The paper identifies a major distinction between a ‘knowledge‐based’ VET model in Germany and The Netherlands and a ‘skills‐based’ model in England. There is a need to develop trans‐national categories that take into account the social construction of terms such as ‘skills’ and ‘qualifications’.

170 citations


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

  • ...Nonaka and Takeuchi (1995) have drawn attention to the way in which Japanese companies make use of the largely tacit knowledge of the workforce by providing mechanisms for converting it into explicit and back again into tacit knowledge, thus creating a ‘spiral of knowledge’....

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Journal ArticleDOI
TL;DR: In this paper, the authors reviewed the main empirical studies and gathered information and insights from 21 multinational corporations to learn more about changes in the innovation strategies of large multinational corporations, whereby one focus is on internationalization aspects, like learning from technological excellence and lead markets and dynamic interactions within the value chain.

169 citations

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