scispace - formally typeset
Search or ask a question
Book

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
More filters
Journal ArticleDOI
TL;DR: This study develops a typology of three translation modes and four appurtenant translation rules (copying, addition, omission and alteration) and discusses which translation rules fit which conditions, and identifies three critical conditional variables in knowledge transfers.
Abstract: Based on a literature review, this paper investigates the potential of translation theory to energize the study of knowledge transfer between source and recipient organizational units. The central assumption is that translation theory is not only useful for analyzing knowledge-transfer processes, but also has the potential to guide deliberate interventions in such processes. Based on this premise, and drawing on insights from the neighboring academic discipline of translation studies, the author outlines the elements of an instrumental translation theory, with the aim of developing knowledge about how to conduct translations of practices and ideas to achieve various organizational ends in knowledge transfers. The instrumental theory is founded on two main arguments. The first is that knowledge transfers between organizations are rule-based translation processes. The second is that the way in which translators use various translation rules and perform translations may be decisive for outcomes of knowledge-transfer processes. This study develops a typology of three translation modes (the reproducing, the modifying and the radical mode) and four appurtenant translation rules (copying, addition, omission and alteration), and discusses which translation rules fit which conditions. The author identifies three critical conditional variables in knowledge transfers – the translatability of the source practice, the transformability of the transferred knowledge, and the similarity between source and recipient units – and discusses the appropriateness of each translation rule in relation to these variables.

137 citations


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

  • ...Explicit knowledge is verbalized, codified, well articulated (Nonaka and Takeuchi 1995) and easily taught, written and expressed in, for example, formulas and manuals (Martin and Salomon 2003; Zander and Kogut 1995)....

    [...]

  • ...Therefore, tacit important elements for the functioning of a source practice must be conceptualized, made explicit and added to the recipient version (Nonaka and Takeuchi 1995)....

    [...]

Journal ArticleDOI
TL;DR: This study draws on the previous literature to identify key dimensions of KM process (knowledge acquisition, knowledge conversion, knowledge application and knowledge protection), KM effectiveness, KM effectiveness and socio-technical support (organizational support and information technology diffusion).
Abstract: Knowledge management (KM) is now widely recognized to be important to the success or failure of business management. Seeking to better understand the determinants of the evolution of KM, this study focuses on two main problems: (1) whether firms change their KM processes over time to improve KM effectiveness as well as develop their KM practices, and (2) whether socio-technical support results in more mature KM practices. This study draws on the previous literature to identify key dimensions of KM process (knowledge acquisition, knowledge conversion, knowledge application and knowledge protection), KM effectiveness (individual-level and organizational-level KM effectiveness) and socio-technical support (organizational support and information technology diffusion). The evolution of these dimensions is studied in the form of a stage model of KM that includes initiation, development, and mature stages. Data gathered from 141 senior executives in large Taiwanese organizations were employed to test the propositions. The results show that different stages of KM evolution can be distinguished across dimensions of KM process, KM effectiveness, and socio-technical support. Implications for organizations are also discussed.

137 citations


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

  • ...The evolution of these dimensions is studied in the form of a stage model of KM that includes initiation, development, and mature stages....

    [...]

Journal ArticleDOI
TL;DR: In this paper, the authors present a project learning model and a conceptual model from which a Project Learning Roadmap is derived to support business leaders to improve their project lessons learned processes, which will enable organisations to develop individual solutions tailored to stakeholders' needs.

135 citations


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

  • ...In recent years this work has been reviewed and extended in a number of papers on which Nonaka collaborated (Nonaka and Takeuchi, 1995; Von Krogh et al., 2012)....

    [...]

  • ...The most informative methods indicated were those involving face-to-face communication which echoes the view that knowledge creation and learning are essentially social activities as proposed by many of the leading authors in the field (Nonaka and Takeuchi, 1995; Wenger, 2004)....

    [...]

  • ...There are significant problems in the current economic climate in that lessons are often ‘tacit’ and held in peoples’ ‘heads’ or ‘minds’ (Tsoukas, 2001; Nonaka and Takeuchi, 1995) and with reductions in workforces this learning or knowledge leaks away and is lost forever to the organisation unless…...

    [...]

  • ...There are significant problems in the current economic climate in that lessons are often ‘tacit’ and held in peoples’ ‘heads’ or ‘minds’ (Tsoukas, 2001; Nonaka and Takeuchi, 1995) and with reductions in workforces this learning or knowledge leaks away and is lost forever to the organisation unless it is captured and/or shared (Davenport et al....

    [...]

Journal ArticleDOI
TL;DR: In this position document, the nature of Knowledge Society is commented on and a 'Roadmap' for the future discussions and contributions is developed.
Abstract: The Knowledge Society is the new context of our living and working. Towards this milestone, the International Journal of Knowledge and Learning reveals a scientific debate where academics, practitioners, researchers, policy makers, as well as government bodies, industry and nonprofit organisations provide their understanding for the integrated character of knowledge and learning. In this position document, we comment on the nature of Knowledge Society and we develop a 'Roadmap' for our future discussions and contributions.

135 citations


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

  • ...Nonaka et al. (Nonaka, 1994; Nonaka and Takeuchi, 1995) promote the well-known distinction of tacit and explicit knowledge, which seems to be a manifestation in knowledge management, since in its simplistic categorisation describes the admission of hidden and revealed knowledge....

    [...]

Book
01 Jan 2003
TL;DR: Knowledge Management in the Intelligence Enterprise (KME) as mentioned in this paper is a system-level book that applies knowledge management principles, practices, and technologies to the intelligence domain, from collection, processing, and analysis, to dissemination for both national intelligence and business applications.
Abstract: From the Publisher: Knowledge Management in the Intelligence Enterprise is essential reading for professionals who are responsible for the management of an intelligence enterprise operation and its timely and accurate delivery of reliable intelligence to key decision makers. It is the first easy-to-understand, system-level book that specifically applies knowledge management principles, practices, and technologies to the intelligence domain. The book describes the fundamental principles of intelligence, from collection, processing, and analysis, to dissemination for both national intelligence and business applications.

135 citations

References
More filters
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