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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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Book ChapterDOI
01 Jan 2004
TL;DR: This chapter reviews the trust literature to create an understanding of the different types and bases of trust, and which processes require which type of trust for knowledge management success.
Abstract: Within the practitioner literature, trust has often been noted as a key component for the success of knowledge management practices; however, trust is a very complex construct that has many different facets and definitions. This chapter reviews the trust literature to create an understanding of the different types and bases of trust. These types and bases of trust are then applied to the knowledge management processes (knowledge generation, knowledge codification, knowledge transfer, and knowledge application) to create better understanding of the possible relationships between trust and the knowledge management processes, and which processes require which type of trust for knowledge management success. Implications for practitioners are then discussed.

124 citations

Journal ArticleDOI
TL;DR: A meta-analysis of prior scientometric research of the knowledge management (KM) field finds that KM exhibits attributes of a healthy academic domain with no apparent anomalies and is progressing towards academic maturity.
Abstract: Purpose – The purpose of this study is to conduct a meta-analysis of prior scientometric research of the knowledge management (KM) field. Design/methodology/approach – A total of 108 scientometric studies of the KM discipline were subjected to meta-analysis techniques. Findings – The overall volume of scientometric KM works has been growing, reaching up to ten publications per year by 2012, but their key findings are somewhat inconsistent. Most scientometric KM research is published in non-KM-centric journals. The KM discipline has deep historical roots. It suffers from a high degree of over-differentiation and is represented by dissimilar research streams. The top six most productive countries for KM research are the USA, the UK, Canada, Germany, Australia, and Spain. KM exhibits attributes of a healthy academic domain with no apparent anomalies and is progressing towards academic maturity. Practical implications – Scientometric KM researchers should use advanced empirical methods, become aware of prior ...

124 citations


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

  • ...…et al., 2003) to the latest (Ma and Yu, 2010) empirical attempts to identify the most frequently cited KM works, the impact of the publications by Nonaka and Takeuchi (1995), Davenport and Prusak (1998) and Nonaka (1994) on the development of KM as a scientific discipline has been consistently…...

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  • ...Inspired by the works by Nonaka and Takeuchi (1995), Davenport and Prusak (1998) and Nonaka (1994), its knowledge base has been continuously growing and shows no sign of decline....

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  • ...…impact investigations, which used the number of citations as a measurement technique, relatively consistently identified three major works – namely Nonaka and Takeuchi (1995), Davenport and Prusak (1998) and Nonaka (1994) – which formed the foundation for the development of the KM discipline....

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  • ...Implication no. 17: the most influential works that formed the foundation for KM research are: Nonaka and Takeuchi (1995), entitled ‘‘The knowledge-creating company’’, Davenport and Prusak (1998), entitled ‘‘Working knowledge’’, and Nonaka (1994), entitled ‘‘A dynamic theory of organizational…...

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Journal ArticleDOI
TL;DR: This study fills a gap in the literature about applying/implementing a KM framework for the public sector and therefore significantly contributes toward the theoretical advancement of the field.
Abstract: The application of knowledge management (KM) is critical to public sector firm as it is to private sector firm. However, despite its significance, the academic enquiry of KM in public sector is at its nascent stage. This forms the motivation of the present work; this paper aims to analyze and understand the intricate relationship between KM processes and public sector firm performance in terms of operational, quality and innovation performance.,A comprehensive KM processes–performance framework consisting of seven constructs (four constructs of KM processes and three constructs of KM performance) and their underlying factors was developed through an extensive literature review. The employee perceptions of these seven constructs were captured on a five-point Likert scale using a country-wide survey in the UAE public sector. The 270 valid responses captured were then used to first validate the KM framework and then test the hypothesized relationships between KM processes and KM performance.,The findings show that all four KM processes (knowledge creation, knowledge capture and storage, knowledge sharing and knowledge application and use) had a positive and significant impact on operational, quality and innovation performance of public sector in the UAE.,The findings confirm the validity and reliability of all the seven constructs and their underlying factors and the assessment framework. Overall, this study fills a gap in the literature about applying/implementing a KM framework for the public sector and therefore significantly contributes toward the theoretical advancement of the field. However, the study does acknowledge the use of perceptual measures of individual employees as a limitation instead of more objective measures to capture the impact KM processes on KM performance.,The strong and significant impact of KM processes on firm performance is expected to provide the impetus for practitioners and policymakers to implement and leverage from KM processes and improve firm performance in the public sector.,A comprehensive development, validation and assessment of a KM framework for the public sector has not been attempted previously anywhere, let alone UAE, and hence constitutes the novelty of this work.

124 citations


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

  • ...While the latter can be shared in formal, systematic language among employees (Nonaka & Takeuchi, 1995) such as through the intranet, electronic email, and shared databases, the former poses a challenge for organizations for two reasons....

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Journal ArticleDOI
TL;DR: In this article, the authors show that attempts to develop an optimal KM methodology are misplaced unless the underlying assumptions and paradigms are identified and understood, and they also suggest that KM is currently in a state of "pre-science", where proponents of different paradigm have their own beliefs and values and often disagree with others about fundamentals within the field.
Abstract: The development of knowledge management (KM) in theory and praxis continues to involve a wide range of disciplines and contributors, each bringing their respective experiences, beliefs, and practices. Two of the main disciplines that contribute to the KM discourse are information systems and management. However, this study of KM has revealed an apparent dichotomy between those researchers from an information systems background and those from a management background. Approaches and models based on each perspective have emerged, but there is little evidence of synergy and convergence. This article shows that attempts to develop an optimal KM methodology are misplaced unless the underlying assumptions and paradigms are identified and understood. Furthermore, it is proposed that KM is currently in a state of “pre-science,” wherein proponents of different paradigms have their own beliefs and values and often disagree with others about fundamentals within the field.

123 citations


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

  • ...Improvement will be restricted to increased efficiency rather than the reframing necessary to produce challenging innovation in regard to the organisation and its employees (Pitt, 1998)....

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Journal Article
TL;DR: The different ways in which social computing applications can be used for teaching and learning are considered, and changes to pedagogy based on greater learner control, agency, and engagement in content creation, as well as peer-to-peer sharing and review of ideas are suggested.
Abstract: This article describes how the emergence of “Web 2.0” technologies and social software tools is creating a new set of dynamics leading to increased user-led content and knowledge production that is transforming higher education curriculum and instruction. It considers the different ways in which social computing applications can be used for teaching and learning, and suggests changes to pedagogy based on greater learner control, agency, and engagement in content creation, as well as peer-to-peer sharing and review of ideas. It presents a number of exemplars and cases of learner-generated content from universities around the world, and discusses the themes of pedagogical transformation that emerge from an analysis of these cases. It also discusses a number of challenges facing the production and adoption of learner-generated content in higher education, and suggests some possible ways forward to meet these challenges.

123 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