Book•
The knowledge-creating company : how Japanese companies create the dynamics of innovation
01 Jan 1995-
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.
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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
Cites background from "The knowledge-creating company : ho..."
...A knowledge-based perspective of the firm has emerged in the strategic management literature (Cole 1998; Spender 1996a, 1996b; Nonaka and Takeuchi 1995)....
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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
Cites background from "The knowledge-creating company : ho..."
...This type of interaction and collaboration is important when attempting to transmit tacit knowledge between individuals or convert tacit knowledge into explicit knowledge, thereby transforming it from individual to organizational level [84, 85, 86, 87]....
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...Collaboration is seen as one of the key manners in which knowledge is transmitted and created within the organization [49, 74, 87, 89, 98]....
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...The formal organizational structures within an organization may encourage or inhibit interactions among employees, a practice seen as vital in the effective management of knowledge [49, 87, 89, 94]....
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...Nonaka and Takeuchi [87] develop a new organizational...
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...Collaboration between individuals is also the basis for the socialization of knowledge [87]....
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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
Additional excerpts
...Knowledge may also be thought of as ‘tacit’ and ‘explicit’ (Nonaka and Takeuchi 1995)....
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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
Cites background from "The knowledge-creating company : ho..."
...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....
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...Not surprisingly, the process of innovation is commonly equated with an ongoing pursuit of harnessing new and unique knowledge (Nonaka & Takeuchi, 1995)....
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...Several studies have underscored how new products embody organizational knowledge (e.g., Stewart, 1997), described innovation as a knowledge management process (e.g., Madhavan & Grover, 1998), and characterized innovative companies as knowledge creating (e.g., Nonaka & Takeuchi, 1995)....
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01 Feb 2009
TL;DR: It is suggested that the competence to do global product development is both collective and distributed, grounded in the everyday practices of organizational members, and not a static embedded capability or stable disposition.
Abstract: Knoving in practice: Enacting a collettive capability in distributed organizing - 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 o\ 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.
2,661 citations
Cites background from "The knowledge-creating company : ho..."
...…examine the various strategies, routines, and techniques through which different types of knowledge are created, codified, converted, transferred, and exchanged (Nelson and Winter 1982, Leonard-Barton 1992, Hedlund 1994, Nonaka 1994, Nonaka and Takeuchi 1995, Winter 1987, Teece 1998, Hansen 1999)....
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...Indeed, “knowledge” has become the watchword of contemporary organizations, and research interest in knowledge, knowledge-based organizations, and knowledge management has accelerated (Kogut and Zander 1992, Starbuck 1992, Nonaka and Takeuchi 1995, Tsoukas 1996, Teece 1998)....
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References
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TL;DR: Users can expect significant benefits from KM as it develops over the next decades, but the understanding of knowledge and how people use it to work has a long way to go.
Abstract: Globalization has placed businesses everywhere in new and different competitive situations where knowledgeable, effective behavior has come to provide the competitive edge Enterprises have turned to explicit and systematic knowledge management (KM) to develop the intellectual capital needed to succeed Further developments are expected to provide considerable benefits resulting from changes in the workplace and in management and operational practices Changes will partly come from information technology and artificial intelligence developments However, more important changes are expected in people‐centric practices to build, apply, and deploy knowledge and understanding for support of innovative and effective knowledge‐intensive work Much remains to be done Next generation KM methods will still be crude Our understanding of knowledge and how people use it to work has a long way to go We need a“theory of knowledge” and perhaps a new theory of the firm to create a solid foundation for future KM Still, users can expect significant benefits from KM as it develops over the next decades
231 citations
TL;DR: It is suggested that user commitment plays a critical role in the volitional acceptance and usage of nonmandatory information and communication systems that escape the conventional behavioral logic of understandingaccept and usage from a normative perspective of compliance with the beliefs of others.
Abstract: In recent years, several organizations have implemented nonmandatory information and communication systems that escape the conventional behavioral logic of understanding acceptance and usage from a normative perspective of compliance with the beliefs of others. Because voluntary systems require users' volitional behavior, researchers have traced recent implementation failures to a lack of user commitment. However, gaps in our understanding of volitional usage behavior and user commitment have made it difficult to advance theory, research, and practice on this issue. To validate a proposed research model, cross-sectional, between-subjects, and within-subjects field data were collected from 714 users at the time of initial adoption and after six months of extended use. The model explained between 44.1 percent and 58.5 percent of the variance in adoption and usage behavior based upon direct effects of user commitment. Findings suggest that user commitment plays a critical role in the volitional acceptance and usage of such systems. Affective commitment--that is, internalization and identification based upon personal norms--exhibits a sustained positive influence on usage behavior. In contrast, continuance commitment--that is, compliance based upon social norms--shows a sustained negative influence from initial adoption to extended use. Theory development based upon Kelman's social influence framework offers new empirical insights about system users' commitment and how it affects volitional usage behavior.
231 citations
TL;DR: A theoretical model concerning the connections between five facets of knowledge management (knowledge acquisition, knowledge sharing, knowledge creation, knowledge codification and knowledge retention) and job satisfaction is proposed in this paper.
Abstract: Purpose
This paper aims to propose that knowledge management (KM) could be a way to nurture job satisfaction and examine how KM can increase individual employees’ job satisfaction.
Design/methodology/approach
A theoretical model concerning the connections between five facets of KM (knowledge acquisition, knowledge sharing, knowledge creation, knowledge codification and knowledge retention) and job satisfaction is proposed. It is then empirically tested with a structural equation modelling partial least squares analysis of a survey data set of 824 observations, collected from the members of a Finnish municipal organisation.
Findings
Existence of KM processes in one’s working environment is significantly linked with high job satisfaction. Especially intra-organisational knowledge sharing seems to be a key KM process, promoting satisfaction with one’s job in most employee groups. Interestingly, significant knowledge-based promoters of job satisfaction differ as a function of job characteristics.
Practical implications
KM has a strong impact on employee job satisfaction, and therefore, managers are advised to implement KM activities in their organisations, not only for the sake of improving knowledge worker performance but also for improving their well-being at work.
Originality/value
This paper produces knowledge on a type of consequence of KM that has been largely unexplored in previous research, individual job satisfaction. Also, it promotes moving the KM literature to the next stage where the impact of KM practices is not explored as a “one size fits all” type of a phenomenon, but rather as a contingent and contextual issue.
228 citations
TL;DR: This article examined how divergent objectives and conflict in the project teams were negotiated, and the impacts of this co-engineering on the participatory water management processes, and found that language barriers may aid, rather than hinder, the process of stakeholder appropriation, collective learning and skills transferal related to the design and implementation of participatory Water management processes.
Abstract: Broad-scale, multi-governance level, participatory water management processes intended to aid collective decision making and learning are rarely initiated, designed, implemented, and managed by one person. These processes mostly emerge from some form of collective planning and organization activities because of the stakes, time, and budgets involved in their implementation. Despite the potential importance of these collective processes for managing complex water-related social-ecological systems, little research focusing on the project teams that design and organize participatory water management processes has ever been undertaken. We have begun to fill this gap by introducing and outlining the concept of a co-engineering process and examining how it impacts the processes and outcomes of participatory water management. We used a hybrid form of intervention research in two broad-scale, multi-governance level, participatory water management processes in Australia and Bulgaria to build insights into these coengineering processes. We examined how divergent objectives and conflict in the project teams were negotiated, and the impacts of this co-engineering on the participatory water management processes. These investigations showed: (1) that language barriers may aid, rather than hinder, the process of stakeholder appropriation, collective learning and skills transferal related to the design and implementation of participatory water management processes; and (2) that diversity in co-engineering groups, if managed positively through collaborative work and integrative negotiations, can present opportunities and not just challenges for achieving a range of desired outcomes for participatory water management processes. A number of areas for future research on co-engineering participatory water management processes are also highlighted.
227 citations
01 Mar 2002
TL;DR: As healthcare organisations seek to enhance safety and quality in a changing environment, organisational learning practices can help to improve existing skills and knowledge and provide opportunities to discover better ways of working together.
Abstract: As healthcare organisations seek to enhance safety and quality in a changing environment, organisational learning practices can help to improve existing skills and knowledge and provide opportunities to discover better ways of working together. Leadership at executive, middle management, and local levels is needed to create a sense of shared purpose. This shared vision should help to build effective relationships, facilitate connections between action and reflection, and strengthen the desirable elements of the healthcare culture while modifying outdated assumptions, procedures, and structures.
226 citations