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: In this article, a longitudinal study of a mature manufacturing firm based in North Wales is presented, where the main change agent was a recently recruited middle manager who used his mass production experience to improve managerial communications and introduce more efficient working practices to the shopfloor.
Abstract: considerable amount of research into how organizations absorb new knowledge was prompted by the work of Cohen and Levinthal. In a recent literature review Zahra and George identify two distinct elements of absorptive capacity (potential and realized). This article contributes to the study of managerial agency in the absorption of new knowledge and skills. Zahra and George’s model is extended to incorporate key roles associated with knowledge transfer, including gatekeepers, boundary spanners and change agents. Empirical data are drawn from a longitudinal study of a mature manufacturing firm based in North Wales. Change was initiated by the owner in response to the loss of the company’s major customer—the Ministry of Defence. The main change agent was a recently recruited middle manager who used his mass production experience to improve managerial communications and introduce more efficient working practices to the shopfloor.
143 citations
TL;DR: It is argued that there is an emergent potential in bridging the sustainability transitions and resilience approaches to create new scientific capacity that can support large-scale social-ecological transformations to sustainability globally, not just in the West.
Abstract: The need for developing socially just living conditions for the world’s growing population whilst keeping human societies within a ‘safe operating space’ has become a modern imperative. This requires transformative changes in the dominant social norms, behaviours, governance and management regimes that guide human responses in areas such as urban ecology, public health, resource security (e.g., food, water, energy access), economic development and biodiversity conservation. However, such systemic transformations necessitate experimentation in public arenas of exchange and a deepening of processes that can widen multi-stakeholder learning. We argue that there is an emergent potential in bridging the sustainability transitions and resilience approaches to create new scientific capacity that can support large-scale social-ecological transformations (SETs) to sustainability globally, not just in the West. In this article, we elucidate a set of guiding principles for the design of a ‘safe space’ to encourage stronger interactions between these research areas and others that are relevant to the challenges faced. We envisage new opportunities for transdisciplinary collaboration that will develop an adaptive and evolving community of practice. In particular, we emphasise the great opportunity for engaging with the role of emerging economies in facilitating safe space experimentation.
143 citations
TL;DR: The process of knowledge sharing and creation for teachers participating in virtual teams of a teachers' professional community is portrayed and the concept of knowledge buckle is derived to connect the knowledge transfer among socialization, externalization, and combination activities.
Abstract: By virtue of the non-profit nature of school education, a professional virtual community composed of teachers provides precious data to understand the processes of knowledge sharing and creation. Guided by grounded theory, the authors conducted a three-phased study on a teachers' virtual community in order to understand the knowledge flows among community members from different organizations. This study also portrays the process of knowledge sharing and creation for teachers participating in virtual teams of a teachers' professional community. The resulting model articulates causal conditions, action/interaction strategies, consequence, and contextual environments. The concept of knowledge buckle is derived to connect the knowledge transfer among socialization, externalization, and combination activities.
143 citations
Posted Content•
TL;DR: The questionnaire data suggest that the overall level of knowledge transfer is higher during periods of product redesign than it is during the steady state, whereas the nterview data indicate that there were more mentions of knowledgeTransfer during the Steady state.
Abstract: This study provides a longitudinal empirical examination of the basic elements of Nonaka's (1994) dynamic theory of organizational knowledge creation. First, the data illustrate the notion that knowledge creation in organizations proceeds through an intertwined four-phase process: (1) socialization (tacit knowledge amplification); (2) externalization (tacit knowledge is transformed into explicit knowledge); (3) combination (explicit knowledge amplification); and (4) internalization (explicit knowledge is transformed into tacit knowledge). Second, the study extends Nonaka's theory by comparing the relative amount of intra-organizational knowledge transfer occurring during periods of product redesign with the amount of knowledge transfer occurring during steady-state periods. The questionnaire data suggest that the overall level of knowledge transfer is higher during periods of product redesign than it is during the steady state, whereas the nterview data indicate that there were more mentions of knowledge transfer during the steady state. Third, the data suggest that there may be benefit in adding tacit error correction as a fifth phase in the learning cycle. This phase is characterized by a dual emphasis on externalization and internalization. Implications of these findings are discussed.
143 citations
TL;DR: The causes and effects of knowledge barriers are determined and the use of conversational knowledge sharing as an effective instrument for knowledge sharing is proposed by using HOQ.
Abstract: Knowledge management involves the systematic management of vital knowledge resources and the associated processes of creating, gathering, organizing, diffusion, utilizing and exploiting information. A key challenge emerging for organizations is how to encourage knowledge sharing within an organization because knowledge is an organization's intellectual capital and is of increasing importance in gaining a competitive business advantage. Isolated initiatives for promoting knowledge sharing and team collaboration without taking into consideration the limitations and constraints of knowledge sharing can halt any further development in the KM culture of an operation. This article investigates knowledge sharing bottlenecks and proposes the use of conversational knowledge sharing as an effective instrument for knowledge sharing. And to develop strategies, this paper determines the causes and effects of knowledge barriers and proposes solutions by using HOQ. The article introduces a financial company case study as a best practice example of conversational knowledge sharing. Then, the paper analyzes the case study to provide evidence for the feasibility and effectiveness of the proposed approach.
141 citations