KM Most cited 4-6

October 20, 2005MIS 480Anh HoManagement Information System Undergrad

A Model of Knowledge Management and the N-form Corporation

By Gunnar Hedlund 1994

Outline

Introduction Model of Knowledge Japanese Diversification vs.

Western companies From N-Form to M-Form

Introduction

A model of knowledge management is developed.

The development of model between economics, organizational theory and strategic management

Transfer of knowledge from lower level to higher agency level in articulated or tacit form

The Model of Knowledge

Individual Group Organization Interorganization Domain

Knowing calculus

Quality circle’s documented analysis of its performance

Organizational chart

Suppliers’ patents and documented practices

Cross cultural negotiation skills

Team coordination in complex work

Corporate culture Customers’ attitudes to products and expectations

Articulated Knowledge (AK)

Tacit Knowledge information (TK)

The Model of Knowledge

Small group often temporary in innovation and product development

Interorganizational domain of units interacting with the focal is critical to KM

The Model of Knowledge

Three aspects of knowledge Cognitive knowledge Skills Knowledge embodied in products or

services Advantage of three forms:

Increased sales Licensing Capacity increasing Investment

The Model of Knowledge

Major concerns: Storage Transfer to transform

Knowledge ModelASSIMILATION

Individual

Group Organization

Interoranizational domain

Appropriation Extension

Articulatio

n

Internalization R

eflection

Dialogue

Expansion

DISSEMINATION

Articulated Knowledge (AK)

Tacit Knowledge (TK)

Japanese Corporations

Articulated Assimilation (patent or tangible products)

Group and interorganizational levels

Dissemination of products Important tacit element AK TK AK Bureaucratic corporation Weakness: lack integration in

large system

Western Coporations

Tacit and articulated Explicit, structured

implementation Individual and organizational

levels Bureaucratic corporation AK + TK AK AK + TK Excel in managing large and

complex system with articulation and systematic approach

N-form vs. M-form

N-form M-form

TechnologicalinterdependencePeople interdependence

Critical organizationallevelCommunication networkTop Management roleCompetitive scope

Basic organizational form

Combination

Temporary constellations,given pool of peopleMiddle

LateralCatalyst, architect,protectorFocus, economies of depth,combinable parts

Heterarchy

Division

Permanent structures,changing pool of peopleTop

VerticalMonitor, allocatorDiversification, economiesof scale and scope, semiindependent partsHierarchy

Question today?

What happens in today’s leading companies in fast moving technological fields?

Organizational Learning: The Contributing processes and the literatures

George P. Huber 2001

Outline

Introduction Knowledge Acquisition Information Distribution Information Interpretation Organizational Memory Summary

Introduction

Complete understanding of organizational learning

The important to challenge narrow concepts, phenomenon of organizational learning and the chances of encountering useful findings or ideas

Paper outline diagramKnowledge Acquisition

Information Distribution

Organizational Memory

Information Interpretation

Congenital LearningExperiental Learning

Vicarious learningGrafting

Searching and Noticing

Organizational experimentOrganizational self-appraisalExperimenting organization

Unintentional or unsystematic learningExperience based learning curve

Cognitive Maps and FramingMedia Richness

Information OverloadUnlearning

Scaning

Focused searchPerformance monitoring

Storing and Retrieving Information

Computer-based Organizational Memory

Knowledge Acquisition

Acquire information or knowledge

Example are customers, survey, research, development activities, performance reviews, and analyses of competitor’s product

Knowledge Acquisition

1. Congenital Learning Inherited Knowledge

2. Experimental Learning Organizational Experiment Organizational self-appraisal Experimenting organizations Unintentional or unsystematic

learning Experience-based learning curve

Knowledge Acquisition

3. Vicarious Learning Acquiring second-hand experience Imitate other organizations

4. Grafting Acquiring knowledge through

resources Acquisition through another

organization

Knowledge Acquisition

5. Searching and Noticing Scanning Focused Search Performance monitoring

Information Distribution

- System routine Index

- Hard Information

Information Interpretation

1. Cognitive maps and Framing

2. Media richness

3. Information Overload

4. Unlearning

Organization Memory

1. Storing and Retrieving information

2. Computer based Organizational Memory

Summary

1. Information acquisition depends in many instances on instances, which is directed by previous learning retained in memory.

2. Information distribution is affected by organizational decisions made using information contained in memory.

3. Information interpretation is greatly affected by cognitive maps or frames of references.

4. That which has been learned must be stored in memory and then brought forth from memory; both the demonstrability and usability of learning depend on the effectiveness of the organization’s memory.

Question?

Knowledge of the firm, Combinative capabilities and the replication of technology

Bruce Kogut and Udo Zander 1992

Outline Introduction Information and Know How The Inertness of knowledge Transformational of Personal to Social

Knowledge The paradox of Replication Combinative Capabilities Selection Environment The Make decision and Firm

Capabilities Conclusions

Introduction

The central competitive dimension of what firms know how to do is to create and transfer knowledge efficiently within an organization

Organizational knowledge into information and know how based a distinction that corresponds to used in artificial intelligent of declarative and procedural knowledge.

Information and Know-How 2 categories: information and

know-how Information: knowledge which can

be transmitted with loss of integrity once the rules for deciphering it are known

Know-how: the accumulated practice skill or expertise that allows one to do something smoothly an efficiently

The Inertness of Knowledge Why knowledge is not easily

transmitted and replicated? 2 dimensions of codifiability and

complexity Examples

Transformation of Personal to Social Knowledge

Individual Group Organization Network

Information -facts -who knows what

-profits-accounting data-formal &informal structure

-prices-whom to contact-who has what

Know-how -skill of how tocommunicate-problem solving

-recipes oforganizing such asTaylorist methodsor craftproduction

-higher orderOrganizingprinciples of howto coordinategroups andTransferknowledge

-how to cooperate -how to sell andbuy

The paradox of Replication Goal of the firm to reduce cost

while preserving the quality and value of the technology

Firm may codify and simplify such knowledge to be accessible.

Why software has been successful that is codified as to demand a lower fixed cost on general user?

Combinative Capabilities

Distinction between exploiting and developing capability. Example: Japanese shop and American operations

Combinative Capability As the firm moves away from its

knowledge base, its probability of success converges to that of a start-up operation.

Selection Environment

The ability of a firm to indulge in a forward-looking development of knowledge

Short-term survival and long-term development of capabilities

The Make decision and Firm capabilities

The decision to make or buy is dependant on three elements: How good a firm is currently at

doing something. How good a firm is at learning

specific capabilities. The value of these capabilities as

platforms into new markets.

Summary

Firms should follows organizing principles as the primary unit of analysis of understanding the variation in performance and growth.

Switching new capability is difficult as neither the knowledge embedded in the current relationships and principle is well understood nor the new learning.

Question?