Inter-organisational knowledge transfer strategies

Inter-organisational knowledge transfer is very important for SMEs. However, compared to knowledge transfer within an organisation, its ‘boundary paradox’ makes its process more complicated and difficult to understand. In order to solve the ‘paradox’, inter-organisational knowledge transfer strategies need to be developed for SMEs. Through a review of the literature on knowledge transfer, this paper proposes an inter-organisational knowledge transfer process model that contains four stages (initiation, selection, interaction and conversion). It classifies three situations in which an SME exchanges knowledge with a customer (whether a larger company or an SME). It then applies a coordinating mechanism to analyse knowledge transfer strategies for the SME when it is a knowledgegiving firm and knowledge-receiving firm respectively, in the different stages of each situation.

Inter-organisational knowledge transfer process model

Knowledge management (KM) is an emerging discipline (Ives, Torrey & Gordon, 1997) and characterised by four processes: generation, codification, transfer, and application (Alavi & Leidner, 2001). Completing the loop, knowledge transfer is regarded as a precursor to knowledge creation (Nonaka & Takeuchi, 1995) and thus forms an essential part of the knowledge management process. The understanding of how knowledge is transferred is very important for explaining the evolution and change in institutions, organisations, technology, and economy. However, knowledge transfer is often found to be laborious, time consuming, complicated, and difficult to understand (Huber, 2001; Szulanski, 2000). It has received negligible systematic attention (Huber, 2001; Szulanski, 2000), thus we know little about it (Huber, 2001). However, some literature, such as Davenport and Prusak (1998) and Shariq (1999), has attempted to address knowledge transfer within an organisation, but studies on inter-organisational knowledge transfer are still much neglected. An emergent view is that it may be beneficial for organisations if more research can be done to help them understand and, thus, to improve their inter-organisational knowledge transfer process. Therefore, this article aims to provide an overview of the inter-organisational knowledge transfer and its related literature and present a proposed inter-organisational knowledge transfer process model based on theoretical and empirical studies.

Towards an inter-organisational knowledge transfer framework for SMEs

This paper aims to develop a framework for SMEs to help them understand, and thus to improve, the process of knowledge exchange with their customers or suppliers. Through a review of the literature on knowledge transfer, organisational learning, social network theory and electronic networks, the key actors, key factors and their relationships in the process are identified. Finally, a framework containing all above points is proposed.

Toward understanding inter-organizational knowledge transfer needs in SMEs:insight from a UK investigation

Purpose - External knowledge is generally believed to be of prime importance to small to medium-sized enterprises (SMEs). However, a review of the literature shows that no empirical research has looked at knowledge management issues at the inter-organizational level in SMEs. This paper seeks to report on an empirical investigation with UK SMEs in the service sector to identify their needs and practices regarding inter-organizational knowledge transfer, and thus provide empirical evidence to support the above belief. Design/methodology/approach - A two-tier methodology (i.e. using both questionnaire survey and interview approaches) is deployed to address the main research objectives. A questionnaire survey of SMEs is carried out to investigate their current inter-organizational knowledge transfer situation and managers' perception on various relevant issues. Then 12 face-to-face interviews with SME managers are conducted to further validate key findings drawn from the questionnaire survey. Findings - The empirical evidence collected from the survey and interviews confirms the general belief that external knowledge is of prime importance for SMEs, and demonstrates that SMEs have very strong needs for external knowledge and inter-organizational knowledge transfer. Research limitations/implications - The findings provide very strong underpinning for further theoretical research on inter-organizational knowledge transfer in SMEs. However, this study has certain limitations: its results may not be applicable to other industrial sectors or the same sector in other countries; or to micro or large companies; nor does it involve cross-cultural issues. Originality/value - By adopting a two-tier research methodology, this study provides more reliable understanding and knowledge on SMEs' inter-organizational knowledge transfer needs and practices, and fills the gap that exists in the empirical investigations on the subject. © Emerald Group Publishing Limited.

An investigation of SMEs’ inter-organisational knowledge transfer needs in Internet marketing

Internet marketing, as a key area of e-commerce, plays an important role in SMEs’ e-commerce success. It is the use of Internet technologies in facilitating and supporting marketing activities. Its implementation and success require expert knowledge and extensive experience. SMEs admit that they are willing to embrace Internet marketing to enhance their business competitiveness, but do not know where to start and suffer from a lack of guidance. Evidence suggests that Internet marketing analysis is one of the most needed areas of training in e-commerce for SMEs. It is therefore evident that SMEs need to acquire Internet marketing knowledge from external sources. However, the majority of the literature fails to study what specific knowledge they need and from whom they should acquire the knowledge. This paper has addressed these issues through a questionnaire survey of UK SMEs in the service sector. It identifies SMEs’ specific transfer needs for Internet marketing knowledge, and discusses strategic issues for improving SMEs’ effectiveness of leveraging knowledge.

Effective knowledge transfer: a terminological perspective - Dismantling the jargon barrier to knowledge about computer security

The research is concerned with the terminological problems that computer users experience when they try to formulate their knowledge needs and attempt to access information contained in computer manuals or online help systems while building up their knowledge. This is the recognised but unresolved problem of communication between the specialist and the layman. The initial hypothesis was that computer users, through their knowledge of language, have some prior knowledge of the subdomain of computing they are trying to come to terms with, and that language can be a facilitating mechanism, or an obstacle, in the development of that knowledge. Related to this is the supposition that users have a conceptual apparatus based on both theoretical knowledge and experience of the world, and of several domains of special reference related to the environment in which they operate. The theoretical argument was developed by exploring the relationship between knowledge and language, and considering the efficacy of terms as agents of special subject knowledge representation. Having charted in a systematic way the territory of knowledge sources and types, we were able to establish that there are many aspects of knowledge which cannot be represented by terms. This submission is important, as it leads to the realisation that significant elements of knowledge are being disregarded in retrieval systems because they are normally expressed by language elements which do not enjoy the status of terms. Furthermore, we introduced the notion of `linguistic ease of retrieval' as a challenge to more conventional thinking which focuses on retrieval results.

Internationalization of small and medium sized UK manufacturing enterprises:technology and knowledge transfer perspective

This dissertation examines internationalisation of small and medium sized enterprises. There has been a journey to achieve this. The research has started as an action research as Teaching Company Scheme Associate. This has been done in two research cycles, which investigated factors for successful internationalisation of a small and medium sized UK manufacturing enterprise. This has revealed that successful internationalisation requires good technology and knowledge transfer to the new operations. The action research is followed by a survey that has been conducted within UK manufacturing companies. The data collected was analysed under three models: entry mode selection, role of factory and level of internationalisation. The first two models explain two major aspects of internationalisation decision. The last is showing what makes successful internationalising small and medium sized companies. These models provided several important results. The small and medium sized enterprise internationalisation is harder to achieve because most of these organisations do not have experience in technology and knowledge transfer. The success of internationalisation depends on the success of the transfer. This is achieved through employee ownership of the new knowledge. There are many factors affecting this result such as the network relationships such as trust, control and commitment and cognitive distance between two organisations. The last is a product of the difference between prior knowledge and the required level of knowledge. The entry mode and role of factory are decided through these factors while the level of internationalisation can only be explained by absorptive capacity of the recipient organisation and the technology transfer ability of the host organisation.

The importance of team-working in knowledge transfer partnerships

Research capacity can be built by collaboration between industry and universities, and Knowledge Transfer Partnerships (KTPs) are an ideal way to do this. While good collaboration and team-work has been recognised as crucial for success, projects tend to be evaluated on outcomes and not collaboration effectiveness. This paper discusses best practice for how a KTP project team might work together effectively.

Knowledge transfer in globally distributed teams:the role of transactive memory

This paper explores the role of transactive memory in enabling knowledge transfer between globally distributed teams. While the information systems literature has recently acknowledged the role transactive memory plays in improving knowledge processes and performance in colocated teams, little is known about its contribution to distributed teams. To contribute to filling this gap, knowledge-transfer challenges and processes between onsite and offshore teams were studied at TATA Consultancy Services. In particular, the paper describes the transfer of knowledge between onsite and offshore teams through encoding, storing and retrieving processes. An in-depth case study of globally distributed software development projects was carried out, and a qualitative, interpretive approach was adopted. The analysis of the case suggests that in order to overcome differences derived from the local contexts of the onsite and offshore teams (e.g. different work routines, methodologies and skills), some specific mechanisms supporting the development of codified and personalized ‘directories’ were introduced. These include the standardization of templates and methodologies across the remote sites as well as frequent teleconferencing sessions and occasional short visits. These mechanisms contributed to the development of the notion of ‘who knows what’ across onsite and offshore teams despite the challenges associated with globally distributed teams, and supported the transfer of knowledge between onsite and offshore teams. The paper concludes by offering theoretical and practical implications.

Managing knowledge transfer across supply chain:a social network approach

This paper analyzes the theme of knowledge transfer in supply chain management. The aim of this study is to present the social network analysis (SNA) as an useful tool to study knowledge networks within supply chain, to monitor knowledge flows and to identify the accumulating knowledge nodes of the networks.

Knowledge transfer in website design:exploring the processes and benefits of design collaboration for non-creative Micros

This thesis explores the interaction between Micros (<10 employees) from non-creative sectors and website designers ("Creatives") that occurred when creating a website of a higher order than a basic template site. The research used Straussian Grounded Theory Method with a longitudinal design, in order to identify what knowledge transferred to the Micros during the collaboration, how it transferred, what factors affected the transfer and outcomes of the transfer including behavioural additionality. To identify whether the research could be extended beyond this, five other design areas were also examined, as well as five Small to Medium Enterprises (SMEs) engaged in website and branding projects. The findings were that, at the start of the design process, many Micros could not articulate their customer knowledge, and had poor marketing and visual language skills, knowledge core to web design, enabling targeted communication to customers through images. Despite these gaps, most Micros still tried to lead the process. To overcome this disjoint, the majority of the designers used a knowledge transfer strategy termed in this thesis as ‘Bi-Modal Knowledge Transfer’, where the Creative was aware of the transfer but the Micro was unaware, both for drawing out customer knowledge from the Micro and for transferring visual language skills to the Micro. Two models were developed to represent this process. Two models were also created to map changes in the knowledge landscapes of customer knowledge and visual language – the Knowledge Placement Model and the Visual Language Scale. The Knowledge Placement model was used to map the placement of customer knowledge within the consciousness, extending the known Automatic-Unconscious -Conscious model, adding two more locations – Peripheral Consciousness and Occasional Consciousness. Peripheral Consciousness is where potential knowledge is held, but not used. Occasional Consciousness is where potential knowledge is held but used only for specific tasks. The Visual Language Scale was created to measure visual language ability from visually responsive, where the participant only responds personally to visual symbols, to visually multi-lingual, where the participant can use visual symbols to communicate with multiple thought-worlds. With successful Bi-Modal Knowledge Transfer, the outcome included not only an effective website but also changes in the knowledge landscape for the Micros and ongoing behavioural changes, especially in marketing. These effects were not seen in the other design projects, and only in two of the SME projects. The key factors for this difference between SMEs and Micros appeared to be an expectation of knowledge by the Creatives and failure by the SMEs to transfer knowledge within the company.

An efficient knowledge transfer solution to a novel SMDP formalization of a broker's decision problem

This paper introduces a new technique for optimizing the trading strategy of brokers that autonomously trade in re- tail and wholesale markets. Simultaneous optimization of re- tail and wholesale strategies has been considered by existing studies as intractable. Therefore, each of these strategies is optimized separately and their interdependence is generally ignored, with resulting broker agents not aiming for a glob- ally optimal retail and wholesale strategy. In this paper, we propose a novel formalization, based on a semi-Markov deci- sion process (SMDP), which globally and simultaneously op- timizes retail and wholesale strategies. The SMDP is solved using hierarchical reinforcement learning (HRL) in multi- agent environments. To address the curse of dimensionality, which arises when applying SMDP and HRL to complex de- cision problems, we propose an ecient knowledge transfer approach. This enables the reuse of learned trading skills in order to speed up the learning in new markets, at the same time as making the broker transportable across market envi- ronments. The proposed SMDP-broker has been thoroughly evaluated in two well-established multi-agent simulation en- vironments within the Trading Agent Competition (TAC) community. Analysis of controlled experiments shows that this broker can outperform the top TAC-brokers. More- over, our broker is able to perform well in a wide range of environments by re-using knowledge acquired in previously experienced settings.

Editorial

This special issue of the Journal of the Operational Research Society is dedicated to papers on the related subjects of knowledge management and intellectual capital. These subjects continue to generate considerable interest amongst both practitioners and academics. This issue demonstrates that operational researchers have many contributions to offer to the area, especially by bringing multi-disciplinary, integrated and holistic perspectives. The papers included are both theoretical as well as practical, and include a number of case studies showing how knowledge management has been implemented in practice that may assist other organisations in their search for a better means of managing what is now recognised as a core organisational activity. It has been accepted by a growing number of organisations that the precise handling of information and knowledge is a significant factor in facilitating their success but that there is a challenge in how to implement a strategy and processes for this handling. It is here, in the particular area of knowledge process handling that we can see the contributions of operational researchers most clearly as is illustrated in the papers included in this journal edition. The issue comprises nine papers, contributed by authors based in eight different countries on five continents. Lind and Seigerroth describe an approach that they call team-based reconstruction, intended to help articulate knowledge in a particular organisational. context. They illustrate the use of this approach with three case studies, two in manufacturing and one in public sector health care. Different ways of carrying out reconstruction are analysed, and the benefits of team-based reconstruction are established. Edwards and Kidd, and Connell, Powell and Klein both concentrate on knowledge transfer. Edwards and Kidd discuss the issues involved in transferring knowledge across frontières (borders) of various kinds, from those borders within organisations to those between countries. They present two examples, one in distribution and the other in manufacturing. They conclude that trust and culture both play an important part in facilitating such transfers, that IT should be kept in a supporting role in knowledge management projects, and that a staged approach to this IT support may be the most effective. Connell, Powell and Klein consider the oft-quoted distinction between explicit and tacit knowledge, and argue that such a distinction is sometimes unhelpful. They suggest that knowledge should rather be regarded as a holistic systemic property. The consequences of this for knowledge transfer are examined, with a particular emphasis on what this might mean for the practice of OR Their view of OR in the context of knowledge management very much echoes Lind and Seigerroth's focus on knowledge for human action. This is an interesting convergence of views given that, broadly speaking, one set of authors comes from within the OR community, and the other from outside it. Hafeez and Abdelmeguid present the nearest to a 'hard' OR contribution of the papers in this special issue. In their paper they construct and use system dynamics models to investigate alternative ways in which an organisation might close a knowledge gap or skills gap. The methods they use have the potential to be generalised to any other quantifiable aspects of intellectual capital. The contribution by Revilla, Sarkis and Modrego is also at the 'hard' end of the spectrum. They evaluate the performance of public–private research collaborations in Spain, using an approach based on data envelopment analysis. They found that larger organisations tended to perform relatively better than smaller ones, even though the approach used takes into account scale effects. Perhaps more interesting was that many factors that might have been thought relevant, such as the organisation's existing knowledge base or how widely applicable the results of the project would be, had no significant effect on the performance. It may be that how well the partnership between the collaborators works (not a factor it was possible to take into account in this study) is more important than most other factors. Mak and Ramaprasad introduce the concept of a knowledge supply network. This builds on existing ideas of supply chain management, but also integrates the design chain and the marketing chain, to address all the intellectual property connected with the network as a whole. The authors regard the knowledge supply network as the natural focus for considering knowledge management issues. They propose seven criteria for evaluating knowledge supply network architecture, and illustrate their argument with an example from the electronics industry—integrated circuit design and fabrication. In the paper by Hasan and Crawford, their interest lies in the holistic approach to knowledge management. They demonstrate their argument—that there is no simple IT solution for organisational knowledge management efforts—through two case study investigations. These case studies, in Australian universities, are investigated through cultural historical activity theory, which focuses the study on the activities that are carried out by people in support of their interpretations of their role, the opportunities available and the organisation's purpose. Human activities, it is argued, are mediated by the available tools, including IT and IS and in this particular context, KMS. It is this argument that places the available technology into the knowledge activity process and permits the future design of KMS to be improved through the lessons learnt by studying these knowledge activity systems in practice. Wijnhoven concentrates on knowledge management at the operational level of the organisation. He is concerned with studying the transformation of certain inputs to outputs—the operations function—and the consequent realisation of organisational goals via the management of these operations. He argues that the inputs and outputs of this process in the context of knowledge management are different types of knowledge and names the operation method the knowledge logistics. The method of transformation he calls learning. This theoretical paper discusses the operational management of four types of knowledge objects—explicit understanding; information; skills; and norms and values; and shows how through the proposed framework learning can transfer these objects to clients in a logistical process without a major transformation in content. Millie Kwan continues this theme with a paper about process-oriented knowledge management. In her case study she discusses an implementation of knowledge management where the knowledge is centred around an organisational process and the mission, rationale and objectives of the process define the scope of the project. In her case they are concerned with the effective use of real estate (property and buildings) within a Fortune 100 company. In order to manage the knowledge about this property and the process by which the best 'deal' for internal customers and the overall company was reached, a KMS was devised. She argues that process knowledge is a source of core competence and thus needs to be strategically managed. Finally, you may also wish to read a related paper originally submitted for this Special Issue, 'Customer knowledge management' by Garcia-Murillo and Annabi, which was published in the August 2002 issue of the Journal of the Operational Research Society, 53(8), 875–884.