An innovation perspective of knowledge management in a multinational subsidiary
Organisations nowadays have been faced with the challenges of managing increasingly more complex activities in the knowledge-based economy. As Castells (2000) suggests, knowledge economy is characterised as being informational, global and networked. In his view, information and knowledge plays an important role in modern economy, giving new perspective to the works of some earlier economists who had already hinted this issue, such as Marshall (1965), Hayek (1945) and Schumpeter (1951, 1952). The consequence of this is clear: organisations working in knowledge economy cannot but conceive themselves as learning agents capable of creating and managing knowledge to achieve their purpose (Antonelli, 2008).
It is in this context that knowledge management (KM, hereafter) becomes significantly critical. Broadly defined, KM is “the process of critically managing knowledge to meet existing needs, to identify and exploit existing and acquired knowledge assets and to develop new opportunities” (Quintas et al., 1997, p. 387). As KM is seen to be a business practice (Radding, 1998), every organisation needs to critically formulate strategies in order to be able to acquire the potential value of KM (Davenport and Prusak, 2000). The strategies must encompass the activities relevant to KM. Heisig (2009) in his recent work finds that, despite the wide range KM frameworks in the existing body of literatures, there is a consensus in regards to the basic categories of KM activities. While KM strategy inherently depends highly on the organisation’s characteristics and conditions and the type of knowledge it manages (Greiner et al., 2007), the implementation hinges on various factors that can either facilitate or inhibit it.
Read the full paper here. If you don’t have access, let us know.