Knowledge Management in Global Firm1516

Knowledge management
in a global knowledge-based firm
Dr. Robin Teigland

Stockholm School of Economics
September 2007
©Robin.Teigland@hhs.se
robin.teigland@hhs.se1
A world of increasing knowledge flows….
Growth
Output of information and knowledge
Human absorptive
capacity
Time
Cohen, WM och Levinthal, D A, Absorptive Capacity: A new Perspective on Learning and
Innovation, Working paper, Carnegie Mellon University and University of Pennsylvania,
October 1989
©Robin.Teigland@hhs.se 2
…that is increasingly connected. Nodes are individuals
and colors represent
organizations
©Robin.Teigland@hhs.se Casper & Murray 2002 3

What is globalization?
The extent to which networks of individuals

and organizations, markets, and
technologies are interconnected across
geographic and cultural boundaries
– Beech and Chadwick 2004, Friedman 2002
What is
your company’s
global strategy?
From a multi-domestic company to a successful
global firm
Multi-
domestic
Sub4 Sub7
d
Sub1
Global
at e Sub14 Sub9
r
Sub3
Sub2
t eg
Sub14 HQ Sub10
I
Sub5
n Sub11
Sub13
Sub6
©Robin.Teigland@hhs.se Sub8 6
Aligning operations increases success
Competence
Management
Global
strategy
Motivation
Management
What are the benefits of knowledge management?
• Profitable growth through higher efficiency and innovation
– Preventing the waste of valuable resources - avoid reinventing the wheel
– Ensuring the use of leading-edge technology and thinking across the firm
– Increasing customer satisfaction through shorter lead-times and consistent
behavior
– Creating a competitive cost structure
– Facilitating breakthrough and incremental innovations through combination
of technologies and ideas from across and outside the firm
• An attractive workplace that encourages cross-functional co-operation
across the globe
– Attracting and retaining key individuals
What is knowledge?
From tacit to articulate knowledge
“We know more than we can tell.”

Michael Polanyi, 1966
MANUAL
How to
play
soccer
High Low
Codifiability
Articulated Tacit
The knowledge management challenge
The majority of a
company’s valuable
knowledge is tacit and
resists being articulated
What is knowledge management?
An organization’s structures, systems, and practices that
facilitate..
KM
Embedding Creating
knowledge knowledge
C
Disseminating Organizing
knowledge
…with knowledge
the goal of enhancing the organization’s
competitiveness
KM must be aligned with strategy KM
• Who does your company target as Global
customers? strategy
• What products or services does your
company offer these targeted customers?
• How does your company do this efficiently?
What knowledge supports this strategy?

•Do we have this knowledge? (Create)
•How should we organize this knowledge? (Organize)
•Who needs this knowledge, when, and how?
(Disseminate)
•How do we ensure we get value from this knowledge?
(Embed)
Information technology for KM
1) Stocks of knowledge: Database and database

management systems to collect and hold
information
2) Flows of knowledge: Communication channels

to connect individuals independent of location
IT is an enabler!
Challenges to knowledge databases
• Time consuming and difficult
– Takes times for writer to document experiences
– Takes time for reader to search through databases,
information overload
– Often weak incentives to contribute golden nuggets
• Difficult to understand
– Difficult for writer to explain context, tacit ->explicit
– Difficult for reader to interpret experience and use in
own situation
• Data becomes out-of-date very quickly
– Difficult to maintain, especially in fast moving industries
Avoid creating information junkyards
ds
ar
y
k
ju n
Building it on r ir es
a o ra
knowledge r m lib
fo t y
repositories In p
Em
Organizational structure for KM
• Physical layout
• Appropriate KM functions and units
• Cross-functional and cross-location teams
• Centers of excellence
– Institutionalized, recognized areas of expertise
• Socialization measures
– Job rotation, cross-office training programs, etc.
Physical layout
An organization’s
office layout
reflects a
company’s
knowledge flows
Creating centers of excellence
HQ
COE
Improving knowledge transfer through job rotation
Brussels
Rotated from
Stockholm
San Francisco
Stockholm London
Madrid
Helsinki Copenhagen
Where do individuals go for help in solving problems?
Non-electronic
Non-electronic
documents Intranet documents Contacts in
other offices
Firm boundary
Internet
Internal
electronic
networks
External
electronic
Co-located
networks
Other colleagues
contacts
Knowledge networking through communities of
practice
Connecting people
so that they
collaborate, share
ideas, and create
knowledge
One of the things that we’re struggling with is
moving towards a more consistent way of doing
business around the world. I think the
knowledge communities are a vehicle to speed
up that process.
– President, Montgomery Watson Harza Americas
What are communities of practice?
• Groups of people who come together to share and to learn

from one another face-to-face and/or virtually.
• They are held together by a common interest in a body of
knowledge and are driven by a desire and need to share
problems, experiences, insights, templates, tools, and
best practices.
• Members deepen their knowledge by interacting on an
ongoing basis.
• This interaction leads to continuous learning and
innovation
CPs are not teams or personal networks
Personal Community Team

Network of Practice
Purpose -Share information -Solve problems -Accomplish goal
-Friendship -Share info. & ideas
-Expand knowledge
Members -Friends & -Mostly volunteers -Assigned

acquaintances -Permeable boundary -Defined boundary
-No boundary
Activity -One-on-one -Meetings -Organize tasks

-Informal communications
Value -Serendipitously -Actively discovered -Planned

Creation discovered
Glue - Friendship -Value -Obligation

-Commitment -Job requirement
McDermott 2001 25
Communities are the grease in the KM wheel
KM
Embedding Creating
knowledge knowledge
C
knowledge knowledge
Role of communities of practice
• Create: Own & develop knowledge

– Develop & manage good practice
– Build organizational competence
• Organize: Develop & manage materials
– Develop tools, guidelines, templates
– Manage databases
• Disseminate: Connect people across boundaries
– Who knows what
– Home in changing organization & an uprooted society
• Embed: Share ideas & insights
– Share tacit, complex ideas & insights
– Help each other solve problems & find innovations
Communities can have a different primary purpose
Innovation
Helping
Best-practice
Knowledge stewarding
Community membership and roles
Coordinator
Core Group
Active
Peripheral
Two extreme communities of practice
Face-to-face
Virtual
Communities cross all boundaries
Competitors
Customers
Suppliers
Company
Don’t forget to support
informal external networks at the individual level!
External
Customers
and suppliers Partners
Electronic
communities
Previous work and

Organization
school colleagues
Large portion of new ideas and formal

collaboration relationships come from
personal external contacts 32
Encourage an open innovation attitude
Closed attitude Open attitude

Not all the smart people
work for us. We need to
The smart people in
work with smart people
our field work for us.
inside and outside the
company.
If you create the most If you make the best

and the best ideas in use of internal and
the industry, you will external ideas, you
win. will win.
©Robin.Teigland@hhs.se Chesborough 2003 33

Examples of communities of practice at Ericsson
Objectives Communication
Community Type and Members
channel
eRelationship -Inter-organizational -Use internet to design -Virtual
Vodafone -1400 members in 10 joint e-business platform
countries
Competence -Intra-organizational -Ensure sharing of best - Primarily face-

Groups -200 members in 14 practices and to-face
countries commonality
Ericsson - Inter-organizational - Think tank on emerging - Virtual and

Foresight including universities, trends in society, face-to-face
experts, & institutions technology, & consumers
- 600 with core of 40
Ericsson - Intra-organizational -Facilitate inter-project Primarily face-
System - 20 members from 14 learning and innovation to-face
Architect countries -Retain key individuals
Program,
ESAP
©Robin.Teigland@hhs.se Magnusson & Davidsson 2004 34

Ericsson Competence Groups
• Background and objective
– To improve knowledge sharing between Flow Control centers
worldwide that responsible for order fulfillment and complete order flow
• Organization
– 14 Competence Groups focused on one Flow Control function each,
e.g., forecasting, invoicing, consisting of one member from each of 14
Flow Control Centers worldwide
– Each CG headed by one leader who devotes 30% of time to CG
• Activities
– 14 CG leaders meet once a month and all CG members meet 3-4 times
a year at 2 day seminar
– Develop common terminology and processes
– Discuss process improvements and how can be implemented
– Monthly phone conferences to discuss ongoing work
• Critical success factors
– Well designed organization
– All allowed to contribute and suggest improvements
Ericsson Competence Groups for worldwide
Flow Control Centers
•Program Manager
Countries •Coordinator
•Web Assistant
Country 1
Country 2
Country 14
Function
CG Function Leaders
1. Process & IT •14 leaders meet monthly
•Work 30% on CG
2. Order mgt
3. Forecasting CG Function Members

•2 day seminar 3-4 xs/year
•Monthly phone conference
•Work 3-5 days/mth on CG
14. Customer care

Cap Gemini – NCN MS Electronic Community
• Background and objective
– To provide programmers working with Microsoft products a
forum to help each other solve problems
• Organization
– 345 programmers across Nordic countries
• Activities
– Helping each other through posting questions and
responses on listserv nicknamed “L2A2L” (Learn to ask to
learn)
• Critical success factors
– “Eldsjäl” – one who burned for community and walked the
talk
– High level of reciprocity
What is knowledge management?
An organization’s structures, systems, and practices that
facilitate ..
KM
Embedding Creating
knowledge knowledge
Global C
strategy
knowledge
..with knowledge
the goal of enhancing the organization’s
competitiveness
What is your organization’s KM vision?
British Petroleum’s KM Vision
BP knows what it knows, learns what

it needs to learn, and uses
knowledge to create overwhelming
sustainable advantage.
In global organizations
KM is increasingly complicated …
Three types of boundaries

• Internal
– Geographical (physical & cultural)
– Organizational (horizontal &
vertical)
• External
– Organizational (formal & informal
relationships)
…and difficult to achieve.
Number of subsidiaries
providing and receiving
knowledge and skills Both prov/rec
100%
90% Primarily rec
80% Primarily prov
70% Neither prov/rec
60%
50%
40%
30%
20%
10%
0%
HQ HQ Perceptions Subsidiary
expectations reality
©Robin.Teigland@hhs.se Gupta & Govindarajan 2000 41

Challenges to successful KM processes
• Individual level
• Subsidiary level
Two departments within the same firm
Department 1 Department 2
Poorer degree of learning & Higher degree of learning &

knowledge sharing knowledge sharing
Unawareness and power games
Surprise!! Bottleneck 
©Robin.Teigland@hhs.se Icon programmers – Stockholm 44

Islands of competence despite intensive KM efforts
Brussels
Stockholm
San Francisco
London
Madrid
Helsinki Copenhagen
©Robin.Teigland@hhs.se Icon programmers – Worldwide 45

Biggest difficulties to successfully managing
knowledge in organizations
Culture 54
Top management’s failure to
signal importance
32
Lack of shared
understanding of strategy
30
Organizational structure 28
Lack of problem ownership 28
IT / Communication restraints 22
Incentive system 19
0 10 20 30 40 50 60
Ruggles 1998 46
Biggest difficulties to knowledge transfer
Changing people’s
56
behavior
Measuring value/performance
of knowledge assets 43
Determining what knowledge
40
should be managed
Justifying use of scarce 34
resources for KM initiatives
Mapping organization’s 28
existing knowledge
15
Making knowledge available
Attracting and retaining 9

talented people
0 10 20 30 40 50 60
Ruggles 1998 47
So, why should I share?
You gotta remember that we’re hired to be stars here and

not team players.
- Researcher at one high technology firm
with poor knowledge flow
Sometimes I get calls from other offices. It feels weird if I don’t

know the person. I like to help them only if I know them.
- Programmer at software
multinational
What are some barriers to
successful knowledge management?
•Knowledge is power •Lack of awareness

•Lack of understanding •Not-invented-here
•Lack of incentive •Lack of incentive
•Time constraint •Time constraint
Challenges with external networks
Everybody knows that if you recruit

one talented programmer, you’ll get
twenty for free…
- Support manager with a
larger Swedish Telecom company
Lundkvist 2003
Individuals often have conflicting loyalties
Lo
a lt y ya
o y lt y
L
Firm boundary
Organization
Profession
Is knowledge trading good or bad for a firm?
We pass over the

nondisclosure agreements of
different companies and
trade company secrets all the
time.
Who owns the knowledge?
Organizational information
vs.
Personal expertise
What about individual performance?
A high degree of
participation in
local communities of
practice
+ –
On-time Creative
performance performance
But here we see the reverse
A high degree of
participation in
dispersed
electronic communities
- +
On-time Creative
performance performance
In summary, individuals have choices
about how they use their knowledge…
• Knowledge resides in the minds of individuals

• Individuals make own choices about knowledge
– Share openly for the benefit of the organization
– Protect and use only in work practice
• Perception that an individual’s value is diminished if share
knowledge
• Knowledge is power
– Protect and use only in external relationships for own
benefit
• Knowledge leakage
– Leave the firm and take knowledge with them
…and most importantly, management
cannot mandate social relationships
Miguel
John
Alex
Jan Anna
Mike
Lars Pia
Eva
Al
Nils Erik
Hans
Bill
Paul
Challenges to successful KM processes
• Individual level
• Subsidiary level
A constant local vs global tension
We do not want to be managed in our choice of

competence elements. We would want to select
those elements that we need.
– Line Manager, Ericsson Norway
Spontaneity and creativity could be the losers in

some areas by implementing global solutions.
However, the “Best Practice” policy in Ericsson
concerns capturing good ideas, which of course
may come from other areas in the organization.
– HR Manager, Ericsson Norway
Hustad & Munkvold 2005 59
Conflicting demands on subsidiaries
lead to resistance to global KM processes
Sub4 Sub7
Sub1
Sub14 Sub9
Sub3
Sub2 Sub14 HQ Sub10
Sub5 Sub11
Sub13
Sub6
Sub8
•Opportunity cost of time
•Opportunity cost of resources
•Not-invented-here
•Knowledge is power 60
Internal turf wars
It would have been much easier for me to

transfer from the New York office to the California
office if I had just quit the organization in New
York and then reapplied for a job in the California
one.
» Researcher, Xerox California
The challenge of knowing what is best practice
Here one Here one

does not know knows
Corporate management's evaluations
Corporate management's evaluations

Evaluation of Market Practices Evaluation of Market Practices
Firm A Firm B
3 3
2 2
1 1
0 0
-1 -1
-2 -2
-3 -3
-3 -2 -1 0 1 2 3 -4 -3 -2 -1 0 1 2
Subsidiaries' self-evaluations Subsidiaries' self-evaluations
Arvidsson 2002
Competence
Management
Global
strategy
Motivation
Management
Supporting global KM processes
Providing the
organization with the
right mix of talent to
Competence meet existing and
Management future needs
Motivation
Management
Creating an open,
knowledge sharing culture
with a high degree of
company loyalty 64
A variety of tools
• Competence system Competence

• Recruiting Management
• Incentives
• Networks Motivation
• A visionary organization Management
Creating a competence management system
• Standardization
– Create common structure and terminology
– Define professional, business, and human competencies related to global
strategy and KM goals
• Don’t underestimate this task!
• Analysis
– Personal development discussions
– Mapping of present and future target competence levels for individuals and then
for business units
– Defining competence gap at both levels
• Planning and implementation
– Prepare competence development plan
– Implement and evaluate

Creating competence charts at Ericsson
Professional – Operations, financial, etc.

Business – Markets, core business, strategy, etc.
Human – Interpersonal, communication, KM attitudes, etc.
Individuals in one unit Comparison of units

5 5
4,5 4,5
4 4
3,5 3,5
3 3
2,5 2,5
2 2
1,5 1,5
1 1
Ind 1 Ind 2 Ind 3 Unit 1 Unit 2 Unit 3

CM supports KM
I think that competence management can play an

important role in knowledge management. You
can search for persons with certain
competencies very easily through that tool.
People having the same competencies and
interests can be accessed and get together.
» Competence Manager, Ericsson Croatia
Hustad & Munkvold 2005 68
A variety of tools

• Incentives
• Networks
Motivation
Recruiting – What should one look for?
• An experienced • A young person who

professional who has lacks professional
worked extensively in experience but has the
another company with
OR right attitude
different values and
philosophy
It is cheaper and easier to develop

technical skills than trying to change mentality.
HR Manager, Ericsson Russia
When you hire someone…
…..you “hire” his or her network.

A variety of tools

• Incentives
• Networks
Motivation
Aligning incentives with KM
• Recognize and reward for collaborative behavior
– At individual, unit, and organizational levels
• Show management commitment
Satisfaction
Status and $$$

recognition Monetary
Challenge
Examples of incentives
• Monetary
– Nucor Steel: Bonuses based on
performance of relevant group, e.g.,
individuals and their workgroup,
department managers and their plant
• Status and recognition
n
tio
– McKinsey: Practice Development Flyers
fac
– Xerox: Tip of the Month
tis
• Challenge
Sa
– McKinsey: PD Olympics
Encourage experimentation and accept failure
Every Nucor plant has its little

storehouse of equipment that was
bought, tried, and discarded.
Just don’t keep making bad decisions.
- Chairman, Nucor Steel
But be aware of local differences
Global
Global National
National
efficiency
efficiency responsiveness
responsiveness
Worldwide
Worldwide
innovation
innovation
&& learning
learning
Working on empowerment is a key challenge
in China. Our employees are not used to
working in an empowered environment, and it
takes a long time and much effort to explain
what empowerment is all about. We are
working on this and have made some
progress, but we have a way to go.
» General Manager, Tetra Pak Hoyer
China
Fey, Pavlovskaya, & Tang 2004

Our headquarters in Sweden provides us with a
clear platform... Yet we still adjust it to the
Chinese situation. For example, when we design
our compensation and benefits, we need to think
about what the Chinese government requires us
to do for social security and medical insurance
and what will motivate Chinese employees best.
Thus, some differences exist between the system
in China and that found in Sweden
» HR Director, Electrolux China
Fey, Pavlovskaya, & Tang 2004 78
Cultural differences affect KM behaviors
“Work-to-live”
culture
+
Knowledge
acquisition
—
Risk
avoidance + Knowledge
sharing
A variety of tools

• Incentives
• Networks
Motivation
Promote socialization to build networks
Brussels
Rotated from
Stockholm
Stockholm
San Francisco
London
Madrid
Helsinki Copenhagen
81
©Robin.Teigland@hhs.se Icon programmers – Worldwide
Why encourage socialization?
Trust, commitment,
and an open
environment are
essential for
knowledge exchange
in networks
Socialization examples
• Cross-office and cross-function training programs
– McKinsey’s introduction and development training programs
• Cross-office projects
– Projects often involve more than one office at Ericsson R&D
• Job rotation
– “There are 12 different ways to rotate at HP.”
– Online career development tool at Novartis
• Slack shops
– HP R&D allows time and provides resources to experiment on new ideas with
others who have same interests
• Informal events
– Plant managers at Nucor Steel organize business meetings throughout year
so every employee attends one meeting per year
Myths and reality checks about networks
• I already know what’s going on in my network.
• Those who think they know their network the best are
usually the ones who know the least.
• To build networks, we have to communicate more.
• To build better networks, focus on a structured analysis of
them.
• We can’t do much to help informal networks.
• Informal networks can be supported through changing the
organizational context.
• How people fit into networks is a matter of personality (which can’t
be changed).
• How people fit into networks is a matter of intentional
behaviors (which can be influenced).
©Robin.Teigland@hhs.se Adapted from Cross, Nohria, & Parker 2002 84

Leverage and understand
internal and external networks
• Identify which networks are important to understand

– E.g., product development, merger integration, etc.
• Collect network data
– E.g., observe, interview people, conduct questionnaire,
track email, etc.
– Ask appropriate questions, e.g., advice, trust, innovation,
etc.
– Pretest survey on employee sample for reactions
• Determine causes of fragmented networks
– E.g., physical layout, workflow, job description, leadership
style, knowledge attitudes, etc.
Adapted from Cross, Nohria, & Parker 2002 85

Improve connectedness and
unplug bottlenecks internally
• Reevaluate design of teams, roles, etc.
• Rethink work processes and provide support
• Reassign tasks, rotate individuals, etc.
• Shift responsibilities
Department 1 Department 2
A variety of tools

• Incentives
• Networks
Motivation
Nurturing a visionary organization - A framework
A well-conceived vision consists of two major
components:
(1)What we stand for

& why we exist
(constant)
(2) What we aspire to

become, achieve, & create
(changing)
Collins & Porras 1996 88
1) Why we exist and what we stand for
Mission / purpose
• The organization’s reason for being – not a goal or a
strategy
• Captures the soul of the organization and should last
“a 100 years”
• Can never be fully realized – but inspires change and
progress
• Is the star on the horizon – seen and to be chased
forever
3M To solve unsolved problems
innovatively
Merck To preserve and improve human life
Walt Disney To make people happy
Wal-Mart To give ordinary folks the chance to buy the
©Robin.Teigland@hhs.se Collins & Porras 1996 89
1) Why we exist and what we stand for
Core values
• A small set (often no more than 5) of guiding principles with
intrinsic value and importance to those inside the
organization
• Stand the test of time, even when circumstances around
change
• Cannot be forced upon people – must be shared at the
outset
Merck
Corporate social responsibility
Science-based innovation
Honesty and integrity
Excellence in all aspects of the company
Profit, but profit from work that benefits humanity
1) Core values
You gotta remember that we’re hired to be stars here and

not to be team players.
- Researcher at a high technology firm
Sometimes I get calls from other offices. It feels weird if I

don’t know the person. I like to help them only if I know
them.
- Programmer at software multinational
One of our core values is teamwork. 99% of the time if I

ask anyone for help anywhere in the company, I’ll get it.
- Researcher at a high technology firm
2) What we aspire to become, achieve, and create
Big Hairy Audacious Goal

• A challenging and stretching goal to stimulate progress
• Serves as unifying focal point of effort and acts as a
catalyst for team spirit
• Has a clear finishing line
• But takes 10 to 30 years and only 50 to 70 percent
probability of achieving
• “We can do it”
Wal-Mart (1990) Become a 125 billion dollar

company by the year 2000
Nike (1960s) Crush Adidas

But ensuring widespread understanding
across the organization is a difficult task
Icon Medialab
Management’s Programmer
conception reality
Vision •Best global company •Best function
Values •Professionalism •Responsibility

•Creative problem •Creating new
solving solutions
Cultural differences add yet another challenge
An important role of HR is to teach employees

the Ericsson way of doing things. In Finland,
most people have a similar mindset so this
happens naturally. In Russia and China, more
attention is needed to using more formal
practices to make sure this acculturation occurs.
» HR manager, Ericsson Corporate Stockholm
Fey, Pavlovskaya, & Tang 2004 94
Hewlett-Packard (1990s)
• Performance appraisals recognizing and rewarding key networking
activities at individual and unit level
• Management support for informal and formal networking activities
including those crossing both internal and external boundaries
• Extensive socialization: personnel rotation, cross-office teams
• Management commitment throughout organization
• A visionary organization
– Clearly defined mission: ”To make technical contributions for the
advancement and welfare of humanity”
– Pervading core values, e.g., teamwork
– Company-wide goal of World’s Best Laboratory
Aligned operations provides results
Company A Ericsson HP
R&D R&D R&D
Global
knowledge 3 1 2
flows
% Revenue
from products
dev’d in last 3 1 1
three years
Speed, time to
market 2 3 1
End customer
satisfaction 3 2 1
1 - Superior performance
2 - Medium performance
3 - Poor performance 96
What are the benefits of knowledge management?
• Profitable growth through higher efficiency and innovation
– Preventing the waste of valuable resources - avoid reinventing the wheel
– Ensuring the use of leading-edge technology and thinking across the firm
– Increasing customer satisfaction through shorter lead-times and consistent
behavior
– Creating a competitive cost structure
– Facilitating breakthrough and incremental innovations through combination
of technologies and ideas from across and outside the firm
• An attractive workplace that encourages cross-functional co-operation
across the globe
– Attracting and retaining key individuals
Competence
Management
KM
Global
strategy
Motivation
Management
Interested in learning more
or better yet, participating in a research study?
• Contact me at robin.teigland@hhs.se
• Selected publications by others
 Hustad, E. & Munkvold, E. 2005. IT-Supported Competence Management: A
Case Study at Ericsson. ISM Journal.
 Fey, C., Pavlovskaya, A., & Tang, N. 2004. Does One Shoe Fit Everyone? A
Comparison of Human Resource Management in Russia, China, and Finland.
Organizational Dynamics.
 Magnusson, M. & Davidsson, N. Knowledge Networking at Ericsson: A Study
of Knowledge Exchange and Communities of Knowing. Chalmers Working
Paper.
 Cross, R. & Prusak, L. 2002. The People Who Make Organizations Go – or
Stop. Harvard Business Review.
 Cross, R., Borgatti, S.,, & Parker, A. 2002. Making Invisible Work Visible:
Using Social Network Analysis to Support Strategic Collaboration. California
Management Review.
 Collins, J.C. & Porras, J.I. 1996. Building Your Company's Vision. Harvard
Business Review.
• Publications by Robin
www.knowledgenetworking.org

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Knowledge management

in a global knowledge-based firm

Dr. Robin Teigland

©Robin.Teigland@hhs.se Casper & Murray 2002 3

The extent to which networks of individuals

“We know more than we can tell.”

What knowledge supports this strategy?

1) Stocks of knowledge: Database and database

2) Flows of knowledge: Communication channels

• Groups of people who come together to share and to learn

Personal Community Team

Members -Friends & -Mostly volunteers -Assigned

Activity -One-on-one -Meetings -Organize tasks

Value -Serendipitously -Actively discovered -Planned

Glue - Friendship -Value -Obligation

• Create: Own & develop knowledge

Previous work and

Large portion of new ideas and formal

Closed attitude Open attitude

If you create the most If you make the best

©Robin.Teigland@hhs.se Chesborough 2003 33

Competence -Intra-organizational -Ensure sharing of best - Primarily face-

Ericsson - Inter-organizational - Think tank on emerging - Virtual and

©Robin.Teigland@hhs.se Magnusson & Davidsson 2004 34

3. Forecasting CG Function Members

14. Customer care

©Robin.Teigland@hhs.se Magnusson & Davidsson 2004 36

British Petroleum’s KM Vision

BP knows what it knows, learns what

Three types of boundaries

©Robin.Teigland@hhs.se Gupta & Govindarajan 2000 41

Poorer degree of learning & Higher degree of learning &

©Robin.Teigland@hhs.se Icon programmers – Stockholm 44

©Robin.Teigland@hhs.se Icon programmers – Worldwide 45

Attracting and retaining 9

You gotta remember that we’re hired to be stars here and

Sometimes I get calls from other offices. It feels weird if I don’t

•Knowledge is power •Lack of awareness

Everybody knows that if you recruit

We pass over the

• Knowledge resides in the minds of individuals

We do not want to be managed in our choice of

Spontaneity and creativity could be the losers in

It would have been much easier for me to

Here one Here one

Corporate management's evaluations

Subsidiaries' self-evaluations Subsidiaries' self-evaluations

• Competence system Competence

©Robin.Teigland@hhs.se Magnusson & Davidsson 2004 66

Professional – Operations, financial, etc.

Individuals in one unit Comparison of units

©Robin.Teigland@hhs.se Magnusson & Davidsson 2004 67

I think that competence management can play an

• Competence system Competence

• An experienced • A young person who

It is cheaper and easier to develop

…..you “hire” his or her network.

• Competence system Competence

Status and $$$

Every Nucor plant has its little

Fey, Pavlovskaya, & Tang 2004

• Competence system Competence

©Robin.Teigland@hhs.se Adapted from Cross, Nohria, & Parker 2002 84

• Identify which networks are important to understand