2011313310
Eun-jung Ma
Summary
This article is the analysis of understanding what organizations know how to create and transfer technological knowledge within organization.
Organization is a group of individuals and small communities.Why firms exist is explained by transaction cost or by knowledge management. The author asserts knowledge-based view of firm and suggests ‘combinative capability’.
First, knowledge is categorized from know-how and information. Two categories of knowledge are information – implies knowing what something mean - and know-how – the description of knowing how to do something.
And Knowledge can be analyzed two dimensions.(codifiability, complexity). even though codifiability is a structure of knowledge sets and relationships that can be easily communicated, it is lack of capturing all aspects of knowledge. Knowledge can differ in complexity. Knowledge can vary in complexity and this dimension can be the result of a change of code.
Individual, group, organization, social network’s knowledge are different. It is also essential to transfer individual’s knowledge to social group by interacting with others.Transmission from individual knowledge to organization is difficult and hard to illustrate.So common code and language are used by interaction within small groups.Building long-term relationship requires not only the organizational and technological sharing information within the small group but also with suppliers and buyers networks.
Author suggests ‘combinative capabilities’. combinative capabilities are defined as intersection of existing capability and potential technology. Firms can exploit current knowledge and new technology “technology opportunity” by combinative capabilities. The faster speed of replicating technology is, the more the organization’s growth increase. On the other hand, organization needs long-term investment in capabilities to take advantage over competitors.
For success, existing knowledge will have to turn out combinative capabilities to generate new learning such as innovation. The important implication for growth is replicationtechnological knowledge within organization.
Main Contribution
Author awareness of issues in the organization of knowledge is not the simple sum of individual knowledge.
First, knowledge is divided by know-how and information. And it is tofind market opportunities by applying technological opportunities with combinative capabilities.
Secondly to make or buy decision by analyzing how the organization is good at current performances, how the organization can adapt learning of capabilities and how the organization expand new platforms growth with these capabilities.
Depending on the importance of knowledge, RBV perspective is changed by new perspective, knowledge od firm.
Critique
This articleauthor distinguishes between information and know-how as knowledge of the firms. But I think, commonly know-how is often tacit knowledge, which means that it is difficult to transfer to another person by means of codifying it or descripting it. And boundary(know-how & information) is unclear and ambiguous. A Concrete cutoff and definition are needed.
Within the organization, the technological transfer occur each person to group. Following some hypotheses in this case, Berger and Luckman(1967),Arrow (1974) comment this theme.
In my opinion, the transmission process of knowledge, of course, is really important for organizational communication and outside network, and organizational culture and so on. It is necessary to consider several important dimensions of the transmission process of knowledge. But this article is not fully considered this point.
Furthermorechanging knowledge to common code won’t able to be fully represent all knowledge what organization need to know. Sometimes, it can be mistranslation. To reduce that kind of conflicts, the organization should realize who will transfer whose knowledge to whom by what kind of method.
Concerned imitation, I think, openness and boundary of firm must be planed. This is including to beflexible and easy to recreate the structure of sharing knowledge.
I think the speed of replicating of technological knowledge is also important. I would like to agree the ideas about codifying and simplifying knowledge to be accessible to the wider organization, as well as to external users.
Lastly, Ithink, it is necessary to consider qualitative measures(factors) to restructure and to innovate firm.