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Proceedings of the 12th European Conference on Knowledge ...

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An Exploratory Study <str<strong>on</strong>g>of</str<strong>on</strong>g> <strong>Knowledge</strong> Strategy in a<br />

<strong>Knowledge</strong>-Intensive Firm using a Strategy-as-Practice<br />

approach<br />

Françoise de Vir<strong>on</strong>, Thomas Lederer, Tanguy De Jaegere and Alain Vas<br />

CRECIS Center for Research in Entrepreneurial Change and Innovative<br />

Strategies, Louvain School <str<strong>on</strong>g>of</str<strong>on</strong>g> Management - Université Catholique de Louvain,<br />

Louvain-la-Neuve, Belgium<br />

francoise.devir<strong>on</strong>@uclouvain.be<br />

thomas.lederer@uclouvain.be<br />

tanguy.dejaegere@uclouvain.be<br />

alain.vas@uclouvain.be<br />

Abstract: We analyse <str<strong>on</strong>g>the</str<strong>on</strong>g> knowledge strategy (Zack 1999, 2002) in a knowledge-intensive firm, using a Strategyas-Practice<br />

approach (Whittingt<strong>on</strong> 1996, 2006), two major research fields in Strategic and <strong>Knowledge</strong><br />

Management. In order to provide a relevant research field to our investigati<strong>on</strong>, we study <str<strong>on</strong>g>the</str<strong>on</strong>g> development <str<strong>on</strong>g>of</str<strong>on</strong>g> <str<strong>on</strong>g>the</str<strong>on</strong>g><br />

knowledge strategy at <strong>on</strong>e <str<strong>on</strong>g>of</str<strong>on</strong>g> <str<strong>on</strong>g>the</str<strong>on</strong>g> leading c<strong>on</strong>sultant firms in <str<strong>on</strong>g>the</str<strong>on</strong>g> fields <str<strong>on</strong>g>of</str<strong>on</strong>g> strategy as well as knowledge<br />

management. First, we explain <str<strong>on</strong>g>the</str<strong>on</strong>g> <strong>Knowledge</strong> Strategy framework proposed by Zack (2002). Then, we focus <strong>on</strong><br />

our research methodology, mainly <str<strong>on</strong>g>the</str<strong>on</strong>g> approach <str<strong>on</strong>g>of</str<strong>on</strong>g> Strategy-as-Practice. Thirdly, we present our main analysis<br />

results, identifying <str<strong>on</strong>g>the</str<strong>on</strong>g> key actors <str<strong>on</strong>g>of</str<strong>on</strong>g> knowledge strategizing and how <str<strong>on</strong>g>the</str<strong>on</strong>g>y are organised to do it. A process view<br />

<str<strong>on</strong>g>of</str<strong>on</strong>g> knowledge strategy is presented identifying key actors, practices and organizati<strong>on</strong>al structures. A c<strong>on</strong>clusi<strong>on</strong> <str<strong>on</strong>g>of</str<strong>on</strong>g><br />

our study is that <str<strong>on</strong>g>the</str<strong>on</strong>g> c<strong>on</strong>ceptualizati<strong>on</strong> <str<strong>on</strong>g>of</str<strong>on</strong>g> knowledge strategy and knowledge gaps does effectively exist in reality.<br />

Finally, we discuss <str<strong>on</strong>g>the</str<strong>on</strong>g> limitati<strong>on</strong>s <str<strong>on</strong>g>of</str<strong>on</strong>g> <str<strong>on</strong>g>the</str<strong>on</strong>g> present research and propose fur<str<strong>on</strong>g>the</str<strong>on</strong>g>r research directi<strong>on</strong>s and<br />

development. This paper explores a new research approach <str<strong>on</strong>g>of</str<strong>on</strong>g> knowledge management, and could also help<br />

knowledge management practiti<strong>on</strong>ers.<br />

Keywords: <strong>Knowledge</strong> Strategy, <strong>Knowledge</strong> Intensive Firm, Qualitative Research, Strategy-as-Practice<br />

approach<br />

1. What is <strong>Knowledge</strong> strategy?<br />

As pointed by Argote, Mc Evily and Reagans (2003), knowledge management research spans <str<strong>on</strong>g>the</str<strong>on</strong>g><br />

disciplines <str<strong>on</strong>g>of</str<strong>on</strong>g> “ec<strong>on</strong>omics, informati<strong>on</strong> systems, organizati<strong>on</strong>al behavior, organizati<strong>on</strong>al <str<strong>on</strong>g>the</str<strong>on</strong>g>ory,<br />

psychology, strategic management, and sociology”. The number <str<strong>on</strong>g>of</str<strong>on</strong>g> disciplines involved in <str<strong>on</strong>g>the</str<strong>on</strong>g> area<br />

gives a hint about <str<strong>on</strong>g>the</str<strong>on</strong>g> global awareness that knowledge management has become <str<strong>on</strong>g>of</str<strong>on</strong>g> <str<strong>on</strong>g>the</str<strong>on</strong>g> utmost<br />

importance in today’s ec<strong>on</strong>omy (N<strong>on</strong>aka, 1991, 2009).<br />

However, <str<strong>on</strong>g>the</str<strong>on</strong>g> link between <strong>Knowledge</strong> management and Business Strategy, while <str<strong>on</strong>g>of</str<strong>on</strong>g>ten discussed,<br />

has rarely been put into practice (Zack, 2002).<br />

The <strong>Knowledge</strong> Strategy framework developed by Zack (1999b) is a significant step over that gap. In<br />

its research with more than 25 firms, Zack (2002) revealed that “while many managers intuitively<br />

believe that strategic advantage can come from knowing more than competitors, <str<strong>on</strong>g>the</str<strong>on</strong>g>y are unable to<br />

explicitly articulate <str<strong>on</strong>g>the</str<strong>on</strong>g> link between knowledge and strategy.” In o<str<strong>on</strong>g>the</str<strong>on</strong>g>r words, “many initiatives being<br />

undertaken to develop and exploit organizati<strong>on</strong>al knowledge are not explicitly linked to or framed by<br />

<str<strong>on</strong>g>the</str<strong>on</strong>g> organizati<strong>on</strong>’s business strategy.” Later, he observed that a vast majority <str<strong>on</strong>g>of</str<strong>on</strong>g> <str<strong>on</strong>g>the</str<strong>on</strong>g> knowledge<br />

management initiatives do not help <str<strong>on</strong>g>the</str<strong>on</strong>g> organizati<strong>on</strong> “determine which efforts are appropriate, or<br />

which knowledge should be managed and developed” (Zack, 2002).<br />

In this research, Zack (2002) found <str<strong>on</strong>g>the</str<strong>on</strong>g> most important c<strong>on</strong>text for guiding knowledge management is<br />

<str<strong>on</strong>g>the</str<strong>on</strong>g> firm's strategy. An organizati<strong>on</strong>'s strategic c<strong>on</strong>text indeed “helps to identify knowledge<br />

management initiatives that support its purpose or missi<strong>on</strong>, streng<str<strong>on</strong>g>the</str<strong>on</strong>g>n its competitive positi<strong>on</strong>, and<br />

create shareholder value” (Zack, 2002). Despite its <str<strong>on</strong>g>the</str<strong>on</strong>g>oretical value, <str<strong>on</strong>g>the</str<strong>on</strong>g> link between knowledge<br />

management and business strategy is widely ignored in practice. Especially when it comes to<br />

evaluate knowledge management efforts and choose between different knowledge management<br />

projects (Davenport and al, 1998, Ruggles, 1998).<br />

From this ascertainment, Zack (2002) advocates that firms need a “pragmatic, yet <str<strong>on</strong>g>the</str<strong>on</strong>g>oretically sound<br />

model <str<strong>on</strong>g>of</str<strong>on</strong>g> what he calls knowledge strategy”. The knowledge strategy model was developed by Zack<br />

to complete <str<strong>on</strong>g>the</str<strong>on</strong>g> traditi<strong>on</strong>al SWOT analysis. After performing <str<strong>on</strong>g>the</str<strong>on</strong>g>ir SWOT analysis and guiding <str<strong>on</strong>g>the</str<strong>on</strong>g>ir<br />

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