A Knowledge-based Theory of the Firm - A Problem-solving Perspective

Nickerson, Jack A.; Zenger, Todd

doi:10.2139/ssrn.502282

Cited by 338 publications

(734 citation statements)

References 34 publications

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“…Given their significance for organizational adaptation, this also means that non-routine situations are often complex and ambiguous, and may pose high knowledge needs (Nickerson & Zenger, 2004), so making it a suitable approach for investigating actual knowledge mobilizations in the MNC and how these knowledge mobilizations relate to conceptualizations of subsidiary and MNC knowledge flows.…”

Section: Knowledge Inflows As Outcome Of Knowledge Mobilizations Drivmentioning

confidence: 99%

Subsidiary managers’ knowledge mobilizations: Unpacking emergent knowledge flows

Tippmann

Scott²,

Mangematin

2014

Journal of World Business

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Knowledge flows are a key source of advantage for multinational corporations (MNCs). As research on subsidiary knowledge flows to date has mostly focused on organization-level investigations, often using quantitative methodologies, the nuances of knowledge flows practices and their micro-foundations require further theoretical development. Using detailed qualitative data on 40 cases of subsidiary managers" knowledge mobilizations, this paper unravels some of the micro-level practices of knowledge mobilizationsin MNCs. We find that subsidiary manager"s knowledge mobilization practices initiate a complex pattern of subsidiary knowledge inflows, pinpointing the significance of lateral and bottom up exchanges (locally as well as internationally)and the emergent nature of utilizing practices, specialist skills and expertise, as well as experience and advice to develop solutions. We use these insights to distinguish between two types of subsidiary knowledge flows: deliberate and emergent knowledge flows and highlight how their differences have profound implications for the investigation of subsidiary and MNC knowledge flows and their microfoundations.

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Section: Knowledge Inflows As Outcome Of Knowledge Mobilizations Drivmentioning

confidence: 99%

Subsidiary managers’ knowledge mobilizations: Unpacking emergent knowledge flows

Tippmann

Scott²,

Mangematin

2014

Journal of World Business

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“…Some proponents of the RBV have tried to separate it from the more mainstream economics of the firm (e.g., Conner, 1991;Conner & Prahalad, 1996), and have argued that the RBV has the potential to develop into a distinct theory of the firm. It has become increasingly clear, however, that not only are the RBV and mainstream economics insights in transaction costs and property and how these shape economic organization highly complementary, there is also a very significant overlap (Foss, 1996;Silverman, 1999;Nickerson & Zenger, 2004;Argyres & Zenger, 2010). More generally, it is arguable that the RBV relies on competitive imperfections that are essentially in the nature of transaction costs or at least information costs, notably costs of imitation (Mahoney, 2001;Foss, 2003).…”

Section: Resource Accumulation a Central Question In The Rbv Is Whatmentioning

confidence: 99%

“…Nickerson & Zenger, 2004;Gavetti, 2005;Gavetti & Rivkin, 2007). In a simulation model, Gavetti and Levinthal (2000) show how the effectiveness of organizational search may be substantially enhanced by cognitive representations of the resource space.…”

Section: Movement Towards the Middle?mentioning

confidence: 99%

Modern Resource-Based Theory(ies)

Foss

Stieglitz

2010

SSRN Journal

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“…Thus, we reject the common practice of appointing former CEOs as chairpersons of the board. 5 4 See Nickerson & Zenger (2004), who argue that simple problems can be left to the market, problems of medium complexity to authority-based hierarchy, and complex problems to consensus-based hierarchy. 5 We side, in this respect, with Jensen, Murphy and Wruck (2004).…”

Section: Neutral Chair Of the Boardmentioning

confidence: 99%

Shareholders Should Welcome Employees as Directors

Osterloh

Frey

2005

SSRN Journal

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The most influential theory of corporate governance, principal agency theory, does not take into consideration that the key task of modern corporations is to generate and transfer firm-specific knowledge. It proposes that, in order to overcome the widespread corporate scandals, the interests of top management and directors should be increasingly aligned to shareholder interests by making the board more responsible to shareholders, and strengthening the monitoring of top management by independent outside directors. Corporate governance reform needs to go in another direction altogether. Firm-specific knowledge investments are, like financial investments, not ex ante contractible, leaving investors open to exploitation by shareholders. Employees therefore refuse to make firm-specific investments. To gain a sustainable competitive advantage, there must be an incentive to undertake such firm-specific investments. Three proposals are advanced to deal with this conflict: (1) The board should rely more on insiders. (2) The insiders should be elected by those employees of the firm making firm-specific knowledge investments.(3) The board should be chaired by a neutral person. These proposals have major advantages: they provide incentives for knowledge investors; they countervail the dominance of executives; they encourage intrinsic work motivation and loyalty to the firm by strengthening distributive and procedural justice, and they ensure diversity on the board while lowering transaction costs. These proposals for reforming the board may help to overcome the crisis corporate governance is in. At the same time, they connect agency theory with the knowledge-based theory of the firm.(243 words)

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A Knowledge-based Theory of the Firm - A Problem-solving Perspective

Cited by 338 publications

References 34 publications

Subsidiary managers’ knowledge mobilizations: Unpacking emergent knowledge flows

Subsidiary managers’ knowledge mobilizations: Unpacking emergent knowledge flows

Modern Resource-Based Theory(ies)

Shareholders Should Welcome Employees as Directors

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