The challenge of managing knowledge in innovative organizations: Internal versus external knowledge acquisition

Andrea Deverell, Astrid Heidemann Lassen

    Research output: Chapter in Book/Report/Conference proceedingChapterpeer-review

    Abstract

    Ideas are no longer generated solely within a firm's internal boundaries but also sourced from the external knowledge environment. Therefore, firms can no longer rely solely on internal knowledge to develop new ideas or solve problems. This paper is based on empirical research which investigates different knowledge acquisition strategies utilized by firms during the innovation process. It suggests that there is a relationship between the kind of innovative activity (cumulative or radical) and the sourcing of knowledge (i.e., the internal and/or external environment). Two hypotheses are derived from the literature and tested empirically. These hypotheses are based on the premise that cumulative type organizations focus primarily on internal knowledge or existing core competencies within the firm and are less likely to scan the external environment for ideas and knowledge, whereas radical type organizations are continually pushing out the boundaries of knowledge and replacing existing core competencies with new ideas and knowledge and are therefore predisposed toward utilizing external knowledge. The research findings confirm the hypotheses and enable the development of a third dimension based on a dual ability to focus on both cumulative and radical innovation aligned with the most appropriate knowledge acquisition strategy.

    Original languageEnglish
    Title of host publicationThe Transfer and Diffusion of Information Technology for Organizational Resilience
    Subtitle of host publicationIFIP TC8 WG 8.6 International Working Conference, June 7-10, 2006, Galway, Ireland
    EditorsBrian Donnellan, Tor Larsen, Linda Levine, Janice DeGross
    Pages157-178
    Number of pages22
    DOIs
    Publication statusPublished - 2006

    Publication series

    NameIFIP International Federation for Information Processing
    Volume206
    ISSN (Print)1571-5736

    Keywords

    • Agility and resilience
    • Knowledge acquisition
    • Radical and cumulative innovation
    • Technology transfer

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