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JamesPipe_ManagementDissertation_FormingEffectiveTeams

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MNGT 350
Management Dissertation
James Pipe – 0104655
06/05/2005
What are the factors that affect
knowledge transfer about...
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i. Abstract
The effective formation of teams for client projects is a major source of competitive
advantage for a profes...
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Contents
i. Abstract......................................................................................................
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JamesPipe_ManagementDissertation_FormingEffectiveTeams

  1. 1. MNGT 350 Management Dissertation James Pipe – 0104655 06/05/2005 What are the factors that affect knowledge transfer about resources among assignment managers in a medium sized management consultancy?
  2. 2. i i. Abstract The effective formation of teams for client projects is a major source of competitive advantage for a professional services firm such as a management consultancy and this process relies on the ability of the assignment manager to select the appropriate team of people. The effectiveness of the processes for transferring knowledge about available resources therefore represents a major factor to contributing to the firm’s competitive advantage. A review of the academic literature on the subject suggests an almost inexhaustible list of contributing factors to the effectiveness of knowledge transfer, but some common themes emerge. These include the importance of social networks, and the role of organisational culture in promoting environments of learning. They also cite the facilitating role of formal coordinating mechanisms and the merits of the use of ICT is an issue of debate. In this study we use data collected from eight in depth interviews with senior consultants who are responsible for staffing client projects in order to evaluate the applicability of the relevant theory which is reviewed in the first section. As a result, we find much support for various theoretical perspectives such as the prevalence of social networks and the inability of electronic systems to convey rich, contextual knowledge. We are then able to offer some recommendations for how the organisation could improve the effectiveness of knowledge sharing and offer some areas for further study.
  3. 3. ii Contents i. Abstract........................................................................................................................i Contents .........................................................................................................................ii List of Tables ............................................................................................................... iii List of Figures.............................................................................................................. iii 1. Introduction................................................................................................................1 1.1 About the participating organisation....................................................................2 2. Academic Literature Review .....................................................................................4 2.1 The importance of knowledge, knowledge sharing and knowledge as a competitive advantage. ..............................................................................................4 2.1.1 The resource-based view of the firm ............................................................5 2.1.2 Epistemologies of knowledge.......................................................................6 2.2 Cultural context and influence...........................................................................12 2.3 Knowledge and technology................................................................................13 2.4 Coordination mechanisms of knowledge...........................................................14 2.4.1 Dualistic Systems (Bahrami, 1992) ............................................................15 2.4.2 Network organisations ................................................................................16 2.4.3 Organisational routines ...............................................................................17 2.5 Social networks..................................................................................................18 2.5.1 Social Identity .............................................................................................19 2.5.2 Strong and weak ties ...................................................................................20 2.5.3 Communities of practice.............................................................................23 2.6 Summary............................................................................................................25 3. Methodology and data analysis................................................................................26 3.1 Research design .................................................................................................26 3.1.1 The philosophy of research design: Positivism vs. Social Constructionism ..............................................................................................................................27 3.1.2 Research Style.............................................................................................28 3.1.3 Grounded theory .........................................................................................30 3.1.4 Methods.......................................................................................................32 3.2 Data collection ...................................................................................................33 3.3 Data analysis ......................................................................................................34 3.3.1 Grounded theory process ............................................................................35 3.3.2 Coding.........................................................................................................36 3.4 Limitations.........................................................................................................38 4. Findings and Discussion. .........................................................................................39 4.1 What are the methods and influencing factors of how effective team development knowledge is shared? .........................................................................39 4.2 What role does the culture of the organisation play in promoting and enabling knowledge sharing? .................................................................................................40 4.3 How does the use of IT affect knowledge sharing in the organisation? ............42 4.4 What are the coordinating mechanisms for knowledge sharing in the organisation?............................................................................................................43 4.5 What are the structure and content of social networks in the organisation and how do they affect knowledge sharing?...................................................................46 5. Conclusions and Recommendations ........................................................................49 6. Development............................................................................................................52
  4. 4. iii Appendix 1: Interview notes.......................................................................................... I Respondent A............................................................................................................. I Respondent B...........................................................................................................IV Respondent C...........................................................................................................VI Respondent D...........................................................................................................IX Respondent E ............................................................................................................X Respondent F ...........................................................................................................XI Respondent G........................................................................................................XIII Respondent H........................................................................................................XIV Appendix 2: Index of categories and codes ...............................................................XV Appendix 3: Coded data.......................................................................................... XVII Respondent A...................................................................................................... XVII Respondent B........................................................................................................XIX Respondent C.........................................................................................................XX Respondent D...................................................................................................... XXII Respondent E .....................................................................................................XXIII Respondent F .....................................................................................................XXIV Respondent G.....................................................................................................XXVI Respondent H................................................................................................... XXVII References:.....................................................................................................................a List of Tables Table 1: Knowledge under the practice-based perspective (adapted from Hislop, 2005:28-34)....................................................................................................................7 Table 2: Objectivist and practice-based epistemologies of knowledge (Hislop, 2005:27).........................................................................................................................8 Table 3: Stages of knowledge sharing (summarised from Nonaka, 1994) ..................10 Table 4: Character and articulated advantages of N-V organizational structures (Hislop, 2005:181).......................................................................................................16 Table 5: Factors affecting knowledge-sharing/searching attitudes in virtual work groups (adapted from Ardichvili et al, 2003 in Hislop, 2005:187). ............................17 Table 6: Search and transfer effects associated with four combinations of knowledge complexity and tie strength (Hansen, 1999:89)...........................................................21 List of Figures Figure 1: The changing nature of work (Pinchot and Pinchot, 1993:46).....................4 Figure 2: Spiral of organizational knowledge creation (Nonaka, 1994) ......................9 Figure 3: Classification of network forms of organizing (Cravens et al, 1996 in Hislop, 2005:182). .......................................................................................................17 Figure 4: How communities of practice underpin knowledge processes (Hislop, 2005:65).......................................................................................................................24 Figure 5: Matrix of research designs (Easterby-Smith et al, 2002:57).......................29
  5. 5. 1 1. Introduction Knowledge sharing becomes important when networking brings together individuals from different departments, with different skill sets and different methods of working, to work on a common goal – i.e. a client project. As an organisation with multiple personnel and multi-disciplinary knowledge coming together, it is necessary for Consultancy A (see section 1.1 below) to continuously combine and connect different skills and leverage the experience held by individuals of previous jobs towards adding value to the current project. This requires the assignment manager to apply a specific kind of knowledge; that of the resources, i.e. people, within the organisation to the specific job. Since it is not possible however for assignment managers to know every individual in the organisation, or every conceivable combination of people, an important area of interest for the organisation is how these assignment managers learn of people who would be suitable for a particular project, and how this knowledge is shared within the organisation so that others can benefit from it. Knowledge transfer is an important topic for research, because knowledge may be spread throughout the organisation and not be available where it can be put to best use. Enabling this knowledge to be made available therefore will improve organisational effectiveness and performance. Informal networks are often emphasised as facilitating knowledge transfer, but it is worth also considering how formal networks can contribute to knowledge transfer. An important theme in the study of knowledge transfer is the taxonomy of tacit and explicit knowledge, based on the pioneering work of Polanyi (1967), who postulated that individuals know more than they can explain or articulate as some knowledge is held more intuitively (Polanyi, 1967). This tacit knowledge is hard to communicate, deeply rooted in action, involvement and commitment within a specific context (Polanyi, 1967; Nonaka, 1994). The knowledge base of an organisation therefore, is not just constructed of formal, explicit knowledge, but also informal, tacit knowledge, which is often taken for granted (Garvey and Williams, 2002).
  6. 6. 2 Such inter-group or ‘inter-community’ knowledge sharing may be required for example where staff from different organisational departments have to work together (Hansen, 1999). Difficulties result however from a lack of shared understanding and assumptions (Brown and Duguid, 2001) and from a lack of inter-personal trust between the two groups. Kogut and Zander (1992) distinguish between information and know-how. Information is knowing what something means and can be transmitted without loss of meaning; know-how is “the accumulated practical skill or expertise that allows one to do something smoothly and efficiently” (Kogut and Zander, 1992:386). This categorisation of knowledge is applicable to organisations whereby “know-how is a description of what defines current practices inside a firm. […] The knowledge displayed in an organisational chart, as in any blueprint, is limited to providing information on personnel and formal authority. The know-how is the understanding of how to organize a firm along these formal (and informal) lines” (Kogut and Zander, 1992:387). This study therefore will begin by looking at the theoretical foundations of knowledge transfer and the mechanisms and influencing factors that contribute to or hinder its effective movement around organisations. The theory is then considered in light of some primary qualitative research data collected as part of the study from the participating organisation. Following the discussion of the survey results in light of the academic literature on the subject, an attempt is then made in conclusion to suggest some recommendations for how the organisation could improve the effectiveness of its internal knowledge sharing processes. 1.1 About the participating organisation Consultancy A is a medium sized London based management consultancy, which operates out of approximately 20 offices around the world, employing roughly 4,000 people. Like most consultancies, it is organised around a practice structure based on industry or skill expertise, from which staff are drawn to form project teams. This has
  7. 7. 3 the advantage of providing a measure of the demand for specific skills or expertise in the market and acts as an indicator both internally and externally for the existence of capabilities within the firm, however it also creates the problem that individuals from different practices are continuously brought together that may have no previous experience of working together. It is the assignment manager’s responsibility to create such teams and they attempt to add value by selecting teams that they believe are not only qualified in terms of skills required, but also compatible to work together and it is this knowledge that we are interested in learning about. For the purposes of confidentiality, the organisation will be referred to in this study as simply Consultancy A and no respondents’ names are revealed. Some in-house terminology has also been altered to prevent identification without altering the meaning of the data.
  8. 8. 4 2. Academic Literature Review 2.1 The importance of knowledge, knowledge sharing and knowledge as a competitive advantage. “Corporate success in today’s economy comes from being able to acquire, codify, and transfer knowledge more effectively and with greater speed than the competition” (Myers, 1996:1). Knowledge, and more importantly, the effective sharing or transfer of knowledge from one part of the organisation to another is more and more being seen as the most important means of competitive advantage for a firm (Miller, 1998; Cross et al, 2001; Szulanski and Jensen, 2004). This is largely due to the changing nature of work, which is summarised by Pinchot and Pinchot (1993) in the figure below: Figure 1: The changing nature of work (Pinchot and Pinchot, 1993:46). In large organisations, many people may be working on the same or similar problem(s), which leads to duplication of work or failure to leverage existing knowledge (Miller, 1998). People are the ‘containers’ of everything that the organisation knows (Miller, 1998) and individual knowledge of circumstances particular to a time and place is an important body of knowledge such that “practically every individual has some advantage over all others because he possesses unique information of which beneficial use might be made only […] with his active co- operation” (Hayek, 1945:9). Consequently, firms must be organised so as to bring everyone’s knowledge and abilities to bear on constantly changing goals such as client projects (Pinchot and Pinchot, 1993; Cross et al, 2001). The realisation of a competitive advantage is argued to come from the effective sharing of knowledge as knowledge is seen to be a key strategic resource or corporate asset (Huseman and Goodman, 1999). Unskilled work Meaningless repetitive tasks Individual work Functional-based work Single-skilled Power of bosses Coordination from above Knowledge work Innovation and caring Teamwork Project-based work Multi-skilled Power of customers Coordination among peers
  9. 9. 5 2.1.1 The resource-based view of the firm “If you are committed to continuity and change, then you need to focus on resources” (Prahalad, 1997:64 in Garvey and Williams, 2002). The resource-based view of the firm states that a firm can be defined as a bundle of resources (Rumelt, 1984 and Amit and Shoemaker, 1993 in Ambrosini, 2003). These resources are what enable a firm to gain/maintain a competitive advantage (Teece et al, 1997; Ambrosini, 2003). The primary aim of resource based strategic analysis is to determine what the firm can do better than the competition in different contexts (McEvily, 2000) and organisational knowledge is often seen as a key source of added value to the firm and its strategic capabilities (Grant, 1996; Clark, 2000). An emphasis on tacit and explicit knowledge creation (Spender and Grant, 1996) gives further weight to the importance of the ‘inside-out’ view (Johnson and Scholes, 2002) of strategic management. It is about maximising the use of all resources within the organisation and extending this to the concept of knowledge, “human capital – competencies – are a key component of value in a knowledge-based company” (Skyrme in Garvey and Williamson, 2002). Some resources are ‘sticky’ (Von Hippel, 1994; Szulanski, 1996), which makes them less transferable, and tacit, which creates ambiguity (Reed and DeFillippi, 1990), making them difficult to imitate (Teece et al, 1997; Ambrosini, 2003). The organisation may be unaware of the resources and activities required to achieve its competitive advantage (McEvily et al, 2000; Ambrosini, 2003). Tacit knowledge is practical – more appropriately referred to as ‘capability’ than ‘resource’ (Ambrosini, 2003). This is similar to the concept of ‘know-how’ (Nonaka, 1991 in Ambrosini, 2003; Kogut and Zander, 1992). Knowledge capital involves building on bases of both explicit and tacit knowledge within the organisation and combining them into a single framework – what Clark (2000) refers to as explacit knowledge. The traditional resource-based view of the firm cannot adequately account for the role of ‘knowledge in action’ because they place too much emphasis on planned sequences without reference to specific context
  10. 10. 6 (Clark, 2000). This ‘causal ambiguity (Szulanski, 1996) creates a barrier to knowledge transfer within the firm as well as protecting the firm from imitation by competitors (Reed and DeFillippi, 1990; Szulanski and Jensen, 2004). 2.1.2 Epistemologies of knowledge The study of knowledge and all things related to knowledge must begin with a definition of what knowledge is, which leads us to two epistemological views; the objectivist perspective and the practice-based perspective (Hislop, 2005). Objectivist perspective A common distinction about knowledge is that between data, information and knowledge, whereby data are the raw facts, information is an organised assembly of these facts and knowledge is the basis for understanding and interpreting this information and turning it into action (Hislop, 2005). Knowledge is seen as an entity which people/groups can possess, hence the objectivist perspective is also referred to as the ‘epistemology of possession’ (Brown and Cook, 1999). Furthermore, knowledge is seen to be objective and explicit, thus free of contextual dependence and this explicit aspect of knowledge takes primacy over tacit knowledge. This view is reflected in the work of researchers such as Nonaka (1994) and Nonaka et al (1995) who see knowledge as an item that individuals can possess, and Szulanski (1996) who takes a commodity based view of knowledge. There is an assumed distinction between explicit and tacit knowledge and individual and group knowledge and that they are distinct kinds of knowledge, rather than representing polarised version of the same type of knowledge. The tacit-explicit dimension and individual-group dimension can thus be combined to form four distinct types of knowledge (see Brown and Cook, 1999). Knowledge as an object has implications for the management and transfer of knowledge; explicit knowledge transfer in particular is seen as a straightforward process of ‘send and receive’ and this ease of conveyance is a fundamental property of such knowledge (Grant, 1996). Tacit knowledge is recognised as more problematic
  11. 11. 7 because it first has to be accessed and converted to an explicit form (Nonaka, 1994), but whilst the medium of communication may be different, there is still an implicit element of the ‘conduit model’ (Hislop, 2005) of knowledge transfer. Practice-based perspective Knowledge is embedded in social practice and cannot be separated from its context. This perspective therefore is also known as the ‘epistemology of practice’ (Brown and Cook, 1999). The practice-based view of knowledge can be viewed in terms of seven factors (Hislop, 2005), which are summarised in the table below: 1. Knowledge is embedded in practice Knowledge is not a discrete object, but linked to activity. In this sense it is sometimes conceptualised as knowing (Blackler, 1995). 2. Tacit and explicit knowledge are inseparable There is often a misinterpretation of Polanyi’s work who saw less of a distinction between tacit and explicit knowledge than he is credited with (Brown and Duguid, 2001). In fact, tacit and explicit knowledge represent two aspects or extremes of the same knowledge and in this respect are inseparable (Hislop, 2005). Clark (2000) referred to this single framework of knowledge as ‘explacit’ knowledge. 3. Knowledge is embodied in people All knowledge or knowing is personal; this is related to knowledge as originating through practice and to all knowledge having a tacit dimension – which is subjective to the person (Hislop, 2005). Therefore, some part of the knowledge will always remain in the head of the person that created it and cannot ever be converted fully to explicit knowledge to be communicated (Hayek, 1945). 4. Knowledge is socially constructed 5. Knowledge is culturally embedded All knowledge is subjective and open to interpretation because it is socially constructed and linked to the values of the creator. Another observer from a different cultural background may therefore interpret the knowledge differently based on their own value system and beliefs. The scope for interpretation is limited however by the “socially negotiated nature of language” (Hislop, 2005:32). 6. Knowledge is multi-dimensional Since knowledge is neither tacit nor explicit, but contains elements of both, it follows that it is multi- dimensional; “Knowledge is multi-faceted and complex” (Blackler, 1995:1032). Other attempts to dimension knowledge are equally dismissed for oversimplifying the true complexity of knowledge (Hislop, 2005). 7. Knowledge is contestable Since knowledge is subjective, socially constructed and culturally embedded, it is therefore open to interpretation and dispute. Different groups may attempt to legitimise their own conception or interpretation of the knowledge in question, which can lead to power struggles and political activity within organisations. Table 1: Knowledge under the practice-based perspective (adapted from Hislop, 2005:28-34). This perspective leads to a conceptualisation of knowledge in organisations as fragmented and dispersed among the many members of the organisation. Knowledge bases may occur in specialised areas and these are often referred to as ‘communities’, and some knowledge may be shared more widely, constituting ‘common knowledge’
  12. 12. 8 (Kogut and Zander, 1992). Organisations in this sense then can be thought of as ‘community-of-communities’ (Brown and Duguid, 1991:53). Under the practice-based perspective, knowledge sharing is not a straightforward process, because there is no independent ‘unit’ of knowledge that can be transferred. Knowledge is too much a part of the person and place from which it comes from. Instead, knowledge sharing involves “two people actively inferring and constructing meaning” (Hislop, 2005:37). A summary of the main differences between the Objectivist and Practice-based perspectives is given in the table below: Objectivist epistemology Practice-based epistemology Knowledge derived from an intellectual process Knowledge is embedded in practice Knowing/doing inseparable Knowledge is a disembodied entity/object Knowledge is embodied in people Knowledge is socially constructed Knowledge is objective ‘facts’ Knowledge is culturally embedded Knowledge is contestable Knowledge is socially constructed Explicit knowledge (objective) privileged over tacit knowledge (subjective) Tacit and explicit knowledge are inseparable and mutually constituted Distinct knowledge categories Knowledge is multidimensional Table 2: Objectivist and practice-based epistemologies of knowledge (Hislop, 2005:27) Elements of knowledge sharing An important area of interest is in understanding the ways in which knowledge is transferred. Knowledge resides in people, but can be imitated, copied or transferred through communication (Zander and Kogul, 1995). Imitation is difficult however, because “there is a fundamental difference between having information and understanding it” (Reed and DeFillippi, 1990:94). This is due to a lack of transparency about the factors involved in implementing this knowledge and how they interact.
  13. 13. 9 Organisational Learning is a process for detecting and correcting errors within an organisation (Argyris and Schön, 1978). There are two kinds of organisational learning; single-loop or lower level learning, and double-loop or higher level learning. Single loop learning is a gradual process of improvement of routines, which occurs within the existing context of the organisation, i.e. norms of doing things and policies do not change. Double loop learning is a more rapid process and involves challenging and changing these underlying norms (Argyris and Schön, 1978). At the individual level, learning occurs through education, experience and experimentation. Organisational learning is a process through which the knowledge held by individuals is amplified, internalised and externalised as part of an organisation’s knowledge base (Nonaka, 1994): Nonaka’s concept of a spiral of knowledge creation. Figure 2: Spiral of organizational knowledge creation (Nonaka, 1994) Knowledge moves upward in an organisation from the individual to the group level and on to the organisation level. The knowledge creating process begins and revolves around the tacit knowledge held by individuals, but benefiting from this knowledge requires “dynamic interactions between four modes of knowledge conversion (Nonaka, 1994:200).
  14. 14. 10 Socialisation The first stage whereby tacit knowledge is shared among individuals based on experiential processes Combination The second stage brings together all the explicit knowledge held by individuals as a result of the experiential processes in stage one. Externalisation At the third stage, tacit knowledge is converted to explicit knowledge Internalisation In the fourth stage, this explicit knowledge is turned back into tacit knowledge as individuals take on the new knowledge and test it out through hands-on implementation and experimentation. Table 3: Stages of knowledge sharing (summarised from Nonaka, 1994) There is the view that knowledge cannot be managed (Von Krogh et al, 2000), but that knowledge sharing can be supported through contextual and organisational variables that support the flow of knowledge. Three such contextual variables that have been identified as having an important impact are the task environment, organisational structure and organisational cultural norms (Gupta and Govindarajan, 1991). Research has been carried out into the effect of knowledge in one area of an organisation on experiences of another (Darr et al, 1995; Argote and Ingram, 2000). It was found that knowledge is contained within knowledge repositories and sub- networks of these repositories, and transferred either by moving these repositories or networks, or modifying them through training and communication (Argote and Ingram, 2000). An important influence on how effectively knowledge will be shared is linked to the difficulty of sharing the knowledge in question, and a large factor of this is whether the knowledge to be shared is tacit or articulate (Winter, 1987 in Birkinshaw et al, 2002). Even the sharing of articulated knowledge can be difficult however, due to causal ambiguity and the receiver’s lack of ‘absorptive capacity’ (Szulanksi, 1996). The implication of this is that individuals within an organisation may possess knowledge that could be beneficial to other members within the organisation, but which they do not benefit from, because transferring the knowledge has so far proven too difficult (Szulanski, 2000). Adaptation increases both normative and cognitive legitimacy (Szulanski and Jensen, 2004). Similarity of the context or routine affects the motivation to accept new knowledge (normative legitimacy) and the ability to understand and apply it (cognitive legitimacy), thus adaptation of knowledge to fit a
  15. 15. 11 new context or routine will make it more easily transferable (Szulanski and Jensen, 2004). Knowledge sharing among individuals at the group level is often associated with trust in the relationship between the sender and receiver (Miller, 1998; Williams, 2001, Hislop, 2005) and motivation to share (Osterloh and Frey, 2000), both affected by the organisational culture (Hislop, 2005). The way knowledge is shared impacts its effectiveness. The method of knowledge sharing is determined by the factors discussed, i.e. explicit transmission, the use of a learning process, trust and motivation. Knowledge must be organised and structured so that it is easy to use otherwise busy people will ignore it. Understanding the appropriate medium of transfer is important – some knowledge requires face to face contact (Miller, 1998). The cost of transferring knowledge depends on factors such as the nature of the knowledge, the organisational environment, and technology. Knowledge exists across a continuum from ‘general’ to ‘specific’, with the cost of transfer increasing as knowledge moves from general to specific (Jensen and Meckling, 1995). This transfer of knowledge has to be worthwhile in that it must be understood by the recipient well enough to act upon it, thus effective knowledge transfer involves more than just communicating the knowledge (Jensen and Meckling, 1995). Furthermore, this transfer is not instantaneous, as it takes time for new knowledge to be absorbed or internalised (Nonaka, 1994; Jensesn and Meckling, 1995). An important question for organisations therefore is not whether knowledge can be transferred, but at what cost this can be achieved and whether this is worthwhile. The following sections will look at theory around the cultural aspect of knowledge sharing, the use of ICT to facilitate knowledge sharing, and coordinating mechanisms in terms of organisational processes and structures related to knowledge sharing. Research question 1: What are the methods and influencing factors of sharing effective team development knowledge?
  16. 16. 12 2.2 Cultural context and influence Environments for learning are “cultural and psychological contexts which provide a climate for motivation to learn” (Garvey and Williamson, 2002:125). Often the problem with organisational learning does not lie in the structures in place to facilitate learning, but in the attitudes and expectations, or organisational culture and how this leads people to view learning (Garvey and Williamson, 2002). Culture therefore, is a ‘fundamental ingredient’ to the success of knowledge transfer. The organisational culture must support, encourage and reward knowledge sharing for it to be successful and effective and for employees to accept knowledge sharing initiatives/technologies (Miller, 1998). The context in which a group operates affects the group’s performance (Williams, 2001) and this cultural context has been studied in terms of the characteristics of the organisational culture (Sackmann, 1992). The culture of an organisation has the power to influence the extent to which groups and individuals within groups will cooperate in the formation of groups (Sackmann, 1992). The fact that knowledge is based on the context in which it is embedded (Birkinshaw et al, 2002) means that culture must be looked at in terms of the organisational structures of the firm (Birkinshaw et al, 2002) and the personal relationships and social identities which have developed (Birkinshaw et al, 2002). These two issues will be looked at individually in sections to come. Research question 2: What role does the culture of the organisation play in promoting and enabling knowledge sharing?
  17. 17. 13 2.3 Knowledge and technology “While technology can generate data and, to some extent, information, knowledge requires human intervention to make comparisons, draw out implications and relationships between bits of information, and discuss the information with others” (Miller, 1998:11-12). Developments in information and communications technology (ICT) have encouraged firms to experiment with new ways of sharing knowledge, but have met with limited success (McDermott, 1999; Dixon, 2000). Whilst it is being used to share codified knowledge (Cross et al, 2001), the ability to codify and share tacit knowledge has not been realised (Hislop, 2005). This is due to the fact that knowledge sharing is more dependent on social networks than on ICT (McDermott, 1999). ICT does have the capacity to enable knowledge transfer (Roberts, 2000; Dixon, 2000), but has little ability to affect how tacit knowledge is shared within an organisation. “The transfer of know-how requires a process of show-how. Face-to-face demonstration and the social interaction involved enable the sharing of skills and the establishment of mutual understanding and trust” (Roberts, 2000:440). ICT can be used to facilitate this social interaction, though it is much more likely to be successful in situations where physical interaction already exists, than where no previous interaction, and hence trust exists (Wathne et al, 1996). Blackler (1995) also found that technology could be used to spread embedded knowledge (Collins, 1993) and encultured knowledge (Collins, 1993) via groupware, communication systems and integrated enterprise systems (Blackler, 1995). Contractor and Monge (2002) however, found that contrary to reducing the need for personal contact, the use of a common database served to increase it and was used as a means to identify suitable individuals to contact, hence ICT’s ability to facilitate tacit knowledge sharing. Research question 3: How does the use of ICT affect knowledge sharing in the organisation?
  18. 18. 14 2.4 Coordination mechanisms of knowledge “Successful organisations are the ones structured to learn new ways of doing things and to be creative in the way they solve problems and develop business” (Garvey and Williams, 2002:19). The study of knowledge productivity requires consideration of the question of how far this knowledge productivity can be managed and whether knowledge in itself can be managed (Miller, 1998). This is especially relevant given the changing nature of work (Pinchot and Pinchot, 1993), and the fact that “the capacity to develop and apply knowledge rests mainly with the knowledge worker” (Kessels, 2002:49). This takes knowledge ‘management’ out of the direct control of managers (if it was ever in it) and into the hands of the knowledge workers themselves (Kessels, 2002), thus knowledge management as a concept could be replaced by that of knowledge development (Von Krogh et al, 2000). Knowledge ‘management’ instead could be achieved by control and steering via formal mechanisms of the organisation to create environments of learning (Kessels, 2002). Knowledge sharing within a multi-unit organisation requires both formal and informal structures to facilitate the transfer process (Hackman, 1987 in Rulke and Galaskiewicz, 2000; Podolny and Page, 1998; Tsai, 2002). These mechanisms may differ depending on the level(s) within/between which knowledge is to be shared (Kogut and Zander, 1992). Specialisation from the division of labour increases the costs of coordination and communication for firms, such that procedural rules are required to enable the coordination and communication of knowledge (Kogut and Zander, 1996). Firms will be particularly successful when they are able to coordinate knowledge produced in different ‘communities of practice’ (Brown and Duguid, 2001). Decentralised structures help to facilitate the transfer of knowledge between small groups of specialised or context specific knowledge (Rulke and Galaskiewicz, 2000). A network theory-based perspective would see organisations as having the advantage of being able to mobilise social capital embedded within human relations.
  19. 19. 15 Organisations provide an environment for human social interaction, thus encouraging cooperation and allowing the exchange of ideas (Nahapiet and Ghoshal, 1998; Bouty, 2000). Informal networks in particular are shown to be a very effective mechanism for the transfer of knowledge within organisations (Brown and Duguid, 2001; Grant, 1996; Kogut and Zander, 1996; Podolny and Page, 1998). Learning is a social activity and it happens within a social context through interaction (Garvey and Williams, 2002. Environments can therefore be productive or unproductive to learning (Nonaka, 1994; Nonaka and Takeuchi, 1995). Kogut and Zander describe that at the individual level knowledge transfer is coordinated by the development of a unique dialogue which enables members to learn who knows what and to coordinate their activities. Horizontal knowledge sharing is achieved by ‘boundary spanners’ and vertical sharing by ‘higher-order organising principle’ (Kogut and Zander, 1992). ‘Core conditions’ of an effective learning environment include (Rogers, 1961:281 in Garvey and Williamson, 2002): • Self-organisation and genuine flexibility • Creativity and open dialogue • Individual responsibility, control and authority • Security, empathy • Extensive and open information exchange • A climate of trust based on mutual respect and genuineness • Unconditional positive regard for other people • An ability to communicate all these to the others 2.4.1 Dualistic Systems (Bahrami, 1992) Many firms in highly competitive and constantly changing markets have organisational structures that are at the same time structured and ‘highly chaotic’. The formal structure provides a foundation for the firm and a mechanism for grouping skills and activities and assigning reporting relationships and accountability. This underlying structure provides a measure of stability and only undergoes transformations periodically; usually of a major kind. The flexibility comes from the adoption of temporary project teams and multi-functional groups whose focus is on
  20. 20. 16 critical assignments, which allows the firm to respond to changing market needs without disrupting the operations of the business (Bahrami, 1992). 2.4.2 Network organisations The competitive and unpredictable nature of the market requires firms to be “both continually innovative and highly adaptive” (Hislop, 2005:179-180). The distinction between network and virtual organisations is that while in network organisations the collaboration of groups comes from across the organisation, virtual organisations involve “dispersed, ICT-mediated working” (Hislop, 2005:180). The characteristics of network/virtual (N-V) organisations are given in the table below: Characteristics Advantages (compared to hierarchical structures • Multidirectional knowledge sharing – horizontally between functions, organizations and business units as well as vertically in hierarchy • Flexible and adaptable – structures easy to modify • Dispersed working – work colleagues not collocated • Dispersed knowledge – knowledge required to carry out work task geographically dispersed • Technology-mediated working – ICT’s are an important means of communication and coordination • Flat hierarchies – few layers of management • Decentralized – ‘heterarchy’, non-hierarchical • Blurred boundaries – the boundaries between functions, business units, and organizations involved in networks become blurred. • More effective for horizontal, cross-functional, inter- organizational knowledge sharing • More innovative – through better linking and integrating dispersed organizational knowledge • Better knowledge searching – through knowledge developed from cross-functional and inter- business interactions • More flexible and thus better suited to contemporary dynamics and competitive business environment. Table 4: Character and articulated advantages of N-V organizational structures (Hislop, 2005:181). There are however different types of network organisations, depending on the type of interaction and the volatility of the environment (Cravens et al, 1996 in Hislop, 2005). Research question 4: What are the coordinating mechanisms for knowledge sharing in the organisation?
  21. 21. 17 Figure 3: Classification of network forms of organizing (Cravens et al, 1996 in Hislop, 2005:182). Network organisations can present problems for the sharing of knowledge if that knowledge is highly tacit or situation specific. The collaborating parties may not share enough common knowledge or shared identity to enable effective dissemination of knowledge to take place (Hislop, 2005). Knowledge-sharing Knowledge-searching Factors creating a willingness to participate in knowledge processes. • Knowledge regarded as a ‘public good’ belonging to network, not individual. • Commitment to organization and/or network • Personal benefits in terms of status/reward • Helps integrate people into a new organization • Provides a medium through which people can interact with others who it would otherwise be difficult to communicate with. • Have received useful advice from specific individuals previously • Network regarded as useful for keeping ‘up to date’. Factors inhibiting people’s motivation to participate in knowledge processes. • Fear that contribution may be wrong • Feeling amongst newer staff of not having adequate experience to be able to contribute • Contributing is a time consuming process. • People with established face- to-face communities may prefer to use them rather than virtual networks. • Questions felt to require specific knowledge, and not relevant beyond narrow context. Table 5: Factors affecting knowledge-sharing/searching attitudes in virtual work groups (adapted from Ardichvili et al, 2003 in Hislop, 2005:187). 2.4.3 Organisational routines Routines are sequences of behaviour based on lessons learned from previous experience of a process, which allow that process, or one very similar, to be carried out multiple times without having to relearn the process each time (Levitt and March, Virtual network Flexible network Hollow networkValue-added network Low environmental volatility Network relationships collaborative Network relationships transactional High environmental volatility
  22. 22. 18 1988; see also Grant, 1996 and Johnson and Scholes, 2002). Routines are able to “support complex patterns of interactions between individuals in the absence of rules, directives, or even significant verbal communication” (Grant, 1996). They can be judged along two variables: rigidity (i.e. how much can social actors influence the routine) and complexity (Stinchcombe, 1990). Based on these two variables, the required knowledge and skill of an individual to carry out a task can be assessed (Stinchcombe, 1990). Tacit routines are a source of organisational competitive advantage (Gersick and Hackman, 1990 in McEvily et al, 2000; Szulanski, 2004), particularly when they are independent of individuals (Ambrosini, 2003). The ‘importation’ of routines occurs when groups follow routines developed by other groups. This will occur if the situation for which the routine is designed is similar to that which the new group is facing – in terms of how the members themselves define it (Szulanski, 2004). When faced with new situations, individuals tend to draw on previous similar experiences to guide their actions. Individuals who share a common organisational culture can be expected to have had similar experiences and similar perceptions of these experiences, thus knowledge between them – even tacit knowledge embedded in routines – can be more easily shared than in the absence of a common culture (Ambrosini, 2003; Szulanski, 2004). Failing this, the knowledge or routine may have to be adapted to ‘fit’ the local environment, thereby increasing the recipient’s desire and ability to accept the new method (Szulanski, 2004). 2.5 Social networks “Learning is a social activity. It takes place through interaction with other people. Learning is either helped or hindered by the framework of social relationships within which it occurs. Learning is simultaneously a social and cultural activity made possible through the ability of human beings to communicate with one another through a common language” (Garvey and Williamson, 2002:4). Tacit knowledge only becomes valuable if it can be made explicit, which occurs through social interaction. Learning is a ‘situated activity’ and the speed and willingness with which people learn is related to the circumstances in which they work (Garvey and Williamson, 2002). Tacit knowledge requires more than just the
  23. 23. 19 conveying of information, which is why it is not particularly receptive to transmission through electronic medium. The knowledge needs to be grounded and transferred into other areas, which requires communication through dialogue and face-to-face or at least person-to-person interaction (Garvey and Williamson, 2002). In this way, the tacit knowledge that has been made explicit is internalised by the receiver and made tacit again, which is where the true competitive value lies (Nonaka, 1994; Boisot, 1995 in Garvey and Williamson, 2002). Knowledge productivity in organisations depends on developing learning environments “that will stimulate people to develop, exchange and communicate their knowledge” (Tillema, 2002:161). The achievement of this is related to the social aspect of knowledge sharing (Scarbrough, 1996); therefore an active environment for knowledge transfer would encourage collaborative practices to facilitate the making explicit of tacit knowledge (Nonaka and Takeuchi, 1995; Tillema, 2002). 2.5.1 Social Identity Knowledge needs understanding in terms of social relations and is selectively available to groups on the basis of social identities. This is reflected in the importance of the “production and reproduction of social relations” (Scarbrough and Burrell, 1996:179). Social identity is a subjective but social phenomenon based on an individual’s definitions of fellow member of their own group, but also others in equivalent groups (Tajfel, 1982 in Child and Rodrigues, 1996). Social identities are “consequential for the quality of learning that takes place and hence for realising the full potential value of the knowledge being transferred” (Child and Rodrigues, 1996:47) Informal network ties are the primary basis for social identity and are most strongly facilitated by small cohesive groups (Podolny and Baron, 1997). These strong ties are, however, largely credited with conveying redundant, group-specific knowledge; instead it is an individual’s weak ties that are seen to provide access to new information by bridging gaps between groups (Podolny and Baron, 1997). The more
  24. 24. 20 weak ties an individual has therefore, the more valuable their network is likely to be as a source of new knowledge (Podolny and Baron, 1997). Note that social group identity is a distinct field of research different from strategic group identity (Peteraf and Shanley, 1997), which relates to a shared identity by a group of firms within an industry. Whilst social group identity may occur at an inter- organisational as well as an intra-organisational level, it relates to how individuals relate to the shared identity, not the firm as a whole. 2.5.2 Strong and weak ties “Personal networks are your direct lines of communication with the various parts of the organisation. Building your intelligence network means initiating, cultivating, and maintaining these contacts” (Barker, 1994:211). An important distinction in social network theory is made between strong and weak ties. Strong ties bind cliques of individuals together and convey ‘in-group’ knowledge, whereas weak ties bridge cliques so can be a source of new knowledge (Granovetter, 1983). Strong ties lead to redundancy of knowledge because of high degrees of overlapping knowledge. This is due to the fact that strong ties represent people with whom an individual shares a lot in common with, including most likely shared experiences and knowledge; therefore there is little new knowledge that can be gained from close social contacts (Granovetter, 1983, Hansen, 1999). It is argued that innovative or new knowledge is most likely to be gained through weak ties in an individual’s social network (Granovetter, 1983). Hansen (1999) makes the distinction between searching for (looking and identifying) and sharing of (transferring and incorporating) knowledge. While weak ties may cause problems for the transfer of complex knowledge, they can provide important search benefits in social networks. Weak ties reduce the likelihood of redundant knowledge and act as bridges to other organisational units, social networks and hence knowledge (Granovetter, 1983, Hansen, 1999). A large network of colleagues
  25. 25. 21 therefore can be a source of much value for the potential knowledge sharing opportunities. Knowledge that is highly codified – i.e. explicit, is easily communicated and can be transferred via weak ties that may identify it (Hansen, 19999). Non-codified knowledge and knowledge that is complex hence difficult to codify – i.e. tacit knowledge, is far less easily transferred and requires close, frequent contact between units to facilitate the transfer (Szulanski, 1996). The dilemma is that this contact may not exist in the relationship if the identification of the knowledge occurred via the weak ties in an individual’s social network (Hansen, 1999). Hansen (1999) provides a matrix to demonstrate the relationship between the type of knowledge and strength of tie and their corresponding value in the search/transfer process: Tie strength Knowledge Strong Weak Non-codified, dependent Low search benefits, moderate transfer problems Search benefits, severe transfer problems Codified, independent Low search benefits, Few transfer problems Search benefits, few transfer problems Table 6: Search and transfer effects associated with four combinations of knowledge complexity and tie strength (Hansen, 1999:89). Understanding the effectiveness of knowledge networks requires consideration of the relatedness of the knowledge being shared, and the extent of inter-unit relations to facilitate the knowledge search process (Hansen, 2002). Knowledge flows between inter-unit boundaries most easily and effectively if there exist already established relationships (Hansen, 2002; Szulanski, 1996), but these relationships require a high degree of maintenance. The benefits of such relationships therefore are greatest if the knowledge being shared is highly complex or non-codified. Relationships – both direct and indirect – also have the potential to pass on opportunities and information about where knowledge may be obtained; in this sense, they act as intermediaries or ‘boundary spanners’ (Cross et al, 2001) between two disconnected sources (Hansen, 2002). The greater the number of intermediaries however, the greater the potential for distortion of the knowledge being passed on, hence individuals may not be able to rely on only one indirect source as verification may be necessary. The greater the degree of complexity of the knowledge, the greater the potential distortion, hence the
  26. 26. 22 value of indirect (or weak) relations decreases as the number of intermediaries increases, and/or the complexity of the knowledge increases (Hansen, 2002). The cost of maintaining direct or strong relations with someone may therefore be justified if it allows a more effective transfer of knowledge to take place. Factors in forming ties The reduction of uncertainty is a dominant theme in organisational relationships (Hinds et al, 2000). This is achieved in building confidence or trust (Cross et al, 2001; Williams, 2001) in the relationship, which may be achieved in a number of ways. Three mechanisms are particularly influential in network creation (Contractor and Monge, 2002): Transactive memory – who the individual thinks is knowledgeable, or knowing who knows what (Cross et al, 2001); social exchange – where the individual feels they can offer something in exchange; and proximity – where the resource is close to them, and the individual is able to gain access to the resource (Cross et al, 2001). Hinds et al (2002) offers another perspective, that of homophily and reputation. Homophily refers to the tendency for individuals with a lot in common to form relationships and to value each other’s opinions more highly than those of dissimilar people (Lincoln and Miller, 1979 in Hinds et al, 2002 see also Cross et al, 2001; Contractor and Monge, 2002). Reputation is also important because future interactions with an individual are often based on prior experience with them such that positive experiences generate a greater number of future collaborations than do negative ones. Furthermore, social networks or ‘the grapevine’ are an important mechanism for affirming one’s reputation (Hinds et al, 2002). Finally, Co- evolutionary theory suggests that networks will be created on the belief that they will provide a basis for individual enhancement through increased performance and access to scarce resources (Contractor and Monge, 2002). Research question 5: What are the structure and content of social networks in the organisation and how do they affect knowledge sharing?
  27. 27. 23 2.5.3 Communities of practice Communities of Practice are informal, knowledge-based groups of people who have some work-related activity in common (Wenger et al, 2002; Hislop, 2005). The informality of these communities stems from the fact that they emerge from the social interactions that are a necessary part of the work activities that people undertake (Hislop, 2005) and hence are not formalised into a matrix structure within the organisation (Wenger et al, 2002). Communities of practice concept based on two assumptions, the first being that tasks require the use of knowledge which is embedded in the situational context of carrying out the task (Hislop, 2005). The second is that organisational activity is collective in nature and requires the coordination of tasks carried out by groups of people rather than on an individual basis (McDermott, 1999). Thus, there is a collective aspect to knowledge; a degree of ‘common knowledge’ (Kogut and Zander, 1992). As well as this shared knowledge that communities of practice develop, they are also characterised by a sense of shared identity and overlapping shared values about the way work should be carried out (Wenger et al, 2002; Hislop, 2005). Communities of practice by their informal nature are not static, but constantly changing as members join and leave and as circumstances change, forcing members to update their knowledge (Hislop, 2005). It follows also that individuals could be members of more than one community of practice, thus aiding to the flow of knowledge and the potential for intra-group knowledge sharing (Wenger et al, 2002). The knowledge base of organisations therefore can be conceptualised as a ‘community-of-communities’ (Brown and Duguid, 1991). As with knowledge within an individual community, the knowledge between communities will tend to overlap in places so that a degree of common knowledge for the organisation as a whole is developed (Kogut and Zander, 1992). Communities of practice facilitate this process of learning and knowledge sharing in two ways: Firstly, the sense of shared identity and overlapping values allows an easier transmission of the more tacit or ‘sticky’ (Szulanski, 1996) knowledge by making it easier to understand the ‘taken-for-granted assumptions’ (Hislop, 2005) which
  28. 28. 24 underlie this knowledge. Secondly, membership of the community is likely to result in trusting relationships, which foster an environment for knowledge sharing much more effectively. This is represented in the figure below. Figure 4: How communities of practice underpin knowledge processes (Hislop, 2005:65) One of the main disadvantages of communities of practice to knowledge processes within an organisation are that the same shared sense of identity and common values that facilitate sharing within the community may result in an exclusion of ideas from ‘outside’ the community (Wenger et al, 2002; Hislop, 2005). Communities of practice can become cliques; personal relationships may make people reluctant to critique each other and membership may become restricted, both of which can stifle innovation and learning (Wenger et al, 2002). Communities of practice can be a way of managing knowledge as a strategic asset, but should not be launched for their own sake, rather as a way to build the organisation’s overall capacity to learn. Whilst they do not form part of the formal structure of the organisation, there is a degree of formality to the structure and regularity about communities of practice, which distinguishes them from personal social networks (Wenger et al, 2002). Common knowledge Overlapping values Shared identity Allows understanding of values and assumptions which underpin knowledge Creates social conditions conducive to knowledge-sharing Effective knowledge processes • Sharing • Creation • Utilization
  29. 29. 25 2.6 Summary Knowledge is a multi-faceted concept (Winter, 1987 in Birkinshaw et al, 2002), which is not easily articulated and communicated, yet it has the potential to create added value for an organisation, thereby giving them a competitive advantage (Miller, 1998; Cross et al, 2001). A range of factors have been attributed to the transfer of knowledge within an organisation, including organisational culture (Williams, 2001; Garvey and Williamson, 2002), technology (McDermott, 1999; Roberts, 2000), coordinating mechanisms (Kogut and Zander, 1992, 1996) and social networks (Granovetter, 1983; Hansen, 1999, 2002). It is generally accepted however, that no single factor can be considered independently and that it is the dynamic interplay of them all that needs to be understood in order to achieve effective knowledge sharing (Garvey and Williams, 2002). “The managerial role is therefore to encourage and facilitate the type of communication and social interaction processes that will allow effective perspective making and taking to occur” (Hislop, 2005:38). The following sections attempt to uncover the relative importance of all of the issues discussed so far. Section 3 describes the methodological approach to some qualitative research carried out within Consultancy A to find out about its knowledge sharing practices. This is then followed by an analysis and discussion of the results, and recommendations for how knowledge transfer could be improved. This research and analysis will be guided by the research questions identified in this section, which are repeated below: 1. What are the methods and influencing factors of sharing effective team development knowledge? 2. What role does the culture of the organisation play in promoting and enabling knowledge sharing? 3. How does the use of IT affect knowledge sharing in the organisation? 4. What are the coordinating mechanisms for knowledge sharing in the organisation? 5. What are the structure and content of social networks in the organisation and how do they affect knowledge sharing?
  30. 30. 26 3. Methodology and data analysis The research for this dissertation is based on in-depth interviews and a grounded theory approach (Easterby-Smith et al, 2002; Locke, 2001; Priest et al, 2002; Seale, 1999), with the aim of generating findings through the comparative analysis of interviewee responses. This section outlines the key methodological issues and the data analysis carried out. The research design is presented in four stages; first there is a brief overview of appropriate philosophies of research design, which is focussed on the differences between positivism and social constructivism. Next, consideration is given to the type of research style adopted (integrative ethnography), before moving on to a discussion of the methodology (grounded theory) and methods used (in-depth interviewing). Following this, the process of data analysis is described and finally limitations of the study are discussed. 3.1 Research design Quantitative research designs are particularly useful for examining the relationships between inputs and outputs in organisational work. They do not, however, tell us why a particular action leads to a corresponding outcome, or why it may or may not be successful. This is due to a lack of ‘inside’ or ‘local’ knowledge (Brown and Dugoid, 2000 in Miller, G et al, 2004). Qualitative organisational research “focuses on the details of workers’ shared organisational knowledge and their everyday actions and interactions” (Miller, G et al, 2004:327). It can be used to describe and explain the social conditions under which work is done and has the ability to tap into local and unofficial knowledge not found in any documents or manuals, which is passed on by ‘stories’ and social interaction. Qualitative research is a flexible, iterative process; researchers can respond to unanticipated opportunities (or problems) that arise. The emphasis is on discovery and there need be no assumption of advanced knowledge of what will be important when approaching an area of interest. Preliminary analysis of data further guides future data collection. This echoes Glaser and Strauss’ (1967 in Miller, G, 2004) proposal for
  31. 31. 27 grounded theory – that qualitative data can be used to develop grounded applications of qualitative knowledge. 3.1.1 The philosophy of research design: Positivism vs. Social Constructionism Under the positivist philosophy, the social world exists externally and should be measured through objective methods, rather than inferred subjectively. It is based on an ontological assumption that reality is external and objective; and an epistemological assumption that knowledge is only significant if based on observations of this external reality. The implications of this for research methods are for example, that the observer must be independent of what is being observed, and that concepts should be ‘operationalised’ to enable facts to be measured quantitatively (Easterby-Smith et al, 2002). Social Constructionism was developed as a paradigm in reaction to positivism. In the SC philosophy, reality is not objective and exterior, but is socially constructed and given meaning by people. It focuses on the ways people make sense of the world, especially through sharing their experiences. Rather than doing this through objective measurement, Social Constructionism is an interpretive method (Habermas, 1970). The task of the researcher is to appreciate the different ‘constructions’ and meanings that people place upon their experiences. “One should therefore try to explain why people have different experiences, rather than search for external causes and fundamental laws to explain their behaviour” (Easterby-Smith et al, 2002:30). The methods of Social Constructionism are in direct contrast with the features of positivist research. The main assumptions of this study are the following: 1. Project teams are formed out of a combination of various social actions 2. By analysing the meaning of these social actions, it will be possible to understand the social process that shape project teams 3. Knowledge sharing within the organisation needs to be interpreted within the context of the culture and structure of the organisation.
  32. 32. 28 3.1.2 Research Style Once an epistemological stance to the research project has been taken, the researcher is faced with the decision of how to go about actually collecting the data (Dodier and Baszanger, 2004; Easterby-Smith et al, 2002). The style adopted will reflect such choices as whether to collect overtly or covertly and whether to become involved with the research subjects, or remain detached. Easterby-Smith et al (2002) describe three research styles that are compatible with a social constructivist philosophy. Co-operative inquiry People have the ability to be ‘self-directing’ and to choose how they will act and give meaning to their own experiences. “Co-operative inquiry not only focuses on the experiences and explanations of the individuals concerned, it also involved them in deciding in the first place what questions and issues are worth researching” (Easterby- Smith et al, 2002). In-depth studies In-depth studies are based on direct observation and personal contacts, generally through interviews in a single organisation, but from a number of individuals, over a period of time. The study may include live observations and retrospective accounts of what happened and the unit of analysis is either the individual or specific events. Grounded theory Theory is developed through comparison and observation, with ‘precisely articulated methods and presuppositions’ (Easterby-Smith et al, 2002:46). Glaser’s (1978; 1992 in Easterby-Smith et al, 2002) belief is that research should proceed with no presuppositions to allow ideas to ‘emerge’. Strauss (1987 in Easterby-Smith et al, 2002) however, advocates familiarisation with prior research and the use of a structured process to make sense of the data. The advantage of a hypothesis testing approach is initial clarity about what is being investigated, but it cannot provide the same depth of new insights and flexibility as the traditional grounded approach (Easterby-Smith et al, 2002:46).
  33. 33. 29 Figure 5 below is a graphical representation of some of the research designs available to researchers based on the positivist-social constructivist and the detached-involved dimensions. Figure 5: Matrix of research designs (Easterby-Smith et al, 2002:57) “Although there is a clear dichotomy between the positivist and social constructionist world views, […] the practice of research involves a lot of compromise between these pure positions” (Easterby-Smith et al, 2002:57). The approach taken for this research reflects all three of the styles described above; it utilised co-operative inquiry by allowing interviewees to talk freely and propose their own questions around the topic which was loosely defined for them, thus helping to uncover the true richness of the issue. The study was in-depth in that the researcher was able to observe the formation of a number of project teams directly and knew the participant personally before research commenced. Having been a member of the organisation for some time prior to commencing research, the researcher was also able to combine retrospective accounts with live observations. None however describes fully the relationship that was had with the research subjects, which can be seen as ethnographic. Survey research Quasi-experimental design Case method (Yin) Ethnography Experimental design Action research Grounded theory Case method (Stake) Co-operative inquiry OntologyResearchstyle Detached
  34. 34. 30 A study becomes ethnographic when the fieldworker connects the facts observed with the specific features of the ‘backdrop’ against which these facts occur. Not all ‘in situ’ studies are field studies; empirical studies which are “resolutely grounded in a specific context” (Dodier and Baszanger, 2004:12) can be considered ethnographic. Ethnographic study is furthermore “embedded in a field that is limited in time and space” (Ricoeur, 1984-88 in Dodier and Baszanger, 2004). Integrative ethnography proposes a ‘monographic totalisation’. The fieldworker shares the views of ‘natives’ through subjective experience by “infiltrating the expressional universe of the other” (Clifford, 1983: 100 in Dodier and Baszanger, 2004). In other words, the researcher becomes a fully integrated member of the organisation in order to study it from the inside and from the perspective of a ‘native’ member. It is important to strike a balance between entering and becoming part of the group in order to gain access and an empathetic understanding, whilst also maintaining an appropriate distance in order to objectively analyse the situation. The researcher was first and foremost a member of the organisation at the time the research was carried out and leveraged this position in order to gain access to the data sought. This position allowed many of the barriers to collecting data for management research, such as access to the organisation and personnel and issues of trust to be overcome. Furthermore, as a member of the organisation, the researcher was able to reflect on the issues raised by the interviewees from the same perspective as they saw them. 3.1.3 Grounded theory Grounded theory originated as an alternative to the positivist paradigm, in which data is collected to verify a theoretical position. Instead, grounded theory emphasises the “inductive generation of theory from data” (Seale, 1999:91). It has its conceptual orientation in symbolic interactionism (Blumer, 1969 in Priest et al, 2002). “Symbolic interactionism holds that human beings are acting rather than just responding beings and that human action is purposeful and based on the meanings that the individual has for them” (Nusbaum and Chenitz, 1990 in Priest et al, 2002).
  35. 35. 31 The implication of this ontological basis is that traditional research methods may not be able to capture the appropriate data, as this is required to be collected in the ‘natural context’ via means such as interviews and observation. The grounded theory approach provides a means to do this through an inductive process of examination (Rennie et al 1988 in Priest et al, 1999). Theoretical statements become convincing because they are understood/explained in terms of recognisable life experiences (Seale, 1999). According to Charmaz (1983 in Easterby-Smith et al, 2002), the emphasis of grounded theory on the process of discovery and theory development results in certain characteristics of grounded theorising, these being (Charmaz, 1983:110-111 in Easterby-Smith et al, 2002): • Data collection and analysis proceed simultaneously; • Processes and products of research are shaped by the data and not by preconceived frameworks; • Does not follow the traditional ‘check and refine’ approach to categories that emerge; • Making sense of social life is itself a process, thus grounded theory is not aiming for an ultimate and final interpretation. “Grounded theory’s distinctive features, as initially presented, are its commitment to research and ‘discovery’ through direct contact with the social world studied coupled with a rejection of priori theorising” (Locke, 2001:34). This does not mean that researchers should dispose of prior hypothesising and familiarisation with existing theory (Strauss, 1987 in Easterby-Smith, 2002). The goal of grounded theory is to enable researchers to generate theory rather than simply describing the ‘social worlds’ being studied. In this sense it is distinguished from its traditional Symbolic Interactionist origins (Locke, 2001).
  36. 36. 32 The grounded theory style of research is particularly well suited to social processes, which are at the centre of process oriented theories that look at the dynamics of human action in organisations and of activities over time (Locke, 2001). Process is defined as “a sequence of individual and collective events, actions and activities, unfolding over time in context” (Pettigrew, 1977:338 in Locke, 2001). Identification of ‘generic social processes’ could lead to theories that capture action unfolding; e.g. the ‘becoming’ process and the ‘deciding’ process. These can be seen as Basic Social Processes or BSP’s (Glaser, 1978 in Locke, 2001). 3.1.4 Methods “Acceptance of a particular epistemology usually leads the researcher to adopt methods that are characteristic of that position” (Easterby-Smith et al, 2002:33). As an endeavour in social constructionist management research, qualitative interviewing has been undertaken in order to uncover not only the issues involved, but the meanings these hold for the respondents in order to place them in context (Miller, G, 2004; Holstein and Gubrium, 2004). The research has also relied on direct observations, retrospective accounts (Easterby-Smith et al, 2002) and the researcher’s own experiences as a member of the organisation. Interviews can provide access to the meanings people attribute to their experiences and social worlds (Miller, J, 2004). “Interactionist research starts from a belief that people create and maintain meaningful worlds. [This does not assume] the existence of a single encompassing obdurate reality” (Charmaz, 1995: 62 in Miller, J, 2004). The strength of qualitative interviewing is its capacity to “access self-reflexivity among interview subjects” (Miller, J, 2004:130). This increases the likelihood of finding the ‘collective story’ (Richardson, 1990 in Miller, J, 2004), including the views of those marginalised by the cultural story based on the dominant group, view or stereotype.
  37. 37. 33 3.2 Data collection The data for this study was collected in June 2004, though the researcher’s time in the organisation from which personal experiences can be drawn on extends almost a year prior to this date. The formal research consisted of open-ended, one-on-one interviews with seven senior consultants (across three levels of seniority) from four different departments. Each respondent was at a sufficient level of seniority to be responsible for managing project teams and had more importantly done so previously. A further interview was also conducted with the head of a proposal development team, which was an innovative approach that one department had taken to the development of proposals, in order to gain some insights into the ability to access knowledge ‘owned’ by project managers. The researcher was also privy to observing the process of proposal writing, team selection and project management directly whilst working for the organisation and have been able to review company literature and documentation relevant to this study Permission to utilise all of the data collected in this study and to comment on the internal workings of the organisation have been granted on the condition of anonymity and confidentiality, which has been granted to the individual interviewees as well as the organisation itself, which is why the name of the organisation does not appear anywhere in this document. Generalising from qualitative data can be difficult, and whilst attempts have been made to be comprehensive in interviewing individuals from a range of ranks and departments, it is recognised that the sample is still small. The researcher is confident however that this will not affect the validity of the findings for the organisation in question, since the interviews were conducted in-depth so should be strong in ‘naturalism’. With regards to applicability to other organisations, transferability can be achieved if full details of the context of events observed are given (Lincoln and Guba, 1985 in Seale, 1999). Ideally, details are needed about the ‘sending’ and ‘receiving’ context;
  38. 38. 34 otherwise external validity is weakened and generalisation from one place to another or from earlier to later may not be possible. This is not possible due to the confidentiality assurance that has been given, however, since this study has been undertaken specifically in the context of the one organisation, generalisation is not important as there is no concern for applying findings elsewhere (Seale, 1999). 3.3 Data analysis Analysis of qualitative data “requires both a clear explanation of how the analysis was done and conclusions reached, and a demonstration of how the raw data was transformed into meaningful conclusions” (Easterby-Smith et al, 2002:117). The issues associated with data analysis are related to the differences between positivism and social constructionism. The SC perspective sees little distinction between data collection and analysis and interpretation. Under the positivist approach however, there is a clear distinction. From this, there are two distinct ways of analysing qualitative data: Content Analysis (positivist) and Grounded Analysis (Easterby- Smith et al, 2002). As stated already, The researcher has followed a Social Constructionist approach to the research for this dissertation; hence the process of data analysis described below is that of grounded theory, or grounded analysis. With qualitative data, the structure for analysis has to be derived form the data. This involves systematically analysing it to tease out themes, patterns and categories. Glaser and Strauss (1967) were interested in the development of theory and how this could be achieved by closely linking theory to the data from which it was generated using a method of ‘constant comparative analysis’ (Easterby-Smith et al, 2002:122). “Research should be used to generate grounded theory, which ‘fits’ and ‘works’ because it is derived from the concepts and categories used by social actors themselves to interpret and organise their worlds” (Jones, 1987:25 in Easterby-Smith et al, 2002:122). Quantitative methods of research involve attempts to classify the data in order to define relationships and meanings from it about how respondents view and come to
  39. 39. 35 terms with the world (Basit, 2003; Hogg, 2004). The analysis of qualitative data consists of at least three stages; data reduction, data display and conclusion drawing and verification (Miles and Huberman, 1994), though other definitions exist, see for example Spiggle (1994). “During data analysis, the research task is to bring a theoretical scheme to bear on the data or to develop a theoretical scheme that conceptually accounts for the data” (Wallendorf and Brucks, 1993: 350 in Hogg, 2004). Analysis and interpretation of data is carried out “in order to generate conclusions, insights, meanings, patterns, themes, connections, conceptual frameworks and theories” (Hogg, 2004). 3.3.1 Grounded theory process Analysis and collection of data is achieved by a process of ‘constant comparative method’ (Glaser and Strauss, 1967 in Priest et al, 2002). This is an iterative process involving simultaneous collection and analysis of data, the aim being to generate theory that is ‘grounded’ in the ‘natural context in which the inquiry takes place’ (Strauss and Corbin, 1994 in Priest et al, 2002). As an analytical approach, grounded theory utilises coding to organise, analyse and interpret the data, of which there are three sets; open coding, axial coding and selective coding (Strauss and Corbin, 1998). Open coding is the initial and most basic stage of coding, whereby the data is decompiled, categorised and compared, and the researcher attempts to interrogate the data in order to uncover new insights and discoveries. This stage is essentially the constant comparison method as originally pioneered by Glaser and Strauss (1967 in Priest et al, 2002). The aim of categorising the data, or concepts from the data, is important in that these categories “have conceptual power because they can pull together other groups of concepts or sub- categories” (Strauss and Corbin, 1998 in Priest et al, 2002). Axial coding is the process that allows this power of categories to be achieved and is a way to describe how connections between categories and sub-categories can be achieved. Patterns in the data will begin to emerge, allowing the researcher to begin to hypothesise about the nature of relationships between phenomena. Finally, selective
  40. 40. 36 coding consists of singling out a few key categories to which all the other categories can link into, allowing a conceptual framework to be developed. (Priest et al, 2002) A core idea of grounded theorising is a method of constant comparison, which has four stages (Seale, 1999): • Incidents in data are coded into categories. Different incidents in the same code can be compared so that the common properties of the category can be identified • Categories and their properties are integrated based on apparent relationships • ‘Theoretical saturation’ occurs when no new properties of categories and no new interactions can be found • The theory is written up. 3.3.2 Coding Coding involves condensing the bulk of the data into analyzable units by creating categories; it forms a part of the process of analysis; not the analysis itself. The analytical procedure of coding establishes links of various sorts. Codes link different segments or instances in the data. These are brought together as categories having some common property, “coding thus links all those data fragments to a particular idea or concept (Coffey and Atkinson, 1996:27). These concepts are then related to one another and the analysis lies in thinking about these linkages. There are two distinct methods for defining categories (Miles and Huberman, 1994); an inductive approach allows categories to emerge from the data as it is collected and analysed, for example Glasser and Strauss’ (1967) Grounded approach. The alternative is a deductive approach, which involves creating a provisional list of categories based on the researcher’s conceptual framework from their own familiarity with the topic under study (Basit, 2003). For the purposes of this study, the labels and categories were allowed to emerge from the data itself as in the Grounded Theory approach. From the data collected, six main categories were identified as important to the transfer of knowledge within Consultancy A:
  41. 41. 37 1. The business model (BM) 2. Sources of information (SI) 3. Social networks (SN) 4. Organisational structure (OS) 5. Culture (C) 6. Influencing factors (IF) The creation of categories however, reflects our intended area of analysis (Dey, 1993, in Basit, 2003), therefore when deciding upon categories, “we have to take some account of how this category will ‘fit’ into this wider analytic context” (Basit, 2003). In order to do this therefore, each category that ‘emerged’ from the data was assigned to at least one of the research questions that were set from the literature review (referred to as ‘Section’ in the tables). In so doing, the data can be made sense of in light of the theory and also reflect on the theory in light of the data. The full list of categories and labels identified is given in the appendices1 , along with the interview notes2 and coded data from these notes3 , however a sample is provided below just for reference: No. Data Label(s) Category Section 5 Practice objectives will generally be centred on delivering a high standard of work and adding value to the client cd BM 1 In this example, ‘cd’ stands for client delivery, and ‘BM’ relates to the Business Model. The data therefore, represents the importance of client delivery as determined by the business model. This in turn reflects question one derived from the literature review. 1 See appendix two 2 See appendix one 3 See appendix three
  42. 42. 38 3.4 Limitations Weaknesses of the grounded theory approach are not unique to it, but can be heightened when applied to a corporate setting and/or when research subjects are in positions of power. In particular, there can be difficulties in establishing a workable data gathering role and moving across units within the organisation (Bulmer, 1988 in Locke, 2001). Politics and ethical issues may become an issue, especially when conducting research on managers (Easterby-Smith, Thorpe and Lowe, 1991 in Locke, 2001). Finally, there may be issues of access, for example if data gathering involves participant observation. There are also logistical problems; most notably how to coordinate the process of simultaneous data gathering and analysis. This point may be linked to issues of access if it is necessary to keep entering and leaving the organisations (Locke, 2001). Consequently, researchers aiming for a grounded approach often have to settle for an approach that utilises many of the analytical procedures of grounded theory, but without developing any particularly substantive theory (Priest et al, 2002). Interviews too have their limitations, though the researcher has overcome some of them; in particular, the interviewee’s subjective view (Miller and Glassner, 2004), which as a member of the organisation the researcher was able to relate to and a reluctance of respondents to respond to the interviewer (Miller and Glassner, 2004), which the researcher did not suffer from having already established a relationship with participants through working with them. With regards to this specific study, it would have been beneficial to survey a larger sample, though it is felt that sufficient repetition in answers was beginning to be seen to have confidence in the results. Also, multiple coders would ideally have been used for data verification, but academic constraints did not allow for this.
  43. 43. 39 4. Findings and Discussion. The discussion which follows has been presented to answer the research questions posed from the literature review. In this section, the first person has been used to reflect the researcher’s personal involvement with the organisation. 4.1 What are the methods and influencing factors of how effective team development knowledge is shared? “the completion and quality of the job is of primary importance” (Respondent A) “success on jobs and getting onto jobs requires you to network” (Respondent D) “trust and knowledge take preference over who on paper appears best” (Respondent E) Overwhelmingly, the respondent data suggest that social networks are the primary source for information about possible resources for teams. It is through this means that most assignment managers will learn (and disseminate) their knowledge about how to put together teams for different kinds of projects. The second most important route for knowledge sharing was with the resource coordinator, which often will occur as part of one’s network, but also represents a formal mechanism for coordinating the knowledge sharing process. Finally, formal information systems are the least used means for accumulating knowledge about resources within the organisation. The data also suggest a number of contextual factors that influence knowledge sharing, related to the motivation of the assignment manager to seek it. These include such things as size of job (Respondent F), strength and quality of own network, and risk of successfully completing the job with/without external input (Respondent B). The term ‘trade-off’ occurred frequently within the interviews conducted to indicate a
  44. 44. 40 number of scenarios related to knowledge sharing. For example, there is the trade off between the ‘preferred team’ and those that are actually available to start the project (Respondent D). Also, there is the trade off between the ideal team based on required skills and experience, and the actual team which may have to include fewer people covering more areas of expertise for practical reasons such as manageability and due to the social need to have a compatible team in place (Respondent F); i.e. one which is comfortable/experienced with working together. The specific knowledge being sought, i.e. about suitability of individuals for client projects, is inherently difficult to transfer because it is so dependent on contextual factors. Aside from the difficulty in describing the environmental conditions of previous projects completed by an individual (Szulanski, 2004), there is also a personal element related to how well the personalities of prospective team-mates will match. For this reason, assignment managers will always look to their own networks of contacts first because these are the individuals which they know most about and therefore can be most confident about their suitability (Respondent G). Recommendations will be accepted according to how well they know (and trust) the individual making the recommendation (Respondent C), as this reflects how similar their understanding of the social factors at stake is likely to be. 4.2 What role does the culture of the organisation play in promoting and enabling knowledge sharing? “Employees are conditioned into networking” (Respondent D) “The culture is one of enlightened tit-for-tat in that it is assumed that you don’t hold back and other will do the same and the realisation that it is more important to deliver the job to the best possible standards” (Respondent D) “There is a sub-organisational structure consisting of teams of people who are familiar with working with one another” (Respondent F)
  45. 45. 41 “There is a culture/mentality and an expectation for people to be self-starters” (Respondent G) From the interview data, it seems that the culture of Consultancy A has a very big role to play in the knowledge sharing process. For one thing, there is an expectancy that individuals will network and share information (Respondent D), and this is reflected in the formal structures of the organisation (Respondent C) such as recruitment, appraisal systems, and promotion considerations. A number of respondents made reference to recruiting the right kind of people, and networking being assumed to be an “innate, not learned ability” (Respondent G). Furthermore, appraisals will often consider one’s success at networking and the use of peer review acts to encourage people to get to know one another and cooperate. Plus, one of the criteria for consideration for promotion to partner involves recommendations from a specific number of people from outside one’s own practice. These formal systems help to underline the cultural importance of networking which the survey respondents cited and which I observed directly during my time with the organisation and supports the view of the academic literature that a culture of learning must be in place to support the structures in place to facilitate knowledge transfer (Garvey and Williamson, 2002). More specifically to do with disseminating assignment manager’s knowledge about company resources (in the form of people), the reliance on social networks is evidence of a prevalence of a culture of ‘knowing who knows what’, or ‘Know-who’ (Lundvall and Johnson, 1994 in Roberts et al, 2000), and the predominant emphasis on networking within the organisation leads to these social networks being the primary mechanism for sharing resource knowledge. Within Consultancy A therefore, we can see that the culture of the organisation is as Sackman (1992) suggested, directly influencing the extent of cooperation between individuals. The culture of the organisation also affects peoples’ attitudes to learning and knowledge sharing (Miller, 1998), and again I can see evidence of this within Consultancy A. The continual emphasis on creating value and dominant theme of social networks throughout the organisation leads people to see sharing and learning from each other as a normal, every day part of the job. Thus, when a consultant is
  46. 46. 42 asked for advice on staffing a job, a whole range of factors are informing them to volunteer knowledge. This is an important aspect of the culture of Consultancy A, because it is fundamental to overcoming a negative incentive of the business model to hoard such knowledge for practice gain. The business model alone has the potential to encourage practices to focus on achieving only their own performance targets, which would have a detrimental affect on the organisation’s ability to deliver a whole job to the required standard. The culture of collaboration and tit-for-tat relationships (Respondent H) overcomes this by emphasising the benefits of reciprocal relationships; i.e. creating win-win situations. Context specific or ‘situated knowledge’ (Sole and Edmondson, 2002 in Hislop, 2005), such as who is good at certain tasks and how to get access to certain information, is not a very big issue for the organisation, because they still have the overriding organisational culture and characteristics of consulting and the consulting industry to provide a basis for collaboration. It is recognised by some of the respondents however as being more significant for people located outside of the London office and similarly, if working on a project abroad in some instances it is impossible to achieve anything without collaborating with a member of the regional office in that country to gain access to the location specific knowledge and communities of practice required. In general however, the dual emphasis on getting the job done to the highest possible standards and reciprocity in network relationships guards against such activity. 4.3 How does the use of IT affect knowledge sharing in the organisation? “more communication is required to keep everyone aware of the existence of the skills available (and what these skills are useful for)” (Respondent B) “The systems in place for staffing a project team are not strong enough to support the task of putting together a team on their own” (Respondent C) “I would like to see more emphasis on formal networks, methods and procedures” (Respondent H)
  47. 47. 43 Whilst Consultancy A does have a knowledge management/sharing system, it is not heavily relied upon. Resource searches are possible on the company intranet, but this is not a favoured method according to the individuals surveyed, because it fails to provide the ‘richness’ of information required to determine if an individual will actually perform well on a project. In keeping with findings of Contractor and Monge (2002), the use of resource searches does not remove the need for personal contact, partly because in the case of Consultancy A, a search will typically return too many ‘matches’. From my experiences at Consultancy A however, I would certainly agree that ICT can be used to facilitate the social interaction that leads to knowledge sharing (Roberts, 2000; Dixon, 2000). For example, with email and instant messenger services, it is now very easy to stay in touch with someone that you may not be geographically close to. The question however, is what steps need to be taken next to actually achieve the transfer of knowledge, where that knowledge is tacit in nature, since this is often shown to require some physical interaction (Contractor and Monge, 2002). 4.4 What are the coordinating mechanisms for knowledge sharing in the organisation? “Recommendations and personal networks are the preferred method” (Respondent C) “The team that is put together if usually the ‘best fit’” (Respondent D) “It is too difficult to scope a job down to the level of detail of exactly how many hours ideally each different potential person would work” (Respondent F) “How you find staff depends on the size of the job” (Respondent G) “Farming out successful partners to other practices helps to avoid reliance on one practice and kick-start other practices” (Respondent G)

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