MNC strategy, knowledge transfer context, and knowledge flow in MNEs

2019 ◽  
Vol 23 (9) ◽  
pp. 1885-1900 ◽  
Author(s):  
Ajai S. Gaur ◽  
Hongjia Ma ◽  
Baoshan Ge
Keyword(s):  
Knowledge Transfer ◽  
Multinational Corporations ◽  
Knowledge Flows ◽  
Knowledge Flow ◽  
Transfer Of Knowledge ◽  
Firm Level ◽  
Content Type ◽  
Country Level ◽  
Effective Transfer ◽  
Comprehensive Framework

Purpose Cross-border flow of knowledge is fraught with many challenges. The complexity associated with the organization of multinational corporations (MNCs), and the information asymmetry in foreign locations poses particular challenges to knowledge flow. Yet, effective transfer of knowledge is critical for the survival and performance of MNCs. The purpose of this paper is to present a comprehensive framework to understand the difficulties in the smooth flow of knowledge in MNCs. Design/methodology/approach The study is conceptual in nature and is based on an extensive review of the extant literature. Findings This review of the literature suggests that knowledge flow in MNCs is affected by country-level, firm-level and individual-level factors. The authors discuss these in the backdrop of the MNC strategy and the knowledge transfer context. The authors present their theoretical model and discuss the implications for advancing research in this domain. Originality/value This is one of the first papers to present a comprehensive framework to understand knowledge flows in MNCs.

An agent-based model for exploring the impacts of reciprocal trust on knowledge transfer within an organization

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hong Li ◽  
Changhong Li ◽  
Zhan Wang
Keyword(s):  
Knowledge Transfer ◽  
Organizational Structure ◽  
Transfer Of Knowledge ◽  
Sustainable Competitive Advantage ◽  
Content Type ◽  
Agent Based ◽  
Transfer Behavior ◽  
Motivation To Transfer ◽  
Effective Transfer ◽  
The Impact

Purpose The effective transfer of knowledge within an organization is critical for its sustainable competitive advantage. Based on the norm of reciprocity, it can be concluded that individuals’ primary motivation to transfer their treasured knowledge can be summarized as “trust,” that is, the individuals trust their selfless transfer behavior can be reciprocated by the recipients in the future. Design/methodology/approach In this study, a simulation model based on knowledge transfer behavior and reciprocal trust between individuals is built through agent-based modeling and simulation to investigate the factors that influence the efficiency of knowledge transfer within an organization. Findings Experiments are performed to test the impact of reciprocal trust and organizational structure on the efficiency of knowledge transfer. Originality/value The results indicate a significant role of key elements of reciprocal trust and organizational structure, which provides relevant practical guidance for both individuals and organization managers in the context of knowledge transfer.

Knowledge Transfer within Multinational Corporations

2011 ◽  
pp. 1536-1547
Author(s):  
Parissa Haghirian
Keyword(s):  
Knowledge Transfer ◽  
Multinational Corporations ◽  
Empirical Research ◽  
Empirical Studies ◽  
Transfer Model ◽  
Transfer Of Knowledge ◽  
Cultural Aspects ◽  
Transfer Processes ◽  
Effective Transfer ◽  
The Impact

A growing interest in the various aspects of knowledge transfer within multinational corporations has been evidenced by a recent surge in empirical research. Despite the fact that the number of empirical studies investigating various aspects of knowledge transfer within multinational corporations has significantly increased, very few insights into the influence of culture on knowledge transfer, however, have come to light. In fact, the cultural aspects and the individuals involved in the transfer and communication of corporate knowledge within multinational corporations seemed to have been overlooked by researchers. This chapter attempts to fill this gap and investigates the impact culture has upon knowledge transfer processes within multinational corporations. It presents a comprehensive intercultural knowledge transfer model and identifies which aspects of national culture hinder and which aspects foster an effective transfer of knowledge.

Knowledge Transfer within Multinational Corporations

2010 ◽  
pp. 57-68 ◽  
Author(s):  
Parissa Haghirian
Keyword(s):  
Knowledge Transfer ◽  
Multinational Corporations ◽  
Empirical Research ◽  
Empirical Studies ◽  
Transfer Model ◽  
Transfer Of Knowledge ◽  
Cultural Aspects ◽  
Transfer Processes ◽  
Effective Transfer ◽  
The Impact

A growing interest in the various aspects of knowledge transfer within multinational corporations has been evidenced by a recent surge in empirical research. Despite the fact that the number of empirical studies investigating various aspects of knowledge transfer within multinational corporations has significantly increased, very few insights into the influence of culture on knowledge transfer, however, have come to light. In fact, the cultural aspects and the individuals involved in the transfer and communication of corporate knowledge within multinational corporations seemed to have been overlooked by researchers. This chapter attempts to fill this gap and investigates the impact culture has upon knowledge transfer processes within multinational corporations. It presents a comprehensive intercultural knowledge transfer model and identifies which aspects of national culture hinder and which aspects foster an effective transfer of knowledge.

Managing reverse knowledge flow in multinational corporations

2013 ◽  
Vol 17 (5) ◽  
pp. 695-708 ◽  
Author(s):  
Nishant Kumar
Keyword(s):  
Knowledge Management ◽  
Knowledge Transfer ◽  
Multinational Corporations ◽  
Management Practices ◽  
Knowledge Flow ◽  
Location Awareness ◽  
Content Type ◽  
Managerial Attention ◽  
Knowledge Management Practices

Purpose – This study aims to provide insight to the little-researched phenomenon of reverse knowledge flow within multinational corporations (MNCs) and to explain the role of managerial attention in exploiting the prospect of knowledge transfer from subsidiaries located in developing countries. Design/methodology/approach – Existing literature across disciplines has been integrated to provide a clear description of the concept of reverse knowledge flow and managerial attention, in order to explain the role of managerial attention in reverse knowledge transfer activities within MNCs. Two pilot studies were conducted on European MNCs to build the background for this study. Findings – Managerial attention is a key factor in recognising potential source of knowledge within the multinational network, and a prior requirement for knowledge transfer to take place. Attention decisions are partially based on the knowledge source location, awareness/attractiveness, and the strategic importance. Thus, MNCs can adopt managerial practices and control mechanisms to influence the attention of executives and achieve higher knowledge flow from subsidiaries. Research limitations/implications – There is a need to undertake empirical research and in-depth case studies of knowledge management practices using the arguments and framework provided in this article. Practical implications – MNCs can develop mechanisms for overcoming attention biases influence on reverse knowledge flow. The attention based approach can lead to better subsidiary integration and knowledge management practices in MNCs. Originality/value – This study advances the theory on reverse knowledge flow in MNCs by presenting an attention based theoretical framework for effective knowledge transfer.

Differences between inter- and intra-group dynamics in knowledge transfer processes

2017 ◽  
Vol 55 (4) ◽  
pp. 766-782 ◽  
Author(s):  
Motohiro Nakauchi ◽  
Mark Washburn ◽  
Kenji Klein
Keyword(s):  
Knowledge Transfer ◽  
Group Dynamics ◽  
Dynamic Capabilities ◽  
Knowledge Flows ◽  
Organizational Boundaries ◽  
Firm Level ◽  
Content Type ◽  
Group Transfer ◽  
Useful Knowledge ◽  
Treat All

Purpose Knowledge transfer (KT) processes are important for building and sustaining competitive advantages and dynamic capabilities. Prior research often treats KT processes as a firm-level capability, assuming knowledge flows uniformly within a firm. The purpose of this paper is to examine whether such a view is too simplistic because it ignores potential differences between inter-group and intra-group KT processes within a firm. Design/methodology/approach The authors surveyed 137 software development professionals in a large Japanese electronics firm regarding co-workers who acted as critical sources of useful knowledge and the factors that affected KT within and across internal organizational boundaries. Using regression analysis, the authors test the extent to which factors such as the characteristics of the knowledge, the characteristics of the tie, and the characteristics of the network differentially affect KT within internal organizational boundaries vs across them. Findings The authors find that factors such as the accessibility of the knowledge source, network density, and collective teaching all help in transferring knowledge, while knowledge tacitness inhibit such transfers, but that the effect of these properties varies significantly depending on whether KT occurs across group boundaries. Originality/value Existing research on KT within firms tends to treat all such transfers as uniform, with little difference between the dynamics of within-group transfer and between-group transfer. This study establishes key differences in KT between and within organizational groups, demonstrating that managers need to consider internal boundaries when deploying tools and strategies for facilitating knowledge flows.

Minoritynationals

2015 ◽  
Vol 23 (4) ◽  
pp. 277-305 ◽  
Author(s):  
Cormac Mullen ◽  
Jenny Berrill
Keyword(s):  
Multinational Corporations ◽  
Longitudinal Analysis ◽  
Oil And Gas ◽  
Firm Level ◽  
Data Set ◽  
Content Type ◽  
Country Level ◽  
Global Companies ◽  
Novel Method ◽  
Home Region

Purpose – This paper aims to conduct a longitudinal analysis of the patterns of internationalisation of multinational corporations and provide a measure of their degree of globalisation at the firm-level. There is much debate in the literature on the regional nature of the globalisation of multinational corporations (Rugman and Oh, 2013). Design/methodology/approach – The authors use firm-level sales data to analyse the location of sales and patterns of globalisation of 1,276 companies across ten countries and ten industries from 1998-2012. Findings – The results show that while international sales are rising and the proportion of home region-oriented firms is falling, the majority of sales of the companies in our data set continues to be in the Triad, with little growth in non-Triad regions. The authors find one common theme for the majority of countries, an increase in sales to Asia yet concentrated in just four industries, financials, basic materials, oil and gas and technology. Despite an increase in the percentage of host-region, bi-regional and global companies, 62.6 per cent of the firms have not changed multinational classification over the 15-year period, 43.1 per cent have not expanded out of their home region and 16.4 per cent have not expanded out of their home market. The authors find some evidence of liabilities of interregional foreignness at the industry and country level. The authors show regional sales are moving towards matching global economic activity for the 50 most globalised firms in our study but less so for the other firms in our sample. Overall, the results show that the majority of the growth in internationalisation comes from a small minority of firms. Originality/value – The authors make several advances across the literature on internationalisation, including a more in-depth longitudinal analysis of firm-level multinationality than exists to date and a novel method of measuring firm-level globalisation.

Global knowledge transfers through inpatriates: performance management, LMX and embeddedness

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jane Maley ◽  
Timothy Kiessling
Keyword(s):  
Knowledge Transfer ◽  
Performance Management ◽  
Multinational Corporations ◽  
Knowledge Flows ◽  
Global Knowledge ◽  
Content Type ◽  
Member Exchange ◽  
Knowledge Transfers ◽  
Key Variables

PurposeThe study explores inpatriation and the role of performance management (PM) upon knowledge transfer through the theoretical lenses of leader–member exchange (LMX) and social embeddedness theories.Design/methodology/approachThe study adopts a qualitative approach and focuses on inpatriate managers at the headquarters of three large UK healthcare multinational corporations (MNC). The authors were able to collect and analyze 24 interviews, with a focus on our key variables. The authors also conducted interviews with human resource (HR) personnel responsible for global mobility.FindingsThe findings suggest that the inpatriate managers’ willingness to transfer knowledge is contingent on their LMX with their supervisor and embeddedness within the firm. The authors found that good PM is the facilitator.Originality/valueThe critical contribution of the paper is exposing apparent weaknesses in current inpatriate PM practices in contributing to the MNCs' global knowledge flows, and ultimately, firm performance. This study's findings add to the awareness of how MNC knowledge flows transpire and emphasize the importance of rigorous PM practices for MNC knowledge transfer.

Dual relational embeddedness and knowledge transfer in European multinational corporations and subsidiaries

2018 ◽  
Vol 24 (3) ◽  
pp. 519-533 ◽  
Author(s):  
Alberto Ferraris ◽  
Gabriele Santoro ◽  
Veronica Scuotto
Keyword(s):  
Knowledge Transfer ◽  
Multinational Corporations ◽  
Transfer Process ◽  
Ordinary Least Squares ◽  
Transfer Of Knowledge ◽  
Least Squares Regression ◽  
Content Type ◽  
Positive Effects ◽  
Relational Embeddedness

Purpose This paper aims to investigate the relationship between the level of subsidiaries’ internal and external relational embeddedness and the degree of subsidiaries’ knowledge transfer. More specifically, the aim is to explore dual embeddedness of subsidiaries involved in the knowledge transfer process within multinational corporations’ (MNCs) network. Design/methodology/approach The authors empirically analyse 165 European subsidiaries to demonstrate the crucial role of dual relational embeddedness in the transfer of knowledge within MNCs. Data were collected via a close-ended questionnaire and processed through an ordinary least squares regression model. Findings Results show that internal embeddedness directly and positively influences the degree of subsidiaries’ knowledge transfer, whereas external embeddedness does not. Notwithstanding, a higher level of both types of embeddedness – known as dual embeddedness – generates multiplicative and positive effects on the degree of subsidiaries’ knowledge transfer. Practical implications Best practices and relevant knowledge follow a reverse transfer of knowledge from the subsidiaries to the internal MNC network that is facilitated by the relational embeddedness of subsidiaries. This has resulted in developing a dual embeddedness, which introduces new routines and scripts, as well as more relational links. Originality/value The research emphasises the relevance of the knowledge transfer process in multiple directions, evoking the central role of dual-embedded subsidiaries.

scholarly journals Organizational structure and knowledge-practice diffusion in the MNC

2014 ◽  
Vol 18 (4) ◽  
pp. 710-727 ◽  
Author(s):  
Nathaniel Lupton ◽  
Paul Beamish
Keyword(s):  
Knowledge Transfer ◽  
Organizational Structure ◽  
Multinational Corporations ◽  
Knowledge Exchange ◽  
Formal Structure ◽  
Control Mechanisms ◽  
Transfer Of Knowledge ◽  
It Services ◽  
Structured Interviews ◽  
Content Type

Purpose – This study aims to examine the interaction of formal and informal cross-border knowledge-sharing practices of four large multinational corporations (MNCs) in aerospace, software, IT services and telecommunications industries. The goal was to determine the manner in which coordination and control mechanisms facilitated knowledge transfer. Design/methodology/approach – Case studies comprised secondary data and semi-structured interviews with corporate headquarters and subsidiary managers in large MNCs conducted in the USA, Canada, Mexico, China, India and Eastern Europe. Findings – The primary finding of this study is that knowledge transfer mechanisms arise as a result of both formal and informal structures of the MNC. Formal structures which create either mutual dependencies or occasions for knowledge exchange facilitate transfer. Formal structure which inhibits knowledge transfer can be overcome by knowledge brokers and evaluation metrics. Research limitations/implications – These findings suggest that knowledge transfer is more informal than formal, but that MNC headquarters does play a role, intended or not, through shaping the interdependencies among geographically distributed units. Managers should be mindful of both the manner in which tasks and the organization are structured, as these have an indirect impact on the development of knowledge channels. Originality/value – This paper investigates the role of organizational structure and its effect, both intended and unintended, on the transfer of knowledge-based practices. While knowledge transfer has been heavily researched, this study examines the phenomenon at a finer-grained level of analysis.

Knowledge transfer roles of subsidiaries in MNCs’ networks

2019 ◽  
Vol 29 (4) ◽  
pp. 329-346 ◽  
Author(s):  
Cigdem Baskici
Keyword(s):  
Knowledge Transfer ◽  
Single Case ◽  
Research Question ◽  
Hierarchical Structures ◽  
Knowledge Flows ◽  
Consumer Electronics ◽  
Knowledge Network ◽  
Content Type ◽  
Knowledge Based

Purpose Although there have been a considerable number of studies regarding subsidiary role typology in multinationals’ management literature, there appear to be few studies that consider knowledge-based role typology from the network-based perspective. The purpose of this study is to fill this gap and extend the study of Gupta and Govindarajan (1991). Thus, the study focuses on answering the following research question: Do subsidiaries have different roles in terms of knowledge flows within a multinational company (MNC)? Design/methodology/approach This empirical study has been carried out as an explorative single case study. An MNC with 15 foreign subsidiaries headquartered in Turkey, which operated in the manufacturing of household appliances and consumer electronics, has been selected as the case. Knowledge transfer is analyzed in this MNC from the network perspective. Findings Four role typologies are detected for subsidiaries of the MNC: collector transmitter, collector diffuser, converter transmitter and converter diffuser. Research limitations/implications Findings of this study are specific to this case. Testing the findings in a sample consisting of subsidiaries of MNCs producing transnational products may contribute to the generalizability of these roles. Practical implications This study offers potentially important findings for MNC managers to use. First, in this study, knowledge flows' route could be defined within MNCs’ dual network. Second, role typologies could inform MNC managers to design their MNCs’ knowledge network. Originality/value The suggested typologies are expected to more accurately define the roles of subsidiaries within contemporary MNCs which are accepted to be transformed from hierarchical structures to network-based organizations.

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