Interpersonal cross border knowledge transfer within the multinational enterprise: Subsidiary power, intra-MNE competition and cultural intelligence

<p>Cross border knowledge transfer is not only a major activity of multi-national enterprises (MNEs), but also the very reason for their existence. Most of the literature has investigated cross-border knowledge transfer at the firm level - with the headquarters or the subsidiaries as the actors. However, the action of knowledge transfer occurs between people within organizations but not between amorphous organizations. To account for the heterogeneous, independent individual behaviour, which may not always align with organizational objectives, I investigate interpersonal cross-border knowledge transfers (knowledge seeking and sharing) between subsidiaries in an MNE. Based on the Social Identity Theory (SIT) insights, my proposed conceptual model hypothesised the impact of subsidiary power on interpersonal knowledge seeking and sharing being mediated by organisational identity of the individuals. It also includes two boundary conditions, intra-MNE competition and cultural intelligence, due to which knowledge transfer outcomes are likely to vary. The proposed conceptual model is tested using a questionnaire survey data from 333 employees from 40 R&D subsidiaries of foreign MNEs in India. Before analysing the data with Conditional Process Analysis using the PROCESS macro within SPSS, a Confirmatory Factor Analysis was conducted with the help of AMOS. The findings suggest that subsidiary power has a significant direct effect on knowledge sharing and an indirect effect on knowledge seeking. The results show that when it comes to seeking knowledge from another subsidiary, subsidiary power influences employees’ seeking behaviour due to the organizational identification of employees. Whereas, although the decision to share knowledge is influenced by subsidiary power, it is due to factors other than identification. Further, cultural intelligence is found to moderate the indirect effect on knowledge seeking and intra-MNE competition moderates the indirect effect on knowledge sharing. My study makes three key contributions. Firstly, I bring in SIT insights to the knowledge governance approach (KGA). I have argued and proposed identity based KGA mechanisms such as subsidiary power and intra-MNE competition which influence individual level knowledge transfer. Such mechanisms (although not governance mechanisms per se) can be used by the subsidiary to govern individual knowledge exchanges across the border. Secondly, I contribute by examining two boundary conditions for the subsidiary power and interpersonal knowledge transfer relationships. This explains under what conditions the effect of subsidiary power is strengthened or weakened. Finally, by conducting the study in the context of India, which is fast emerging as a R&D hub for MNEs from different countries, the study provides insights to employees’ knowledge exchange behaviour which is crucial for knowledge transfers within the MNEs and for their success.</p>

Interpersonal cross border knowledge transfer within the multinational enterprise: Subsidiary power, intra-MNE competition and cultural intelligence

<p>Cross border knowledge transfer is not only a major activity of multi-national enterprises (MNEs), but also the very reason for their existence. Most of the literature has investigated cross-border knowledge transfer at the firm level - with the headquarters or the subsidiaries as the actors. However, the action of knowledge transfer occurs between people within organizations but not between amorphous organizations. To account for the heterogeneous, independent individual behaviour, which may not always align with organizational objectives, I investigate interpersonal cross-border knowledge transfers (knowledge seeking and sharing) between subsidiaries in an MNE. Based on the Social Identity Theory (SIT) insights, my proposed conceptual model hypothesised the impact of subsidiary power on interpersonal knowledge seeking and sharing being mediated by organisational identity of the individuals. It also includes two boundary conditions, intra-MNE competition and cultural intelligence, due to which knowledge transfer outcomes are likely to vary. The proposed conceptual model is tested using a questionnaire survey data from 333 employees from 40 R&D subsidiaries of foreign MNEs in India. Before analysing the data with Conditional Process Analysis using the PROCESS macro within SPSS, a Confirmatory Factor Analysis was conducted with the help of AMOS. The findings suggest that subsidiary power has a significant direct effect on knowledge sharing and an indirect effect on knowledge seeking. The results show that when it comes to seeking knowledge from another subsidiary, subsidiary power influences employees’ seeking behaviour due to the organizational identification of employees. Whereas, although the decision to share knowledge is influenced by subsidiary power, it is due to factors other than identification. Further, cultural intelligence is found to moderate the indirect effect on knowledge seeking and intra-MNE competition moderates the indirect effect on knowledge sharing. My study makes three key contributions. Firstly, I bring in SIT insights to the knowledge governance approach (KGA). I have argued and proposed identity based KGA mechanisms such as subsidiary power and intra-MNE competition which influence individual level knowledge transfer. Such mechanisms (although not governance mechanisms per se) can be used by the subsidiary to govern individual knowledge exchanges across the border. Secondly, I contribute by examining two boundary conditions for the subsidiary power and interpersonal knowledge transfer relationships. This explains under what conditions the effect of subsidiary power is strengthened or weakened. Finally, by conducting the study in the context of India, which is fast emerging as a R&D hub for MNEs from different countries, the study provides insights to employees’ knowledge exchange behaviour which is crucial for knowledge transfers within the MNEs and for their success.</p>

Friend or foe? Co-opetition and entrepreneurial networking

We study the formation of an entrepreneurial network in an environment, in which entrepreneurs who are contesting with each other for the development of a new venture have the possibility to collaborate. On the one hand, such bilateral knowledge collaborations are beneficial because they allow the integration of external knowledge. On the other hand, external knowledge collaborations reduce an entrepreneur’s incentive to invest in her internal knowledge. We analyze this trade-off and show that if the knowledge transfer between collaborating partners is complete, the only stable entrepreneurial network is one with exactly one collaboration of each entrepreneur. If, however, knowledge transfers are only partial, entrepreneurial networking becomes more important and entrepreneurs form more knowledge collaborations. Moreover, internal or external knowledge spillovers reduce the incentives to form knowledge collaboration. These results have several practical implication for entrepreneurs and managers of small- and medium-sized enterprises (SMEs) in their pursuit to better understand factors that influence knowledge collaborations with competitors and to devise their co-opetition strategy.

The differentiated role of organizational ambidexterity and organizational innovation in the subsidiary reverse knowledge transfer process

Purpose This paper underscores how organizational ambidexterity and organizational innovation play differentiated roles in the subsidiary reverse knowledge transfers (RKT). The authors argue that both organizational ambidexterity and organizational innovation play a positive but differentiated role in the RKT process in that the former positively influences subsidiary knowledge creation, whereas the latter positively influences subsidiary knowledge transfers. Design/methodology/approach Data were collected from 289 foreign subsidiaries operating in Brazil. Hypotheses were developed and tested by applying partial least squares structural equation modeling. Findings The results supported the hypotheses and showed that organizational ambidexterity promotes knowledge creation, and that organizational innovation facilitates knowledge transfers. Research limitations/implications The paper offers implications with regard to drivers of subsidiary investments and actions of subsidiary managers vis-à-vis the subsidiary objectives of knowledge creation and/or transfers. Originality/value Showing the different roles of organizational ambidexterity and organizational innovation, this paper reveals some underlying mechanisms of the RKT process and contributes by explaining the competitive heterogeneity of subsidiaries, with impacts on subsidiary management’s evolutionary and resource dependence perspective.

Conceptions of university students on microplastics in Germany

Microplastics are a global challenge and a frequently studied environmental issue. Hence, the knowledge body about microplastics within the scientific community is growing fast and challenges an elaborated knowledge transfer from science to the general public. Just as well-informed people are the basis for reducing microplastics’ impact on the environment, knowledge of the audience’s conceptions is the basis for an accurate and successful dissemination of scientific findings. However, insights into the publics’ perceptions of microplastics are still rare. The present study aimed to capture students’ conceptions about microplastics based on their individual experiences following qualitative inductive, exploratory research. Therefore, 267 students of a state university in Germany responded to a paper-and-pencil questionnaire containing open and closed questions on microplastic-related conceptual understanding, risk perception, information behavior, sources, and sinks. The inductive classifying of all responses by a qualitative content analysis revealed six basic concepts: 1) Microplastics are mainly understood as small plastic particles. 2) Microplastics are closely associated with its negative consequences. 3) The most labeled source in households is plastic packaging. 4) Compared to other water bodies, microplastics are rarely suspected in groundwater. 5) A high threat awareness exists in classifying microplastics as very dangerous and dangerous. 6) Media such as TV or the Internet are the most crucial information sources while the school has less importance in acquiring information. It is precisely this pattern that indicates the need for profound science communication to establish a joint and scientifically sound knowledge base in society. Knowledge about conceptions of potential “customers” allows tailor-made scientific knowledge transfers to shape public awareness, initiate changes in thoughts and prepare the field for collaborative behavior.

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

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.

EXAMINING THE QUALITY OF KNOWLEDGE TRANSFERS – THE DRAFT OF AN EMPIRICAL RESEARCH

Already successfully used products or designs, past projects or our own experiences can be the basis for the development of new products. As reference products or existing knowledge, it is reused in the development process and across generations of products. Since further, products are developed in cooperation, the development of new product generations is characterized by knowledge-intensive processes in which information and knowledge are exchanged between different kinds of knowledge carriers. The particular knowledge transfer here describes the identification of knowledge, its transmission from the knowledge carrier to the knowledge receiver, and its application by the knowledge receiver, which includes embodied knowledge of physical products. Initial empirical findings of the quantitative effects regarding the speed of knowledge transfers already have been examined. However, the factors influencing the quality of knowledge transfer to increase the efficiency and effectiveness of knowledge transfer in product development have not yet been examined empirically. Therefore, this paper prepares an experimental setting for the empirical investigation of the quality of knowledge transfers.

The historic city and the East–West exchange: architecture, urban renewal and international knowledge transfers under state socialism in Hungary

In recent years, the permeability of the Iron Curtain seems to have become a new paradigm in the field of post-war history – urban history included. It is clear, however, that significant differences existed among Eastern Bloc countries in terms of how open they were to Western influences, and to what extent their governments allowed those countries’ citizens – professionals among them – to gain experiences abroad. This article investigates the ways city planning and heritage policy in state socialist Hungary were influenced by international trends; it explores the roles Hungarian architects, urban planners and other experts played after 1956 in knowledge transfers, i.e. the transmission of novel ideas in the field of architecture and urban planning, with special regard to the renewal of inner-city areas and historic town centres. Besides reflecting critically on concepts of the strict East–West divide, the article also calls attention to the limits of freedom inherent even in a relatively liberal Eastern Bloc regime: various forms of state control – including state security surveillance – continued to characterize the system until its collapse in 1989, affecting the mobility of urbanists and architects as well as all other professional groups.