Robustness of a Distributed Knowledge Management Model

In globalizing competitive markets knowledge exchange between business organizations requires incentive mechanisms to ensure tactical purposes while strategic purposes are subject to joint organization and other forms of contractual obligations. Where property of knowledge (e.g. patents and copyrights) and contractbased knowledge exchange do not obtain network effectiveness because of prohibitive transaction costs in reducing uncertainty, we suggest a robust model for peer produced knowledge within a distributed setting. The peer produced knowledge exchange model relies upon a double loop knowledge conversion with symmetric incentives in a network since the production of actor specific knowledge makes any knowledge appropriation by use of property rights by the actors irrelevant. Without property rights in knowledge the actor network generates opportunity for incentive symmetry over a period of time. The model merges specific knowledge with knowledge from other actors into a decision support system specific for each actor in the network in recognition of actor role differences. The article suggests a set of 9 static and 5 dynamic propositions for the model to maintain symmetric incentives between different actor networks. The model is proposed for business networks.

Introduction: The centralized knowledge creation model promotes the idea of making knowledge available to the whole organization as the purpose of knowledge management (Nonaka 1994, Nonaka et al. 1994, Nonaka & Takeuchi 1995, El Sawy & Bowles 1997, Favela 1997, Davenport & Klahr 1998). Knowledge management (KM) faces the challenge of how to ensure dynamic updating of codified as well as un-codified knowledge. The decision-making qualities of relevant and timely information for decision support come to the fore in the concept of information specificity, which stipulates the value of knowledge without complete property rights necessarily stipulated (Choudhury and Sampler 1997). The alternative to a centralized knowledge management model is a distributed knowledge management (DKM) model. The DKM model generates knowledge amongst decision-makers in interdependent businesses on a continuous basis.

Author: Mogens Kühn Pedersen,Michael Holm Larsen

Source: Copenhagen Business School

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