Model of regional management instruments in economy based on innovation and communication

The following paper has been inspired by the main challenges that have been created for the regional development by the process of globalisation. The paper presents an attempt at creating a new model and instruments for regional development management in which regional character of knowledge creation, territorial interdependencies, sustainable development and both democratic and individual decision making processes have been taken into consideration. The problem of emerging notion of regional management and its relation to the knowledge management in the process of regional development has been discussed. The paper presents the concept of regional knowledge creation process as the essential method of description of a region's development and competitiveness. The model of management of an autopoiesis system as an essential method of description of development and knowledge creation in a local community has been presented. The process of knowledge development in a region is assisted by ICT, including the Internet portal and corporate knowledge base. The technique of analyse field and space of choice and its role in the regional process of knowledge creation as the tool serving the process of describing and diagnosing the ability of knowledge creation as well as individual and regional strategies. The description of development changes in a region have been presented in the categories of critical points focusing on the zones of degradation and development. The results obtained with the help of the proposed model of regional development can serve to develop the international standards of risk and critical points of regional management. The fact of using the knowledge management principles for the interpretation of regional processes changes considerably the role of regional development agencies. The introduction of the Internet portal and critical points analysis provides a new way of presenting the knowledge about a region. The solution proposed in the presented paper based on the corporate knowledge data bases creates contextual character of relations and connections between different measured parameters and therefore it unceasingly creates new knowledge in compliance with the spiral upward movement. The introduced indicators analysis serves to describe state of individual components (people, organisations, natural ecosystems) of the region in question, and first of all it determines their development abilities and adaptability to their environment. The territorial structure creates a complex spatial system of interrelations in which local community relates to its environment in the intensive process of communication that determines how the external components are used in the process of regional development. Such instruments as the regional Internet portal, regional communitces of practice, regional staff of knowledge management and leaders of local development become the most important tools of assistance in local development processes. The presented paper provides a coherent model of regional management which is in compliance with "regional standards" assuring predictable character of changes in the region and leading to stable economic development of the whole region.

Pembentukan Model Penciptaan Pengetahuan (Knowledge Creation) Dalam Mendorong Inovasi Pada Koperasi Susu Di Indonesia: Suatu Studi Konfirmatori

Many theories highlighted the critical importance of knowledge creation on the long-term success of the organization. However, the scarcity of empirical work on knowledge creation model has limited our understanding of the overall organizational process involved. To overcome this, we attempt a comprehensive analyze of knowledge creation model within the organization, exploring the relationship between innovation, knowledge creation model, problem-solving capability, absorptive capacity, knowledge acquisition and assets. Data of this case study were taken from three dairy cooperations in Java. Analysis was conducted using Structural Equation Modeling (SEM) with Lisrel 8.72. The results revealed that several contributing factors (problem-solving capability, absorptive capacity, knowledge acquisition and assets) had significant effect on innovation. On the other hand, knowledge creation model had no significant effect on innovation in the context of the dairy cooperation in Indonesia. The implication for managers is that by focusing on externalization process in knowledge creation model within the organization. In the pattern of innovations, product innovation is the most important

Crowdsourcing: a tool for organizational knowledge creation

Crowdsourcing is a new, online-based, way of outsourcing that relies on large and undefined networks of people. This process has been used by several successful organizations to solve their internal Innovation challenges with very good results. Assuming that, at a fundamental level, Innovation results from the creation and application of organizational knowledge, this work aims to better understand, from the firm’s perspective, how can Crowdsourcing be used to enhance the creation of organizational knowledge. Therefore, we analysed Crowdsourcing through the lenses of the theory of organizational knowledge creation. Based on the main elements of the theory, our analysis raised theoretical assumptions that serve to question some practical aspects of the Crowdsourcing initiatives and may serve as basis for future research and practical experiments. Our analysis shows that Crowdsourcing for Innovation, has all the characteristics of a tool for organizational knowledge creation through the endogenisation of knowledge, ideas and expertise of external individuals. Nevertheless, this theoretical perspective of Crowdsourcing highlights a rather complex process that requires organizational effort and resources throughout all the process. Although a critical part of the work, in a Crowdsourcing initiative is developed outside of the company, the seeker should not neglect its efforts, doing so may result in unsuccessful Crowdsourcing experiences.(undefined

Individual emergence in contextual analysis

Located within the tradition of Hermeneutic Dialectics (HD) this paper offers an approach which can further an analysis of a fit between information and organizational systems. Drawn upon Information Systems Development projects a relationship between theory and practice is aided through a multi-disciplinary approach to sense making activity. Using a contemporary version of contextual analysis to understand a way in which individuals construct adapt and create meaning from their environment offers a route to improve a systems analysis process. This type of enquiry into contextual dependencies of knowledge creation can help direct a development of systems that have the intention to serve specific organizational actors and their needs. Combining methods outside of a traditional polar divide, sense making research undertaken within a systems thinking arena can enrich understanding by complementing qualitative and / or quantitative analysis with reflective depth. Drawing together interdisciplinary strands through a critical systems thinking approach offers new levels of professionalism for computer- and management-, practitioners or researchers in the 21st Century

The myth of the service economy

In this article the author, after a critical assessment of the main notions of services developed in economics, presents a revised definition of services based on process analysis. A corresponding distinction is made between material and non-material goods, on the one hand, and services, on the other hand. The proposed definition is applied to extend Sraffa’s theory of prices and to clarify that the expansion of the service activities, as such, is not related to knowledge creation and information diffusion. It is suggested that the dynamics of such non-material factors, instead of being reflected by the change in the relative weights of goods and services, should be assessed on the basis of the change in the tasks and qualities of the labour force. Final version of this working paper: S. Parrinello, “The service economy revisited”, Structural Change and Economic Dynamics, 15 (2004) 381–400Services; process analysis; Classical economics

DIVISON OF LABOUR, SOCIAL NETWORKS AND INTANGIBLE RESOURCES: THE ITALIAN CASE OF NETWORK BUSINESS CREATION

The paper underlines the division of labour principle for understanding the development of the entrepreneurial process within a social network; the principal background premise is that the two crucial factors affecting the entrepreneur when he is creating a new business are his previous employment (and so his skills, competencies, knowledge) and the advice and assistance he receives by his social environments. The aim of the paper is to specify, therefore, a conceptual proposal, based upon the analysis of the division of labour principle, evidencing that intangible resources as social network capital and human entrepreneurial capital are the critical levers for the creation of new business within a reticular business environment. For enhancing empirically such proposal, the “Industrial District Model”, particularly spread in the Italian economy, provides a useful example of how these assumptions work in a real industrial network.Division of Labour; Social Networks; Human Capital; Social Capital; Business Creation; Industrial Districts.

Competencies and Institutions Fostering High-growth Firms

High-growth firms (HGFs) are critical for net job creation and economic growth. We analyze HGFs using the theory of competence blocs, linking firm growth to property rights and the interaction of complementary expertise. Specifically, we discuss how the institutional framework affects the prevalence and performance of HGFs. Firm growth is viewed as resulting from the perpetual discovery and use of productive knowledge. A key element in this process is the competence bloc, a nexus of economic actors with complementary competencies that are vital in order to generate and commercialize novel ideas. The institutional framework determines the incentives for these individuals to acquire and utilize knowledge. We identify a number of institutions that foster the emergence of competence blocs and the creation of HGFs. In particular, our analysis points to the pivotal roles played by tax structures, labor market regulation, and the contestability of currently closed service markets. Finally, we characterize institutions beneficial for sclerotic or dynamic capitalism, respectively, depending on whether they provide a favorable environment for the emergence of competence blocs and the creation of HGFs.Competence Bloc; Dynamic Capitalism; Entrepreneurship; Flyers; Gazelles; High-growth Firms; Industrial Policy; Innovation; Institutions; Labor Security; Product Market Regulations; Property Rights; Sclerotic Capitalism; Self-employment; Tax Policy

Value co-creation of small knowledge-intensive business service firms in a developing country: the case of selected companies in Vietnam

This thesis aims to examine how value co-creation process is organized in small KIBS firms in developing countries. In particular, the goal is to identify the main responsibilities of supplier and customer and identify critical resources and capabilities of small KIBS firms. The research design corresponds to a qualitative multiple-case study. Case companies were selected by a criteria purposive sampling. Data were collected through semi-structured interviews and then analyzed at two levels: a within-case analysis and a cross-case analysis. The results show that the structure of value co-creation process in small KIBS firms is designed flexibly but typically consists of five main activities as service introduction, customers’ need identification, implementation, evaluation and after-sale support. The value co-creation process is also characterised with interruptions and repetitions so that it is not a linear process. Through interactions in co-creation, both KIBS suppliers and customers can learn from each other and enhance their competences. Besides, knowledge is commonly defined as key resource of small KIBS firms, particularly tacit knowledge which is accumulated over the time such as experience and know-how. Combined with knowledge, relational capability and dynamic capability are also highlighted in the context of developing economy.fi=Opinnäytetyö kokotekstinä PDF-muodossa.|en=Thesis fulltext in PDF format.|sv=Lärdomsprov tillgängligt som fulltext i PDF-format

Competencies and Institutions Fostering High-growth Firms

High-growth firms (HGFs) are critical for net job creation and economic growth. We analyze HGFs using the theory of competence blocs, linking firm growth to property rights and the interaction of complementary expertise. Specifically, we discuss how the institutional framework affects the prevalence and performance of HGFs. Firm growth is viewed as resulting from the perpetual discovery and use of productive knowledge. A key element in this process is the competence bloc, a nexus of economic actors with complementary competencies that are vital in order to generate and commercialize novel ideas. The institutional framework determines the incentives for these individuals to acquire and utilize knowledge. We identify a number of institutions that foster the emergence of competence blocs and the creation of HGFs. In particular, our analysis points to the pivotal roles played by tax structures, labor market regulation, and the contestability of currently closed service markets. Finally, we characterize institutions beneficial for sclerotic or dynamic capitalism, respectively, depending on whether they provide a favorable environment for the emergence of competence blocs and the creation of HGFs.Competence bloc; Dynamic capitalism; Entrepreneurship; Flyers; Gazelles; High-growth firms; Industrial policy; Innovation; Institutions; Labor security; Product market regulations; Property rights; Sclerotic capitalism; Self-employment; Tax policy.