The Impact of Technology on the Strategic Management of a Knowledge-Intensive Project Organization: Action Design Research of a Competence Management System

The combination of digitalization and globalization will have a dramatic impact on organizations and the way people work. Demographic upheavals and societal changes, as well as the inevitable focus on environmental issues, will amplify the effect of these trends. As a result, business executives around the world will face new challenges with business models on one hand and organizational practices on the other hand. There is now a great opportunity for information systems and human resources scientists and practitioners to work together in order to improve understanding of how technology can be utilized to make organizations more effective and inspiring. The “future of work” is already affecting strategic management, HR organizations, and technology in practice. As a result, this has created many exciting research opportunities, identified by scholars looking at human resource information systems, human resource management, enterprise systems, competence management systems, knowledge management, information management, agile software development, or design science. In this action design research I build on top of existing design science research on competence management systems and aim at 1) gaining more understanding about the organizational and technological aspects of enterprise systems design, especially regarding competence development, and 2) increasing understanding of the design of competence management as a strategic capability. In this action design research project we participated in the design, development, and evaluation of a particular organizational instantiation and a management system instantiation that both address important, previously unsolved problems. This study contributes to the existing body of scientific knowledge on information systems. The theoretical contribution is the improved design principles for competence management systems. The practical contribution of the study builds upon the guidance provided to system designers and managers through several frameworks, IT artifacts, and management practices for information systems design processes. In conclusion, this research provides new evidence of how action design research can lead to significant business benefits by integrating theory and practice in a real business context

Managing value creation in knowledge intensive business services organisations

Value creation is essential in the Knowledge Intensive Business Service (KIBS) industry, due to its problem-solving nature. KIBS organisations need to understand their internal value creation processes as well as the complexity in the environment in order to survive and thrive. This paper investigates how value creation is managed in KIBS organisation through a case study. It then goes on to adopt Beer's Viable System Model (VSM) to propose an organisational design, namely the Value Integration Office (VIO). The VIO focuses on the 5 functions/systems defined by VSM in the meta-system and operation of an organisation in order to manage value creation. This design is implemented in a case study organisation with the aim to adopt a holistic view on value creation within the organisation as well as facilitate future planning function. The implementation and impact of the proposed organisational design are reported in this paper

Competence Management System Design Principles: Action Design Research

In order to sustain competitive advantage, knowledge-intensive project organizations need to invest in competence management systems (CMSs). However, there is only a limited amount of existing scientific literature on designing CMSs in practice. In this action design research from 2013 to 2016 we (1) deepened the theoretical understanding of CMSs by improving the design principles (DPs) identified in earlier research, and (2) delivered business benefits for a case company by designing organizational and technological artifacts for competence management. Previously introduced theoretical concepts guided the organizational and technological interventions that aimed for practical business benefits while maintaining scientific rigor. We revised the CMS DPs and learned the importance of aligning competence management with customer demand and the double-sided value of information assets. In conclusion, our research provides new evidence regarding how ADR can lead to significant business benefits by integrating theory and practice in a real business context

Improving supply chain management in construction: what can be learned from the aerospace industry?

In order to provide for controllable delivery, reliable lead times and efficient customer response, lean manufacturing and platform assembly practices play an important role in supply chains in the aerospace industry. The adoption of lean manufacturing practices ensures an efficient delivery of products to the market. Benefits from the development of platform strategies are a more reliable materials supply and an improved logistics control. The aerospace industry is characterized by a small number of major global players and many small ones. A major part of the design and production has been contracted out to suppliers. In this paper the basic similarities and differences between the construction and aerospace industry and supply chains are analysed. A comparative study of aerospace and construction supply chains is presented to indicate and discuss the applicability of supply chain management concepts to construction, and the improvement potential of these concepts regarding supply chain management in construction. It is concluded that in particular the practice of platform assembly is a fruitful concept to be applied in the construction industry

Intranet and Knowledge Management: Putting the Cart Before the Horse?

This paper explores the use of intranet-technology to support knowledge intensive decision-making in a technical service delivery process of a major oilfield services company. Our findings show that creating, mobilizing, and exchanging knowledge through an intranet-technology based system delivers forms of benefits to both the organization and its clients, and understanding what organizational knowledge is to be managed and the process of managing it define the role of technology that enables knowledge management

Managing competences in entrepreneurial technology firms: a comparative institutional analysis of Germany, Sweden and the UK

Innovative firms face two major kinds of risks in developing new technologies: competence destruction and appropriability. High levels of technical uncertainty and radical changes in knowledge in some fields generate high technical failure risks and make it difficult to plan research and development programmes. They therefore encourage high levels of flexibility in acquiring and using skilled staff. Appropriability risks, on the other hand, encourage innovative firms to develop organisation-specific competences through investing in complementary assets, such as marketing and distribution capabilities, that involve longer-term employer-employee commitments to building complex organisations. These connections between technology risks and employment policies help to explain why different kinds of market economies with contrasting labour market institutions develop varied innovation patterns. This study focuses on subsectors of the computer software and biotechnology industries in three distinct Europea n countries, UK, Germany and Sweden, that vary in their level of technical change and appropriability.n/a

Social Structures for Learning

This article investigates what learning groups there are in organizations, other than the familiar 'communities of practice'. It first develops an interdisciplinary theoretical framework for identifying, categorizing and understanding learning groups. For this, it employs a constructivist, interactionist theory of knowledge and learning. It employs elements of transaction cost theory and of social theory of trust. Transaction cost economics neglects learning and trust, but elements of the theory are still useful. The framework is used in an empirical study in a consultancy company, to explore what learning groups there are, and to see if our theory can explain their functioning and their success or failure.learning groups;social theory of trust;theory of knowledge and learning;transaction cost theory

Designing a Competence Management System with Agile Methods: Case Silli Solutions PLC

Most of the world population works in the service sector, which stresses the importance of knowledge-intensive organizations and, consequently, strategic competence management. Knowledge management and the supporting enterprise systems (ESs) have received a lot of researcher attention, but the deployment success rate is not flattering. Therefore, in this 33-month long Action Design Research (ADR) program we designed and implemented Competence Management System (CMS) with agile methods in a professional services company Siili Solutions PLC. The contribution of this paper is to provide rich insight and understanding on technological aspect of CMS design and implementation as well as on agile software development practices of agile experts