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MANAGING KNOWLEDGE INTEGRATION
ACROSS BOUNDARIES
Managing Knowledge
Integration across
Boundaries
Edited by
FREDRIK TELL, CHRISTIAN
BERGGREN, STEFANO BRUSONI,
AND ANDREW VAN DE VEN
1
OUP CORRECTED PROOF – FINAL, 24/10/2016, SPi
3
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Preface
However, from the mid-1990s, there was a resurgence of interest, and several
theoretical advances occurred—especially in the analysis of coordination with-
in and between organizations. Much of the drive came from outside the
traditional organizational theory field, from scholars working in strategic
management, systems theory, computer science, and information systems.
Among some important contributions from outside traditional organizational
theory, the knowledge-based view of the firm has been especially influential in
directing attention back to the core issues of organization. As well as providing a
rationale for the existence of the firm and other economic organizations, which
was distinct from the prevailing transaction costs, and nexus-of-contracts
approaches, the knowledge-based view offered a new perspective on the central
organizational problem of reconciling the efficiency advantages of division of
labour with the need to integrate the efforts of multiple specialists in order to
achieve a common purpose. The knowledge-based view emphasizes the need
to reconcile the specialized forms in which knowledge is created and acquired,
with the diversity of the knowledge that is required for the production and
supply of goods and services.
The resulting insights specifically acknowledged the constraints inherent in
organizational learning, the need to ensure that the processes of knowledge
integration does not compromise the efficiencies of specialization, and the
nature and architecture of organizational capability. Emphasizing knowledge
as the primary factor of production in the modern economy has enabled
analysis of coordination that goes beyond conventional notions of integrating
tasks to encompass both human and non-human repositories of knowledge,
and includes the potential for self-adaptive organizational systems. The con-
cept of knowledge integration allows a perspective on coordination within
economic organizations that is grounded in the core purpose of economic
organizations: production, that is, creating value through the transformation
of inputs into outputs.
An important outcome of this new perspective on the crucial organizational
tasks of specialization and integration was recognition of the importance of
modularity to the study of organizational design. The notion of modularity has
been integral to the development of analyses of organizational boundaries and
their interfaces. One aspect of these developments is the acknowledgement of
hierarchy as a coordination mechanism rather than a mechanism for the
exercise of authority. The modular structure of knowledge and its relationship
to other types of boundary—intraorganizational, interorganizational, loca-
tional, and temporal—are central themes in several of the contributions to
this volume.
In addition to renewed research on organizational theory, knowledge-based
approaches and other organizational structure and design methods have
stimulated interest and sometimes confusion over what firms are, what they
do, and how they operate. Different theories of the firm and different
Foreword ix
References 255
Index 295
List of Figures
EDITORS
Fredrik Tell, Professor, Department of Business Studies, Uppsala University;
and Visiting Professor, Department of Management and Engineering, Linköp-
ing University, Sweden, Co-Director of the KITE Research Group
Christian Berggren, Professor, Department of Management and Engineering,
Linköping University, Sweden, Co-Director of the KITE Research Group
Stefano Brusoni, Professor, Department of Management, Technology and
Economics, ETH Zürich, Switzerland
Andrew Van de Ven, Professor, Vernon H. Heath Chair of Organizational
Innovation and Change, Strategic Management and Entrepreneurship,
Carlson School of Management, University of Minnesota, USA
OTHER CONTRIBUTORS
Lars Bengtsson, Professor, Faculty of Engineering and Sustainable Develop-
ment, University of Gävle, Sweden, Member of the KITE Research Group
Marie Bengtsson, Senior Lecturer, Department of Management and Engin-
eering, Linköping University, Sweden, Member of the KITE Research Group
Karin Bredin, Senior Lecturer, Department of Management and Engineering,
Linköping University, Sweden, Member of the KITE Research Group
Gianluca Carnabuci, Associate Professor, Institute of Management, Univer-
sity of Lugano, Switzerland
Fabrizio Castellucci, Associate Professor, Department of Management and
Technology, Bocconi University, Milan, Italy
Federica Ceci, Associate Professor, Department of Business Administration,
G. D’Annunzio University, Pescara, Italy
Cecilia Enberg, Senior Lecturer, Department of Management and Engineer-
ing, Linköping University, Sweden, Member of the KITE Research Group
Solmaz Filiz Karabag, Associate Professor, Department of Management and
Engineering, Linköping University, Sweden
Robert Grant, Professor, ENI Chair of Strategic Management in the Energy Sector,
Department of Management and Technology, Bocconi University, Milan, Italy
xx List of Contributors
Introduction
Managing Knowledge Integration across Boundaries
Economic theory and policy rhetoric, and business operations and strategy,
often consider knowledge specialization to be necessary to achieve economic
efficiency, competitive advantage, and growth. However, knowledge special-
ization leads to the emergence of boundaries instantiated in, for instance,
individual training and specialist experience, cumulative efforts in scientific and
technological domains, formal organizations, informal groups and communi-
ties, geographical location, and sequencing in time. The chapters in this book
draw on the growing literature on knowledge specialization and on its comple-
ment, knowledge integration. Knowledge integration refers to the coordination
and recombination of knowledge from different individuals, disciplines, and
functions (see, e.g., Becker and Murphy, 1992; Grant, 1996; Brusoni et al., 2001;
Carlile, 2002; Postrel, 2002; Van de Ven, 2007; Carnabuci and Bruggerman,
2009; Berggren et al., 2011). Knowledge integration is required to create new
knowledge, to develop advanced products and systems that can transform the
bases of competition and corporate success, and to deliver advanced social
services, from urban planning to integrated infrastructures.
Integration is a classic theme in socio-economic and organizational analyses of
specialization and division of labour. For instance, Lawrence and Lorsch (1967),
in their famous study, point out that differentiated adaptation of firms’ core
departments—research and development (R&D), manufacturing, marketing—to
their various environments creates a need for organizational integration
mechanisms to maintain the individual firm’s unity of purpose and direction.
2 Tell, Berggren, Brusoni, and Van de Ven
JASKA. Ei, ei! Minä vaan, että onko se oikein ulkomaaa verkaa?
EPRA. Ja rahakirstu!
EPRA. Ha, oli sanonut, oli sanonut… Kyllä minä sen asian
paremmin tiedän. Hölmölän vanhat ihmiset tietävät kertoa, että
minun taatani taata sen omisti.
JASKA. Ja minun isääni harmitti se, että sinun isäsi kuoli ennen,
siitä harmista otti ja kuoli.
JASKA. Kultasapeli.
EPRA. Ja rahakirstu.
JASKA. Mikäs tuo korea mies on, jolla on kukon pyrstö päässä.
EPRA. Kyllä Akianteri on yhtä hyvä kuin joku muukin, pysy sinä
Amalia säädyssäsi.
EPRA. Maa-asiasta?
EPRA. Niin, kun minä sitä asiaa tuumailen, niin suostun minäkin
siihen.
JASKA. Sanokaahan minulle kahden kesken, onkos tässä
aarretta?
EPRA. Johorimuikkus!
JASKA. Johorimuikkus!
MAAILMAN-MATTI. Se on hepreiskaa!
EPRA. Hää!
EPRA. Niin, nyt tuli talooni makian leivän päivät. En minä enään
viitsi makkaratikkuja veistellä.
AKIANTERI.
Esirippu.
TOINEN NÄYTÖS.
JASKA. Mutta sepäs oli sukkela temppu, minä teen heti saman
tempun, minulla on vielä pönttöössä kultamaalia, jolla minä maalasin
"keisarin saunapiippuni". — En minä viitsi maalata taloani mutta
posliinipiippuni pitää aina olla kullattu, se on paras piippu koko
Hölmölässä, ja Epran käy sitä niin kateeksi, ai, niin kateeksi — Mutta
sanokaas, minkästähden te niin komiasta kodosta läksitten?