Core competence and knowledge creation Grete Bergh, Brodd

How can Statnett identify, exploit, develop and protect its core competence; a case study

THEORIES Hamel and Prahalad’s theories about core competence Nonaka and Takeuchi’s theories about knowledge creation in organizations

Core competence are the collective learning in the organization

Identifying core competencies C.c. provides potential access to a wide variety of markets C.c. should make a significant contribution to the perceived customers benefits of the end product C.c. should be difficult for competitors to imitate

Strategy Core competencies should constitute the focus for strategy at the corporate level

Core competence A company must be viewed not only as a portfolio of products or services, but a portfolio of competencies as well

The core competence perspective Five key competence management tasks identifying existing core competencies a core competence acquisition agenda building core competencies deploying core competencies protecting and defending core competence leadership

Core capabilities Dorothy Leonard-Barton Kunnskap/ ferdigheter Ledelses- systemer Tekniske systemer Verdier og normer

Core capabilities - 4 dimensions (1)Employee knowledge and skills embedded in (2)technical systems. The processes of knowledge creation and control are guided by (3)managerial systems (4) the fourth dimension is the values and norms associated with the knowledge creation and control

The paradox of core capabilities Core rigidities Core incompetence

Knowledge creation in organizations Nonaka and Takeuchi - theories about Tacit and Explicit Knowledge

Core competence strategy Combining Hamel and Prahalad’s theories about core competence with Nonaka and Takeuchi’s theories about the knowledge creating process

Methods Case study - Statnett Qualitative interviews with representatives from two departments Interview guide - open answers

The interviews The interview guide was designed to follow the central issues in the theories

RESULTS Interest in core competence Interest in knowledge sharing - –willing to share –systems for sharing knowledge not good enough –working methods – knowledge sharing with customers

Results Core competence and outsourcing Downsizing-processes