1. The Evolution of Business Knowledge (EBK) research programme Harry Scarbrough Programme Director h.scarbrough@warwick.ac.uk www.ebkresearch.org

2. EBK in context What’s new ? Knowledge has always been an important element of production: ‘Capital consists in a great part of knowledge and organization.... Knowledge is our most powerful engine of production.’ Alfred Marshall 1890

3. Management has long grappled with the problems of the division of knowledge: ‘managers assume...the burden of gathering together all of the traditional knowledge... possessed by the workmen and then of classifying, tabulating, and reducing this knowledge to rules, laws, formulae’ Frederick Taylor 1911 EBK in context

4. There has long been academic debate about the nature of knowledge: Carl Ludovici was appointed to a chair in ‘Knowledge of the World’ in Leipzig in 1733. Royal Society was described as a ‘knowledge bank’. Peter Burke ‘A social history of knowledge’, 2000 EBK in context

5. ‘What characterises the current technological revolution is not the centrality of knowledge and information but the application of such knowledge and information to knowledge generation…For the first time in history, the human mind is a direct productive force, not just a decisive element of a production system.’ (Castells, 1996: 32). EBK in context

6. Converging debates Knowledge Economy Management tools and practices Centrality of knowledge to business performance

7. knowledge resides in the heads of individuals knowledge is objectively defined - concepts and facts businesses need to codify capture and transfer explicit knowledge critical success factor is technology knowledge is constructed by interaction in social networks (e.g. communities of practice, sectoral networks, elites) knowledge is created/applied through social communities - ICTs play an enabling role. businesses need to encourage knowledge sharing among individuals and groups critical success factor is trust Cognitive modelCommunity model Views of knowledge

8. About the EBK programme 14 projects contributing to 4 major themes: Organizing Knowledge for Innovation The Impact of Relationships on the Sharing of Knowledge Making Knowledge an Asset Management Knowledge In Action EBK web-site: www.ebkresearch.org

9. EBK Research Programme Pressures to accelerate innovation processes & recycle knowledge and learning - the intensification of knowledge Knowledge is embedded in social contexts and practices Importance of management knowledge & practices in embedding/ disembedding knowledge

10. Evolution of knowledge Knowledge production Knowledge transfer Knowledge utilization economic pressures Social and institutional contexts – e.g knowledge accumulation in IT sector vs. education

11. How do we view business knowledge? Spans different knowledge domains: –Scientific and technological knowledge –Organizational knowledge –Financial and market knowledge Integration and exploitation of heterogeneous forms of knowledge in business settings Evolution of knowledge through selection, management & learning effects

12. FINANCIAL & MARKET KNOWLEDGE SCIENTIFIC KNOWLEDGE ORGANIZATIONAL KNOWLEDGE Application of knowledge Knowledge production Business Schools Consultants CSR forums Senior managers Professional groups – accountants Entrepreneurs, owner-managers Venture Capitalists, fund managers R&D labs Univ tech transfer Tech designers THE EVOLUTION OF BUSINESS KNOWLEDGE

13. Emerging findings from the EBK programme Study of ‘interactive innovation in the biomedical sector’ (Swan, U. of Warwick ): Increasing need to move away from linear innovation process & to integrate knowledge throughout the process – from R&D through to clinicians and patients Highlights influence of institutional context between UK & USA; integration of scientific & business knowledge constrained in UK by more inflexible career paths and difficulties of moving between universities and industry

14. Emerging findings from the EBK programme Study of project-based organizing in US & UK movie industries (Lampel, City U.) Barrier to success in UK is that film- makers put emphasis on artistic values rather than ‘relational efficiency’ (benefits of collaborating with same people over time) in putting projects together

15. Emerging findings from the EBK programme Study of client-consultant relationships as a medium for knowledge transfer (Sturdy, U. of Warwick) Do consultants transfer knowledge to clients? Focus on project deliverables not knowledge transfer Transfer of knowledge involves challenging the client – not all consultants willing to do this.

16. Dissemination activities Organizational, Knowledge, Learning and Capabilities Conference, OLKC 2006, Warwick 20 March –Sidney Winter, Deborah Dougherty, Yrjö Engeström EBK end of programme conference, October 17th, London

17. EBK outputs 31 EBK Working Papers, e.g. Systematic literature review on ‘Small firms, learning & growth’ Special issue of Long Range Planning on ‘Managing through projects’ Special issue of Journal of Management Studies on ‘Management knowledge in action’ Evolution of Business Knowledge book (Oxford University Press)