Capabilities Flashcards
Why is internal capabilities important?
You’ll need internal capabilities to manage the internal relationships and external relationship.
Examples of internal capabilities?
Organisational structure
Managerial processes
Routines
Values
What’s the results of external coordination in Takeishi, 2001 paper? (tips: early and communication)
H1: Early integrated problem solving (solving pattern) with a supplier should exhibit higher level of component design quality – supported
H2: better communication (frequent, face-to-face) with supplier should exhibit higher level of component design quality – supported
Component design quality: output effectiveness of component.
What the results of internal capabilities in Takeishi, 2001 paper? (engineers and coordination)
H3: A component development project in which an automaker’s engineers had a higher level of knowledge about the component should exhibit a higher level of component design quality. – supported
H4: A component development project in which an automaker exercises a higher level of internal coordination (resolve conflict intra) should exhibit a higher level of integrated problem solving. – supported
What the results of inter-firm relation in Takeishi, 2001 paper?
H5a: When an automaker owns a part of a supplier’s stock, a component development project should exhibit a higher level of component design quality. – Not Supported !!
H5b: The higher a supplier’s sales dependency on an automaker, the higher the level of component design quality of a component development project. – Supported
Sum up the research of Takeishi.
A paper about how to manage external integration. we need analysis at both the inter-firm and the intra-firm levels to study strategic management of outsourcing.
The research concludes:
There are internal capabilities that have direct effect and there are capabilities that have external effect. With early integrated problem solving you can avoid bigger problems later. To work with external partner, you’ll need to have control of the internal coordination.
There are three overall knowledge capacities
Knowledge exploration: e.g. new knowledge about markets etc.
Knowledge retention: Maintain knowledge
Knowledge exploitation
All both internal and external
Mention the six different knowledge capacities
Inventive capacity: ability generate new knowlegde inside the firm
Absorptive: Ability til acquire new external knowlegde
Transformative: Ability to retain knowlegde inside
Connective: ability to retain relationships
Innovative: ability to internal exploit knowledge
Desorptive: not important
What must firms do to manage knowledge? (tips: reconfigure and realign)
A firm needs to successfully reconfigure and realign its knowledge management capabilities to adapt to changing environmental conditions better and sooner than its competitors. The knowlegde base must constantly be updated.
What does the link between internal and external integration mean?
In order to succesfully integrate externally (customer-suppliers), it is nessesary to have the competence to integrate externally and the willingness to do it.