TACIT KNOWLEDGE AND ITS CORELATION TO INNOVATION AND PERFORMANCE IN OBTAINING COMPETITIVE ADVANTAGE: A STUDY IN A BUSINESS OPERATING IN THE TEXTILE INDUSTRY

Year 2011, Issue: 7, 0 - , 13.05.2015

Aytaç Gökmen Ahmet Hamşioğlu

Abstract

Today, the redefinition of competition and its ever diversifying characteristics drive enterprises to search for new remedies. Besides, the ordinary solutions that businesses learn in competition might lead them to dead ends. This could be possible through the correct exploitation of tacit knowledge by businesses and through acquiring new competencies in the performance cycle. The purpose of this study is to describe research on the relationship between tacit knowledge, innovation and performance in assuring competitive advantage, depending on an empirical study made in a business operating in the textile industry located in Istanbul, Turkey. The data obtained through the use of questionnaires, regarding the study, was analyzed with the SPSS 11.5 program by also using factor analysis, correlation analysis, regression analy-sis and complementary statistical methods. As a result of the study, it is evident that there is high level of correlation and significance between tacit knowledge, innovation and performance. It was observed that tacit knowledge has considerable impact on innovation and performance. Besides, innovation has substantial effect on business performance as well.

Keywords

-

TACIT KNOWLEDGE AND ITS CORELATION TO INNOVATION AND PERFORMANCE IN OBTAINING COMPETITIVE ADVANTAGE: A STUDY IN A BUSINESS OPERATING IN THE TEXTILE INDUSTRY

Abstract

Today, the redefinition of competition and its ever diversifying characteristics drive enterprises to search for new remedies. Besides, the ordinary solutions that businesses learn in competition might lead them to dead ends. This could be possible through the correct exploitation of tacit knowledge by businesses and through acquiring new competencies in the performance cycle. The purpose of this study is to describe research on the relationship between tacit knowledge, innovation and performance in assuring competitive advantage, depending on an empirical study made in a business operating in the textile industry lo-cated in Istanbul, Turkey. The data obtained through the use of questionnaires, regarding the study, was analyzed with the SPSS 11.5 program by also using factor analysis, correlation analysis, regression analysis and complementary statistical methods. As a result of the study, it is evident that there is high level of correlation and significance between tacit knowledge, innovation and performance. It was observed that tacit knowledge has considerable impact on innovation and performance. Besides, innovation has substantial effect on business performance as well.

Keywords

-

References

• ARDICHVILI, A. (2002); “Knowledge Management Human Resource Development
• and Internet Technology”, Advances in Developing Human Resources, 4
• (4), 451-463.
• BARNEY, J.B. (1991); “Firm Resources and Sustained Competitive Advantage”,
• Journal of Management, 17 (1), 99-120.
• BAUM, R.,J, WALLY, S. (2003); “Strategic Decision Speed and Firm Performance”,
• Strategic Management Journal, 24 (11), 1107-1129.
• BROOKING, A. (1997); “The Management of Intellectual Capital”, Long
• Range Planning, 30 (3), 364-365.
• CALANTONE, R.J., ÇAVUġGĠL, S., ZHAO, Y. (2002). “Learning Orienta-tion, Firm Innovation Capability and Firm Performance.” Industrial Marketing Man-agement, 31, 515-524.
• ÇAVUġGĠL, S.T., CALANTONE R.J., ZHAO Y. (2003); “Tacit Knowledge Transfer and Firm Innovation Capability”, The Journal of Business & Industrial Marketing, 18 (1), 6-21.
• DARROCH, .J., McNAUGHTON, R. (2003); “Beyond Market Orientation: Knowledge Management and the Innovativeness of New Zealand Firms”, European Journal of Marketing, 37 (3/4), 572-593.
• DARROCH, J. (2005); “Knowledge Management Innovation and Firm Per-formance”, Journal of Knowledge Management, 9 (3), pp.101-115.
• DAVENPORT, T.H., PRUSAL, L (2001); Knowledge Management in the Business World, (Translation: Günay G.), Rota Publications, Ġstanbul, Turkey.
• DEMAREST, M. (1997); “Understanding Knowledge Management”, Long Range Planning, 30 (3), 374-384.
• DROEGE, S.B., HOOBLER, J.M. (2003); “Employee Turnover and Tacit Knowledge Diffusion: A Networked Perspective”, Journal of Managerial Issues, 15 (1), 50-62.
• EKORGUN M. (2007); The Obtainment, Development and Spread of Tacit Knowledge in SAMSE and its Effect on Firm Innovation, Gebze Institute of High Technology, Institute of Social Sciences, Unpublished Master’s Thesis.
• GRANT, R.M. (1997); “The Knowledge Based View of the Firm: Implica-tions for Management Practice”, Long Range Planning, 30 (3), 450-454.
• HALL, R. (1992); “The Strategic Analysis of Intangible Resources”, Strateg-ic Management Journal, 13 (2), 135-144.
• HEDLUND, G. (1994); “A Model of Knowledge Management and the N-From Corporation”, Strategic Management Journal, 15, 73-90.
• HOGAN, J. (2005); “Insights on Ideation and Innovation”, Medical Device Technology, October, 30-31.
• JENSSEN, J.I. (2003); “Innovation Capabilities and Competitive Advantage in Norwegian Shipping”, Maritime Policy & Management, 30 (2), 93-106.
• JOHANNESSEN, J.A., OLAISSEN, J., OLSEN, B. (1999); “Aspect of Innovation Theory Based on Knowledge Management”, International Journal of Infor-mation Management,19, 121-139.
• JOHANNESSEN, J.A., OLAISSEN J., OLSEN B. (2001); “Mismanagement of Tacit Knowledge: The Importance of Tacit Knowledge the Danger of Information
• Technology and What to do about it”, International Journal of Information Man-agement, 21, 3-20.
• JONSSON, P. (2000); “An Empirical Taxonomy of Advanced Manufacturing Technology”, International Journal of Operations & Production Management,20 (12), 1446-1476.
• KAKABADSE, N.K., KOUZMIN, A., KAKABADSE A. (2001); “From Ta-cit Knowledge Management: Leveraging Invisible Assets”, Knowledge and Process Management, 8 (3), 137-154.
• KASH, D.E., RYCROFT, R. (2002); “Emerging Patterns of Complex Technological Innovation”, Technological Forecasting & Social Change, 69,581-606.
• KOGUT B., ZANDER, U. (1992); “Knowledge of the Firm Combinative Capabilities and The Replication of Technology”, Organization Science, 3 (3), 383-397.
• KOSKINEN, K.U. (2000); “Tacit Knowledge as a Promoter of Project Success”, European Journal of Purchasing & Supply Management, 6,41-47.
• KOSKINEN, K.U. (2003); “Evaluation of Tacit Knowledge Utilization in Work Units”, Journal of Knowledge Management, 7 (5), 67-81.
• LANK, E. (1997); “Leveraging Invisible Assets: The Human Factor”, Long Range Planning, 30 (3), 406-421.
• LEE, J.N. (2001); “The Impact of Knowledge Sharing Organizational Capa-bility and Partnership Quality on IS Outsourcing Success”, Information & Manage-ment, 38, 323-335.
• LUBIT, R. (2001); “Tacit Knowledge and Knowledge Management: The Keys to Sustainable Competitive Advantage”, Organizational Dynamics, 29 (4), 164-178.
• MARINOVA, D. (2004); “Actualizing Innovation Effort: The Impact of Market Knowledge Diffusion in a Dynamic System of Competition”, Journal of Marketing, 68, 1-20.
• MITRI, M. (2003); “Applying Tacit Knowledge Management Techniques for Performance Assessment”, Computers & Education, 41, 173-189.
• MORGAN, N. A., VORHIES, D.W. (2001); “Product Quality Alignment and Business Unit Performance.” Journal of Product Innovation Management, 18 (6), 396-407.
• NAKĠP, M. (2003); Marketing Research. Seçkin Publications. Ankara, Turkey.
• NAKTIYOK, A. (2004); Intrepreneurship, Beta Publications, Ġstanbul, Turkey.
• NONAKA, I. (1991); “The Knowledge Creating Company”, Harvard Business Review, November-December, 96-104.
• NONAKA I. (1994); “A Dynamic Theory of Organizational Knowledge Cre-ation”, Organization Science, 5 (1), 14-37.
• PAPATYA, N., PAPATYA, G. (2005); “Accurate Management of Tacit Knowledge in Competition: An analysis of Exploration Based Management Learning for the Turkish Businesses”, III. International Turkish Universe Congress of So-cial Sciences, Jelalabat/ Kyrgyzstan,747-766.
• PARASHAR, M., SINGH, S.M. (2005); “Innovation Capability”, IIBM Management Review, December, 115-123.
• PATHIRAGE, C.P., AMARATUNGA, D., HAIGH, R. (2007); “Tacit Knowledge and Organizational Performance: Construction Industry Perspective”, Journal of Knowledge Management, 11 (1), 115-126.
• RAVICANDRAN, T., RAI, A. (1999); “Total Quality Management in Information Systems Development: Key Constructs and Relationship, Journal of Man-agement Information System, 14 (3), 119-155.
• SİPAHİ, B., YURTKORU, E.S., ÇİNKO, M. (2006); SPSS Data Analysis in Social Sciences, Ġstanbul: Beta Publications, Turkey.
• SOO, C., DEVINVEY, T., MIDGELY, D., DEERING, A. (2002); “Know-ledge Management: Philosophy, Processes and Pitfalls”, California Management Review, 44 (4), 129-150.
• SPENDER, J.C (1996); “Making Knowledge The Basis of Dynamic Theory of the Firm”, Strategic Management Journal, 17, 45-62.
• SÜRAL, P., ÖZMEN, Ö., SAATÇĠOĞLU, Ö.; “Knowledge Management Models: A Conceptual Framework Regarding to the Analysis of Components”, First National Congress of Knowledge, Economics and Management, (May 10 - 12, Herke-Kocaeli, Turkey, 2002), pp. 469-482.
• TSERNG, H.P., LIN, Y.C. (2004); “Developing an Activity Based Knowledge Management System for Contractors”, Automation in Construction, 13, 781-802.
• ZACK M.H. (1999); “Developing a Knowledge Strategy”, California Man-agement Review, 41 (3), 125-145.