Firm Knowledge Research Articles

The disruption of the international supply chain: Firm resilience and knowledge preparedness to tackle the COVID-19 outbreak

The lockdowns of several countries due to COVID-19 outbreak resulted in severe economic consequences, among which was the immediate general disruption of the international supply chain, with few exceptions. This article aims to investigate whether some supply chains were resilient or not and why, using a knowledge-based approach and specifically focusing on the role played by supply chain innovation in building resilience to disruptions, thanks to knowledge preparedness. The study is motivated by two main rationales: the unique situation of a global pandemic and the absence of studies providing grounded evidences of supply chain resilience in a worst-case scenario.The research is based on the assumption that knowledge preparedness introduces logistics/supply chain innovations and enables companies to prevent, detect, and respond to unpredictable negative events.By using a large-scale sample of European firms' data from the Eurostat and a multivariate regression analysis, the authors cross-study the effects of supply chain knowledge preparedness – based on innovation type and expenditures – on the international trade of goods from January to June 2020. The results confirm that the most resilient supply chains were those that had previously introduced innovations, a factor that strengthens the knowledge preparedness of firms when faced with unforeseeable supply chain disruptions.

I Kings 12–22. Concordia Commentary

I Kings 12–22. Concordia Commentary

Knowledge Integration, Green Innovation, and Financial Performance

Developing green products and improving green production processes are critical in enhancing a company's environmental performance and sustainability. The sophisticated processes involved in green innovation have a steep learning curve, but its navigation has become essential for companies engaged in green operations. Drawing on the theories of organizational learning and dynamic capabilities, this paper presents our empirical analysis of 231 Chinese firms and suggests that the impact a firm's knowledge process integration has on environmental performance is mediated by its green product and process innovations capability. This study should help managers improve green innovation and financial performance.

A Study on Succession Planning, Prospective Successor Selection, Transfer of Idiosyncratic Firm Knowledge in Family Owned Businesses of Hyderabad

This study seeks to gain a better understanding of how the succession planning is undertaken in family owned businesses, most preferred qualities in the prospective successor and the transfer of tacit idiosyncratic firm knowledge from one generation to the next generation. The fact that family businesses contribution to the Indian economy is highly significant as well as the fact that most of the family businesses do not survive beyond three generations makes the study important. This study was conducted by distributing a quantitative survey containing numerous close ended questions to the family business owners, potential successors and successors. The survey asked respondents to explain how succession planning takes place in their firm, the most preferred qualities in the prospective successor and the mode of transfer of tacit idiosyncratic firm knowledge from one generation to another. The survey results provided insight into many important factors of succession planning such as the prospective successor being chosen with consensus of the all the family members, the process of succession being well communicated in the business and possessing leadership values is the most preferred quality sought in a successor. Learning by observing is the most preferred mode of transfer of tacit knowledge from one generation to another.

A New Era for EJFB

A New Era for EJFB

Whose international experience matters more? Decision-makers with international experience in Chinese family firms

PurposeThe purpose of this study is to examine if the international experience of a family firm’s chairman, second-generation managers and other top managers all have impacts of different strengths using information about Chinese family firms’ international expansion.Design/methodology/approachMatching tactics and dynamic Heckman 2-stage analysis were applied to data on 766 publicly-listed Chinese family businesses covering 2008–2014.FindingsThe international experience of the chairman, second-generation family managers and other senior managers all were found to correlate with the proportion of a firm’s revenue earned abroad, as well as with the number of its cross-border mergers and acquisitions. The impact of a chairman’s international experience is stronger than the impact of the other two groups when internationalization is measured in terms of the proportion of revenue earned overseas. The second-generation managers’ international experience is the most influential when internationalization is measured in terms of the number of cross-border mergers and acquisitions.Originality/valueThis paper bridges agency theory with upper echelons theory in the context of the family business. The findings contribute to the scholarly understanding of family business by illuminating the mechanisms through which second-generation managers may influence family firms’ internationalization. They also enrich the knowledge of family firms in China.

EVALUATING CORPORATE-STARTUP CO-CREATION: A CRITICAL REVIEW OF THE LITERATURE

Partnership with startups offers large firms knowledge about, and access to new technologies. Incumbents’ emphasis on corporate-startup collaboration has therefore reached a new level and various models for corporate-startup collaboration can now be found among large enterprises. “Co-creation” between large firms and technology startups, is one of these models that increases in traction. The model is, however, under-researched and research on frameworks and metrics for evaluating the business effects from corporate-startup co-creation is scarce. The purpose of this paper is therefore to extend the existing body of knowledge by investigating frameworks and metrics for evaluating corporate-startup “co-creation” and to suggest a framework for evaluation of corporate-startup co-creation programs. A literature review on identified frameworks and metrics is presented, covering research findings on evaluation models for corporate-startup collaboration. The main finding in this paper is a “multi-stakeholder framework” for evaluating the collaboration’s results in corporate-startup co-creation models.

Is Chain Affiliation a Strategic Asset or Constraint in Emerging Economies? Competitive Strategies and Performance in the Russian Hotel Industry

The purpose of the paper is to find out how chain affiliation, an important strategic choice and a key determinant for hotel performance, influences the strategy-performance nexus in the emerging economy context. It combines the resource- and institution-based views to investigate how chain affiliation moderates the relationship between competitive strategy and performance. This is done by distinguishing between market-based strategies based on differentiation or cost leadership, and non-market strategies that manifest in institutional advantage. The empirical analysis draws from original survey data on 162 hotels located in the Russian cities Moscow and St. Petersburg. The paper finds that first, in emerging economies the competitive edge of chain-affiliated hotels largely arises from market-based advantage, but only in terms of cost advantage. The finding that differentiation advantage is not an important factor of performance for chain-affiliated hotels suggests that firm-level resources derived from chain affiliation would not transform into competitive advantage in the emerging economy context. Second, it is found that institutional advantage is more important determinant of performance for independent hotels, demonstrating the importance of local knowledge and relationships for firms in emerging economies. This finding also suggests that chain affiliation might be rather a strategic constraint than asset for creating superior performance via institutional advantages in the emerging economy context.

The impact of demand-pull and technology-push policies on firms’ knowledge search

The manner in which firms search for knowledge critically affects their innovative performance as well as the evolution of technological trajectories. Previous studies provide important insights into the antecedents of firms’ knowledge search. Yet, we still know little about how such search activities are affected by public policies. Against this background, this study examines the impact of demand-pull and technology-push policies on the scope and distance of firms’ knowledge search. We hypothesize that in times of strong policy support in a technological field, firms will narrow their attention and search scope. Moreover, we argue that technology-push policies enhance search distance, while demand-pull policies reduce it, and that the influence of policies on search scope will be moderated by the breadth of firms’ existing knowledge base. We test and find broad support for our hypotheses based on the analysis of a global sample of 245 publicly listed firms in the solar photovoltaics industry from 1988 to 2012. Our findings suggest that, while innovation policies play an important role in knowledge generation and industry emergence, they may have unintended effects on firm knowledge search. We discuss the implications of these findings for the literature on organizational search, innovation policies, and technology life-cycles.

Incidence, characteristics, and outcomes of delirium in patients with noninvasive ventilation: a prospective observational study

BackgroundFactors that may increase the risk for delirium and the firm knowledge around mechanism for delirium in noninvasive ventilation (NIV) patients is lacking. We investigated the incidence, characteristics, and outcomes of delirium in NIV patients.MethodsA prospective observational study was performed in an intensive care unit (ICU) of a teaching hospital. Patients in whom NIV was used as a first-line intervention were enrolled. During NIV intervention, delirium was screened using the Confusion Assessment Method for the ICU each day. The association between delirium and poor outcomes (e.g., NIV failure, ICU and hospital mortality) was investigated using forward stepwise multivariate logistic regression analyses.ResultsWe enrolled 1083 patients. Of these, 196 patients (18.1%) experienced delirium during NIV intervention. Patients with delirium had higher NIV failure rates (37.8% vs. 21.0%, p < 0.01), higher ICU mortality (33.2% vs. 14.3%, p < 0.01), and higher hospital mortality (37.2% vs. 17.0%, p < 0.01) than subjects without delirium. They also had a longer duration of NIV (median 6.3 vs. 3.7 days, p < 0.01), and stayed longer in the ICU (median 9.0 vs. 6.0 days, p < 0.01) and the hospital (median 14.5 vs. 11.0 days, p < 0.01). These results were confirmed in COPD and non-COPD cohorts. According to subtype, compared to hyperactive delirium patients, hypoactive and mixed delirium patients spent more days and many more days on NIV (median 3.4 vs. 6.5 vs. 10.1 days, p < 0.01). Similar outcomes were found for length of stay in the ICU and hospital. However, NIV failure, ICU mortality, and hospital mortality did not differ among the three subtypes.ConclusionsDelirium is associated with increases in poor outcomes (NIV failure, ICU mortality, and hospital mortality) and the use of medical resources (duration of NIV, and lengths of stay in the ICU and hospital). Regarding subtype, hypoactive and mixed delirium are associated with higher, and much higher, consumption of medical resources, respectively, compared to hyperactive delirium.

The joint effects of individual and firm level knowledge attributes on inventor mobility to entrepreneurial and established firms

We consider how inventor- and firm-level knowledge characteristics co-determine an inventor’s propensity of joining another firm. Specifically, we examine the influence of knowledge impact, knowledge specialization, core status within the firm, and knowledge complexity on an inventor’s decision to depart the firm and join either an entrepreneurial venture or another established firm. We then examine how the incumbent firm’s knowledge complexity moderates the relationship between individual knowledge attributes and the inventor’s decision to join another firm. Our study demonstrates that individual knowledge attributes distinctively interact with the inventor’s current firm-knowledge complexity to determine the likelihood of mobility to an entrepreneurial or established firm. The knowledge environment of the incumbent firm may either prepare the inventor for mobility options or further embed the inventor’s work within the incumbent firm. We test our hypotheses using a panel data set of 33,826 inventors in the semiconductor industry.

Effects of innovation modes and network partners on innovation performance of young firms

PurposeWhile the importance of “science and technology-based innovation” (STI) and “doing, using and interacting-based innovation” (DUI) innovation modes in firm innovation performance has been well-established, little is known about how they affect the innovation performance of young firms. The author examines the most effective innovation mode and boundary conditions for the innovation performance of developing companies.Design/methodology/approachThe author tests the two modes of innovation using data from 159 young firms in China.FindingsThe author’s analysis indicates that a higher level of DUI innovation mode is more relevant to the innovation performance of newly established enterprises. Moreover, the effectiveness of the innovation mode is bound by the networks in which the company operates and interacts. The effectiveness of STI and DUI innovation modes is enhanced when there are high levels of innovation and business network interconnectedness from the technology network partner.Research limitations/implicationsThese findings have important implications on innovation research as they highlight the joint effects of innovation modes and quality of network ties on young firms seeking to improve their innovation performance.Practical implicationsSTI and DUI innovation modes represent different forms of innovation activities that may affect the knowledge and resources of young firms used to improve innovation performance. Knowing this can help young firms to choose effective innovation mode.Originality/valueThis study makes three contributions. The first is to pay specific attention to the neglected topic of the influence of STI and DUI innovation modes on innovation performance of young firms. Understanding that the two innovation modes offer different methods of gaining knowledge and resources can help young firms choose an effective innovation mode for their business; Second, the author examines the boundary conditions of the effectiveness of innovation modes. Specially, the author examines the moderating role of external networks, which can help clarify conflicting results in this regard. 10;The third contribution is to investigate the importance of network relationships for innovation activities moving beyond the extent of network relationships to instead consider the ability of those relationships to expose a firm to innovative techniques and methods.

A Dynamic Framework of Noneconomic Goals and Inter-Family Agency Complexities in Multi-Family Firms

Multi-family firms represent an important and complex type of family firm that is not as well understood as single-family firms. We develop a governance-based framework of the agency complexities in multi-family firms, theorizing that divergent family-centered noneconomic goals between the owning families create complex inter-family agency problems that are intensified by evolving family dynamics. We propose governance mechanisms that address these problems by limiting opportunistic behavior associated with the pursuit of noneconomic goals related to firm control, family altruism, social capital, and transgenerational succession. We then present a future research agenda that can expand our knowledge of multi-family firms.

The Changing Nature of Expatriation: The Emerging Role of Knowledge Transfer Readiness

Expatriate is one of the potential sources of knowledge for firms to increase their capability in creating innovation. Currently, Indonesia has a relatively small number of expatriates but the figure tends to increase overtime. This country has experienced a changing nature of expatriation that brings consequences to several conditions for the achievement of successful knowledge transfer (KT) from expatriates to local employee in Indonesian local firms. This paper proposes a new concept namely Knowledge Transfer Readiness (KTR) which is beneficial in helping the firms to deal with the changing nature. Combining grounded research and multiple case studies to apply this concept to the Indonesian local firms, it is argued that not all of the elements in KTR’s dimensions must be fulfilled in excellent conditions. Weak elements from the source’s side can be surmounted by fulfilling excellent condition of recipient’s side, and vice versa. Nevertheless, there are elements that must be fulfilled in excellent condition of both sides, or becomes absolute requirements solely for the expatriates. The fulfillment of KTR’s elements influences the relationship qualities between expatriates and local employees to achieve Knowledge Transfer Quality (KTQ). The KTQ includes the amount and the accuracy of knowledge and depth of understanding, so it can be a new option of qualitative indicator to measure the success of KT.

Firm innovation and access to finance: firm-level evidence from India

PurposeBased on 9,281 firm-level survey data on micro, small and medium enterprises (MSMEs) in India, this study aims to investigate how access to different finance sources and collateral requirement facilitates the firm’s innovation activity across industries.Design/methodology/approachThis paper used ordered logit regression models using Stata software for explanatory variables to measure the impact of explanatory variables on firm innovation performance. Firms’ innovation performance is measured through the aggregate innovation index obtained by adding up the no. of “new-to-firm” activities.FindingsThe empirical results reveal that external sources of funding impact innovation activity than other financing sources. Also, the requirement of collateral for financing impacts innovation performance significantly. This paper finds that firms funded by state-owned banks or government agency are more actively engaged in innovation activities. The firm’s size, ownership structure and location of the firm also show the varying innovation performance. This paper found variation in innovation performance across industries as well.Practical implicationsFirst, the present study underlines the significance of funding sources. Second, minimizing the need for collateral to obtain external finance boosts small firms’ innovation activity and will also trigger overall economic growth. Finally, while making policies for ownership transformation of state-owned institutions, policymakers should discuss these policies’ impact on innovative firms.Originality/valueWhat facilitates innovation performance in an emerging market is missing in the literature for MSMEs, largely due to lack of data. It is reasonable not to generalize innovation knowledge in large firms to small firms because of the constraints, particularly MSMEs face.

Serendipitous opportunities, entry strategy and knowledge in firms' foreign market entry

PurposeFew researchers and even fewer practitioners would deny that serendipitous events play a central role in the growth process of firms. However, most international marketing models ignore the role of serendipity in the opportunity discovery process. The authors provide a nuanced view on international opportunities by developing the role of serendipitous opportunities in the foreign market entry process. The authors develop a model integrating the notions of serendipity, entrepreneurial logic, experiential knowledge and network knowledge redundancy. From the study’s model, the authors condense three sets of hypotheses on the relationships among experiential knowledge and entry strategy, network knowledge redundancy, entry strategy and serendipity.Design/methodology/approachThe authors confront the study’s hypotheses with data collected on-site at 168 Swedish firms covering 234 opportunities, and to test the hypotheses, the authors ran ordinary least squares (OLS) regression tests in three steps.FindingsThe results of the study’s analysis reveal that experiential knowledge and network knowledge redundancy both lead to a logic based on rigid planning and systematic search, which in turn reduces the likelihood that serendipitous opportunities will be realized in the foreign market entry process.Originality/valueThis is the first study that develops a measure of opportunities that are the outcome of serendipitous events. In addition, the authors integrate network and learning theories and internationalization theory by establishing antecedents to, and outcomes of, the entry strategy.

Forensics in Geriatric Psychiatry Fellowship: Evolution and Practice Value

There are over 50 million adults aged 65 or older in the United States, representing 15% of the U.S. population (United States Census Bureau, 2018). There are too few geriatric psychiatrists to serve this population. Annually, small numbers of psychiatrists are choosing to pursue careers in Geriatric Psychiatry, with fewer than 60 individuals completing subspecialty training in Geriatric Psychiatry each year (ACGME, 2019). To meet the needs of this diverse population, clinical training in Geriatric Psychiatry must be comprehensive and evolve to ensure trainees graduate with requisite practical competence in areas within their purview. Medicolegal issues arise in the routine care of older individuals across different settings and situations, necessitating a firm understanding, knowledge and assessment skill of relevant medical, psychosocial and cognitive factors that may have legal importance. The teaching of forensic aspects of Geriatric Psychiatry varies across fellowship programs and Forensic Psychiatry fellowships often do not have an elder law component or explicit curriculum addressing the forensic needs of the older adult. Thus, Geriatric Psychiatry fellowship training is the ideal place to educate the future cohort of geriatric psychiatrists serving the older population in forensic matters. UCLA has developed an interdisciplinary curriculum involving integrative encounters combining the education of Geriatric Psychiatry fellows and law students and ending with the practical experience of a mock trial. Participants of this symposium will gain knowledge necessary to develop an integrative educational curriculum for Geriatric Psychiatry fellows that results in procurement of skills to serve as an expert witness, to write expert reports and to testify for probate or conservatorship hearings.

How firm size moderates the knowledge and affects the innovation performance? Evidence from Brazilian manufacturing firms

Objective: Consists in explore the relationship between firm size and knowledge to capture the firm innovation performance in Brazilian manufacturing industries.Methodology: Using the production function approach and following the Resource-Based-View – RBV theory, we investigate how the firm internal RD and the degree of intangible assets are moderated by firm size.Originality: The literature in the past decades has tried different methods to find strategies that improve the innovation of a large number of firms in different countries and regions. Yet, there is a large number of firms from emerging economies looking forward to improve productivity and the firm innovation performance.Main results: The results indicated that investment in RD is relevant to the firm performance. Nonetheless, the relationship between RD and firm size showed negative results. In the case of the degree of intangible resources, the same was observed, but the interaction between firm size and intangible assets showed positive effects on the firm performance. Finally, other important characteristics were observed, such as firm age and technology intensity, which showed positive influence over the firm performance.Theoretical contributions: The study showed that the degree of intangible assets is relevant for the firm, as the theory predicts, and it has become valuable for emerging enterprises, once not all firms may conduct RD activities.Social contributions: The findings update the understanding about RD and other intangible assets and provide new information to managers, researchers, and policymakers to develop new policies to promote and finance these activities.

The ties that bind: Knowledge-seeking networks and auditor job performance

The dissemination of knowledge in audit firms is a critical process that has gone relatively unexamined by researchers. Using social network analysis to quantify the knowledge-seeking networks in a Big 4 audit firm in the U.S., we examine the association between the types and patterns of knowledge-seeking ties and individual auditor performance. Our initial finding is that auditor job performance is negatively associated with the number of knowledge-seeking ties. Further, our analyses demonstrate that this negative association is being driven by explicit knowledge-seeking rather than tacit knowledge-seeking activities and is stronger for higher-ranked auditors. Thus, knowledge-seeking by auditors may come at a cost, particularly when that knowledge is codifiable and when the seeking is done by those at higher levels of the firm. In a post-hoc analysis, we find that tacit knowledge-seeking ties to managers can be beneficial for auditor performance, and tacit knowledge-seeking ties to senior managers and partners is sometimes detrimental. In sum, this suggests that who is seeking knowledge and who is being sought for knowledge are both important for performance. Our findings may assist researchers to better understand how auditors leverage their social connections to learn, which in turn may affect audit efficiency and effectiveness. Further, audit firms might benefit from better understanding the consequences of knowledge-seeking from different sources and use this understanding to make decisions that maximize desirable information flows.

New inter-organizational knowledge tie formation after firm relocation: Investigating the impact of spatial, relational, and temporal context

To what extent does the relocation of a firm affect the formation of new knowledge ties with new partners in a subsequent period? This study aims at answering this question. It assesses empirically to what extent the spatial and temporal context of relocation and the relational context of a focal firm affect new knowledge tie formation with new partners in the post-relocation phase. Based on a sample of 83 relocated firms operating in the sector of architecture and engineering consultancy in the Netherlands, the results show that both the number of continued knowledge ties of firms and the time passed after relocation hamper the formation of new knowledge ties. These findings point out that firms are well aware of their knowledge deficits and consequently act quickly to compensate for it after relocation. Therefore, policy makers should target to facilitate knowledge sharing practices particularly for small firms in the post-relocation period.