Strategies in Transferring Technology Across Cultures

1
Strategies in Transferring Technology Across
Cultures
2
THE STUDY
Comparative field-based study of technology
transfer in two global industries, Ball-Bearings
and Paper Manufacturing in 7 countries US,
Japan, England, Germany, Brazil, China, France
3
RESEARCH METHOD
Base Ethnographies Inductive Theory Building
Primary Data Collection - participant
observation - open-ended and
semi-structured interviews Secondary Data
Collection - historical and current
company document analysis
Comparative Field-based Case Studies Theory
Application Expansion
Factory-to-Factory Strong Model
Mother --gt Child Matched Pair Design
Primary Data Collection - depth
interviews - shopfloor
observation - intersubject and longitudinal
triangulation Secondary Data collection
- company document analysis -
industry benchmarking
4
LEVELS OF ANALYSIS

• INSTITUTIONAL ENVIRONMENT
• FIRM
• FACTORY
• SHOP FLOOR

5
WORK ROLES AND LABOR RELATIONS

• NSK/JAPAN
• enterprise unions
• cooperative union-management relations
• flexible job classifications
• maintenance as line function
• biweekly shift rotation of entire han
• seniorityrespect and higher pay?special work
  privileges

• NSK/U.S.
• UAW, union substitution, non-union, greenfield
• adversarial labor relations
• increasingly broader job classifications, but
  clearly specified
• maintenance more of a staff function
• shift rotation resisted by workers and union
• seniority pay and special work
  privileges--gtfirst shot at overtime and shift
  choice

6
INTENDED SCOPE OF TRANSFERBALL-BEARING CULTURE

• Standard Operating Procedures
• maintenance
• quality
• Visual Control
• color-coated bins
• stack lights

• Key Processes
• heat treat
• grinding
• machining
• material handling
• flexible assembly

7
TECHNOLOGY CHARACTERISTICS

• System-Embeddedness
• degree to which technologies and processes rely
  on other organizational systems (Leonard-Barton
  1992, 1995 Tornatzky Fleisher 1990)
• AUTONOMOUS
• SYSTEM-EMBEDDED

• Knowledge-Base
• know-how associated with implementing and
  operating technology (Kogut Zander
  1992)
• TACIT subjective, taken-for-granted, socialized
  knowledge
• EXPLICIT objective, codified, rational

(Polanyi 1966 Nonaka Takeuchi
1995 Doz et al. 1996)
8
KEY DIMENSIONS OF MODEL
Tacit Knowledge Base
System Embeddedness
Autonomous
Explicit Knowledge Base
9
Model Relating Technology Characteristics to
Recontextualization
Tacit Knowledge Base
High Recontextualization
System Embeddedness
Autonomous
Low Recontextualization
Explicit Knowledge Base
10
Model Relating Technology Characteristics to
Recontextualization
Tacit Knowledge Base
High Recontextualization
I
IV
SOCIAL PROCESSES
PRODUCTION TOOLS
System Embeddedness
Autonomous
II
III
SOPs SKILL SETS
PHYSICAL EQUIPMENT
Low Recontextualization
Explicit Knowledge Base
11
Model Relating Technology Characteristics to
Recontextualization
Tacit Knowledge Base
SOCIAL PROCESSES
PRODUCTION TOOLS
High Recontextualization
Production Charts ??
I
IV
Visual Controls ??
MRP System ?
Flexible Assembly??
System Embeddedness
Autonomous
???Engineering Expertise
???Machine Operation Expertise
Heat treat ??
II
III
? Grinding (UA1-6)
??Maintenance Procedures
???Quality Procedures
??Machining
Low Recontextualization
??Automated Material Handling
??Workplace Organization
SOPs SKILL SETS
PHYSICAL EQUIPMENT
Explicit Knowledge Base
12
Model Relating Technology Characteristics to
Recontextualization
Tacit Knowledge Base
SOCIAL PROCESSES
PRODUCTION TOOLS
High Recontextualization
Kaizen ??
Shopfloor teams ??
Shopfloor discipline ??
I
IV
Work Roles ??
??Labor Relations
???Q C Circles?
System Embeddedness
Autonomous
II
III
Low Recontextualization
SOPs SKILL SETS
PHYSICAL EQUIPMENT
Explicit Knowledge Base
13
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TEAMS

• Traditional shopfloor teams
• no formal team structure
• Q-tips movement --gt failed
• topic given by supervisor
• volunteer own time
• NSK Japan
• han and line -- formal work groups
• special task forces to solve specific problems
• quality circles
• team work as a way of life
• Contemporary Self-Directed teams
• local learning -- negotiated structure w/ MOA
• Japan-led learning -- tacit --gt tacit

15
STANDARDIZATION

• NSK/JAPAN
• innumerable NES standards from Tokyo
• standards religiously followed
• strong discipline in workplace organization and
  cleanliness
• procedural consistency in operating and
  maintaining equipment
• tight scheduling of people around needs of
  production

• NSK/U.S.
• fewer standards
• difficulties in getting operators to follow
  standards
• ongoing housekeeping issues
• procedural consistency in operations but
  continuing difficulties in disciplined
  maintenance
• issues of seniority, team follow-through, and
  punctuality

16
WORK ROLES AND LABOR RELATIONS

• NSK/JAPAN
• enterprise unions
• cooperative union-management relations
• flexible job classifications
• maintenance as line function
• biweekly shift rotation of entire han
• seniorityrespect and higher pay?special work
  privileges

• NSK/U.S.
• UAW, union substitution, non-union, greenfield
• adversarial labor relations
• increasingly broader job classifications, but
  clearly specified
• maintenance more of a staff function
• shift rotation resisted by workers and union
• seniority pay and special work
  privileges--gtfirst shot at overtime and shift
  choice

17
IMPLICATIONS

• Know-how is filtered both by senders and
  recipients
• Managers need to consider the tacit and embedded
  nature of technology
• Much of what makes an organizational system work
  is situated tacit knowledge
• The more explicit the knowledge-base, the easier
  to de-contextualize, the more control of
  recontextualization
• Some uncertainty around fit of technology can be
  reduced by anticipating and monitoring
  recontextualization
• Performance indicators as clues for
  recontextualization

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THEORETICAL CONTRIBUTIONS

• The effects of culture (national, organizational,
  occupational) as knowledge systems on
  internationalization and technology transfer
• Semantic fit as a necessary complement to
  strategic fit
• Recontextualization as a function of
  knowledge-base and system-embeddedness
• More robust model of organization-environment fit

19
Model Relating Technology Characteristics to
Recontextualization
Tacit Knowledge Base
SOCIAL PROCESSES
PRODUCTION TOOLS
High Recontextualization
I
IV
System Embeddedness
Autonomous
II
III
Low Recontextualization
SOPs SKILL SETS
PHYSICAL EQUIPMENT
Explicit Knowledge Base
20
WHAT RECONTEXTUALIZATIONS MIGHT YOU PREDICT FOR
YOUR COMPANYS TECHNOLOGY TRANSFER TO A
PARTICULAR COUNTRY OR ORGANIZATIONAL TARGET?
21
Knowledge Management Across Distance and
Differentiated Contexts

• Growing complexities of managing multiple
  businesses at multiple sites with multiple
  partners around the world.
• Managers need to excel at learning and knowledge
  arbitrage, not just data and information control.
  
• Sources of learning and knowledge are becoming
  more dispersed geographically and
  organizationally
• Competitive advantages are less secure and
  sustainable
• Substitute products
• Improved processes
• Alternative technical platforms and technologies
  appear quickly, often much sooner than expected.

22
Knowledge Management Continued...

• Sources of learning and knowledge geographically
  and organizationally more dispersed
• Competitive advantages of firms are less secure
  and sustainable
• Substitute products
• Improved processes
• Alternative technical platforms and
  technologies appear quickly and sooner
  than expected.

23
Knowledge/Learning Paradox
24
Geographical Distance / Organizational Context
Differentiation Map
25
Range of Management Response Processes
26
Framework for Knowledge Sharing Across Distance
and Differentiated Contexts
(y)
Existential
Knowledge Base
Experiential
Decreasing Complexity
Increasing Recontextualization
NATURE OF THE CHALLENGE
MANAGEMENT RESPONSE PROCESSES
Explicit
Co-location Co-setting
CD
High DD
Distance and Differentiation
(x)
Knowledge Replication
Meld
Knowledge Management
CONTEXT MANAGEMENT
New Learning
(z)
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Knowledge Management Across Distance and
Differentiated Contexts

• Identify
• Information and Innovation Needs
• Establish
• Ongoing Knowledge Scanning Structures and Systems
• Create and Sustain
• Culture of Learning and Knowledge Management
• Sustain
• Virtual Knowledge Feedback Loop
• New Learning/ Meld / Knowledge Replication

28
HOW MIGHT YOUR COMPANY GO ABOUT TRANSFERING THESE
COMPENTENCIES ACROSS DISTANCE AND DIFFERENTIATED
CONTEXTS?