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Article
Publication date: 1 February 2021

Novi Lailatul Khoirunnisa and Rangga Almahendra

This study aims to explore the extent to which inter-organizational hybrid governance manages the micro design for optimum reverse knowledge transfer in the open innovation…

Abstract

Purpose

This study aims to explore the extent to which inter-organizational hybrid governance manages the micro design for optimum reverse knowledge transfer in the open innovation context. The authors use two essential facets of micro design in hybrid governance: product adaptation and integration mechanism.

Design/methodology/approach

Data for this study were collected from franchisees through structured questionnaires in Indonesia.

Findings

Results indicated that product adaptation has a positive relationship with reverse knowledge transfer. This study also found that the formalization strengthens the relationship between product adaptation and reverse knowledge transfer. However, the socialization does not have a moderation effect.

Research limitations/implications

This research estimates the knowledge transfer from the agent’s side only. Therefore, further research is expected to estimate the reverse knowledge transfer in dyads (from agent and principal) to get a detailed understanding of reverse knowledge transfer.

Practical implications

This study offers guidelines to managers, especially in inter-organizational hybrid governance. The authors suggest reverse knowledge transfer as a form to manage the dispersed knowledge from their agents. Governing institutions should change their view that agents have diverse knowledgebase from experience adapting to local conditions and can improve their open innovation through reverse knowledge transfer. From the results, it is found that giving agents the flexibility to adapt products can boost reverse knowledge transfer to support open innovation.

Originality/value

This study provides an understanding of the utilization of external knowledge sourcing in the context of open innovation from agent to principal in hybrid governance through reverse knowledge transfer, which has thus far been empirically under-researched.

Details

Journal of Knowledge Management, vol. 26 no. 4
Type: Research Article
ISSN: 1367-3270

Keywords

Article
Publication date: 23 May 2019

Muhammad Mustafa Raziq, Cristina Doritta Rodrigues, Felipe Mendes Borini, Omer Farooq Malik and Abubakr Saeed

Multinational enterprises (MNEs) encourage their subsidiaries to develop and transfer their unique knowledge and expertise back to the MNE as it is critical for the development of…

Abstract

Purpose

Multinational enterprises (MNEs) encourage their subsidiaries to develop and transfer their unique knowledge and expertise back to the MNE as it is critical for the development of the MNE as a whole. However, what underlies the subsidiary ability to create such specialized knowledge that can be transferred to the MNE is less clear. The purpose of this paper is to examine the influence of MNE entrepreneurial strategy, subsidiary initiatives and expatriation on reverse knowledge transfers in a cross-country comparative context.

Design/methodology/approach

Data are gathered through surveys from 429 foreign subsidiaries operating in New Zealand and 164 subsidiaries in Brazil, and these are analyzed using variance-based structural equation modeling.

Findings

Subsidiary initiatives partially mediate the relationship between MNE entrepreneurial strategy and reverse knowledge transfers in case of subsidiaries operating in Brazil, but they fully mediate in case of New Zealand. Furthermore, expatriation, in case of the latter, has a negative interaction in the relationship between subsidiary initiative and reverse knowledge transfers, but, in case of the former, it has no moderating role. Overall, the results suggest that the influence of MNE entrepreneurial strategy and expatriation on reverse knowledge transfers can be explained by contingencies such as the subsidiary host economy and the heterogenous HQ–subsidiary relationships.

Originality/value

The paper contributes to literature by identifying some contingencies with regard to the occurrence of reverse knowledge transfers. It addresses some research calls with regard to examining reverse knowledge transfers and the role of expatriation across different empirical contexts.

Details

European Journal of Innovation Management, vol. 23 no. 1
Type: Research Article
ISSN: 1460-1060

Keywords

Article
Publication date: 9 September 2013

Nishant Kumar

This study aims to provide insight to the little-researched phenomenon of reverse knowledge flow within multinational corporations (MNCs) and to explain the role of managerial

2168

Abstract

Purpose

This study aims to provide insight to the little-researched phenomenon of reverse knowledge flow within multinational corporations (MNCs) and to explain the role of managerial attention in exploiting the prospect of knowledge transfer from subsidiaries located in developing countries.

Design/methodology/approach

Existing literature across disciplines has been integrated to provide a clear description of the concept of reverse knowledge flow and managerial attention, in order to explain the role of managerial attention in reverse knowledge transfer activities within MNCs. Two pilot studies were conducted on European MNCs to build the background for this study.

Findings

Managerial attention is a key factor in recognising potential source of knowledge within the multinational network, and a prior requirement for knowledge transfer to take place. Attention decisions are partially based on the knowledge source location, awareness/attractiveness, and the strategic importance. Thus, MNCs can adopt managerial practices and control mechanisms to influence the attention of executives and achieve higher knowledge flow from subsidiaries.

Research limitations/implications

There is a need to undertake empirical research and in-depth case studies of knowledge management practices using the arguments and framework provided in this article.

Practical implications

MNCs can develop mechanisms for overcoming attention biases influence on reverse knowledge flow. The attention based approach can lead to better subsidiary integration and knowledge management practices in MNCs.

Originality/value

This study advances the theory on reverse knowledge flow in MNCs by presenting an attention based theoretical framework for effective knowledge transfer.

Details

Journal of Knowledge Management, vol. 17 no. 5
Type: Research Article
ISSN: 1367-3270

Keywords

Article
Publication date: 29 November 2019

Peder Veng Søberg and Brian Vejrum Wæhrens

This paper aims to explore the effect of subsidiary autonomy on knowledge transfers during captive offshoring to emerging markets.

Abstract

Purpose

This paper aims to explore the effect of subsidiary autonomy on knowledge transfers during captive offshoring to emerging markets.

Design/methodology/approach

Five longitudinal cases of captive R&D and manufacturing offshoring to emerging markets.

Findings

The propositions entail the dual effect of operational subsidiary autonomy on primary knowledge transfer and reverse knowledge transfer. For newly established subsidiaries, operational subsidiary autonomy has a mainly negative effect on primary knowledge transfer and a mainly positive effect on reverse knowledge transfer and local collaboration activities increase this effect. Strategic subsidiary autonomy is mainly negative for primary and reverse knowledge transfer.

Research limitations/implications

Limitations concerning the applied exploratory case study approach suggest that further research should test the identified relationships using surveys, after the initial pilot study.

Practical implications

A gradual increase of operational subsidiary autonomy as the subsidiary capability level increases is beneficial to ensure primary knowledge transfer. Allowing subsidiaries to collaborate locally within the confines of their mandates benefits reverse knowledge transfer.

Originality/value

This paper extends the secondary knowledge transfer concept to include knowledge flows with local collaboration partners, not only other subsidiaries and clarifies the distinction between operational and strategic autonomy concerning local collaboration. A subsidiary asserts operational autonomy when its collaboration with local partners relates to its existing mandate. A subsidiary asserts strategic autonomy when it collaborates with local partners beyond this mandate.

Details

Journal of Global Operations and Strategic Sourcing, vol. 13 no. 2
Type: Research Article
ISSN: 2398-5364

Keywords

Article
Publication date: 4 July 2018

Davor Vlajcic, Giacomo Marzi, Andrea Caputo and Marina Dabic

The purpose of this paper is to investigate the ways in which the geographical distance between headquarters and subsidiaries moderates the relationship between cultural…

1504

Abstract

Purpose

The purpose of this paper is to investigate the ways in which the geographical distance between headquarters and subsidiaries moderates the relationship between cultural intelligence and the knowledge transfer process.

Design/methodology/approach

A sample of 103 senior expatriate managers working in Croatia from several European and non-European countries was used to test the hypotheses. Data were collected using questionnaires, while the methodology employed to test the relationship between the variables was partial least square. Furthermore, interaction-moderation effect was utilized to test the impact of geographical distance and, for testing control variables, partial least square multigroup analysis was used.

Findings

Cultural intelligence plays a significant role in the knowledge transfer process performance. However, geographical distance has the power to moderate this relationship based on the direction of knowledge transfer. In conventional knowledge transfer, geographical distance has no significant impact. On the contrary, data have shown that, in reverse knowledge transfer, geographical distance has a moderately relevant effect. The authors supposed that these findings could be connected to the specific location of the knowledge produced by subsidiaries.

Practical implications

Multinational companies should take into consideration that the further away a subsidiary is from the headquarters, and the varying difference between cultures, cannot be completely mitigated by the ability of the manager to deal with cultural differences, namely cultural intelligence. Thus, multinational companies need to allocate resources to facilitate the knowledge transfer between subsidiaries.

Originality/value

The present study stresses the importance of cultural intelligence in the knowledge transfer process, opening up a new stream of research inside these two areas of research.

Details

Business Process Management Journal, vol. 25 no. 1
Type: Research Article
ISSN: 1463-7154

Keywords

Open Access
Article
Publication date: 15 December 2020

Barbara Jankowska, Małgorzata Bartosik-Purgat and Iwona Olejnik

The aim of the paper is to identify the determinants of the marketing and managerial knowledge transfer from a foreign subsidiary located in a post-transition country to its…

2055

Abstract

Purpose

The aim of the paper is to identify the determinants of the marketing and managerial knowledge transfer from a foreign subsidiary located in a post-transition country to its headquarters established in a developed country.

Design/methodology/approach

The authors combined the critical literature studies and empirical research, where the method of Computer-assisted Telephone Interview (CATI) was applied. The empirical data was gathered from 231 manufacturing foreign subsidiaries established in Poland (as one of the post-transition economy). To test the hypotheses logistic regression was applied.

Findings

The knowledge accumulated in the foreign subsidiary, the amount and level of novelty of innovation in the foreign subsidiary and its strategic autonomy is crucial for the occurrence of the reverse knowledge transfer. However, the more powerful the foreign subsidiary is, the less eager it is to transfer marketing and managerial knowledge to the headquarters.

Research limitations/implications

The study is concentrated just on the manufacturing sector in the Polish economy. The results are based on the opinions and perception of managers, but they represent the corporate perspective (not their individual ones).

Practical implications

The study provokes asking the question about the proper level of strategic autonomy of a foreign subsidiary. The implication related to the autonomy is much about the proper strategy for human resources management. The obtained results indicate that the intensity of innovation in a foreign subsidiary “translates” to the outflow of knowledge from a foreign subsidiary to its headquarters. Thus, encourages headquarters to let their subsidiaries innovate still monitoring their power.

Social implications

FSs are entities more or less embedded in the host markets, thus their strength and sustainable existence is important for their stakeholders, in particular – internal entities such as employees and external entities such as suppliers, and other cooperating organisations and institutions in the host market. The contribution of FSs to the innovation performance and knowledge pool of external partners is determined much by their absorptive capacity. Thus, the results obtained indirectly point to the importance of external agents ability to absorb and exploit the knowledge.

Originality/value

The originality of the paper concerns three issues. Firstly, the previous studies are mainly focused on either developed or emerging markets and as a result, the peculiarity of post-transition economies, like Poland has been neglected. Secondly, the determinants of reverse knowledge transfer are presented from the corporate perspective. Thirdly, authors focus on marketing and management knowledge distributed from a foreign subsidiary to its headquarter.

Details

Journal of Intellectual Capital, vol. 22 no. 6
Type: Research Article
ISSN: 1469-1930

Keywords

Article
Publication date: 3 July 2017

Qi Ai and Hui Tan

This paper examines the role of acquirers’ prior related knowledge in the post-acquisition integration process. The purpose of this paper is to identify what constitutes the key…

1368

Abstract

Purpose

This paper examines the role of acquirers’ prior related knowledge in the post-acquisition integration process. The purpose of this paper is to identify what constitutes the key prior related knowledge that can contribute to the reverse knowledge transfer following Chinese firms’ outward mergers and acquisitions (M&As) to Europe, and explain how prior related knowledge affects such transfer of knowledge.

Design/methodology/approach

The authors employ a multiple case study approach. Semi-structured interviews were conducted from February 2012 to June 2013 with 24 managers.

Findings

The authors find that, in addition to knowledge about the target, prior international business experience, R&D capability, and industrial capabilities are key components of acquirers’ prior related knowledge that can contribute to the success of M&A integration and post-acquisition reverse knowledge transfer. Indeed, Chinese acquirers’ prior related knowledge can influence the reverse knowledge transfer from acquired firms to acquirers by directly improving acquirers’ absorptive capacity and building a harmonious organisational climate to facilitate such transfer.

Originality/value

This paper contributes to the absorptive capacity and the cross-border M&A literature. It extends the current knowledge on the key components of an acquirer’s prior related knowledge in the outward M&A by Chinese firms. It also uncovers how post-acquisition reverse knowledge transfer is affected by acquirers’ prior related knowledge.

Details

Journal of Organizational Change Management, vol. 30 no. 4
Type: Research Article
ISSN: 0953-4814

Keywords

Article
Publication date: 9 June 2022

Nivisha Singh, Ritesh Pandey, Rohit Gupta, Baidyanath Biswas and Shubhi Gupta

This study aims to synthesize extant literature on the concept of reverse knowledge transfer (RKT) built up over the past two decades with the help of bibliometric analyssis and…

Abstract

Purpose

This study aims to synthesize extant literature on the concept of reverse knowledge transfer (RKT) built up over the past two decades with the help of bibliometric analyssis and also to suggest promising new areas for research in this field.

Design/methodology/approach

The study adopts a literature review methodology combined with bibliometric and network analysis based on 117 papers identified from the Scopus database. In particular, this study has tried to identify and capture themes not previously fully captured or evaluated by other reviews on this topic.

Findings

The authors have identified research themes and research gaps in the area of RKT. Overall, the review shows the main outlets that have published papers on RKT and the theoretical background this research is built on. This study exhibits core themes in this area that have persisted and grown consistently such as the subsidiary’s role in RKT. In addition, the review highlights less researched themes such as role of boundary spanning in RKT, which open exciting avenues for new research opportunities.

Research limitations/implications

This study finds that RKT research has experienced remarkable growth from a complete viewpoint in recent years. There was a surge in publications in the area from 2008 onwards, and many of its influential papers seemed to have been published between 2013 and 2018. Prominent themes in this body of research have been identified and potential for future studies has been explored.

Originality/value

To the best of the authors’ knowledge, this is the first study to map, synthesize and discuss the literature concerning RKT.

Details

VINE Journal of Information and Knowledge Management Systems, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2059-5891

Keywords

Article
Publication date: 10 September 2021

Mehdi Rasouli Ghahroudi, Seyed Hossein Chabok and Kieran M. Conroy

This study aims to focus on dual embeddedness as an important channel through which foreign subsidiaries access and share valuable and idiosyncratic knowledge within the…

Abstract

Purpose

This study aims to focus on dual embeddedness as an important channel through which foreign subsidiaries access and share valuable and idiosyncratic knowledge within the multinational corporation (MNC). The authors examine the dual embeddedness challenges of foreign subsidiaries based in the context of Iran as a transitional market.

Design/methodology/approach

The final sample includes 144 active foreign subsidiaries in Iran from across a broad range of industries. A structured questionnaire was distributed to firms and structural equation modeling was adopted to analyze the results.

Findings

The findings reveal how building external embeddedness in an environment with potentially poor access to valuable knowledge, and risk of knowledge leakage impacts the subsidiary’s ability to subsequently transfer this knowledge within the MNC. The authors identify the significance of absorptive capacity as a way for the subsidiary to access knowledge from and share knowledge with firms in the local market.

Originality/value

Departing from existing work on subsidiary embeddedness in developed markets, the authors reveal how competence creating subsidiaries manage dual embeddedness and knowledge transfer in transition economies that are low in knowledge stocks. The authors unpack how subsidiary absorptive capacity enables access to local knowledge in a transitional market and increases reverse knowledge transfer in the MNC. In doing so, the authors answer calls for work on the dynamic and complementary relationships that exists between subsidiary dual embeddedness, absorptive capacity and knowledge sourcing in less open markets. Focusing on Iran as a transitional economy, this study provides greater contextual nuance to the extant literature on subsidiary dual embeddedness.

Details

Multinational Business Review, vol. 30 no. 3
Type: Research Article
ISSN: 1525-383X

Keywords

Article
Publication date: 6 October 2021

Felipe Mendes Borini, Leandro Lima Santos, Muhammad Mustafa Raziq, Rafael Morais Pereira and Aldo José Brunhara

This paper underscores how organizational ambidexterity and organizational innovation play differentiated roles in the subsidiary reverse knowledge transfers (RKT). The authors…

Abstract

Purpose

This paper underscores how organizational ambidexterity and organizational innovation play differentiated roles in the subsidiary reverse knowledge transfers (RKT). The authors argue that both organizational ambidexterity and organizational innovation play a positive but differentiated role in the RKT process in that the former positively influences subsidiary knowledge creation, whereas the latter positively influences subsidiary knowledge transfers.

Design/methodology/approach

Data were collected from 289 foreign subsidiaries operating in Brazil. Hypotheses were developed and tested by applying partial least squares structural equation modeling.

Findings

The results supported the hypotheses and showed that organizational ambidexterity promotes knowledge creation, and that organizational innovation facilitates knowledge transfers.

Research limitations/implications

The paper offers implications with regard to drivers of subsidiary investments and actions of subsidiary managers vis-à-vis the subsidiary objectives of knowledge creation and/or transfers.

Originality/value

Showing the different roles of organizational ambidexterity and organizational innovation, this paper reveals some underlying mechanisms of the RKT process and contributes by explaining the competitive heterogeneity of subsidiaries, with impacts on subsidiary management’s evolutionary and resource dependence perspective.

Details

Journal of Knowledge Management, vol. 26 no. 1
Type: Research Article
ISSN: 1367-3270

Keywords

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