Managing Knowledge Transfer in International Alliances

Although managing knowledge assets is critical for firm success, organizational knowledge is hard to capture, transfer, and make useable. Because knowledge is embedded in organizational structures, processes, procedures, and routines, it is not easy to separate knowledge from the context in which it has been created. In addition, when knowledge is highly tacit, it is difficult to transfer without moving the people who have the knowledge. Thus, even though many studies have argued that the ability to transfer knowledge is a primary source for a firm's competitive advantage, relatively little is known about how to transfer knowledge within and across organizational boundaries. This article explores organizational knowledge transfer and illustrates the discussion with two cases of successful knowledge transfer. Two related and fundamental premises anchor the article: (1) knowledge-transfer effectiveness can be actively managed and improved upon and (2) it is possible to design organizational strategies and structures to support and enhance knowledge sharing.