Knowledge-based strategies: a foundation of a typology

Authors:
Meir Russ;Jeannette K. Jones;Robert Fineman
Affiliations:
Department of Business Administration, University of Wisconsin-Green Bay, Wood Hall 460 G, 2420 Nicolet Drive, Green Bay, WI 54311-7001, USA.;Franklin University, 201 S. Grant Avenue, Columbus, OH 43215, USA.;Q Squared Knowledge Management, Inc., 96 East Elk Court, Hainesville, IL 60030, USA
Venue:
International Journal of Information Technology and Management
Year:
2005

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Abstract

Knowledge, besides being recognised as a business asset, is being considered a crucial component of business strategy. As a result, companies are investing heavily in Information Systems (IS) technologies. Unfortunately, very often the investments do not fulfill their expected returns. This paper embarks on the development of a typology of Knowledge-Based (KB) strategies to address this situation. Two alternative strategies were identified and a set of survey instruments was validated. The analysis showed that the strategies had a positive relationship to R&D and training and development investments and had a direct and indirect relationship with organisational outcomes. The research indicates that KB strategies are significantly related to all IS technologies studied. Evidence of reciprocal relationships between IS technologies and KB strategies was found for specific and different IS technologies. This may suggest that some technologies are more important for a specific KB strategy. The analysis also indicates that there is a significant relationship between business outcomes, KB strategies, and IS technologies in the case of earnings.