Amer Aljarallah Switi Bora Vivek Voona The Distinctive Japanese Approach Tacit/Explicit Knowledge Spiral Model Metaphor, Analogy, and Model Chaos to Concept Japanese business experts Nonaka and Takcuchi are the first to tie the success of Japanese companies to their ability to create new knowledge. Nonaka proposes a fresh way to think about managerial roles and responsibilities, organizational design, and business practices in the knowledge creating company Any company that wants to compete on knowledge must also learn from Japanese techniques of knowledge-creation. • Western knowledge is based on explicit knowledge -They see company as a kind of machine for information processing -Westerners believe that the only useful knowledge data is formal and systematic-hard data, procedures, universal principles • Tacit knowledge is more important in Japan -Organization is a living organism -Tacit knowledge is highly personal • Tacit knowledge Difficult to articulate and generally expressible only through actions • Explicit Knowledge Can be articulate, codified, stored, transferred through documents. • Socialization • Externalization • Combination • Internalization Problems faced in the development of automatic home bread-making machine. -Machine was not kneading dough correctly -Crust of bread was overcooked -While inside was hardly done Analyzed the problem by comparing the x-ray of dough kneaded by the machine and the dough kneaded by professional baker. Even then they were unable to obtain meaningful data. No one could explain why. Software developer Ikuko Tanaka proposed a creative solution 1. Use Osaka International Hotel’s bread making as model. 2. Tanaka trained with the hotel’s head baker to study kneading technique. 3. She observed baker’s distinctive way of stretching dough. 4. After year of trial and error ,working closely with product engineer she came up with product specification 5. Include additional ribs inside machine. 6. After including additional special ribs inside machine - Machine reproduced bakers stretching and - Quality bread Knowledge creation pattern Metaphors Metaphors are one of the frequently neglected but highly important management tools for converting Tacit Knowledge to Explicit Knowledge. Japanese companies use the figurative language of Metaphors at all levels of the company and in all phases of the product development process. Honda is one such company and following is a closer look at how the use of metaphors in Honda revolutionized the auto market. “Theory of Automobile Evolution” “Let’s Gamble” “Man-Maximum, Machine-Minimum” “Tall Boy” People Metaphor + Intuition + Imagination + Symbols Express the Inexpressible Analogy In the Knowledge Creation Process, a Metaphor is only the first stage. The next step is an Analogy. A Metaphor links two distinct images and is driven by intuition where as an Analogy clarifies the similarities and differences between them and harmonizes the contradictions. A great example of an Analogy is the Canons development of the revolutionary minicopier. Pure Imagination Analogy Logical thinking Model • The last step in the knowledge creation process • Contradictions are resolved • Concepts become transferable through consistent and systematic logic In theory, we can see the Metaphor, Analogy, and Model as different entities. In reality, they overlap and is hard to distinguish but the three terms capture the complete Knowledge Creation in an organization. Metaphor Analogy Model Redundancy Business Activities Managerial Responsibilities Company Information Team2 Team1 Team3 Best approach Production R&D Kao Sales Marketing Top Mgmt Company Information Middle Mgmt Frontline Vision Top Management Middle Management Conceptualization Frontline Chaos { Synthesizing Explicit-ing Incorporating Umbrella concept “Optoelectronics” – Sharp Justification of value “It’s our fate to deal with this challenge” - Mazda Open-ended vision “Let’s gamble” - Honda