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Proceedings IFKAD 2014

Knowledge and Management Models for Sustainable Growth
List of Included Articles:
How to facilitate social innovation? – The “Innopresence-method” as a tool towards sustainability
Virpi Koskela, Suvi Konsti-Laakso

Purpose – This study will introduce the new practice-based method of facilitation which may be useful in the battlefield of misunderstandings, preconceptions, and outdated attitudes of working life, but also as a fruitful tool towards social innovation. The seed for the birth of Innopresence-method came from the practice-based experience of organizational working life – from the workers’ experiences of presence. Design/methodology/approach – The Innopresence is based on the collected data of the (social) innovation development work executed in Finland during the years 2011 – 2014 with the help of 277 worker’s experiences. The qualitative, phenomenological analysed study submits that the most important part of facilitation is to make people open enough to share their practical and tacit knowledge in a common space, in the ba of equality, which could be seen as a place of open dialogue where everybody is treated equally. Originality/value –Social innovation may be seen as a process where a new solution is found for a problem by considering it from a new point of view by for example developing ‘common spaces of sharing’ together equally with everybody in the community – where participants of dialogue are valuable resources of knowledge and (social) innovation (Heikkilä & Heikkilä, 2001). These spaces of sharing seem to be an important part of social innovation -these‘bas’ (arenas for social interaction; Pässilä, Uotila & Melkas, 2013) of equality are the “seedcases” and significant constituents of new (social and sustainable) innovations. Practical implications – The outcomes of the application of the creation process and use of Innopresence-method has showed that there is a need for common spaces of sharing in the field of Finnish working life. Through the emerging themes of experiences it appears that together built and shared spaces have helped employees to change their thinking models of daily work towards more sustainable and innovative ways to develop it – and create new kind of social innovations. Workers in organizational playgrounds should have time and space to share concrete experiences of their work to develop new, socially sustainably ideas and innovations.

The Albergo Diffuso as an example of management model for sustainable growth of organizations and communities, the case study of Gal Cosvel in Basilicata
Angela Passarelli, Roberto Carella, Antonella Desiati, Giuseppe Colluci

In last years there has been a change in the choice of tourist destinations due to a grow of alternative forms of hospitality. In fact new generation of tourists shows a certain impatience with standardized holiday and starts searching for most authentic products reflecting the culture of the place. The success of these new tourist practices manifests the cultural change that has affected all aspects of today’s society, moving from the sphere of values, finds expression in behaviour and consumption patterns.In fact the new generation of tourists shows a certain impatience with products of the standardized and comprehensive holiday, and starts searching for most authentic products which are closer to the culture of place In Basilicata a project promoted by the Gal Cosvel (Group of local action, Consortium for the development of the local economy),supported AD because is a sustainable formula and doesn’t modify in some way the territorial order and encourage to reuse of the existing patrimony.

Meetings of Minds: art and science dialogues for sustainable knowledge
Marina Wallace

Purpose –The focus of this paper is to highlight process and outcomes of interdisciplinary communication. In particular, the starting point is an established dialogue in the field of art and science. The background to this dialogue is constructed so as a response to the request by a community of scientists to communicate to the general public their research in human cell division and mitosis. Design/methodology/approach – The proposed approach is an arts-based practical approach, reflecting on a series of actual collaborations created between pairs of renowned artists and scientists, analysing the process and the outcome using as reference point the established field of dissemination of knowledge through comparisons and differences between professional activities and cultures. Originality/value –This methodology puts in evidence the actual process in action of generating an exhibition and making a documentary film with the artists and the scientists, against a firm background of historical information and contemporary scientific developments. Practical implications – The project that serves as the basis of this paper has a practical realisation of three exhibitions and one documentary film, with a series of meetings and exchanges that have taken place throughout a period of five years between artists and scientists.

Overcoming the Seven Barriers to Innovating Personal Knowledge Management Systems
Ulrich Schmitt

Purpose – Recently, suggestions to advance Personal Knowledge Management (PKM) have been voiced in order to provide the missing support tools for the rising Creative Class. Based on the assumption of autonomous capacities and nourished by the creative conversation of many individuals’ PKM devices, the systems are supposed to support the notion that knowledge and skills of knowledge workers are portable and mobile and that a technology ought to back their options on how to maintain and develop their knowledge and on where, how, and for whom they will put it to work. Design/methodology/approach – Currently, a prototype system pursuing this concept is about to be converted into a marketable PKM system (PKMS) by the author. This applied research paper complements a series of twelve papers which share the common verdict that a technology is overdue that aims to aid teamwork, life-long-learning, resourcefulness, and creativity of individuals throughout their academic and professional life and as contributors and beneficiaries of organizational performance. This particular paper focusses on an important concern since the realization of these kind of novel PKM solutions presently face severe barriers caused by the current paradigm, logics and logistics of centralized institutional systems thinking. Originality/value – PKM has been placed historically in a narrow individualistic confinement negating its importance relating to group member performance, new technologies, or business processes. The recent papers have discussed different views and expectations and introduced a concept and prototype system following a novel meme-based rather than document-centric approach. One of the current papers ‘PKM Devices – The next Co-evolutionary Driver of Human Development?!’ also looked at it in the context of human civilization and has fully agreed with Levy’s statement: “Just as computer science underwent a revolution in the 1980s with the widespread use of personal computers, it is possible that KM will in the twenty-first century experience a decentralizing revolution that gives more power and autonomy to individuals and self-organized groups.” Practical implications – As enablers of personal development and people empowerment, decentralized autonomous PKMS capacities will give individuals a better chance of navigating today’s abundance of information and changing career patterns. At the same time, one of the most important functions of teaching will be to encourage in students the sustainable growth of autonomous capacities in Personal KM. It follows, that PKMS are also predestined to offer appealing and viable opportunities for other stakeholders in the educational, professional, societal, and developmental context.

Creativity in waterfront renewal: A sustainable approach
Assunta Martone, Marichela Sepe

Purpose – In contemporary city the competitiveness is increasingly played on creative regeneration to achieve a more comprehensive and sustainable development. As regards, the paper aims at illustrating the case study of creative urban regeneration of Lyon Confluence. Thanks to the Confluence renewal, that will be explained focusing on history of places, urban projects implemented, sustainable socio-economic regeneration and participation policies, Lyon is part of the Creative City Network promoted by UNESCO and is reaching quite a good ranking among world cities in Quality of living. A first assessment of critical and positive factors of this process, still under development, will conclude the paper. Design/methodology/approach – Our approach is focused on creative cities, which has its origin in the research into reasons why several cities gain attractiveness and competitiveness in recent decades. Such cities improve the interaction among urban regeneration, economic development and social renewal. These experiences show that their competitiveness is based on local peculiarities shaping the city brand. This case study is part of a broader research programme Innovation and competitivity in the global economy, in development by IRAT CNR. The objectives are: creation of a methodology aimed at identifying and designing the creative and identity resources in emblematic areas of urban transformation; identification of urban regeneration best practices; identification of guidelines for sustainable urban regenerations. Originality/value – The case study highlights, in an original way, an integrated approach to sustainable urban creative regeneration. In fact, Lyon is an emblematic case of urban regeneration among the French cities since the main project Lyon Confluence appears a singular example. It regards a particular territory with a strong identity, and its renewal seems to be able to both preserve nature and landscape, and revitalizing local economy consistent with the culture and vision of the residents. In 1995 Lyon started the renewal process aimed at launching the city at an international level, and attempted to change the Lyonnaise identity, based on silk and industrial production, redefining it on quality of life, attractiveness and creativity. Practical implications – The study described in this paper is related to the identification of the best practices of urban regeneration in Europe, and the conducted analysis is also aimed at gather suggestions and advice for policy makers. Although the Lyon Confluence renewal project is still under development, a first assessment of critical and positive factors of this process which will be described in the paper, could be carried out. This include the problems observed within the urban regeneration of Confluence which are essentially of physical and relational/cultural nature.

Systematic Workshop-Design: How Programming Creativity Methods enable Innovation and successful interdisciplinary Teamwork
Jörg Rainer Noennig, Anja Jannack

Purpose – The paper reports on the impact of designing a creativity workshop schedule in terms of successful cooperation and project generation. It is based on a series of creativity workshops designed and conducted by researchers of Knowledge Architecture, a new scientific field at TU Dresden. Knowledge architecture utilizes architectural processes and tools in order to develop conceptions of non-architectural items, as organizational design, product development, innovation- or knowledge management. Whereas groups and teams of divergent scientific fields and professions are focused. Background – These days scientific research and industrial development are getting more and more complex. To find appropriate and problem-oriented solutions, different disciplines have to cooperate and collaborate closely. Design/methodology/approach – In order to focus on the interplay of the design of the workshop and the success of the interdisciplinary teamwork a systematic framework is derived from several case studies. These workshops were documented and analysed systematically. Creative techniques were developed and successfully implemented into workshop practice. Originality / Value / Practical implications – From the observations so far, a number of findings can be stated. Generally, the implementation of architectural methods was quite successful, and appears to be a way to increase variety, creativity, and innovations. But not only the creative techniques themselves are influencing the workshop results, moreover the design of the procedure and the arrangement of different tools, methods and sequences evolved as a key driver of successful interdisciplinary cooperation. Interdisciplinary cooperation has to be taught, learned and practiced in a long-term. Therefore a theory of creative for collectives is needed. This may be facilitated by discussed systematic and customized program of workshop design and methods of Knowledge Architecture to foster Creativity in Teamwork to design cross–disciplinary innovation.

A new Intellectual capital framework in the No Profit sector
Graziella Sicoli, Giovanni Bronzetti, Maurizio Rija, Franco Ernesto Rubino, Paolo Tenuta, Eugenio Vite

Intellectual capital (IC) is a key driver in value creation. According with the above more and more companies, for profit as well as no profit organizations (NPOs), direct their attention to new tools able to communicate to the stakeholders their intangible assets as value creator driver. IC in for-profit companies, but especially in NPOs is positively correlated with the performance. For this reason, during the last years the interest in the importance of IC in NPOs is increased. IC report becomes a fundamental tool in the disclosure of the NPOs’activities. Nowadays is necessary to use a correct frame work to represent the IC in terms of knowledge, skill, procedures and relationship spread into the organization. The aim of the paper is to propose an original framework for IC report addressed to NPOs. To reach paper’s aim the work is developed as follow: first of all is examined existing literature on NPOs and IC in order to identify relevant features of IC in NPOs, and are focused relevant aspects to be measured by IC indicators and disclosed by IC report in the above context. Then are outlined extant frameworks for IC report in order to verify if they fit the aspects qualified as relevant in NPOs and point out what they lack with reference to NPOs context. On these basis the work proposes an original framework, with a new set of indicators inside, that would better fit to NPOs features. Finally the proposed framework is tested in an Italian NPO. The result is to disclose new aspects of the activity carried on by NPOs on the side of knowledge, skill and relationship with the surrounding community. Purpose – The research is focused to build an original IC framework through a set of indicators able to disclose IC in the NPOs context. Design/methodology/approach – After a review of existing literature and of IC in order to identify relevant features of IC in NPOs, and are focused relevant aspects to be measured by IC indicators and disclosed by IC framework in the above context. Then the model is tested on an existing Italian NPO Originality/value – An original IC framework and a new set of indicators for IC in the NPOs, tested an Italian NPO, offer a new disclosure of the activity carried on by the organization on the side of knowledge, skills and relationship with the surrounding . Practical implications – The findings appear to suggest an innovative model of IC framework for NPOs with a significative set of indicators. The work is tested only on an Italian NPO which can be extended in the future to other NPOs both Italian and non Italian.

Unveiling knowledge flows in the automotive innovation environment using patents and citations
Lara Agostini, Federico Caviggioli

Purpose – In the last years, researchers have shown that innovation processes are veering towards an “open innovation” approach whereby innovating firms rely increasingly on contributions by external partners (Chesbrough, 2003). In particular, the automobile manufacturing industry is a typically complex technical environment where the cooperation in knowledge creation is very extensive (Lin and Cao, 2012). On these basis, this paper aims to analyze if and to what extent, innovation output in terms of patent quantity and value differs depending on whether an automaker engages in a (certain type of) collaboration for its R&D activities. Design/methodology/approach – To reach our aims, we selected a quali-quantitative approach based on the collection of two datasets about four among the world largest automakers: the former contains a total of around 4,400 relationship pairs of automakers and suppliers, allied companies and subsidiaries; the latter includes the automakers’ EPO patent portfolios, and related information, since 2004 which provide the names of the co-assignees. Matching the company names of the two data sources allowed us to obtain the final dataset used to carry out the extensive descriptive analysis and regression analysis. Originality/value – The paper contributes to the scientific literature by investigating the presence of differences across the patenting activities of a selection of automakers and their supplier, allied and subsidiary firms. Moreover, the issue related to patent value represents an emerging area of interest in the field of collaborations for innovation. Also the methodology constitutes a novelty in this field, since the examined database is generated by matching two different sources. Furthermore, the process for cleaning and standardizing the company names (“name game”) combined an automated algorithm with a double manual check, by searching the company websites and querying the corporate tree. Practical implications – The outcomes of the study show that the four selected automakers adopt different strategies regarding co-patenting with their R&D partners. On this basis, a framework including four main strategies -contingent, purposive, watchful and advanced- have been identified and lays the foundation for further research in this field. In addition, the present study reveals that co-patented inventions with suppliers and subsidiaries seem to be more valuable than with allies. Evidences emerging from our paper may support firms in making aware choice regarding the management of knowledge collaborative activities and co-patenting.

The Management of Intangibles for Sustainable Growth.Is there a link with the Dow Jones Sustainability Index (DJSI)?
Paola Demartini, Mauro Paoloni, Cristiana Bernardi

Purpose – The present contribution addresses the implementation of an Integrated Management Control System which aims to combine the company’s intangible resources, known in literature as Intellectual Capital (IC), with long-term sustainability factors. The study concerns a company operating within the Aerospace and Defence field which has developed an Intellectual Capital report in order to manage sustainability projects and meet the stringent criteria required for inclusion in the Dow Jones Sustainability Index (DJSI). Design/methodology/approach – The qualitative research approach underlying the investigation is Interpretivism; more specifically, the study was conducted in the light of “action research” (Dumay, 2010). Data were gathered from in-depth interviews with managers as well as from group discussions. A framework aiming at fostering a sustainable management strategy was elaborated and successfully applied to a series of specific corporate initiatives. Originality/value – The paper contributes to the extant literature by questioning whether it is possible to link IC and sustainability initiatives in order to have a positive impact on the assessment process companies are subject to for inclusion in the DJSI. As per today, in fact, no research paper has addressed this topic. Practical implications – The outcomes of the research suggest that the adoption of an integrated management control system, providing a link between intangible assets and capabilities that create value within a sustainability framework, not only provides an effective support to general management but it could be reasonably assumed to have a positive impact on the assessment process companies are subject to for inclusion in the Index.

Negative Emotions and Performance – the case of a Knowledge Worker
Maiju Vuolle, Jonna Käpylä, Harri Laihonen

Purpose – The purpose of this paper is to understand the role of negative emotions in modern work life. The paper aims to identify antecedents and consequences of negative emotions especially in the context of knowledge work performance. The viewpoint is managerial and underlying assumption that negative emotions are not always bad. Design/methodology/approach – This paper is based on a literature review. First, the nature and roles of negative emotions in organizational context are investigated by analysing models and theories explaining how emotions are linked to workplace events, behaviors and outcomes. Second, antecedents and consequences of negative emotions and affective states (e.g., angry, frustrated, worried, sad) are explored. The paper aims to construct a conceptual model for the basis of later empirical research. Originality/value – This paper introduces a managerial approach to identify and manage the triggers and impacts of negative emotions in knowledge-intensive organizations. To complement the more conventional approach of preventing and eliminating negative factors, this paper focuses on the positive aspects of negative emotions. Practical implications – The outcomes of the paper provide new understanding for managing negative emotions in companies in a way that they can be transformed into positive asset and business value. This paper identifies various events and behavioral links that could be intervened and influenced in order to attain positive performance outcomes.

Business Model and Integrated Reporting: a first analysis
Roberto Aprile, Elisabetta Magnaghi

The aim of this paper is to realize a first explanatory analysis of Business model considering three different aspects: the definition stated by IIRC and within its documents, the existing International literature where there is not an univocal definition and the empirical side represented by the Pilot Program of IIRC. The research question is to identify which aspects of the BM should be considered in the light of these different contributions to better represent and report the sustainable growth and value creation dynamics according to a sustainable growth perspective. The paper also has the purpose to put in evidence eventually critical aspects in the BM rules and applications trying to shed more light on how this aspect could be really useful in the successful development of the Integrated Reporting. This aspect is also relevant since IR represents a recent innovation it is not so much analysed by academics and it would require to be analysed basing on a theoretical perspective. Three different methodologies are adopted: after an explanatory analysis of the International literature review about Business Model we would realize a Document analysis approach (Bowen, 2009) about the documents issued by the IIRC and a Case study approach for the empirical side of the research (Stake, 1993; Yin, 1995). The empirical side will cover 18 Companies included in the Database of the IIRC. The originality of this paper is related both to the fact that it addresses a new issue that is not particularly analysed since it is young and since it is still developing, and to the complete approach of the analysis combining the theoretical aspects with the empirical applications of the companies. Practical implications of this paper are connected to the fact that the findings could help companies in finding a better way of analysing, implementing and representing their Business Model generating a good outcome both for the entity and for its stakeholders. The results could also be useful for the IIRC that is still developing its standards.

Knowledge strategy and business model alignment in IT start-ups
Yaroslav Pavlov, Anna-Sophia Yanson

Purpose — The purpose of the paper is to explore the question of alignment between knowledge strategy and business model. These two elements are considered as a central parts of organizational strategy at early stages of start-up development. The empirical investigation of the alignment of business model and knowledge strategy is the main long-term objective of this study. However in this paper we concentrate on theoretical foundations of the alignment between knowledge strategy and business model. Design/methodology — This study uses ground theory as a general approach. As the context of the study we choose Russian IT satart-ups. This choice of this setting is driven both by specificity of the setting that makes it easier to indicate particular practice or instrument. Originality/value – There are several things by which our research adds value for management theory. First, we integrate two important domains of strategy research, which is crucially important for the development of the field. Second, we clarify the concept of knowledge strategy and its’ formulation. Next, we explain the process of business model development in very specific settings. Finally, main theoretical concepts are considered at the startup stage. Practical implications – The perspective discussed in this work also has important managerial implications, as it represents a bridge between academic research and managerial practice. The reason for this is the topic itself, which has high priority in managerial and entrepreneurial practice. Moreover, qualitative method used depicts real managerial practice rather then purely theoretical constructs. We also provide directions for the start-uppers on the issue of the development of knowledge strategy and business model. Moreover, we explain the importance of the alignment between these two issues. Finally, we give directions on how it should be done.

“Seeing” and “Sensing” Intellectual Capital in different Business model Eco systems
Peter Lindgren, Ole Horn Rasmussen, Kristin Falck Saghaug

Businesses today use enormous resources to search for Intellectual Capital (IC) that can value their Business Model Innovation. However business often focus the search for IC in their nearest Business Model Ecosystem and do often not “see” and “sense” valuable IC in BM ecosystems that are not or only peripheral related. Thereby many business rely their business model innovation on the same “pool” of IC – preventing them to release different IC that could eventually give valuable advantage to their business. Some research indicate that it is a good idea to search for IC in different BM Ecosystems – however there is a lack of research on Why this does not take place more and – How to release and relate to Intellectual Capital (IC) in BM Ecosystems that are different to those that the business is already operating in? The paper shows 3 case examples on how 3 different business relates to IC in different BM Ecosystems and value their business model innovation. The paper address the potential and challenges to release IC from different Business Model Ecosystems. Design/methodology/approach – The paper provides case studies of IC exchange between different BM ecosystems. It shows a map of different business model ecosystems and maps the challenges to releasing IC.. The research methology was chosen as to be an action research approach and was carried out from 2010 to 2014. The findings shows characteristic of different BM Eco systems related to the multi business model approach (Lindgren & Horn Rasmussen, 2013). Mapping our findings in a BM ecosystem perspective and the BM relation axiom enabled us to get a first picture of – What is the business BM relations to IC in different BM ecosystems? The mapping enabled us and the business to “see” and “sense” potentials but also challenges to release valuable IC to Business Model Innovation (BMI) from different BM Ecosystems? Originality/value – The paper illustrates how business by using IC from different BM Ecosystems potentially can improve their BMI results and the sustainability of their BMs. The research reveals that Business mainly focusing and releasing IC internal or from their nearest BM ecosystem prevents themselves from valuable BMI. Practical implications Business struggle with releasing valuable IC from their business BM´s. The research shows that they potentially could get value able IC from different BM ecosystems that are outside their BM Ecosystem. This is however a challenge to many businesses when they cannot “see” and “sense” the IC in different BM ecosystems. They hereby miss the opportunity to adapt important IC to develop their business and escape “red ocean” business model ecosystems (Chan and Mahoughne 2008, Markides 2008). One consequence of this is that the practice of multi business model innovation and releasing intellectual capital (IC) becomes more difficult and complex to carry out than necessary.

Business model Eco systems and Intellectual Capital. Why is Intellectual Capital from business BM´s relations not released from a general Veblenian framework condition perspective?
Ole Horn Rasmussen, Peter Lindgren, Kristin Falck Saghaug

Purpose – The idea of business model innovation and releasing of IC gets into problems if the theoretical works of Veblen acts as corner-stone in order to understand BM Eco-systems. IC – per definition – meets a systemic framework where the normative idea of meaning becomes part of the theoretical and practical discussion. We have mish-match between what the economy is able to produce compared with what the economy in practice produce. We have a cavalry of actors (IC) with specific intentional acting. Taken together the interplay between these elements create specific conditions for the context dependant term “sustainability” (McNeill, 2000). Design/methodology/approach – The paper provides a theoretical study of the Veblenian framework conditions to BMI, ecosystems and the requirements to sustainabily BM from a Veblenian perspective. The empiric research methodology is primarily an action research approach. Mapping our findings with reference to Veblen and a BM ecosystem perspective we get a new picture of BM-Ecosystems relations to IC? Methodologically the idea of national innovation systems (Lundwall 1992, 2010), eco-system (Heikkilä & Kuivaniemi (2012), BMI processes and empiric illustrations are linked to Veblen . This illustrates how releasing of IC depends upon economic organization combined with the general rules of the game. Originality/value – The research reveals that BMI with absentee ownership prevents release of radical BMI IC. Because of the rules of the game these businesses per definition don’t have the incentive. Businesses are at management level hereby not able to create, capture, deliver, receive and consume the real potential of different business model ecosystems. The only way to secure sustainability is the creation of a fundamental change – a transformation. Point of departure must be defined as the institution Politics or pressure from the outside (Horn Rasmussen 2008 inspired by Veblen 1914, 1923a). Practical implications Businesses struggle continuously with releasing valuable IC. This challenge exists because of the economic organization and the inherent conservative institutions including the institution of “Make-believe”. The absence of important potential IC to develop their business introduces a need for a discussion of new strategies at both a micro- and macroeconomic level to improve and increase the release of IC to BMI. Business should be more structured about their mapping and releasing methods to IC inside and outside their business, focus on the different roles of actors and the general framework conditions for releasing IC in the economic system.

Proceedings IFKAD 2014
Knowledge and Management Models for Sustainable Growth

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