PROCEEDINGS e-books

Proceedings IFKAD 2014

Knowledge and Management Models for Sustainable Growth
List of Included Articles:
Knowledge co-creation for urban services innovation
Emma Puerari, Grazia Concilio, Antonio Longo

Purpose – More and more cities are challenged by the general ineffectiveness of the public spending programme management and by the economic crisis. This affects the quality of urban services and the quality of urban lives. Coherently with this trend an international discussion started on the governance model behind urban service production: a model shift from public-private partnership (3P model) towards public-private-people partnership (4P model) is observed which is not yet analysed in depth (Majamaa et al., 2008; Zhang and Kumaraswamy, 2012). New urban initiatives are growing in number, which consider people relevant actors of the service ideation and creation aiming at developing effective environment for urban service co-creation (Sibukele et al., 2012).
Within the perspective above, the main purpose of the paper is to highlight the role of co-creation in urban service provision (Jégou, 2011; Manzini et al. 2008; Manzini and Rizzo, 2011). The paper wants to demonstrate how the 4P model represents a possibility to foster and drive large-scale changes in which different stakeholders can play meaningful role (Concilio, 2010; Fischer, 2006; Kernaghan, 2009). In particular it analyses what is the role of knowledge creation in idea generation for innovating urban public services.
Design/methodology/approach – Considering the main scope of the paper, the authors carry out a case-based analysis and report the results of a long process in the urban environment of the Milan municipality experience in rethinking urban green areas growth and management. The co-creation process is described considering its bottom-up nature and its interaction with the local administration when moving from deliberation to decision making. In particular it is analysed in order to envision how some small (self-organized) criticalities/opportunities (Puerari et al., 2013) emerged in the city of Milan can be captured, coordinated and amplified to play a meaningful role in defining/envisioning possible futures that can enhance larger changes. Hence, some specific co-creation sessions are described (with the use of cognitive mapping tools) and analysed in terms of knowledge contents and dynamics relevant for the shift from deliberation to decision making and the kind of governance models arising from the co-creation process.
Originality/value – The originality of the paper stays, first, in focussing on the role played by co-creation in the creation of knowledge and in the generation of ideas for the innovation of urban public services. Second, the methodological aim of the paper is exploring the potentials arising when integrating co-design tools and methodology with knowledge mapping tools.
Practical implications – Cities are looking for new ways to create and produce urban services that can respond to citizens needs in a more effective way. Practical implication of the proposed paper are specifically related to the lessons learnt from the described experience and analysis of the Milano case within the framework of urban green areas development and management.
Keywords – urban services, innovation, private-public partnership, urban governance models

Corporate Governance and Economic Sustainability: Some Thoughts Based on the Albanian Case
Amalia Çipi, Shyqyri Llaci, Fernando A. F. Ferreira

Purpose – Corporate Governance (CG) is considered an important element in improving firms’ long-term financial performance, increasing their asset values and, as such, it can be of benefit to society at large. This paper aims to analyze CG within the Albanian context. Given its importance, Albanian companies face an urgent need to assess CG standards and promote CG reforms in order to improve their performance and become able to attract foreign direct investment. This paper explores the specific transformations that Albanian managers face in the current dynamic and complex business environment, and the need for sustainability based on “good” CG practices.
Design/methodology/approach – The Delphi technique is adopted. This technique is based on the rational principle that ‘n’ human minds are better than one when confronting lack of precise knowledge about a certain problem/research question (cf. Ferreira and Monteiro Barata, 2011). In this approach, a sequence of successive individual questions is asked and then supplemented with information and advice, to correct the first stages of the process and, under certain parameters, generate consensus. The overall characteristics of the Delphi process are anonymity, controlled feedback, and statistical treatment of the group responses. The Delphi technique is typically applied in situations where the problem under discussion cannot be resolved by precise analytical techniques, because there are no historical data or relevant information available (cf. Ferreira and Monteiro Barata, 2011; Çipi et al., 2014).
Originality/value –This paper delves into the relatively unexplored topic of CG practices in Albania, regarding which there is currently very little research or information. Furthermore, it does so by studying the application of a methodology (the Delphi technique) which has not, to the best of our knowledge, been applied to such a context before. Empirically, our investigation involves a panel of CEOs from Joint Stock Companies’ (JSCs) from the most representative cities in Albania.
Practical implications – The outcomes of our study should serve as reference for further efforts aimed at enhancing CG in Albanian companies. They should also serve as catalyst for international comparisons and, from a benchmarking perspective, for the adoption of internationally recognized CG best practices by Albanian companies. This can be seen as a “key to sustainability”, meaning that a broader perspective should be adopted in future CG reforms in Albania to support sustainable economic development. Indeed, a better awareness of the long-term benefits of CG best practices can help Albanian JSCs attract powerful foreign investors and, thereby, boost the country’s development.
Keywords – Corporate Governance, Development Prospects, Sustainable Growth, Albania, Joint Stock Companies

Dynamic Modelling of National Healthcare System
Miroslav Jankuj, Daniela Kandilaki, Jan Voracek

Purpose – Our paper deals with the design of dynamic model of national healthcare system of the Czech Republic composing from the qualitative and quantitative part. We use the tools of system dynamics because of its holistic approach that helps unlike the simple math and static analyses to take into account the complexity of the health system. This approach can help to verify the design of new health policy and thus achieve effective problem-solving and improving the overall health system.
Design/methodology/approach – Presented problem represents a macro level strategy planning task. To preserve its clarity and applicability, understandable tools and procedures must be adopted in all related analysis and design stages. Our basic methodology consists of four generic stages, including (i) problem formulation, (ii) conceptual specifications, (iii) computational modelling and (iv) experimentation.
Originality/value – We see the innovativeness of presented research in assumption that strategic concentration on quality in healthcare sector can solve the majority of its current bottlenecks. According to our interpretation, qualitative aspects include primarily the non-clinical activities, such as management, marketing, external relations or staff development. Knowing the historical data, we can estimate future total costs, generated by the existing system and define alternative, sustainable, quality based policies. Viable alternative policies must preserve the major existing characteristics and introduce new processes, leading to the reduction of costs within five years long time horizon.
Practical implications – The proposed model can be very useful especially for current and future policy makers as a tool for decision making. They can create better decisions based on the knowledge of a wide variety of factors influencing the system and achieve the public health objectives more effectively. Thanks to its complexity, transparent representation of the different relationships and their interactivity, this model is suitable for strategic planning, group decision making, learning and sharing knowledge. With such strategic and long term decision we can assure the sustainable development of healthcare system especially better control of health expenditure.
Keywords – simulation, healthcare system, national health policy, public health, system dynamics

Contexts of Knowledge Management in Psychiatric Nursing
Ute Tscherne, Elisabeth Noehammer

Purpose – Hospitals are the central institutions in our public health system and are an important economic factor. The required collaboration of a large number of different occupational groups necessitates efficient knowledge management. In the workplace, knowledge transfer occurs in all directions and involves the risk of not ideally making use of expert knowledge, process-related knowledge and know-how. The aim of the study was to analyse and depict the general framework of knowledge management in the health care sector. The study’s main purpose is to raise awareness of the current situation in order to ensure an efficient transfer of knowledge.
Design/methodology/approach – Both a comprehensive survey of up-to-date literature and qualitative research methodology were utilised in this study. The qualitative research data consisted of ten in-depth interviews with graduates of the health and patient care sector in Austria. The interviews were evaluated with the qualitative content analysis method according to Mayring (2000).
Originality/value – The results of the interviews revealed that the respondents had a differing approach to the concept of knowledge in general. The situation in the health care sector as well as the importance of efficient knowledge transfer was given varying degrees of significance by the respondents. A unification of the approach towards knowledge management and transfer is needed.
Practical implications – It was found that adequate evidence-based knowledge management requires sensible and sensitive handling of health care staff in respect to individual, general and organisational knowledge. If these requirements are met, staff contentment will increase and patient care will improve.
Keywords – Knowledge Management, Hospital, Nursing, Psychiatric Nursing

Delayed Discharges and Hospital Performance: System Dynamics Modelling the Role of Clinical Social Workers
Jan Voracek, Marketa Dubnova

Purpose – Undesirable blocking of bed capacity by non acute patients because of systematically unresolved ways of their transfer to convenient external facilities gradually restricts instant availability of local healthcare services and evidently requires systematic solution. In the presented research, we propose and analyse different scenarios, according to which the clinical social workers (CSWs) can influence the overall hospital throughput.
Design/methodology/approach – We propose two stage system dynamics model of hospital, distinguishing between acute medical and discharge related activities. According to our research hypothesis, CSWs could contribute both internally or externally. As hospital staff members, they extend HR capacity and decrease workload of medical workers. Outside the hospital, they can negotiate the real necessity of admission or allocate appropriate post acute capacity. Because of complex dynamics and inherent complexity, we consider interactive computational modelling as convenient tool, supporting analyses, planning or design of healthcare and social policies.
Originality/value – Delayed discharges are usually presented as suboptimal capacity problem with related managerial constraints, striving to administratively relocate patients to momentarily free facilities. We are specific in the following ways: (i) orientation on psychiatric patients with high risk of relapse in case of discharge to inappropriate social conditions, (ii) explicit introduction of CSWs to discharging processes, which enhances this problem with social aspects and (iii) utilization of intuitive language of stocks and flows, which is understandable for all involved parties.
Practical implications – This research transforms topic related knowledge and data to the form of interactive strategic planning simulator. Presented studies were realized in close cooperation with psychiatric hospital, where CSWs form inherent part of multi professional teams, altogether with doctors and nurses. All findings were thoroughly discussed with practitioners and their feedback promptly incorporated to model.
Keywords – Social work, hospital performance, dynamic modelling

A participatory approach towards ‘responsible’ health research and innovation
Petra Wagner-Luptacik, Eva Buchinger, Manuela Kienegger

Purpose – Non-publication of health research data results has serious negative impacts on people’s lives. Ben Goldacre diagnoses and popularizes in “Bad Science” (2008) and “Bad Pharma” (2013) a vital “systemic failure” with many stakeholders and counterproductive practices involved so that information about randomized controlled trials (RCTs) are not put in the public domain to the extent that drug innovation is sufficiently effective. This paper presents a conceptual framework for understanding and supporting transformative knowledge-based change aimed at overcoming publication bias in clinical trials guided by the concept of ‘Responsible Research and Innovation ’ (RRI).
Design/methodology/approach – When faced with high levels of uncertainty and complexity regarding future, scenario-based foresight offers itself as a promising system of inquiry. A ‘system foresight’ approach (Andreescu 2013) is based on the assumption that, firstly, inquiring into the future provides freedom to distance oneself sufficiently from the present; secondly, the future should be approached systemically; and thirdly, the processes whereby the future is explored should be participatory, i.e. as inclusive as possible.
Originality/value – The proposed methodology puts in evidence that in areas where complex decisions involving the coordination and the commitment of many different institutional systems and (large) organizations are at stake for transformative change, a strong prospective and participatory component is needed in order to provide a robust framework for ‘responsible’ governance of research and innovation.
Practical implications – The conceptual framework proposed was empirically applied as a structured stakeholder-based prototyping process within the context of the EU-funded project “UNCOVER”. A value-based vision was laid out, together with procedural arrangements of feasible measures leading to pathways towards responsible future research and innovation in the realm of clinical trials.
Keywords – Responsible Research and Innovation; health innovation process; clinical trials, prospective approach; participatory prototyping

The Role of New Media in Election Campaigns – Features in the Era Web 3.0
Eleonora Gabriela Baban

Purpose – Currently in the “era of information” when information and technology represent “power”, the economic, political, social and business environment and not only these, have to adopt the challenges arising from the knowledge-based economy. In the contemporary context, information and technology have a decisive role in every individual’s life, influencing his/her whole behaviour. When it comes to the political world, it may be mentioned that the use of new technologies in election campaigns (new media and social dialogue) have radically changed politics.
Design/methodology/approach – I propose an approach of new media in the context of the era Web 3.0. The paper is based on qualitative research, the main objective being that of investigating the impact of new media on social dialogue in the context of the era Web 3.0. By addressing a number of 10 questions already established to a group of 100 people (students at a University from Bucharest aged between 19 to 33 years) the role of new media in the context of the Web 3.0 is analyzed.
Originality/value – This methodology puts in evidence the role and importance of using
new media in election campaigns by the actors of political life in the context of knowledge based economy. The main objectives of the study are: presenting new media in the context of Knowledge-based Economy (KBE) ; the definition of marketing in the contemporary context; highlighting the role and importance of political communication in the contemporary context; the analysis of the role of new media in the context of era Web 3.0. These objectives will serve as a basis for future research.
Practical implications – The outcomes of the application highlight the importance of using new media by political actors in order to obtain the electoral success by influencing directly the individual behaviour. Through the marketing research presented in this paper some ideas regarding the impact that new media have in the context of knowledge-based economy are presented. It is important to mention that some advantages and disadvantages of using new media in election campaigns have been identified, these issues being important for a campaign manager who aims at carrying out an election campaign.
Keywords – knowledge-based economy, new media, era web 3.0, political marketing

CSR disclosure on the WEB: an empirical analysis on the Italian context
Katia Furlotti, Federica Balluchi

Purpose – The purpose of this research is to analyse the role covered by internet as a communication tools of social responsibility strategies implemented by Italian companies.
The hypothesis that will be tested by research are:
HP1: Italian companies disclose their commitment to CSR on their websites, fully exploiting the potential offered by the Internet.
HP2: Sectors of activities affects the quality and quantity of the information disclosed and the way in which the information is provided.
HP3: Companies that have a specific website CSR section communicate a larger quantity of information than companies that give information in a not structured way.
Design/methodology/approach – We propose a descriptive research based on a quality/quantitative approach and is focused on empirical analysis on websites of the Italian listed companies. Websites are analysed on the basis of languages, map site, dedicated CSR section, and the content both for the general aspect of social responsibility and with specific focus on environmental responsibility and relationships with the community.
The phases of research process are:
1) formulation of research problem (purpose of study);
2) literature review relating to research problem and developing of a framework to identify the hypothesis;
3) empirical analysis and interpretation of the results;
4) conclusions.
Originality/value – The research intends to work in the path outlined by the international studies on CSR disclosure (many researches represent a key starting point: Coope, 2004; Esrock, Leichty, 1998; Morhardt, 2010; Morsing, Schultz, 2006; Sousa Filho, Wanderley, 2007; Tagesson et al., 2009; Xiao et al., 2004) in order to analyse the behaviour of Italian listed companies which will be analysed, in particular, with regard to the importance of the sector to which they belong in the choice of CSR disclosure via web.
This methodology puts in evidence the important use of the Internet as a communication tool, especially in recent years.
Practical implications – The research aims to highlight areas for improvement in CSR disclosure with focus on web communications.
Keywords – Corporate social responsibility, disclosure, internet, Italian companies

Does family matter? A study of parents’ influence on the entrepreneurial intention of technical degrees students in Spain
Iciar Pablo Lerchundi, Gustavo Morales Alonso, Ana M. Vargas

Purpose – The purpose of this study is to verify the parental influence on the entrepreneurial intention of technical degrees students in Spain. In an economic crisis context such as the one Spain is currently suffering, entrepreneurship is often regarded as an opportunity for productivity increase and wealth generation, especially if it is technology-based. Therefore, the research of factors that may determine young engineers’ attitude towards entrepreneurship is of great interest. Special attention is paid to parents’ role as knowledge transferors, as their experience may have a positive effect on the entrepreneurial intention of their children.
Design – The proposed approach is the statistical analysis of a survey conducted on 1004 students in five different technical degrees at Universidad Politécnica de Madrid (UPM), the biggest technical university in Spain.
The survey explored the students’ entrepreneurial intention and their perception of the support provided by their closer environment (family and friends) in case they decided to found a new company. Special attention is paid to the parents’ current occupation as entrepreneur or civil servant, as this is believed to be relevant for the success of entrepreneurial knowledge and attitude transfer from one generation to the next.
Value – The existence of positive role models for entrepreneurship that through the transference of knowledge transmit the willingness to become self-employed have been found long before in the literature. Negative role models also exist, in the form of entrepreneurs that failed. In this research we present a new type of negative role model, which are the parents that work for the public sector. Empirical evidence is provided that, while self-employed parents grow children with higher entrepreneurial intentions, civil servants tend to have children who do not feel the entrepreneurial professional perspective so intriguing.
Practical implications –A distinction can be made between the technological start-ups with high growth capabilities, which lead to productivity increase and wealth generation and those new companies in which the main scope is self-employment. In the foundation of the former is where technical universities can play a key role on economic development as a technology transfer vehicle to the society. However, universities can only foster entrepreneurial intentions in those students in which it is not hindered by their closer family. Therefore, it is crucial to assess to what extent parents’ knowledge transfer can affect the entrepreneurial intention of technical degree students.
Keywords – knowledge transfer, entrepreneurship, family ties, technology-based companies, role models

Ambidextrous organization and Innovative performance: testing the mediation effect of the innovative culture
Lara Agostini, Roberto Filippini, Anna Nosella

Purpose – This paper has two aims: first to investigate whether an ambidextrous organization can be represented in a more integrated and complete way as a second order construct, reflected by contextual (managers social support and performance management context) and structural approaches (see figure below); second to examine whether internal networking mediates the relationship between the ambidextrous organization and its attitude to pursue high level of innovation ambidexterity.
Design/methodology/approach – To test our arguments, we carried out a survey in medium high tech industries, collecting data from a sample of Austrian and Italian firms. Data collection took place in 2011. In total, 185 useful questionnaires were received, resulting in an effective response rate of 13.5%. Structural equation modeling (SEM) with AMOS was used to examine the hypothesized model.
Originality/value – The results show that our second order theoretical model fits the data well and internal networking partially mediates the relationship between the ambidextrous organization and the innovative performance. This study contributes to the debate on organizational ambidexterity in at least two important ways: first, it shows that both structural and contextual approaches can be taken together and modelled as a second order construct, thus representing an holistic view of the ambidextrous organization. Second, this empirical study is one of the first to investigate the role that the ambidextrous organization has in fostering internal networking, which in turns affects innovative performance.
Practical implications – This study shows that the ambidextrous organization is not simply the result of either a structural solution or a contextual solution, but it should be made up of different organizational antecedents of ambidexterity that might complement one another. Toghether with the formal organizational structure, the role played by managers is fundamental since they foster employees to reach their objectives, to be empowered and to be free to decide how to divide their time and resources; furthermore managers should devote considerable effort to developing subordinates, giving creative challenges to their people instead of narrowly defining tasks..
Keywords – Ambidexterity, Internal networking, SEM

Exploration vs. Exploitation Strategies for Local Development: An Empirical Study in Italy
Nunzia Carbonara, Antonio Messeni Petruzzelli

Purpose – This paper aims at evaluating the effects of the exploitation and exploration strategies on the economic and innovative performance of a local system of firms. Accordingly, this study embraces the exploration-exploitation dilemma (e.g., March, 1991; Benner and Tushman, 2003; Burgelman, 2002; Holmqvist, 2004; Katila and Ahuja, 2002) and differently from the extant literature we investigate the two above mentioned innovation strategies at the level of a system of firms rather than at a single organization’s one. Specifically, we aim at empirically analyzing which strategy is more beneficial for those systems of organizations? Can systems benefit more by the introduction of new technology into existing products and processes or they can take more advantage by the continuous improvement of their technological knowledge base?
Design/methodology/approach – To reach our aim, an empirical research has been conducted on the 103 Italian Provinces, by measuring for each province both economic and innovative performance and indexes that capture the exploitation and exploration strategies. Specifically, focusing on the manufacturing sector, we use two different indexes, as: the inverse Gini coefficient of the distribution of firms by sector (two-digit level) in each province, which measures the heterogeneity across unrelated manufacturing sectors, and the inverse Gini coefficient of the distribution of firms within each two-digit sector in each province, which measures the heterogeneity across related manufacturing sectors. Furthermore, a set of control variables is included to account for other potential effects on provinces’ performance.
Originality/value – Our results reveal that exploration strategies, as reflected by the agglomeration of industrially different organizations, have positive effects on the economic and innovative performance in a territory, as well as that this effect results greater when the exploration regards more similar industrial sectors. Our interest on the effects of the two strategies on a system of firms rather than on a single organization significantly offers contributions both to the literature related to innovation strategies and to the studies on local economic growth. Specifically, while most of previous studies on innovation strategies adopt as level of investigation the single organization or dyadic collaborations, we focus on the exploitation-exploration balancing at the level of firms’ geographical systems. Furthermore, analyzing which of the two strategies is more conducive for the territorial development and growth, allows us to give a contribution in the field of economic growth and regional development, answering the question on the relevance of heterogeneity in firms’ competencies and capabilities for the competitive advantage of the local systems of firms (Boschma, 2005; Schamp et al., 2004).
Practical implications – Of course this study presents a number of practical implications, especially referring to the definition of innovation strategies and policies aimed at sustaining the economic and innovative outcomes of given territories. In particular, our findings suggest the importance of enhancing local development by favouring the establishment of organizations operating in different by complementary industrial sectors

Sustaining Growth in the 21st century: Knowledge Sharing & Opportunism in Joint New Product Development
Richard Yam

Purpose – Knowledge sharing in joint new product development (NPD) with business partners has been recognized by researchers on its crucial role for sustaining organizational growth in the 21st century. In joint NPD, huge amount of information and knowledge are being interchanged among firms. Organizations worry that knowledge sharing (KS) would invite opportunism; i.e. knowledge being copied, stolen or leaked to outsiders or even competitors. This empirical survey study investigates the relationship of contract, commitment and opportunism during knowledge sharing among business partners in NPD.
Design/methodology/approach – 312 valid responses were collected and data was analysed by using structural equation modelling. Our findings indicate that commitment among contractual business partners provide strong support to enhance knowledge sharing in NPD. Knowledge sharing itself will not directly affect product performance. But the enhanced knowledge sharing process among the committed contractual business partners facilitate the NPD team. The extensive sharing of innovative knowledge could help the committed NPD teams with contractual binding to achieve consensus and cohesive understanding of knowledge quickly. This would help the NPD teams to respond quickly to the rapidly changing market with better product performance.
Originality/value – Researchers have recognised the importance of corporate collaboration in NPD to sustain growth for firms in today’s highly competitive global markets. However, the worry of opportunism for knowledge sharing with business partners in NPD has threatened many business collaborations. This study has shown that knowledge sharing among the committed contractual business partners will suppress rather than increase the chance for opportunism in NPD.
Practical implications – Managers engaged in joint NPD activities should commit seriously with their contractual business partners by sharing more innovative knowledge. This would reduce rather than increase the chance for opportunism and lead to better product performance. This finding is important for firms to work collaboratively in NPD for sustaining growth in the 21st century.
Keywords: contract, commitment, knowledge sharing, opportunism, sustainable growth

Monitoring and analyzing the mutual relationship between KC potentials and the domains of quality of life in European cities
Ayman Mohammed Mostafa, Khaled Youssef Mohamed

Purpose – By studying and analyzing mutual relationship between two main topics – Knowledge Cities and the quality of life- this paper aims at determining the relationship between Knowledge Based Urban Development (KBUD) pillars, leading to successful emergence of KCs (economic, Socio-cultural, Enviro-urban, and institutional development), and the domains of quality of life; economic, social, urban, and environmental. It also aims at setting a scale for observing and analyzing the mutual relationship to facilitate reading, finding, and analyzing the gap between citizens’ satisfaction with the quality of life and the results achieved in terms of the KBUD pillars. This helps decision makers to orient decisions in the right directions, achieving balance between both, and – thus- positively reflecting on cities sustainability.
Design/methodology/approach- To achieve the aim, the research adopts the following:
1. Determining the different concepts and pillars of KBUD, and their assessment models.
2. Determining quality of life factors, indices, and measurement model according to EU report (Quality of life in cities).
3. Selection criteria for cities investigated.
4. Determining an approach for analyzing and connecting quantitative results (method of KCs assessment) and the qualitative ones (method of assessing quality of life in European cities).
5. Proposing a tool for the observation and analysis of mutual relationship between KBUD pillars and the quality of life potentials.
6. Formulating the previous conclusion in a diagram/compass to facilitate extracting the mutual relationship.
Originality/value- The challenge before social development lies in the interaction of different development parameters for the purpose of making a society characterized by quality of life; the ultimate development goal. If such premises do not achieve quality of life results, then they are unable to achieve their goals. KBUD is a global fact proven by the end of the last century. Thus, knowledge-related value is the driving power of civilization.So, the value of this research is attributed to the scarcity of studies related to the mutual relationship between the quality of life and Knowledge economy-based cities.
Practical implications- Reaching an approach for monitoring and analyzing the mutual relationship between the potentials and pillars of KCs and the different aspects of the quality of life supporting the theoretical and practical aspects as follows: In theory: deducing the mutual relationship between the quality of life and KCs. The authors think that the quality of life is a concept that has analytical efficiency and capacity for handling problems and aids in setting an integrated approach for achieving knowledge-based developmental aims. In practice: Proposing an observation tool for clarifying the mutual relationship between the quality of life and KCs to decision makers to help them boost the efficiency of decision making for achieving the quality of life to city residents; thus positively reflecting on the sustainability of cities.
Keyword – Knowledge Cities, quality of life, Knowledge Based Urban Development, pillars

Individual Knowledge Structuring for Smart Services Requirements Engineering
Tatiana Gavrilova, Irina Leshcheva

Purpose – Smart Services are now an emerging phenomena that is based on intelligent technologies which are widely used for better customer. Smart Service is supposed to be an IT-service based on rich intellectual capital, realtime tools, sophisticated analytics, and automation (definition based on Cisco approach from (Smart Services, 2011). Individual Knowledge Structuring (IKS) is a significant part of any design activity, as it forms together and within critical thinking an analytical preface to a synthesising process. We argue that the current palette of individual knowledge structuring techniques and their cognitive impact affect the effectiveness of requirement engineering procedures.
Design/methodology/approach – The aim of this study is to show how the repertoire of IKS is affected by individual cognitive style (Witkin, Moore, Goodenough and Cox, 1977; Palmquist and Kim, 2000). We have done an experiment with 79 students to discover the impact of the cognitive style features on the knowledge structuring. From the plethora of cognitive style characteristics three parameters have been chosen: field dependence/ field independence (FD/FID), impulsivity/ reflectivity, and narrowness/ width of the category. The point is that we received totally different knowledge models from respondents with different cognitive styles peculiarities. In this paper we aim to introduce our findings on this issue.
Originality/value – The paper proposes new approach to using cognitive psychology for the knowledge analytical activity for requirement engineering. The proposed findings are based on wide survey and experiments of the authors. The paper contributes to a wider use of knowledge engineering methodologies for smart service design and development. Individual Knowledge Structuring helps to develop a holistic conceptual service model. In this paper we aim to overcome the limitations of traditional approach and to enrich the repertoire of the methods that can be used by service designers and analysts to broad the understanding of the customer needs and service capabilities issues.
Practical implications – The essential attributes of Smart Services are that they deliver better insights and predictability through software enabled tools predictive analytics, and intelligent automation. Smart Services design and development needs thorough requirements engineering process (Ralph, 2013) that involves all the palette of knowledge engineering techniques and methods. The paper contributes to business service science and practice by introducing recommendations for service analysts at the crucial phase of the design and development process. Such approach merges the cognitive ergonomics issues with knowledge engineering.
Keywords – knowledge structuring, visual models, cognitive approach, requirements engineering, knowledge engineering

A Knowledge-based Representation of Sustainable Banking: Insights from Fuzzy Cognitive Mapping
Daniela Carlucci, Fernando A. F. Ferreira, G. Schiuma, Marjan S. Jalali, Nelson J. S. António

Purpose – Integrating sustainability into the banking activity, i.e. taking a broader view of how actions affect future generations, stakeholders and the environment, is an increasingly necessary but extremely challenging issue currently facing financial institutions. It is thus becoming ever more important to understand the key determinants of sustainable banking and how they inter-relate with each other. As such, our aim in this research is to build a cognitive map, in particular a fuzzy cognitive map (FCM), to model, dynamically analyze and test the reciprocal influence of key factors underlying sustainable banking.
Design/methodology/approach – We propose an approach which explores the applicability of FCMs in the context of sustainable banking. FCMs have been shown to be of particular use in the handling of complex decision problems characterized by lack of information or unavailable data. They constitute a methodological framework that should allow for a reduction of omitted determinants with regard to sustainable banking, as well as a greater understanding of the relationships between them.
Originality/value – This methodology puts in evidence the value of applying FCMs to the structuring of the process of sustainable banking. We know of no previous work which has done this; and believe this first effort in the application of cognitive mapping techniques to the identification of the key determinants of sustainable banking will be an important contribution to both theory and practice.
Practical implications – The outcomes of the application of FCMs to sustainable banking can be expected to contribute to the literature, not only in what refers to sustainability strategies in the banking sector, strategic knowledge asset management and operational research, but also at a methodological level. As neuro-fuzzy systems, FCMs are able to incorporate experts’ knowledge, holding powerful and far-reaching potential to analyze and model complex decision problems, such as those considered in this paper. We anticipate implications and practical applications for both bank managers and policymakers aiming to increase the efficiency of their decision making in the context of sustainable banking.
Keywords – Sustainable Banking, Problem Structuring Methods, Fuzzy Cognitive Maps, Knowledge Management, Expert Systems

The Many Faces of Innovation Ecosystems: Investigating and Reflecting the Ecology of Decision-Making as Core of the Topic
Eva Gatarik

Purpose – The problem we are concerned with in understanding modern developments are short-sighted managerial decisions. The question is: What kind of “knowledge” is necessary to support, improve and enable meaningful decisions in an organization? Why and when would it be essential to gain additional knowledge? How could it be provided or processed? Considering that the information society is trusting too much in computational techniques, we analyse the relation between algorithms and actions to be taken in a new way, and argue that we need an enhanced education of managers to improve their decision making towards ecologically sound innovation, and thus sustainability.
Design/methodology/approach – We propose to design a scientifically founded and justified method for a sound understanding of the relation(s) between justifying arguments (leading to decisions), and their relation to reality, i.e., the underlying (unconscious) classifications and categorizations, and the impact they have on handling a complex reality. This method, resting upon research in model theory and systems theory, can be turned into locally applicable heuristics to improve decision making, and impact evaluation. It is a sort of enhanced multidimensional semantics to settle the question: When and why is it impossible to reduce managerial decisions to simple information processing algorithms?
Originality/value – Our methodology puts in evidence that purely economic arguments, which are used to justify decisions, are definitely incomplete. Our approach can also explain how certain disadvantages in the organizational context come about, namely by misuse of algorithms, and suggest what can be done to solve this kind of problems. As a consequence, we argue that we need dynamical and open systems for developing and integrating knowledge, also to support innovation arising from cooperation across organizational boundaries.
Practical implications – The main result will be to show how our analysis of the relation between language, information/knowledge and reality can be applied to support the coming about of good decisions as a basis for ecologically sound and successful innovation, and thus sustainable development of an organization. The proposed new way both of “documenting” knowledge as well as “arguing” within an organization can help to reach not only better decisions but also new ways of understanding the coming about of, for example, economic success, and how to balance the local institutional logics of professionals and the proposed managerial decisions effectively.
Keywords – Ecology of decision-making, Innovation, Complexity, Knowledge management, Institutional logics

The model of knowledge management system supporting sustainable growth in machine-building industry enterprises
Adam Guminski, Katarzyna Dohn, Miroslaw Matusek, Wojciech Zoleński

Purpose –The main objective of the paper is to present the model of management system supporting knowledge processes and integrating economic, social and environmental factors in the activity of machine-building enterprises. Successful management in all areas of enterprise’s activity is determined by processing of adequate knowledge in business activity. Machine-building enterprises are crucial elements in creating sustainable growth by decisions at all stages of new product deployment. The great importance for machine-building enterprises is reducing the level of operational risk. It means the need to have the adequate knowledge to improve chances of profitable contracts and to avoid unfavourable ones.
Design/methodology/approach – The model and the system structure were worked out on the basis of research study undertaken in machine-building enterprises. The studies were conducted as qualitative research in 38 Polish machine-building enterprises located in Silesia, recognized as small and medium-sized companies (the target group for which the system was dedicated). The research was conducted in the form of direct interviews with managers using structured questionnaires. As a result the model of knowledge management system was determined and the IT system supporting knowledge management in machine-building enterprises on the basis of the proposed model was worked out.
Originality/value – The value of undertaken research was the model of an information system supporting knowledge management in the execution of contracts in machine–building enterprises. The integration of such solutions as: expert systems, case–based-reasoning, knowledge object management system, dynamic research simulation system enables taking into account economic, social and environmental factors in decision-making processes at all stages of a contract execution.
Practical implications – The model and the proposed IT system support decision-making processes in such areas as: construction, supply, production, distribution and service. The functionalities of the system enables supporting employees responsible for the process of a contract execution, especially project and top managers. At all stages of projects’ execution managers have the opportunity to take into consideration economic, social and environmental factors in decision-making processes. The important IT tools implemented in the proposed system, in the context of sustainable development, are risk management in the entire contracts’ execution and the support in the selection of managers and project team members.
Keywords – sustainable growth, knowledge management system, expert system, machine-building industry enterprise

The dual control systems of agile teams: exploring the knowledge management issues
Maria Carmela Annosi, Jens Hemphala, Mats Magnusson, Antonella Martini, Laura Peonia

Purpose –This paper aims to contribute to the exploration of micro-foundations for innovation in autonomous team-based firms. It describes how different types of management control systems influence the innovation performance of teams through an extensive field study of a large scale agile implementation. It reveals the moderating role played by different kinds of managerial control systems and by perceived time pressure on teams in the relationship between a team’s absorptive capacity and its innovation performance.
Design/methodology/approach – A total of 44 individual semi-structured interviews were used to collect data over three separate data collection stages conducted from August to November 2013. All data were triangulated with the qualitative content analysis results of free comments from 121 people, covering different agile roles in the same organizations as above, and embedded in a survey performed in August 2013. Due to the complexity of the topic and the lack of prior studies investigating the effect of agile implementation on team learning and innovation capabilities, an abductive research approach (Peirce, 1931) was selected as a suitable method.
Originality/value – The empirical results indicate that a team’s beliefs on the importance of learning strongly influence its self-regulated learning behaviours. They represent the configuration of AC meta-routines underlying the concept of absorptive capacity (Lewin et al., 2011) at the team-level, conducive to teams’ exploration activities. Moreover, the antecedents for a team’s exploitative and exploratory innovation activities are presented and two types of managerial controls for driving exploitative innovation activities are identified. Additionally, team-level absorptive capacity was analysed, since it is a less explored, but important construct, leading to a team’s exploitative product innovation.
Practical implications – This study’s findings have a number of implications for practice. The results imply that autonomous team-based organizations may be better off not using one single standard control system to manage all their teams. In fact, beyond securing a team’s access to knowledge, management needs to provide teams with differentiated means to develop necessary competencies and capacities for understanding, assimilating and using the knowledge they retrieve. In addition, management should influence a team’s beliefs by valuing the tasks requiring innovation and transmitting sustainable values to teams through their mission and vision statements.
Keywords – Agile, innovation, knowledge stock, control mechanisms, self-regulated processes

Knowledge management in project environment: the way to improve the value of the enterprise organization
Antonio Bassi

Purpose – This paper aims to study the improvement of project success in organizations by integrating knowledge management strategies with project management practices in a typical project lifecycle, assuming that the projects are the tools by which organizations achieve the strategic objectives. The knowledge created in the projects environment in almost any case is lost due to inefficiency of the processes of the enterprise organization. This leads to inefficiency in developing processes already done in previous projects. The proposal highlights the importance of an efficient approach to knowledge sharing demonstrated on a project management level.
Design/methodology/approach – I propose an approach for improving the profitability of the projects through the management of an integrated system of knowledge management in the enterprise organization. The approach involves the definition of the organizational processes of knowledge management that integrate with ISO 21500 project management and the ISO 10006 relating to quality management in project management. I propose the creation of a new area of knowledge (“Knowledge Management”) with a process in four of the five process groups (Planning, Executing, Monitoring and Controlling, Closing) in which all the processes defined in the standard are grouped together.
Originality/value – This methodology highlights the need to manage all the knowledge that is generated within a project, from the organizational point of view (historical information, best practices, knowledge of the processes, lessons learned … ) and from personal point of view (experience, knowledge management practices, lessons learned, … ), in order to improve organizational processes, reduce the time of project management and reduce the cost of the project. One of the main objectives is to achieve the continuous improvement in project management.
Practical implications – The outcomes of the application, through the management, in a centralized way, of the knowledge produced in all the projects managed by the enterprise organization and the knowledge obtained by all the people who participated in the projects, allows to reduce time and cost of project management, a better organization of the projects, the growth of intangible capital of the organization and work towards continuous improvement of the organization.
Keywords – Project Management, ISO 21500, ISO 10006, Knowledge Area, Continuous improvement, lessons learned, historical information, Knowledge Transfer, Project Lifecycle, Project Success

Gathering knowledge for the needs of strengthening the resistance of a network supply chain
Marzena Kramarz, Włodzimierz Kramarz

Purpose – The article aims at presenting a study into strategies of strengthening the resistance in a network supply chain of metallurgic products. The research was carried out in the years 2011-2013. Network supply chains include key chain links for building the resistance. These chain links affect material flows of the whole supply chain through silencing disruptions. Those predisposed to form a strategy strengthening the resistance of the whole network supply chain are organizations fulfilling the assumptions of material decoupling points.
Design/methodology/approach – The research is carried out in two stages: the stage of constructing an analytical model and the stage of constructing three simulation models corresponding to the distinguished variants of strengthening the resistance based. The first stage of the research aimed at indicating possible variants of the strategy of building the resistance of a network supply chain. At the second stage the authors carried out simulation experiments based on three models built in the management system dynamics technique (VensimDSS). The proposed methodology required constructing original tools for measuring disruptions and factors strengthening the disruptions in the form of cards for measuring disruptions.
Originality/value –The value added is grouping of disruptions in risk factors distinguished in terms of the frequency of the occurrence of disruptions and their results. The authors proposed and defined the notion of zones of strengthening disruptions. The zones are formed from sets of factors strengthening disruptions with similar influence on disruptions. In modelling of material flows in the context of the strategy of strengthening the resistance the authors proposed an assessment of the efficiency through elements of logistic customer service: the completeness, the punctuality of realized orders. In simulation experiments, the authors strived to reduce lost sales resulting from deviations in punctuality and completeness.
Practical implications – The proposed approach of gathering knowledge which will allow modelling material flows and constructing the strategy of strengthening the resistance of a network supply chain was verified in a selected organization fulfilling the assumptions of the material decoupling point of a network supply chain of metallurgic products. The IT system composed of a module for identification of disruptions in material flows and a simulation model is a proposal dedicated to organizations controlling material flows in a network supply chain in the conditions of disruptions.
Keywords – gathering knowledge, material decoupling point, network supply chain., resistance

Proceedings IFKAD 2014
Knowledge and Management Models for Sustainable Growth

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