Knowledge asset as competitive resource

Abstract

Knowledge is a strategic, high-quality source of power. Knowledge assets – technological and human capital - have been recognized as key resource for sustaining competitive advantage in a dynamic turbulent environment. Past research argued that knowledge is important to facilitate and leverage knowledge assets. Most of the firm’s knowledge and skills reside in its human capital, often in tacit and explicit knowledge. Existing knowledge is not enough to be competitive on the future market. Firms must collect, disseminate and create knowledge capital. According to the theory of dynamic organization knowledge creation (SECI; processes of socialization, externalization, combination and internalization), knowledge assets are the key elements that facilitate knowledge creation processes. Knowledge can be created on personal / organizational level, and also externally, such as with customers, partners and suppliers. Nonaka, Toyama and Konno (2005) identified four dimensions of construct of organizational knowledge capital: experimental knowledge assets, conceptual knowledge assets, routine knowledge assets and system knowledge assets. Each form of knowledge has specific individual support in process of knowledge creation. The firms needs vision and synchronized entire team. This paper employed a survey instrument and collected data in Slovenia. Our research confirmed Nonaka, Toyama and Konno (2005) research, we confirmed all four dimensions of organizational knowledge capital. Total 195 responses were analysed. The study shows importance to create learning environment, networking between professionals, to build trust encourage open, share / disseminate knowledge and create new knowledge.