The triad of paradigms in globalization, ICT, and knowledge management interplay
| Published date | 26 June 2007 |
| DOI | https://doi.org/10.1108/03055720710759892 |
| Date | 26 June 2007 |
| Pages | 100-122 |
| Author | Mirghani S. Mohamed |
| Subject Matter | Information & knowledge management |
KNOWLEDGE MANAGEMENT
TECHNOLOGIES
The triad of paradigms in
globalization, ICT, and knowledge
management interplay
Mirghani S. Mohamed
The George Washington University, Washington, District of Columbia, USA
Abstract
Purpose – The paper aims to investigate the synergetic effects of knowledge management (KM) and
information and communication technologies (ICT) on globalization progression. Then the article
seeks to portray how this synergy can be employed in various KM activities and processes to
transubstantiate a national company into an effective boundaryless global knowledge-based
enterprise (GKBE).
Design/methodology/approach – The article reviews and interprets the relevant literature on both
globalization and knowledge management technology. The resultant insights are used to reveal the
synergy and to develop a butterfly model that shows the interconnectedness and the domino effects of
KM activities on globalization advancement.
Findings – Owing to the significant differences between the national and the global
knowledge-based enterprise (GKBE) the butterfly framework has been proposed, utilizing the
benefits from the synergy of the major globalization components. The call for implementing KM
practices to improve globalization efficiency came as a result of the unknown parameters within the
new global market competition.
Practical implications – Globalization has become increasingly complex and challenging for many
multinational companies. This article will help these companies to solve the problem using KM
strategy as facilitated by ICT and human cognitive efforts. Owing to the complexity of the issue, the
solution is in turn multifaceted and can only be achieved through a consistent system thinking.
Originality/value – The model presents a road-map for multinational global operations managers
and KM practitioners when developing their strategy for competitive advantage.
Keywords Globalization,Knowledge management, Communication technologies,Explicit knowledge,
Tacit knowledge
Paper type Viewpoint
Introduction
Different companies have moved into globalization for different economical,
technological, socio-technological, political and market significations. Levitt (1983),
the founding father of globalization, described globalization as a “standardized market
for the globe with no boundaries between regions and nations”. At the time Levitt
released his definition, it was the beginning of the new era in trade, openness, and
knowledge mobilization across the globe. At that juncture, the economy was virtually
described as a “commodity economy” before its transformation into a “digital
economy” a decade later, then at long last its transubstantiation into a “knowledge
economy”. This dramatic revolution from the tangibility to the intangibility of the
The current issue and full text archive of this journal is available at
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VINE
37,2
100
VINE: The journal of information and
knowledge management systems
Vol. 37 No. 2, 2007
pp. 100-122
qEmerald Group Publishing Limited
0305-5728
DOI 10.1108/03055720710759892
economy calls for the amendment of Levitt’s vision to cope with the twenty-first
century’s speedy convergence of globalization, knowledge, and technology.
In the late 1990s globalization and KM became critical for gaining competitive
advantage in the market for many US companies. When surveyed by a Baldridge
Quality Awards survey, the major US companies CEOs judged the trends affec ting
their companies as follows:
.globalization (94 percent);
.improving knowledge management (88 percent);
.cost and cycle time reduction (79 percent);
.improving supply chains globally (78 percent); and
.manufacturing at multiple locations in many countries (76 percent).
Globalization introduces enormous opportunities to the developed world, but greater
challenges to developing countries. The effectiveness of developing countries in
business decisions depends on the availability and the speed of relevant knowledge.
However, the developing world is already suffering the digital divide, and consequently
information gaps. Paradoxically, even within the developed world, many multination al
enterprises restrict their knowledge to certain areas such as offshore manufacturing and
product design, while localizing the most knowledge-demanding entity, i.e. the
management. This may result in a “cultural collision” either between the branches of the
same company or between the company and its customers and/or allies. In globalization,
the scope of thinking must extend beyond the localized environment to global
dimensions. Hence, there is a drastic need for new global knowledge governance
strategies to handle such relations. Kidd (2001) stated that:
... enterprises should become “cultural literate” to improve their understanding of
exchanging or brokering knowledge between peers within the firm, or through linking with
individuals in other firms.
The know-how is critical, and it forms one of the three major building blocks for
globalization as stated by Mesdag (2000), that globalization can be attributed to the act
of managers decision to push three issues:
(1) capital;
(2) goods; and
(3) know-how.
A totally new breed of organization is in the making to gratify global business
requirements. As an emerging example, the model of the Enterprise of the Future (EoF)
of the Institute for Knowledge and Innovation at George Washington University
represents the new focus of enterprises in the emerging global economy.
The synergetic effects
The interconnectedness and the interdependence of globalization, ICT and KM
enforced multinationals to seek a delicate balance between the three components, as
dictated by their inimitable environment and the global market forces. Figure 1 depicts
the possible interactions and their outcomes, while Table I provides explanation of
these interactions.
The triad of
paradigms
101
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