A study of knowledge creation within Kimberly-Clark South Africa

Abstract

The environment in which K-CSA competes is characterised by being highly competitive, fast paced and ever changing. To survive in such an environment it is essential that K-CSA develops and implements an organisational strategy that will enable it to build a sustainable competitive advantage. Grant (2008) offers a broad definition of organisational strategy as being the means an organisation employs to meet its objectives. Grant (2008) asserts that successful strategies have four common elements, namely, simple consistent long term goals; a profound understanding of the competitive environment; an objective appraisal of resources and effective implementation. Similarly, the strategy process offered by Boojihawon and Segal-Horn (2006) highlights the importance of analysis, choice and implementation in strategy. In order to meet the requirements of a successful strategy as discussed above K-CSA needs to ensure that they are able to apply cutting edge knowledge to their strategy to build a meaningful competitive advantage. Knowledge that is outdated, flawed or unavailable will negatively affect K-CSA’s ability to produce a successful strategy. Strategy is an iterative process and in order to ensure that the process has a continual feed of quality knowledge it requires a process for knowledge creation that will provide quality knowledge on a constant basis in-line with K-CSA’s strategic needs. Nonaka, Toyama & Konno (2008) assert that organisations are entities that continually create knowledge, it is important that K-CSA creates knowledge that is focused on achieving its strategic goals and objectives. This research aims to gain an understanding of K-CSA’s current knowledge creation processes to identify whether improvements are required. To do this effectively three research objective were set as follows: Objective 1: To investigate K-CSA’s current knowledge creation processes. Objective 2: To compare K-CSA’s current knowledge creation processes with the knowledge creation process devised by Nonaka et al. (2008). Objective 3: To critically analyse K-CSA’s current knowledge creation processes against the knowledge creation model devised by Nonaka et al. (2008) for the purpose of understanding the viability of implementing the Nonaka et al. (2008) model within K-CSA. The knowledge creation model devised by Nonaka et al. (2008) was chosen as it factors in both tacit and explicit knowledge and acknowledges that knowledge needs a context in which to be created. The model also provides guidelines for the leadership of the knowledge creation process. This research process sought to gain an understanding of the current knowledge creation processes that take place within K-CSA. The phenomenological paradigm as suggested by Hussey and Hussey (1997) was chosen to research K-CSA’s knowledge creation processes as it permits in depth analysis of the situation. The research collected primary data through standardised, open ended and face to face interviews based on a sample of senior managers from each functional area within K-CSA, namely, marketing, production, finance and human resources. The interview data was then analysed by using the general analytical procedure to analyse K CSA’s position with regard to knowledge creation. The research results revealed that K-CSA uses various formal and informal processes to create knowledge and possesses the elements of the knowledge creation process as devised by Nonaka et al. (2008) but the elements do not form a part of a formalised knowledge creation process lead by a common knowledge vision that synergises the knowledge creation efforts of the functional areas within K-CSA. Five recommendations concluded this research study, namely: • The formalisation K-CSA’s knowledge creation processes using the Nonaka et al. (2008) model. • Ensuring that the knowledge conversion process is fully exploited. • Development of a system to store and retrieve K-CSA’s tacit knowledge. • Further study should be conducted to explore implementing the Nonaka et al. (2008) model at a global/ regional level. • Formalising knowledge creation with outside constituents.