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This chapter seeks to advance the neglected debate on the ethical issues between formal organization and practice arising from innovation in an organization. To that end, the chapter discusses the sources of possible moral dilemmas for practitioners who belong to a practice with a shared identity, values, and standards of excellence, and who need to conform to new rules of formal organization. While formal organization ideally strives for generalized fairness principles for all organizational members when introducing an innovation, the contextualized nature of practices may lead to particular needs and goals of the practice which can only be recognized as such by practitioners and not by formal management, and to which procedural justice cannot respond. The chapter proposes how practitioners may interpret moral dilemmas, aligned with their practice-based identity and ethical values, and what options for action they may seek. The discussion is illustrated with examples of innovation in the field of information systems design.

The Second Comparative Study of Knowledge Creation Conference was held in St. Gallen, Switzerland, in June 1998. The conference focused on the development of ideas, concepts and perspectives that advance the theory and practice of knowledge creation. Three conference presentations are highlighted in this review.

In this article we describe an integrated view on knowledge management and networking being a very powerful combination for the future of knowledge management. We start by giving an overview of the increasing importance of networks in the modern economy. Subsequently, we conceptualize a network perspective on knowledge management. Therefore we first give a theoretical foundation on networks, and secondly explain the interdependences between networks and knowledge management. These reflections lead to the development of a framework for knowledge networking, where we distinguish between a microperspective and a macro‐perspective. Finally, we develop a framework for knowledge networking which can be used as a basis in order to structure and reveal interdependences. We conclude by giving some implications for management and future research.

A consensus is emerging that the key to competitive success is becoming the ability to create, leverage, maintain and develop specialised knowledge, competencies and intellectual resources. However, little is actually known about the creation, management, utilisation and valuation of such resources. Although a concept such as intellectual capital cannot be precisely defined, this should not prevent us from employing it in an era where the intangible is rapidly assuming economic, social and psychological supremacy over the tangible. Moving beyond objectivist and purely systems theoretic approaches, our point of departure in exploring this emergent dynamic, with implications for people management and accountancy, is the set of symmetric and reciprocal relations presupposed in Habermas’ concept of communicative action.

The purpose of the article is to provide managers and academics alike with valuable insights into how global organizations are able to manage innovation by the organization‐wide mobilization of knowledge resources.

This paper is the result of an eight‐year in‐depth theoretical and practical research process mainly undertaken within Siemens AG, and is based on a total of 68 expert interviews conducted with distinguished experts in related fields. Consisting of three phases, the research stretched from analyzing the interrelation of mobility and innovation and deducing case studies towards the development of an integrated model of a mobile company.

In order to leverage on innovation as one of the most important sources of competitiveness and business success, organizations have to abandon outdated organizational models and engage into mobilizing their knowledge resources.

The results of this in‐depth work can be applied to the reality of a global business, networked across organizations, people, borders and cultures. By providing proof of the impact of people and business processes' mobility on knowledge creation, this article shows how to mobilize organizations for innovation and, consequently, value creation by suggesting an advanced organizational model called the “MOBILE company”.

Intellectual capital creation is theorised in this conceptual paper as a dynamic process of collective knowing that is capable of being leveraged into market value. The tacit, intangible and socially unconscious nature of substantive parts of this dynamic process presents some daunting theoretical challenges. Adopting a broadly social constructionist epistemology and a pluralist ontology, the point of departure introduced here is the set of symmetric and reciprocal relations presupposed in Jürgen Habermas’ theory of communicative action. In this worldview, interaction, as distinct from individual action, becomes the germ‐cell or basic unit of theoretical analysis. The relations and validity claims built into the medium of communicative action, viewed here as the nexus of intellectual capital creation, are substantive and real phenomena; they are thus open to empirical investigation.

This paper seeks to contribute to the discussion of relationship marketing in professional services firms (PSF). The process of dialogical interaction with clients is central to relationship marketing. However, client dialogue may fall dormant if not properly cultivated by employees of the PSF, that is, by professionals. This inductive study aims to investigate how professionals sustain a fruitful client dialogue by proactively introducing additional client problems to the dialogue.

Extensive field research with a “Big Four” accounting firm and 11 client companies inductively generates a framework to describe how professionals engage in proactive diagnosis of client problems to introduce these problems to the client dialogue. The framework is grounded in 49 focused interviews with professionals and client managers, as well as supplementary interviews, observations, and firm documents.

The suggested framework consists of the components of proactive diagnosis (information‐seeking and influence strategies), a trade‐off that professionals must make among these components, several enablers of and constraints on proactive diagnosis, and key client concerns that professionals must address to introduce additional client problems.

Despite the importance of client dialogue for relationship marketing, recommendations about how professionals can sustain client dialogue over time remain limited. This study describes proactive diagnosis as one potential approach. It contributes to literature on relationship marketing in PSFs by showing how proactive diagnosis helps professionals overcome the problem of dormancy in client dialogue, complements personal selling, and extends the role of diagnosis beyond paid client assignments into the pre‐selling phase.

Highlights that although the idea that competences are underlying sustainable competitive advanta ges is central, there has been no thorough investigation into the very nature of competences in the strategic management literature. Uses theories on the sociology of knowledge to advance the resource‐based perspective of the firm into a coherent perspective of competences. Discusses the implications on sustainable competitive advantages by focusing on the processes of imitation of competences in different social contexts. Proposes that the emergent competence‐based perspective of the firm has several important implications for management research and theory building.