How can a company’s existing knowledge generate particularly high value for the company and provide a competitive advantage? There is a separate stream of strategic management that deals with this question (
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How new knowledge is created
We have already seen in a previous article that knowledge changes when it is used and applied (blog post Knowledge Transfer). It follows that new knowledge is also created when it is shared or used.
In addition, learning is a central source of new knowledge. As a first step, try to learn as much as possible in every activity, in the projects, from customers, colleagues, partners, etc.. Regular reflection is central to both mechanisms. Reflect on what you have learned in a completed project or even every day, what went well or not so well and how it could be improved next time. If you are aware of this new knowledge, you can also share it and access it again in the future. In the technical and scientific fields, learning is of course a bit more effortful. As a first step, try to learn as much as possible in every activity, in the projects, from customers, colleagues, partners, etc.. Regular reflection is central to both mechanisms. Reflect on what you have learned in a completed project or even every day, what went well or not so well and how it could be improved next time. If you are aware of this new knowledge, you can also share it and access it again in the future. In the technical and scientific fields, learning is of course a bit more effortful.
But new knowledge is also created by combining existing knowledge in new ways. The knowledge can be with one person, but the potential is especially big if it is distributed over several people or a whole team within the company or even outside the company. This article is about this type of knowledge generation and here we are already in the middle of the topic of innovation. By definition, an innovation must be new, useful and implemented. And new ideas or new knowledge are the basis for improvement and innovation in the company. The knowledge can be with one person, but the potential is especially big if it is distributed over several people or a whole team within the company or even outside the company. This article is about this type of knowledge generation and here we are already in the middle of the topic of innovation. By definition, an innovation must be new, useful and implemented. And new ideas or new knowledge are the basis for improvement and innovation in the company.
Process and boundary conditions in everyday business
What can this innovation process look like in everyday business? There are basically two different ways to create new knowledge. Depending on the process one chooses, different types of innovations are possible. There are basically two different ways to create new knowledge. Depending on the process one chooses, different types of innovations are possible.
- Split process or product and define clear interfaces. Most products and processes today are modular. This makes it possible to divide both development and production so that people can work separately and bring in improvements as long as the interfaces remain the same. However, development or improvement is limited to this part and the predefined interfaces limit the improvement at one point. This splitting is the typical way of working in natural sciences and engineering (
to the blog post - As the object is progressively subdivided, at some point you reach a point or complexity that you can no longer subdivide further. Especially for comprehensive radical changes, one can consciously set a larger framework and optimise several sub-objects together. This allows for more far-reaching improvements, but the process is often more time-consuming. Especially for comprehensive radical changes, one can consciously set a larger framework and optimise several sub-objects together. This allows for more far-reaching improvements, but the process is often more time-consuming.
Today, however, objects, products and processes are generally becoming more complex and the dependencies between the elements more diverse. This also has to do with progressive specialisation. A division into small parts with clear interfaces is becoming more and more difficult. In such cases, not a single person has all the knowledge with him or her. Therefore, it is becoming necessary more and more often to search for solutions together in a group. This means that the development process takes place simultaneously or at least iteratively. Methods such as Design Thinking or Systems Engineering have been designed to understand and improve systems in their entirety. Systems engineering focuses on the system, its behaviour and the dependencies between the elements and is therefore well suited for technical systems. Design thinking, on the other hand, focuses more on the users and the solution. This also has to do with progressive specialisation. A division into small parts with clear interfaces is becoming more and more difficult. In such cases, not a single person has all the knowledge with him or her. Therefore, it is becoming necessary more and more often to search for solutions together in a group. This means that the development process takes place simultaneously or at least iteratively. Methods such as Design Thinking or Systems Engineering have been designed to understand and improve systems in their entirety. Systems engineering focuses on the system, its behaviour and the dependencies between the elements and is therefore well suited for technical systems. Design thinking, on the other hand, focuses more on the users and the solution.
In the article on knowledge transfer we saw that the personal aspect and the boundary conditions and culture in the team or company are particularly important when sharing knowledge. When generating new knowledge, the boundary conditions and the culture are even more important. The difficulty here is not only to apply or slightly improve already known knowledge, but also to generate completely new ideas. The following factors can be obstacles: The difficulty here is not only to apply or slightly improve already known knowledge, but also to generate completely new ideas. The following factors can be obstacles:
- Culture: Create a culture of trust, where even mistakes can be discussed, where crazy suggestions can be expressed and ideas are taken up regardless of hierarchical level.
- Routines & time pressure: Deliberately take time to question existing routines and processes. Innovation, like knowledge transfer, takes some time at first and is only worthwhile in the medium term at best. Design processes in such a way that there is space and time to learn and generate new knowledge. Innovation, like knowledge transfer, takes some time at first and is only worthwhile in the medium term at best. Design processes in such a way that there is space and time to learn and generate new knowledge.
- Operational excellence: The demand for efficiency and operational excellence can set the wrong incentives. Efficiency and effectiveness is usually achieved by doing things the way they have always been done. Efficiency and effectiveness is usually achieved by doing things the way they have always been done.
- Organisational form: Reduce silos and processes that make collaboration and sharing difficult and value input and contributions from team members.
- Vision: there is a lack of a shared vision that gives direction for development and innovation.
- Our desire for conformity often leads us unconsciously to use knowledge that the majority of people already have. The collection of ideas must be guided accordingly. The collection of ideas must be guided accordingly.
The boundary conditions can also be created roughly in this order. In addition, there are also some factors such as environment, market, customers, resources etc. which cannot be directly influenced or changed. In addition, there are also some factors such as environment, market, customers, resources etc. which cannot be directly influenced or changed.
Combine knowledge in a new way
Once you have created the boundary conditions and assembled a diverse team, it is a matter of recombining the existing knowledge. Always remember: the description of the problem defines the possible solutions. Try to understand the problem from different perspectives and define it as well as possible. Always remember: the description of the problem defines the possible solutions. Try to understand the problem from different perspectives and define it as well as possible. Pay sufficient attention to this part of the project, for example by using methods such as design thinking or systems engineering. After that, it’s about finding new solutions. Depending on the method chosen, this is more of a systematic-analytical process (systems engineering) or a creative process (design thinking). In either case, the process requires the right environment and attitude. I am convinced that in both methods it is worth going beyond what has already been thought and generating new creative solutions. The following questions are a good way to get started: After that, it’s about finding new solutions. Depending on the method chosen, this is more of a systematic-analytical process (systems engineering) or a creative process (design thinking). In either case, the process requires the right environment and attitude. I am convinced that in both methods it is worth going beyond what has already been thought and generating new creative solutions. The following questions are a good way to get started:
What if…
How else could one….
There are also many creativity techniques available which aim precisely at recomposing existing knowledge and bringing new knowledge to use. Typical tools for this purpose are, for example: Typical tools for this purpose are, for example:
- Morphological box or SCAMPER
- Funky Prototype and Dark Horse
- Opposite Thinking
- Role plays
In any case, the ideas collected must then be evaluated, mapped in a form (model, simulation, experiment, prototype, etc.) and tested before they are refined. This iterative procedure is inherent to all methods that take a more holistic view of a system. In these cases, finding a solution is not a linear process. This iterative procedure is inherent to all methods that take a more holistic view of a system. In these cases, finding a solution is not a linear process.
Knowledge from outside the firm
We have always talked about recombining existing knowledge. The solution is therefore at most as good as the team and the people involved in the process. In addition, more and more companies in the technical and scientific fields no longer have their own development departments. Knowledge and learning within the company are therefore limited and it is becoming increasingly important to also use knowledge and insights from outside the company. We are definitely in the age of collaboration and accordingly it has never been easier to work with people from outside the company. The solution is therefore at most as good as the team and the people involved in the process. In addition, more and more companies in the technical and scientific fields no longer have their own development departments. Knowledge and learning within the company are therefore limited and it is becoming increasingly important to also use knowledge and insights from outside the company. We are definitely in the age of collaboration and accordingly it has never been easier to work with people from outside the company. There are a huge number of possibilities for collaboration and platforms. A first step is always to reflect and learn in your projects, to gather knowledge from your clients and partners by listening and asking and then developing together. You can either collect knowledge (insights, ideas etc) from external people or integrate them directly into your Design Thinking or Systems Engineering process. Just as it suits the task. A first step is always to reflect and learn in your projects, to gather knowledge from your clients and partners by listening and asking and then developing together. You can either collect knowledge (insights, ideas etc) from external people or integrate them directly into your Design Thinking or Systems Engineering process. Just as it suits the task.
However, there is not only the possibility to get knowledge from outside the company (outside-in), but also to use your own knowledge outside the current applications (inside-out). The VRIS framework shows you which knowledge or resources of your team are useful and unique and can therefore theoretically be applied in other contexts. The VRIS framework shows you which knowledge or resources of your team are useful and unique and can therefore theoretically be applied in other contexts.
Conclusion
We have seen how new knowledge is created and which boundary conditions can be influenced by the company in order to form new knowledge. It is important to note that these processes require a specific mind-set and culture. It is important to note that these processes require a specific mind-set and culture. For this reason, larger companies often form their own teams that work in this way. Especially for small and medium sized companies that do not have separate teams, it can be very helpful to bring in outside support to lead the process and apply the tools. Regardless of the size, for many projects and problems it can be a great benefit to include knowledge from outside the company in finding solutions. Especially for small and medium sized companies that do not have separate teams, it can be very helpful to bring in outside support to lead the process and apply the tools. Regardless of the size, for many projects and problems it can be a great benefit to include knowledge from outside the company in finding solutions.
evores supports you in locating, sharing and recomposing knowledge in your team. We also gather knowledge outside the company and use it both toimprove internal processes and collaboration and toimprove your offerings. I often work with Design Thinking and the above creativity techniques. Together we also develop an organisation and processes that support continuous innovation and improvement.
On the author
Claudio Lehmann is founder and consultant at evores. As an engineer and management consultant, he is fully committed to making the existing potential in companies visible and utilising it. Long-term sustainability starts with motivated employees and goes through efficient collaboration to the innovative strategy of companies that bring value to society. People. Planet. Profit.
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