• Clusters in the biopharmaceutical industry: Toward a new method of analysis

      Erden, Zeynep; von Krogh, Georg (Drug Discovery Today, 2011)
      Clusters are groups of co-located and interconnected firms and institutions linked by commonalities in their strategies and complementarities in their activities and resources. There are several reasons for the geographical clustering of firms in the biopharmaceutical industry. This review unpacks some advantages and disadvantages of cluster participation, and proposes a new method to enable managers and researchers to identify clusters in the biopharmaceutical industry.
    • Coordinating knowlegde creation in multidisciplinary teams: Evidence from early-stage drug discovery

      Ben-Menahem, Shiko; von Krogh, Georg; Erden, Zeynep; Schneider, Andreas (Academy of Management Journal, 2015)
      Based on a multi-year field study of early-stage drug discovery project teams at a global pharmaceutical company, this paper examines how multidisciplinary teams engaged in knowledge creation combine formal and informal coordination mechanisms when faced with unpredictable interdependencies among specialists’ knowledge domains. While multidisciplinary teams are critical for knowledge creation in increasingly specialized work environments, the coordination literature has been divided with respect to the extent to which such teams rely on formal coordination structures and informal coordination practices. Our findings show that when interdependencies among knowledge domains are dynamic and unpredictable, specialists design self-managed (sub-)teams around collectively held assumptions about interdependencies based on incomplete information (conjectural interdependencies). These team structures establish the grounds for informal coordination practices that enable specialists to both manage known interdependencies and reveal new interdependencies. Newly revealed interdependencies among knowledge domains, in turn, promote structural adaptation. Drawing on these findings, we advance an integrative model explaining how team-based knowledge creation relies on the mutual constitution of formal coordination structures and informal coordination practices. The model contributes to theory on organizational design and practice-based research on coordination in cross-disciplinary knowledge creation.
    • Exploring social preferences in private-collection innovation

      Garriga, Helena; Aksuyek, Efe; Hacklin, Fredrik; von Krogh, Georg (Technology Analysis & Strategic Management, 2012)
      Firms, research institutions and individuals have long realised the advantages of innovating in an open manner. Companies such as IBM, Philips and Procter & Gamble, increasingly seek to cooperate with outside individuals and organisations to tap into their ideas for new products and services. This approach makes good business sense, but it is also difficult to achieve. In particular, mechanisms that motivate innovators to ‘open up’ are critical in achieving the benefits of open innovation. Private–collective innovation (PCI) has become an increasingly important model for explaining innovation at the boundaries of traditional, closed and open innovation regimes. Previous work has examined PCI both conceptually and empirically, and recent scholarship has focused specifically on the initiation of PCI as it relates to problems of collective action. This work shows that a project will not ‘take off’ unless the right incentives are in place for innovators to contribute their knowledge to open innovation from the beginning. Drawing on behavioural game theory, this paper expands on prior work by exploring social preferences in the initiation of PCI. The authors conducted a simulation study that shows how inequality aversion, reciprocity and fairness affect the underlying conditions that lead to the initiation of PCI. The results indicate that reciprocity and the potential gains for other participants explain changes in individual knowledge sharing in PCI.
    • Fostering multidisciplinary collaboration in drug discovery

      Erden, Zeynep; Ben-Menahem, Shiko; von Krogh, Georg; Schneider, Andreas; Koch, Guido; Widmer, Hans (Drug Discovery World, 2019)
      Drug discovery teams combine specialists with in-depth knowledge from a variety of scientific disciplines. Such diversity in thought worlds poses a challenging exercise in cross-disciplinary collaboration and project coordination. Based on a longitudinal field study of five projects in a leading pharmaceutical company we present a framework outlining the conditions for effective cross-disciplinary collaboration in drug discovery teams. We show that knowledge creation in multidisciplinary teams relies on a combination of formal team structures and informal co-ordination practices. Formal team structures set the boundary conditions for cross-disciplinary co-ordination. Within their boundaries self-managed sub-teams draw on informal co-ordination practices involving cross-disciplinary anticipation, synchronization and triangulation to overcome knowledge boundaries and high uncertainty. We identify five key insights and two questions which are important for managers to consider for fostering multidisciplinary collaboration in drug discovery.
    • Fostering the knowledge-sharing behavior of customers in interorganizational healthcare communities

      von Krogh, Georg; Seonwoo, Kim; Erden, Zeynep (2008)
      Knowledge is one of the most important sources of competitive advantage for companies. Recently nonprofit organizations and governments as well as companies have been trying to maximize knowledge sharing and creation. Despite its importance, sharing knowledge is not an easy task to implement. Therefore, a company has to provide a knowledge-enabling context to facilitate its customers' knowledge activities. The objective of this research is to understand knowledge sharing in interorganizational customer communities and to figure out how a company fosters its customers' knowledge sharing. For this, a model composed of behavioral intention, community features, empowered leadership, and a company as a knowledge activist was developed
    • How can we signal the value of our knowledge? Knowledge-based reputation and its impact on firm performance in science-based industries

      Erden, Zeynep; Klang, David; Sydler, Renato; von Krogh, Georg (Long Range Planning, 2015)
      This study shows that the value of a firm's knowledge stocks in a stakeholder group is determined by the rules, values, norms and social evaluations conducted in that group. Based on prior work on the knowledge-based view of the firm and institutional theory, we develop a model of the relationship between the reputation of a firm's knowledge stocks in the scientific and business communities, and the impact of these assets on firm performance. We test the model in a longitudinal research setting with a set of carefully sampled public biopharmaceutical firms. The results indicate that the social evaluations of knowledge stocks by both the scientific and business communities affect firm performance. We indicate the implications of our findings for academic thought and for management practice.
    • Knowledge sharing in an online community of volunteers: The role of community munificence

      Erden, Zeynep; von Krogh, Georg; Kim, Seonwoo (European Management Review, 2012)
      This study examines how perceived benefits, and context in online communities, shape members' intentions to share their knowledge. We build a model of knowledge‐sharing intention and provide empirical evidence using survey data collected from a community in which members voluntarily exchange their experiences, ideas, and questions on photographic equipment via online platforms. We find the perceived benefits and favorable conditions provided by a community (community munificence) – which consists of collective knowledge, experienced interdependence, opportunity structures, and psychological safety – influence individuals' motivation to contribute knowledge. We discuss managerial implications and outline suggestions for future theory building and empirical research.
    • Knowledge-flows and firm performance

      Erden, Zeynep; Klang, David; Sydler, Renato; von Krogh, Georg (Journal of Business Research, 2014)
      This study advances the understanding of how knowledge-flows impact on firm performance. Incorporating recent research on the knowledge-based view of the firm, this paper tests and extends the knowledge flow model by using more fine-grained measures and by proposing a nonlinear effect. This study tests the predicted effects in a longitudinal research design with data on a global sample of public biopharmaceutical firms. The results largely support the expectation that knowledge-flows largely have a nonlinear impact on firm performance. However, one traditional measure of knowledge-flows, geographical location, turns out to have no significant influence in the extended model. The paper explains the implications of these findings for practice and research.
    • Modeling the firm—Constructing an integrated entrepreneurship course for undergraduate engineers

      Baschera, Pius; Hacklin, Fredrik; von Krogh, Georg; Battistini, Boris (2013)
    • Opciones estratégicas en las industrias convergentes

      Hacklin, Fredrik; Battistini, Boris; von Krogh, Georg (Harvard Deusto Business Review, 2014)
    • Rethinking Leadership in Drug Discovery

      Schneider, Andreas; Erden, Zeynep; Widmer, Hans; Koch, Guido; Billy, Christine; von Krogh, Georg (Drug Discovery Today, 2012)
      Great efforts have been dedicated to rebuilding the engine of pharmaceutical R&D. However, one potential area of improvement has received limited attention in the literature and in practice: namely, leadership. In this article, we enrich the traditional views of leadership, which consider leadership a responsibility of a few centrally placed authorities, with the concept of distributed leadership. Distributed leadership reflects a group-based capability driven by everyday activities and the key scientific questions at hand. We identify three leadership challenges faced by R&D teams that could be addressed by implementing distributed leadership. Furthermore, we provide some suggestions as to how to foster distributed leadership in drug discovery projects.
    • Revolutionizing innovation: Users, communities, and open innovation

      von Krogh, Georg; Garriga, Helena; Aksuyek, Efe; Hacklin, Fredrik (2016)
    • Strategic choices in converging industries

      Hacklin, Fredrik; Battistini, Boris; von Krogh, Georg (MIT Sloan Management Review, 2013)
      In the relentless evolution of technology and markets, many industries are in the midst of, or are approaching, major reconfigurations of their fundamental architectures and the way companies capture value.1 The changes are well underway in biopharma, nutrition products, health care and energy, where technologies and distinct knowledge bases are changing and converging. Perhaps the most dramatic example of such convergence is taking place in the booming space of telecommunications, information technology, media and entertainment, which many people now refer to as a single field, the “TIME” industries.2 The TIME industries are characterized not only by the variety of new technological products and services being launched at an ever-increasing pace but also by the surging complexity of their markets and how companies win. As some companies have expanded their scope, others have been forced to rethink and retool their strategies. In many ways, the TIME example offers a useful model for managers in other industries where convergence is less obvious.
    • Strategic groups in the biopharmaceutical industry: Implications for performance

      Erden, Zeynep; von Krogh, Georg; Nytorp, Cecilia; Hultberg, Marcus (Drug Discovery Today, 2009)
      The biopharmaceutical industry is characterized by intense competition, high uncertainty, and strong dependence on scientific knowledge. We show that in order to succeed in this industry, firms need to be positioned along three strategic dimensions: the level of inter-firm R&D partnering, the level of diversification, and the size of the firm. Prior research has revealed that a firm's membership in so-called ‘strategic groups’ impacts strongly on its performance. This study analyzes strategic groups in the biopharmaceutical industry along the strategic dimensions listed. The performance of the groups differs significantly. The best performing groups are the ones that consist of large firms with a high level of in-house diversification across therapeutic areas and the medium-sized firms that pursue partnership with other companies.
    • The quality of group tacit knowledge

      Erden, Zeynep; von Krogh, Georg; Nonaka, Ikujiro (The Journal of Strategic Information Systems, 2008)
      Organizational knowledge creation theory explains the process of making available and amplifying knowledge created by individuals as well as crystallizing and connecting it to an organization’s knowledge system. What individuals get to know in their (working) lives benefits their colleagues and, eventually, the wider organization. In this article, we briefly review central elements in organizational knowledge creation theory and show a research gap related to the quality of tacit knowledge in a group. We advance organizational knowledge creation theory by developing the concept of “quality of group tacit knowledge.” Based on this concept, we further develop a comprehensive model explaining different levels of tacit knowledge quality that a group can achieve. Finally, we discuss managerial implications resulting from our model and outline imperatives for future theory building and empirical research.