Abstract
This study explores the role played by corporate socialization mechanisms (CSMs) and human resource management (HRM) practices in inter- and intra-unit knowledge flows and creation systems in multinational corporations (MNCs), especially focusing on professional service firms (PSFs). Drawing on a longitudinal case study of Cambridge Technology Partners (CTP), which was established during a paradigm shift in the consulting industry arising from the advancement of information technology (IT), the findings of this study suggest that CSMs are incorporated into HRM practices. When CTP was a global consulting company, CSMs worked as an infrastructure for transferring knowledge from the headquarters (HQs) to a focal subsidiary. HRM practices were designed to enhance and practice the HQs’ goals of achieving global competitiveness. Specifically, training and development practices played a role in transferring knowledge from the HQs to a focal subsidiary at the corporate level, while tacit and explicit knowledge were transferred from senior to junior consultants at the individual level. At present, sharing the corporate philosophy within CTP has generated a high project success rate in Japan and laid the foundation for further knowledge creation for CTP. HRM practices are designed to enhance CTP’s business model, methodology, and corporate culture and to create new knowledge. Training and development practices enhance the creation of new knowledge within the company. Additionally, performance appraisals and incentive practices are designed to encourage consultants to create new knowledge.
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21 December 2019
In the original version of this chapter, the following belated correction has been incorporated in Table 10.1 of Chapter 10:
2016 • Present-CTP was nominated for the best company award from Great Place to Work® Institute
2017 • Present-CTP was nominated for the best company award from Great Place to Work® Institute
2018 • Present-CTP was nominated for the best company award from Great Place to Work® Institute
The erratum chapter has been updated with the change.
Notes
- 1.
In the case study, I use Global-CTP to explain the business situation in the Global-CTP era, while I use CTP for explaining the role of the HQs of Global-CTP and/or business activities, including the business model and the Cambridge Culture that Present-CTP inherited from the Global-CTP era. In addition, I use Global-CTP Japan as well as Novell-CTP Japan when explaining the Japanese subsidiary’s business activities during the Global-CTP and Novell-CTP eras.
- 2.
“Project success” means that the project is completed on time and on budget, with all features and functions as originally specified (CHAOS: A Recipe for Success-Software and Systems Engineering:http://www4.informatik.tu-muenchen.de/lehre/vorlesungen/vse/WS2004/1999_Standish_Chaos.pdf).
- 3.
CHAOS: A Recipe for Success-Software and Systems Engineering (http://www4.informatik.tu-muenchen.de/lehre/vorlesungen/vse/WS2004/1999_Standish_Chaos.pdf).
- 4.
CTP website (https://www.ctp.co.jp/press/pr_20080707_01/).
- 5.
NIKKEI XTECH: Survey of IT projects 2018, 2018 March (1): 26–27.
- 6.
- 7.
- 8.
The descriptions of HRM practices at Global-CTP are based on interviews with the CEO of Present-CTP and are referenced from past versions of the website accessed via Internet archive: http://web.archive.org/web/*/http://www.ctp.com.
- 9.
When Global-CTP acquired other companies, it also conducted an on-site “jumpstart” program that featured extensive service, methodology, and cultural training.
- 10.
Great Place to Work® Institute Japan website (https://hatarakigai.info/ranking/japan/). Present-CTP has been nominated for the best company award thrice times in the past.
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Kasahara, T. (2019). Knowledge Transfer and Creation Systems: Perspectives on Corporate Socialization Mechanisms and Human Resource Management. In: Cantwell, J., Hayashi, T. (eds) Paradigm Shift in Technologies and Innovation Systems. Springer, Singapore. https://doi.org/10.1007/978-981-32-9350-2_10
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