Knowledge Management Governance In Multinational Companies: A Case Study Of Siemens

Managing knowledge in multinational companies (MNCs) has been of critical importance not only because of the need to overcome the ever-present competition in globalised market, but also due to the need to tap local knowledge and diffuse global knowledge. Global presence for MNCs means an opportunity to learn from local markets, exploit worldwide experiences, and induce innovation. It is only through globally effective management of knowledge that such opportunity can be realised. A deliberate knowledge management (KM) strategy needs to be incorporated along with relevant governance mechanisms to ensure KM benefit realisation. This paper examines how the governance of KM can lead to successful KM implementation particularly in an MNC. Through a case study of Siemens based on secondary data, it is argued that KM governance evolves towards changes in KM strategy to ensure that KM benefits are realised. While the enablers of successful KM have been discussed in the literature, little research has been done in examining how governance mechanisms assist in realising KM benefits in a multinational setting. The paper suggests that cross-cultural management and a relevant approach to incentive schemes are critical in considering how KM governance can lead to successful KM implementation in MNCs.