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Validating Knowledge/Technology Effects to Operative Sustainable Competitive Advantage

Author

Listed:
  • Josu Takala

    (University of Vaasa, Finland)

  • Jari Koskinen

    (University of Vaasa, Finland)

  • Yang Liu

    (University of Vaasa, Finland)

  • Mehmet Serif Tas

    (University of Vaasa, Finland)

  • Matti Muhos

    (University of Vaasa, Finland)

Abstract

Purpose: This paper aims to present a fresh idea on how to model and examine the level of sustainable competitive advantage (SCA) with and without knowledge/technology (K/T) effects in a case company’s operation by taking the manufacturing strategy’s development directions and the efficiency of resource allocation among its attributes into consideration. Design/Methodology/approach: In this paper, questionnaires are filled by two different managerial groups, company’s global business directors (G1) and company’s directors in global operation strategies (G2). The analyses based on G1, G2 and G1-G2 (mixed results) are performed and examined as well as the effect of knowledge/technology rankings to observe the differences on how they effect on company’s operations strategy and what kind of a strategy type that decision makers might fallow. Besides, the effects of knowledge/technology rankings on SCA risk levels are examined on different case companies to perceive the similarities and differences with our case company. In this case study, the objectives are achieved based on several methodologies: manufacturing strategy index (MSI) (Takala, et al., 2007) and sense and respond (S&R) methodology (Liu, et al., 2011). Findings: The achieved results through the model are found to be promising corresponding to the feedback from the respondents. Research limitations/implications: The model is applied only in a medium sized B2B global company that produces power electronics products. Therefore, further tests need to be applied to the model in case of multiple companies from different sizes and areas to figure out the best formula in case of validation of strategic direction (MAPE, RSME or MAD). Practical implications: As a result of its wide applicability and its ease in arrangement the model has an enormous potential for strategic decision-making process and strategic analysis. Originality/Value: The model can provide a more dependable possibility of sustainable improvement to the corporate operational excellence and strategy.

Suggested Citation

  • Josu Takala & Jari Koskinen & Yang Liu & Mehmet Serif Tas & Matti Muhos, 2013. "Validating Knowledge/Technology Effects to Operative Sustainable Competitive Advantage," Diversity, Technology, and Innovation for Operational Competitiveness: Proceedings of the 2013 International Conference on Technology Innovation and Industrial Management,, ToKnowPress.
    • Handle: RePEc:tkp:tiim13:s6_87-102
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    Cited by:

    1. Ricardo E. Buitrago R. & María Inés Barbosa Camargo & Favio Cala Vitery, 2021. "Emerging Economies’ Institutional Quality and International Competitiveness: A PLS-SEM Approach," Mathematics, MDPI, vol. 9(9), pages 1-18, April.

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