Knowledge As a Factor to Improve Competitiveness for a Firm in Rural Norway
Aker Verdal produces steel jackets for the offshore industry and is situated in TrÃ¸ndelag in peripheral Norway. The firm has about 600 employees and a yearly production value of about 200 mill. $. The main competitors are in the southern part of Europe, for example Dragados in Spain. The wage level at Dragados is about 50% lower than at Aker Verdal, but Aker has won several contracts in the later years. One reason for this is that Aker has a knowledge component that contributes to the compensation for higher wage costs. The firm wants to analyze how it acquires and develops knowledge capital by looking at: Â· Identification: What are the central knowledge processes that take place Â· Measurement: What kind of indicators can be used Â· Management: How is management of knowledge integrated in the general management of the firm In this paper we will look at a case study and see how that can be understood in a theoretical framework. We will also analyze the advantages and disadvantages of peripheral location and its influence on knowledge creation and development.
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