Research On Formation And Promotion Mechanism Of Organizational Capability Based On Knowledge Flow

Along with the age of knowledge economy and the acceleration of the process ofeconomic globalization，enterprises begin to face a more dynamic, complicated anduncertainty environment. Meantime, knowledge has become the important resource oforganizational capability，the success or not is no longer simply rely on theheterogeneous resources or capabilities, how to develop and cultivate organizationalcapabilities which can match with environment change has become the biggestchallenge enterprises facing. Cultivating and enhancing organizational capability is tointegration of enterprise’s capacity and resource，which is the base for them to obtainsustainable competitive advantage in a dynamic environment.The main research contents include the following parts:Part1: Put forward the formation model of organizational capability. This paperuses organizational routines as the representation of organizational capability, andresearch on formation of the organizational capability based on knowledge flow. Thenit adopts evolutionary theory to illustrate the internal mechanism of cross-levelknowledge flow activities. After that the paper analyzes the factors of organizationalcapability, paying a great attention to the entrepreneurship which plays an importantpart in the rigidity overcome and organizational capability formation; combiningentrepreneurship with the characteristic of "creative destruction" and organizationalroutines with the characteristic of "path dependence", so the forming process couldbe explained well and enterprises’ practice could be effectively guided; finally thepaper elaborates a framework of organizational capability based on knowledge flow.Part2: Put forward the promotion mechanism of organizational capability, andtest the theoretical model using case study method. Based on the formation model oforganizational capability, centred on balancing efficiency and flexibility in enterprises,the paper provide some mechanisms to advance organizational capability, advancingentrepreneurship, enhancing organizational learning, promoting knowledge flow andoptimizing knowledge management; then using Huawei Technologies Co. Ltd. as an example to analyze its organizational capability, we test the theoretical model fromthe perspective of positivism.Based on knowledge flow, the paper tries to discuss organizational capabilityformation. The purpose is to open the "black box" of organizational capabilityformation, and put forward the beneficial reference for enterprises about how to breakthe dilemma in organizational capability evolution and how to enhance theinternational competitiveness of China’s enterprise.