TITEL
Do MNCs benefit from knowledge gained by their expatriates?: case studies of SCA and SKF
FöRFATTARE
Lyttinen, JP; Rydberg, Isabella
INSTITUTION
Industriell ekonomi och samhällsvetenskap / Industriell marknadsföring och e-handel
SAMMANFATTNING
In the age of globalization companies are continuously affected by
competition around the world. Knowledge is seen as an important competitive
advantage and to sustain that, knowledge within an organization needs to be
seen as a strategic resource and a prerequisite for creating value. The
challenge confronted by many organizations is that often knowledge exists
in the head of an individual and consists of information that is
transformed by personal experience, values and beliefs. Organizational
learning is when companies continuously expand their knowledge through
their employees. The purpose of this study is to gain a better
understanding of the role of expatriate knowledge within the MNCs’
knowledge management activities: The transfer of expatriate knowledge to
the MNC organization as well as how MNCs handle expatriate knowledge. Two
qualitative case studies of Swedish MNCs: SCA and SKF, were conducted. Our
findings show that expatriation is used as a method, mainly to transfer
knowledge from subsidiary to headquarters through annual visits to the home
country and through repatriation. In both cases, the expatriates have no
obligations to share knowledge with other employees upon their return.
Also, during their international assignment, the expatriates rarely have
any contact with home country organization, except for contact with their
mentors, although in those cases it occurs, the relation concerns mostly
practical issues and not specifically knowledge sharing. The organizations
do not engage expatriates or provide them with more specific opportunities
for knowledge sharing. Expatriates who use expatriation as a part of their
personal development will use acquired knowledge only in their future work.
If an expatriate quits, the company loses its investment and expatriate’s
knowledge, since knowledge is not stored within the organization.
ISSN 1402-1552 / ISRN LTU-DUPP--06/009--SE / NR 2006:009
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