Managing Knowledge-Based Organizations Through Trust

Abstract

This chapter provides a comprehensive basis for understanding the role of trust in knowledge management and systems in organizations. The point of departure is the resource and knowledge-based theories of an enterprise that place knowledge generation as the primary source of wealth and social well-being. The authors show the crucial role of the intangible factors of trust, knowledge and information as related to the social capital and the development of the intellectual capital of an organization. The multidisciplinary nature of the concept of knowledge management and of trust is examined by a thorough review of literature. Trust is seen as a situational and contextual phenomena whose impact on the development of an organizational culture and climate and on success with collaborating is explored as related to the relational, cognitive and structural dimensions of social capital. The overall aim is to sustain strategic capability in the networked mode of performing. The importance of normative trust, shared values and shared meanings is stressed as a frame of reference to organizational behaviour and in communities of practice, but also the role of swift trust is highlighted. The authors provide ideas for empirical research to develop theory of the strategic management of knowledge and information and outline implications for practices for the organizational development.