Managing Tacit Knowledge in Multinational Companies: An Integrated Model of Knowledge Creation Spiral and Knowledge Fermenting

Tacit knowledge is difficult for multinational companies (MNCs) to manage because of the high cost in cross-boder transfer. By introducing a model which is adapted from Nonaka 's knowledge creation spiral, this paper demonstrates the mechanics of tacit knowledge creating and integrating of MNCs'. A "ba" is defined as a real or virtual place for knowledge fermenting. Tacit knowledge can be created more often in the creating ba, and effectively integrated sequentially in the standardized fermenting ba, systematized fermenting ba, training and validating ba. According to the model, strategies, desire to share and learn, organizational synergy, culture, knowledge tools and other suggestions to manage tacit knowledge in MNCs are provided.