Scott A. SnellCornell University
393 Ives HallIthaca, NY 14853(607) 255-4112
Competing through Knowledge:The Human Capital Architecture
IBM“You can get capital and erect buildings, but it takes people to build a business.”
Thomas J. Watson, IBM
Did IBM forget?• $168 billion (Tobins Q = 2.1) • Hardware, software, and services• Nobel prize-winning scientists• 3,768 patents (1993-1995)
Focus on:
Core Competencies
Network Structures
Network Network StructuresStructures
IntellectualCapital
IntellectualIntellectualCapitalCapital
Partners &Contractors
Partners &Partners &ContractorsContractors
Relational BrokeringRelational Brokering
Information TechnologyInformation Technology
Transparent to CustomersTransparent to Customers
What’s Happening Today?What’s Happening Today?
Industry Changes• Globalization• Information technology
Industry Changes• Globalization• Information technology
Need for…• Organizational agility• Speed• Innovation• Cost
• Knowledge-based strategies• Core competencies• Innovation• External partnerships
Leading to…Leading to…
New Business Equation
Core Competence……is a bundle of skills and technologies that enables a company to provide a particular benefit to customers.
Hamel and Prahalad, 1994
SONY Miniaturization PocketabilityFEDERAL EXPRESS Logistics On-time deliveryHONDA Engine design/mfg. Reliable performanceMOTOROLA Wireless technology Untethered comm.
Core Benefit toCompetence Customer
KnowledgeKnowledge
TechnologiesTechnologies
ProcessesProcesses
RelationshipsRelationships
CRITERIA• valuable• unique• extendable• learning
Benefits VALUE = ---------
Costs
UNIQUE = (social complexity + causal ambiguity)
LEA
RN
ING
= (e
xper
ienc
e x
chal
leng
e)
Competing Through People• Identify & develop core skills• Integrate diverse activities• Respond with agility & speed• Empower action• Innovate
Core Competence…Core Competence…
…is a bundle of skills and technologies that enables a company to provide a particular benefit to customers.
--Hamel and Prahalad
KNOWLEDGE - customer - technology - operations - managing
PROCESSES - customer segmentation - just-in-time (hrs) - mass customization - build to order (AIM) - ROIC metrics - experimentation
TECHNOLOGY
- Premier pages - software installation - TPM triggers (parts, service) - customer purchasing systems
RELATIONSHIPS - customer intimacy (Boeing) - Platinum councils - supplier partnerships (Sony) - employee involvement - third party service maintainers (TPMs) - distribution agreements (UPS, Airbourne)
“Virt
ual I
nteg
ratio
n”
Leading to…Leading to… • ValueValue
• UniquenessUniqueness• LearningLearning
“A low-value product can be made by anyone anywhere. When you have knowledge no one else has access to --that’s dynamite. We guard our intellectual assets even more carefully than our financial assets.” --Roy Vagelos, former CEO Merck
KNOWLEDGE - customer - technology - operations - managing
PROCESSES - customer segmentation - just-in-time (hrs) - mass customization - build to order (AIM) - ROIC metrics - experimentation
TECHNOLOGY
- Premier pages - software installation - TPM triggers (parts, service) - customer purchasing systems
RELATIONSHIPS - customer intimacy (Boeing) - Platinum councils - supplier partnerships (Sony) - employee involvement - third party service maintainers (TPMs) - distribution agreements (UPS, Airbourne)
“Pos
itive
ly O
utra
geou
s S
ervi
ce”
Southwest Airlines
KNOWLEDGE - microbiology - biochemistry - microbiology - imunodiagnostics (antibodies/conjugates)
PROCESSES - R&D/Mfg. - bioconjugation - antibody purification - PCR amplification - DNA hybridization - TQM - commercialization
TECHNOLOGY - immunoassays - ELISA (serum/blood) - rapid diagnostics - DNA based
RELATIONSHIPS - CRC-DT, CDC - U.S. Army - World Health Org. - universities - distribution network - employee (science/mkt)
C2 =
“Rap
id L
earn
ing”
Leading to…Leading to…
An organization at the frontier of its intellectual field is more likely to stay at the frontier. It can attract and challenge more and better intellect than its competitors. By solving more advanced problems, it has more capacity to solve others. And so on.” --- JB Quinn
• ValueValue• UniquenessUniqueness• LearningLearning
BIOTECH INC.
Benefits = ---------
Costs
Combination of people and systemsleads to...
Human Capital
Social Capital
OrganizationalCapital
BioTech, Inc.: Intellectual capital
PeopleSystems
KNOWLEDGE - microbiology - biochemistry - bioconjugation - imunodiagnostics
PROCESSES - R&D/Mfg. - bioconjugation - antibody purification - PCR amplification - DNA hybridization - TQM - commercialization
TECHNOLOGIES - immunoassays - ELISA (serum/blood) - rapid diagnostics - DNA based detection
RELATIONSHIPS - CRC-DT, CDC - U.S. Army - World Health Org. - universities - distribution network - employee (science/mkt)
C2 = “Rapid Learning”
PE
OP
LE
SY
ST
EM
S
Core Competence
KnowledgeKnowledge
TechnologiesTechnologies
ProcessesProcesses
RelationshipsRelationships
BenefitsVALUE = ---------
Costs
UNIQUE = (social complexity + causal ambiguity)
LEA
RN
ING
= (e
xper
ienc
e x
chal
leng
e)
How does human capital contribute to the core competence?
• Value
• Unique
Resources need to be: Benefits
VALUE = --------- Costs
Drives innovationResponds to customer demandsProvides excellent customer serviceAchieves highest qualityInstrumental in process improvementsDevelops new business opportunitiesDirectly affects efficiency and productivityMinimizes costs of production, service, delivery
Not widely available in the marketCannot be bought or appropriatedDifficult to imitate or duplicateSpecialized KSAsDifficult to replaceCustomized to our firmDeveloped through on-the-job experiencesDistinguishes us from our competitors
R&D
Manufacturing/Operations
Distribution
Sales
Sales
TMT
CustServ
HR
R&D
Rapids
Fin
CustomerService
Mfg
R&D
R&DPartners
Core Knowledge
Low VALUE highLow VALUE high
Low
U
NIQ
UE
h
igh
Low
U
NIQ
UE
h
igh
BIOTECH, INC: Mapping Human Capital
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
Rapids
Scott A. Snell, Cornell University
C2
= R
apid
Lea
rnin
g
HR
Legal MIS
Biologicals
FinQuality
TMT
Compulsory Knowledge
Idiosyncratic Knowledge
Ancillary Knowledge
High ValueHigh ValueLow ValueLow Value
GenericGeneric
CoreCoreIdiosyncraticIdiosyncratic
AncillaryAncillary CompulsoryCompulsory
UniqueUnique
Human Capital ArchitectureHumanCapital• unique• value
HRMSystem
Employ Mode
Core Human Capital
• High Value: Direct link to core competence• High Uniqueness: Firm-specific knowledge and skills
Core Human Capital
• High Value: Direct link to core competence• High Uniqueness: Firm-specific knowledge and skills
Employment Mode: knowledge work
Employment Relationship: organization-focused
Examples: software developers (Microsoft)
drug researchers (Merck)
fund managers (Fidelity)
“gold-collar” workers
High ValueHigh ValueLow ValueLow Value
Unique
GenericGeneric
IdiosyncraticIdiosyncratic
AncillaryAncillary CompulsoryCompulsory
Human Capital Architecture
Core
R&D
Manufacturing/Operations
Distribution
Sales
Sales
TMT
CustServ
HR
R&D
Rapids
Fin
CustomerService
Mfg
R&D
R&DPartners
TRADITIONAL JOB-BASED
EMPLOYMENT
ALLIANCE/ PARTNER
CONTRACT WORK
KNOWLEDGE WORK
Low VALUE highLow VALUE high
Low
U
NIQ
UE
h
igh
Low
U
NIQ
UE
h
igh
BIOTECH, INC: Mapping Human Capital
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
Rapids
Scott A. Snell, Cornell University
C2
= R
apid
Lea
rnin
g
HR
LegalMIS
Biologicals
FinQuality
TMT
High ValueHigh ValueLow ValueLow Value
Unique
GenericGeneric
CoreCoreIdiosyncraticIdiosyncratic
AncillaryAncillary
Human Capital ArchitectureHuman Capital Architecture
Compulsory
Employment Mode: traditional job
Employment Relationship: job-focused
Examples: staff accountants (Andersen)
sales people (Sears)
truck drivers (UPS)
HighValue: Direct link to strategyHigh Uniqueness: Generic knowledge and skills
HighValue: Direct link to strategyHigh Uniqueness: Generic knowledge and skills
Compulsory Human Capital
• High Value: Direct link to core competence• Low Uniqueness: Generic knowledge and skills
Compulsory Human Capital
• High Value: Direct link to core competence• Low Uniqueness: Generic knowledge and skills
R&D
Manufacturing/Operations
Distribution
Sales
Sales
TMT
CustServ
HR
R&D
Rapids
Fin
CustomerService
Mfg
R&D
R&DPartners
TRADITIONAL JOB-BASED
EMPLOYMENT
ALLIANCE/ PARTNER
CONTRACT WORK
KNOWLEDGE WORK
Low VALUE highLow VALUE high
Low
U
NIQ
UE
h
igh
Low
U
NIQ
UE
h
igh
BIOTECH, INC: Mapping Human Capital
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
Rapids
Scott A. Snell, Cornell University
C2
= R
apid
Lea
rnin
g
HR
LegalMIS
Biologicals
FinQuality
TMT
Employment Mode: contract work
Employment Relationship: transactional
Examples: assemblers (Nike)
clerical workers (Halliburton)
payroll (Continental)
catering (ARAMARK)
High ValueHigh ValueLow ValueLow Value
Unique
GenericGeneric
CoreCoreIdiosyncraticIdiosyncratic
CompulsoryCompulsory
Human Capital ArchitectureHuman Capital Architecture
AncillaryAncillary
Ancillary Human Capital
• Low Strategic Value: Operational role• Low Uniqueness: Generic knowledge and skills
Ancillary Human Capital
• Low Strategic Value: Operational role• Low Uniqueness: Generic knowledge and skills
R&D
Manufacturing/Operations
Distribution
Sales
Sales
TMT
CustServ
HR
R&D
Rapids
Fin
CustomerService
Mfg
R&D
R&DPartners
TRADITIONAL JOB-BASED
EMPLOYMENT
ALLIANCE/ PARTNER
CONTRACT WORK
KNOWLEDGE WORK
Low VALUE highLow VALUE high
Low
U
NIQ
UE
h
igh
Low
U
NIQ
UE
h
igh
BIOTECH, INC: Mapping Human Capital
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
Rapids
Scott A. Snell, Cornell University
C2
= R
apid
Lea
rnin
g
HR
LegalMIS
Biologicals
FinQuality
TMT
R&D
Manufacturing/Operations
Distribution
Sales
Sales
TMT
CustServ
HR
R&D
Rapids
Fin
CustomerService
Mfg
R&D
R&DPartners
TRADITIONAL JOB-BASED
EMPLOYMENT
ALLIANCE/ PARTNER
CONTRACT WORK
KNOWLEDGE WORK
Low VALUE highLow VALUE high
Low
U
NIQ
UE
h
igh
Low
U
NIQ
UE
h
igh
BIOTECH, INC: Mapping Human Capital
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
Rapids
Scott A. Snell, Cornell University
C2
= R
apid
Lea
rnin
g
HR
LegalMIS
Biologicals
FinQuality
TMT
Employment Mode: partnership
Employment Relationship: collaborative
Examples: “wild ducks” (IBM)
design engineers (w/ Boeing)
trainers (Merck/Forum)
authors (McGraw-Hill)
High ValueHigh ValueLow ValueLow Value
Unique
GenericGeneric
CoreCoreIdiosyncraticIdiosyncratic
AncillaryAncillary CompulsoryCompulsory
Human Capital ArchitectureHuman Capital Architecture
Idiosyncratic Human Capital
• Low Strategic Value: Intermittent link to competence• High Uniqueness: Specialized knowledge and skills
Idiosyncratic Human Capital
• Low Strategic Value: Intermittent link to competence• High Uniqueness: Specialized knowledge and skills
TRADITIONAL JOB-BASED
EMPLOYMENT
ALLIANCE/ PARTNER
CONTRACT WORK
KNOWLEDGE WORK
S-specific job
T&D-short-term
T&D-current job
T&D-external$-internal equity
S-immediate perform$-group
Job-narrow/simple
$-short-term
PA-quality
Job-customized$-bonus
$-performance
$-industry experience
S-strategy contribute$-salary
Job-rotationS-solve problems
S-best
Job-security
$-high
Job-empowerPA-strategy contribute
T&D-investment
PA-work w/othersT&D-OJT
T&D-team
T&D-continuousS-potential
S-promote w/inPA-develop
Job-dynamic
Job-standardized
$-hourly
KEY Job design
Staffing
Training
Appraisal
Compensation
KEY Job design
Staffing
Training
Appraisal
Compensation
Low VALUE highLow VALUE high
Low
UN
IQU
E
hig
hL
ow
U
NIQ
UE
h
igh
Plotting HR Practices
STUDY:152 multi-product firms
>200 employeesCEO, VPHR, line execs
STUDY:152 multi-product firms
>200 employeesCEO, VPHR, line execs
Lepak & Snell, 2001Lepak & Snell, 2001
RewardsRewards
AppraisalAppraisal
DevelopmentDevelopment
StaffingStaffing
Job DesignJob Design • enriched & empowered• customized
• aptitude (able to learn)• promote from within
• continuous on-the-job• firm-specific
• focus on strategic contribution • developmental• external equity (high wages)• pay for knowledge, experience, seniority• ownership and perks
COMMITMENT-BASED HRM SYSTEM
High ValueHigh ValueLow ValueLow Value
Unique
GenericGeneric
IdiosyncraticIdiosyncratic
AncillaryAncillary CompulsoryCompulsory
Human Capital Architecture
Core
Core Human CapitalEmployment Mode: knowledge work
Employment Relationship: organization-focused
RewardsRewards
AppraisalAppraisal
DevelopmentDevelopment
StaffingStaffing
Job DesignJob Design • clearly defined• moderately empowered
• external recruitment• achievement
• limited to firm-specific • short-term focus
• developmental• focus on performance
• external equity (market rate)• pay for performance
High ValueHigh ValueLow ValueLow Value
Unique
GenericGeneric
CoreCoreIdiosyncraticIdiosyncratic
AncillaryAncillary
Human Capital ArchitectureHuman Capital Architecture
Compulsory
PRODUCTIVTY-BASED HRM SYSTEM
Employment Mode: traditional job
Employment Relationship: job focused
Compulsory Human Capital
RewardsRewards
AppraisalAppraisal
DevelopmentDevelopment
StaffingStaffing
Job DesignJob Design • well-defined• limited scope
• outsourced (perhaps)• contract for a specific task
• limited to rules & procedures
• administrative
• hourly or contract-contingent
High ValueHigh ValueLow ValueLow Value
Unique
GenericGeneric
CoreCoreIdiosyncraticIdiosyncratic
CompulsoryCompulsory
Human Capital ArchitectureHuman Capital Architecture
AncillaryAncillary
COMPLIANCE-BASED HRM SYSTEM
Employment Mode: contract work
Employment Relationship: transactional
Ancillary Human Capital
RewardsRewards
AppraisalAppraisal
DevelopmentDevelopment
StaffingStaffing
Job DesignJob Design• team-based• enriched & autonomous
• ability to collaborate• achievement
• continuous on-the-job• firm-specific
• team-oriented• goal accomplishment
• group-based incentives• contract, salary, pay-for-knowledge
High ValueHigh ValueLow ValueLow Value
Unique
GenericGeneric
CoreCoreIdiosyncraticIdiosyncratic
AncillaryAncillary CompulsoryCompulsory
Human Capital ArchitectureHuman Capital Architecture
COLLABORATIVE HRM SYSTEM
Employment Mode: partnership
Employment Relationship: collaborative
Idiosyncratic Human Capital
Human Capital ArchitectureHuman Capital Architecture
low
U
niq
uen
ess
h
igh
low Strategic Value high
HumanCapital• unique• value
HRMSystem
Employ Mode
Rel
atio
nal E
xcha
nge
Tra
nsac
tiona
l
InternalizationExternalization
Idiosyncratic HC• Mode: Partnership• HR: Collaborative - select on past experience - develop the relationship - evolving scope - rewards for ideas
Core HC• Mode: Knowledge work• HR: Commitment-based - staff based on potential - develop (firm-specific) - extensive pay & benefits - autonomy/self-direction - mistakes are important
Compulsory HC • Mode: Traditional job• HR: Productivity-based - staff based on current skill - less development - market wage - focus on ST performance - mistakes above the water line
Ancillary HC • Mode: Contract work• HR: Compliance-based - standardize/simple (outsource) - focus on rules & procedures - narrow scope - error avoiding - hourly pay
R&D
Manufacturing/Operations
Distribution
Sales
Sales
TMT
CustServ
HR
R&D
Rapids
Fin
CustomerService
Mfg
R&D
R&DPartners
Core Knowledge
Low VALUE highLow VALUE highLo
w
UN
IQU
E
hig
hLo
w
UN
IQU
E
hig
h
BIOTECH, INC: Mapping Human Capital
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
Rapids
Scott A. Snell, Cornell University
C2
= R
apid
Lea
rnin
g
HR
Legal MIS
Biologicals
FinQuality
TMT
Compulsory Knowledge
Idiosyncratic Knowledge
Ancillary Knowledge
Combination of people and systemsleads to...
Human Capital
Social Capital
OrganizationalCapital
BioTech, Inc.: Intellectual capital
PeopleSystems
KNOWLEDGE- microbiology- biochemistry- bioconjugation- imunodiagnostics
PROCESSES- R&D/Mfg.- bioconjugation- antibody purification- PCR amplification- DNA hybridization- TQM- commercialization
TECHNOLOGIES- immunoassays- ELISA (serum/blood)- rapid diagnostics- DNA based detection
RELATIONSHIPS- CRC-DT, CDC- U.S. Army- World Health Org.- universities- distribution network- employee (science/mkt)
C2 = “Rapid Learning”
PE
OP
LE
SY
ST
EM
S
Core Competence
One flaw in knowledge management is that it often neglects to ask what knowledge to manage and toward what end.
Knowledge should be managed within the context where value is created.
--Tom Stewart
…Link Back To Core Competence.
Low VALUE highLow VALUE high
Low
UN
IQU
E
hig
hL
ow
U
NIQ
UE
h
igh
BIOTECH INC: Mapping Social Capital
TMTTMT
Rapids &Ext. Partner
Rapids &Ext. Partner
R&D &Government
R&D &Government
Quality TeamQuality Team
Production & TMT
Production & TMT
Marketing& Sales
Marketing& Sales
FOCUS ON: • Governance• TMT• Culture• Value Chain• Task Environment• Stakeholders• Remote Environment
FOCUS ON: • Governance• TMT• Culture• Value Chain• Task Environment• Stakeholders• Remote Environment Production &
Raw Mat Sup
Production &Raw Mat Sup
R&D & SuppliersR&D & Suppliers
R&D & Production
R&D & Production
Tech Support & Customer
Tech Support & Customer
R&D & CustomerR&D & Customer
R&D & QualityR&D & Quality
TMT /R&D &U.S. Regulatory
TMT /R&D &U.S. Regulatory
Cust. Service &Customer
Cust. Service &Customer
Culture (TMT)Culture (TMT)
TMT &U.S. R&D *
TMT &U.S. R&D *
TMT &U.S. R&D *
TMT &U.S. R&D *
TMT/R&D &U.S. Mfg.
TMT/R&D &U.S. Mfg.
TMT &U.S. R&D
TMT &U.S. R&D
TMT &Customer
TMT &Customer
R&D &External R&D
R&D &External R&D
GovernanceGovernance
Marketing& Customer
Marketing& Customer
R&D TeamR&D Team
Production & Sales
Production & Sales
MIS & R&D
MIS & R&D
Production TeamProduction Team
Production &Quality
Production &Quality
R&D & SalesR&D & Sales
Sales/TMT &Distributors
Sales/TMT &Distributors
Scott A. Snell, Cornell University
PATTERNS: Explicit --------- Tacit
Transactional ---------- Relational Effectiveness ---------- Efficiency
PATTERNS: Explicit --------- Tacit
Transactional ---------- Relational Effectiveness ---------- Efficiency
Low VALUE highLow VALUE high
Low
UN
IQU
E
hig
hL
ow
U
NIQ
UE
h
igh
Mapping Organizational Capital
FOCUS ON: • Databases• Patents• Processes• Systems• Manuals
FOCUS ON: • Databases• Patents• Processes• Systems• Manuals
LN: FeelingsLN: Feelings
LN: Sexions(Suggestions)
LN: Sexions(Suggestions)
LN: Gen NewsLN: Gen News
LN: Contact Database
LN: Contact Database
LN: Research Databases (20+)
LN: Research Databases (20+)
R&D Process
R&D Process
Production Plate Coating
Production Plate Coating
LN: New Products
LN: New Products
Product Improvement
Product Improvement
LN: CustomerIndustry News
LN: CustomerIndustry News
Production Processes
Production Processes
QualityQuality
ShippingShipping CustomerService
CustomerService
ManagementInfo. System
ManagementInfo. System
PatentsPatents
Scott A. Snell, Cornell University
Biotech, Inc.
CORE
ENABLINGSUPPORTING
LINKING
Summary Points
Mapping human capital helps structure the conversation.
Different types of human capital are (should be) managed in different ways.
In addition to HC, there are social and organizational dimensions of IC.
The architecture of these knoweldge-based assets underlies a firm’s core competence.
Human Capital ArchitectureHuman Capital Architecture
low
Un
iqu
en
es
sh
igh
low Strategic Value high
HumanCapital• unique• value
HRMSystem
EmployMode
Rel
atio
nal
Exc
hang
eT
ran
sact
iona
l
InternalizationExternalization
Idiosyncratic HC• Mode: Partnership
• HR: Collaborative- select on past experience- develop the relationship- evolving scope- rewards for ideas
Core HC• Mode: Knowledge work
• HR: Commitment-based- staff based on potential- develop (firm-specific)- extensive pay & benefits- autonomy/self-direction- mistakes are important
Compulsory HC • Mode: Traditional job
• HR: Productivity-based- staff based on current skill- less development- market wage- focus on ST performance- mistakes above the water line
Ancillary HC • Mode: Contract work
• HR: Compliance-based- standardize/simple (outsource)- focus on rules & procedures- narrow scope- error avoiding- hourly pay
CheckpointCheckpoint
Combination of people and systemsleads to...
Human Capital
Social Capital
OrganizationalCapital
BioTech, Inc.: Intellectual capital
PeopleSystems
KNOWLEDGE- microbiology- biochemistry- bioconjugation- imunodiagnostics
PROCESSES- R&D/Mfg.- bioconjugation- antibody purification- PCR amplification- DNA hybridization- TQM- commercialization
TECHNOLOGIES- immunoassays- ELISA (serum/blood)- rapid diagnostics- DNA based detection
RELATIONSHIPS- CRC-DT, CDC- U.S. Army- World Health Org.- universities- distribution network- employee (science/mkt)
C2 = “Rapid Learning”P
EO
PLE
SY
ST
EM
S
Core Competence
R&D
Manufacturing/Operations
Distribution
Sales
Sales
TMT
CustServ
HR
R&D
Rapids
Fin
CustomerService
Mfg
R&D
R&DPartners
TRADITIONAL JOB-BASED
EMPLOYMENT
ALLIANCE/ PARTNER
CONTRACT WORK
KNOWLEDGE WORK
Low VALUE highLow VALUE high
Low
U
NIQ
UE
h
igh
Low
U
NIQ
UE
h
igh
BIOTECH, INC: Mapping Human Capital
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
KEY Finance
HR
TMT
MIS
Mfg/Operations
Market/Sales
R&D
Quality
Biologicals
Cust. Service
Rapid Diag.
Legal/Reg.
Distribution
Rapids
Scott A. Snell, Cornell University
C2
= R
apid
Lea
rnin
g
HR
LegalMIS
Biologicals
FinQuality
TMT
Dynamique Yachts
KnowledgeIntegration
KnowledgeIntegration
HumanCapital
SocialCapital
OrganizationCapital
Cor
e C
ompe
tenc
e..
.a b
und
le o
f sk
ills
and
tech
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gies
tha
t e
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es a
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o pr
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e a
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it to
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It
rep
rese
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the
sum
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g ac
ross
the
se r
esou
rce
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( H
am
el &
Pra
hala
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Cor
e C
ompe
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e..
.a b
und
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tha
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es a
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mpa
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o pr
ovid
e a
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enef
it to
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It
rep
rese
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the
sum
of
lear
nin
g ac
ross
the
se r
esou
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( H
am
el &
Pra
hala
d)
Hum
an R
esou
rce
Man
agem
ent
Pra
ctic
esS
taff
ing,
tra
inin
g, w
ork
desi
gn,
part
icip
atio
n, r
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ards
, ap
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isa
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Hum
an R
esou
rce
Man
agem
ent
Pra
ctic
esS
taff
ing,
tra
inin
g, w
ork
desi
gn,
part
icip
atio
n, r
ew
ards
, ap
pra
isa
l, et
c.
Systems
KnowledgeCreation
KnowledgeCreation
Intellectual Capital
Dynamic Capability
People
KnowledgeTransfer
KnowledgeTransfer
Learning and Innovation
FlowFlow
StockStock
ChangeChange
Processes to integrate, reconfigure, gain, and release resources—to match and even create market change. RenewalRenewal
ValuableValuable
RareRare
InimitableInimitable
OrganizedOrganized
Model of Strategic HRM
Unique
Top Related