Transition Processes Towards Internal Networks

As a result of many changes in the competitive landscape, knowledge has become a crucial resource of firms, which has impelled firms to change their forms of organizing. Evidence suggests that internal networks, as such an alternative form of organizing, progress to emerge to facilitate the organization and management of knowledge. Insights into how firms actually change into internal networks have been sparse, however. On the basis of three case studies conducted at Rabobank-one at the group level, one at the local member banks, and one at the business unit Spectrum-this paper furnishes this lack of inquiry with new insights. The evidence illustrates that when firms change into internal network forms of organizing, horizontal knowledge flows between subunits are facilitated.