Creation of Managerial Capabilities through Managerial Knowledge Integration: A Competence-Based Perspective

The competence perspective has emphasized the importance of organizational resources and capabilities, particularly organizational knowledge. In investigating the management of organizational knowledge creation processes, the literature on new organizational forms has explicitly focused on management processes and resources at different managerial levels. By integrating and applying managerial knowledge, managers develop managerial capability and render the service of their resource. Moreover, managers' own process for learning and capability development play a critical role in organizational knowledge creation processes and in the adoption of new organizational forms that improve dynamic organizational capabilities. Given these key services of managers as a resource, it can be argued that we should now put managerial knowledge at the forefront of competitive advantage. This chapter defines what managerial knowledge and managerial capabilities are, what services are rendered by them, how they interrelate with organizational knowledge creation processes, and how front-line, middle, and top managers can contribute to a firm's organizational competences. A conceptual framework for analyzing managerial knowledge integration is developed and applied to front-line managers, middle managers, and top managers.

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