In recent old ages, there are a big figure of academic articles, which have been focused on the subject of cognition direction and invention. Both academic research workers and professions seem to hold that cognition is the most valuable plus of a house ( Garcia-Muina et al. , 2009 ) . Furthermore, Hsiangchu and Tsai-Hsin ( 2002 ) suggested that the corporation ‘s cognition is the chief competitory advantage for a corporation. Therefore, pull offing cognition in administrations could be considered as a cardinal factor for the success in today ‘s concern universe. There are four major elements in the cognition procedure which includes making cognition, incorporating cognition, sharing cognition and codifying cognition ( Newell et al. 2009 ) . A survey by Teece et Al. ( 1997 cited Leiponen 2006 ) proposed that the creative activity of cognition can hold the of import effects on public presentation of a corporation. While other research workers mentioned that making cognition is non great plenty and comprehensive cognition sharing and integrating of an administration are displayed its success ( Okhuysen and Eisenhardt, 2002 ) .
The end of this paper is to reexamine the bing literature on cognition direction and use these theories in combination with some illustrations of other administrations to analyze chief strategic cognition intent of an administration by analyzing one specific instance survey of a biopharmaceutical company – Panther Biotech – The development of a extremist new remedy for an acute inflammatory disease. It could be said that the instance survey provides a good illustration of pull offing cognition and invention in a cognition intensive house. Furthermore, this paper will besides supply an in-depth analysis of how Panther Biotech makes an attempt to present good patterns in cognition sharing and cognition integrating in order to better its new drug development procedure.
Harmonizing to Davenport and Prusak ( 1998 ) the definition of cognition is described as “ Knowledge is a unstable mix of framed experience, values, contextual information, expert penetration and grounded intuition that provides an environment and model for measuring and integrating new experiences and information originates ” . There are a figure of definitions of cognition but this definition could be one of the most referenced definitions in the literature of this field.
Furthermore, different signifiers of cognition such as tacit, explicit and implicit at the person, societal and organizational degrees need to be considered in order to expose its possible part to the public presentation of the house ( Nonaka and Takeuchi 1995, Spender 1996 ) .
In today concern, it could be said that most of houses show their attempt to use knowledge direction in order to better concern public presentations or to advance invention procedure. Harmonizing to McIrnerney ( 2002 ) , knowledge direction is defined as an attempt to increase utile cognition within the house by advancing communicating, offering chances to larn, and advancing the sharing and transportation of appropriate cognition.
Knowledge direction can be defined as the set of activities that enable the creative activity, storage, distribution, and application of cognition in organisations
( Chow et al. 2005 ) .
Different definitions of cognition and its direction shows the diverseness of the cognition direction processes runing from cognition creative activity, sharing, integrating, codification, transportation, hunt, storage, usage and so on.
Knowledge Intensive houses
A Knowledge intensive house has been defined by Alvensson ( 2004 ) as an administration which sell knowledge-based merchandises or the usage of cognition to the market. It can be said that the nucleus activities of this house based on the cognition of a big figure of employees.
Verloop ( 2004 cited Khiji et al. , 2006 ) describes invention as a new thought or construct created by R & A ; D activities and successful invention requires alterations in organisational procedures and transmutation of an thought into a commercially functional merchandise.
Other scholar defines invention as a procedure: “ the development and execution of new thoughts by people who over clip engage in minutess with others in an institutional context ” ( Van de Ven, 1986 ) .
Literature reappraisal of Knowledge direction and Invention
The emerging of the construct of knowledge-based societies, our societies have been switching bit by bit to go cognition societies ( Hsiangchu and Tsai-Hsin 2002 ) . Emerging states like China and India are switching their manufacturing-based economic systems to knowledge-based economic systems, and these two states could be the chief yarn to the US and Western economic systems. For illustration, China and India are the two biggest markets for IT outsourcing. An industrial-based economic system transforms to the information age or knowledge-based epoch and merchandises of cognition and cognition plants are going chief beginnings for houses and states to make net incomes and competitory advantages ( Newell et al. 2009 ) . The major advantage of China when comparison with other states could be a plentiful supply of inexpensive cognition workers. For these grounds, it could be suggested that pull offing cognition and the direction of cognition workers play an of import function in the success of the houses and the states as good.
During the last two decennaries, there has been a turning in the figure of research workers which conduct their research in the field of cognition and its direction. Research on this field has been besides received a successful history ( Argote et al. , 2003 ) . These bookmans besides suggested that research on cognition direction spans many different countries such as economic sciences, information systems and organizational behavior and theory ( Argote et al. , 2003 ) . The diverseness of cognition direction research shows the great impact of this field in many subjects therefore biotechnology and pharmaceutical industry might non be stood out of this tendency. Gans and Stern ( 2004 cited Khiji et al. , 2006 ) suggested that biotechnology plays an of import function in planetary industry and bit by bit rises with the encouragement of invention to better human heath and quality of life. Biotech houses may be alone among some grounds. Gans and Stern ( 2004 cited Khiji et al. , 2006 ) besides said that the development of a biotechnology company strongly depends on its scientific discipline activities. It can be proposed that biotechnology companies are knowledge intensive houses. Nowadays, happening the reply for a inquiry where and how cognition is created and protected that is the challenge undertaking for this industry and managing cognition is besides non as a basic undertaking as before ( Allarakhia and Walsh 2011 ) . Pharmaceutical houses are more frequently driving spouse relationships with biotech houses and research Centres ( Walsh et al. , 2002 cited Allarakhia and Walsh 2011 ) . Alliances between biotech companies, academic establishments and pharmaceutical companies may be the norm in this industry. It can be suggested that these confederations could assist these houses get better entree to fund and knowledge from their strategic spouses and houses will react to the new development and engineering in faster and more flexible ways. Harmonizing to Khiji et al. , ( 2006 ) , the mean clip for the whole biotech procedure from first investing for scientific find to sell merchandise in the market can take up to 15 old ages. Biotech companies frequently try to pull capital and partnerships in the early phases of theirs development procedure and with legion efforts to happen the right company spouses for the following stairss which can include fabrication, merchandise design and selling ( Khiji et al. , 2006 ) . Unfortunately, most of them fail to cover with these undertakings ; Gassman et Al. ( 2004 cited Khiji et al. , 2006 ) showed a study of these determinations with a 90 % failure rate among biotech companies. This can be suggested that biotechnology is a long-run investing with high hazard and houses must extremely see the function of time-sensitive determination. Additionally, despite many people believe that biotech industry has showed huge potency for growing, non many houses can portion in the success.
Panther is a biopharmaceutical company this means it develops medical merchandises utilizing biotechnology. Developing curative engineerings to better patients ‘ heath in order to derive outstanding benefits for stockholders is the chief undertaking of Panther. It is a publically listed company with net hard currency and liquid resource of $ 400 million, and it besides creates about 300 occupations on the West seashore of the US. Its employees are experts in the early phase of the new drug development procedure. All R & A ; D activities of Panther, except ulterior phase of drug development are funded by itself. The intent of this fiscal scheme is to guarantee the operation of house runs swimmingly until it shows the successful of development drug in clinical tests. The support for any ulterior phase of drug development processes is carefully decided on a individual footing. Until now Panther has taken merely four development processes into clinical tests by itself.