Abstract

Based on the usage levels of target costing systems (TCS) and information technology (IT) infrastructure, this study aimed to develop a framework useful for classifying four types of knowledge management (KM) strategies in manufacturing firms: explorative, exploitative, mixed and negative. We adopted a multi-methodological approach by mixing both qualitative and quantitative methods.  Before developing a framework, through a mini-case study of the H Motor Company in Korea, this paper aimed to investigate the functions of TCS in the management of tacit knowledge. The mini-case study indicated that with the use of TCS, a firm can create, transfer and share diverse kinds of tacit knowledge among employees for the facilitation of process innovation. We also empirically confirmed the four types of KM strategies, and demonstrated the characteristics (such as, size, total sales, age, and knowledge intensity) of the organizations adopting each strategy.

Key words: Knowledge management strategies, target costing, IT infrastructure, personalization.