Title

The role of trust in knowledge management

Document Type

Book chapter

Source Publication

Harmony versus conflict in Asian business : managing in a turbulent era

Publication Date

10-1-2007

First Page

65

Last Page

77

Publisher

Palgrave Macmillan

Abstract

In Chapter 5, Leo Leung and K.F. Lau examine the role of trust in knowledge generation and dissemination. Distinction is made between perceived trust at interpersonal level and inter-organizational level (or group level). Two strands of research streams are employed to understand the role of trust in knowledge management process at these two levels. First, social exchange theory is used to explore the interactions among individuals in developing trust at interpersonal level. Then, transaction cost analysis is adopted to investigate the role of trust as a coordinating mechanism in organizing functional activities within and between organizations in addition to the use of either market or hierarchy. Both theories provide a conceptual foundation to understand the development of trust in facilitating knowledge creation and transfer. Different forms of trust may emerge throughout different stages of the knowledge management process. Developing unconditional trust requires time, costs and commitment of resources. Some empirical research studies have demonstrated a positive relationship between trust and knowledge generation/dissemination. An appropriate organizational setting such as team orientation, market-oriented culture and open-communication climate is important to trust-building. Various strategies for building trust are discussed at the end of this chapter.

DOI

10.1057/9780230590441

Publisher Statement

Access to external full text or publisher's version may require subscription.

Additional Information

ISBN of the source publication: 9780230590441

Full-text Version

Publisher’s Version

Recommended Citation

Leung, L. C. L., & Lau, K. F. (2007). The role of trust in knowledge management. In Oliver H M Yau, & Raymond P. M. Chow (Eds.), Harmony versus conflict in asian business: Managing in a turbulent era (pp. 65-77). Basingstoke: Palgrave Macmillan. doi: 10.1057/9780230590441