The Honda Company Supply Chain & IT

Running head: THE HONDA COMPANY ANALYSIS 1
The Honda Company Analysis (Task 1&2)
Student’s Name
Institution Affiliation
October 29, 2018

THE HONDA COMPANY ANALYSIS 2
Task 1 – Part 2: Knowledge-as-Possession View & Knowledge-as-Practice in the Honda
Company
Abstract
The Honda Company is a leader in the motorcycle sector and the largest producer of
combustion machines in the world since the 1950s. Reporting a targeted 200,000 car sales
annually, the company has been ranked eighth in the automobile industry (Pellé, 2017). The
measure of Honda’s improvements in the car industry is considered a success through an
effective management of its supply chain. The Honda Company applies epistemology
methodologies in its business. Knowledge organization and sharing is fundamental to enhancing
the desired rate of growth in the organization (Barker, 2015). The company’s knowledge
possession and practice presents a fundamental debate on the epistemology approach, whereby
the ideology of knowledge-as-possession negates the standpoint of knowledge-as-practice. These
two viewpoints are entrenched in the Nonaka’s SECI model.

THE HONDA COMPANY ANALYSIS 3
1. Introduction
The Honda Motor Company is Japanese corporation known for its extensive manufacturing of
motorcycles, aircrafts, automobiles and power systems. The car manufacturer considers
enhancing its share of the market in future. According to the report delivered by the head of an
Indian local unit to the Reuters, the company focusses to boosting its strategic presence and
becoming the globe’s fifth automotive producer in future. Therefore, the company needs to
achieve an approximate of 10% of the market share (Pellé, 2017). The factors of market share
and improvement reflect the company’s rate of competition on costs. For several decades, the
company has established various forms of innovation, reliability and performance, which have
enabled the inclusion of iconic prototypes like the Civic, CR-V and Accord, thus enabled the
company to gain a competitive advantage despite lowering the purchasing costs.
2. Epistemologies & Innovation
2.1 Collaboration
The absence of collaboration in reference to Knowledge Management (KM) makes a company to
limit its chances of attaining strategic goals and objectives (Barker, 2015). Due to this reason, the
whole aspect of technology may seem to be irrelevant. However, epistemology in the Honda
Company is a success due to its possibility of implementation. Considering how extensive the
automotive industry practices KM, the consideration of its success is valid. In that case, when the
implementation of knowledge management fails, it might be due to some other management
concerns. The Honda Company implements the process of collaboration through a culture of
innovation. The culture of innovation in the company instigates the implementation process of
KM. Moreover, the culture opens up new initiatives through the inclusion of R&D experts who

THE HONDA COMPANY ANALYSIS 4
focus on ensuring the success of the ideation process. The workers are rewarded and encouraged
for their creativity and being a coach, mentor or teacher in the organization (Coller, Harrison &
Spiller, 2004). All the three fundamental aspects of innovation aid in the implementation of KM,
which enhance the willingness of workers to assist the Honda Motors to access its tacit
knowledge.
On the basis on moderators and determiners of the company’s innovation and KM
implementation, the Honda Company finds it effective and efficient to apply ideation. The
automobile industry has set established means to consolidate innovation and creativity. The
culture includes a realization of the company mission and vision, which are communicated
effectively to all the workers. The mode of collaboration in the Honda Company includes all
measures from the initiative’s value to staffing and rewarding of workers who enhance ideation.
This means that the company’s innovation culture sets workforce topography to allow Research
& Development (R&D) and it implementation (Cox & Rigby, 2013).Workforce topography is
the perception of workers about practices, possession, procedure and events supported in the
company.
2.2 Use of Possession and Practice
The Honda Motors considers the application of Nonaka’s SECI model that facilitates the creation
of knowledge that defines the converting of explicit and tacit knowledge to company knowledge.
The model has become the foundation of knowledge transfer and creation theories. Nonaka
proposed four key of knowledge forms converted and combined to identify knowledge creation
and sharing in a company (Concepcion, 2011).