The role of inter-unit coordination mechanisms in knowledge sharing: a case study of a British MNC

Valuable knowledge in organizations is too often ‘locked in’ within one unit. The contribution of this paper is to provide insights into the knowledge-sharing effect of inter-unit coordination mechanisms. This topic has not yet received in-depth study. We fill this gap with a case study of a UK-based multinational, in which we explore knowledge sharing between business units. Data was collected using a questionnaire and interviews. The findings from our study highlight that formal coordination is preferable. Informal networking as an inter-unit coordination mechanism was not perceived as beneficial for knowledge sharing. The knowledge-sharing enablers, trust and knowledge complexity, largely dominated the possibilities for inter-unit knowledge sharing whatever coordination was used. Especially, the perceived knowledge complexity caused problems that could not be fully compensated for by any type of coordination mechanism. The study also highlights the unexpectedly minor role of common knowledge and the only indirect effect of coordination through values.