Knowledge as a source of power in real estate organisations

Abstract

Purpose: The purpose of the paper is to explore how knowledge contributes to value adding activities within real estate organisations. More specifically, the study aims to investigate; (1) how knowledge sharing activities are perceived in real estate organisations, (2) what motivates individuals to share knowledge and what incentives are used to support them, and (3) if employees in these organisations have experience of insufficient knowledge sharing activities resulting in additional project costs. Approach: The study includes a literature study and the findings from a questionnaire survey of 71 representatives of real estate organisations in Sweden are presented. Results: Knowledge sharing activities were perceived to be insufficient between different subunits in the organisation. Employees’ main motivation for learning was to achieve a good job for their customers. Rarely did any of the organisations use incentives to increase knowledge sharing activities. Almost every respondent acknowledged that a lack of knowledge and knowledge sharing resulted in additional project costs: a majority rated it as 10% of total project cost. Practical Implications: The contribution of the findings is an increased understanding of how employees in real estate organisations perceived knowledge sharing between organisational units. Sensible knowledge management can possibly facilitate the organisation’s ability to improve its profitability.