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TOWARDS KNOWLEDGE BASED THEORY
(Assay Critique)

The purpose of the article is to explain about coordination and cooperation mechanisms of firms those integrate the knowledge of the individual members.From economic theories that is predicting the behavior of firms in external markets to organisational theory analysis the internal structure of the firm, strategic management has interests in wide range. In order to gain sustainable competative advantage for a firm there are new contributions to above mentioned theories as resourced based view. This is more like a dimension to the theories rather than a theory itself. Resources are mainly individuals as members of firm and they contribute to production by means of man-power and knowledge. The more effective this knowledge is cooperated, coordinated, shared, communicated throughout properly designed processs, procedures and hierarchies, the more productiveand profitable the firm will get.
The most important value creation of a firm is over the role of knowledge. The analysis and management of knowledge generally affected and shaped by its transferrability, capacity of aggregation, appropriability, acquisition and requirement of production. Beyond these conceptual paramaters the purpose of being for a firm; coordination and organisation structure and boundries of activities both on vertical and horizontal form premise biggest contributions within the firm. (Both in positive and negative manner.) As we see there are different dimensions and parameters for each of these dimensions, both conceptual and practical, it is a complex mechanism for a firm to digest the required knowhow by being a learning and knowledge applying organisation. Even a product or a service may identify and require a unique way of acquiring its knowledge on individuals by tacit or external knowledge. The hierarchy, on the other hand, and the

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