J. Appl. Environ. Biol. Sci., 5(5S)204-210, 2015 © 2015, TextRoad Publication ISSN: 2090-4274 Journal of Applied Environmental and Biological Sciences www.textroad.com Corresponding author: Hadi Pourbabaei, Amirkabir University of Technology, Department of Industrial Engineering and management systems. pourbabaei@aut.ac.ir, +98 9124177084, Crisis Management through Creating and Transferring Knowledge in Project- Based Organizations Hadi Pourbabaei, Mohsen Tabatabaei, Zohreh Jalalian, Abbas Afrazeh Department of Industrial Engineering and management systems, Amirkabir University of Technology, Tehran, Iran Received: January 27, 2015 Accepted: March 31, 2015 ABSTRACT Creating, organizing and transferring critical knowledge during organizational crisis can contribute to organization's survival and increase risk-taking in current complicated business situations, in addition to help making correct decisions and managing crisis properly. Obviously, fulfilling this important matter requires powerful tools to control conditions and direct related actions. One of the used tools during crisis is context of creating knowledge and knowledge transfer channels. The present research studies managerial solutions to support crisis management by providing context of creating knowledge and knowledge transfer channels. Data was collected through interviews, and research strategy included a combination of case study and Grounded Theory. In the research, there has been studied critical condition for two projects in a project-based organization. In addition to recognize tools of creating knowledge and knowledge transfer channels, the research deals with how impact of the tools and channels on organization’s performance. Findings indicate that creating and transferring knowledge play a significant role in crisis management in both projects. Finally, there has been presented a model for crisis management through creating and transferring knowledge, based on the verified experience in these two projects. KEYWORDS: Crisis management, critical knowledge, creating knowledge, transferring knowledge, project-based organization, Grounded Theory 1- INTRODUCTION Like natural and technology crises, organizational crises were occurred rarely, but they have severe consequences [2]. Feature of the crises is that they have uncertain causes and effects, and can threaten organizations widely [3]. When organizations are faced with uncertain and complex business environment, they will reduce level of such occurrences to prevent them, in addition to study conditions. And if a crisis occurs, they will minimize its effects [4]. Our country is not excepted in this respect, and even present in the current competitive environment and gain market share is more difficult for some domestic firms in comparison with other countries. Despite improving methodologies of management and technology, which they act as managers’ supporter during crisis occurrence, there has been ignored importance of transferring efficiency and effectiveness experiences and conducted few studies in the field [5]. During organizational crisis, organizations are encountered with a unique, stressful and threatening decision-making environment that must deal with it integrate and timely [6]. To achieve effective decision-making during crisis, it is necessary that an organization recognizes what it needs and then transfer the knowledge to people who really need to it. Although academic researches show that key to enable effective transfer of knowledge within an organization is to give a chance to experts to talk with each other, but in practice, it is difficult to accomplish this task, especially when decision-making is combined with stress of “being late” [7]. Therefore, a set of channels for transferring knowledge to crisis management is necessary, in order to organize and transfer critical knowledge for helping decision makers to make on-time and appropriate decisions during crisis [5]. In this paper, in addition to track the used channels of transferring knowledge during organizational crisis, there will be discussed about how their impact on organization’s performance. This paper aims to answer the following questions: What are channels to transfer and create knowledge for improving crisis management? How channels of transferring and creating knowledge help to crisis management? How is relative effectiveness of channels of transferring and creating knowledge on crisis management? Then there is presented the subject literature in the second part, which it will discuss about concepts of knowledge, knowledge transfer, knowledge management and creation, knowledge transfer and crisis management, knowledge creation and crisis management. The third section describes methodology. The fourth section presents results and finally, the fifth and sixth sections contain conclusions and recommendations for future researches. 2- MATERIALS (LITERATURE REVIEW) 4-1- Knowledge Explanations range of knowledge is philosophical from practical to conceptual, and it includes limit to wide knowledge from objective perspective. Whig believes that knowledge consists truths and beliefs, concepts and ideas, judgments and expectations, methodologies or principles’ science and techniques of how to do them. Knowledge can be 204