INFORMAL INFORMATION-FLOW AND THE NATURE OF EXPERTISE IN FINANCIAL SERVICES

In this paper, the relation between informal information flows and the nature of expertise is discussed, and illustrated with reference to t he development of strategic information and communication technology i nnovations in retail financial services. It is argued that expertise c omprises three major aspects in mutually dynamic tension (a trialectic ): namely, the particular substantive content of expertise - i.e., kno wledge; the influence and scope attributed to a specific body of exper tise and usually realized through organizational structures - i.e., po wer; and the extent to which certain sorts of expertise can be exchang ed in external labour or product market transactions i.e., tradeabilit y. In the light of this analysis, informal information flows are revea led as an intrinsic and essential part of expertise, necessary to esta blish the credibility of the knowledge offered by particular expert gr oups and to sustain more formal market arrangements.