In recent years there has been growing scientific interest in the
triangular relationship between knowledge. complexity and innovation
systems. The concept of'innovation systems' carries the idea that
innovations do not originate as isolated discrete phenomena, but are
generated through the interaction of a number of actors or agents. This
set of actors and interactions possess certain specific characteristics
that tend to remain over time. Such characteristics are also shared by
national, regional, sectoral and technological interaction systems. They
can all be represented as sets of [institutional] actors and
interactions, whose ultimate goal is the production and diffusion of
knowledge. The major theoretical and policy problem posed by these
systems is that knowledge is generated not only by individuals and
organisations, but also by the often complex pattern of interaction
between them. To understand how organisations create new products, new
production techniques and new organisational forms is important. An even
more fundamental need is to understand how organisations create new
knowledge if this knowledge creation lies in the mobilisation and
conversion of tacit knowledge. Although much has been written about the
importance of knowledge in management, little attention has been paid to
how knowledge is created and how the knowledge- creation process is
managed. The third component of the research triangle concerns
complexity.