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KNOWLEDGE ORGANIZATION THE KNOWLEDGE ORGANIZATION Culture Competition Collect Create Organize TechnoMaintain logy Intelligence Knowledge Organization Refine Disseminate Knowledge Management Process Leadership KM Drivers THE KNOWLEDGE ORGANIZATION The middle layer addresses the KM life cycle A knowledge organization derives knowledge from customer, product, and financial knowledge. Also from financial practices Indicators of knowledge: thinking actively and ahead, not passively and behind Using technology to facilitate knowledge sharing and innovation IDEAL KNOWLEDGE MANAGEMENT Existing methods/ processes Outside Environment Learning Conversion PEOPLE Insights New ideas Knowledge Creation Knowledge Base Codified Technology Organizational Benefits • New products • New markets • Smarter problem-solving •Value-added innovation •Better quality customer service •More efficient processes •More experienced staff IDEAL KNOWLEDGE MANAGEMENT Strategy Measurement Policy Content Process Technology Knowledge Internalization Knowledge Exchange People Knowledge Assets People Knowledge Reuse Knowledge Capture Knowledge Exchange Knowledge Reuse People Culture IDEAL KNOWLEDGE MANAGEMENT (FIG. 1.4) The ideal knowledge organization allows people to exchange knowledge across functional areas via technology and established processes Knowledge internalized and adopted within the culture of the organization THE KM CYCLE AND THE ORGANIZATION Organizational personnel Managemen t Decision making KM Life Cycle . capture . gathering . organizing . refining . transfer Culture Information technology Figure 1-6 The KM cycle and the organization WHAT KM IS NOT ABOUT Reengineering (Fundamental rethinking and radical redesign of business process to Intellectual capital (The value of a company or organization's employee knowledge, Based on information or about data Information value chain or knowledge capture achieve dramatic improvements in critical measures of performance such as cost, service, and speed.) business training and any proprietary information that may provide the company with a competitive advantage. ex: patents, brand names, company’s trademarks) Limited to gathering information from the company’s domain experts or retiring employees and creating databases accessible by intranets Digital networks WHY KNOWLEDGE MANAGEMENT? Sharing knowledge, a company creates exponential benefits from the knowledge as people learn from it Building better sensitivity to “brain drain” Reacting instantly to new business opportunities Ensuring successful partnering and core competencies with suppliers, vendors, customers, and other constituents Shortens the learning curve KM SYSTEM JUSTIFICATION Is current knowledge going to be lost? Is proposed system needed in several locations? Are experts available/willing? Can experts articulate how problem will be solved? Is there a champion in the house? THE DRIVERS Technology Drivers Process Drivers Personnel-Specific Drivers Knowledge-Related Drivers Financial Drivers FACTORS TRIGGERING INTEREST IN KM Innovation as core competency Globalization and geographic dispersion changed the organization’s scope Downsizing and reengineering resulted in staff attrition and knowledge drain Networking and data communications made it easier and faster to share knowledge Increasing dominance of knowledge as a basis for improving efficiency and effectiveness triggered the need for utilizing knowledge gained from previous experiences KEY CHALLENGES Explaining what KM is and how it can benefit a corporate environment Evaluate the firm’s core knowledge, by employee, by department, and by division Learning how knowledge can be captured, processed, and acted on Addressing the still neglected area of collaboration Continue researching KM to improve and expand its current capabilities How to deal with tacit knowledge KM MYTHS KM is a fad KM and data warehousing are essentially the same KM is a new concept KM is mere technology Technology distributes human intelligence KM is another form of reengineering Company employees have difficulty sharing knowledge Technology is a better alternative than face-toface It is “no brainer” to share what you know KM PROCESS LIFE CYCLE Four-Process View of KM: Capturing – data entry, scanning, voice input, interviewing, brainstorming Organizing – cataloging, indexing, filtering, linking, codifying Refining –contextualizing, collaborating, compacting, Projecting, mining Transfer – flow, sharing, alert, push PROMOTING TRUST Decentralize organization structure to allow decision making by teamwork Reduce control-based management and encourage management by results Revisit company’s mission statement and ethics policy to demonstrate its new views about values Assess and improve employee responsibilities and accountability Eliminate unnecessary directives or barriers Install programs to improve employee commitment to knowledge sharing EXPERT’S REASONING METHODS Reasoning by analogy: relating one concept to another Formal reasoning: using deductive or inductive methods Case-based reasoning: reasoning from relevant past cases THE WORLD OF RE-EVERYTHING Knowledge is productive ONLY when captured in people’s mind Shareability requires decentralized intelligence We need to empower knowledge workers Top performers can be a problem; they are not the most humble HUMAN’S LEARNING MODELS Learning by experience: a function of time and talent Learning by example: more efficient than learning by experience Learning by discovery: undirected approach in which humans explore a problem area with no advance knowledge of what their objective is. 1-20 The Knowledge Business has already changed Are you in the knowledge business? How will you close your knowledge gap? Is your mind geared to re-think what you think you know?
