implement knowledge management andersens consulting 2000

©Andersen Consulting 2000

Knowledge Management:Implementation and Considerations

Seamus Mulconry


Implementing Knowledge Management

Agenda

• What is Knowledge Management?• Why Knowledge Management?• Andersen Consulting and KM• Critical Success Factors



What is Knowledge Management?

• Knowledge n. 1. The state or fact of knowing. 2. Familiarity, awareness, or understanding gained through experience or study. 3. That which is known; the sum or range of what has been perceived, discovered, or inferred.

• Management n. 1. The act, manner or practice of managing, handling, or controlling something. 2. The person or persons who manage a business establishment, organization or institution



What is Knowledge Management?

Andersen Consulting Definition:

A systematic process for creating, acquiring, synthesizing, sharing and using information, insights and experiences to achieve your organizational goals.



Agenda




Why KM?

“Fortune 500 Companies Will Lose $12 Billion in 1999 due to Knowledge Management Inefficiencies”

International Data Corporation (IDC)October 6, 1999

• Intellectual Rework

• Substandard Performance

• Obsolete Knowledge

• Employee Turnover



Why KM: Drivers

• Increasing Competition• Excess Capacity• Maturing Markets• Maturing Technologies• Customer Pressures• Complexity of

Environmental and Safety Regulations

• Deregulation, Political Instability

• Customer Focused Value Propositions

• Globalization• Diversification through

Acquisitions, Alliances• KM to Improve Performance• Employee Productivity

Improvement• Integrated Operations• Rationalization of Multiple

Organizations like R&D, Finance, HR, etc.



Why KM: a Business Enabler

• Information is power, hence, it is hoarded

• Work is optimized in silos, delivering value within work units

• Information, experts, and lessons learned are hard to locate

• Underutilized investment in technology

• Local focus on information, reacting to situations

• Knowledge is seen as a valued corporate asset; people sharing knowledge is the only way to improve

• Work is optimized by virtual, integrated teams, delivering value as an enterprise

• Corporate memory is captured, measured, improved, and easily accessed

• Technology fully supports business needs and delivers value

• Global focus on corporate knowledge proactively seizes upon opportunities

Typical Company Scenario Knowledge Management Approach



KM Must Consider the Business Model

•Systematic, repeatable work•Highly reliant on formal processes,methodologies or standards•Dependant on tight integrationacross functional boundaries

CollaborativeGroups

IndividualActors

RoutineInterpretation/

Judgement

eg Supply Chain Management

•Improvisational work•Highly reliant on deep expertise acrossmultiple functions•Dependant on fluid deployment offlexible teams

eg R& D

•Routine work•Highly reliant on formal rules, procedures and training•Dependant on low-discretion workforce or automation

eg Retail Operation

•Judgement-oriented work•Highly reliant on individual expertiseand experience•Dependant on star performers

eg Marketing & Advertising

Integration Model Collaboration Model

Transaction Model Expert Model

Inte

rdep

en

den

ce

Complexity of Work



KM Strategies Can Create Value

KM Challenge•“Orchestrating across functions”

KM Strategy•Integrated processes•Integrated teams•Best practice benchmarking

CollaborativeGroups

IndividualActors

RoutineInterpretation/

Judgement

Integration Model Collaboration Model

Transaction Model Expert Model

Inte

rdep

en

den

ce

Complexity of Work

KM Challenge•“Achieving breakthrough innovation”

KM Strategy•Strategic framing•Knowledge linking•Active learning

KM Challenge•“Consistent low-cost

performance”

KM Strategy•Routinization•Automation

KM Challenge•“Getting results from stars”

KM Strategy•Experienced hiring•Apprenticeships/development•Capability protection



Agenda




Andersen Consulting background

• Global Organization• 66,000+ professionals

• $10+ billion 1999 estimated fees

• 146 offices worldwide

• 46 countries



Investing in Knowledge Management

• 50,000 Lotus Notes users worldwide

• $500 million per year• Knowledge organized by

Communities of Practice• 350+ full time knowledge

managers• Employee evaluations

consider contribution and reuse of knowledge

• KM Efforts began 1992• Lotus Notes

• Worldwide 24x7 operations

• 450 Domino servers

• 6000+ databases

• Integrates administrative functions such as evaluations, annual reviews, skills inventories



Our Journey with KM

SmartSmart WorkplaceWorkplace

“Build it, and they will come”

Lotus Notes/KX

Discussion Databases

“Connections”

“Knowledge is actively managed”

Meta-knowledge; managed vocabulary

Thought Leadership

Web-like technology

“Aggregation & Combination”

“Knowledge is aby-product”

Document Libraries

Communities

“Contributions”

KnowledgeKnowledge OutfittingOutfitting

KnowledgeKnowledge SharingSharing

EnablingEnablingInfrastructureInfrastructure

“Our best knowledge guides our activities”

Integrated performance support

Job tools are knowledge tools

“Continuous Learning”

1992 - 1995 1994 - 1997 1996 - 2000 1999 - 200?



KM Services at Andersen Consulting

Common Services

AC KM EnablementServices

Knowledge Value Services

6. Community of Practice Start-up

7. CoP Knowledge Capital Planning

8. CoP Operations

9. Content Acquisition and Development

10. Content Management

11. Content Publishing and Distribution

Client TeamKnowledge Services

1. Client Team KM Enablement

2. Client Team Knowledge Planning

3. Client Team KM Operations

4. Knowledge Equipping

5. Knowledge Contrib.

12. KM Helpdesk, Assisted Search

13. Information Retrieval, Analysis Research

14. KM Training Delivery

15. Enable the Community of Communities

16. Plan and Manage the KM Architecture

17. Manage AC’s Global KM Function

EnablingSupplying/Outfitting/Applying



KM Roles at Andersen Consulting

Knowledge Sponsor Sponsors development and implementation of KM solutions;acts as KM role model and ensures that KM is successful

Knowledge Champion Works with engagement management, relevant client teammembers and the KM Community to ensure that KM servicesare delivered effectively

Subject Matter Expert Approves collected knowledge for broad/final use, helpsrepackage knowledge for distribution, augments/createsknowledge as required

Knowledge Manager Enables KM at user sites, facilitates knowledge contributionand access to knowledge capital, assists in use and re-use ofknowledge

Knowledge Integrator Maintains and refines knowledge capital

KM Technical Support Develops and administers KM systems. Typically two roles:* KM Technical Development* KM Technical Administration and Operations



Doug Q. Public

Everyone is evaluated for Knowledge Sharing



KM at Andersen Consulting: The Knowledge Xchange

• A knowledge management architecture• Standards, infrastructure, tools that enable

the global exchange of knowledge capital• A portfolio of applications that help distribute,

retrieve and foster discussion around internal and external content

• A system that transcends the barriers of geography, enabling Andersen Consulting personnel access any time, any where.



KM at Andersen Consulting: KX Technology

• Full access to internal, external information, from anywhere, at any time

• Instantaneous information capture and availability

• Electronic search and search agents• Profiles, automated Push• Integrates administrative system• Paper a display tool, not filed



Directory Databases(e.g., KX Yellow Pages, KX Front Page)

Reference Databases(e.g., Industry/Competency Libraries)

Discussion Databases(e.g., Change Management Forum, Financial Services Discussion)

External Databases(e.g., Newsfeeds, Gartner Group)

Application Databases(e.g., Call Tracking)

How Is the Knowledge Xchange Organized?



KX Front Page - A “portal” to the Knowledge Xchange to help you find information, access databases, receive announcements and perform your work more efficiently.



KX Yellow Pages - The easiest way to find a database on the Knowledge Xchange is via the Yellow Pages



People and Places

Name and Address Book - listing of all mailing lists and Lotus Notes Ids in the firm

Chicago Metro Office Directory - Directory of employees and guests in Chicago Metro area (including St. Charles, and Northbrook)

AC Client Service Directory - directory of AC offices and executive personnel in the firm



AC Client Experience - To help you answer basic questions at any stage of work you may be doing for a target or current client.

AC Client Experience



Library Databases

To support communities by encouraging your contribution of community-related information on proposals and engagements. They contain engagement support information; Market Unit and Competency knowledge capital; engagement deliverables, technical and functional designs, workplans, presentations, white papers, proposals, etc.



Discussion Databases - Support communities by providing a general forum for community specific discussions. Contains announcements, marketing memos, newsletters; requests for project advice and/or expertise from other readers; responses to queries; Opinions, ideas, experiences, etc.

Discussion Databases



News

First! Newsfeed is a database which provides current news stories on selected topics and companies within various industry groups. First! in Brief, enables each subscriber to receive, via Notes mail, a tailored subset of news from the a First! Newsfeed.



Industry Analysts

Industry Analyst databases are databases which provides reports, research, etc. on selected topics and industries. Some databases are subscription-based and some are open for public access. We also have access to internet sites only (such as Computer Economics, Dow Jones, etc.). Please see the KX Yellow Pages for a complete listing of external resources.



KM at Andersen Consulting: How is it used

• A Day in the life…• E-mail request

• Search a Library

• Post a request to Discussion

• Start a search, internal & external

• Review Methodology, Best Practices

• Retrieve related proposals, work-product

• Evaluation contributions



KM at Andersen Consulting: Benefits

• Supports global complexity• Rapid institutional learning• Global communication and coordination• Keeps professionals close to the business• Changes all aspects of business:

• Opportunity management

• Service delivery

• Practice management



Agenda




Keys to Successful KM

©

Strategy

TechnologyPeople

Process

• How do you create aculture for sharing?

• Which people need to beempowered to contributethe right knowledge?

• Are priorities aligned withmeasurements?

• Are the right processes in place to- capture, refine and create knowledge- disseminate, share and apply knowledge to

deliver business value?

• What tools are currently inplace?

• What tools are needed toenable the environment?

• How do you fill the gap?

• Which factors are critical for my business thatcan be addressed by Knowledge Management?

• Which knowledge adds the most value?

• What are the highest priority initiatives?



Success Factors: Strategy

• Start with a holistic business integration approach: Align strategy, people, process and technology

• Top management must be committed, be leaders and role models

• Focus company on development and exploitation of knowledge capital

• Make knowledge accessible to everyone who can contribute to it or use it

• Account for knowledge as a strategic asset• Be patient--this is a way of life, not a quick fix



Success Factors: People

• Create a culture of sharing and use/reuse• Implement incentives, rewards, recognition,

evaluation. Measure knowledge sharing activities• Create a Knowledge Management

organization• Assign roles• Identify sponsors• Integrate knowledge

in training



Success Factors: Process

• Make knowledge use and contribution a natural part of the business process

• Define standard processes for managing knowledge capital

• Eliminate redundant systems and channels



Success Factors: Technology

• Create a seamless infrastructure• Design and deploy a KM Architecture• Standardize tools and technologies• Operate as

mission critical

implement knowledge management andersens consulting 2000

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