lecture 1 - the nature of knowledge management

8/3/2019 Lecture 1 - The Nature of Knowledge Management

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Lecture 1

The Nature of Knowledge Management


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Need for Knowledge

Management

Knowledge has become the key resource,for a nations military strength as well asfor its economic strength is

fundamentally different from the traditionalkey resources of the economist land,labor, and even capitalwe needsystematic work on the quality of

knowledge and the productivity ofknowledge the performance capacity, ifnot the survival, of any organization in the

knowledge society will come increasinglyto de end on those two factors


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What is Knowledge

Management?

Knowledge management (KM) may simply bedefined as doing what is needed to get the most out ofknowledge resources.

In general, KM focuses on organizing andmaking available important knowledge,wherever and whenever it is needed.

KM is also related to the concept of intellectualcapital.


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Forces Driving Knowledge

Management1. Increasing Domain Complexity: Intricacy of

internal and external processes, increased competition,and the rapid advancement of technology allcontribute to increasing domain complexity.

2. Accelerating Market Volatility: The pace of change,or volatility, within each market domain has increasedrapidly in the past decade.

3. Intensified Speed of Responsiveness: The timerequired to take action based upon subtle changeswithin and across domains is decreasing.

4. Diminishing Individual Experience: High

employee turnover rates have resulted in individualswith decision-makin authorit havin less tenure


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Knowledge Management Systems

Information technology facilitates sharing aswell as accelerated growth of knowledge.

Information technology allows the movement of

information at increasing speeds andefficiencies.

Today, knowledge is accumulating at an ever increasing

rate. It is estimated that knowledge is currently doublingevery 18 months and, of course, the pace is increasing...Technology facilitates the speed at which knowledge andideas proliferateBradley [1996]


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Knowledge management mechanisms are organizationalor structural means used to promote knowledgemanagement.

The use of leading-edge information technologies (e.g.,Web-based conferencing) to support KM mechanismsenables dramatic improvement in KM.

knowledge management systems(KMS): the synergy betweenlatest technologies and social/structural mechanisms


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KM systems classification based onobservations on the KM systemsimplementations:

Knowledge Discovery Systems

Knowledge Capture Systems

Knowledge Sharing Systems

Knowledge Application Systems


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Artificial intelligence and machine learning

technologies important role in the KMprocesses, enabling the development of KMS.


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Issues in Knowledge

Management Effective KM is not about making a choice between software

vs. wetware, classroom vs. hands-on, formal vs. informal, technical

vs. socialuses all the options available to motivated employees to

put knowledge to work [and] depends on recognizing that allof these options basically need each other [Stewart, 2002].

One of the primary differences between traditionalinformation systems and KM systems is the active role

that users of KM systems play on building the contentof such systems.


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Essence of KM

1. Knowledge is first created in the peoplesminds. KM practices must first identify ways toencourage and stimulate the ability of

employees to develop new knowledge.2. KM methodologies and technologies must

enable effective ways to elicit, represent,organize, re-use, and renew this knowledge.

3. KM should not distance itself from theknowledge owners, but instead celebrate andrecognize their position as experts in the

organization.


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What is Data?

Data comprises facts, observations, orperceptions

Data represents raw numbers or assertions


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What is Information?

Information is processed data

Information is a subset of data, only includingthose data that possess context, relevance andpurpose

Information involves manipulation of raw data


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What is Knowledge?

A justified true belief

It is different from data & information

Knowledge is at the highest level in a hierarchywith information at the middle level, and data tobe at the lowest level

It is the richest, deepest & most valuable of thethree

Information with direction


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Data, Information, and Knowledge

InformationData

Zero Low Medium High Very High

Value

Knowledge


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Data, Information, and Knowledge:Example

H T H T TH H H T H

T T T H T

pH = 0.40pT = 0.60RH = +$10RT = -$8

nH = 40nT = 60

InformationData

Zero Low Medium High Very High

Value

Knowledge

EV = -$0.80

CountingpH = nH/(nH+nT)pT = nT/(nH+nT)

EV=pH RH+ pT RT


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Subjective View of knowledge

Knowledge as State of Mind

Knowledge as Practice


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Objective View of knowledge

Knowledge as Objects

Knowledge as Access to Information

Knowledge as Capability


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Types of Knowledge

Individual, social, causal, conditional, relationaland pragmatic

Embodied, encoded and procedural


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Procedural and Declarative

Knowledge

Declarative knowledge (substantive knowledge)focuses on beliefs about relationships amongvariables

Procedural knowledge focuses on beliefs relatingsequences of steps or actions to desired (orundesired) outcomes


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Tacit and Explicit Knowledge

Tacit knowledge includes insights, intuitions,and hunches

Explicit knowledge refers to knowledge that hasbeen expressed into words and numbers

We can convert explicit knowledge to tacitknowledge


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General and Specific Knowledge

General knowledge is possessed by a largenumber of individuals and can be transferredeasily across individuals

Specific knowledge, or idiosyncratic

knowledge, is possessed by a very limited

number of individuals, and is expensive to

transfer


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Technically and Contextually

Specific Knowledge

Technically specific knowledge is deepknowledge about a specific area

Contextually specific knowledge knowledgerefers to the knowledge of particularcircumstances of time and place in which workis to be performed


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Illustrations of the Different

Types of Knowledge


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Knowledge and Expertise

Expertise can be defined as knowledge of higherquality

An expert is one who is able to perform a task

much better than others


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Types of Expertise

Associational Expertise

Motor Skills Expertise

Theoretical (Deep) Expertise


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Types of Knowledge

Simple knowledge focuses on one basic area

Complex knowledge draws upon multiple distinct areasof expertise

Support knowledge relates to organizationalinfrastructure and facilitates day-to-day operations

Tactical knowledge pertains to the short-term

positioning of the organization relative to its markets,competitors, and suppliers

Strategic knowledge pertains to the long-termpositioning of the organization in terms of its corporate

vision and strategies for achieving that vision


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OrganizationalEntities

People

Knowledge Reservoirs

Groups

Individuals Organizational Units

Inter-organizationalNetworks

Organizations

Artifacts

Practices RepositoriesTechnologies

Reservoirs of Knowledge


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Characteristics of Knowledge

Explicitness

Codifiability

Teachability Knowledge Specificity


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Knowledge Management

Knowledge management can be defined asperforming the activities involved in discovering,capturing, sharing, and applying knowledge so as

to enhance, in a cost-effective fashion, theimpact of knowledge on the units goal

achievement.


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Knowledge Resources

The term knowledge resources refers not only tothe knowledge currently possessed by theindividual or the organization but also to the

knowledge that can potentially be obtained (atsome cost if necessary) from other individuals ororganizations


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Solutions

Knowledge management solutions refer to thevariety of ways in which KM can be facilitated

KM processes

KM systems

KM mechanisms and technologies

KM infrastructure


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Knowledge management systems are theintegration of technologies and mechanisms thatare developed to support KM processes


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KM Systems

KM Mechanisms and Technologies

KM Infrastructure

KM Processes

An Overview of Knowledge

Management Solutions


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Capture

Externalization

Internalization

Sharing Socialization

Exchange

Application Direction

Routines

Discovery

Combination

Socialization


Processes


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Knowledge Discovery

Knowledge discovery may be defined as thedevelopment of new tacit or explicit knowledgefrom data and information or from the synthesis

of prior knowledge

Combination

Socialization


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Knowledge Capture

Knowledge capture is defined as the process ofretrieving either explicit or tacit knowledge thatresides within people, artifacts, or organizational

entities.

Knowledge captured might reside outside theorganizational boundaries, including consultants,

competitors, customers, suppliers, and prioremployers of the organizations new employees


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Externalization and

Internalization

Externalization involves converting tacitknowledge into explicit forms such as words,concepts, visuals, or figurative language

Internalization is the conversion of explicitknowledge into tacit knowledge. It representsthe traditional notion of learning


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Knowledge Sharing

Knowledge sharing is the process through whichexplicit or tacit knowledge is communicated toother individuals

Effective Transfer

Knowledge is shared and not recommendationsbased on knowledge

It may take place across individuals, groups,departments or organizations


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Direction & Routines

Direction refers to the process through whichindividuals possessing the knowledge direct theaction of another individual without transferring

to that person the knowledge underlying thedirection

Routines involve the utilization of knowledge

embedded in procedures, rules, and norms thatguide future behavior

l d


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Mechanisms

KM mechanisms are organizational or structuralmeans used to promote KM

Examples of KM mechanisms include learningby doing, on-the-job training, learning byobservation, and face-to-face meetings

K l d M


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TechnologiesTechnologies that support KM include artificial

intelligence (AI) technologies encompassingthose used for knowledge acquisition and case-

based reasoning systems, electronic discussiongroups, computer-based simulations, databases,decision support systems, enterprise resourceplanning systems, expert systems, management

information systems, expertise locator systems,videoconferencing, and information repositoriesencompassing best practices databases andlessons learned systems


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KM systems utilize a variety of KM mechanismsand technologies to support the KM processes

Knowledge Management Discovery Systems

Knowledge Management Capture Systems

Knowledge Management Sharing Systems



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Knowledge Discovery Systems

Knowledge discovery systems support theprocess of developing new tacit or explicitknowledge from data and information or from

the synthesis of prior knowledge

Support two KM sub-processes

combination, enabling the discovery of new explicit

knowledge socialization, enabling the discovery of new tacit

knowledge


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Knowledge Capture Systems

Knowledge capture systems support the processof retrieving either explicit or tacit knowledgethat resides within people, artifacts, or

organizational entitiesTechnologies can also support knowledge

capture systems by facilitating externalization

and internalization


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Knowledge Sharing Systems

Knowledge sharing systems support the processthrough which explicit or implicit knowledge iscommunicated to other individuals

Discussion groups or chat groups facilitateknowledge sharing by enabling individuals toexplain their knowledge to the rest of the group


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Knowledge application systems support theprocess through which some individuals utilizeknowledge possessed by other individuals

without actually acquiring, or learning, thatknowledge

Mechanisms and technologies support

knowledge application systems by facilitatingroutines and direction.

K l d M


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Mechanisms

Mechanisms facilitating direction includetraditional hierarchical relationships inorganizations, help desks, and support centers

Mechanisms supporting routines includeorganizational policies, work practices, andstandards

K l d M


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Technologies

Technologies supporting direction includeexperts knowledge embedded in expert systems

and decision support systems, as well as

troubleshooting systems based on the use oftechnologies like case-based reasoning

Technologies that facilitate routines are expert

systems, enterprise resource planning systems,and traditional management information systems


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KM Processes, Mechanisms, and

Technologies

K l d M t


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Infrastructure

Organizational Culture

Organizational Structure

Communities of Practice

Information Technology Infrastructure

Common Knowledge


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Organizational Culture

Organizational culture reflects the norms andbeliefs that guide the behavior of the

organizations members

Attributes of an enabling organizational cultureinclude understanding of the value of KMpractices, management support for KM at all

levels, incentives that reward knowledge sharing,and encouragement of interaction for thecreation and sharing of knowledge


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Organizational Structure

Hierarchical structure of the organization affectsthe people with whom individuals frequentlyinteract, and to or from whom they are

consequently likely to transfer knowledge Organizational structures can facilitate KM

through communities of practice

Organization structures can facilitate KMthrough specialized structures and roles thatspecifically support KM

Inf ti n T hn l


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Information Technology

Infrastructure

The IT infrastructure includes data processing,storage, and communication technologies andsystems

One way of systematically viewing the ITinfrastructure is to consider the capabilities itprovides in four important aspects:

Reach Depth

Richness

Aggregation


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Common Knowledge

Common knowledge also refers to theorganizations cumulative experiences in

comprehending a category of knowledge and

activities, and the organizing principles thatsupport communication and coordination

Common knowledge helps enhance the value of

an individual experts knowledge by integratingit with the knowledge of others


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Physical Environment

Physical environment includes the design ofbuildings and the separation between them; thelocation, size, and type of offices; the type,

number, and nature of meeting roomsA 1998 study found that most employees

thought they gained most of their knowledge

related to work from informal conversationsaround water coolers or over meals instead offormal training or manuals



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Infrastructure

Overview of Knowledge


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KM Processes

KM Mechanisms

KM Infrastructure

KM Technologies

Organization

Culture

Analogies and metaphorsBrainstorming retreatsOn-the-job training

Face-to-face meetingsApprenticeshipsEmployee rotationLearning by observation.

IT

Infrastructure

Common

Knowledge

ExternalizationCombination RoutinesSocialization Exchange DirectionInternalization

KnowledgeCapture

KnowledgeSharing

KnowledgeApplication

Decision support systemsWeb-based discussion groupsRepositories of best practices

Artificial intelligence systemsCase-based reasoning

GroupwareWeb pages

Physical

Environment

Organization

Structure

KnowledgeDiscovery

KM SystemsKnowledge

CaptureSystems

KnowledgeSharingSystems

KnowledgeApplicationSystems

KnowledgeDiscoverySystems

Overview of Knowledge

Management Solutions


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Thank you!

lecture 1 - the nature of knowledge management

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