working smarter, not harder chapter 1. 2 objectives what is knowledge management? why knowledge...

34
Working Smarter, Not Harder Chapter 1

Post on 21-Dec-2015

229 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

Working Smarter, Not Harder

Chapter 1

Page 2: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

2

OBJECTIVES

• What is Knowledge Management?

• Why Knowledge Management

• KM Myths

• Implications for Knowledge Management

Page 3: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

3

Knowing ignorance is strengthIgnoring knowledge is sickness

—Lao Tsu

老子道德經第七十一章知不知上 不知知病夫唯病病 是以不病聖人不病 以其病病

Knowing ignorance is strength.

Ignoring knowledge is sickness.

If one is sick of sickness, then one is not sick.

The sage is not sick because he is sick of sickness. Therefore he is not sick.

Page 4: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

4

Working Smarter, Not Harder

• Overlapping Human/Organizational/ Technological factors in KM:– People (workforce)– Organizational Processes– Technology (IT infrastructure)

Page 5: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

5

OVERLAPPING FACTORS OF KM

• Knowledge

PEOPLE

TECHNOLOGY

ORGANIZATIONALPROCESSES

Page 6: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

6

OVERLAPPING FACTORS OF KM

• The ideal organization is one where people exchange knowledge across functional areas of the business by using technology and established processes. The exchange may be for policy formulation and strategy, for training and development, or for problem solving in teams. None of the three areas can function independently of one another.

Page 7: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

7

WHAT IS KNOWLEDGE MANAGEMENT?

• Process of capturing and making use of a firm’s collective expertise anywhere in the business

• Doing the right thing, NOT doing things right• Viewing company processes as knowledge

processes• Knowledge creation, dissemination, upgrade,

and application toward organizational survival• Part science, part art, part luck

Page 8: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

8

EXPLICIT AND TACIT KNOWLEDGE

Oral Communication“Tacit” Knowledge

50-95%

Information Request“Explicit” Knowledge

Explicit Knowledge Base5 %

Information Feedback

Page 9: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

9

THE KNOWLEDGE ORGANIZATION

Create

KnowledgeOrganization

Collect

Organize

Refine

Disseminate

Culture

Leadership

Techno-logy

IntelligenceMaintain

Competition

KnowledgeManagementProcess

KM Drivers

Page 10: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

10

THE KNOWLEDGE ORGANIZATION

• The middle layer addresses the KM life cycle

• A knowledge organization derives knowledge from customer, product, financial, and personnel practices knowledge.

Page 11: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

11

THE KNOWLEDGE ORGANIZATION

• Customer knowledge– Their needs, who to contact, customer buying power, etc.

• Product knowledge– The products in the market place, who is buying them, what prices

they are selling at, and how much money is spent on such products

• Financial knowledge– Capital resources, where to acquire capital and at what cost

• Personnel practices knowledge– The expertise available, the quality service they provide, and how

to go about finding experts, especially in customer service

Page 12: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

12

THE KNOWLEDGE ORGANIZATION

• Indicators of knowledge: thinking actively and ahead, not passively and behind

• Using technology to facilitate knowledge sharing and innovation

Page 13: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

13

IDEAL KNOWLEDGE MANAGEMENT

PEOPLE

KnowledgeBase

OutsideEnvironment

Existing methods/processes

Learning

Newideas

Conversion

Insights

KnowledgeCreation

OrganizationalBenefits

Codified Technology

• New products• New markets• Smarter problem-solving•Value-added innovation•Better quality customer service•More efficient processes•More experienced staff

Page 14: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

14

IDEAL KNOWLEDGE MANAGEMENT

• 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

Page 15: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

15

DETERMINANTS OF KM SUCCESS

• People

• Sharing knowledge based on mutual trust

Page 16: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

16

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

Page 17: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

17

THE DRIVERS

• Technology Drivers. – Data communications, networking, and wireless

transmission– Store, communicate, and exchange data at high speed

• Process Drivers– Elimination of duplicate mistakes– The way companies react to market changes (JIT)

• Personnel-Specific Drivers– Minimizing personnel turnover– Minimizing knowledge walkouts

Page 18: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

18

THE DRIVERS

• Knowledge-Related Drivers– Knowledge sharing knowledge transfer

• Financial Drivers– Knowledge defies economic theory, where

assets are subject to diminishing returns over the long run.

– Knowledge assets increase in value as more and more people use them.

Page 19: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

19

GOAL OF KM

• Produce a positive return on investment in people, processes, and technologies.

Page 20: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

20

INTERNET CONTRIBUTES TO THE USE OF KM

• The Internet is an incredible information source• With the World Wide Web, every user can share

and update information at will • The Internet uses a universal communication

standard protocol • The Internet provides quicker interaction and

communication with knowledge workers

Page 21: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

21

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

Page 22: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

22

KM MYTHS• KM is not a fad. Knowing what you know or what

you need to know is not a fad. • KM and data warehouse are not the same. First,

data warehousing is a mere repository of data, not knowledge. It is critical for KM, because data warehousing is used in data mining and eliciting new information for new products, new customer demand, etc.

• KM is not a new concept. It has been practical since the early 1980s.

Page 23: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

23

KM MYTHS• KM is not technology, per se.It relies on technology

to expedite knowledge sharing and transfer. It is a unique way of thinking about work and about working.

• It is true that technology can store data, information, and knowledge, but it cannot guarantee that people will use it. Human intelligence is usually tied to tacit knowledge, which is in the human brain. Any exchange or sharing of such knowledge is done face-to-face, using specialized tools or methodologies.

Page 24: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

24

KM LIFE CYCLE

Four-Process View of KM:• Capturing – data entry, scanning, voice

input, interviewing, brainstorming• Organizing – cataloging, indexing, filtering,

linking, codifying• Refining – contexualizing, collaborating,

compacting, mining• Transfer – flow, sharing, alert, push

Page 25: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

25

OVERSIGHTS OR PITFALLS

• Failing to modify the compensation system to reward people working as a team

• Building a huge database that is supposed to cater to the entire company

• Viewing KM as a technology or a human resources area

• Placing too much emphasis on technology

Page 26: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

26

OVERSIGHTS OR PITFALLS

• Introducing KM into the organization via a simple project to minimize possible losses

• Pursuing KM without being ready

• Having poor leadership

Page 27: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

27

THE KM CYCLE AND THE ORGANIZATION

Organizational personnel

Organizational personnel

ManagementDecision making

 Culture

Informationtechnology

KM Life Cycle. capture. gathering. organizing. refining. transfer 

Page 28: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

28

ROLE OF TRUST IN THE KM LIFE CYCLE

• Trust supports the KM process by giving employees clear impression that reciprocity, free exchange, and proposing innovations will be recognized and fairly compensated.

• The bottom line is that one cannot have an open, candid dialogue with someone he/she does not trust.

Page 29: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

29

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

Page 30: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

30

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

Page 31: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

31

• 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?

Page 32: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

32

QUESTIONS FOR DISCUSSION

• Suppose you were asked to do a 15-minute presentation before the managers of a small retailer about the pros and cons of knowledge management. What would you say? Outline the content of your talk.

• A business manager, a programmer, and a psychologist all want to become KM designers. Which one do you feel will have the least difficulty? Why?

Page 33: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

33

QUESTIONS FOR DISCUSSION

• Search the Internet and current journals for surveys that show how well companies are adopting (or struggling with) KM. Report your findings to class.

Page 34: Working Smarter, Not Harder Chapter 1. 2 OBJECTIVES What is Knowledge Management? Why Knowledge Management KM Myths Implications for Knowledge Management

Working Smarter, Not Harder

Chapter 1