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LECTURE
OUTLINE 1 st CHAPTER I)
Scenario of the K-Era
Knowledge ManagementsValue Proposition
Definitions of KM
Info Mgmt vs KM
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Expert systemCore competenciesBest practices
Learning organizationsCorporate memory
The only sustainable source of competitiveadvantage is their knowledge.
Drucker (2001) those who wait until thischallenge indeed becomes a hot issue are likelyto fall behind, perhaps never to recover.
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Era ExpertSystems
DocumentManagement
It's OnThe Web
ManagingKnowledge
Work
MotivatingIssue
ScarceExpertise
LeveragingDispersed
Content
ConnectingScattered
Community
CoordinatingDistributed
Talent
Metaphor Expertin a box
Library YellowPages
CommonplaceBook
IconicTechnology
RulesBased
System
DocumentRepository
Portal Weblog
Key Role KnowledgeEngineer
Librarian Webmaster IndividualKnowledge
Worker
ArchetypalExample
THIS KnowledgeExchange
Yahoo Scripting News
Gating Factor If...Then Rule Taxonomy /arrange into group
Search Newsfeed
MetaphoricalQuote
"Only theShadow Knows"
"The Book says..." "Where is...?" "Look whatI'm doing"
LessonLearned
Experts can'tdecode tacitknowledge
Libraries are a necessarybut not sufficient
condition for effectiveknowledge use
Signal/noise ratiooverwhelms search
engines.Self-organizing isn't
Augmentation worksbetter thanautomation
http://www.kellogg.nwu.edu/faculty/mcgee/htm/blog/stories/2002/02/20/ErasOfKnowledgeManagement.htmlhttp://www.kellogg.nwu.edu/faculty/mcgee/htm/blog/stories/2002/02/20/ErasOfKnowledgeManagement.html8/14/2019 KM chapter 1.pptx
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1. The belief that knowledge management become
the key to future economic success is based on thefollowing logic:
- Many scholars note that a new economic erareferred as the knowledge-based economy , isalready underway.
- In new economy, knowledge is the source ofwealth , that knowledge management will be thenew work of organizations.
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2. Knowledge management represents a logicalprogression beyond information management.
- There are demands and necessity to implements KM inorganization
- Information technologies , at long last, havedemonstrated a notable impact on organizationalperformance.
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3. Knowledge management as representing an integration of many earlier organization development ideas :
- e.g., total quality, reengineering, organizational learning,benchmarking, competitive intelligence, innovation, assetmanagement, supply chain management, changemanagement, etc.
- KM summarize these concepts into more holistic
perspective that focuses on effectively creating andapplying knowledge (Amidon 1998:47).
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K-Worker
Knowledge
Management
K-Company
K-Economy
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Knowledge ECONOMY
Changing fundamental sources of wealthKnowledge and communication
Not dependent on natural resources
Less physical labour
Can exist and be used in more than one place
Does not wear out/using without consumption
transferal does not result in losing it
Can be created out of nothing and sold many timesCan be costly to generate or replace
Has a value that is hard to determine and walks outthe door at 5pm
What isdifferentabout the
production offactor :knowledge?
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Knowledge company/organizations
Aware and involved in deeper level of value of information
Mining valuable details
Running simulations
Making a business out of knowledge
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Knowledge Worker
Continuously learning workers
What people do
What people know
Provide the brain
Knowledge Workers are defined as symbolic analyst that is workers who manipulate symbols / code/ theories/concepts rather than machines and assisted by ICT
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CHARACTERISTIcs OF KNOWLEDGE
WORKERS
Individuals who are valued for their ability to act andcommunicate with knowledge within a specific subjectarea.
Advance the overall understanding of that subjects through focused analysis, design and/or development.
Use research skills to define problems and to identifyalternatives . Fueled by their expertise and insight, theywork to solve those problems, in an effort to influencecompany decisions, priorities and strategies.
(Drucker, 1999)
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Knowledge management is evident .
98% of senior manager of KPMG survey believe thereality of KM
London Times calls it the fifth discipline after businessstrategy, accounting, marketing and human resources
40% of the US economy is directly attributable to thecreation of intellectual capital
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88 % isknowledge that isnot searchable orretrievable(Delphi Group, 2001)
13 % facing a loss ofincome becausedeparture of a singleemployee (KPMG Peat Marwick, 1998)
74% believed that theirorganizations bestknowledge wasinaccessible and 68%though mistake werereproduced severaltimes(Gazeau, 1998)
:if only HP knewwhat HP knows
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Data, information, and even knowledge in itselfoften have little value.
How to make it valueble?
Imparting knowledge into products andservices is what makes knowledge valuable
Building the knowledge systems that allow forproduct and service innovation is the key tocreating value and wealth.
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Knowledge is Power
- Si r Francis B acon
Knowledge may be your companysgreatest competitive advantage
- Davenp ort and Prusak
An insightIn a global economy:
Read, with the name of Allah who isthe creator
- Surah A l-A laq
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Data is a set of particular and objective facts about an new event or simplystructured records of transaction .
Data comprises facts , observations , orperceptions
Data represents raw numbers orassertions / statements .
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Data is static , unorganized andunprocessed facts . It is a set of discretefacts about events (Awad and Ghazi,2004).
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Information is processed data
A subset of data , only including those data
that possess context , relevance andpurpose
Involves manipulation of raw data
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Information is data that are processed tobe useful (Ackoff, 1989).
Facts based on reformatted or processed data. Aggregation of data that makesdecision making easier and has ameaning, purpose and relevance (Awadand Ghazi, 2004)
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Davenport and Prusak proposed a Five- Cs filter forconverting data to information.
Methods of creating information byadding meaning to data.
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1. Condensation:Data is summarized in more concise form andunnecessary depth is eliminated
2. Contextualization:know why / purpose data is collected
3. Calculate:Data is analyze , and may use statisticalmethod, eg. SPSS for research
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4. Categorization:The unit of analysis is known, eg.
Demographic information
5. Correction:Errors have been removed, missing data
holes have been accounted for.
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o A fluid mix of framed experience , values , contextualinformation , expert insight and grounded intuition /perception that provides framework for evaluatingnew experiences and information .
o It originates in the minds of knower.
o In organizations, it often becomes embedded not only
in documents or repositories but also inorganizational routines , processes , practices , andnorms .
(Davenport & Prusak, 1998. p.5)
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o Integrated information in context (Gallup et al., 2002)
o A set of insights , experiences , and procedures which areconsidered correct and true , and which therefore guide
the thoughts , behaviors , and communication of people(Van der Spek & Spijkervet, 1997)
o Higher level of abstraction that resides in peoples minds.Includes perception , skills , training , common sense , andexperiences (Awad and Ghazi, 2004).
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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
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To be acquainted or familiar with , to be aware of, torecognize facts , methods , principles or techniques
The capacity for action - an understanding or grasp of
facts, methods, principles and techniques sufficient toapply them in the course of making things happen.
To codified , captured and accumulated facts , methods,principles or techniques - a body of knowledge that hasbeen articulated and captured in the form of books,papers, formulas, procedure manuals, computer code
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1) Acquired knowledge - comes from outside the
organization .
2) Dedicated knowledge resources which anorganization sets aside staff members or an entiredepartment (eg. R & D Department) to developwithin the institution for a specific purpose
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3) Fusion knowledge - created by bringing togetherpeople with different perspectives to work on thesame project .
4) Adaptation knowledge - results fromresponding to new processes or technologies inthe market place.
5) Knowledge networking - people shareinformation with one another formally orinformally .
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Wisdom is the ability judge soundly / makedecision over time (Thierauf and Hoctor,2006)
It is the highest level of abstraction, with vision,foresight and the ability to see beyond thehorizon (Awad and Ghazi, 2004).
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Becerra Fernandez : Knowledge Management 2004,Prentice hall
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InformationData
Zero Low Medium High Very High
Value
Knowledge
Wisdom
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The traditional knowledge pyramid(Sourced from Anand et al., 2011)
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A set of processes directed at creating -capturing-storing-sharing-applying- reusing knowledge (Sydanmaanlakka ,2000).
The identification , optimization , and active management ofintellectual assets , either in the form of explicit knowledge held in artifacts or as tacit knowledge possessed by
individuals or communities (Snowden, 2000).
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Beijerse (1999) - Achieving organizational goals throughthe strategy-driven motivation and facilitation of knowledgeworkers to develop , enhance and use their capability tointerpret data and information;
By using available sources of information,experience, skills, culture, charcter, feelings, etc.)through a process of giving meaning to these dataand information.
An access to experience , knowledge , and expertise thatcreate new capabilities , enable superior performance ,encourage innovation , and enhance customer value
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Anand et al. (2011):
The explicit and systematic management of vital knowledge and its associated processes of creating , gathering ,organizing , diffusion , use and exploitation .
It turning personal knowledge into corporate knowledgethat can be widely shared throughout an organization andappropriately applied .
Unlocking and leveraging the knowledge of individuals sothat this knowledge becomes available as an organizationalresource .
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o KM is the ability to create and retain greater value from core business competencies.
o KM will address business problems
o KM promotes creating and delivering innovative products orservices
o Managing and enhancing relationships with existing and newcustomers , partners , and suppliers
o Administering and improving work practices and processes.Kirk Klasson
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Create and retain
greater
va lue f rom
Core bus inesscompetenc ies .
Creation
Distribution
Exploitation
KM is a systematic process that enables :-
KM
Knowledge
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People(Workforce)
OrganizationalProcesses
Technology(IT Infrastructure)
Organizational CultureK
KnowledgeAcquisition(Capturing)
KnowledgeUtilization
KnowledgeSharing
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K-Organization
Knowledge Identification
Knowledge Creation
Knowledge Expansion
Strategic Alignment
Culture
LeadershipTechnology
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KM Is essentially a process
KM is more than just a discipline, method, theory orimplementation of information systems
KM is a living process that takes place throughout theorganization
The goal of KM is that the organization views all itsprocesses as knowledge processes
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Information Management - Working with objects(data or information )
Knowledge Management - Working with people
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IM is about documents, CAD drawings,spreadsheets, program code .
IM ensuring access , security , delivery , and storage . Itdeals exclusively with explicit representations.
IM is concerns with efficiency , timeliness , accuracy ,speed , cost , storage space and retrieval.
Creation, use, learning, meaning, understanding,and negotiation are NOT core issues in IM.
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KM vs IM
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KM vs IM Knowledge management, on the other hand:
o Recognizes value in originality , innovation ,intelligence and learning.
o Empower the capacity of the organization in thebusiness areas.
o Critical thinking , innovation , relationships ,exposure to ideas , competencies , andcollaboration .
o It supports communities and individual group
learning .
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KM strengthens alignment among members of a groupand encourages the sharing of experiences , failures , andbest practices .
KM may use technology to foster dialog , increasecommunication , share context or negotiate meaning, buttechnology is not the core focus.
A people focus in KM extends to recruitment , rewards ,retention and recognition .
KM is about intangibles , intellectual capital , competitiveadvantage and innovation NOT objects .
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Why we have to manage the knowledge?
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1.Companies are becoming knowledge intensive, notcapital intensive:
Knowledge become the critical asset to survive inthe era of K-economy.
Knowledge is displacing capital , monetary
competence and natural resources
Workers / labors as the essential economicresource.
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2.Unstable / unpredictable markets necessitateorganized abandonment
Social trends affecting customer preferences
KM has improvise products , get out projectsand product lines that can drag your businessdown (through market research)
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3. KM lets you lead change, so change does notlead you
KM rapidly exploiting and applying fragmentedinternal and external knowledge.
A business can reliably detect emergingwindow of opportunity before competitors .
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4.Only the knowledgeable survive: markethas proven that
o World business players deals withinformation and Knowledge
eg; Google is 4 th world valuable brand(Sourced from 3th annual Best Global Brands report 2012)
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5.Cross-industry amalgamation (merging) is breedingcomplexity
Globalization / boarderless business system
complexity , uncertainty and ambiguity of todays production and business systems
KM has allowed the company likes of eBay, Delland Cisco to turn this complexity to theiradvantage.
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6.Knowledge can drive decision support like no other
Empower past experience (eg. Business report) bymaking knowledge about past projects, initiatives,failures and successes readily accessible.
Enables knowledge-intensive collaboration across
individuals , teams and communities of specialist thus facilitating quality decision making.
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7.Knowledge requires sharing culture
o IT barely support sharing
8.Tacit knowledge is mobile
o knowledge workers can easily move tocompetitors thus KM allow to retain theknowledge.
9.Your competitors are no longer just on your
region. 56
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