COM910M2 Knowledge Management

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COM910M2 Knowledge Management

• Revision

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Lecture 1The Relevance of Management Research
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Characteristics of the Subject Area

• Relatively recent interest in the area
• Interdisciplinary nature - lack of agreement with
  regard to definition
• Academic and practitioner interest
• Different perceptions

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The Nature of Management Research

• Soft - heterogeneous nature of field
• Applied - building knowledge which documents,
  codifies and articulates a problem attempt to
  understand improve practice
• Divergent - wide range of ontological
  epistemological positions represented
• Rural - broad intellectual territory

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Management Research - its relevance?

• Users believe that research can benefit them - do
  not consider many topics as focusing on key
  issues
• Research does not contribute to their managerial
  role - perceived need for prescriptive statements
• Lack of awareness of the results of research

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Valuable Knowledge

• What makes knowledge valuable to organisations
  is ultimately the ability to make better
  decisions and action taken on the basis of
  knowledge. If knowledge doesnt improve decision
  making, then whats the point? (Davenport
  Prusak, 1998)
• If the duty of the intellectual in society is to
  make a difference, the management research
  community has a long way to go to realize its
  potential (Pettigrew, 2001)

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The Reflective Practitioner

• Learning and Wisdom (Montaigne)
• Learning - logic, etymology, grammar, Latin and
  Greek
• Wisdom - a far broader, more elusive and more
  valuable kind of knowledge, everything that could
  help a person to live well

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Lecture 2The Learning Organisation
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Environmental Progression

• Science and Technology
• Global Competition
• Changing Aspirations of the workforce
• Increasing educational aims of developing
  countries
• Decrease in the life expectancy of an industrial
  enterprise
• Reduction in cycle times

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BPR Objectives

• Organisations must think in terms of
  comprehensive processes
• Processes needed to be conceptualised as
  complete, comprehensive entities that stretched
  from initial order to the delivery of the product
• I.T. needed to be used to integrate these
  comprehensive processes

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BPR Shortsighted

• Theorists underestimated difficulties of
  integrating corporate systems with I.T.
  technologies available at that time
• Failed to appreciate problems involved in scaling
  up some of the solutions they recommended
• People resisted major change
• Costs involved

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The Learning Organisation

• Where people continually expand their
  capability to create the results they truly
  desire, where new and expansive patterns of
  thinking are nurtured, where collective
  aspiration is set free, and where people are
  continually learning to learn together
• Senge, 1990

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The Learning Company

• an organisation which facilitates the learning
  of all its members and continuously transforms
  itself
• Pedler et al, 1988
• an organisation that facilitates the learning
  of all its members and consciously transforms
  itself and its context
• Pedler et al, 1997

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Disciplines of the Learning Organisation

• Systems Thinking
• Personal Mastery
• Mental Models
• Building Shared Vision
• Team Building

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Focus

• Efficiency
• Improving efficiency (closing gaps)
• Productivity
• Lower costs, higher revenues
• Short-term, operative

• Proficiency
• Culture shift (learning org)
• Processual
• Changes in behaviour attitudes
• Long-term, strategic

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Lecture 3 Introduction to Knowledge
Management
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Why Knowledge Management?

• Most organisations do not manage their knowledge
  well
• They lose knowledge through downsizing and staff
  turnover
• They buy in expertise they already possess
• They do not know what they know

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The KM Journey

• Knowledge Management is a journey. It is not
  new. Managing knowledge has taken place ever
  since a cave person passed a tool to their
  partner.
• Whats different today is that were starting to
  develop a language to talk about this fuzzy and
  intangible stuff. We need to develop visual
  frameworks to help people build this language.
  If we can visualise, we can measure and if we can
  measure, we can manage
• Gordon Petrash, Dow Chemical

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Knowledge Hierarchy

• Wisdom
• Knowledge
• Information
• Data

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• Knowledge Management is the process of creating
  new mindsets, models, skills and technologies
  that capture, organise and employ information,
  experience and knowledge application, to gain
  collective expertise across the organisation,
  which in turn facilitates competitive advantage
• Moffett, 2000

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Knowledge Management Models

• 3 broad categories of KM models
• Knowledge Category Models
• Social Constructionist Model
• Intellectual Capital Models

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MeCTIP Model (Moffett, 2001)
External
Internal
Process
P3
Orgnal Climate
Technical
P1
P4
Macro Environment
P5
P6
Internal Technical Climate
Informational
P2
P7
P8
Personal
Organisation Environment
P9
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Lecture 4 The Human Factor
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Two ways of approaching KM

• As an ASSET
• Knowledge can be extracted from wherever it
  resides and put onto a system as a discrete asset
  to be managed
• As a way of DOING things
• Using knowledge as a means of judgement - this
  approach has the most value and derives the
  fastest benefits, however this approach is more
  difficult to achieve

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Knowledge-based Organisational Structure

• Scientific and Social knowledge recognised
• Consider themselves as brokers of knowledge
• Emphasise decentralisation and virtualisation
• Exhibit network structure
• Flexible boundaries

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Organisation Strategy

• Managers need to reject the temptation to look
  for one dimensional external answers and need to
  look within the organisation where the answers
  lie in learning and insight, skills and
  perspectives
• Noer, 1997
• Considers organisational and operational
  compatibility, symbolised by shared philosophies,
  strategies, end-goals across the whole
  organisation
• Everyone aware of organisation mission and the
  contribution their role makes
• Everyone singing from same song sheet

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Organisation Culture

• Changing a culture is not a matter of teaching
  people a bunch of new techniques, or replacing
  their behaviour patterns with new ones. It is a
  matter of exchanging values and providing role
  models. This is done by changing attitudes
• Crosby, 1986
• Recruitment, education and training, leadership,
  reward and recognition, etc.

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Learning Networks

• Learning Networks Porter, 1990 are groups of
  people within the organisation who are brought
  together for a period of time, either physically
  or electronically, to construct, embody and
  disseminate knowledge on a specific issue.
  Learning Network combine specialists (who develop
  and maintain the group) from various disciplines
  to disseminate knowledge widely through the
  organisation. Highly valued by the organisation.

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Communities of Practice

• the Community of Practice CoP is united by
  shared knowledge and shared ways of knowing which
  are created by people being involved with each
  other in action
• Drath Palus, 1994
• Emphasis is on learning interaction and transfer
  of knowledge within the community, rather than
  wider organisation. Usually involve people with
  same professional interest, concerned with
  disseminating knowledge to CoP only

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Collaborative Practices

• If HP knew what HP knows, we would be three
  times as profitable
• Platt, CEO Hewlett-Packard
• CONK - Cost of Not Knowing
• Reduction of Knowledge Silos Offsey, 1997
• Create Corporate Memory Quintas et al., 1997
• Eliminate Re-invention of the Wheel
• Record lessons learned not glory stories
• Facilitate ceaseless innovation Demerest,
  1997

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Developing Professional Intellect

• Recruit the best
• Force intense early development
• Constantly increase professional challenges
• Evaluate and Weed

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Cultural Blockers

• Not Invented Here (N.I.H.)
• Time is money
• Knowledge is Power
• Technophobia
• Valuing Intangibles
• Information Overload

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Lecture 5Technology, Information and
Collaboration
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Technologies for KM

• Technology can be viewed as both a key
  contributor and key enabler to the field of
  Knowledge Management
• Davenport Prusak, 1998
• Human expertise is amplified by computers.
  Software is an encapsulation of knowledge.
  Knowledge, constantly renewed and enhanced, is
  the primary source of competitive advantage
• Martin, 1998

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Confusion !?!

• Repackaging of existing software applications
  under the KM label
• Quandary between knowledge and information
• Publicity that investment in I.T. will result in
  improved business performance
• How much technological involvement is required
  for successful Knowledge Management?

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Informational Processes

• Internal and External information
• Increased volume of information Information
  Fatique IF Unlig, 1996, Vulliany, 1996
• Information overload Infoglut Offsey, 1997
• Information access Knowledge silos Offsey,
  1997
• Perceived lack of information Infofamine
  Offsey, 1997

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ICT Development

• Evolving through three phases
• Mainframe
• Personal Computer PC
• Networking
• Knowledge discovery
• Corporate collaboration
• Rapid decision making

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ICT for KM

• The cybercorp needs a knowledge infrastructure
  to capture and create knowledge, store it,
  improve it, clarify it, disseminate it and put it
  to use
• Martin, 1998
• The critical role for I.T. lies in the ability
  to support communication, collaboration, and
  those searching for knowledge and information,
  not static repositories of best practices
• Monasco, 1996

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Knowledge Management Systems

• Users should not have to learn new ways of
  working with technology Microsoft, 1999
• Consideration must be given to awareness,
  accessibility, availability, input and
  maintenance of information Offsey, 1997
• Functionality, usability and characteristics of
  the system must be contemplated taking HCI
  factors into consideration Lawton, 1999
• A well designed KM system leaves users with the
  skill to communicate without depending on the
  computer
• Senge, 1994

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Technological Tools for KM

• Knowledge Management technology is a broad
  concept, encompassing much more than Notes and
  the Web. Firms can apply a wide variety of
  technologies to the objectives of managing
  knowledge, some of which have been available for
  many years
• Davenport Prusak, 1998
• Collaboration
• Content Management
• Business Intelligence

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Collaborative Tools

• Calendar
• Bulletin board
• Chat
• Whiteboard
• Audio
• Video
• Newsgroups (discussion groups_
• File sharing tools
• Presentation tools
• Instant messaging
• Text tools , etc.

• Groupware Technology
• Electronic Mail
• Meeting Support Systems
• Knowledge Directories
• Intranets/Extranets

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Lecture 6Content for Business Intelligence
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10 Rules for Web Writing

• 1. Know your reader
• 2. Take a publishing approach
• 3. Keep content short and simple
• 4. Write active content
• 5. Put content in context
• 6. Write for how people search
• 7. Write great headings
• 8. Write great summaries
• 9. Write great metadata
• 10. Edit. Edit. Edit

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The problems with content

• The value of content is little understood
• The value of content is difficult to measure
• Quality content is difficult to create
• Quality content is expensive to create
• Content processes are not well understood
• Content is difficult to organise
• Theres so much content

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AI FAMILY
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Business Interests in AI

• Preserve Expertise
• Create and/or enhance Knowledge Base
• Mechanism not subject to feelings, fatique,
  worry, crisis
• Eliminate routine/unsatisfying jobs

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AI marries KM

• KM encourages organisations to broaden use of BI
  tools to equip employees to quickly spot trends
  within business, financial and market data
  applied to enable better decision-making.
• Four key areas
• Data Mining
• Intelligent Support Systems
• Knowledge-based Systems
• Workflow

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Autonomic Computing Characteristics

• Possess system identity detailed knowledge of
  components
• Self configure re-configure adaptive
  algorithm
• Optimise operations adaptive algorithm
• Recover no impact on data or delay in
  processing
• Self protection
• Aware of Environment and Adapt
• Function in a heterogeneous world
• Hide complexity

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Lecture 7The Semantic Web
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What is the Semantic Web?

• "The Semantic Web is an extension of the current
  web in which information is given well-defined
  meaning, better enabling computers and people to
  work in co-operation."
• (Berners-Lee, Hendler, Lassila, The Semantic
  Web, Scientific American, May 2001)

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What does it do?

• The Semantic Web provides a common framework that
  allows data to be shared and reused across
  application, enterprise, and community
  boundaries. It is a collaborative effort led by
  W3C with participation from a large number of
  researchers and industrial partners. It is based
  on the Resource Description Framework (RDF),
  which integrates a variety of applications using
  XML for syntax and URIs for naming.
• (Note URIs unique resource indicators replace
  tradition URLs unique resource locations)

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The Semantic Web simple extension to current web
Resources Globally Identified by URI's or
Locally scoped (Blank) Extensible and
Relational Links Identified by URI's
Extensible and Relational User Even more
exciting world, richer user experience Machine
More processable information is available (Data
Web) - Binary relationships capture the meaning
of the link Computers and people Work, learn
and exchange knowledge effectively
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Enabling Standards and Technologies the Layer
Cake
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Future Directions

• Facilitate Semantic Web infrastructure -
  stimulate the network effect of data
• Data Access
• Best Practices for vocabulary / ontology
  development
• Development of ontology registries for Open
  vocabularies to help bootstrap application
  deployment in interoperable manners
• Increased focus on stimulating domain-specific /
  verticle-market applications
• Investigate additional enabling standards that
  help build the Semantic Web

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Lecture 8Electronic Commerce
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Benefits of EC

• I.T. Infrastructure information flows
  seamlessly throughout
• Direct communication between trading partners
  disintermediation (removes intermediate layers,
  streamlines processes)
• Vendors can provide information 24 hours a day
• Can extend distribution channels
• Can reduce transaction costs
• Reduces information asymmetry asymmetry exists
  when one party has more information that the
  other
• Increases richness, depth and detail of
  information
• Increases reach, number of people contacted

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Types of EC

• Business-to-business (B2B) most EC is of this
  type electronic market transactions between
  organisations
• Business-to-consumer (B2C) retailing
  transactions with individual shoppers
  (amazon.com)
• Consumer-to-consumer (C2C) eg selling in
  classified ads (www.classified2000.com)
• Consumer-to-business (C2B) individuals who sell
  to organisations, individuals who seek sellers,
  interact with them and conclude a transaction
• Nonbusiness EC academic institutions,
  not-for-profit orgns, religious orgns, social
  orgns, government agencies to reduce expenses
  (eg improve purchasing) or improve operations and
  customer service
• Intrabusiness EC all internal organisational
  activities usually performed on intranets (see
  later slides)

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Functions of Intranet/Extranet

• Corporate/department/individual web pages
• Database access web-based DB
• Search engines and directories assist key-word
  searches
• Interactive communication chatting, audio and
  video-conferences
• Document distribution and workflow web-based
  download and routing of documents
• Groupware e-mail and bulletin board
• Telephony- intranets are perfect conduit for
  computer-based telephony
• Integration with EC interface with
  Internet-based electronic sales and purchasing
• Extranet linking geographically dispersed
  branches, customers and suppliers to authorised
  sections of intranets happier customers, more
  efficient suppliers and reduced staff costs

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Intranet/Extranet Benefits

• E-Commerce sales and purchasing done online
• Customer service information about product
  available at touch of button
• Reduced time to market
• Enhanced knowledge sharing
• Enhanced group decision and business process
  web-based groupware and workflow systems
• Empowerment everyone has right to know
• Virtual organisations web technology at both
  ends removes barrier of incompatible technology
  between businesses

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Intranet/Extranet Benefits (2)

• Software distribution networked
• Document management open environment
• Project management share and check progress
• Training knowledge to novices
• Facilitate transaction processing data entered
  only once via web, internal control can be
  applied consistently throughout system
• Eliminate paper-based information delivery
  resulting in lower cost, easier accessibility and
  greater efficiency
• Administrative process support all operational
  functions seamlessly integrated with
  inter-organisational extranets

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Intranet Deployment Considerations
Evaluation Criteria of Intranet Platform (Turban
et al., 2000)
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Lecture 9Creativity and Innovation
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Definition of Creativity

• The creative thinking process is the forming of
  associative elements into new combinations which
  either meet specified requirements or are in some
  way useful. The more mutually remote the
  elements of the new combination, the more
  creative the process or solution
• (Mednick, 1962)

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The 4 Ps Model of Creativity (Rhodes, 1961)
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Ground Rules for Creative Thinking

• Welcome every idea, no matter how wild it is
• Hold back on criticising an idea
• Remember that we always have some knowledge or
  experience that can help us solve a given problem
• Dont be afraid to indulge in some childlike
  behaviour
• Never forget that other people perceive problem
  situations in ways different from you
• Always think of a mistake or failure as an
  opportunity to learn, not as a thing we did
  wrong

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Creativity and Innovation

• Taking the bright ideas and creating a new and
  different commercial future
• A product or idea is creative to the extent that
  it is both a novel and appropriate response to an
  open-ended task
• Innovation is the successful implementation of
  creative ideas about products or processes within
  an organisation (Amabile, 1988)

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Creativity, Innovation and Change

• Creativity is
• An individual cognitive process
• The ideation component of innovation
• A subset of innovation
• Innovation is
• A social process, involving intentionality of
  benefit
• Not necessarily creative innovation can also
  include the adaptation of existing products or
  those created outside the organisation
• Change
• A subset of change

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Types of Innovation

• Product
• Service
• Process
• Marketing
• Management
• Incremental/Radical

Technological
Communications
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Innovation Process
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Organisational Learning

• Needs to be a continuous process
• Must be communicated forward and backward across
  all stages of the innovation process and then
  across functional boundaries
• The outcome is new ideas that are fed into the
  innovation process and may result in re-innovation

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Lecture 10Measurement
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Evolution of Measures
Throughout the evolution, Understanding
improves Skyrme, 1998
4 Value
3 Management
2 Metrics
1 Language
Roos, quoted in Skyrme, 1998
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Viewpoint 1 Just Do It

• Management energy is better spent creating and
  using the forces that will drive overall
  performance and deliver value to the companys
  key constituencies
• Knowledge is only relevant when it is used it
  has no intrinsic value. This is why initiatives
  to assign value to a companys inventories of
  knowledge are so misguided
• Pasternack Viscio, Booz Allen, 1998

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Viewpoint 2 Do It and Measure

• What you can measure, you can manage, and what
  you can manage, you can measure
• We see intellectual capital as a language for
  thinking, talking and doing something about the
  drivers of companies future earnings
• Intellectual capital is concerned with managing
  and measuring knowledge and other intangibles

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Making Knowledge Visible

• Knowledge Activities Networks, communities,
  symbols, signals
• Knowledge Outcomes Cycle time, product
  development, patents
• Knowledge Investments Training, RD, Knowledge
  oriented technologies
• Prusak, 1999

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How Do I Select Pilot Projects?

• Choose those which
• Advance your business performance
• Have a high probability of success
• Can explore emerging technologies
• Can build credibility
• ODell Grayson, 1998

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Some Measurement Methods

• Brand Equity Valuation
• Colorised Reporting
• Benchmarking KM Tool

• Balanced Scorecard
• Competency Models
• Benchmarking
• Business Worth