Knowledge Management

Presented By
 CONTENTS

 Data, Information & Knowledge

 Knowledge Hierarchy
 Types of Knowledge
 What Is Knowledge Management
 Why KM life cycle
 Knowledge creation and transfer
 Managing creativity and organizational learning
DATA, INFORMATION& KNOWLEDGE
 Data: Is facts, pictures or numbers presented without a context.
 Information: Is organized data presented in context.
 Knowledge: Is information in context together with an
understanding of how to use it.
Knowledge hierarchy
 Types of knowledge
 Tacit knowledge: That type of knowledge which people carry in
their mind, and is, therefore, difficult to access.
 Explicit knowledge: That type of knowledge which has been or
can be articulated, codified and stored in certain media.(Books,
journals,websites)
Explicit Knowledge Tacit Knowledge

Tangible
Physical objects, e.g. in
documents or databases
Context independent
Easily shared
Reproducible
Intangible
Mental objects, i.e. it's in
people's head's
Context affects meaning
Sharing involves learning
Not identically replicated
 WHAT IS KNOWLEDGE
MANAGEMENT?
 A systematic attempt to use knowledge within an organization to
improve overall performance.
 Knowledge Management is the collection of processes that govern the
creation, dissemination, and utilization of knowledge.
 Knowledge management is a process of acquiring, creating and sharing
knowledge in order to achieve the organizational objectives by making
the best use of the knowledge
 WHY KM???????
 To share the knowledge, a company creates exponential
benefits from the knowledge as people learn from it.
 To build better sensitivity to “brain drain”
 To reacting to new business opportunities
 Improving Decision Making by reusing knowledge
 Building sustainable competitive advantage
 Strengthening organizational commitment
KM LIFE CYCLE
Continue….
 In the first step, tacit and explicit forms of knowledge are unfolded
In the second step, knowledge is shared in organization through social and
technical communication infrastructures.
In the third step, knowledge is (re)structured by mapping, storing, and
retrieving.
In the fourth step, knowledge is used in product, service, and work
processes.
Finally, in the fifth step, knowledge is audited in order to determine the flow
of knowledge throughout the organization and measure the intellectual capital.
In sum, a new perspective will be formed to redefine the conceptualization of
knowledge management through developing "knowledge management life
cycle" model.
 knowledge creation and transfer
Knowledge creation refers to the continuous combination, transfer and conversion
of different kind of knowledge(explicit and tacit)
This occurs as users interact, practice, and learn. It is the creation of ideas, which is
the heart of company competitive advantage.
Knowledge creation occurs through interactions between explicit and tacit
knowledge in peoples mind
Knowledge transfer refers to sharing or disseminating of knowledge and providing
inputs to problem solving. In organization theory, knowledge transfer is the practical
problem of transferring knowledge from one part of the organization to another.

Nonaka and Takeuchi

(1995) Model
Continue…
1. Socialization: In this process, tacit knowledge will be transferred through social
contact (communications and interactions) such as discussions, sharing experience,
simulation, practice, observation and so on among organizational members.
2. Externalization: In this process tacit knowledge is converted into explicit knowledge
in the shapes of concepts, metaphors, hypothesis, descriptions and models. This process
occurs when the firm formally articulates its internal rules of functioning or when it
establishes its goals explicitly (Martín de Castro, 2007).
3. Combination: In this process explicit knowledge will be created from explicit
knowledge. In this mode existing explicit knowledge is merged, categorized,
reclassified, and synthesized to create new explicit knowledge (Alavi & Leidner, 2001).
Explicit knowledge can be transferred through media such as documents, meetings,
story telling and electronic communications (Yahoo Messenger, Skype, E-mail and/or
phone conversations).
4. Internalization: internalization is achieved through changing explicit knowledge into
tacit knowledge through a process in which abstract ideas change into concrete ones
and they are finally absorbed as an integral value.
 Managing Creativity
The terms creativity and innovation are sometimes used interchangeably. Making a
distinction between the two helps to understand them clearly so that they can be better
managed.
Creativity has been described as the formation and gathering of thoughts in a way
that leads to a different understanding of a situation. Innovation is more often
associated with the development of a new product or service.
The concepts are distinct but they fit together - creativity is the process of
generating new ideas, while innovation relates more to the process of implementing
new ideas for the benefit of the organization.
 Checklist for Managing creativity
•Identify potential sources of ideas, or stimuli to creativity:
Research
Employees
Customers
Relationships
Competitors
•Set an example yourself by:
encouraging new ideas consistently rather than when, or if, you have the time
discussing all ideas in open forum - not just those that you think are good
welcoming new explorations and different directions rather than enforcing a
platform of unchanging stability looking out for new ways of working rather
than always relying on the tried and tested.
•Be aware of team members’ personalities and cognitive styles
•Develop a climate which encourages creativity:
an atmosphere of mutual respect and trust where people feel free to interact,
rather than a climate of deference to rank or position
not allowing rules and procedures to control activities rigidly and inflexibly
a sense of individual energy, enthusiasm, open-mindedness and commitment,
which uses conflicting ideas constructively (while minimizing personal conflict)
 Continue…..

•Build in breathing time/space.

•Use techniques for creativity:
Lateral thinking (pioneered by Edward de Bono)
Mind-mapping (pioneered by Tony Buzan)
Brainstorming (invented by Alex Osborn)
Focus groups
•Build in breathing time/space.
•Build systems for creativity:
Performance appraisal
Self-directed teams
Flexible working hours
Suggestion schemes
•Work out inexpensive pilots:
Find ways to pilot ideas on a smaller scale so that you can put them to the test,
gain evidence to justify the investment required and draw lessons from the initial
phase which will be of benefit to later, fuller implementations.
•Feedback and reward
 Organizational learning

• Organizational learning is the process of creating, retaining, and

transferring knowledge within an organization.
• Organizational learning is a process improvement that can increase
efficiency, accuracy, and profits.
• A real-world example of organizational learning is how a new pizza store
will reduce the cost per pizza as the cumulative production of pizzas
increases. As the staff creates more pizza; they begin to make pizzas faster,
the staff learns how to work together, and the equipment is placed in the
most efficient location leading to cheaper costs of creation.
• Organizational learning is important to consider in relation
to innovation, entrepreneurship, technological change, and economic
growth, specifically within the contexts of knowledge sharing and inter
organizational learning.
Thank you for
Listening