Working Smarter,
Not Harder
Chapter 1
Chapter 1: Working Smarter, Not Harder Objectives
OBJECTIVES
What is Knowledge Management?
Why Knowledge Management
How It Came About
KM Myths
Implications for Knowledge
Management
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Chapter 1: Working Smarter, Not Harder Objectives
Knowing ignorance is strength;
ignoring knowledge is sickness
-Lao Tsu
The knowledge race is on
Britain - ambition is to turn Britain into
the leading knowledge-based economy
of the world. Prime MinisterTony Blair, November 16, 1998
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Economic reliance on
knowledge workers is
increasing
Knowledge gap
Customers and businesses want a more
integrated approach
Best to say you are in the knowledge
business
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Chapter 1: Working Smarter, Not Harder Objectives
Three primary causes of
change
Global literacy
Invention of electronic infrastructures
Social revitalization
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Chapter 1: Working Smarter, Not Harder Objectives
Source:http://www.erols.com/mwhite28/literacy.htm
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Chapter 1: Working Smarter, Not Harder Objectives
Source:http://www.erols.com/mwhite28/literacy.htm
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Chapter 1: Working Smarter, Not Harder Objectives
A knowledge society requires literacy -
because of the vastly expanding corpus
of knowledge we will also be required to
learn how to learn.
Peter Drucker, Managing For the Future, 1992,
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Chapter 1: Working Smarter, Not Harder Objectives
Literacy - Knowledge
Business Jargon
Community of Practice
The Learning Organization
Corporate University
Chief Learning Officer (CLO)
Chief Knowledge Officer (CKO)
Dean of Corporate Education
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Chapter 1: Working Smarter, Not Harder Objectives
2. Electronic infrastructures
1990 - Tofflers Powershift - five features of
electronic infrastructure
Interactivity
Mobility
Convertibility
Connectivity
Globalization
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Chapter 1: Working Smarter, Not Harder Objectives
Result produces a revolutionary nervous
system... a far more adaptable, intelligent,
and complex nervous system than ever
before imagined. Alvin Toffler, Powershift, 1990, page 364
Methods of creating, storing, accessing and
selling knowledge are changing
Customers are demanding access to just-in-
time inventories of knowledge
Invest in a well-designed electronic
infrastructure
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Chapter 1: Working Smarter, Not Harder Objectives
Electronic Infrastructures -
Knowledge Business Jargon
"[Knowledge management] embodies
organizational processes that seek
synergistic combination of data and
information-processing capacity of
information technologies, and the creative
and innovative capacity of human beings."
Deciphering the Knowledge Management Hype", Dr. Yogesh Malhotra,
www.brint.com/km/whatis.htm, 1998
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Chapter 1: Working Smarter, Not Harder Objectives
Electronic Infrastructures -
Knowledge Business Jargon
Innovation
Leveraging intellectual capital
Bill Gates - Digital Nervous System
Bill Gates Banks are on the way out;
not banking
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Chapter 1: Working Smarter, Not Harder Objectives
3. Social Revitalization
Literacy and technology skills cannot
replace physical human interaction
People want more meaningful
connections both professionally and
personally
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Chapter 1: Working Smarter, Not Harder Objectives
Concern for personal well-being:
Augmentation of intellect education,
entertainment, information
Health - physical and mental
Security - personal safety and financial
Personal services - customization
Spiritual well-being - spiritualism, religion and
ethnic affiliation
John Yerxa, 1995 Yerxa Report
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Chapter 1: Working Smarter, Not Harder Objectives
The overriding questions are Who am I?
What is my purpose in life?
Result is a new language of
revitalization.
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Chapter 1: Working Smarter, Not Harder Objectives
Revitalization - Knowledge
Business Jargon
Corporate Soul
Balanced Lifestyle
Workplace Diversity
Values Based Management
Inspirational Leadership
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Chapter 1: Working Smarter, Not Harder Objectives
Integrated Example - The
Changing Education Business
Education is BIG business
In 2001, the U.S. spent $5 billion on
elementary books and $3.7 billion on
college books
Lifelong learning is BIGGER business
Who is a Teacher?
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Chapter 1: Working Smarter, Not Harder Objectives
Literacy and Education
Just-in-time learning
Communities of Practice
When is recess?
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Chapter 1: Working Smarter, Not Harder Objectives
The message is Hurry Up
and Learn
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Chapter 1: Working Smarter, Not Harder Objectives
Revitalization and Education
Educators, parents, communities are
concerned about the well-being of
children
Revitalization movements are
increasing
More people are calling for values
education , spiritual training, and
customized learning programs
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Chapter 1: Working Smarter, Not Harder Objectives
Working Smarter, Not Harder
Overlapping Human/Organizational/
Technological factors in KM:
People (workforce)
Organizational Processes
Technology (IT infrastructure)
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Chapter 1: Working Smarter, Not Harder Objectives
WHAT IS KNOWLEDGE
MANAGEMENT?
Process of capturing and making use of a firms
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
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Chapter 1: Working Smarter, Not Harder Objectives
OVERLAPPING FACTORS
OF KM
PEOPLE
Knowledge
ORGANIZATIONAL
PROCESSES
TECHNOLOGY
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Chapter 1: Working Smarter, Not Harder Objectives
EXPLICIT AND TACIT
KNOWLEDGE
Oral Communication
Tacit Knowledge
50-95%
Information Request
Explicit Knowledge
Information Feedback Explicit Knowledge Base
5%
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Chapter 1: Working Smarter, Not Harder Objectives
THE KNOWLEDGE
ORGANIZATION
Culture
Competition
Collect
Create
Organize
Techno- Intelligence
logy Maintain Knowledge
Organization
Refine
Disseminate
Knowledge
Management
Leadership
Process
KM Drivers
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Chapter 1: Working Smarter, Not Harder Objectives
THE KNOWLEDGE
ORGANIZATION (Fig. 1.3)
The middle layer addresses the KM life cycle
A knowledge organization derives knowledge
from customer, product, and financial
knowledge. Also from financial practices
Indicators of knowledge: thinking actively and
ahead, not passively and behind
Using technology to facilitate knowledge
sharing and innovation
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Chapter 1: Working Smarter, Not Harder Objectives
IDEAL KNOWLEDGE
MANAGEMENT
Existing methods/
Outside
processes
New products
Environment
New markets
Smarter problem-solving
Value-added innovation
Learning
Better quality customer
Conversion service
PEOPLE More efficient processes
Insights New
ideas More experienced staff
Knowledge
Creation
Organizational
Knowledge
Benefits
Base
Codified Technology
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Chapter 1: Working Smarter, Not Harder Objectives
IDEAL KNOWLEDGE
MANAGEMENT
Strategy Measurement Policy Content Process Technology Culture
Knowledge
Internalization
Knowledge Knowledge
People Assets Reuse
Knowledge
Exchange
Knowledge
Capture
Knowledge
People Exchange Knowledge
Reuse People
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Chapter 1: Working Smarter, Not Harder Objectives
IDEAL KNOWLEDGE
MANAGEMENT (Fig. 1.4)
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
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Chapter 1: Working Smarter, Not Harder Objectives
THE KM CYCLE AND THE
ORGANIZATION
Organizational Managemen
personnel t
Decision
making
KM Life
Cycle
. capture
. gathering
. organizing
. refining
. transfer
Information
Culture technology
Figure 1-6 The KM cycle and the organization
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Chapter 1: Working Smarter, Not Harder Objectives
WHAT KM IS NOT ABOUT
Reengineering
Discipline or philosophic calling
Intellectual capital, per se
Based on information or about data
Information value chain or knowledge capture
Limited to gathering information from the
companys domain experts or retiring
employees and creating databases accessible
by intranets
Digital networks
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Chapter 1: Working Smarter, Not Harder Objectives
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
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Chapter 1: Working Smarter, Not Harder Objectives
KM System Justification
Is current knowledge going to be lost?
Is proposed system needed in several
locations?
Are experts available/willing?
Can experts articulate how problem will
be solved?
Is there a champion in the house?
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Chapter 1: Working Smarter, Not Harder Objectives
THE DRIVERS
Technology Drivers.
Process Drivers
Personnel-Specific Drivers
Knowledge-Related Drivers
Financial Drivers
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Chapter 1: Working Smarter, Not Harder Objectives
FACTORS TRIGGERING
INTEREST IN KM
Innovation as core competency
Globalization and geographic disperson
changed the organizations scope
Downsizing and reengineering resulted in
staff attrition and knowledge drain
Networking and data communications made it
easier and faster to share knowledge
Increasing dominance of knowledge as a
basis for improving efficiency and
effectiveness triggered the need for utilizing
knowledge gained from previous experiences
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Chapter 1: Working Smarter, Not Harder Objectives
KEY CHALLENGES
Explaining what KM is and how it can benefit
a corporate environment
Evaluate the firms 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
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Chapter 1: Working Smarter, Not Harder Objectives
KM MYTHS
KM is a fad
KM and data warehousing are essentially the
same
KM is a new concept
KM is mere technology
Technology distributes human intelligence
KM is another form of reengineering
Company employees have difficulty sharing
knowledge
Technology is a better alternative than face-
to-face
It is no brainer to share what you know 1-38
Chapter 1: Working Smarter, Not Harder Objectives
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,
contexualizing, collaborating, compacting,
Projecting, mining
Transfer flow, sharing, alert, push
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Chapter 1: Working Smarter, Not Harder Objectives
PROMOTING TRUST
Decentralize organization structure to allow
decision making by teamwork
Reduce control-based management and
encourage management by results
Revisit companys 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 1-40
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Conclusion
Literacy + Electronic Infrastructure +
Social Revitalization =
Opportunity for New
Societal Infrastructure
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Chapter 1: Working Smarter, Not Harder Objectives
Strategists needs all three change
elements
Literacy and Electronic infrastructures
relate to knowledge distribution
Social revitalization relates to motivation
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Chapter 1: Working Smarter, Not Harder Objectives
THE WORLD OF RE-
EVERYTHING
Knowledge is productive ONLY when
captured in peoples mind
Shareability requires decentralized
intelligence
We need to empower knowledge
workers
Top performers can be a problem; they
are not the most humble
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Chapter 1: Working Smarter, Not Harder Objectives
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?
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Working Smarter,
Not Harder
Chapter 1