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Knowledge Management

Transcript: SALARY GAP BY GENDER Ann Y.E Loh MBA from University of Bradford Management Centre Currently based in Singapore as Marketing Communications Manager at the PSB Corporation AUTHOR PROFILE Conclusion Types of Knowledge: tacit vs explicit Data series of meaningless outputs from any operations symbolic representation of numbers, letters, facts, or magnitudes stored and transfer Very practical and useful Recommended reading Title : Learning Throught Knowledge Management Language : English Author : Pervaiz K. Ahmed K.K. Lim Ann Y.E. Loh Publisher : Butterworth Heinemann First published 2002 ISSUE IN HRM Pervaiz K. Ahmed Chairs in Mgmt, University of Wolverhampton. Head of the centre for Enterprise Excellence and Director of the Japanese Management Research Unit 3 Knowledge Learning Improvement Level Mechanism KM systematic programme (explicit) organization wide implementation mandated by senior management driven by middle management organization - wide implementation organization - wide involvement Approaches to Organizational Learning Polanyi's (1996) "we know more than we can tell" Tacit difficult to describe or express usually transfer by demonstration, rather than description, encompasses such things as skills Explicit easily written down or codified easy to articulate and communicate resides in formulae, textbooks or technical, documents Knowledge Management Strategies Defining Knowledge and Knowledge Management Knowledge experience, skills, intuition, ideas, judgement, context, motivations and interpretations Knowledge is information that changes something or somebody Information data arranged in meaningful pattens Reactive KM adhoc programme (implicit) piecemeal implementation narrow department/group focus lacking senior management support driven by small group of middle mgmt poorly understood benefits by individual empoyee INTRODUCTION Organic KM systematic programme (explicit) organization wide implementation mandated by senior management driven by middle management organization - wide implementation organization - wide involvement alignment with strategy Lim Kwang Kok graduate with an MBA from the University of Bradford Management Centre. started career with Matsushita Electric Components Malaysia Learning = P + Q P : Programme learning that comes from books, lectures, or secondary resources Q : asking question, looking at the evidence, discussing or drawing, conclusion base on experience Succesfull Knowledge Management Improved innovation leading to improved products and services Improved decision making Quicker problem solving and fewer mistakes Reduced product development time Reduced research and development costs Key Elements in Knowledge Management Nonaka & Takeuchi SECI Models Case Study Singapore Airlines

Knowledge Management

Transcript: smarter not harder CONSUMER Process Drivers 1. learning from the past 2.reacting to market change Financial drivers Knowledge an asset of increasing return ( graph Technology Drivers Personnel-Specific Driver Knowledge-related drivers Knowlegede: sharing and transfering Role of trust in the KM life cycle? Trust supports the KM process How does a company develop trust? -Decision making by teamwork -Employees & teams can get their rightful credit -Demonstrate the company’s new views -Eliminating unnecessary directives and barriers -Recognizing employees through programs etc -Installing an employee training program Knowledge is the key to both goals: productivity and innovation. Working smarter, not harder. They use their knowledge rather than data or information. Companies must consider culture, social, and organizational changes. The most valuable asset of company is employees’ heads. The key converter from hoarding knowledge to sharing knowledge is trust. Transfer Key technologies -Data entry -Scanning -Voice input -Brainstorming INFORMATION REVOLUTION Information sharing rising productivity -internal within company -b to b -b to c -c to c Cross functionnal team : collaboration and coordination !!! knowledge walkout! -Contexualizing -Collaborating -Compacting -Projecting -Mining KM HIGHLITS FROM SURVEYS: -real benefit -better company -lack of time for implementation -KM treated as technological solution -difficult future integration -human resources as driving force behind KM HOW IT CAME ABOUT ? -internet & intranet -data warehousing -document repositories -best-practice repositories KM drivers PROSUMER integrity, consistent communication, decision-making process -intranet & groupware facilities -knowledge departments teams KM connecting tools -intranet -videoconferencing system KM life cycle Success business recipe -systems transformation for competitiveness -quick response not planning -knowledge redefinition for new practices World Wide Web , a revolution that made knowledge available and useful Organizing Goals of KM FACTORS BUIDING INTEREST IN KM -rapid changes -organizational scope by globalization -downsizing, reengineering and knowledge drain SIX TOP ATTRIBUTES OF KNOWLEDGE PRODUCTS AND SERVICES -database mining tools -work-flow tools -work-flow applications -online application processing tools -sharing practices -knowledge center -networking and data communications -knowledge dominance = efficiency and effectiveness KEY CHALANGES -collaboration for innovation -expanding KM capabilities -dealing with tacit knowledge -Flow -Sharing -Alert -Push every business process new products and services new chanels and distribution options new marketing strategies new industry definitions utilized by human components and technology •INTERACT •REMEMBER •CUSTOMIZE Refining Capturing •Capture the tacit knowledge •Intangible return on knowledge sharing -what is km vs. corporate environment -culture modification and cooperation -knowledge evaluation -learning: capture, process and act -Cataloging -Indexing -Filtering -Linking -Codifying Trust KNOWLEDGE IS EMBEDED TO: KM initiatives indicators •LEARN •IMPROVE •ANTICIPATE Implications for Knowledge Management

KNowledge Management

Transcript: Knowledge Management at Mercedes-Benz Company History German automobile manufacturer History of technological and safety innovations E.g. Internal combustion engine, honeycomb radiator Integrated knowledge management programs Competitive advantage stems from the quality of product Increasing competition creates pressure to innovate CULTURE Mercedes-Benz defined by 3 characteristics: 1. The Product 2. The Values 3. The Brand Associations Product Safe Durable Advanced Luxurious High performance Values Authenticity Innovation Leadership Quality Brand associations (positive) Trusted, Special, Dynamic (negative) Ostenatious, Serious, Traditional Merger 1998: Daimler merges with the American car corporation Chrysler Goals •To be able to share parts and the cost of developing expensive new technologies •To create an unprecedented combination of prestige and market power •To be the global standard KM goals of the DaimlerChrysler after 1998 merger: •To leverage soft assets, such as Intellectual Capital in the form of Knowledge Management. Therefore increasing knowledge sharing •To resolve cultural differences between Daimler and Chrysler •To convince executives, managers, and staff to be open and remain loyal •To use knowledge management for a smooth merger process So What Went Wrong? •Market share fell from 16.2% to just 13.5% (1998-2001) •Chrysler CEO, Holden, fired after less than a year. •Two-thirds of Chrysler’s senior management was fired or resigned (executives did not get along with German colleagues) •In 2000, Chrysler’s operating profit decreased 90% •DaimlerChrysler ranks only fifth among the seven largest automakers •Not-invented-here syndrome kept Chrysler and Mercedes from sharing ideas, parts, etc. Moving Toward Better KM... •Mapping out the place of the knowledge and putting it in Technical Reports and the Chrysler Institute of Engineering •Creation of ”Tech Clubs”; •Creation of ”Engineering Book of Knowledge” •Germany's tradition of vocational training for skilled workers provide structure for tacit knowledge exchange, but it did not provide framework for creative innovation. Thus Daimler created the Daimler’s Corporate University (DCU) Mercedes Benz Global Training Designed to produce professional KM Combat dynamic working environment Constantly able to expand their spectrum of knowledge “Global Training makes a decisive contribution to quickly transferring knowledge and successfully marketing products and services. Up to date, fast, widespread, and simultaneous - this is how know-how is passed on to our sales employees." Knowledge Sharing Environment Increased competition results in the need for Innovation Knowledge sharing is critical to innovation Physical environment must support knowledge sharing Stuttgart Training Centre Transparent Campus 20 workshops Open spatial building organisation Flexible arrangement "Advanced workplace" Archives and Collections Department Archives have existed since 1936 Material ranges from design drawings, test reports, correspondence, minutes of meetings and Board of Management records to personal bequests, brochures, vehicle operating manuals, press kits, photographs, films and rare posters Includes vehicle collection-motorised milestones of corporate history are kept in museum Discussion Questions? Will Mercedes remain competitve given the increased competion? Are there anyways Mercedes can improve its knowledge management What do you think the bigges problem with the merger was in relation to KM?

Knowledge Management

Transcript: With whom are we sharing? ”Det är klart att de som har levt och verkat flera år i företaget, de vet vem de kan kontakta, vem som är specialist på det och det. Men för någon ny utifrån är det helt omöjligt att hitta den rätta personen. ” ”Min stora förvåning var att det fanns oerhört mycket spetskompetens i koncernen, men att man inte kunde hitta den, utan man var tvungen att prata med någon som hade mycket erfarenhet om företaget.” What are we transferring? Knowledge Differentiators Traditional Information-transfer ”knowledge capture” Codification Knowledge Definition What are we transferring? Most important is not what you know, it's how you deal with what you don't know. With whom are we sharing? It can only be expressed fully when it is applied Questions to Answer New Goals for Knowledge Management Familiarity Relevance Context Social Media Swedish MNCs Strong and Weak Ties For knowledge-transfer to be possible you need to achieve: It is generated from personal experience and action Conferences, meetings, trips Education, training, and development Moving employees around, relocation Mentoring and trainee programs Centers of Excellence Personalization New Goals Knowledge-transfer ”knowledge-osmosis” Personalization Status updates Social networking Social bookmarking Accenture Cap Gemini Ernst and Young Deloitte and Touche McKinsey and Company Knowledge is information in context codification Social Media is about personal marketing People marketing If you ask... New ideas New opportuninites New perspectives New contacts New solutions

Knowledge Management

Transcript: Human resource Organisatioal culture Identify core knowledge that led to business success Evaluate and Audit KM development Instrumental Acquire and stimulate knowledge creation (Chan and Chau 2005) Output Our Solution: Strategy and Leadership Consistent and systematic reviews and follow up of KM (Chen and Chau 2005). Focus on long term capability development. Facilitate gathering focused on KM and not merely socialising (Soliman and Spooner 2000). Provide a wide set of flexible work arrangements in order to retain key knowledge workers (O'Neal 2005). Remove misconceptions and negative views towards KM and support KM from all levels of the organisation through effective and encouraging communication (Chan and Chau 2005). Build an environment based on trust (Tuason 2010). Encourage knowledge sharing (Nonaka and Takeuchi 1995), creativity and innovation (Gurten 1998) through monetary and non-monetary rewards (Chen and Chau 2005). Knowledge sharing through socialisation and informal gatherings Information technology Define what relevant sources are i.e. not all knowledge is good knowledge (Kalling 2003). In implementing IT KM systems, provide sufficient relevant training (Ansari, Youshanlouei and Mood 2012). Such an IT system should have a clear purpose and be user friendly i.e. the staff it is intended for should be able to learn how to use it (Ansari, Youshanlouei and Mood 2012). "Organisations where the focus is on the acquisition, sharing and utilisation of knowledge" (Stone 2005, 332). Confusion and negative perceptions due to unframed socialisation Ineffective HR policy to retain KW led to increased loss of knowledge Nonaka, I. & Takeuchi, H. 1995. “The knowledge-creating company”. New York: Oxford University Press Organisational Strategy and leadership Determine knowledge gap HS (actual name is confidential) is a Hong Kong based enterprise. Founded 1983. Produces and exports handbags and leather premium products to US and Europe. 10 administrative staff in Hong Kong and a munufacturing plant with 450 employees. Knowledge was not shared Learning initiatives were low due to organisational silo effect When skilled workers left HS knowledge was lost to competitors Knowledge was not appropriately defined, captured and retained Knowledge creation and development was not encouraged, motivated and nurtured systematically Knowledge Management Initiatives in 2001 KM was reviewed infrequently and not followed up properly Overly focused on short-term rather than long term Kalling, Thomas. 2003. "Organization-Internal Transfer of Knowledge and the Role of Motivation: A Qualitative Case Study." Knowledge and Process Management 10 (2): 115-126. Chan, Ivy and Patrick Y.K. Chau. 2005. "Why Knowledge Management Fails: Lessons from a Case Study." in Case Studies in Knowledge Management. Edited by Murray Jennex. Hershey: Idea Group Publishing. Gurteen, David. 1998. "Knowledge, Creativity and Innovation." Journal of Knowledge Management 2 (1): 5-13. Organisatioal structure Stone, Raymond. 2005. “Human Resource Management.” 5th ed. Edited by Caroline Hunter. Milton: Wiley. (Ansari, Youshanlouei and Mood 2012) O'Neal, Sandra. 2005. "Total Rewards and the Future of Work." Workspan. 48 (1): 18-26. Unlimited definition of sources of knowledge Monetary rewards led to self-defeating mechanisms and unfriendly team culture IT was seen as cutting-edge solution which led to unnecessary investment in technology Tuason, Innocenza Jay. 2010. "The Relationship between Trust and Organizational Culture Change."University of Calgary (Canada). Conducted periodic review and measured organisational performance Knowledge Management Icebreaker Definitions Case Study Outline Class Activity Our Solutions Case Study Strategic Icebreaker Top management should set clear, relevant and reachable KM goals (Chan and Chau 2005). Top management should give consistent support and invest time and effort into the promotion of development and sharing of knowledge (O'Regan, Ghobadian and Sims 2005). Rewards should promote knowledge sharing, creativity and innovation, and should be monetary and non-monetary (Chen and Chau 2005). Unrealistic aims Volatile support (Chan and Chau 2005) Reference List KM Results from 2001 to 2003 Our Solution: Information Technology Results in 2003 Establish knowledge friendly culture (Chan and Chau 2005) Facilitation Outline Learning Organisation KM Focus Ryan Edmunds – 16091207 Zachary Addenbrooke – 15484592 Carlos Andrés Muirhead – 16210879 Eirik Bjornstad – 14480311 Implement job rotation. Establish efficient and effective communication channels special emphasis on horizontal communication to avoid silo effect. Involve staff in manufacturing in planning and strategy (Chen and Chau

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