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Abstract
Introduction
History of Knowledge Management
Intellectual Roots of Knowledge Management
Different Brands of Knowledge Management
Knowledge and Information: The Need for Crisp Definitions
Driving Forces behind Knowledge Management
External Driving Forces
Internal Driving Forces
Ongoing Developments
What Is New?
What May Lie ahead for Knowledge Management?
The Changing Workplace
Towards a Knowledge Management Discipline
Concluding Perspectives
References
Notes
Knowledge Management:
An Emerging Discipline Rooted in a Long History
Karl M. Wiig
Knowledge Research Institute, Inc. – kmwiig@krii.com
Abstract
The business direction we call Knowledge Management (KM) has emerged over
the last decades as a result of many intellectual, societal, and business forces.
Some of its roots extend back for millennia, both in the West and the East, while
others, particularly those associated with Cognitive and Information sciences,
are quite recent. Globalization of business also plays an important role. Whereas
KM has become a valuable business tool, its complexity is often vexing, and as a
field, will still be under development for a long time to come. Significant changes
in the workplace have already taken place, but changes to come are expected to
be greater. As for other management directions, it is expected that KM will be
integrated into the basket of effective management tools, and hence disappear as
a separate effort.
2
Knowledge Management: An Emerging Discipline Rooted in a Long History
7
See for example Cleveland (1987) op.cit., Senge (1990),
6
See Romer (1989) and Kelly (1996). Simon (1976), and Wiig (1993).
3
Knowledge Management: An Emerging Discipline Rooted in a Long History
ture, manipulate, and locate knowledge and Our definition of KM is broad and em-
initially, many focus on knowledge-related braces related approaches and activities
information management rather than on throughout the organization. From this
KM. Others focus on knowledge utilization view, KM is partly practical, basic, and di-
to improve the enterprise’s operational and rectly aimed at supporting the enterprise’s
overall effectiveness. Still others pursue ultimate objectives. Other parts of KM are
building and exploiting IC to enhance the quite sophisticated and rely on under-
enterprise’s economic value. Some excep- standing of underlying processes to allow
tional enterprises have created “knowledge- targeted KM focused on the organization’s
vigilant” environments to focus constant, needs and capabilities. Many design sys-
widespread attention on ensuring competi- tematic and explicit KM practices to create
tive IC to sustain long-term success and vi- enterprise-wide, adaptive, contextual, com-
ability. The presumption is that competitive prehensive, and people-centric environ-
IC, properly utilized and exploited, is the ments that promotes continual personal fo-
central resource behind effective behavior. cus on knowledge-related matters.
IM & IT Intellectual
Focus Asset
Focus
Enterprise
People Focus Effectiveness
Focus
4
Knowledge Management: An Emerging Discipline Rooted in a Long History
5
Knowledge Management: An Emerging Discipline Rooted in a Long History
pertise gives them among their peers Knowledge and Information: The
and within the organization. How-
Need for Crisp Definitions
ever, under the best of circumstances,
only a small fraction of an individual’s The intent with KM is to manage knowl-
applicable expertise can be elicited edge practically and effectively to reach
and shared. Frequently, only concrete, broad operational and strategic objectives.
operational or routine knowledge can That requires crystal-clear understanding
be communicated. Deep, broad in-
sights are generally not available–and of what is meant by knowledge. We must be
may not exist except as a capability to specific about what knowledge is to ma-
reason until the situation requires it. nipulate, monitor, and judge how it af-
Importantly, when experts provide fects–and is affected by–people, culture,
knowledge openly and widely, they
KM activities, and other factors within the
tend to be considered important by
their peers and gain status and recog- enterprise and its environment.
nition. We must distinguish clearly between
Ø Personal knowledge cannot be shared what we mean by “knowledge” and “infor-
directly. Perspectives of, and informa- mation.”10 At first, it may appear that there
tion about knowledge can be commu- is a continuum from signals to data to in-
nicated. Recipients make sense of the
formation to knowledge–and onwards, per-
received information and internalize
their interpretation of the communi- haps to wisdom. However, when examining
cation as new knowledge. Knowledge the nature of these conceptual constructs
is built by complex learning processes and the processes that create them, we find
and result in highly individual mental discontinuities that make information fun-
models and associations that for some,
may be quite different from the source damentally different from knowledge.
knowledge. Most people think of knowledge as a rec-
To be competitive, proactive enterprises ipe–a defined procedure–to deal with a con-
must increasingly manage knowledge sys- crete, routine situation. However, few
tematically–although many KM activities situations are repeated–most situations are
and functions may be implicit in each em- novel, particularly in their details. Hence,
ployee’s and department’s daily work and 10
From practical KM perspectives, operational definitions
practice. Enterprises will continue to be
are: Information consists of facts and other data orga-
motivated by several end-goals, to secure nized to characterize a particular situation, condition,
short-term success and long-term viability. challenge, or opportunity. Knowledge is possessed by
A particular KM objective in support of humans or inanimate agents as truths and beliefs, perspec-
whichever strategy the enterprise pursues, tives and concepts, judgments and expectations, method-
is to leverage the best available knowledge ologies and know-how. Knowledge is used to receive in-
formation–to recognize and identify; analyze, interpret,
and other ICs to make people, and therefore
and evaluate; synthesize, assess, and decide; adapt, plan,
the enterprise itself, act as effectively as implement, and monitor–to act. Understanding based on
possible to deal with operational, customer, knowledge is used to determine what a specific situation
supplier, and all other challenges to imple- means and how to handle it. Following this definition, in-
ment the enterprise strategy in practice. formation and rudimentary knowledge may be codifiable
and may exist outside a person’s mind. Understanding,
however, may be difficult to codify and is primarily peo-
ple-based.
6
Knowledge Management: An Emerging Discipline Rooted in a Long History
knowledge must provide us with the capa- Figure 3. In this system, information is con-
bility–the understanding–that permits us tinually obtained on the operating state of
to envision possible ways of handling differ- the process. Knowledge from process ex-
ent situations and to anticipate implica- perts is embedded in the process control
tions and judge their effects. It allows us to programs to automate operations. The ex-
improvise and “jam.”11 Our knowledge–in perts provide personal knowledge and deep
the form of mental models, scripts, and understanding as general principles and
schemata–provides us with the capability to specific cases on how to deal with routine
work with novel situations by including not and undesired operating situations. They
only concepts and predefined methods and may pool their process knowledge with that
judgments, but numerous connections with of other experts who earlier have embedded
other detailed concepts, meta-concepts, and knowledge on optimization and control
mental models.12 principles in the generic computer software
The discontinuity between information used to generate the control algorithms.
and knowledge, referred to above, is caused In addition, process operating history is
by how new knowledge is created from re- analyzed (by conventional statistical meth-
ceived information. The process is complex. ods or advanced knowledge discovery in da-
To become knowledge, new insights are in- tabases [KDD]) to obtain selected process
ternalized by establishing links with al- characteristics, including process dynamics.
ready existing knowledge, and these links This information also becomes part of the
can range from firmly characterized rela- control algorithms embedded in the control
tionships to vague associations. Prior computer after it has been interpreted and
knowledge is used to make sense of received linked to the experts’ personal knowledge.
information, and once accepted for inclu-
sion, internalizes the new insights by link- Driving Forces behind Knowl-
ing with prior knowledge. Hence, the new edge Management
knowledge is as much a function of prior
The emergence of KM may be explained
knowledge as it is of received inputs. A dis-
by the confluence and natural evolution of
continuity is thus created between the in-
several factors. The needs to manage
puts and the resulting new knowledge. The
knowledge are strong. For those who now
resulting knowledge and understanding is
are engaged in KM it is not an alternative
formed by combinations of mental objects
or a luxury. It is a necessity driven by the
and links between them and allow us to
forces of competition, market place de-
sense, reason, plan, judge, and act.
mands, new operating and management
A practical example portrays how infor-
practices, and the availability of KM ap-
mation and knowledge differ. Consider the
proaches and information technology.
regular and supervisory control functions
for an automated factory as illustrated in
External Driving Forces
11
Most organizations operate in environ-
See Kao (1997).
12
ments that they cannot control. Their vi-
See for example Gardner (1983), Gardner (1985), Lakoff
(1987), Schank & Abelson (1977), and Wiig (1995).
ability and success are subject to external
7
Knowledge Management: An Emerging Discipline Rooted in a Long History
forces that they must live with and respond have emerged. Among these we find the
to as best they can to survive. Over the last following:
decades considerable external driving forces
Knowledge Information
Optimization and
Special Situation
Operating Strategies
Abnormal and Undesired
Operating Situations
Control Algorithms
to
Regulate Process
Routine and Normal
Knowledge Operation
Information
Process Dynamics KDD
and Knowledge Operating
Characteristics Discovery History
in Databases
8
Knowledge Management: An Emerging Discipline Rooted in a Long History
9
Knowledge Management: An Emerging Discipline Rooted in a Long History
10
Knowledge Management: An Emerging Discipline Rooted in a Long History
and deliver quality work under various Ø Extensive experiences will spread
conditions. from many organizations about how
effective KM is organized, supported,
and facilitated. Obvious changes will
What May Lie ahead for Knowl- include placement and organization of
the KM effort itself, be it a Chief
edge Management? Knowledge Officer (CKO) or a distrib-
KM promotes development and applica- uted effort. Changes that deal with
tion of tacit, explicit, and embedded IC; that reorganization of work and the abol-
is, leveraging personal understanding, or- ishing of whole departments when
their responsibilities are integrated
ganizational action capabilities, and other
into other operations, will be preva-
intellectual assets to attain the enterprise’s lent but less apparent.
ultimate goals, such as ascertaining profit- Ø Management practices will change to
ability, ensuring long-term viability, or de- facilitate KM. Incentives will be in-
livering quality services. This perspective of troduced and disincentives eliminated
KM, and given its history, suggest that a to promote innovation, effective
knowledge exchange (“sharing”),
number of developments will take place in
learning, and application of best
coming years. They include: knowledge for work. Cultural drivers
Ø An area of increasing insight in the such as management emphasis and
role that understanding–or meaning- personal behaviors will be changed to
connected knowledge–and abstract create environments of trust and ef-
mental models play in intellectual forts to find root causes of problems
work. The 1990’s notion that “knowl- without assigning blame.
edge is actionable information” and Ø KM perspectives and considerations
similar early perspectives will be re- will be embedded in regular activities
placed by more detailed characteriza- throughout the enterprise. An exam-
tions of both personal and inanimate ple of how broadly KM may affect an
knowledge. Insights from cognitive re- organization is indicated in Figure 4.
search and business experiences with It highlights some separate and
deep knowledge will elucidate what, shared responsibilities for KM-related
and how, people must understand activities within research and devel-
how to handle complex challenges opment (R&D), human resources
competently. (HR), information management and
Ø Caused by KM’s importance, future technology (IM & IT), and a KM su-
practices and methods will be pur- pervisory function.
poseful, systematic, explicit, and de- Ø New practices will focus on combining
pendent upon advanced technology for understanding, knowledge, skills, and
knowledge capture and codification, attitudes (“KSAs”) when assembling
automated reasoning, natural lan- work teams or analyzing require-
guage understanding, and so on. ments for performing work.18 The em-
Overall, KM will become people- phasis on complementary work teams
centric since it is networking of com- will coincide with the movement to-
petent and collaborating people that wards virtual organizations where
makes successful organizations.17 many in-house teams will include ex-
ternal workers who are brought in for
17
See Terry Winograd (1988), Cannon-Bowers & Salas
18
(1999) op.cit., and Wellman (1999). Cannon-Bowers & Salas (1999), op.cit.
11
Knowledge Management: An Emerging Discipline Rooted in a Long History
12
Knowledge Management: An Emerging Discipline Rooted in a Long History
13
Knowledge Management: An Emerging Discipline Rooted in a Long History
In-House Understanding of
In-House
Management-Corp Strategy Corporate Project Leader
Specialist Strategy and
Direction Corporate
Desired
Customer Service E Policies
Paradigm and
P Practices
External C In-House
Subject Matter Expert Project Content
(SME) A Specialist
Customer Project
Service System B Management
Implementation and System
and Start-Up I Implementation
External In-House
Project Staff Marketing - Customer
Specialist Specialist
Analysis &
Customer Service Design of
Models and People/Technology
Their Efficacies Systems
LEGEND
I - Ignorant Customer Market Place;
B - Beginner Support System Customer Needs
A - Advanced Beginner Operations and Behaviors
C - Competent Performer
P - Proficient Performer Effective Project Team Knowledge Profile
E - Expert
14
Knowledge Management: An Emerging Discipline Rooted in a Long History
15
Knowledge Management: An Emerging Discipline Rooted in a Long History
aging IC is complex and extensive and re- reality. As indicated in Figure 7, the disci-
quires expertise and management atten- plines and other areas that KM relies upon
tion. The new profession of KM specialists, include:
from several academic fields, is becoming a
Targets for
Intelligent
Potentials for
Automation
Delivering Work
Requiring
Greater Knowledge
16
Knowledge Management: An Emerging Discipline Rooted in a Long History
Information
People-Centric Intellectual Enterprise
Management & IT
Focus Capital Focus Effectiveness Focus
Focus
17
Knowledge Management: An Emerging Discipline Rooted in a Long History
18
Knowledge Management: An Emerging Discipline Rooted in a Long History
KBS-Related Internal Benefits & EffectsImproved Deliverables External Benefits & Reaction
Knowledge KM Effects - Operations Focus - Product & Service Focus -- Customer & Market Focus -
Management Bottom-Line
Intermediate Effects and Benefits Benefits
Activities
19
Knowledge Management: An Emerging Discipline Rooted in a Long History
20
Knowledge Management: An Emerging Discipline Rooted in a Long History
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