Chapter 8

KNOWLEDGE
MANAGEMENT SYSTEMS
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 LEARNING OBJECTIVES
• To explain the nature of systems thinking
• To describe the key drivers of knowledge
management systems
• To distinguish between the different types of
knowledge management systems
 INTRODUCTION
Chapter 8: Knowledge management systems. This chapter
elaborates on a variety of knowledge management systems
including document management systems, deci- sion support
systems, group support systems, executive information systems,
workflow management systems and customer relationship
management systems.
Week 4
 BUZZ GROUP
• Think about any aspect of your life
• How would you describe your chosen aspect of life
as a system?
• Given your answer, what would you say makes up a
system?

Warm up video
(Systems-thinking: A Little Film About a Big Idea)
https://www.youtube.com/watch?v=-sfiReUu3o0
 WHAT IS A SYSTEM?
• Has elements
• Has relationships between elements – may be
causal or feedback loops
• Has a boundary
• Has an environment outside the boundary
• Has an input and an output
 Knowledge Management
Systems (KMS)
• The knowledge-based view of the firm
emphasises the strategic importance of knowl-
edge within firms.
• Many organsations have developed information
systems to facilitate sharing and mobilisation of
knowledge. Such systems that manage
organisational knowledge processes are referred
to as Knowledge Management Systems (KMS)
• The organisational processes supported by KMS
may include knowledge creation, storage/
retrieval, transfer and application.
 SYSTEM CHARACTERISTICS

Figure 8.1 General characteristics of a system

 DRIVERS OF KM SYSTEMS
• Deming and Juran – most errors arose from
ineffective systems rather than operators
• PDCA: Plan, Do, Check, Act
• TQM and continuous improvement
• BPR led to flatter hierarchies
• Lean production including just-in-time and
eliminating zero-value activities
 ELECTRONIC DOCUMENT
MANAGEMENT SYSTEMS
• Convergence of document processing, imaging
and IT
• Combines text with digital audio and video
• Forms management allows organisation and
structure of data
• Indexing, searching and retrieval
ORGANIZATIONAL CHALLENGES
OF EDMS
• Privacy – sensitive information
• Currency – can add ‘date of last change’
• Performance – whether the existing bandwidth
• Security – encryption, intelligent firewalls etc.
 Interactive Session in Class
https://www.youtube.com/watch?v=hHBuCIbd5L8
https://www.youtube.com/watch?v=3MW-0w5i49I
Watch the video, discuss the solution in-group, then submit your answers at
Moodle, under Week 4 - Session 8 - Discussion Forum:
(Word Limit: 250-300 Words in Total)

• The complexity of a system increases with the addition of different perspectives

and subprocesses. How does one find a balance between simplicity and
complexity of systems models in problem solving?
• If conformance quality is a given starting point in today’s competitive environment,
how do organisations develop KM systems in order to delight their customers?
• How would you advise a firm about the strengths and pitfalls of a business
process re-engineering approach?
 DECISION SUPPORT SYSTEMS
• Assist decision making by combining data,
analytical tools and models to support structured
and unstructured decisions
• May use statistical models and trend analyses
• Analyse data to produce graphs, charts and
reports
• May use internal and external data
 TYPICAL DECISION SUPPORT
SYSTEM

Figure 8.2 Typical configuration of decision support systems (DSS)

 DSS APPLICATIONS
• Supply chain management to determine
implications for purchasing and distribution
depending on customer analysis and
segmentation
• CRM uses datamining to guide pricing,
customer retention, market share and revenue
streams
• Business scenarios by asking ‘what if’ questions
 BUZZ GROUP
• How would you go about capturing, storing and
retrieving tacit knowledge?
• What are the likely difficulties with a technology
oriented approach?
 GROUP DECISION SUPPORT
SYSTEMS
• Interactive system to facilitate solution of
unstructured problems working in a group
• Electronic brainstorming and idea organisation
tools
• Questionnaire tools
• Voting and priority setting tools
• Stakeholder identification tools
• Policy formation tools
EXECUTIVE SUPPORT SYSTEMS
• Help senior managers with unstructured
problems
• Avoid information overload by filtering
organisational data into graphical form
• Can ‘drill down’ to lower levels of detail
• Can use OLAP tools
 PERFORMANCE SUPPORT
SYSTEMS
• Assist groups or individuals to perform certain
tasks
• May contain multimedia delivery and use
techniques such as expert systems and natural
language recognition
• Examples: assisting with tax returns or creating
an entry for a financial transaction
 WORKFLOW MANAGEMENT
SYSTEMS
• Allows documents and other forms of knowledge
to be routed among individuals and applications
according to predefined processes
• Processes may be predefined or vary according
to certain rules
• Workflows set up as users, types of information,
processes, timing, alternatives etc.
• May alert users to problems that need resolution
 CUSTOMER RELATIONSHIP
MANAGEMENT SYSTEMS
• To coordinate all business and technological
processes dealing with the customer
• Share customer information between sales,
marketing finance and service divisions
• Consolidate customer data from various sources
and use analytical tools to answer questions
WHAT’S THE FINAL GOAL OF KM
SYSTEMS?
• Cost savings?
• Quality control and assurance
• TQM – cultural change
• Partnering
• Benchmarking
• BPR – radical change by questioning
organisational processes
• Lean production by using less human effort,
manufacturing space and equipment by focusing
on value
 Summary
This chapter has argued that KM systems are primarily driven by an
organisation’s desire to improve quality management processes.
Current trends in quality management are explored covering
practices such as TQM, BPR and lean production. The intrinsic
nature of systems and the development of systems thinking and
methodologies are also explored. Key KM systems are detailed, with
an emphasis on their component technologies and their effective
implementation. The financial implementation costs of KM systems
are considered in greater depth.
 Summary
The KM systems elaborated in this chapter are:
1 Document management systems – getting the right information or
knowledge to the right person at the right time.
2 Decision support systems – creating and evaluating knowledge
through data analysis or using sophisticated models to support
decision making.
3 Group support systems – systems designed to enhance
communication, knowledge sharing, cooperation, coordination and
social encounters within groups.
 Summary
4 - Executive information systems – providing high-quality
information and knowledge to executives to aid strategic planning
and control processes.
5 - Workflow management systems – knowledge associated with
workflows and aligning ‘cases’ with resources such as employees.
6 - Customer relationship management systems – developing
knowledge about customers’ individual preferences and needs using
knowledge repositories and knowledge discovery techniques.
Assessment 3
Assessment 3
 Assessment 3

Please access Moodle for full assessment details!

THE END