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THE ROLE OF IT IN SUCCESSFUL 

KNOWLEDGE MANAGEMENT  INITIATIVES COMMUNICATIONS OF THE ACM September 2003/Vol. 46, No. 9

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Importance of IT in Knowledge  Management ● ● ● ●

Reduces the complexity of Knowledge Management Easier to acquire, store, update, distribute... Integration , sharing of knowledge Advancing 

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Two basic approaches to KM Knowledge Management

Codification

Personalization

explicit , structured

tacit, unstructured

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Role of IT... Codification explicit , structured ✔ ✔ ✔ ✔

Store Retrieve Update Share

Eg. DBMS,Electronic  Knowledge Repositories

Personalization tacit, unstructured ✔ ✔ ✔ ✔

Personal communication Meeting etc. Access people Achieve knowledge  transfer

Eg. Expert Directories,  video conferencing tools 4/16

KM in the Organization Industries

Product Based

High

Service Based

High

Low

Volatility 

Low

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Example Low­volatility context ●

Product based

● ●

British Petroleum Buckman Laboratories Shell

High­volatility context ● ● ●



Service based

 Ernst & Young ●  KPMG ●  Siemens Business      Services ●

Hewlett­Packard Microsoft Siemens Infineon  Technologies Xerox ● ●

McKinsey Skandia

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Product­Based Organizations in Low­Volatility Context Product­based  organizations  in  a  low  volatility  context  usually  do  not  compete  on  the  basis  of  products  alone.  Instead,  these  organizations  often  compete on other grounds (for example, services that  accompany products). ✔



Buckman Laboratories changed its strategy from  merely  selling  products  to  solving  chemical  treatment problems for customers.  BP  and  Shell  recognized  oil  exploration  as  a  source of competitive advantage because drilling  is such an expensive undertaking.

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What Type of KM needed...?. Knowledge needed to sustain these diverse bases of  competition is often tacit. ●

The  organizations  have  mainly  adopted  the  personalization approach to KM. ●

    IT  to  support  face­to­face  communication  and



Communities  of  Practice  (COP),  which  are  informal  networks  of  people  who  share  similar  work  roles  and  common context. 8/16

Buckman Laboratories A global e­communication network (K’Netix) that links  specialists to field staff. ● K’Netix has several forums to support COP devoted    to various business areas (TechForum has about 20    sections devoted to areas such as pulp and paper, and    industrial water treatment). ●

BP

Invested $434,000 to develop  Connect, a knowledge yellow       pages that helps employees locate required expertise. ●

Shell  Has an Expertise Directory that acts as a clearing house and  signpost for both knowledge seekers and contributors.  ●  Shell developed Global Networks, which comprised collaboration  tools like LiveLink and Microsoft Exchange for communication. 9/16 ●

Low Volatility Context

Expert Directories • Connect (British Petroleum) • Expertise Directory (Shell)

Product­  Based

COP • K'Netix (Buckman Lab.) • Global Networks (Shell)

High Volatility Context

Expert Directories • Expert Directory (Microsoft) • Knowledge Map (Siemens Infineon Technologies) • Connex (Hewlett­Packard)  Direct Exchange • Phone and videoconferencing (Siemens Infineon Technologies) • People­transfer (Hewlett­ Packard) Repositories • Electronic Sales Partners (Hewlett­Packard) • Eureka (Xerox) • Internal Technical Education (Microsoft)

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Service­  Based

Low Volatility

High Volatility

Context

Context

Repositories • Center for Business Knowledge (Ernst & Young) • KWorld (KPMG) • SAP R/3 (Siemens Business Services)

Direct Exchange • Phone and Videoconferencing (McKinsey) • People transfer (McKinsey and Skandia)

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Implications for Practice Low Volatility

High Volatility

Context

• Identify and promote Product­  Based

strategic communities of practice • Provide expert  directories and collaborative tools • Reward participation in strategic communities of practice

Context

Provide expert directories 



and collaborative tools for  product development teams • Provide knowledge  repositories for product  sales teams  • Review of contents in  knowledge repositories by  experts • Reward team for sharing  of knowledge 12/16

Implications for Practice  Low Volatility Context

• Create and maintain high  Service­  Based

Cont. High Volatility Context

• Build a culture of mutual 

quality knowledge repositories support and interaction • Provide effective search capabilities for repositories

• Provide communication 

• Reward effective reuse of 

media

• Reward quality contributions  support for one­to­one  interaction via multiple  to knowledge repositories knowledge from repositories

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Conclusion High

Service based in Low volatility

Codification approach

Product based in High volatility

Product based in Low volatility Service based in High volatility

Low Low

Personalization approach

High 14/16

Authors Atreyi Kankanhalli ([email protected]) is a fellow in the Department of Information Systems at the National University of  Singapore. Fransiska Tanudidjaja is an analyst at Accenture, Singapore. Juliana Sutanto is a graduate student in the Department of Information Systems at the National University of Singapore. Bernard C.Y. Tan ([email protected]) is an associate professor  and head of the the Department of Information Systems at the  National University of Singapore. 15/16

Thanks

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