Download - Knowledge Management: A Literature Review

KNOWLEDGE MANAGEMENT:

A LITERATURE REVIEW

BY OLIVIA MORAN

[www.oliviamoran.me]

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© 2006 Olivia Moran [www.oliviamoran.me] The Human Element Of Knowledge Management

Olivia Moran is a leading training specialist who specialises in E-Learning instructional design and is a certified Moodle expert. She has been working as a trainer and course developer for 3 years developing and delivery training courses for traditional classroom, blended learning and E-learning.

Courses Olivia Moran Has Delivered:

● MOS ● ECDL ● Internet Marketing ● Social Media ● Google [Getting Irish Businesses Online] ● Web Design [FETAC Level 5] ● Adobe Dreamweaver ● Adobe Flash ● Moodle Specialties:

★Moodle [MCCC Moodle Certified Expert] ★ E Learning Tools/ Technologies [Commercial & Open Source] ★ Microsoft Office Specialist ★ Web Design & Online Content Writer ★ Adobe Dreamweaver, Flash & Photoshop

About The Author

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THE HUMAN ELEMENT OF

KNOWLEDGE MANAGEMENT

www.oliviamoran.me

Submitted for PGD/MSc in Computing and Information Systems Management [University of Ulster, October 2006]

Abstract

Is technology the key critical factor, which determines the success or failure of a Knowledge Management (KM) implementation initiative? Are there other factors, which contribute to its success or failure?

KM is concerned with sharing and managing information. People need to be seen as the primary key to its success, as they play a very crucial role. People hold substantial amounts of information and they need to be encouraged to share it. Technology is available to support knowledge sharing, but this does not mean that people will automatically give it up.

A Literature Review

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Introduction

As Drucker (1995) had predicted, knowledge has become the key economic resource and the dominant source of competitive advantage for organisations today. Covin et al (1997) shares this view by highlighting that “top management in the US Fortune 500 firms view their knowledge resource as critical for organisational success”.

Knowledge has always been regarded by organisations as an important contributing factor to their success. However, it is only in recent years that they have realised the importance of managing this knowledge. Consequently, organisations have begun searching for better management practices to achieve this. This has led to the concept of an initiative called Knowledge Management (KM).

KM is defined as, “ any process or practice of creating, acquiring, capturing, sharing and using knowledge, where it resides, to enhance learning and performance in organisations” Scarbrough and Swan (1999).

Traditionally the implementation of KM was regarded as a technical exercise. It is only in recent years that practitioners have begun to focus their attention on the softer issues i.e. the human element of KM implementation. According to Scarbrough et al (1999) “KM does not equal technology and that installing Information Technology does not equal implementing KM.

It is slowly emerging among academics and researchers that while KM is concerned with Information Technology, there are also many human elements that need to be addressed when implementing any change management initiative and according to Bresnahan et al (2002), KM is no exception to this.

While agreement is emerging that KM may be people based and not technologically based, there appears to be little research to date that supports this view. As a result, it has been decided that this review will focus on the human elements that need to be considered when implementing a KM initiative.

Common key factors arising have been examined, along with their contributions to the success of implementation. To achieve this, various KM Models have been reviewed. The success factors and obstacles affecting the process are identified. The way in which these influence the process is also considered.

Recommendations are made concerning future research and development. In order to limit the scope of this review, it will not focus on Information Technology but solely on the human aspects of KM implementation.

Culture

It has been highlighted by various researchers that the type of culture existing in an organisation is vital to the success of any KM initiative. According to Chase (1997) organisational culture “must be nurtured in order for knowledge management implementation success”.

Generally it is agreed among researchers such as Choi (2000) that “the culture in an organisation must be knowledge friendly in order for the implementation programme to be a success”. For a KM initiative to be successful it must match the organisation’s current culture. KM can only thrive where “organisational members feel free to openly communicate, share, experiment and learn without fear of criticism or punishment.”

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From close examination of these statements it is recognised that culture, which is clearly shaped by people is the foundation to the successful implementation of KM. One of the critical key success factors includes encouraging people to give up their information and to share it with others. Culture is critical to achieving this and in most cases an organisational culture shift is required. The question remaining to be asked then is, how does an organisation succeed in achieving the type of culture that they need in order to ensure the successful implementation of KM?

The answer to this question is not always easy to find. Culture can be quite difficult to define and cannot be changed over night. It can be rooted and embedded so deeply in an organisation that it is often overlooked when implementing KM. This thought is backed up by Sherriton and Stern (1997) who highlight that “managers often overlook culture when implementing such an initiative because it is so internal and embedded that it becomes automatic and unconscious”.

An international survey of the approaches adopted to KM by 500 companies revealed that 80% of respondents cited “organisational culture” as a major barrier to the successful implementation of KM Skyrne & Amidon (1997). Clearly indicated from results of this research, it is of great importance to take culture into account when implementing KM. Clearly it is substantive to argue that ignoring this issue is taking the first step on the road to failure.

Although it is observed from the research at hand, that culture is a critical element for consideration, the next step involves asking, how does an organisation achieve this knowledge friendly culture and what human elements does it need to take into account in doing so?

Leadership

Support for KM must be evident at all levels in an organisation. This includes top management right down to the bottom floor. If an initiative is supported and understood, then its implementation will run consequently smoother, speedier, more efficient and effective.

One can hardly expect that employees will be enthusiastic about taking part in a system if top management fail to show support and acknowledge its importance.

In fact, poor leadership according to Choi (2000) “has been identified as a threat to successful implementation of KM”. The author is left with little doubt that management must endeavour to provide a clear and adequate direction to all their employees if KM is going to be a success in any organisation.

Employee Involvement

Embarking on a KM initiative will undoubtedly lead to change. This change must be managed. People do not like uncertainty and that is exactly what implementing KM brings to the table. Even when change is being made for a better future, it is often resisted. This hesitation is a natural response.

It is desirable that everyone expected to participate in the process has an opportunity to contribute to the formulation of KM and comprehend its importance. It has been highlighted that “It is the knowledge workers themselves who tend to be the most appropriate people to decide how to initiate, plan, organise and co-ordinate their major work tasks” Newell et al (2002). However, some companies continue to purposely exclude their staff from giving input and simply force the program onto them and expect them to take part.

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Employee involvement is very important. This makes a mountain of sense as it is the employees themselves who hold the knowledge and in the majority of cases this knowledge is tacit e.g. gut instance and ideas. It is often not specific. Management need to find a way of converting this into specific knowledge and researchers regard employee involvement as a key factor to achieving this.

Communication

Communication is another critical key to successful KM implementation. Staff will be less hostile if the implications of KM are clearly explained to them. Specific goals and objectives need to be communicated. “People who have been through difficult, painful and not very successful change efforts often end up drawing angry conclusions. They become suspicious of the motives of those pushing for transformation” Kotter (1996). Taking this view, managers should be open and truthful about the need to implement KM.

Employees should also be made aware of how exactly this initiative is going to effect them, for example, will employees have to take on new tasks and responsibilities or will they have to undergo training. Addressing the above is an essential element towards creating an open culture within an organisation.

Training

Training is referred to as “the planned acquisition of knowledge, skills and abilities required to perform effectively in a given role or job . . . its purpose is to improve specific skills or abilities that will result in better work performances” Gunningle et al (2000).

Many studies have highlighted the importance of training employees with regard to KM implementation success. Salleh & Goh (2002) back up this statement by insisting that “if an organisation wants to become a truly knowledge based organisation then it must start with quality training”.

Training is a very powerful tool when it comes to implementing KM. If employees are trained in the skills and competencies needed to achieve the goals and objectives of the process, they are more likely to be committed to it. Training is desirable for both a business and its employees. Greco (1999) claims, “One of the key elements of successful KM is training to help employees recognise what knowledge is valuable and therefore promoting sharing of that information to gain a competitive edge”.

Conclusion

For the successful implementation of any KM initiative, it is quite clear that managing the human element is one of the key factors in determining its success. Technology does appear to be secondary to the human element in implementing KM.

From the various models and research viewed, the author observed that overall, no general consensus could be reached as to an exact and definitive list of critical key human factors, which must be addressed in order to ensure success. Never the less, some valuable key themes and common concepts do emerge.

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It was noted that while the relevance or inclusion of the success factors highlighted did vary quite a bit among academics, there appears to be a general theme surfacing throughout the research conducted. It has been noted that it is necessary to take all the above mentioned factors into account to progress movement towards a major shift in organisational culture. It is this culture that appears to be the underlying theme and foundation to the successful implementation of KM. It is agreed that the ultimate success of knowledge management depends on the ability of an organisation to create and build a supportive knowledge sharing environment to support its system in place.

This review has strived to fulfil its objective of highlighting the importance of managing the human element of KM and determining the critical key factors leading to its success, however, as no definite list can be derived from the studies conducted it is quite hard to specify the exact key ingredients to achieving this culture. Although, it has to be recognised that the factor listed throughout this review are critical in working toward the achievement of an appropriate culture to support the process and that managing the human element of KM is vital to ensuring its success.

Future development

From the author’s point of view, it is hoped that additional research will take place in this area of KM implementation.

As no definite list could be produced following this review it is felt that it would be very beneficial to look more closely at each researcher and their list of critical success factors with regard to the human element of implementing KM. It would then be beneficial to compare all these lists with a view to trying to establish in greater detail how they differ from each other and if the absence of some factors in various organisations have impacted on implementation success and if their inclusion would have lead to a more successful implementation process.

This would aid to gain a greater understanding into the key factors of implementing a successful knowledge management process focusing on the human element.

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Bibliography

Bresnahan, T.F. & Brynjolfsson, E. & Brynjolfsson, H. & Lorin, M. (2002) “Information Technology, Workplace Organization, and The Demand for Skilled Labour: Firm Level Evidence” Quarterly Journal of Economics, 117, pp. 339 - 376

Chase, R.L. (1997) “The Knowledge Based Organisation: An International Survey” Journal of Knowledge Management, 1(1), pp. 38 – 49

Choi, Y.S. (2000) “An Empirical Study of Factors Affecting Successful Implementation of Knowledge Management”, Unpublished academic dissertation, University of Nebraska.

Covin, T. & Hall, N. & Stivers, B. (1997) “Harnessing Corporate IQ”, CA Magazine, 130(3), pp. 26 – 29

Drucker, P. (1995) “Managing in Time of Great Change”, New York: Truman Talley Books

Greco, J. (1999) “Knowledge is power” Journal of Business Strategy, 20(2), pp. 18 - 22.

Gunningle, P. & Heraty, N. & Morley, M. (2002) “Human Resource Management in Ireland”, 2nd ed. Dublin: Gill & Macmillan.

Kotter, J.P. (1996) “Leading Change”, Harvard Business School Press

Marchington, M & Wilkinson, A. (2002) “People Management and Development”, 2nd ed. Chartered Institute of Personnel and Development

Newell, S. & Maxine, R. & Scarbrough, H & Swan, J. (2002) “Managing Knowledge Work”, Hamsphire: Palgrave MacMillan

Salleh, Y. & Goh, W.K. (2002) “Managing Human resources Toward Achieving Knowledge Management”, Journal of Knowledge Management, 6(5), pp. 457 - 468.

Scarborough, H. & Swann, J. & Preston, J. (1999) “Knowledge Management: A Literature Review”, London: Institute of Personnel Development Report

Sherriton, J. & Stern, J.L. (1997) “Corporate Culture, Team Culture: Removing hidden barriers to team success”, New York: AMACOM

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