Knowledge management for Enterprise systems: Observations from Small, Small, Medium & Large Organizations

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    The paper begins with a literature review which includes two topicThe paper begins with a literature review which includes two topicareas:areas:

    (1)(1) ORGANIZATIONAL SIZEORGANIZATIONAL SIZE

    provides a broad contextual overview of characteristics of theprovides a broad contextual overview of characteristics of thesmall, medium, and large organizations, while demonstrating thesmall, medium, and large organizations, while demonstrating thepossible impact of organizational size on ES impacts.possible impact of organizational size on ES impacts.

    (2(2) KNOWLEDGE MANAGEMENT) KNOWLEDGE MANAGEMENT

    aimed at deriving the knowledge management process.

    Theaimed at deriving t

    he knowledge management process.

    Thephases of the knowledge management process are thenphases of the knowledge management process are then

    utilized in the survey instrument herein for data collectionutilized in the survey instrument herein for data collectionpurposes.purposes.

    LITERATURE REVIEWLITERATURE REVIEW

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    Paper suggests that LifecyclePaper suggests that Lifecycle--wide management of Enterprisewide management of EnterpriseSystem (ES) related knowledge is critical for ES health andSystem (ES) related knowledge is critical for ES health andlongevity.longevity.

    Paper investigates the ability of Small and Medium size organizations toPaper investigates the ability of Small and Medium size organizations to

    maintain a lifecyclemaintain a lifecycle--wide knowledge management strategy.wide knowledge management strategy. Explores the alleged differences in the knowledge managementExplores the alleged differences in the knowledge management

    practices across 27 small, medium and large organizationspractices across 27 small, medium and large organizationsthat had implemented a marketthat had implemented a market--leading ES.leading ES.

    With this primary objective of demonstrating the lifecycleWith this primary objective of demonstrating the lifecycle--widewideknowledge management requirements,knowledge management requirements,

    This study gathers data from 310 respondents representingThis study gathers data from 310 respondents representinga group of 27 small, medium and large organizations that hada group of 27 small, medium and large organizations that hadimplemented a market leading Enterprise System.implemented a market leading Enterprise System.

    REASEARCH PAPERREASEARCH PAPER

    OBJECTIVESOBJECTIVES

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    ES has emerged as possibly the most important and challengingES has emerged as possibly the most important and challengingdevelopment in the corporate use of information technology.development in the corporate use of information technology.

    Investments have increased in expectation of the improvements inInvestments have increased in expectation of the improvements inbusiness processes, management of expenditure, customer service andbusiness processes, management of expenditure, customer service andcompetitiveness.competitiveness.

    The ES market, currently estimated at $38 billion, continues to grow atThe ES market, currently estimated at $38 billion, continues to grow at

    a steady rate of 6.9% and is predicted to reach $50 billion bya steady rate of 6.9% and is predicted to reach $50 billion by2012.2012.

    Recent changes in ES marketplace, wherein the demand for EnterpriseRecent changes in ES marketplace, wherein the demand for EnterpriseSystems from large organizations has plateau, have prompted ESSystems from large organizations has plateau, have prompted ESvendors to focus on Small and Medium organizations.vendors to focus on Small and Medium organizations.

    It is pointed out that the SMEs are struggling with finding a solutionIt is pointed out that the SMEs are struggling with finding a solution

    that balances easethat balances ease--ofof--use with the industryuse with the industry--specific requirementsspecific requirementsneeded to effectively run the business .Such discussions in theneeded to effectively run the business .Such discussions in themarket place have renewed the debate over the suitability ofmarket place have renewed the debate over the suitability ofconventionally large packaged Enterprise Systems for SMEs.conventionally large packaged Enterprise Systems for SMEs.

    INTRODUCTIONINTRODUCTION

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    1.1. Despite similar knowledge creation efforts in all threeDespite similar knowledge creation efforts in all threeorganizational sizes, small organizations struggle withorganizational sizes, small organizations struggle withretaining, transferring and applying the knowledge.retaining, transferring and applying the knowledge.

    2. The overall goodness of the knowledge2. The overall goodness of the knowledgemanagement process in larger organizationsmanagement process in larger organizationsremains higher than their small and mediumremains higher than their small and mediumcounterparts.counterparts.

    RESULTSRESULTS

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    KNOWLEDGEKNOWLEDGE

    MANAGEMENT LIFECYCLEMANAGEMENT LIFECYCLE

    Data Storage Protocols

    Groupware Extranet Intranet

    Data Acquisition Identification Of

    Best Practices

    DecisionSupportSystem (DSS)

    Data MiningApplicati

    on Creation

    Storage

    Transfer

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    Knowledge StorageKnowledge Storage

    o The repository may be an

    individual or an information

    system. The individuals retained

    knowledge evolves through theirobservations, experiences and

    actions.

    o Gable et al. observed staff

    poaching and knowledge drain

    due to the ES skills-shortage

    during the latter half of the 1990s,thereby highlighting the

    importance of organizational

    knowledge retention strategies for

    lifecycle-wide ES-success.

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    Knowledge TransferKnowledge Transfero K

    nowledge transferchannels can be informal

    or formal. Examples are

    unscheduled meetings,

    informal gatherings.

    o Although informal

    knowledge transferpromotes socialization

    and could be effective in

    small organizations, it

    precludes wide

    dissemination.

    o Formal transfers ensure

    wider distribution of

    knowledge and suit highly

    context-specific knowledge.

    Formal training program is veryeffective and important with theintroduction and operation of largeand complex systems like ES.

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    KnowledgeKnowledge

    ApplicationApplicationSourceSource of competitiveof competitiveadvantage resides not inadvantage resides not inthe knowledge itself, butthe knowledge itself, but

    inin the application of thethe application of theknowledge.knowledge.

    EffectiveEffective knowledgeknowledgeapplication isapplication is important,important,particularlyparticularly ininmaintenance andmaintenance andupgrades,upgrades, and is aand is afrequentfrequent organizationalorganizationalconcernconcern closelyclosely related torelated toESES--success.success.

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    Joining Forces forJoining Forces for

    InnovationInnovation

    andand TransformationTransformationBenefits Organizational Alignment

    Reduced Transmission

    Costs

    Reduced Customer Risk

    Increased Organizational

    Intelligence

    Reduced Deployment Time

    Increased Capacity to

    Change

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    {{

    Results And AnalysisResults And Analysis

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    Enterprise System are well suited for large Organizations than SmallEnterprise System are well suited for large Organizations than Small

    and Medium Organization.and Medium Organization.

    The Overall goodness of the Knowledge management process in largeThe Overall goodness of the Knowledge management process in large

    organization remains higher than their Small and Medium Organization.organization remains higher than their Small and Medium Organization.

    Small Organization Struggle with Retaining, Transferring And ApplyingSmall Organization Struggle with Retaining, Transferring And Applying

    the Knowledge.the Knowledge.

    ConclusionConclusion