A
PROJECT REPORT
ON
KNOWLEDGE MANAGEMENT
SUBMITTED IN PARTIAL FULFILLMENT OF
REQUIRMENT OF MASTER’S DEGREE IN BUSINESS
ADMINISTRATION
Webuniv Infotech Ltd.
SUBMITTED BY:
MANISH KUMAR SINGH
Roll No.: 510919914
Session: 2009-2011
SANNEXURE –A (COVER PAGE)
Webuniv Infotech Ltd
Code:-0963
Project title:
KNOWLEDGE MANGEMENT
By:
MANISH KUMAR SINGH
Roll No.: 510919914
A project report submitted in partial fulfillment of the requirement for the
degree of MASTER OF BUSINESS ADMINISTRATION of SIKKIM MANIPAL
UNIVERSITY, INDIA.
Sikkim –Manipal university of Health, Medical and technological Sciences
Distance education wing
Syndicate house
Manipal-576 104
ANNEXURE B (STUDENT DECLARATION)
We here by declare that the project report entitled KNOWLEDGE
MANAGEMENT submitted in partial fulfillment of the requirements for the
degree of masters of business Administration to Sikkim-Manipal University,
India, are our original work and not submitted for the award of any other
degree, diploma, fellowship, or any other similar title or prizes.
Reg.No: Name
510919914 MANISH KUMAR SINGH
Date:
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The project report by Manish Kumar Singh on KNOWLEDGE
MANAGEMENT is approved and is acceptable in quality and form.
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CERTIFICATE)
This is to certify that the project report entitled KNOWLEDGE MANAGEMENT
Submitted in partial fulfillment of the requirement for the degree of MASTER OF
BUSINESS ADMINISTRATION of SIKKIM MANIPAL UNIVERSITY of Health, Medical
and Technological science.
Manish Kumar Singh has worked under my supervision and that no
part of this report has been submitted for the award of any other degree,
Diploma , fellowship or other similar titles or prizes and that the work has been
published in any journal or Magazine.
Name Reg. no
Manish Kumar Singh 510919914
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ACKNOWLEDGEMENTACKNOWLEDGEMENT
With a deep sense of gratitude I express we thanks to all those who have been
instrumental in the development of the project report.
I am also grateful to Webuniv Infotech Ltd, Delhi who gave me a valuable
opportunity of involving me in real live business project. I am thankful to all the
professors whose positive attitude, guidance and faith in my ability spurred me
to perform well.
I am also indebted to all lecturers, friends and associates for their valuable
advice, stimulated suggestions and overwhelming support without which the
project would not have been a success.
S.NO CHAPTERISATION
1.
2.
3.
4.
5.
Objective of the Project
Introduction of the Topic
Introduction
Definition of Knowledge
Types of Knowledges
Religious Meaning of Knowledge
About Knowledge Management
History of Knowledge Management
Modern Methods
Needs of Knowledge Management
Key Concepts of Knowledge Management
Knowledge Management Technologies
Sources of Knowledge Management
Knowledge Management Stratagies
Knowledge Management – Emerging Perspective
Knowledge Management in Disaster Risk Reduction
Knowledge Management – Cross Disciplinary Domain
About Tata Steels
Introduction
Products
Corporate Sustainability
Policies
Management
Business Units
Corporate Governance
Aim & Vision
Journey of Knowledge Management in Tata Steels
Phases of Knowledge Management
Stakeholders in Knowledge Management
Knowledge Management Stratagies at Tata Steels
Knowledge Management Portal at Tata Steel
6.
7.
8.
9.
10.
11.
Knowledge Management Milestones
Knowledge Management at Asian Development Bank
Core Knowledge Activities
Knowledge Management Tools
Pillars of Knowledge Management
Function & Activities for Knowledge Management
Knowledge Management at NASA
Where is NASA headed ?
How will NASA measure success?
Research Methodology
Suggestion
Conclusion
Bibliography
1.KNOWLEDGE MANAGEMENT
OBJECTIVES
1. To understand the concept of Knowledge Management in India.
2. To learn the importance of Knowledge Management in Corporate World.
3. The project will identify, analyze and evaluate the various types of
Knowledge existing thereof.
4. To identify the Importance of Knowledge Management in Disaster Risk
Reduction.
5. To understand the problems and challenges faced by the Organizations in
managing the Knowledge of different types.
6. To define the Knowledge Management in different organizations.
7. To study the profile of the Tata Steel.
8. To know about the Journey of Knowledge Management in Tata Steels.
9. To know about the Knowledge Management in Asian Development Bank.
10. To understand the Concept of Knowledge Management in detail.
2. INTRODUCTION OF KNOWLEDGE MANAGEMENT
Introduction
Knowledge Management ('KM') comprises a range of practices used by
organisations to identify, create, represent, and distribute knowledge. It has
been an established discipline since 1995 [1] with a body of university courses
and both professional and academic journals dedicated to it. Many large
companies have resources dedicated to Knowledge Management, often as a
part of 'Information Technology' or 'Human Resource Management'
departments. Knowledge Management is a multi-billion dollar world wide
market.
Knowledge Management programs are typically tied to organisational
objectives such as improved performance, competitive advantage innovation,
lessons learnt transfer (for example between projects) and the general
development of collaborative practices. Knowledge Management is frequently
linked to the idea of the learning organisation although neither practice
encompasses the other. Knowledge Management may be distinguished from
Organisational Learning by a greater focus on specific knowledge assets and
the development and cultivation of the channels through which knowledge
flows
At Knowledge Praxis, Knowledge Management has been defined as a
business activity with two primary aspects:
Treating the knowledge component of business activities as an
explicit concern of business reflected in strategy, policy, and
practice at all levels of the organization.
Making a direct connection between an organization’s
intellectual assets — both explicit [recorded] and tacit [personal
know-how] — and positive business results.
In practice, knowledge management often encompasses identifying and
mapping intellectual assets within the organization, generating new knowledge
for competitive advantage within the organization, making vast amounts of
corporate information accessible, sharing of best practices, and technology that
enables all of the above — including groupware and intranets.
That covers a lot of ground. And it should, because applying knowledge to work
is integral to most business activities.
Knowledge management is hard to define precisely and simply. (The definition
also leapfrogs the task of defining "knowledge" itself. We’ll get to that later.)
That’s not surprising. How would a nurse or doctor define "health care"
succinctly? How would a CEO describe "management"? How would a CFO
describe "compensation"? Each of those domains is complex, with many sub-
areas of specialization. Nevertheless, we know "health care" and
"management" when we see them, and we understand the major goals and
activities of those domains.
What is “KNOWLEDGE ?”
In simplest terms, knowledge is the ability of an actor to respond to a body of
facts and principles accumulated over a period of time
One way to look at knowledge is as the apogee of the following continuum –
data information knowledge
Data=1 unit of fact; information=aggregation of data;
knowledge=potential for action on information
Data and information have intrinsic properties, the quality of knowledge
depends on the properties of the agent
Aren’t we managing knowledge already? Well, no. In fact, most of the time
we’re making a really ugly mess of managing information. In practice, the
terms information and knowledge are often used interchangeably by business
writers.
Let’s choose a simple working definition and get on with it:
Knowledge has two basic definitions of interest. The first pertains to a
defined body of information. Depending on the definition, the body of
information might consist of facts, opinions, ideas, theories, principles,
and models (or other frameworks). Clearly, other categories are possible,
too. Subject matter (e.g., chemistry, mathematics, etc.) is just one
possibility.
Knowledge also refers to a person’s state of being with respect to some
body of information. These states include ignorance, awareness,
familiarity, understanding, facility, and so on.
There are many thoughtful and thought-provoking definitions of "knowledge" —
including the important distinctions Gene Bellinger et al. make in "Data,
Information, Knowledge, and Wisdom". Nevertheless, Nickols provides a good,
sensible, functional definition, and it is sufficient for our purposes.
Nickols’ two kinds of knowledge parallel Michael Polanyi’s often-quoted
distinction between explicit knowledge (sometimes referred to as formal
knowledge), which can be articulated in language and transmitted among
individuals, and tacit knowledge (also, informal knowledge), personal
knowledge rooted in individual experience and involving personal belief,
perspective, and values. (Polanyi, Michael. The Tacit Dimension. London:
Routledge & Kegan Paul. See also Karl E. Sveiby’s online description, "Tacit
Knowledge."
In traditional perceptions of the role of knowledge in business organizations,
tacit knowledge is often viewed as the real key to getting things done and
creating new value. Not explicit knowledge. Thus we often encounter an
emphasis on the "learning organization" and other approaches that stress
internalization of information (through experience and action) and generation
of new knowledge through managed interaction.
In the opinion of the editors of Knowledge Praxis, quibbles about fine
distinctions in the meaning of knowledge are just not very important. (See Rant
#1: Thinking objectively about subjective knowing) It doesn’t matter whether a
written procedure or a subject matter expert provides a solution to a particular
problem, as long as a positive result is achieved. However, observing how
knowledge is acquired and how we can apply knowledge — whether tacit or
explicit — in order to achieve a positive result that meets business
requirements … that’s a different and very important issue.
Knowledge is defined (Oxford English Dictionary) variously as (i) expertise,
and skills acquired by a person through experience or education; the
theoretical or practical understanding of a subject, (ii) what is known in a
particular field or in total; facts and information or (iii) awareness or familiarity
gained by experience of a fact or situation. Philosophical debates in general
start with Plato's formulation of knowledge as "justified true belief". There is
however no single agreed definition of knowledge presently, nor any prospect
of one, and there remain numerous competing theories.
Knowledge acquisition involves complex cognitive processes: perception,
learning, communication, association and reasoning. The term knowledge is
also used to mean the confident understanding of a subject with the ability to
use it for a specific purpose if appropriate.
DEFINING KNOWLEDGE
“We suppose ourselves to possess unqualified scientific knowledge of a
thing, as opposed to knowing it in the accidental way in which the
sophist knows, when we think that we know the cause on which the fact
depends, as the cause of that fact and of no other, and, further, that the
fact could not be other than it is. Now that scientific knowing is
something of this sort is evident — witness both those who falsely claim
it and those who actually possess it, since the former merely imagine
themselves to be, while the latter are also actually, in the condition
described. Consequently the proper object of unqualified scientific
knowledge is something which cannot be other than it is. ”
The definition of knowledge is a matter of on-going debate among philosophers
in the field of epistemology. The classical definition, described but not
ultimately endorsed by, Plato[1], has it that in order for there to be knowledge at
least three criteria must be fulfilled; that in order to count as knowledge, a
statement must be justified, true, and believed. Some claim that these
conditions are not sufficient, as Gettier case examples allegedly demonstrate.
There are a number of alternatives proposed, including Robert Nozick's
arguments for a requirement that knowledge 'tracks the truth' and Simon
Blackburn's additional requirement that we do not want to say that those who
meet any of these conditions 'through a defect, flaw, or failure' have
knowledge. Richard Kirkham suggests that our definition of knowledge requires
that the believer's evidence is such that it logically necessitates the truth of the
belief.
In contrast to this approach, Wittgenstein observed, following Moore's paradox,
that one can say "He believes it, but it isn't so", but not "He knows it, but it isn't
so". [2] He goes on to argue that these do not correspond to distinct mental
states, but rather to distinct ways of talking about conviction. What is different
here is not the mental state of the speaker, but the activity in which they are
engaged. For example, on this account, to know that the kettle is boiling is not
to be in a particular state of mind, but to perform a particular task with the
statement that the kettle is boiling. Wittgenstein sought to bypass the difficulty
of definition by looking to the way "knowledge" is used in natural languages. He
saw knowledge as a case of a family resemblance.
RELIABLE KNOWLEDGE
In An Introduction to Logic and Scientific Method (1934), Morris R. Cohen and
Ernest Nagel reviewed the pursuit of truth as determined by logical
considerations. They reviewed ways of eliminating doubt and arriving at stable
beliefs or reliable knowledge, such as
The method of authority
The method of intuition
The methods of experimental inquiry:
Types of invariant relations
The experimental method in general
The method of agreement
The method of difference
The joint method of agreement and difference
The method of concomitant variation
The doctrine of the uniformity of nature
The plurality of causes
Their final conclusion was, "Scientific method we declare as the most assured
technique man has yet devised for controlling the flux of things and
establishing stable beliefs."
In an essay entitled "Inductive Method and Scientific Discovery," Marcello Pera
said, "In the first place, the scientific method is a procedure, a general strategy
that indicates an ordered sequence of moves (or steps) which the scientist has
to make (or go through) in order to reach the goal of his research." (In On
Scientific Discovery, edited by Grmek, Cohen, and Cimino [1977], published in
the Boston Studies in the Philosophy of Science Series.) The scientific method is
not a method directly applied, but rather a guide to the mental activity stages
of originating, refining, extending, and applying knowledge. It is subject neutral
and flexible in use; it is thus suitable for all domains.
Statements about truth must be viewed skeptically. Rather than state
something as "true," the following phrase should be used: "On the evidence
available today the balance of probability favors the view that..."
The literature contains hundreds of formulas for the scientific method. They are
basically the same but differ in length and terminology. In an article
"Suggestions for Teaching the Scientific Method" published in the March 1961
issue of American Biology Teacher, Dr. Kenneth B.M. Crooks suggested this
one:
Curiosity
Is there a problem?
Get the evidence
Attributes needed
Weigh all evidence
Make the educated guess (hypothesis)
Challenge the hypothesis
Get a conclusion
Suspend judgment
SDeductive reasoning
COMMUNICATING KNOWLEDGE
Symbolic representations can be used to indicate meaning and can be thought
of as a dynamic process. Hence the transfer of the symbolic representation can
be viewed as one ascription process whereby knowledge can be transferred.
Other forms of communication include imitation, narrative exchange along with
a range of other methods. There is no complete theory of knowledge transfer or
communication.
While many would agree that one of the most universal and significant tools for
the transfer of knowledge would be the different systems of writing argument
over the usefulness of the written word exists however, with some scholars
skeptical of its impact on societies. In his novel “Technopoly” Neil Postman
demonstrates the argument against the use of writing through an excerpt from
Plato’s work “Phaedrus” (Postman, Neil (1992) Technopoly, Vintage, New York,
pp 73). In this excerpt the scholar Socrates recounts the story of Thamus, the
Egyptian king and Theuth the inventor of the written word. In this story Theuth
presents his new invention “writing” to King Thamus, telling Thamus that his
new invention “will improve both the wisdom and memory of the Egyptians”
(Postman, Neil (1992) Technopoly, Vintage, New York ,pp 74). King Thamus is
skeptical of this new invention and rejects it as a tool of recollection rather than
retained knowledge. He argues that the written word will infect the Egyptian
people with fake knowledge as they will be able to attain facts and stories form
an external source and will no longer be forced to mentally retain large
quantities of knowledge themselves
Andrew Robinson also highlights, in his work “The Origins of Writing”, the
possibility for writing to be used to spread false information and there for the
ability of the written word to decrease social knowledge (Robinson, Andrew
(2003) “The Origins of Writing” in Crowley and Heyer (eds) Communication in
History: Technology, Culture, Society, Allyb and Bacon, Boston pp 34). People
are often internalizing new information which they perceive to be knowledge
but are in reality fill their minds with false knowledge.
SITUATED KNOWLEDGE
Situated knowledge is knowledge specific to a particular situation. Imagine two
very similar breeds of mushroom, which grow on either side of a mountain, one
nutritious, one poisonous. Relying on knowledge from one side of an ecological
boundary, after crossing to the other, may lead to starving rather than eating
perfectly healthy food near at hand, or to poisoning oneself by mistake.
Some methods of generating knowledge, such as trial and error, or learning
from experience, tend to create highly situational knowledge. One of the main
benefits of the scientific method is that the theories it generates are much less
situational than knowledge gained by other methods. Situational knowledge is
often embedded in language, culture, or tradition.
Knowledge generated through experience is called knowledge "a posteriori",
meaning afterwards. The pure existence of a term like "a posteriori" means this
also has a counterpart. In this case that is knowledge "a priori", meaning
before. The knowledge prior to any experience means that there are certain
"assumptions" that one takes for granted. For example if one is being told
about a chair it is clear to him that the chair is in space, that it is 3D. This
knowledge is not knowledge that one can "forget", even someone suffering
from amnesia experiences the world in 3D. See also: A priori and a posteriori.
PARTIAL KNOWLEDGE
One discipline of epistemology focuses on partial knowledge. In most realistic
cases, it is not possible to have an exhaustive understanding of an information
domain, so then we have to live with the fact that our knowledge is always not
complete, that is, partial. Most real problems have to be solved by taking
advantage of a partial understanding of the problem context and problem data.
That is very different from the typical simple math problems that we solve at
school, where all data are given and we have a perfect understanding of
formulas necessary to solve them.
RELIGIOUS MEANING OF KNOWLEDGE
In many expressions of Christianity, such as Catholicism and Anglicanism,
knowledge is one of the seven gifts of the Holy Spirit.
In Islam, the prophet Muhammad has described himself and his vicergeant Ali
as the sources of knowledge: "I am the City of Knowledge and Ali is its Gate".
Hindu Scriptures present two kinds of knowledge, Paroksha Gnyana and
Aporoksha Gnyana. Paroksha Gnyana is secondhand knowledge: knowledge
obtained from books, hearsay, etc. Aporoksha Gnyana is the knowledge borne
of direct experience, i.e., knowledge that one discovers for oneself.
The Old Testament's Tree of Knowledge of Good and Evil contained the
knowledge that separated Man from God.
In Gnosticism divine knowledge or gnosis is hoped to be attained and escape
from the demiurge's physical world. And in Thelema knowledge and
conversation with one's Holy Guardian Angel is the purpose of life, which is
similar to Gnosis or enlightenment in other mystery religions
KNOWLEDGE ASSETS
There are two types of knowledge assets –
Explicit or formal assets like copyrights, patents, templates, publications,
reports, archives, etc.
Tacit or informal assets that are rooted in human experience and include
personal belief, perspective, and values
3. A BRIEF HISTORY OF KNOWLEDGE MANAGEMENT
An overarching theory of knowledge management has yet to emerge, perhaps
because the practices associated with managing knowledge have their roots in
a variety of disciplines and domains.
A number of management theorists have contributed to the evolution of
knowledge management, among them such notables as Peter Drucker, Paul
Strassmann, and Peter Senge in the United States. Drucker and Strassmann
have stressed the growing importance of information and explicit knowledge
as organizational resources, and Senge has focused on the "learning
organization," a cultural dimension of managing knowledge. Chris Argyris,
Christoper Bartlett, and Dorothy Leonard-Barton of Harvard Business School
have examined various facets of managing knowledge. In fact, Leonard-
Barton’s well-known case study of Chaparral Steel, a company which has had
an effective knowledge management strategy in place since the mid-1970s,
inspired the research documented in her Wellsprings of Knowledge — Building
and Sustaining Sources of Innovation (Harvard Business School Press, 1995).
Everett Rogers’ work at Stanford in the diffusion of innovation and Thomas
Allen’s research at MIT in information and technology transfer, both of which
date from the late 1970s, have also contributed to our understanding of how
knowledge is produced, used, and diffused within organizations. By the mid-
1980s, the importance of knowledge (and its expression in professional
competence) as a competitive asset was apparent, even though classical
economic theory ignores (the value of) knowledge as an asset and most
organizations still lack strategies and methods for managing it.
Recognition of the growing importance of organizational knowledge was
accompanied by concern over how to deal with exponential increases in the
amount of available knowledge and increasingly complex products and
processes. The computer technology that contributed so heavily to
superabundance of information started to become part of the solution, in a
variety of domains. Doug Engelbart’s Augment (for "augmenting human
intelligence"), which was introduced in 1978, was an early
hypertext/groupware application capable of interfacing with other applications
and systems. Rob Acksyn’s and Don McCracken’s Knowledge Management
System (KMS), an open distributed hypermedia tool, is another notable
example and one that predates the World Wide Web by a decade.
The 1980s also saw the development of systems for managing knowledge that
relied on work done in artificial intelligence and expert systems, giving us such
concepts as "knowledge acquisition," "knowledge engineering," "knowledge-
base systems, and computer-based ontologies.
The phrase "knowledge management" entered the lexicon in earnest. To
provide a technological base for managing knowledge, a consortium of U.S.
companies started the Initiative for Managing Knowledge Assets in 1989.
Knowledge management-related articles began appearing in journals like
Sloan Management Review, Organizational Science, Harvard Business Review,
and others, and the first books on organizational learning and knowledge
management were published (for example, Senge’s The Fifth Discipline and
Sakaiya’s The Knowledge Value Revolution).
By 1990, a number of management consulting firms had begun in-house
knowledge management programs, and several well known U.S., European,
and Japanese firms had instituted focused knowledge management programs.
Knowledge management was introduced in the popular press in 1991, when
Tom Stewart published "Brainpower" in Fortune magazine. Perhaps the most
widely read work to date is Ikujiro Nonaka’s and Hirotaka Takeuchi’s The
Knowledge-Creating Company: How Japanese Companies Create the Dynamics
of Innovation (1995).
By the mid-1990s, knowledge management initiatives were flourishing, thanks
in part to the Internet. The International Knowledge Management Network
(IKMN), begun in Europe in 1989, went online in 1994 and was soon joined by
the U.S.-based Knowledge Management Forum and other KM-related groups
and publications. The number of knowledge management conferences and
seminars is growing as organizations focus on managing and leveraging explicit
and tacit knowledge resources to achieve competitive advantage. In 1994 the
IKMN published the results of a knowledge management survey conducted
among European firms, and the European Community began offering funding
for KM-related projects through the ESPRIT program in 1995.
Knowledge management, which appears to offer a highly desirable alternative
to failed TQM and business process re-engineering initiatives, has become big
business for such major international consulting firms as Ernst & Young, Arthur
Andersen, and Booz-Allen & Hamilton. In addition, a number of professional
organizations interested in such related areas as benchmarking, best
practices, risk management, and change management are exploring the
relationship of knowledge management to their areas of special expertise (for
example, the APQC [American Productivity and Quality Council] and ASIS
[American Society for Information Science]).
KNOWLEDGE MANAGEMENT
There is no universal definition for knowledge management
At its broadest, KM is the ‘process through which organizations generate
value from intellectual and knowledge based assets’
Knowledge management (KM) refers to a range of practices used by
organizations to identify, create, represent, and distribute knowledge for reuse
and learning across the organization. Knowledge management applications/
knowledge management tools are used to tie organizational objectives to the
achievement of specific business outcomes such as improved performance,
competitive advantage, and higher levels of innovation.
Definitions used by PETER DRUCKER
“Information is data endowed with relevance and purpose. Converting
data into information thus requires knowledge.”
“In the information–based organization, the knowledge will be primarily at
the bottom, in the minds of the specialists who do different work and
direct themselves”
“Managing Knowledge Means Managing Oneself”
“For the first time, they [people] have to manage themselves”
“The historic shift to self-management offers organizations four ways to
best develop and motivate knowledge workers:
Know people’s strengths
Place them where they can make the greatest contributions
Treat them as associates
Expose them to challenges”
“Knowledge workers don’t believe they are paid to work 9 to 5; they
believe they’re paid to be effective.”
“Organizations that understand this– and strip away everything that gets
in their knowledge worker’s way – will be able to attract, hold, and
motivate the best performers.”
S“This will be the single biggest factor for competitive advantage in the
next 25 years.”
“Management Legend: Trust Never Goes Out of Style”
Delphi Group’s Collaborative Commerce Summit
Drucker delivered an opening speech on the topics of business processes
and the role of technology in the modern company.
Discussed with John Archer, senior architect for SilverStream Software
Inc. about the role of technology in management of strategic business
processes
“Trust is a central issue in making the most of organization knowledge”
“The workers shouldn’t be managed so much as entrusted to do the most
with their knowledge”
“You can't manage knowledge. …Knowledge is between two ears, and
only between two ears.”
“When employees leave a company, their knowledge goes with them, no
matter how much they've shared.”
NEED FOR KNOWLEDGE MANAGEMENT
Some of the most common reasons that makes having a knowledge
management solution imperative:
Volumes of unorganized unsearchable knowledge.
Knowledge transfer is time consuming.
Email overload due to knowledge transfer by email.
Secure sharing of sensitive knowledge among limited people
Loss of knowledge when people leave or hardware devices fail.
Ongoing security and backup of knowledge.
KNOWLEDGE MANAGEMENT: CONTEXT
There is a broad range of thought on Knowledge Management with no
unanimous definition. The approaches vary by author and school. Knowledge
Management may be viewed from each of the following perspectives:
Techno-centric: A focus on technology, ideally those that enhance
knowledge sharing/growth.
Organisational: How does the organisation need to be designed to
facilitate knowledge processes? Which organisations work best with what
processes?
Ecological: Seeing the interaction of people, identity, knowledge and
environmental factors as a complex adaptive system.
In addition, as the discipline is maturing, there is an increasing presence of
academic debates within epistemology emerging in both the theory and
practice of knowledge management. British and Australian standards bodies
both have produced documents that attempt to bound and scope the field, but
these have received limited acceptance or awareness.
Knowledge Management, has always existed in one form or another. Examples
include on-the-job peer discussions, formal apprenticeship, discussion forums,
corporate libraries, professional training and mentoring programs. However,
with computers becoming more widespread in the second half of the 20th
century, specific adaptations of technology such as knowledge bases, expert
systems, and knowledge repositories have been introduced to further enhance
the process.
The emergence of Knowledge Management has also generated new roles and
responsibilities in organisations, an early example of which was the Chief
Knowledge Officer. In recent years, Personal knowledge management (PKM)
practice has arisen in which individuals apply KM practice to themselves, their
roles and their career development.
Schools of thought in Knowledge Management
There are a variety of different schools of thought in Knowledge
Management. These include:
the Intellectual capital movement with Leif Edvinsson and Tom Stewart
a focus on collaboration including concepts of Community of practice and
a range of collaborative technologies. Much of this work originates from
research by Etienne Wenger and the Lotus Institute (now absorbed into
IBM Research). Other prominent figures include Saint-Onge, McDermott
and others.
the use of social network analysis to understand interactions between
people within organisations, both qualitatively and quantitatively,
associated with Krebs, Stephen Borgatti, Cross and others.
a body of work derivative of Information theory associated with Larry
Prusak and Tom Davenport and linked to the conversion of internalized
tacit knowledge into explicit codified knowledge (SECI) allowing
successful knowledge sharing as highlighted by Ikujiro Nonaka and
Hirotaka Takeuchi. This is probably the dominant school of thought, as
represented by publications and includes later developments by authors
such as Probst, Von Krough & Malhotra amongst many others.
Management of tangibles & intangibles, living networks, co-creation and
whole systems through value networks and value network analysis
(Allee). This work also includes linkages and connections to theory
associated with the Learning Organization
Complexity approaches associated with David Snowden (see Cynefin)
Max Boisot, J C Spender and others. Variations of this include the use of
narrative (Snowden, David M. Boje and others) as a form of fragmented
knowledge
KEY CONCEPTS IN KNOWLEDGE MANAGEMENT
Dimensions of knowledge
A key distinction made by the majority of knowledge management practitioners
is Nonaka's reformulation of Polanyi's distinction between tacit and explicit
knowledge. The former is often subconscious, internalized, and the individual
may or may not be aware of what he or she knows and how he or she
accomplishes particular results. At the opposite end of the spectrum is
conscious or explicit knowledge -- knowledge that the individual holds explicitly
and consciously in mental focus, and may communicate to others. In the
popular form of the distinction, tacit knowledge is what is in our heads, and
explicit knowledge is what we have codified.
Nonaka and Takeuchi (1995) [2] argued that a successful KM program needs, on
the one hand, to convert internalized tacit knowledge into explicit codified
knowledge in order to share it, but, on the other hand, it also must permit
individuals and groups to internalize and make personally meaningful codified
knowledge they have retrieved from the KM system.
The focus upon codification and management of explicit knowledge has allowed
knowledge management practitioners to appropriate prior work in information
management, leading to the frequent accusation that knowledge management
is simply a repackaged form of information management. [3]
Critics have argued that Nonaka and Takeuchi's distinction between tacit and
explicit knowledge is oversimplified and that the notion of explicit knowledge is
self-contradictory. Specifically, for knowledge to be made explicit, it must be
translated into information (i.e., symbols outside of our heads).
Another common framework for categorizing the dimensions of knowledge
discriminates between embedded knowledge as knowledge which has been
incorporated into an artifact of some type (for example an information system
may have knowledge embedded into its design); and embodied knowledge as
representing knowledge as a learned capability of the body’s nervous,
chemical, and sensory systems. These two dimensions, while frequently used,
are not universally accepted.
It is also common to distinguish between the creation of "new knowledge" (i.e.,
innovation) vs. the transfer of "established knowledge" within a group,
organization, or community. Collaborative environments such as communities
of practice or the use of social computing tools can be used for both creation
and transfer.
Knowledge access stages
Knowledge may be accessed at three stages: before, during, or after
knowledge-related activities. Some people would argue that there is a life cycle
to knowledge use. Starting with capture (although that word is itself
contentious) or creation, moving on to use and reuse with the ultimate goal of
enriching an organisation's capability. In counter to this many would state that
such a life cycle view is too linear in nature and reflects an information centric
view.
For example, individuals undertaking a new project for an organization might
access information resources to identify lessons learned for similar projects ,
access relevant information again during the project implementation to seek
advice on issues encountered, and access relevant information afterwards for
advice on after-project actions and review activities. Knowledge management
practitioners offer systems, repositories, and corporate processes to encourage
and formalize these activities with varying degrees of success.
Similarly, knowledge may be accessed before the project implementation, for
example as the project team learns lessons during the initial project analysis.
Similarly, lessons learned during the project operation may be recorded, and
after-action reviews may lead to further insights and lessons being recorded for
future access. Note: In this context recording knowledge relates only to those
aspects of knowledge which can be codified as text, or drawings.
Different organizations have tried various knowledge capture incentives,
including making content submission mandatory and incorporating rewards into
performance measurement plans. There is considerable controversy over
whether incentives work or not in this field and no firm consensus has
emerged.
Adhoc knowledge access
One alternative strategy to encoding knowledge into and retrieving knowledge
from a knowledge repository such as a database, is for individuals to make
knowledge requests of subject matter experts on an ad hoc basis. A key benefit
claimed for this strategy is that the response from the expert individual is rich
in content and contextualized to the particular problem being addressed and
personalized to the particular person or people addressing it. The downside of
this strategy is that it is tied to the availability and memory recall skill of
specific individuals in the organization. It does not capture their insights and
experience for future use should they leave or become unavailable, and also
does not help in the case when particular technical issues or problems
previously faced change with time to the point where a new synthesis is
required, the experts' memories being out of date. The emergence of narrative
approaches to knowledge management attempts to provide a bridge between
the formal and the ad hoc, by allowing knowledge to be held in the form of
stories.
DRIVERS OF KNOWLEDGE MANAGEMENT
There are a number of claims as to the "drivers", or motivations, leading
organizations to undertake a knowledge management program. Popular
business objectives include gaining a competitive advantage within the
industry and increasing organizational effectiveness with improved or faster
learning and new knowledge creation. As knowledge management programs
can often lead to greater innovation, better customer experiences, consistency
in good practices, knowledge access across a global organization, and other
organizational benefits, many knowledge management programs will usually
set some of these as end objectives as well. The government sector represents
a highly active area, for example DiploFoundation Conference on Knowledge
and Diplomacy (1999) outlines the range of specific KM tools and techniques
applied in diplomacy.
Some typical considerations driving a Knowledge Management program
include:
Making available increased knowledge content in the development and
provision of products and services
Achieving shorter new product development cycles
Facilitating and managing organizational innovation and learning
Leveraging the expertise of people across the organization
Increasing network connectivity between employees and external groups
with the objective of improving information flow
Managing the proliferation of data and information in complex business
environments and allowing employees to access appropriate information
sources
Managing intellectual capital and intellectual assets in the workforce
(such as the expertise and know-how possessed by key individuals) as
individuals retire and new workers are hired
KNOWLEDGE MANAGEMENT TECHNOLOGIES
The early Knowledge Management technologies were online corporate yellow
pages (expertise locators) and document management systems. Combined
with the early development of collaborative technologies (in particular Lotus
Notes), KM technologies expanded in the mid 1990s. Subsequently it followed
developments in technology in use in Information Management. In particular
the use of semantic technologies for search and retrieval and the development
of knowledge management specific tools such as those for communities of
practice.
More recently social computing tools (such as blogs and wikis) have developed
to provide a more unstructured approach to knowledge transfer and knowledge
creation through the development of new forms of community. However, such
tools for the most part are still based on text, and thus represent explicit
knowledge transfer. These tools face challenges distilling meaningful re-usable
knowledge from their content.
Knowledge mapping is commonly used to cover functions such as a
knowledge audit (discovering what knowledge exists at the start of a
knowledge management project), a network survey (Mapping the relationships
between communities involved in knowledge creation and sharing) and
creating a map of the relationship of knowledge assets to core business
process. Although frequently carried out at the start of a Knowledge
Management programme, it is not a necessary pre-condition or confined to
start up.
KNOWLEDGE MANAGEMENT ENABLERS
Historically, there have been a number of technologies 'enabling' or facilitating
knowledge management practices in the organization, including expert
systems, knowledge bases, various types of Information Management, software
help desk tools, document management systems and other IT systems
supporting organizational knowledge flows.
The advent of the Internet brought with it further enabling technologies,
including e-learning, web conferencing, collaborative software, content
management systems, corporate 'Yellow pages' directories, email lists, wikis,
blogs, and other technologies. Each enabling technology can expand the level
of inquiry available to an employee, while providing a platform to achieve
specific goals or actions. The practice of KM will continue to evolve with the
growth of collaboration applications, visual tools and other technologies. Since
its adoption by the mainstream population and business community, the
Internet has led to an increase in creative collaboration, learning and research,
e-commerce, and instant information.
Organisational enablers for knowledge management programs include
Communities of Practice, Networks of Practice, before-, after- and during-
action reviews (see After Action Review), peer assists, information taxonomies,
coaching and mentoring, and so on.
KM: ROLES AND ORGANISATIONAL STRUCTRUE
Knowledge management activities may be centralized in a Knowledge
Management Office, or responsibility for knowledge management may be
located in existing departmental functions, such as the Human Resource (to
manage intellectual capital) or IT departments (for content management, social
computing etc.). Different departments and functions may have a knowledge
management function and those functions may not be connected other than
informally.
KM: REASONS OF FAILURE OR SUCCESS
No established evidence attests to the reasons behind failure and success of
Knowledge Management initiatives in organizations. Some argue that a failure
to sustain investment is one factor, but it can equally be argued that if
knowledge management delivered on its promises investment would continue.
As with many management initiatives, particularly those with a heavy IT basis
(as is the case in Knowledge Management), frequent questions are raised about
the level of consultation necessary before a program is started; these questions
are linked to issues of cultural change and a willingness to share and
collaborate with colleagues. There is no evidence that Knowledge Management,
in all these respects, is any different from other management initiatives.
THE VALUE OF KNOWLEDGE MANAGEMENT
It is important to manage knowledge assets because –
Organizations compete increasingly on the base of knowledge (the
only sustainable competitive advantage, according to some)
Most of our work is information based (and often immersed in a
computing environment)
Our products, services, and environment are more complex than
ever before
Workforces are increasingly unstable leading to escalating
demands for knowledge replacement/acquisition
DEVELOPMENT OF KNOWLEDGE MANAGEMENT
Knowledge began to be viewed as a competitive asset in the 80s, around
the same time that information explosion started becoming an issue
The trend was fueled by the development of IT systems which made it
simple to store, display, and archive classified, indexed information
The process received a fillip after Drucker (and others) stressed the role
of knowledge as an organization resource, and Senge popularized
‘learning organizations’
Seeds of KM may also be found in business practices like TQM and BPR to
which KM is often compared
SOURCES OF KNOWLEDGE MANAGEMENT
Today, KM draws from a wide range of disciplines/practices –
Cognitive science
Groupware, AI, KBMS
Library and information science
Document management
Decision support systems
Technical writing
Organizational science
Many more
KM today (catch-all?)
There is a great risk today of KM over-reaching itself
Everything from organizational learning to business and
competitive intelligence has become fair game for KM
There are KM components to each of these but these spaces are
however best left to specialized practitioners
SCOPE OF KNOWLEDGE MANAGEMENT
Today, most companies define the scope of KM as –
KM mechanics (tools for information management)
KM culture (knowledge as a social activity)
KM systems (knowledge sharing as part of an organization’s DNA)
KM MECHANICS
Information management may well be considered the first wave of KM
(and is still often considered synonymous with KM)
Information management tries to make the right information available to
the right person at the right time though a variety of database driven
information applications
Information management tools try to capture the human experience of
knowledge through the collecting, classifying, disseminating, searching,
indexing, and archival power of technology
LIMITATIONS OF KNOWLEDGE MANAGEMENT
Reliance on technology produces consensual knowledge (over-reliance on
best practices for instance) and may stifle innovation
The notion that ‘right information’ is predictable and flows from historical
data may be flawed
Making information available in not enough; getting people to use it is
more critical
KNOWLEDGE MANAGEMENT CULTURE
All knowledge has a social and evolutionary facet
There is a crying need to continuously subject knowledge to re-
examination and modification
It is important to keep the human and social elements of organization
involved in all stored knowledge
KM culture through CoP
Communities of practice (or thematic groups) are a popular way of
injecting KM culture in an organization
CoPs are fora where members share information and experiences,
develop new insights, assimilate and transform knowledge
CoPs emphasize shared interests and work across locations and time
zones (often using technology developed during KM’s first wave)
KNOWLEDGE MANAGEMENT SYSTEMS
KM succeeds fully when it is woven into the fabric of an organization and
becomes intrinsic to an organization’s processes
Common practices include –
Formal KM leadership
Formal rewards and recognition for KM oriented work
Tools and mechanisms that encourage knowledge sharing
Development of knowledge bases
Intellectual asset management
Metrics to evaluate KM initiatives
KNOWLEDGE MANAGEMENT SYSTEMS TODAY
In many ways, the systemic approach is the logical culmination of KM
mechanics and KM culture
Many KM systems are however not yet robust enough –
KM metrics (surveys, benchmarking, cost/benefit studies, service
evaluation) are still an inexact science
Knowledge workers are often KM resistant (KM is frequently
considered an oxymoron)
KNOWLEDGE MANAGEMENT – REPORT CARD
Clearly, the jury is still out on KM though there is increased acceptance
that KM can be central to organizational success
The key achievements of KM have been in emphasizing that –
There is a tacit dimension of knowledge creation which must be
recognized and valued
Knowledge is subjective and interpretative and distinct from raw
data or information
Meaning is central to knowledge creation
Knowledge is social and interactive in nature
Technology is an inalienable aspect of KM
Knowledge management strategies that create value
there is no one-size-fits-all way to effectively tap a firm's intellectual
capital. To create value, companies must focus on how knowledge is
used to build critical capabilities.
A firm that had invested millions of dollars in a state-of-the-art intranet
intended to improve knowledge sharing got some bad news: Employees were
using it most often to retrieve the daily menu from the company cafeteria. The
system was barely used in day-to-day business activities.
Few executives would it. There are numerous examples of knowledge-
management programs intended to Institute for Strategic argue with the
premise that knowledge management is critical—but few know precisely what
to do about Change have been exploring the roots of the problem and have
developed a method improve innovation, make effective knowledge
management a reality in their organizations.
Much of the problem with knowledge management today lies in the way the
subject has been approached by vendors and the press responsiveness and
adaptability that fall short of expectations. Researchers at the Accenture to
help executives. Knowledge management is still a relatively young field, with
new concepts emerging constantly. Often such as British Petroleum and
Skandia. And most knowledge-management initiatives have focused almost
entirely on changes in tools and technologies, such as intranets and Lotus
Notes.
These approaches have little , it is portrayed simplistically; discussions typically
revolve around blanket principles that are intended to work across the
organization. For example, companies are urged to emulate knowledge-
management leaders relevance for executives contending with the day-to-day
reality of running a company. Knowledge management is complex and
multifaceted; it encompasses everything the organization does to make
knowledge available to the business, such as embedding key information in
systems and processes, applying incentives to motivate employees and forging
alliances to infuse the business with new knowledge. Effective knowledge
management requires a combination of many organizational elements—
technology, human resource practices, organizational structure and culture—in
order to ensure that the right knowledge is brought to bear at the right time.
Many companies have implemented sophisticated intranets, common
repositories and other systems, largely ignoring the complex cultural issues
that influence the way people behave around knowledge. By and large, those
companies have seen little improvement in their ability to manage knowledge.
Too often, companies implement state-of-the-art technology and then discover
that culture and behavior are slow to change.
In short, simplistic solutions and "one-size-fits-all" approaches leave executives
with little in the way of practical advice about how to transform the entire
knowledge-management system. What's more, this fuzziness makes it difficult
for executives to see a clear link between their knowledge-management
investments and business value.
To help executives, the Institute has developed a framework that associates
specific knowledge-management strategies with specific challenges that
companies face. This Knowledge Management Framework is based on the
premise that the focus should be placed on the way knowledge is used to build
the critical capabilities a company needs in order to succeed—on the core
processes and activities that enable it to compete. Enhancing a bank's know-
how in evaluating credit risk, for example, should result in reduced loan losses;
improving a consumer products company's understanding of customer
preferences should increase its percentage of successful new products.
The framework begins by assessing and categorizing the way work is done in
the core process. Work can be evaluated along two dimensions. First is the
level of interdependence involved—that is, the degree to which individuals and
organizations need to collaborate and interact. Second is the complexity of
work involved—the degree to which employees need to apply their judgment
and interpret a variety of information. Using these two factors, the Institute has
identified four distinct categories of work, or "work models":
Transaction model, in which there is a low degree of both
interdependence and complexity. Work is typically routine, highly reliant
on formal rules, procedures and training, and depends on a workforce that
exercises little discretion.
Integration model, in which there is a high degree of interdependence
and a low degree of complexity. Work is systematic and repeatable, relies
on formal processes, methodologies and standards, and depends on tight
integration across functional boundaries.
Expert model, in which there is low interdependence and high
complexity. Work requires judgment and is dependent on "star
performers."
Collaboration model, in which there is a high degree of both
interdependence and complexity. Work involves improvisation and
learning by doing, and relies on deep expertise across functions and the
use of flexible teams.
Key to
Understanding
In general, a given core process can be mapped to one of these four categories.
For example, supply-chain management and procurement tend to fit into the
integration model; the work in these processes is often routine, and activities
generally span multiple functions and organizations. In comparison, marketing
and financial management tend to be expert model work, requiring individuals
in one functional area to apply their judgment to solve unanticipated problems.
However, it is important to note that there are no hard-and-fast connections
between a certain core process and a work model, because the same process
can be performed in different ways. Sales, for example, can refer to individuals
covering their respective territories (expert model) or to a supplier's
multifunctional team working closely with a customer to maintain retail
inventories (integration model). So the key is to understand how work is
performed; it is the nature of the work that determines the appropriate
knowledge-management approach.
Knowing the work model that's associated with the core process is important
because each model presents its own distinct set of knowledge-management
challenges. In the collaboration model, for example, a key challenge is the
achievement of breakthrough innovation. To drive such innovation, a company
needs to encourage risk-taking and bring together a variety of knowledge
domains, such as research, product development, marketing and
manufacturing, in order to solve complex problems. At one biotech company,
the Institute found that increasingly complicated projects and the need for a
growing number of scientific disciplines was making it harder to integrate
activities into a coherent whole. Every point in the chain needs to know not just
what the links above and below are, but also needs to have some idea of what
the whole continuum is.
In the expert model, on the other hand, the organization usually needs to focus
on getting results from its star performers. To do so, companies must contend
with issues such as attracting and motivating talented individuals and
overcoming "silos" of information. For example, at one expert model company
studied by the Institute, individuals had a tremendous amount of knowledge
about products, but each person rarely knew what the others were doing. In
one product area, managers discovered seven redundant research projects.
In essence, the framework allows executives to gain a better understanding of
their current knowledge-management practices—which in most companies
have evolved in an ad hoc, unconscious manner—and to identify the
knowledge-management challenges associated with their core processes. From
that specific diagnosis, it is a short step to prescribing specific remedies,
because each set of challenges points to a handful of potential knowledge-
management strategies.
For example, the challenges in the transaction model are centered on the need
to codify knowledge and ensure consistent performance. Possible knowledge-
management strategies would therefore include "automation" that embeds
knowledge in systems, or perhaps "routinization," in which knowledge is built
into policies and procedures, and training is aimed at standardizing workers'
behavior. In the integration model, where the challenge is to orchestrate
activity across various parts of the organization, executives might consider the
adoption of standard processes or methodologies that integrate performance
across functions. Or they might use softer measures that focus on the use of
cross-functional teams, shared goals and feedback systems.
In the expert model, knowledgeable individuals are key. Here, executives may
recruit star performers away from other companies, or may choose to focus on
programs that develop stars internally through long-term career-progression
programs, apprenticeships, mentoring and training. And in the collaboration
model, where the challenges revolve around creating breakthrough
innovations, the choices may include "action-learning" strategies that
encourage discovery through "skunkworks" and pilots, or "knowledge-linking"
strategies that focus on learning through consortia and alliances.
The framework also makes it possible to address all elements of the
knowledge-management system as a whole—technology, human resource
practices, organization and culture—because it focuses executives' attention on
the capabilities their organizations need rather than on component solutions.
Also, attention is shifted from broad, vague issues to a well-defined set of
challenges that are specific to their business. They have a manageable number
of targeted options from which to choose, which makes it easier to formulate
an integrated approach to changing organizational structure, technology,
human resources and the world culture.
In addition to guiding improvements in today's core processes, the framework
can also be used to help companies evolve and adapt to new conditions.
Markets, customers, technology and competition are always changing. To
thrive, companies must change over time as well, or their core capabilities may
well become core rigidities that lead to obsolescence. As they strive to move in
new directions, executives can use the framework to understand the
knowledge-management systems that new capabilities will require.
In the silicon-chip industry, for example, the design of new microchip
manufacturing processes has always been considered something of an art—a
collaborative model type of effort involving a small cadre of experts, extensive
experimentation and rapid learning to get it right. Now, however, with most
personal computers selling for less than $1,000, chip makers need to move to
lower-cost approaches—and to an integration model of knowledge
management, where the focus is on standardization, repeatable work and
continuous improvement. The framework can help companies envision what
their new knowledge-management approach should look like under their new
strategy, and plot out a path that will take them there.
The company believes that it may be falling behind in terms of bringing true
breakthrough products to market, particularly in the area of eCommerce.
Executives want to build on traditional strengths to keep improving existing
products, but they also recognize that they will need to take a different
approach if the company is to maintain product leadership in its industry. So in
the creation of electronic commerce products, the company is considering a
move toward the collaboration model and the use of a skunkworks-style
operation that relies on multidisciplinary teams and team incentives, rather
than individual experts.
Executives are also beginning to experiment with external alliances as a way to
bring new knowledge into the company. Using the framework as a guide, the
company has been able to gain a sophisticated understanding of how to
improve its current knowledge-management systems and, at the same time,
develop a sense of how it can manage knowledge to forge new capabilities for
the long term. That kind of evolutionary ability will become increasingly
important in the coming years, as the demands of new markets and new
competitors drive continuing shifts in corporate strategies. To support those
strategies, companies will have to build new capabilities more and more rapidly
—and so the ability to manage knowledge to support that change will be
critical.
Knowledge Management - Emerging Perspectives
Yes, knowledge management is the hottest subject of the day. The question is:
what is this activity called knowledge management, and why is it so important
to each and every one of us? The following writings, articles, and links offer
some emerging perspectives in response to these questions. As you read on,
you can determine whether it all makes any sense or not.
Develpoing a
Context
Like water, this rising tide of data can be viewed as an abundant, vital and
necessary source. With enough preparation, we should be able to tap into that
reservoir -- and ride the wave -- by utilizing new ways to channel raw data into
meaningful information. That information, in turn, can then become the
knowledge that leads to wisdom.
Before attempting to address the question of knowledge management, it's
probably appropriate to develop some perspective regarding this stuff called
knowledge, which there seems to be such a desire to manage, really is.
Consider this observation made by Neil Fleming as a basis for thought relating
to the following diagram.
A collection of data is not information.
A collection of information is not knowledge.
A collection of knowledge is not wisdom.
A collection of wisdom is not truth.
The idea is that information, knowledge, and wisdom are more than simply
collections. Rather, the whole represents more than the sum of its parts and
has a synergy of its own.
So, in summary the following associations can reasonably be made:
Information relates to description, definition, or perspective (what, who,
when, where).
Knowledge comprises strategy, practice, method, or approach (how).
Wisdom embodies principle, insight, moral, or archetype (why).
Now that I have categories I can get hold of, maybe I can figure out what can
be managed.
An Example
This example uses a bank savings account to show how data, information,
knowledge, and wisdom relate to principal, interest rate, and interest.
Data: The numbers 100 or 5%, completely out of context, are just pieces
of data. Interest, principal, and interest rate, out of context, are not much
more than data as each has multiple meanings which are context
dependent.
Information: If I establish a bank savings account as the basis for
context, then interest, principal, and interest rate become meaningful in
that context with specific interpretations.
Principal is the amount of money, $100, in the savings account.
Interest rate, 5%, is the factor used by the bank to compute
interest on the principal.
Knowledge: If I put $100 in my savings account, and the bank pays 5%
interest yearly, then at the end of one year the bank will compute the
interest of $5 and add it to my principal and I will have $105 in the bank.
This pattern represents knowledge, which, when I understand it, allows
me to understand how the pattern will evolve over time and the results it
will produce. In understanding the pattern, I know, and what I know is
knowledge. If I deposit more money in my account, I will earn more
interest, while if I withdraw money from my account, I will earn less
interest.
Wisdom: Getting wisdom out of this is a bit tricky, and is, in fact,
founded in systems principles. The principle is that any action which
produces a result which encourages more of the same action produces an
emergent characteristic called growth. And, nothing grows forever for
sooner or later growth runs into limits.
KNOWLEDGE MANAGEMENT IN
DISASTER RISK REDUCTION
The Indian Approach
Background
Indian sub-continent is susceptible to different types of natural hazards owing
to the unique topographic and climatic characteristics. Theoccurrence of
disasters along with the losses over the years has been increasing on account
of larger population being vulnerable to natural hazards. India has experienced
many massive disasters such as the Orissa supercyclone in 1999, Gujarat
earthquake in 2001, recent devastating Tsunami - 2004 and many more in the
past. This owes not only to the physical vulnerability i.e their proximity to the
hazard zone and ill-maintained standards of safety to counter the effects but
also due to the prevailing social and economic conditions. There is a conscious
effort for Disaster Risk Reduction at National, Provincial and sub-provincial
level. Thousands of organizations are supporting the effort from last few
decades. However there is a felt gap in information coordination and sharing.
The knowledge and experiences of disaster practitioners are remaining in
individual or institutional domain. There is an urgent need of an organized
common platform to capture, organize and share this knowledge and to create
a versatile interface among policy-makers in the Government and disaster
managers at all administrative level
(National/State/District/Sub-District/Community). Acknowledging the need for a
disaster
knowledge networking platform to facilitate interaction and have simultaneous
dialogue with all related expertise dealing with disaster management in India,
the knowledge
management initiative has been thoughtfully envisaged asa tool to store,
retrieve, disseminate and manage information related to Disaster Management.
Knowledge Management Concept and Principles
Knowledge Management is about applying the collective knowledge of the
entire workforce to achieve specific organizational goals. It is about facilitating
the process by which knowledge is created, shared and utilised. Knowledge is
defined as “the fact or condition of knowing something with a considerable
degree of familiarity through expe-rience, association or contact.” Forty years
ago, Michael Polanyi provided an explanation of knowledge upon which models
of knowledge creation have been built. He differentiated between explicit, tacit
and implicit forms of Knowledge Management
Explicit knowledge is that which is stated in detail and leaves nothing merely
implied. It is termed “codified” or “formal” knowledge because it can be
recorded.
Tacit knowledge is that which is understood, implied and exists without being
stated. It is informal, experiential, and difficult to capture or share. It is knowl-
edge that cannot be expressed.For example, an individual knows how to reach
with his arm to grasp an object, but cannot describe how he knows how to do it.
Implicit knowledge is that which could be expressed, but has not been. It is
most often thought of as existing within the
minds of individuals or in social relationships. Nonaka and Takeuchi argue that
effective organizational knowledge creation best occurs through the spiral
process where knowledge is converted from tacit to explicit in a continuous and
dynamic cycle,as illustrated in following figure. It is when tacit knowledge and
explicit knowledge interact that innovation occurs. Knowledge creation is
facilitated by deliberately managing the cycle. Organizational knowledge
creation begins with socialization, where individuals share experience and
mental models. It develops into externalization when individuals use metaphors
or analogies to articulate hidden tacit knowledge that is otherwise difficult to
communicate. It moves into the combination phase for knowledge to be
articulated, shared and expounded. Finally, individuals learn by doing and
internalizing the new knowledge. The spiral begins again as the experience-
based operational knowledge learned in the first cycle provides a larger
knowledge base for continuous innovation and growth. It is this model that
demonstrates how knowledge comes into action.
The Knowledge Management Cycle
How knowledge processes in a KM environment are managed to convert
knowledge for action and to achieve the desired results of increased value in
the organization or specific operations is illustrated in the model in Figure
3.There are three general perspectives in the cycle: Management, Application
and Organization:
Management focuses on capturing, organizing and facilitating knowledge.
Many of these activities span the externalization and combination
quadrants of the Nonaka model.
Application focuses on effective retrieval of relevant content through
advanced searches and mining to conduct knowledge-related work and
tasks and on the use of the results for discovery. It relies on the
knowledge combination portion of the model.
Organizations focus on learning, sharing and collaboration. This is the
education component of the cycle that is within the internalization
quadrant, moving into the socialization portion.
Disaster Risk Reduction – Role of Information and Knowledge
Many of us assume that knowledge management is about capturing best
practices and experiences people have and store it in a database with a hope
that it will be useful later. In fact this is not true and many of us spend more
than ten percent of our time in searching for a piece of information we know
resides somewhere. Knowledge management is all about getting the right
knowledge, in the right place, at the right time. In a broader context,
information about disaster preparedness, dos’ and don’ts in emergency,
disaster management plans, policies and guidelines are available at various
domains from decades. However, millions of people are getting severely
affected by disasters every year due to lack of adequate coping mechanisms.
This may be attributed to the fact that the information lying at one place is not
getting transformed into the life saving knowledge for the communities at risk.
It is a proven fact that India is among the world’s most disaster prone countries
due to its geo climatic conditions, large population and socio-economic
conditions.
In order to enhance the information sharing and management of the knowledge
generated in these institutions, it is highly essential to closely knit the
organizations/ institutions and moreover people.
The network of these institutions will create a common platform and enable its
stake holders and people to capture, organize, share and reuse the knowledge
generated in the area of disaster management. The network will use various
tools to connect the Government, Institutions and people.
Indian Approach to Knowledge Management in –Disaster risk
Reduction Practice area
Under the Ministry of Home Affairs, GOI-UNDP(United Nations Development
Programme) National Disaster Risk Management programme, Knowledge
Networking is foreseen as an initiative to establish networks and partnership
among prime government agencies, policy makers, disaster managers and
specialists from allied fields of engineering, architecture, planning, seismology,
hydrology, agriculture and social science to exchange information and working
together to reduce the risk of disaster. The
initiative is aiming to connect all government departments, statutory agencies,
research organizations/ institutions to share collectively and individually their
expert know-how’s. The exchange is facilitated through physical interaction,
workshops, documentation of experiences, sharing on World Wide Web Portal
etc.
Creating an Environment for Knowledge Management
In order to evolve community of practices the initiative is focusing at linking the
program partners and providing a platform to collaborate. This collaborative
platform which is in the form of an electronic platform will facilitate interaction
among the program partners. The system will be incentive based and provide
various tools, decision support systems, monitoring systems to the stake
holders.
Strengths of Knowledge Networks in Disaster Management
Better response.
Empowered Government Disaster Management Departments.
Better valuation of Resources and services
Integration into mainstream development.
Effective monitoring of initiatives.
Promoting fair practices among the disaster management community.
The KNOWLEDGE PORTAL : A tool for Knowledge Management
The knowledge management initiative of Government of India involves a web
portal to facilitate the knowledge collaboration between the network members.
The portal provides tools to capture or acquire and organize knowledge. It also
provides facility to find and share knowledge through the portal. The portal is
providing Knowledge Collaboration Tools and incentive based tools such as:
Moderated access and facilitation.
Programme monitoring and methodology sharing tools.
Members workspace for decentralized content management.
Powerful search engines.
Moderated discussion forum for problem solving.
Document management system.
Moderated intra network e-mail groups.
Other services to create an incentive for the network members:
GoI, Disaster Management programme monitoring tool.
Disaster Risk Management Programme monitoring tool.
NPCBEERM1/ NPCBAERM2 programme monitoring tool.
Emergency contact management system.
Database of district Disaster Management Plans.
Map center – Hazard & vulnerability maps.
Independent workspace for States & Resource Institutions for designing
and updating content.
Automated portal administration for ease of content updating. The portal
is operating on an extranet and controlled by access levels. Users at the
various networks are sharing their programme status and progress in the
portal.
The portal is capturing the products of the programme such as disaster
management plans, various manuals, documents, reports, trained human
resources roaster etc. The portal will have a public interface once it is
populated with information. The portal is also containing a List Server3 which
facilitates e-mail and discussion groups. The portal will enable cross postings
and interactions across the networks. The description of the
functioning of the portal is depicted below.
There are various groupware and e-mail list servers to facilitate
discussion and interaction of the network members.
COMPONENTS OF KNOWLEDGE MANAGEMENT
Knowledge Management : a Cross-Disciplinary Domain
Knowledge management draws from a wide range of disciplines and
technologies.
Cognitive science. Insights from how we learn and know will certainly
improve tools and techniques for gathering and transferring knowledge.
Expert systems, artificial intelligence and knowledge base
management systems (KBMS). AI and related technologies have
acquired an undeserved reputation of having failed to meet their own —
and the marketplace’s — high expectations. In fact, these technologies
continue to be applied widely, and the lessons practitioners have learned
are directly applicable to knowledge management.
Computer-supported collaborative work (groupware). In Europe,
knowledge management is almost synonymous with groupware … and
therefore with Lotus Notes. Sharing and collaboration are clearly vital to
organizational knowledge management — with or without supporting
technology.
Library and information science. We take it for granted that card
catalogs in libraries will help us find the right book when we need it. The
body of research and practice in classification and knowledge
organization that makes libraries work will be even more vital as we are
inundated by information in business. Tools for thesaurus construction
and controlled vocabularies are already helping us manage knowledge.
Technical writing. Also under-appreciated — even sneered at — as a
professional activity, technical writing (often referred to by its
practitioners as technical communication) forms a body of theory and
practice that is directly relevant to effective representation and transfer
of knowledge.
Document management. Originally concerned primarily with managing
the accessibility of images, document management has moved on to
making content accessible and re-usable at the component level. Early
recognition of the need to associate "metainformation" with each
document object prefigures document management technology’s
growing role in knowledge management activities.
Decision support systems. According to Daniel J. Power, "Researchers
working on Decision Support Systems have brought together insights
from the fields of cognitive sciences, management sciences, computer
sciences, operations research, and systems engineering in order to
produce both computerised artifacts for helping knowledge workers in
their performance of cognitive tasks, and to integrate such artifacts
within the decision-making processes of modern organisations." [See
Powers’ DSS Research Resources Home page.] That already sounds a lot
like knowledge management, but in practice the emphasis has been on
quantitative analysis rather than qualitative analysis, and on tools for
managers rather than everyone in the organization.
Semantic networks. Semantic networks are formed from ideas and
typed relationships among them — sort of "hypertext without the
content," but with far more systematic structure according to meaning.
Often applied in such arcane tasks as textual analysis, semantic nets are
now in use in mainstream professional applications, including medicine,
to represent domain knowledge in an explicit way that can be shared.
Relational and object databases. Although relational databases are
currently used primarily as tools for managing "structured" data — and
object-oriented databases are considered more appropriate for
"unstructured" content — we have only begun to apply the models on
which they are founded to representing and managing knowledge
resources.
Simulation. Knowledge Management expert Karl-Erik Sveiby suggests
"simulation" as a component technology of knowledge management,
referring to "computer simulations, manual simulations as well as role
plays and micro arenas for testing out skills." (Source: Email from Karl-
Erik Sveiby, July 29, 1996 )
Organizational science. The science of managing organizations
increasingly deals with the need to manage knowledge — often explicitly.
It’s not a surprise that the American Management Association’s APQC has
sponsored major knowledge management events.
That’s only a partial list. Other technologies include: object-oriented
information modeling; electronic publishing technology, hypertext, and the
World Wide Web; help-desk technology; full-text search and retrieval; and
performance support systems.
Categorization of knowledge management approaches
The term "knowledge management" is now in widespread use, having
appeared in the titles of many new books about knowledge management as a
business strategy, as well as in articles in many business publications, including
The Wall Street Journal. There are, of course, many ways to slice up the multi-
faceted world of knowledge management. However, it’s often useful to
categorize them.
In a posting to the Knowledge Management Forum, Karl-Erik Sveiby identified
two "tracks" of knowledge management:
Management of Information. To researchers in this track, according to
Sveiby, "… knowledge = Objects that can be identified and handled in
information systems."
Management of People. For researchers and practitioners in this field,
knowledge consists of "… processes, a complex set of dynamic skills,
know-how, etc., that is constantly changing."
Sveiby’s characterization is on target, but it may not capture the full flavor of
the important distinctions in approaches to organizational knowledge
management. At Knowledge Praxis, we have adopted a three-part
categorization: (1) mechanistic approaches, (2) cultural/behavioristic
approaches, and (3) systematic approaches to knowledge management.
Mechanistic approaches to knowledge management
Mechanistic approaches to knowledge management are characterized by the
application of technology and resources to do more of the same better. The
main assumptions of the mechanistic approach include:
Better accessibility to information is a key, including enhanced methods
of access and reuse of documents (hypertext linking, databases, full-text
search, etc.)
Networking technology in general (especially intranets), and groupware
in particular, will be key solutions.
In general, technology and sheer volume of information will make it work.
Cultural/behavioristic approaches to knowledge management
Cultural/behavioristic approaches, with substantial roots in process re-
engineering and change management, tend to view the "knowledge problem"
as a management issue. Technology — though ultimately essential for
managing explicit knowledge resources — is not the solution. These
approaches tend to focus more on innovation and creativity (the "learning
organization") than on leveraging existing explicit resources or making working
knowledge explicit.
Assumptions of cultural/behavioristic approaches often include:
Organizational behaviors and culture need to be changed … dramatically.
In our information-intensive environments, organizations become
dysfunctional relative to business objectives.
Organizational behaviors and culture can be changed, but traditional
technology and methods of attempting to solve the "knowledge problem"
have reached their limits of effectiveness. A "holistic" view is required.
Theories of behavior of large-scale systems are often invoked.
It’s the processes that matter, not the technology.
Nothing happens or changes unless a manager makes it happen.
Systematic approaches to knowledge management
Systematic approaches to knowledge management retain the traditional faith
in rational analysis of the knowledge problem: the problem can be solved, but
new thinking of many kinds is required.
Some basic assumptions of Systematic Approach are
It’s sustainable results that matter, not the processes or technology … or
your definition of "knowledge."
A resource cannot be managed unless it is modeled, and many aspects of
the organization’s knowledge can be modeled as an explicit resource.
Solutions can be found in a variety of disciplines and technologies, and
traditional methods of analysis can be used to re-examine the nature of
knowledge work and to solve the knowledge problem.
Cultural issues are important, but they too must be evaluated
systematically. Employees may or may not have to be "changed," but
policies and work practices must certainly be changed, and technology
can be applied successfully to business knowledge problems themselves.
Knowledge management has an important management component, but
it is not an activity or discipline that belongs exclusively to managers.
4. TATA STEELS
Introduction
Established in 1907, Tata Steel is the world's 6th largest steel company with an
aggregate of annual crude steel production capacity of around 28 million
tonnes having approximately 82,700 employees across the four continents. It
was Asia's first steel company and remains India's largest integrated private
sector steel manufacturer. With investments in Corus, NatSteel and Tata Steel
(Thailand), Tata Steel is the world's second most geographically diversified
steel producer, with operations in 24 countries and commercial presence in
over 50 countries.
The Company plans to grow and globalise through organic and inorganic
routes. To fulfil its objective of Growth & Globalisation, the five million tonnes
per annum (MTPA) Jamshedpur Works is gearing up to double its capacity by
2010. The Company is making steady progress on its three greenfield steel
projects in the Indian states of Jharkhand, Orissa and Chhattisgarh, to add 23
million tonnes to its present capacity. It also plans to set up steel making
capacities in Vietnam and Bangladesh.
Through investments in Corus, Millennium Steel (renamed Tata Steel Thailand)
and NatSteel Asia, Singapore, Tata Steel has created a manufacturing and
marketing network in Europe, South East Asia and the Pacific-rim countries.
Corus, which manufactured 18.3 MT of steel in 2006, has operations in the UK,
the Netherlands, Germany, France, Norway and Belgium. Tata Steel (Thailand)
is the largest producer of long steel products in Thailand, with a manufacturing
capacity of 1.7 MT. NatSteel Asia produces about 2 MT of steel products
annually across its regional operations in seven countries.
Tata Steel, through its joint venture with Tata BlueScope Steel Limited, has also
entered the steel building and construction applications market. It has also set
up joint ventures for the development of limestone mines in Thailand, to
procure low ash coal from Australia and coking coal from Mozambique, for the
development of iron ore deposits in Ivory Coast and for setting up of a deep-sea
port in coastal Orissa.
The Company is also exploring opportunities in the titanium dioxide business in
Tamil Nadu, India and it will soon be manufacturing high carbon ferro-chrome
from its plant in South Africa.
Tata Steel is one of the few steel companies in the world that is Economic Value
Added (EVA) positive. It was ranked the "World's Best Steel Maker", for the
third time by World Steel Dynamics in its annual listing in February, 2006. Tata
Steel has been conferred the Prime Minister of India's Trophy for the Best
Integrated Steel Plant five times.
PRODUCTS
Tata Steel is a global player with a balanced presence in developed European
and fast growing Asian markets and with a strong position in the construction,
automotive and packaging markets. Its Jamshedpur steel works produces hot
and cold rolled coils and sheets, galvanised sheets, tubes, wire rods,
construction rebars, rings and bearings. In an attempt to 'decommoditise' steel,
the Company has introduced several branded steel products, including Tata
Steelium (the world's first branded Cold Rolled Steel), Tata Shaktee (Galvanised
Corrugated Sheets), Tata Tiscon (rebars), Tata Pipes, Tata Bearings, Tata
Structura, Tata Agrico (hand tools and implements) and Tata Wiron (galvanised
wire products). In the financial year 2006-07 revenue from the sale of these
branded steel products was 26% of the company's sales revenues.
Corus' main operating divisions comprise Strip Products, Long Products and
Distribution & Building Systems Division. Combining international expertise
with local customer service, the company supplies a range of long and strip
products to demanding customers worldwide in markets including the
construction, automotive, packaging and engineering sectors. The NatSteel
group produces construction grade steel such as rebars, cut-and-bend, mesh,
precage bore pile, PC wires and PC strand. Tata Steel Thailand produces round
bars and deformed bars for the construction industry.
CORPORATE SUSTAINABILITY
Regarded globally as a benchmark in corporate social responsibility, Tata
Steel's commitment to the community remains the bedrock of its hundred
years of sustainability. Its mammoth social outreach programme covers the
company-managed city of Jamshedpur and over 800 villages in and around its
manufacturing and raw materials operations through uplift initiatives in the
areas of income generation, health and medical care, education, sports, and
relief.
The Company, fully conscious of its responsibilities to the future generations,
has always taken pro-active measures to ensure optimum utilization of natural
resources. This is reflected in the ISO-14001 certification that all its operations
have achieved for environment management. The SA 8000 certification for
work conditions and improvements in the workplace at the steel works in
Jamshedpur, along with its Ferro Alloys and Minerals Division, is a reiteration of
its commitment towards the Company's employees. Tata Steel has pioneered
numerous employee welfare measures such as the 8 hours working day and
the three tier joint consultation system of management which have been the
platform for nearly 80 years of industrial harmony in its Steel Works in
Jamshedpur.
Global Compact, United Nations
Founder member.
Conferred the prestigious Global Business Coalition Award for Business
Excellence in the Community in recognition of its pioneering work in the
field of HIV/ AIDS awareness.
Jamshedpur city has been chosen to participate in the UN Global Compact
Cities Pilot Programme.
AWARDS & RECOGNITIONS
World Steel Dynamics has ranked Tata Steel as the world's best steel
maker (for two consecutive years) in its annual listing in February 2006.
Tata Steel has been conferred the Prime Minister of India's Trophy for the
Best Integrated Steel Plant five times.
It has been awarded Asia's Most Admired Knowledge Enterprise award in
2003 and 2004.
POLICIES
Quality Policy
Consistent with the group purpose, Tata Steel shall constantly strive to improve
the quality of life of the communities it serves through excellence in all facets
of its activities.They are committed to creating value for all our stakeholders by
continually improving our systems and processes through innovation, involving
all our employees.
This policy shall form the basis of establishing and reviewing the Quality
Objectives and shall be communicated across the organization. The policy will
be reviewed to align with business direction and to comply with all the
requirements of the Quality Management Standard
Alcohol and Drugs Policy
Tata Steel believes that the loyalty and commitment of its employees depend
upon the quality of life they are offered at work and at home.
We recognize that indiscriminate use of alcohol and drugs is injurious to the
well being of individuals, their families and the community as a whole. We
acknowledge that the misuse of these psychoactive substances is a major
health and safety hazard.
Tata Steel is therefore committed to creating an alcohol and drug-free
environment at the work place. This would be achieved through the
involvement of all employees and the Joint Departmental Councils in
spearheading appropriate initiatives. The initiatives would include :
Raising awareness, through the dissemination of information, education
and training and by promoting healthy life styles among our employees
and their families.
Motivating those employees who have an alcohol/drug problem, to seek
assistance, while maintaining confidentiality about such cases.
HIV(+) & AIDS Control Policy
Tata Steel would take measures to prevent the incidence and spread of HIV and
AIDS in the society. In case of need, the company would arrange to provide
counseling and medical guidance to these patients and their families.
Human Resource Policy
Tata Steel recognises that its people are the primary source of its
competitiveness.It is committed to equal employment opportunities for
attracting the best available talent and ensuring a cosmopolitan workforce.
It will pursue management practices designed to enrich the quality of life of its
employees, develop their potential and maximise their productivity.It will aim
at ensuring transparency, fairness and equity in all its dealings with its
employees.Tata Steel will strive continuously to foster a climate of openness,
mutual trust and teamwork.
Corporate Social Responsibility Policy
Tata Steel believes that the primary purpose of a business is to improve the
quality of life of people.
Tata Steel will volunteer its resources, to the extent it can reasonably afford, to
sustain and improve healthy and prosperous environment and to improve the
quality of life of the people of the areas in which it operates.
Environmental, Occupational Health & Safety Policy
Tata Steel reaffirms its commitment to provide safe working place and clean
environment to its employees and other stakeholders as an integral part of its
business philosophy and values. We will continually enhance our
Environmental, Occupational Health & Safety (EHS) performance in our
activities, products and services through a structured EHS management
framework. Towards this commitment, we shall;
Establish and achieve EHS objectives and targets.
Ensure compliance with applicable EHS legislation and other requirement
and go beyond.
Conserve natural resources and energy by constantly seeking to reduce
consumption and promoting waste avoidance and recycling measures.
Eliminate, minimize and/or control adverse environmental impacts and
occupational health and safety risks by adopting appropriate "state-of-
the-art" technology and best EHS management practices at all levels
sand functions.
Enhance awareness, skill and competence of our employees and contractors so
as to enable them to demonstrate their involvement, responsibility and
accountability for sound EHS performance.
MANAGEMENT
BOARD OF DIRECTORS
(As on 22nd November, 2007)
Mr R N Tata (Chairman)
Mr James Leng (Non - Executive Deputy
Chairman)
Mr Nusli N Wadia (Company Director)
Mr S M Palia (Company Director)
Mr Suresh Krishna (Financial Institutions'
Nominee)
Mr Ishaat Hussain (Board Member)
Dr Jamshed J Irani
Mr Subodh
Bhargava
Mr Jacques
Schraven
(Non - Executive
Independent Director)
Dr Anthony
Hayward
(Non - Executive
Independent Director)
Mr Philippe Varin (Non - Executive Non
independent Director)
Mr B Muthuraman (Managing Director)
Dr T Mukherjee (Non Executive Director)
Mr Andrew Robb (Non Executive Independent
Director)
BUSINESS UNITS
Apart from the main Steel Division, Tata Steel's operations are grouped under
the following Strategic Business Units:
Bearings Division : Manufactures ball bearings, double row self-aligning
bearings, magneto bearings, clutch release bearings and tapered roller
bearings for two wheelers, fans, water pumps, etc.
Ferro Alloys and Minerals Division : Operates chrome mines and has units
for making ferro chrome and ferro manganese. It is one of the largest players in
the global ferro chrome market.
Agrico Division : Tata Agrico is the first organised manufacturer in India of
hand tools and implements for application in agriculture.
Tata Growth Shop (TGS) : Has designed, developed, manufactured, erected
and commissioned thousands of tonnes of equipment ranging from overhead
cranes to high precision components, including a rocket launch pad for the
Indian Space and Research Organisation.
Tubes Division : The biggest steel tube manufacturer with the largest market
share in India, it aspires to strengthen its market presence by expanding and
modernising its commercial and precision tube manufacturing capacity.
Wire Division : A pioneer in the manufacture of steel wires in India, it
produces coated and uncoated wires, branded as Tata Wiron. The division also
operates a wholly owned subsidiary in Sri Lanka.
CORPORATE GOVERNANCE
The company believes that good corporate practices enable the board to direct
and control the affairs of a company in an efficient manner and to achieve its
ultimate goal of maximising shareholders value. Realising this, the company
has adopted many practices over the last few years, even when there were no
mandatory requirements in this regard. As a result, a number of provisions
regarding Corporate Governance prescribed by the Listing Agreement have
already been complied with and steps are being taken to comply with the
balance provision within the current financial year.
The Internal Audit Department reports, on a quarterly basis, any significant
findings to the Audit committee, which comprises of three non-executive
Director: Mr. P.K Kaul - Chairman, Mr. S. M. Palia and Mr. Ishaat Hussain -
Members. The committee met three times during the year to review the audit
observation, adequacy of actions taken and followed up implementation of
corrective actions.
AIM AND VISION
"To seize the opportunities of tomorrow and create
a future that will make us an EVA Positive Company
To continue. to improve the quality of life
of our employees and the communities we serve."
VISION INTO REALITY
Tata Steel is Asia’s first and India’s largest private sector integrated steel
manufacturer. At the advent of the new millennium the employees of the
Company co-created Vision 2007 as a statement of future intent. Sustainable
Development, through the improvement of the quality of life of its employees
and the communities it serves, was enshrined within it. To translate this Vision
into reality, Tata Steel altered paradigms, repositioned benchmarks and re-
evaluated core competencies.
Having effected a quantum change in operations, work culture and efficiencies,
the Company aspires to further accelerate the creation of stakeholder value.
SUSTAINABLE DEVELOPMENT
Having espoused the philosophy of Sustainable Development, the Company’s
operations, including all its outlocations are inextricably interlinked with the
progress of the enterprise, the welfare of the people and the health of the
environment.
As global initiatives in promoting responsible business gather momentum, Tata
Steel stands as a beacon of social and environmental commitment, not only in
India but across the world as well.
Today, Tata Steel is well positioned to take forward its 100-year ethos with
renewed vigour, having formally integrated its economic, environmental and
social performance reporting. Tata Steel’s commitment to sustainable
development and growth is amply reflected in its Vision 2007. The Company
has identified and is proactively engaged in addressing economic sustainability,
environmental concern and the social needs of its stakeholders.
The core issue, however, identified by Tata Steel, which underpins all these is
Value Balancing; such that long-term partnerships are established with its
stakeholders.
Sustainability has also been integrated into the business systems at Tata Steel.
Inputs from stakeholders through formal and informal processes allow the
Company to focus on their concerns, to identify issues and delineate strategic
objectives.
OBJECTIVES AND TARGETS
Sustainability issues are reflected through specific social and environmental
objectives and targets accepted by the top management as a part of Vision
2007.
To achieve its sustainability goals, the organisation has identified 12 key
enterprise processes critical to the growth and success of the organisation.
Mapping and identifying stakeholder concerns through a structured
engagement and feedback process has been initiated. These stakeholder
concerns are analysed, prioritised and are the prescribed goals for Corporate
Sustainability Management. The senior management of Tata Steel tracks the
performance of the targets against each strategic goal.
Sustainability at the Tata Group and Tata Steel has always been value-driven.
The five core values underpinning the way the Tata companies conduct
business are:
Integrity
Understanding
Excellence
Unity
Responsibility
12 Key Enterprise Processes
• Leadership • Order Generation
• Strategic Planning & Risk
Management
• Operation
and Fulfillment
• Market Development • Inbound Supply Management
• Investment Management • Research & Development
• Improvement & Change
Management
• Information Management
• Human Resources • Social Responsibility & Corporate
Services
5. JOURNEY OF KNOWLEDGE MANAGEMENT IN TATA STEELS
Tata Steel decided to embark on formal KM initiative in the year 1999. The
beginning was made in July’99 to place a Knowledge Management (KM)
programme for the company to systematically & formally share and transfer
learning concepts, best practices and other implicit knowledge.
The emphasis on knowledge management was clearly demonstrated in 1999
while coining the vision statement of the company – which read “Tata Steel
enters the new millennium with the confidence of learning and knowledge
based organization…..” Then followed the new vision statement, co-created by
the employees in 2001 (Fig. 1) which again identified ‘Manage Knowledge’ as
one of the main pillars in strategy to become EVA+ by 2007. This clearly
indicated the thrust Senior Management wanted on an initiative like KM.
The essence of Knowledge management is to capture the available abundant
knowledge assets either in form of tacit (experience, learning from failure,
thumb rules, etc.) or explicit (literature, reports, failure analysis etc.), to
organize and transform the captured knowledge, and to facilitate its usage at
right place and at the right time.
PHASES OF KNOIWLEDGE MANAGEMENT
Starting from a small sapling in 1999, the KM system of Tata Steel underwent a
lot of improvements, and changes. In the process, it passed through many
learning phases to reach its current state. The various phases of KM spiral at
Tata Steel are shown in Fig 2. In its latest phase, the Knowledge Management
has been identified as one of the main enablers to make Tata Steel self reliant
in technology which will enable the company become a global player in near
future.
STAKEHOLDERS IN KM
Tata Steel aims at capturing knowledge from various working groups and
outside agencies who play a major role in day-to-day functioning. The major
stakeholders covered under KM being:
Senior Management
Officers
Employees (Supervisors & Workmen)
Customers
Supplier
Experts (In & outside company)
OPPORTUNITY OF KNOWLEDGE TRANSFER
Tata Steel’s knowledge management initiative is driven by its corporate KM
group which attempts to cover all possible opportunities of knowledge
generation in and outside the steel works. The primary sources being:
Day-to-day operation
Learning from failure
Published Papers by employees (National and International publications)
Task Force/Consultant/Technical Groups
Engineering Project
Knowledge Sharing across the value chain
Tata Steel defines its value chain as a connected series of internal and external
organizations, resources, and knowledge streams involved in creation and
delivery of value to end customers. It includes the organization’s suppliers and
customers. In fact, one of the organization’s strategic goals is to develop value-
creating partnerships with customers and suppliers. Tata Steel developed two
programs in particular to help manage knowledge across its value chain: the
customer value management (CVM) program and its supplier value
management (SVM) program.
Instruments of Knowledge Transfer
Tata Steel follows three strategies for managing organizational knowledge (Fig
2). Knowledge can be contributed either by an individual (codification) or a
team or a group of people (Personalization). The first two strategies enable
capture and systematic storage of knowledge, whereas the third strategy
(Knowledge Diffusion) derives the benefit of replicating best practices identified
in the repository and thereby eliminating the ‘re-invention of wheel’.
The above strategies ensure knowledge sharing across the entire value chain
from customer to the supplier. Some of the instruments through which the
above strategies are deployed are:
Knowledge Contribution by an individual (I): All contributions are
first sent to a set of subject matter experts to check their relevance,
correctness of information and utility to the company before being
available in portal for public usage
Ask Author (I): A user can put forth his/her queries to the author
regarding any particular Knowledge Piece through this route.
Ask Expert (I & II): A panel of experts is identified area-wise to answer
queries of users from all corner of Tata Steel. This feature directs the
query to the relevant expert and thus helps the questioner in seeking his
answer. The queries also remain open for other users to attempt a reply
Knowledge Usage (III): Any employee can bring about
intangible/tangible savings in related work areas by using an existing
knowledge asset.
Communities of Practice (II): To encourage knowledge sharing
behavior in an informal manner, across the boundaries of departments
and divisions, various Communities of Practice or Knowledge
Communities are formed. Each knowledge community further consists of
certain sub-communities which attempts to focus on smaller functional
areas.
Content Management (I): The knowledge repository of Tata Steel is
not only huge in size, but also is rich in content - thanks to the
contribution of more than 15,000 employees. However, constant effort is
put in to keep the knowledge base current and contemporary. In order to
do this, old knowledge pieces are archived and knowledge on similar
subjects are distilled. In the process of knowledge distillation, members
are encouraged to compile knowledge pieces available in related areas
and hence prepare a consolidated one which will contain all relevant
information at one place.
Other activities of Knowledge Communities (II & III) : The diverse
community structure requires knowledge sharing among the members to
ensure proper knowledge diffusion. Hence communities organize inter
and intra community meetings at regular intervals chaired by senior
officials to discuss and share knowledge on aspects that affects both the
parties. These communities also organize seminars by inviting well-
known experts in various fields.
Involving shop-floor employees in KM: A large number of employees
in Tata Steel are deployed at the shop-floor. In a century old company,
these employees really possess a wealth of knowledge. In order to
capture the tacit knowledge from shop floor and to facilitate horizontal
deployment of the same at all other locations, a new initiative named as
Knowledge Manthan (means churning) has been started in 2004.
Realizing the rich dividend from its Knowledge Manthan initiative the
Knowledge management group has extended the idea of involving grass-
root employees by launching yet another initiative named ‘MASS’ in the
year 2005. Many of the ideas captured through Manthan are now being
deployed through ‘MASS’.
KM Portal @ Tata Steel
On the corporate intranet a KM Portal has been developed to communicate all
KM related matters across the company. It provides an online knowledge
repository to the users who can submit, search and use knowledge pieces
available on it. The portal also provides a virtual forum where employees can
invite and involve other fellow employees or lead experts (specific to interested
areas) to discuss and solve the problems faced by them. Relevant Indian and
international standards, quality system manuals, standard practices and
procedures also feature for ready reference of users.
Awards & Accolades
Tata Steel has won many laurels for its endeavour and initiatives towards
creating a culture of managing knowledge. It was the winner of MAKE Asia
award for the year 2003 and 2004 (finalist in the year 2002). In 2005, Tata
Steel won the first MAKE India award. It has also earned a distinction among
Indian companies to be selected twice as a best practice partner by American
Productivity & Quality Center (APQC) for its KM process.
KM MILESTONES
Tata Steel ranked as no.1 in 2006 Indian MAKE Survey
Tata Group recognized as one of the 2006 Global Most Admired
Knowledge Enterprises (MAKE)
Tata Steel is selected as a Best Practice Partner by APQC – Second Time
for KM
An International Symposium on Knowledge Management was organised
at Jamshedpur on December 6-7, 2005
Thrust on usage of knowledge assets through MASS
(Manthan ab shopfloor se)
Tata Steel – winner of the first Indian MAKE Award, 2005
Launch of Knowledge Debate; a mode of knowledge transfer
TATA STEEL Launches ‘Knowledge Manthan’
TATA STEEL Wins MAKE ASIA 2004 AWAR
Tata Steel is the Best Practice Partner in Knowledge Management
Tata Steel wins the MAKE ASIA 2003 Award
6. KM AT “ASIAN DEVELOPMENT BANK”
Core Knowledge Activities
Knowledge management activities can be described in relation to many
different disciplines and approaches but almost all focus on five core activities:
identify,
create,
store,
share, and
use. The routine associated with these can be interpreted thus:
Knowledge Management Tools
Knowledge management tools fit in five areas of competence as illustrated in
the figure below. Some knowledge management tools require expert
facilitation.
Knowledge Management Context
Knowledge management tools are more effective where the specific
knowledge, relationships, and context of development agencies such as ADB
and the external environment they face are dealt with in an integrated and
coherent manner.
←
The figure above demonstrates the importance of using knowledge
management tools with respect to the specific milieu in which ADB operates.
Pillars of Knowledge Management
Four pillars are critical to knowledge management. Balanced interconnectivity
must be sought. Leadership is particularly important because it drives values
for knowledge creation. Successful implementation of knowledge management
in OED requires champions and OED's management has risen to the challenge
of removing cultural roadblocks, building commitment, and getting results from
knowledge management.
Functions and Activities for Knowledge Management
Knowledge management must be embedded into all of an organization's
business processes. It is not an activity delivered by a distinct department or a
particular process. An architecture must be built to initiate and implement
organization-wide knowledge management initiatives. The pillars of knowledge
management are critical to success. All must be addressed. The following table
outlines the core functions and typical activities of the architecture for lesson
learning, and identifies illustrative implementation elements.
Pillar Function Typical Activity Illustrative
Implementation Element
Leadership Drive values for
knowledge
management.
← Identify
knowledge
critical to
learning
lessons in ADB.
← Conduct
work-centered
analysis.
← Plan high-
level strategic
approach.
← Establish
goal and
prioritize
objectives.
← Define
requirements
and develop
measurement
program.
← Promote
values and
norms.
← Implement
strategy.
← Strategic planning
← Vision sharing
← Definition of goal and
objectives
← Executive
commitment
← Knowledge
management programs
tied to metrics
← Formal knowledge
management roles in
existence
← Tangible rewards for
use of knowledge
management
← Encouragement,
recognition, and reward
for knowledge sharing
← Communications
Organizatio
n
Organize to support
values for
knowledge
management.
← Identify
critical
knowledge
gaps,
opportunities,
and risks.
← Develop
business
process model.
← Engage key
audiences with
incentives.
← Organizational
structure
← Organizational culture
← Business process
workflows
← Business process
reengineering
← Management by
objectives
← Total quality
management
← Operating procedures
for knowledge sharing
← Knowledge
performance metrics
← Communications
Technology Collect and connect
knowledge.
← Enhance
system
integration and
access.
← Deploy
intelligent
agents for
people.
← Exploit
semantic
technologies.
← Reuse
existing
capabilities in
new ways.
← Data warehousing
← Data management
software
← Multimedia
repositories
← Groupware
← Decision support
systems
← Intranet
← Search engines
← Business modeling
systems
← Intelligent agents
← Neural networks
← Lessons learned
← Monitor,
measure, and
report
knowledge
performance
metrics.
systems
← Video conferencing
← Communications
Learning Cultivate and utilize
virtual teams and
exchange forum for
knowledge
management.
← Enliven
collaboration.
← Facilitate
communities of
practice.
← Encourage
storytelling.
← Recognize
and reward
knowledge
sharing.
← Tacit and explicit
knowledge
← Capturing, organizing,
and disseminating
knowledge
← Team learning
← Management support
for continuous learning
← Virtual teams
← Exchange forums
← Communities of
practice
← Encouragement,
recognition, and reward
for innovation
← Communications
Audiences for Evaluation
Audiences for evaluation products and services are both inside and outside
ADB. They include the Board of Directors; Management; senior staff; staff in
headquarters, resident missions, and representative offices; institutional
responsibility centers in developing member countries; local stakeholders;
nongovernment organizations; other development agencies; and umbrella
organizations such as the Development Cooperation Directorate in the
Organisation for Economic Cooperation and Development and the Evaluation
Network that it coordinates, the United Nations Evaluation Group, and the
Evaluation Cooperation Group.
Interfaces for Lesson Learning
Inter- and intra-organizational relationships encompass OED itself, other
departments, developing member countries, and the international evaluation
community. The figure below shows these interfaces with the specific context,
knowledge, and the relationships of OED and the external environment it faces.
Influencing Change
OED makes continuous efforts to influence change in development strategies,
policies, practices, and procedures. Having influence begins with determining
what, exactly, one wants to influence. Specifically, what decisions does one
wish to influence, what changes does one seek to effect? After that, it is easier
to establish who one needs to influence, namely, who is in a position to make
or influence those decisions or effect those changes. Subsequently, OED
considers what knowledge the target audience needs, what OED itself needs to
know in order to advise the latter, and how OED is going to share that
knowledge. OED endeavors to explicitly anchor broader evaluation studies in
decisions and changes desired and emphasizes the importance of focusing on
relationships at the onset of each evaluation study.
Operating Framework for Lesson Learning
Drawing the elements of knowledge, relationships, context, external
environment, interfaces, and architecture in a conceptual structure generates
the operating framework within which decisions on knowledge management
initiatives can be taken and implemented. The following figure depicts the
operating framework within which knowledge management tools can be
leveraged for lesson learning in ADB.
7. KNOWLEDGE MANAGEMENT AT NASA
Knowledge management is getting the right information to the right people at
the right time, and helping people create knowledge and share and act upon
information in ways that will measurably improve the performance of NASA and
its partners. For NASA this means delivering the systems and services that will
help our employees and partners get the information they need to make better
decisions. There are three priority areas where KM systems and processes can
help NASA's ability to deliver its missions:
To sustain NASA's knowledge across missions and generations
KM activities will identify and capture the information that exists
across the Agency
To help people find, organize, and share the knowledge NASA already
have
KM processes will help to efficiently manage the Agency's
knowledge resources
To increase collaboration and to facilitate knowledge creation and sharing
The Knowledge Management Team will develop techniques and
tools to enable teams and communities to collaborate across the
barriers of time and space
Where Is NASA Headed?
NASA’s 25-Year roadmap for how knowledge management will support
their space missions.
How Will NASA Measure Success?
Successful implementation of KM is truly measured by its contribution to
mission success. However, our research shows that there are four primary
success factors for KM: culture, an architecture, services, and a robust
infrastructure.
8. RESEARCH METHODOLOGY
Type of research: Descriptive Research.
Data Collection
a). Secondary data collection:- Secondary data was collected through:-
The companies have some data & it was taken from their
websites.
Through Various Websites.
Through various Magazines.
Through Newspaper
Through various Books
Data analysis and Hypothesis testing
After collecting data through above mentioned methods various tools were
used to analyse the data.
SUGGESTIONS
Although Knowledge Management is such a broad topic that I don’t
have much knowledge to give suggestions but still I would recommend
some suggestions from my side, these are:
Knowledge Management Programmes should be handled properly.
It should focus more on managing knowledge of past and present
employees.
It should give proper knowledge and training to the persons who are
managing knowledge.
Company should provide Environment for Knowledge Management
functions.
As Knowledge Management is useful in every aspect of life, so it should
be deal with proper care.
Companies should increase the Knowledge Management Departments.
CONCLUSION
From the deep and thorough study made on company, organization, firm, or
any government department way of managing the knowledge of their
employees, employers, directors and co-members through studying the
Knowledge Management in detail, I get to conclude that it was a really
interesting part of an Organisation to study in and it gave me immense
knowledge about the way the companies are prone to keep the Knowledge of
their past and present employees and use it at the time of need.
It was an expansion of my knowledge and a very good experience to know
about the Knowledge Management criteria and methods of Knowledge
Management of reputed companies like TATA STEELS, ASIAN
DEVELOPMENT BANK and NASA and it would be very useful in my carrier
ahead in corporate because of my keen interest in KNOWLEDGE
MANAGEMENT
BIBLIOGRAPHY/REFERENCES
The various Information and Data has been gathered from the
following sources.
BOOKS :-
BUSINESS COMMUNICATION – I (K.K. SINHA)
BUSINESS COMMUNICATION – II (K.K. SINHA)
MAGAZINES :-
BUSINESS TODAY
READERS DIGEST
INDIA TODAY
OUTLOOK
WEBSITES :-
www.google.com
www.wikipedia.com
www.tatasteels.com
www.adb.com
www.indiatimes.com
NEWS PAPERS
ECONOMIC TIMES
BUSINESS TIMES
HT BUSINESS
MINT
TIMES ASCENT