1. Introduction
Knowledge Management: Case Study on Ernst &
Young (E&Y) and Cap Gemini (CG).

2. Group B members
 Pelumi Alli
 Oluwafemi Akinwande
 Basudev Wagle

3. Knowledge Management
Systematic approaches to help
information and knowledge emerge
and flow to the right people at the
right time to create value.
Source: American Productivity & Quality Center (2002)

4. 1. What cultural problems do you identify in relation to
the implementation of KM strategy in the two
companies?

5. Elements of Organisational Culture
Artifacts
Stories/legends
Rituals/ceremonies Visible
Organisational language
Physical structure/decor
Shared Values
Conscious (e.g. teamwork, innovation)
Evaluate what is good or bad, right or
wrong
Invisible
Shared Assumptions
Unconscious, taken-for-granted
perceptions or beliefs
Mental models of ideals
Source: Based on Information in E.H. Schein, Organisational Culture and leadership: A Dynamic View (San Francisco: Jossey-Bass, 1985)

6. Organisational language
 Communication, how employees address
themselves, describe various terms, choice of
words, expressions (McShane et al, 2008).
 CG has a technological background, while E&Y has an
accounting background.
Example: “customers” and “clients”
“KWeb” and “Galaxy/ Planets”

7. Organisation Structure
 E&Y divided the organisation into four centres (i.e.
CBI, CBT, CBK ,CTE.), while CG had a linear structure.
 Separation of duty.
 Use of Internal & External Knowledge.
 E&Y focuses its KM on the individuals
(teamwork), while CG looked majorly at the
technological platform.

8. Easier to document and Explicit
share
Contributes to
Easier to
efficiency
replicate
20%
Leads to
competency
80%
Tacit
Harder to articulate
Harder to steal
Higher
competitive Harder to transfer
advantage
8
Source: American Productivity & Quality Center (2002)

9. Knowledge Management Structure
 Mechanistic vs. Organic Structure (Burns et al, 1961)
 E&Y – mechanistic, whereby the KM was centralised
and highly structured.
 Central decision making & authority (leadership)
 Filtering and disseminating
 CG- organic, whereby the KM was decentralised and
less rigid structure
 Dispersed power & authority around the organisation
 KM was uploaded at each planet
 Empowerment

10. 2. What are the key success factors in Ernst & Young’s
knowledge management strategy? How would you
‘export’ them to Cap Gemini?

11. Knowledge Management Strategy
 Knowledge management strategy can be defined as a
decision / action applied in implementing knowledge
management frameworks.
 The frameworks include:
- Technological platform of the KWeb;
- CoP: Employees of same expertise and location share
information and exchange knowledge;
- Teamwork.

12. Key Success Factors in Ernst & Young
 Separation of the consultancy arm from the knowledge
management arm of the organisation;
CBK the bedrock of
Creation of various CBK recognised the
knowledge
centres (with separate need for exchange of
management of the
duties and knowledge internally
organisation (filter the
responsibilities). and externally.
knowledge gotten)

13. Key Success Factors in Ernst & Young
 Teamwork:
• The use of forums;
• Other social / technology platforms.

14. Exporting KM Key Success factors
to Cap Gemini
Unfreezing: The first part of
the change process, where by
the change process produces a
disequilibrium between the
driving and restraining forces.
Refreezing: The latter part of
the change process in which
systems and conditions are
introduced that reinforce and
maintain the desired
behaviors.
Source: Based on Information in Ashok Jashapara, Knowledge Management an Integrated Approach (2011).

15. Lewin’s Force Field Analysis Model
Refreezing Restraining
Desired
forces
Conditions
Driving
Restraining
forces forces
Driving
Restraining forces Unfreezing
forces
Current
Conditions
Driving Freezed
forces
Before change After Change
Source: Based on Information in Mcshane & Glinow, Organizational Behavior .

16. Exporting KM Key Success factors
to Cap Gemini
• According to Lewin’s force field analysis
model, effective change occurs by unfreezing the
current situation, moving to a desired condition, and
then refreezing the system so it remains in the
desired state.
• Unfreezing occurs when the driving forces are
stronger than restraining forces.
• Driving forces must increase enough to motivate
change.

17. 3. What advise would you give Alberto Almansa
regarding Centre for Business Knowledge (CBK)?
Would you renew the contract or would you go
without?

18. Merger Strategy
Merger Strategy Description Works best when
Assimilation Acquired company embraces Acquired firm has a weak
acquiring firm’s practice. practice or platform
Acquired firm impose their Rarely works-may be
De-strategise
practice and strategy on necessary only when acquired
unwilling acquires firm firm does not work but
employees don’t realise it
Combining the two or more Existing practice or strategy
Integration practice or strategy into a new are strong and can be
composite one improved
Merging companies remain Firms operate successfully
Separation distinct entities with minimal in different ways, requiring
exchange of practice and different practice and
strategy strategy
Source: Based on ideas in McShane and Von Glinow. 2008 “Organisational Behavior”. 4th Edition, McGraw-Hill Irwin

19. Integration Strategy
35 + 7 = 42 Galaxy
KWeb
KGalaxy
< 35
Reduces:
IT maintenance
People
Operational cost
+
Human Resources
Technology

20. Identification of
problem and
strength
Source: Ashok Jashapara, 2011
Dismissal of potentially redundant effort and
encouragement of innovation

21. Conclusion
 Organisational Culture
 Change Management
 Integration Merger Strategy

22. THANK YOU!