This presentation slides present the differences between data,info and knowledge and why knowledge needs to be managed.

1. Essential of Knowledge Management
SBB4363
Introduction to the Course | Data Information and Knowledge |
Knowledge Management

2. Outline
 Course Outline
 Data, Information and Knowledge
 What is Knowledge?
 Types of Knowledge
 Alternative Views of Knowledge
 Why Knowledge?
 Productivity Challenge
 The Need of Knowledge Management
 Definition of KM
 Forces driving KM
 KM Process
 KM Pillars

3. Instructor’s Details
 Name: Khairul Shafee Kalid
 Office: 02-03-07
 Phone: 05-368 7472
 Google Talk / Google+: kshafee.kalid@gmail.com
 Twitter: khairul_shafee

4. The Hierarchical View of Data, Information and
Knowledge
 Data
 unorganized and unprocessed facts.
 Information
 processed data
 contextualized data
 Knowledge
 Information processed in the mind of individuals related to facts,
procedures, concepts, interpretations, ideas, observations and
judgment.
Alavi and Leidner (2001)
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5. The Hierarchical View of Data, Information and
Knowledge
 Tuomi (1999) argues that the data, information and knowledge
hierarchy is actually inverse.
 Knowledge must exists before information can be formulated and
before data can be measured to form information.
 Knowledge must have a knower.
 Knowledge is shaped by one’s needs and one’s initial stock of
knowledge (Fahey and Prusak, 1998; Tuomi, 1999)
 Knowledge is the result of cognitive processing triggered by
inflow of new stimuli.
 Once it is articulated and presented in the form of
text, graphics, words or other symbolic forms, it becomes
information.(2001)
Alavi and Leidner
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6. Definition of Knowledge
 Knowledge is defined as a justified belief that increases an entity’s
capacity for effective action (Huber, 1991;Nonaka, 1994)
 Knowledge is defined as understanding gained through
experience or study (Schubert et al, 1998)
 A fluid mix of framed experience, contextual information, values
and expert insight that provides a framework for evaluating and
incorporating new experiences and information (Davenport and
Prusak, 1998)
All cited in Alavi and Leidner (2001)
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7. Alternative Perspective of Knowledge
 Subjective View
1. State of Mind – enabling individuals to expand their personal
knowledge and apply it to the organization needs.
2. Practice/Process – focuses on applying expertise
 Objective View
1. Object – knowledge can be stored and manipulated.
2. Condition of Access to Information – knowledge must be
organized to facilitate access to and retrieval of content.
3. Capability – capacity to use information; learning and experience
result in an ability to interpret information ad to ascertain what
information is necessary for decision making.
Alavi and Leidner (2001); Becerra-Fernandez et al (2004)

8. Knowledge Perspectives and Their Implications
Alavi and Leidner (2001)
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9. Knowledge Taxonomies
 Tacit knowledge
 knowledge embedded in the human mind through experience and jobs
 usually gets embedded in human mind through experience.
 Explicit Knowledge
 knowledge codified and digitized in
books, documents, reports, memos, etc.
 is that which is codified and digitized in
documents, books, reports, spreadsheets, memos etc.
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10. http://serendip.brynmawr.edu/sci_edu/seelybrown/seelybrown4.html

11. J. Scott Holste, Dail Fields, (2010) "Trust and tacit knowledge
sharing and use", Journal of Knowledge Management, Vol. 14 Iss: 1,
pp.128 - 140

12. http://www.putrafajaralam.com/perbedaan-tacit-dan-explicit-
knowledge.html

13. Knowledge Taxonomies
Alavi and Leidner (2001
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14. Why Knowledge?
Knowledge has become the key resource, for a nation’s military
strength as well as for its
economic strength… is fundamentally different
from the traditional key resources of the
economist – land, labor, and even capital…we
need systematic work on the quality of
knowledge and the productivity of knowledge…the performance
capacity, if not the survival, of any organization in the
knowledge society will come increasingly to depend on those two
factors” [Drucker,1994]

15. The Knowledge Challenge
Primary Repositories of an Organization's
Knowledge
Paper
Documentation Employees'
26% Brains
42%
Electronic
Documentation Electronic
20% Knowledge
Base Source: The Delphi Group, Inc.
12%
We always know more than we can tell.
Michael Polyani, 1967

16. The Productivity Challenge
 Average information worker spends over an hour and a half on
email each day, which is 20% of their work time
 Employees get 60-75% of their relevant information directly
from other people
 More than 80% of the organization digitized information reside
in individual hard drives and personal files (and thus not
accessible)
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17. The Need of KM

18. The Need of KM

19. If you leave the organization….

20. Definition of Knowledge Management (KM)
 The most cited definition on knowledge management is KM as the
exploitation and development of the knowledge assets of an organization with a
view to furthering the organisation’s objectives. (Davenport & Prusak, 1998)
 A complete definition of KM is KM involves the people, process, activities
and technology and the broader environment that enable the identification,
creation, communication or sharing, and use of organizational and individual
knowledge. It is about the process that governs the creation, dissemination and
utilization of knowledge to attain organizational objective. It requires a mix of
business awareness, creative attitudes and practices, systems, tools, policies,
procedures designed to release the power of information and ideas.(Lehaney
et. al (2004) p. 13)

21. Intellectual Capital: Human vs Structural Capital
 Human capital
 The body of knowledge the company possesses
 Knowledge in the minds of Microsoft’s software developers,
researchers, academic collaborators, business managers, …
 Also, knowledge in the minds of vendors and customers
 Structural capital
 Everything that remains after the employees go home
 Copyrights, customer files, business process software, databases,
software manuals, trademarks, organizational structures, …
 In other words, organizational capability

22. Forces Driving KM
 Increasing Domain Complexity
 Intricacy of internal and external processes, increased competition, and the
rapid advancement of technology all contribute to increasing domain
complexity.
 Accelerating Market Volatility
 The pace of change or volatility, within each market domain has increased
rapidly in the past decade.
 Intensified Speed of Responsiveness
 The time required to take action based upon subtle changes within and across
domains is decreasing.
 Diminishing Individual Experience
 High employee turnover rates have resulted in individuals with decision-
making authority having less tenure within their organizations than ever
before.
Becerra-Fernandez et al (2004)

23. The Emergence of Knowledge Management
 Fallout from Business Process Reengineering (BPR) fad of the
early 1990s
 The advancement of technology (PC, Internet etc.)
 The explosion of content, information and knowledge caused by
the rapid growth of Internet and corporate intranets, data
warehouses and databases.
 Organizational issues of maintaining business values and reducing
risk litigation and overall liability by managing human and
intellectual capital better.
Jennex (2007)
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24. KM Process
Becerra-Fernandez et al (2004)
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25. Knowledge Discovery
 Knowledge discovery may be defined as the development of new tacit
or explicit knowledge from data and information or from the
synthesis of prior knowledge
 Primarily concerned with creating new knowledge. Fundamental
belief is that we can never claim to have sufficient knowledge. We
need to replenish our knowledge base continually. This fact is
evidenced by many unresolved chronic problems.
 Knowledge update can mean creating new knowledge based on
ongoing experience in a specific domain and then using the new
knowledge in combination with the existing knowledge to come
up with updated knowledge for knowledge sharing.
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26. Knowledge Discovery
 Example 1:
 We find posted signs on mechanized walks at the airport that read
“Walk on left, stand on right.” Not many passengers pay attention
and/or obey the signs. This has been a recurrent problem. There is no
knowledge in existence that will solve this problem. In other words,
there is no knowledge to manage. We must create the knowledge.
 Example 2:
 Many car drivers casually turn left after the light has changed from
yellow to red. It is impossible to have as many policemen as drivers to
keep such behavior under check. This problem begs for a solution.
Once again, there is no knowledge on how to solve this chronic
problem. Therefore, there is no knowledge to manage.
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27. Knowledge Capture
 Knowledge capture is defined as the process of retrieving either explicit or
tacit knowledge that resides within people, artifacts, or organizational
entities.
 Examples:
 Knowledge might reside within an individual’s mind, without that individual
having the ability to recognize it and share it with others. (tacit knowledge)
 Knowledge might reside in an explicit form in a manual, but few people
might be aware of it. (explicit knowledge)
 In both cases, it is important to obtain the knowledge such that it can be
shared with others.
 Knowledge captured might reside outside the organizational
boundaries, including consultants,competitors, customers, suppliers,
and prior employers of the organization’s new employees
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28. Knowledge Sharing
 Knowledge sharing is the process through which explicit or tacit
knowledge is communicated to other individuals
 Must result in effective transfer
 Recipient must understand it well enough to act on it
 •Must be the knowledge itself that is shared
 Not just recommendations based on knowledge (which is just
utilization rather than sharing of knowledge; we call this direction as
discussed shortly)
 May take place across individuals, groups, departments or
organizations
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29. Knowledge Application
 Knowledge application is the process through which explicit or tacit
knowledge is utilized to guide decisions and actions
 Depends on the process of knowledge discovery, capture, and
storage
 The better/worse the processes of discovery, capture, and storage, the
better/worse the likelihood that knowledge needed for effective
decision making is available
 In knowledge application, the party that makes use of the
knowledge does not necessarily need to comprehend it!
 As long as the knowledge is somehow used to guide the decisions or
actions – directly or indirectly
 Knowledge application is possible even in the absence of actual
exchange or transfer of knowledge…
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30. 4 Pillars of KM
Management &
Organization
Content & People &
Processes Culture
Infrastructure

31. Pillar: Management and Organization
 A successful implementation of a knowledge management system
requires a champion or leader at or near the top of an
organization who can provide the strong and dedicated
leadership needed for cultural change.
 Operational processes must align with the KM framework and
strategy.
 KM processes integrated in the daily tasks by the systems staff.
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32. Pillar: Content and Process
 Put in place clear processes so that stakeholders understand how
they are expected to share and re-use information and knowledge
and how they can get help.
 The use of standards and formats for document capture and
mandating their storage on a shared site (e.g. Intranet) so that
they are available to others.
 Ensure that content is up to date and accessible to those who
need it.
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33. Pillar: Content and Process
 Knowledge sharing flow and content management processes
need to be defined to ease the creation, documentation,
publication and use of knowledge and to make sure that mature
information will be made ready to be used whenever needed.
 It needs to be built into established work processes and
methodologies and become an integral part of the way people do
their work.
 Content must be relevant and trusted - and subject to an ongoing
maintenance process (e.g., retiring out-of-date information).
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34. Pillar : Infrastructure - Technology
 Technology enables and provides all of the infrastructure and tools to
support KM within an enterprise.
 Capture and store, Search and retrieve, Structure and navigate, Share and
collaborate, Solve or recommend
 Technology must add value to the process and achieve measureable
improvements.
 Technology should blend well into the employee work environment
and it should be very intuitive and easy to use.
 It should also support distributed work and allow knowledge
workers to be effective wherever they are.
 Integration and flexibility are a must and the technology should be
easy to master and use, otherwise, users are likely to give up and
important knowledge will be lost.
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35. Pillar : People and Culture
 Knowledge resides in people.
 Culture dictates attitude and perception.
 Knowledge sharing and collaboration culture relies heavily on
management leadership.
 Provide recognition and rewards for successes.
 Establish people networks and use this network to communicate.
 Culture is the most important, yet difficult to achieve challenge.
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36. Conclusion
 What is KM? Why do we need it?
 What are the forces of driving KM?
 What are KM processes?
 What are the pillars of KM?
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37. References
 M Alavi, DE Leidner (2001), Review: Knowledge management and
knowledge management systems: Conceptual foundations and research issues
- MIS quarterly, – Search at Google Scholar.
 Irma Becerra-Fernandez,Avelino Gonzalez,Rajiv Sabherwal (2004),
Knowledge Management: Challenges, Solutions and Technologies
 Murray Jennex (2007) , Chapter 1 What is Knowledge Management,
Knowledge Management in Modern Organizations
 http://www.systems-thinking.org/dikw/dikw.htm
 Lehaney, B., Clark, S., Coakes, E., & Jack, G. (2004). Beyond knowledge management.
Hershey, PA: Idea Group Publishing.
http://books.google.com.my/books?id=xraSeAz0vUoC&printsec=frontcover#v=onep
age&q&f=false
 http://decisionautomation.com/glossary/14.php
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