5. What is a management system?
Management System in Action
PROCESS
Products /
Services
OUTPUT
INPUT
Market
FEEDBACK
Internal Environment
External Environment
9. What is an Organization?
Simplified McKinsey Model: 3Ps
POSITION
PROCESS
PEOPLE
Search
Environment
Select
Strategy
Implement
Processes
Create
Value-Capture
Culture
Search
ENVIRONMENT
Select
STRATEGY
Implement
PROCESS
Capture-Value
CULTURE
10. Knowledge Management &
Innovation
The 7 Dimensions of Knowledge
ManagementSenior Management VISION & STRATEGY
1
HR
Policies
4
Performance
Measurement
SYSTEMS
6
Organizational
STRUCTURE
3
Suppliers
Partners
Universities
7
External
Learning
Clients
Competitors
Government
7
External
Learning
Information
SYSTEMS
5
Organizational
CULTURE
2
a. STRATEGIC
c. OPERATIONAL
b. TACTIC
12. Knowledge Management &
Innovation: D1 – Strategy
Video Case:
Pirates of the Silicon Valley Part 1
Apple’s Core Competence (0:00:00 + 0:18:50)
13. Knowledge Management &
Innovation: D1 - Strategy
Senior Management Vision
Focus on core competency
Create a sense of direction and “urgency”
Case in point: Lloyds Bank
Goal: to double the company’s
value every 3 years
Under CEO Brian Pitman, goal
was reached for 15 years !!!
Brian
Pitman
X 2X 4X 8X 16X 32X !!!
17. Knowledge Management &
Innovation: D3 - Structure
Organizational Structure
Flat hierarchies
Open spaces
Incentive to “skunk works”
Case in Point: Alcoa
CEO’s workstation measures
3 x 3 m, like any other in the
building
No desk is more than
15 m from a window
18. Knowledge Management &
Innovation: D4 - People
HR Policies
Recruit (and retain) talent
Incentivate knowledge sharing
Case in Point: McKinsey
Diversity of sources
Engagement of top managers
in recruitment process
Global knowledge base
Built-in turn-over: constant renewal
20. Knowledge Management &
Innovation: D5 - Systems
Information Systems
Data
“structured
registries”
Information
“message with meaning
and purpose”
Tacit / Implicit DomainExplicit Domain
Knowledge
“mental evaluation”
22. Knowledge Management &
Innovation: D6- Measures
Measurement Systems
Indicators that capture not only financial
performance but also:
• Customer feedback
• Process efficiency
• Learning and renewal
Case in Point: Skandia
Multiple indicators,
multiple perspectives
23. Knowledge Management &
Innovation: D7 - Networking
Internal / External Learning
Networking with
• Suppliers / Partners
• Competitors
• Government / University
Video Case:
Pirates of the Silicon Valley
Part 3: Apple x Xerox (1:01:00)
• Learning with the Environment