What"s Your Strategy for Managing Knowledge
Title: What"s Your Strategy for Managing Knowledge
Title: What"s Your Strategy for Managing Knowledge
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Authors: Hansen, Morten T., Nohria, Nitin, Tierney, Thomas
Subject: Knowledge management
Publish: 1999
Status: full text
Source: Harvard Business Review, 00178012, Mar/Apr99, Vol. 77, Issue 2
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Abstract:
The rise of the computer and the increasing importance of intellectual
assets have compelled executives to examine the knowledge underlying
their businesses and how it is used. Because knowledge management as a
conscious practice is so young, however, executives have lacked models
to use as guides. To help fill that gap, the authors recently studied
knowledge management practices at management consulting firms, health
care providers, and computer manufacturers. They found two very
different knowledge management strategies in place. In companies that
sell relatively standardized products that fill common needs, knowledge
is carefully codified and stored in databases, where it can be accessed
and used - over and over again - by anyone in this organization. The
authors call this the codification strategy. In companies that provide
highly customized solutions to unique problems, knowledge is shared
mainly through person-to-person contacts; the chief purpose of computers
is to help people communicate. They call this the personalization
strategy. A company"s choice of knowledge management strategy is not
arbitrary - it must be driven by the company"s competitive strategy.
Emphasizing the wrong approach or trying to pursue both can quickly
undermine a business. The authors warn that knowledge management should
not be isolated in a functional department like HR or IT. They emphasize
that the benefits are greatest - to both the company and its customers -
when a CEO and other general managers actively choose one of the
approaches as a primary strategy
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