KNOWLEDGE MANAGEMENT ( KM ) 

Meaning and Definition of Knowledge Management

 

                              Knowledge management or KM is the constant activity which involves procuring , developing , packaging . distributing , applying and managing knowledge or information . Knowledge management is defined as methodical approach of leveraging knowledge and information to improve organisational productivity . competency , innovation and responsiveness . Under this method , organisations acquire , use and store their useful information at a common place , which is easily accessible by other business units . The main purpose of KM is to share information with other departments of the organisation , so that it can be best utilised . The method through which vital information gathered business processes is put in storage at a common database accessible by other business processes is known as knowledge management . Such information involves business rules , cases related to business negotiations , critical analysis , required suggestions , consultants . observations , research studies , etc. Thus , knowledge management is the acquisition of valuable information contributed by all employees , meant for sharing with other business processes and departments .

Almost all organisations have sufficient accumulated knowledge , but it can be repetitive . For this purpose , the basics and concepts of knowledge should be clear in order to synchronise repeated information and provide good solution to the organisation . This is possible through gathering and conceptualising the required information and arranging it in a proper sequence so that the information is not distorted when it reaches the users . 

According to Holm , " KM is getting the right information to the right people at the right time , helping people create knowledge and sharing and acting on information " . 

According to Horwitch and Armacost , " KM is the creation , extraction , transformation and storage of the correct knowledge and information in order to design better policy , modify action , and deliver results " ,

 According to Nancy C. Shaw , " KM is the systematic process of creating , maintaining and nurturing an organisation to make the best use of knowledge to create business value and generate competitive advantage " 

         Features of Knowledge Management ) Following are the features of knowledge management : 

1 ) It is a never - ending process .

2 ) It is all - pervasive . It is practiced by everyone in the organisation . 

3 ) Procurement , transfer , and storage of information along with expertise , experience of individuals , and delivering them when required is included in knowledge management .

 4 ) Work teams and experts need to work together under knowledge management .

 5 ) Social interaction also leads to knowledge creation . 

6 ) It is the main pillar of organisational effectiveness . 

               Elements of Knowledge Management The three basic elements of knowledge management are : 

1 ) Knowledge Creation : 

                        Gathering data , information , facts , and techniques pertaining to the organisation and its members comes under knowledge creation . Numerous ways such as experimentation , automated knowledge discovery , research and development , creative thinking , benchmarking best practices , observing customers , process improvement projects , customer feedback , etc. , are used to generate new knowledge under knowledge creation , Knowledge creation is a continuous process which involves constant gathering of information , disposing the obsolete information , and keep evolving as per the dynamic environment .

 2 ) Knowledge Sharing : 

                      Communication and dissemination of the created knowledge throughout the organisation from the organisational database comes under knowledge sharing . Process engineering . information technology , and organisational dynamics are the basic methods used for knowledge sharing . It is essential that all these three tools work in uniformity to ensure an efficient flow of information to groups and its members , who are likely to be affected or influenced by it .

 3 ) Knowledge Utilisation : 

                  A major purpose of knowledge creation and sharing is utilising it for resolving issues and problems in the organisation . This is the third element of knowledge management and is called knowledge utilisation . Usage and sharing of knowledge leads to its growth , unlike other resources which get depleted after usage . 

                    Importance of Knowledge Management Importance of knowledge management is as follows :

 1 ) Quicker and Better Decisions :

              Better and faster decisions are facilitated with the help of knowledge management . Past experiences of the associates can be used in finding solutions for similar kinds of problem thus facilitating a quick and right decision . KM also helps in preventing the challenges which were earlier faced by previous associates .

 2 ) Enhanced Productivity :

                Knowledge management helps in enhancing the business ' productivity with the help of detailed information recorded in its database . Using this information , the organisation or individuals can minimise costs and make optimum use of organisational resources for achieving the intended growth .

3 ) New Products and Services :

                 The use of previously accumulated information fosters innovation and thus helps in the production of new products and services . KM minimises the time and costs involved in research and development processes by providing creative ideas for developing new products . Past knowledge and experience of experts can be used for future productions , leading to more flexible and faster implementation of various business activities . 

4 ) Business Intelligence and Analysis : 

                        Job of various business intelligence professionals and business analysts is to provide right information at the right time to the decision - maker . For this purpose , they gather information from numerous sources in order to evaluate the market , customers , and competitors , etc. In such situations , KM system enables the analysts to generate meaningful reports by retrieving and generating relevant data , and their sources from stored information using keywords and tags in the database . 

5 ) Project Management :

             Knowledge management helps in finding solutions for currents problems of project management , cost estimation , and risk management based on past knowledge and experiences related to previous projects . Project managers can obtain knowledge , and enhance their skills by using a formal KM system to gather information regarding new projects . Above all , when the team members of a project are working in different physical locations , the communication between them is facilitated through the knowledge management systems . 

6 ) Customer Service : 

                 The previously stored data in the KM systems aids customer service associates and help desks while handling similar problems and providing feedback - based appropriate solutions . Use of automated answering systems has become prominent these days in various organisations . The expertise profiles of employees based on knowledge management facilitate front - desk employees in transferring queries to concerned experts . These systems also enable personnel to get used to the customer's style of raising questions through the application of technologies based on information - expansion .