Knowledge Management – An Effective Management Tool...

Knowledge Management – An Effective Management Tool Knowledge is the insights, understandings and practical know-how possessed by us. It is the fundamental resource that allows us to function intelligently. Unlike the conventional material assets, which decrease as they are used, knowledge asset increases with use. Ideas breed new ideas, and shared knowledge stays with the giver while it enriches the receiver. Knowledge management is the basis for, and the driver of, the post industrial economy since it is the result of learning which provides the only sustainable competitive advantage. It is also the principal factor that makes personal, organizational, and societal intelligent behavior possible. Knowledge is basically of two types. Explicit knowledge – It is formal and systematic that can be easily communicated and shared as in the form of product specifications, scientific formulae, systems, methods, and literature or computer programs. Tacit or implicit knowledge – It is highly invisible and confined in the mind of the knower. It is difficult to formalize and therefore not easy to communicate. Tacit knowledge is normally unrecorded and unarticulated. Transformation of knowledge from tacit or implicit to explicit form increases its usability and visibility. Capture of knower’s tacit knowledge that resides within him in the form of knowhow and insights is a difficult and challenging process. Organizations create a great amount of data and information (knowledge) in their daily business activities. It would be essential for the organization to have a system of managing the newly created knowledge so it can be reused to solve new problems or leveraged to value-add to other business activities. One of the advantages of knowledge is that knowledge is dynamic. It can be adapted and evolved through the processes of learning and sharing. The impact made by individual knowledge is not as great as collective knowledge...