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					 KNOWLEDGE AUDIT


          Jay Liebowitz
   R.W. Deutsch Distinguished
Professor of Information Systems,
UMBC; (LIEBOWIT@UMBC.EDU)
What Do You Hope to Learn?

   Further background on KM processes
    and the role of the CKO in the
    organization
   Knowledge management methodology
   Knowledge audit process
   Practical advice about knowledge audits


                                          2
Knowledge Management
Process
   Developing new knowledge
   Securing new and existing knowledge
   Distributing knowledge
   Combining available knowledge
   Important element -- Connectivity


                                          3
“What is a CKO?” (Earl and
Scott, Sloan Mgt. Review,
Winter 1999)
   Studied 20 CKOs in           CKOs are conceptual
    North America and             designers
    Europe                       Concentrate on tapping
   Usually appointed by          tacit knowledge
    the CEO (gut feeling)        Self-starter; not single
   Primary task is to            career-track people
    articulate a KM program      Highly motivated
   CKOs spend a lot of           (driven)
    time “walking around         Most have small staffs
    the organization”             (3-12 persons)
                                 High level sponsorship 4
A SMART Methodology for
Knowledge Management
(Liebowitz et al., UMBC)
   S=Strategize
   M=Model
   A=Act
   R=Revise
   T=Transfer


                           5
    Operational/Implementation Steps for
    the Knowledge Leveraging Model
   Conceptualize and Strategize:
         Define Problem (why are we doing this; what should be the
          end result?)
         Assess Cultural Readiness, Technology Needs &
          Resources
         Conduct a Knowledge Audit (Knowledge Gap Analysis)
         Analyze and Develop an Overall KM Strategic Plan (Should
          Relate to the Center’s Strategic Plan; Define Leadership
          Role, KM Implementation Infrastructure, and Technology
          Needs)

   Knowledge Acquisition:
        Identify and Apply Methods to Capture Expertise (e.g.,
         structured/unstructured interviews, verbal walkthroughs,
                                                                    6
         observation, simulation, questionnaires, etc.)
7
8
Knowledge Audit
(ONLINX Research Inc.)
   A knowledge audit is a review of the firm’s
    knowledge assets and associated knowledge
    management systems
   A systematic and dispassionate review of the
    adequacy and integrity of important organizational
    assets and systems




                                                         9
Knowledge Audit (Dataware,
Liebowitz)
   In order to solve the targeted problem,
    what knowledge do we have, what
    knowledge is missing, who needs this
    knowledge, and how will we use the
    knowledge?




                                              10
Knowledge Audit (Seeley,
Warner-Lambert)
   What information exists in my organization, and
    where is it located?
   What expertise resides in my organization--who
    knows what?
   What relevant expertise resides outside my
    organization, where does this expertise exist, and
    how do I gain access to it?
   What are the best sources of relevant internal and
    external information and knowledge?


                                                         11
Value of a Knowledge Audit
(Peter Smith, ONLINX Research Inc.)
   Demonstrates exactly where value is being created through
    human and structural capital
   Highlights where leverage can best be applied through improved
    knowledge sharing and organizational learning
   Helps prioritize projects for improving knowledge management
    practice
   Demonstrates firm capabilities to shareholders and other
    stakeholders
   Is a key component to strategic planning for any knowledge-
    based enterprise
   Is a key adjunct to due diligence and business planning in
    mergers, acquisitions, strategic alliances, venture capital, and
    new company formation
                                                                  12
Why Audit?

   Looking for knowledge-based opportunities in
    the markets?
   Is your focus knowledge flows, stores, and
    sinks in the organization?
   Is the audit to check compliance with SOPs?
   Are you searching for ways to leverage
    internal processes using knowledge?
   Will you focus on knowledge objects or are
    you interested in cultural barriers?
                                               13
Why Audit? (cont.)
   Is the audit strictly for gathering baseline data
    (descriptive) or is there a prescriptive
    element?
   Is the audit part of a larger BPR project?
   Does the mandate include all stakeholders,
    suppliers, customers, stockholders, etc.?
   Where does the learning take place that
    generates the knowledge?
   How fast is the learning?
   What are the key leverage points in the
    learning process?                               14
Top 5 Reasons for Implementing
a KM Solution (Delphi Group)
   Organizing corporate K (63%)
   New ways to share tacit K (39%)
   Support for research and K generation
    (31%)
   New ways to share explicit K (29%)
   “Smart” tools to aid DM (26%)

                                            15
Knowledge Reuse
   Provides for the capture and reapplication of
    knowledge artifacts (episodes in memory, stories,
    relationships, experiences, rules of thumb, and other
    forms of knowledge acquired by individuals or
    groups)
   Relies as much on the use of negative experiences,
    flawed reasoning, or wrong answers as on correct
    results
   Failure and Lessons Learned in Information
    Technology Management: An International Journal
    (Jay Liebowitz, Editor-in-Chief; Publisher: Cognizant
    Communications Corp., NY; cogcomm@aol.com)
                                                        16
Information Audits (TFPL)
   Identify the information needs of the
    organization, the business units, and
    individuals
   Identify the information created and assess its
    value
   Identify the expertise and knowledge assets
   Identify the information gaps
   Review the current use of external and
    internal information sources
                                                  17
Information Audits (TFPL)
(cont.)
   Map information flows and bottlenecks within
    those flows
   Develop a knowledge map of the organization
    indicating appropriate connections and
    collections
These tasks will enable the design of content
maps for intranets, knowledge management
strategies, and information strategies

                                                18
Knowledge Management at
Monsanto Co.
   Developed a Knowledge Management Architecture
    (KMA) -- Director of Knowledge Management
   Includes a learning map that identifies questions
    answered and resulting decisions made
   Information map that specifies the kind of information
    that users need
   Knowledge map that explains what users do with
    specific information (conversion of information to
    insight or knowledge)


                                                         19
Audit (TFPL)

   Independent team
   Mix of interviews, questionnaires, discussion
    groups, and focus groups
   Number of people in “central” positions are
    interviewed
   Detailed questionnaire to all staff
   Do post-audits periodically


                                                    20
Perform a “knowledge audit” first! If you’re a manufacturer,
you inventory your physical assets before you change your
manufacturing plans and processes. Should we do less
with knowledge resources? Consider such factors as:


    What information do people need to do their jobs?
    What is the function of the information?
    Who holds that knowledge now? Who needs it? When?
    How can that information be made substantially more effective?
    What connection should you make between documents and
     “work flow”?
    Do you really want “document management” tied to work flow,
     processes, and “business process reengineering”?
    What precisely, is the nature of knowledge resources?


                                                                  21
Teltech’s Audit Process

   Begins at the top, identifying the client’s
    key decision making areas and tasks,
    and drills down to evaluate the types,
    level, and location of info and K required
    to support those decisions
   Gap analysis identifies information/K
    weak areas

                                             22
Teltech’s (cont.)

   Teltech’s knowledge audit takes 3-4
    weeks at one location with 200-600
    employees
   Assesses knowledge-related behavior
    (e.g., how receptive is a client’s culture
    to accessing information electronically?)


                                            23
Knowledge Audits & Related
Projects (Liebowitz et al.,
UMBC)
   BRI/PAC core competency process at
    the Social Security Administration (2
    surveys, follow-up interviews)
   Knowledge management strategy for the
    FCC
   Knowledge mapping for ASID
   Web-based expert system for HCFA
   Agent-based system for the Navy
                                          24
   Other work at our Lab for KM
Knowledge Organization
   Invest in education and training of the firm’s human
    capital
   Develop knowledge repositories for preserving,
    sharing, and distributing K
   Provide incentives to encourage employees and
    management to contribute to the organization’s
    knowledge repositories and use this knowledge
   Consider evaluating annually each member of the
    firm on the quality and quantity of knowledge
    contributed to the firm’s knowledge bases as well as
    the organizational knowledge used by that firm
    member
                                                           25
Knowledge Organization
(cont.)
   Develop methodologies for managing and structuring
    the knowledge in the knowledge repositories
   Provide an infrastructure of individuals whose main
    job is to manage the creation, development, and
    maintenance of knowledge repositories
   Place the Chief Knowledge Officer (CKO) in either a
    staff position directly under the CEO or in a line
    position equivalent to a VP
   Adapt to the changing competitive environment by
    forming project teams based on the employee
    knowledge profiles
                                                      26
CGIAR KM Survey Results
   Most Centers don’t measure         Creation of K: lessons
    the value of the IC                 learned analysis
   People are the most                Storing K: manuals and
    important knowledge carriers        handbooks
   Most of the Centers’               “Some” understanding and
    strategic goals don’t include       support for KM
    KM explicitly                      Mixed reaction on motivating
   KM objective: facilitate the        and rewarding for KM
    re-use & consolidation of K        No formal Webmaster
   Sharing of K: intranets,            function in most Centers
    documentation--Center level        Email & videoconferencing:
   Unit-level: intranets, cross-       intranet to support KM
    functional teams, training         No tracking of new K
                                                                   27
                                        generation

				
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