Concept of KM:

Knowledge: Knowledge is information combined with understanding and capability; it

lives in the minds of people. Typically, knowledge provides a level of predictability that
usually stems from the recognition of patterns.
Management is the act of getting people together to accomplish desired
goals.It is the act of planning, organizing, staffing, leading or directing, and
controlling an organization. It is the effort for the purpose of accomplishing a
goal.
KM may be defined as follows:
Knowledge management is a process of acquiring, generating,
accumulating and using knowledge for the benefit of the organisation
to enable it to gain a competitive edge for survival, growth and
prosperity in a globalized competitive economy.
The objective of knowledge management is to enhance organizational competitiveness, improve
performance, the sharing of lessons learnt, and the continuous improvement of the organizational
processes.

There are two main types of knowledge

1) tacit knowledge
2) explicit knowledge.

Tacit knowledge refers to personal knowledge embedded in individual experience and

involving intangible factors such as personal belief, perspective, and values. Tacit knowledge
can be extremely difficult to transfer. This is a point that any parent should recognize
immediately. If you have ever tried to teach your child something as seemingly simple as
how to properly hold a pencil, you have realized that many things that are easy for you
to do are almost impossible for you to explain.

Explicit knowledge refers to tacit knowledge that has been documented. It has been
articulated into formal language and can be much more easily transferred among individuals.
Making tacit knowledge explicit is one of the key functions of a KM strategy.

An Overview of the Process of KM:

KM broadly consists of the following major steps:
(i) Identification of Knowledge Needs:
The first step in KM is an identification of what type of knowledge is
required for the successful designing and implementation of corporate
strategy.

(ii) Determination of Knowledge Assets:

The management must identify what are the knowledge assets of the
organisation; which basically are competitors, suppliers, governmental
agencies, products and processes, technology etc. Management must
plan to get maximum returns out of knowledge assets.

(iii) Generation of Knowledge:

Generation of knowledge requires two sources:
(a) Acquisition of knowledge through knowledge assets e.g. knowledge
about new products (from competitors), new technologies, social,
economical, political changes. It also requires transformation of raw
information into knowledge, useful to solve business problems.

(b) Generation of knowledge, by creating conditions for the emergence

of a learning organisation. This is the most important internal source
of knowledge generation which makes tacit knowledge of individuals
available for organisational purposes.

(iv) Knowledge Storage:

It includes preserving existing and acquired knowledge in knowledge
repositories. (A knowledge repository is an on line computer based
storehouse of organised information about a particular domain of
knowledge).
(v) Knowledge Distribution:
It is a process which allows members of the organisation to have an
access to the collective knowledge of the organisation.

(vi) Knowledge Utilization:

It requires embedding knowledge in products, processes, procedures
etc. of the organisation. Best utilisation of knowledge takes place when
managers utilize knowledge in organisational decision making. A
learning organisation creates conditions for sharing and utilizing
knowledge in organisational contexts.

(vii) Feedback on KM:

Feedback on KM implies evaluating the significance of knowledge
assets. It also includes impact of KM on organisational performance;
and devising techniques for betterment of KM in future.

Benefits:

Employee awareness

Knowledge management helps the employees to be aware of their tasks and

responsibilities. It facilitates the employees to save their time and efforts

because everyone knows where to go to find the destination of the

organization.

Adapt organizational change

Knowledge management helps to develop, acquire, process and retain old

knowledge. Thus, such knowledge helps to adapt the organizational change.

Helps in decision-making

Knowledge gained from experience gives the idea about the future. It shows

the trend of the past which helps to take the right decision at present and

future. The manager can collect essential information from knowledge store

and analyze the situation in a systematic way.

Transfer Knowledge

Knowledge management ensures the sharing of information among all

employees in the organization. Such sharing of information helps to transfer

knowledge from the employees to other employees which help to develop

employees.

Reduces risk

It accumulates the knowledge or information from internal and external

sources. Such information can be used in decision making and its

implementation. The manager can take the right decision using such

knowledge. Thus, it reduces risk.

Goal achievement

Effective knowledge management facilitates to reduce costs. It should also

increase the speed of the response of employees as a direct result of better

knowledge. People are developing their competence and confidence faster in

an organization that practice effective knowledge management.

Availability of information

All the information either tacit or explicit is stored in knowledge store or in the

form of information. Such sharing of information helps to transfer knowledge

from one employee to other employees and also provides sufficient

information for conducting various activities.

Technologies Used in KMS:

1) communication
2) collaboration
3) Storage/Retrieval

Tools of KMS:

1) Artificial intelligence
2) Intelligent Agents, Intelligent Minds
3) XML
4) Web 2.0