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Slide 1: Showing the Value of KM Matt Moore http://engineerswithoutfears.blogspot.com/

Slide 2: Why? •Money •Respect •Survival

Slide 3: Return on… What? “Can you give me a spreadsheet that will do this for me?”

Slide 4: Return on… What? “Can you give me a spreadsheet that will do this for me?” No

Slide 5: Quantitative Rhetoric • Ethos – Credibility in the eyes of your audience. • Pathos – The uses of narrative & anecdote. • Logos – The uses of inductive & deductive reason. http://www.kidspast.com/images/aristotle.jpg

Slide 6: Know Your Audience • You must understand your audience: – CEO? – CFO / Accountant? – CIO / IT Manager? – Business Line Manager? – Worker? • What matters to them? • Therefore: What numbers matter to them?

Slide 7: Know Yourself • What activities is your KM programme engaged in? – Document Management – Communities of Practice – Lessons Learned / AARs – Knowledge Retention – Collaboration – Innovation

Slide 8: Volume Measures • You should have lots of these: – Documents added – Documents downloaded – Community sessions – Community members – Etc. • They make nice graphs.

Slide 9: ES Volume Measures R • You should have lots of these: A – Documents added C – Documents downloaded – Community sessions E – Community members N – Etc. O • They make nice graphs. O N

Slide 10: Value Drivers Risk Management CoPs Quality Staff Costs Productivity Sales AARs Effectiveness Process Efficiency Staff Engagement Revenue Blogs Travel New Product Development

Slide 11: Identifying Linkages • Interviews • Workshops • Ethnography • Operational Monitoring • Ask; Listen; Look

Slide 12: Quantifying Linkages • Surveys • Interviews • Industry Benchmarks

Slide 13: Example - Inputs Input Definition Source Confidence Total number of staff who # of community participate in communities based Community Membership members deduplicated membership lists Lists Annual average FTE cost (240 days Total cost (I.e. wages, super, etc) of per year) an average FTE Sourced from HR Net time saved in The additional time a community information & member would have to spend expert location - identifying information & experts members (days that they obtained from per month) participation in the community Estimated from interviews Member multiplier Number of non-members that impact on non- attendees talk to about CoP members activities Estimated from interviews The additional time a community Net time saved in non-member would have to spend information & identifying information & experts expert location - that they obtained from non-members discussions with a community (days per month) member Estimated from interviews Average cost of training per person Estimated external course costs Sourced from HR Number of training courses Courses Replaced substituted by CoP members Estimated from interviews

Slide 14: Example - Outputs Output Definition Definition = [Community Members] x [Net time saved Information & in information & expert location - members (days per Expert Location - month)] x [Annual average FTE cost (240 days per Members year)] x 12 months / 240 days per year Definition = [Community Members] x [Member multiplier impact on non-attendees] x [Net time saved Information & in information & expert location - non-attendees Expert Location - (days per month)] x [Annual average FTE cost (240 Non-members days per year)] x 12 months / 240 days per year Definition = [Community Members] x [Average cost of Training training per person] x [Courses replaced]

Slide 15: Example - Outputs Inputs & Assumptions # of community members 300 Annual average FTE cost (240 days per year) $50,000 Net time saved in information & expert location - members (days per month) 0.5 Member multiplier impact on non-members 2 Net time saved in information & expert location - non-members (days per month) 0.2 Average cost of training per person 1000 Courses Replaced 1 Annual Cost Savings Training $300,000 Information & Expert Location - Attendees $375,000 Information & Expert Location - Non-attendees $300,000 Total $975,000

Slide 16: How Good Does Your Logos Have To Be? • Depends on who your audience are. • Depends on how much they like you. • Always test it beforehand. • Be prepared to have your assumptions challenged… • …but don’t be afraid to turn it back.

Slide 17: How Good Does Your Logos Have To Be? http://www.dkimages.com/discover/previews/767/121750.JPG

Slide 18: How Good Does Your Logos Have To Be? http://oldstylekennels.net/db2/00153/oldstylekennels.net/_uimages/brandymastiffpuppy.jpg

Slide 19: The Power Of Visuals http://indexed.blogspot.com/2008/03/emperors-new-suit-was-expensive.html

Slide 20: Don’t Forget The Other Two • Ethos – Credibility in the eyes of your audience. • Pathos – The uses of narrative & anecdote. • Logos – The uses of inductive & deductive reason. http://www.kidspast.com/images/aristotle.jpg