421-672 Management of Technological Enterprises Managing Knowledge in Technological Enterprises William P. (Bill) Hall (Ph...
“ Knowledge” and the technological enterprise <ul><li>Reading: AS 5037-2005: Knowledge Management – a Guide </li></ul><ul>...
Definitions: Tacit, Implicit and Explicit <ul><li>“ We only know what we need to know when we need to know it” </li></ul>
“ Knowledge” and the technological enterprise <ul><li>Knowledge is intangible </li></ul><ul><ul><li>Although some kinds of...
To err is human! <ul><li>High tech enterprises are fallible, because people, processes and products are all fallible! </li...
KM system of systems in the high-tech enterprise <ul><li>Effective knowledge management must consider how to find, share, ...
KM failures can have consequences <ul><li>Swiss federal Institute of technology in Zurich analysed 800 cases of structural...
KM failures can have consequences Sections from Westgate Bridge at Monash Uni's department of Civil Engineering, Clayton <...
KM failures can have consequences <ul><li>And then there are the economic failures! </li></ul><ul><ul><li>Cost overruns </...
Management: People <ul><li>Social networking – how do you know who knows what </li></ul><ul><ul><li>“ Water coolers” (plac...
Management: Process  <ul><li>Business process mapping and improvement ( Dalmaris, P., Tsui, E., Hall, W.P., Smith, B. 2007...
Management: Infrastructure <ul><li>Tools </li></ul><ul><ul><li>Telephone </li></ul></ul><ul><ul><li>Local area network </l...
Some not quite random thoughts <ul><li>Organizational size matters  </li></ul><ul><ul><li>see  Greiner, L.E., 1998, Evolut...
Some not quite random thoughts <ul><li>Project management organizations amongst most knowledge intensive but have specific...
Some not quite random thoughts <ul><li>Time is of the essence </li></ul><ul><ul><li>Knowledge is useful only if it is avai...
Tutorial Exercise: conduct a KM audit and plan <ul><li>State organizational imperatives (i.e., what the enterprise has to ...
Tutorial Exercise: conduct a KM audit and plan <ul><li>Determine where this knowledge exists: Build a knowledge map or mat...
Tutorial Exercise: conduct a KM audit and plan <ul><li>Determine how those people / agents in the enterprise can have or g...
My background for managing knowledge in technological enterprises <ul><li>Childhood ambition: aerospace engineering </li><...
References <ul><li>Hall, W.P., Richards, G., Sarelius, C., Kilpatrick, B. 2008.  Organisational  management of project and...
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421 672 Management Of Technological Enterprises (2009)

  1. 1. 421-672 Management of Technological Enterprises Managing Knowledge in Technological Enterprises William P. (Bill) Hall (PhD) Evolutionary Biology of Species and Organizations http://www.orgs-evolution-knowledge.net Ex Documentation and KM Systems Analyst Tenix Group (retired July 2007) National Fellow Australian Centre for Science, Innovation and Society Uni Office: Room 106 Old Engineering Phone: 8345 8033 (Mon, Wed, Fri) Email: [email_address] 18 March 2009 People Process Infrastructure Enterprise knowledge Leave one of the legs off, and the stool will fall over
  2. 2. “ Knowledge” and the technological enterprise <ul><li>Reading: AS 5037-2005: Knowledge Management – a Guide </li></ul><ul><li>Knowledge ≈ “solutions to problems” </li></ul><ul><li>Knowledge is a technological enterprise’s most valuable resource </li></ul><ul><li>You can’t design, engineer or produce products or services without knowledge </li></ul><ul><ul><li>Knowledge embodied in the way the enterprise works (e.g., networking) </li></ul></ul><ul><ul><li>Knowledge embodied in the product’s functions or services </li></ul></ul><ul><ul><li>Knowledge about how to produce products / provide services </li></ul></ul><ul><ul><li>Deliverable knowledge about how to apply/operate/maintain products </li></ul></ul><ul><ul><li>Staff’s personal knowledge about how to perform their tasks </li></ul></ul><ul><li>Many engineering enterprises fail to recognise the importance of many forms of knowledge </li></ul><ul><ul><li>They assume engineers know how to engineer </li></ul></ul><ul><ul><li>Assume all that is needed is to hire the right people and adhere to appropriate standards </li></ul></ul><ul><ul><li>Some knowledge is still managed, but this is done unconsciously </li></ul></ul><ul><ul><li>Much is lost because it is not understood or recognized </li></ul></ul>
  3. 3. Definitions: Tacit, Implicit and Explicit <ul><li>“ We only know what we need to know when we need to know it” </li></ul>
  4. 4. “ Knowledge” and the technological enterprise <ul><li>Knowledge is intangible </li></ul><ul><ul><li>Although some kinds of knowledge may be codified onto paper (i.e., made “explicit”), the codes are meaningless without a human or other active agent to understand the code and put the meaning into practice </li></ul></ul><ul><li>It is people belonging to the enterprise who know: </li></ul><ul><ul><li>what knowledge is needed </li></ul></ul><ul><ul><li>who may know the answer (e.g., communities, personal networks) </li></ul></ul><ul><ul><li>where the codified knowledge may be found (document management) </li></ul></ul><ul><ul><li>why the knowledge is important or why it was created </li></ul></ul><ul><ul><li>when the knowledge was last needed or may be needed in the future </li></ul></ul><ul><ul><li>how it came to be or how to apply the knowledge </li></ul></ul><ul><li>Human knowledge is paradoxical (Snowden, D. 2002. Complex acts of knowing: paradox and descriptive self-awareness. Journal of Knowledge Management 6(2):100-111 - http://tinyurl.com/5rrgmh ) </li></ul><ul><ul><li>Knowledge will only be volunteered, it cannot be conscripted </li></ul></ul><ul><ul><li>People know more than they can tell, and will tell more than they can write down </li></ul></ul><ul><ul><li>People only know what they know when they need to know it. </li></ul></ul>
  5. 5. To err is human! <ul><li>High tech enterprises are fallible, because people, processes and products are all fallible! </li></ul><ul><ul><li>A major role of KM is to minimise errors and to remedy those made before they propagate </li></ul></ul><ul><ul><li>http://web.archive.org/web/20050908114808/www.prism-magazine.org/october/html/the_importance_of_failure.htm </li></ul></ul><ul><li>Enterprises are complex dynamic systems </li></ul><ul><ul><li>Difference between complex and complicated </li></ul></ul><ul><ul><ul><li>Organizations have minds of their own (my research area) </li></ul></ul></ul><ul><ul><ul><li>Enterprises have emergent & chaotic components </li></ul></ul></ul><ul><ul><ul><li>Many problems cannot be predicted, can only be constrained </li></ul></ul></ul><ul><ul><li>Depend on &quot;system of systems&quot; to manage knowledge </li></ul></ul><ul><ul><ul><li>People – members of the enterprise </li></ul></ul></ul><ul><ul><ul><li>Processes – including tacit routines and practices </li></ul></ul></ul><ul><ul><ul><li>Infrastructure – software systems, electronic networking, machines </li></ul></ul></ul><ul><li>Many engineers not well suited to managing the intangible complexities of knowledge. Eng approaches tend to be </li></ul><ul><ul><li>Hierarchical </li></ul></ul><ul><ul><li>Deterministic </li></ul></ul><ul><ul><li>Standardised </li></ul></ul>
  6. 6. KM system of systems in the high-tech enterprise <ul><li>Effective knowledge management must consider how to find, share, protect and add value to knowledge in the enterprise </li></ul><ul><li>Organizational and strategic imperatives must be considered (what is the knowledge for?) </li></ul><ul><li>All of the following must be considered </li></ul><ul><ul><li>People – creators, repositories and users of knowledge </li></ul></ul><ul><ul><li>Processes – organizational processes and routines for generating, discovering, testing/validating, sharing and applying knowledge </li></ul></ul><ul><ul><li>Technology infrastructure – many tools and software applications can be used to implement processes and help people find the knowledge they need when they need it </li></ul></ul>People Process Infrastructure Enterprise knowledge Leave one of the legs off, and the stool will fall over
  7. 7. KM failures can have consequences <ul><li>Swiss federal Institute of technology in Zurich analysed 800 cases of structural failure in which 504 people were killed, 592 people injured, and millions of dollars of damage incurred </li></ul><ul><ul><li>Insufficient knowledge 36% </li></ul></ul><ul><ul><li>Underestimation of influence 16% </li></ul></ul><ul><ul><li>Ignorance, carelessness, negligence 14% </li></ul></ul><ul><ul><li>Forgetfulness, error 13% </li></ul></ul><ul><ul><li>Relying upon others without sufficient control 9% </li></ul></ul><ul><ul><li>Objectively unknown situation 7% </li></ul></ul><ul><ul><li>Imprecise definition of responsibilities 1% </li></ul></ul><ul><ul><li>Choice of bad quality 1% </li></ul></ul><ul><ul><li>Other 3% </li></ul></ul><ul><ul><li>http:// www.matscieng.sunysb.edu /disaster/ </li></ul></ul>
  8. 8. KM failures can have consequences Sections from Westgate Bridge at Monash Uni's department of Civil Engineering, Clayton <ul><li>What can go wrong? (most boil down to KM failures) </li></ul><ul><ul><li>For example: (Wikipedia is a good place to start) </li></ul></ul><ul><ul><ul><li>Bhophal insecticide plant vapor release (India) – thousands killed, more injured </li></ul></ul></ul><ul><ul><ul><li>Chernobyl nuclear power plant explosion - hundreds killed, thousands suffered </li></ul></ul></ul><ul><ul><ul><li>Piper Alpha offshore oil platform fire - 167 killed </li></ul></ul></ul><ul><ul><ul><li>Kansas City Hyatt Regency Hotel Walkway Collapse - 114 killed ( see also ) </li></ul></ul></ul><ul><ul><ul><li>Petrobras P36 Offshore Oil Platform Sinking - 11 killed </li></ul></ul></ul><ul><ul><ul><li>Three Mile Island Reactor Meltdown - no deaths but major economic loss </li></ul></ul></ul><ul><ul><li>Closer to home </li></ul></ul><ul><ul><ul><li>Westgate Bridge collapse - 35 killed, many injured </li></ul></ul></ul><ul><ul><ul><li>HMAS Westralia explosion and fire - 4 killed </li></ul></ul></ul><ul><ul><ul><li>Longford gas plant explosion and fire - 2 killed ( see also ) </li></ul></ul></ul><ul><ul><ul><li>Sea King Helo crash on Nias Island, Indonesia - 9 killed </li></ul></ul></ul>
  9. 9. KM failures can have consequences <ul><li>And then there are the economic failures! </li></ul><ul><ul><li>Cost overruns </li></ul></ul><ul><ul><li>Schedule blowouts </li></ul></ul><ul><ul><li>Legal actions </li></ul></ul><ul><ul><li>Reputational damages </li></ul></ul><ul><ul><li>Again, most could be avoided by better KM </li></ul></ul><ul><li>Auditor's reports provide good examples </li></ul><ul><ul><li>Australian National Audit Office see especially: </li></ul></ul><ul><ul><ul><li>Management of the M113 APC Upgrade Project </li></ul></ul></ul><ul><ul><ul><li>Amphibious Transport Ship Project </li></ul></ul></ul><ul><ul><ul><li>Management of Major Equipment Acquisition Projects </li></ul></ul></ul><ul><ul><ul><li>New Submarine Project </li></ul></ul></ul><ul><ul><ul><li>Jindalee Operational Radar Network </li></ul></ul></ul>
  10. 10. Management: People <ul><li>Social networking – how do you know who knows what </li></ul><ul><ul><li>“ Water coolers” (places for informal discussions and “shop talk”) </li></ul></ul><ul><ul><li>Communities of practice </li></ul></ul><ul><ul><li>Group seminars </li></ul></ul><ul><ul><li>Conventions </li></ul></ul><ul><li>Social facilitators (e.g., “matchmakers”, community organisers) </li></ul><ul><li>Tools </li></ul><ul><ul><li>“ Yellow pages” </li></ul></ul><ul><ul><li>Blogs and Wikis </li></ul></ul><ul><ul><li>Mind mapping </li></ul></ul><ul><ul><li>Knowledge mapping (see Nousala, S., Miles, A., Kilpatrick, B., Hall, W.P. 2005. Building knowledge sharing communities using team expertise access maps (TEAM) . Proceedings, KMAP05 Knowledge Management in Asia Pacific Wellington, N.Z. 28-29 November 2005) </li></ul></ul>
  11. 11. Management: Process <ul><li>Business process mapping and improvement ( Dalmaris, P., Tsui, E., Hall, W.P., Smith, B. 2007. A Framework for the improvement of knowledge-intensive business processes . Business Process Management Journal. 13(2): 279-305) </li></ul><ul><li>It is particularly important to identify and understand “tacit” or undocumented routines and processes within the enterprise that provide important avenues for finding and sharing knowledge. </li></ul><ul><li>E.g., development of formal processes to identify and map personal knowledge </li></ul>
  12. 12. Management: Infrastructure <ul><li>Tools </li></ul><ul><ul><li>Telephone </li></ul></ul><ul><ul><li>Local area network </li></ul></ul><ul><ul><li>Email </li></ul></ul><ul><ul><li>Folder structure </li></ul></ul><ul><ul><li>Indexing and search tools </li></ul></ul><ul><ul><li>Intranet </li></ul></ul><ul><ul><li>Content management systems </li></ul></ul><ul><ul><li>Product/project data management systems </li></ul></ul><ul><li>Issues </li></ul><ul><ul><li>How do you get knowledge into the infrastructure </li></ul></ul><ul><ul><li>How do you get it out when and where it is needed? </li></ul></ul>
  13. 13. Some not quite random thoughts <ul><li>Organizational size matters </li></ul><ul><ul><li>see Greiner, L.E., 1998, Evolution and revolution as organizations grow. Harvard Business Review 1998 (May-June), 55-67 (in LMS) </li></ul></ul><ul><ul><li>Growth phases and turbulent changes </li></ul></ul><ul><ul><ul><li>Entrepreneur: creativity (leadership) </li></ul></ul></ul><ul><ul><ul><li>SME: direction (autonomy) </li></ul></ul></ul><ul><ul><ul><li>Large enterprise: delegation (control) </li></ul></ul></ul><ul><ul><ul><li>Multidivisional: coordination (red tape) </li></ul></ul></ul><ul><ul><ul><li>Multinational: collaboration (??) </li></ul></ul></ul><ul><ul><li>For smaller organizations, most knowledge sharing and use happens tacitly </li></ul></ul><ul><ul><li>Larger organizations benefit greatly from conscious intervention to remove and breach barriers </li></ul></ul>
  14. 14. Some not quite random thoughts <ul><li>Project management organizations amongst most knowledge intensive but have specific human issues with knowledge management </li></ul><ul><ul><li>Ford, D.N., Sterman, J.D., 2003, The liar’s club: concealing rework in concurrent development. Concurrent Engineering: Research and Applications, 11, 211-219 - http://tinyurl.com/63n9d4 </li></ul></ul><ul><ul><li>Mønsted, M., 2004, Profit centres as barriers for knowledge sharing. OCLC 2004, The Fifth European Conference on Organizational Knowledge, Learning and Capabilities, Innsbruck 2-3 April 2004 - http://tinyurl.com/68gafj </li></ul></ul>
  15. 15. Some not quite random thoughts <ul><li>Time is of the essence </li></ul><ul><ul><li>Knowledge is useful only if it is available when needed </li></ul></ul><ul><ul><li>Rationality to find solutions to problems is limited by time, bandwidth and processing speed (Simon) </li></ul></ul><ul><ul><li>Make decisions close enough to the source of the problem so the decision maker is not working beyond his/her rationality </li></ul></ul><ul><ul><li>Hall, W.P., Dalmaris, P., Else, S., Martin, C.P., Philp, W.R. 2007. Time value of knowledge: time-based frameworks for valuing knowledge . 10th Australian Conference for Knowledge Management and Intelligent Decision Support Melbourne, 10 – 11 December 2007; ( OASIS Seminar , Department of Information Systems, University of Melbourne, 27 July 2007) </li></ul></ul>
  16. 16. Tutorial Exercise: conduct a KM audit and plan <ul><li>State organizational imperatives (i.e., what the enterprise has to do to survive) and strategic goals in a competitive environment at three stages of growth (startup, SME, large enterprise) </li></ul><ul><ul><li>Requisites – requirements to start </li></ul></ul><ul><ul><li>Resources – requirements to continue (consumable & fixed assets) </li></ul></ul><ul><ul><li>Risks – what can fail, how can you mitigate? </li></ul></ul><ul><li>What does the organization need to know to satisfy imperatives and meet goals? (consider, “knowledge is solutions to problems”) </li></ul><ul><ul><li>Consider Donald Rumsfeld quotes: </li></ul></ul><ul><ul><ul><li>“ There are knowns, known unknowns, and unknown unknowns…” </li></ul></ul></ul><ul><ul><ul><li>“ The unknown unknowns, we do not even know we don’t know them.” </li></ul></ul></ul><ul><ul><li>How do you deal with Rumsfeld’s categories? </li></ul></ul>
  17. 17. Tutorial Exercise: conduct a KM audit and plan <ul><li>Determine where this knowledge exists: Build a knowledge map or matrix </li></ul><ul><li>(see Nousala, S., Miles, A., Kilpatrick, B., Hall, W.P. 2005. Building knowledge sharing communities using team expertise access maps (TEAM). Proceedings, KMAP05 Knowledge Management in Asia Pacific Wellington, N.Z. 28-29 November 2005. - http://tinyurl.com/2ygh42 ) </li></ul><ul><ul><li>Explicit (e.g., in the right documents) </li></ul></ul><ul><ul><li>Implicit (e.g., you only need to ask the right person) </li></ul></ul><ul><ul><li>Tacit (e.g., the right person can do it) </li></ul></ul><ul><ul><li>Exists externally (how do you gain access to it?) </li></ul></ul><ul><ul><li>Must be created (how and by whom?) </li></ul></ul><ul><li>Note: express this matrix in terms of a large enterprise and think how the enterprise will grow to reach this state. </li></ul>
  18. 18. Tutorial Exercise: conduct a KM audit and plan <ul><li>Determine how those people / agents in the enterprise can have or gain access to appropriate knowledge when they need it </li></ul><ul><ul><li>Develop the appropriate processes and routines </li></ul></ul><ul><ul><li>What infrastructure is required to support these processes and routines? </li></ul></ul><ul><li>Note: In the tutorial period I will spend 10-15 minutes consulting with each syndicate to answer questions and help you plan your approach to the KM audit and planning. Have your questions ready </li></ul><ul><li>My background and relevant papers are listed on the following slides </li></ul>
  19. 19. My background for managing knowledge in technological enterprises <ul><li>Childhood ambition: aerospace engineering </li></ul><ul><li>Hands on experience with all generations of computers </li></ul><ul><li>3½ years studying physics, but dyslexic with numbers </li></ul><ul><li>PhD 1973 Harvard Univ. in evolutionary biology </li></ul><ul><li>Migrated to Australia in 1980, & bought a PC prototype </li></ul><ul><li>computer literacy teaching, and tech documentation for software development & banking info systems through 1989 </li></ul><ul><li>Joined Tenix Defence 1990 beginning $7 bn ANZAC Ship Project </li></ul><ul><ul><li>Participated in many commercial and engineering KM activities through entire product cycle of design/engineering/production/ in-service support </li></ul></ul><ul><ul><li>Retired July 2007 </li></ul></ul><ul><li>Since 2000 combined practice and fundamental research in engineering knowledge management </li></ul>
  20. 20. References <ul><li>Hall, W.P., Richards, G., Sarelius, C., Kilpatrick, B. 2008. Organisational management of project and technical knowledge over fleet lifecycles . Australian Journal of Mechanical Engineering. 5(2):81-95. </li></ul><ul><li>Hall, W.P., Dalmaris, P., Else, S., Martin, C.P., Philp, W.R. 2007. Time value of knowledge: time-based frameworks for valuing knowledge . 10th Australian Conference for Knowledge Management and Intelligent Decision Support Melbourne, 10 – 11 December 2007. [249 KB]; ( OASIS Seminar Presentation , Department of Information Systems, University of Melbourne, 27 July 2007) </li></ul><ul><li>Vines, R., Hall, W.P., Naismith L. 2007. Exploring the foundations of organisational knowledge: An emergent synthesis grounded in thinking related to evolutionary biology . actKM Conference, Australian National University, Canberra, 23-24 October 2007.  </li></ul><ul><li>Nousala, S., Hall, W.P., John, S. 2007. Transferring tacit knowledge in extended enterprises . IKE'07- The 2007 International Conference on Information and Knowledge Engineering, Las Vegas, Nevada, June 25-28, 2007. </li></ul><ul><li>Dalmaris, P., Tsui, E., Hall, W.P., Smith, B. 2007. A Framework for the improvement of knowledge-intensive business processes . Business Process Management Journal. 13(2): 279-305. </li></ul><ul><li>Hall, W.P. 2006. Tools extending human and organizational cognition: revolutionary tools and cognitive revolutions . Sixth International Conference on Knowledge, Culture and Change in Organisations, Prato, Italy, 11-14 July 2006. International Journal of Knowledge, Culture and Change Management 6, 10 pp. </li></ul><ul><li>Mo, J.P.T., Zhou, M. Anticev, J., Nemes, L., Jones, M., Hall, W.P. 2006. A study on the logistics and performance of a real ‘virtual enterprise’ . International Journal of Business Performance Management 8(2/3): 152-169. </li></ul><ul><li>Nousala, S., Miles, A., Kilpatrick, B., Hall, W.P. 2005. Building knowledge sharing communities using team expertise access maps (TEAM) . Proceedings, KMAP05 Knowledge Management in Asia Pacific Wellington, N.Z. 28-29 November 2005. </li></ul><ul><li>Hall, W.P. 2003. Managing maintenance knowledge in the context of large engineering projects - Theory and case study . Journal of Information and Knowledge Management, Vol. 2, No. 2 [Corrected version reprinted in Vol. 2, No. 3, pp. 1-17]. </li></ul><ul><li>Hall, W.P. 2001. Writing and managing maintenance procedures for a class of warships: A case for structured authoring and content management . May 2001 issue of Technical Communication, the professional journal of the Society for Technical Communication. </li></ul>

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