The document discusses the concept of knowledge management, emphasizing its importance in a knowledge-driven economy. It outlines the distinction between explicit and tacit knowledge, addresses the challenges in measuring knowledge value, and details various knowledge value chains for creation, use, management, preservation, sharing, and integration. The document concludes by highlighting the need for effective knowledge management systems to support organizational goals and foster learning.

1. Knowledge Management: A Value-Chain Approach Albert Simard presented to Interdepartmental Knowledge Management Forum October 27, 2004

2. An opening thought… An era in which the key economic resource is knowledge is startlingly different from an era in which the key resources were capital, raw materials, land, and labor. James Martin CYBERCORP (1996)

3. OUTLINE Knowledge Assets Knowledge Value Knowledge Management Knowledge is different from industrial resources

4. Knowledge Attributes Total knowledge is increasing; half-life is decreasing Knowledge can be in more than one place at one time Knowledge may be permanent or time sensitive Knowledge can be used without being consumed Selling does not reduce supply nor ability to sell again Buyers only purchase knowledge once Once disseminated, knowledge cannot be recalled Thomas Stewart (1997)

5. Knowledge Costs Production cost is independent of the number of users Reproduction is controlled by users, not producers Production cost greatly exceeds reproduction cost Costs accumulate at the front-end of production The more intangible, the greater the cost discrepancy Inputs and outputs for creative work are uncorrelated Thomas Stewart (1997)

6. Explicit Knowledge Knowledge that has been formally expressed and transferred in a tangible form; intellectual property. databases, statistics, collections books, publications, reports, documents, correspondence photographs, diagrams, illustrations computer code, expert systems, decision-support systems presentations, speeches, lectures recorded experiences, stories materials for education, teaching, and training laws, regulations, procedures, rules, policies embedded into products

7. 531 assets; 211 responses

8. Tacit Knowledge Intangible personal knowledge gained through experience and self-learning. It is influenced by beliefs, perspectives, and values. awareness skills mental models expertise judgement wisdom corporate memory The Thinker - Rodin

9. Intellectual Capital “ Intellectual capital is intellectual material … that can be put to use to create wealth.” Thomas Stewart Intellectual Capital (1997) Intellectual capital includes both tangible, material (explicit knowledge) and intangible knowledge in the minds of individuals (tacit knowledge)

10. OUTLINE Knowledge Assets Knowledge value Knowledge Management If you can’t measure it, you can’t manage it.

11. Knowledge Value Value is very difficult to measure Value is extracted when knowledge is used Sharing increases the value of knowledge Value increases with abundance Buyer cannot judge value in advance Value can be added by filtering knowledge Value is not well related to acquisition cost Thomas Stewart (1997)

12. Knowledge Value Chains Flow of knowledge through a sequence of processes in which it’s value is increased at each stage. Creation Use Management Preservation Sharing Integration

13. Knowledge Creation Value Chain Knowledge creation is a precursor to everything else Information Management Decision-making Knowledge Management Data Management Acquisition Data Wisdom Information Knowledge Inputs sensing facts meaning understanding judgement

14. Creating Knowledge is not Enough Bell Labs: lasers Xerox: graphical user interface, object-oriented programming, laser printer, Ethernet IBM, DEC: mainframe/mini computers CERN: World-Wide Web Encyclopaedia Britannica: synthesizing knowledge

15. Knowledge Use Value Chain The value of knowledge is realized only when it is used for something Individual Opinion Compiled Targeted Recommend Reporter Analyst Advocate Author Marketer promote publish represent influence agenda

16. Plant Hardiness Zones Knowledge for Canadians (climate + elevation)

17. Knowledge for Practitioners Fire Monitoring, Mapping, and Modeling System

18. OUTLINE Knowledge Value Knowledge Assets Knowledge Management KM adds value by linking creation and use

19. Knowledge Management Value Chain Higher-level KM goals generally have decreasing ranges of applicability Network Manager Executive Senior Manager Custodian Preservation Management Sharing Integration interface interoperability organization availability

20. Knowledge Management: Linking Past, Present, & Future Capture Archive Share Integrate Learn Adapt Past Present Future Infrastructure Content Processes People

21. Knowledge Management: A Definition Developing organizational capacity and processes to capture, preserve, share, and integrate data, information, and knowledge to support organizational goals, learning, and adaptation.

22. Knowledge Preservation Value Chain Preservation is the foundation of knowledge management Capture Maintain Organize Retrieve Store Librarian Systems Manager Codifier Provider access inventory map capacity continuity

23. Briefing Note Database

24. Organizing Knowledge Assets Epistemology Cognitive approaches Automated methods Classification systems Thesauri Interdisciplinary issues Linguistic issues Metadata Knowledge map Library of Alexandria – artist’s concept

25. Storing Knowledge Assets Information Technology infrastructure Systems for archiving and managing content Interface for entry and administration Data warehouse, distributed databases Information repository, records management Knowledge repository, knowledge map Digital libraries, traditional libraries

26. Retrieving Knowledge Assets Access to content Browser interface Search engine Extraction tools Manipulation tools Assembly tools Retrieval system Relativity - Escher

27. Knowledge Sharing Value Chain The value of a network is proportional to the square of the number of users conversation letters speaking publishing hoarding networking synergy Individual Groups Colleagues Community personal synergy dialogue evolution

28. Sharing Knowledge: Methods Conversations, discussions, dialogue Advice, briefings, recommendations Mentoring, teaching, examples Questions & answers, knowledge extraction Presentations, lectures, speeches, stories Documents, books, manuals, instructions Education, training, demonstration Meetings, workshops, conferences, forums Networks, communities of practice

29. Sharing Knowledge: Technology Talking (real, virtual) E-mail (individuals, list servers, distribution lists) Chat rooms, forums, discussion groups Communities of interest, informal networks Groupware (teams, working groups) Conferences, workshops, knowledge fairs Data bases, information bases, knowledge bases Digital libraries (repositories, search, retrieval) Information & knowledge markets

30. Knowledge Integration Value Chain The whole is more than the sum of it’s parts Coordinator Analyst Creator Synthesizer Isolated Integrated Organized Whole structure element relationships system

31. Soils of Canada

32. Land Cover Natural Resources Canada Ressources naturelles Canada Canadian Forest Service Service canadien des for ê ts

33. Climate Change

34. Distribution of Black Spruce B) climate at 1.5 X CO 2 A) present climate 0 - 10% 11 - 20% 21 - 30% 31 - 40% 41 - 50% 51 - 60% 61 - 70% 71 - 80% 81 - 90% 91 - 100% X location of black spruce sites

35. “ Products are physical manifestations of knowledge, and their worth largely, if not entirely, depends on the value of the knowledge they embody.” Dorothy Leonard Wellsprings of Knowledge (1995) A final thought….