How Can Management Plan a Successful Knowledge Transfer Strategy - Coursework Example

How management can plan a successful knowledge transfer strategy? Introduction It is an undeniable fact that knowledge is the basis of all kinds of economic and social development. It is the available knowledge that makes it possible for efficient allocation of resources so to acquire optimum production of goods and services. In the today’s world of economy, different knowledge which can be tacit or explicit can be gained through focus on theoretical knowledge by codification of knowledge into symbols that form an abstract system (Tsoukas, 2005, p.107). The research question of this paper is “How management can plan a successful knowledge transfer strategy”. Tacit knowledge In an organization, there are different kinds of knowledge depending on the situation. Knowledge does not only differ in pattern but also in the way it is transferred. Within an organization, data and information is transferred either as tacit or explicit knowledge. Ambiguity is the principle problem in tacit knowledge that occurs in four ways – original conveyor of the knowledge, the process in which the knowledge was gained, the utility of such knowledge, and interpretation of such knowledge (Haron, 2010, p.81). Tacit knowledge is the result of interpretation that an individual makes from his experience and can be defined as “something which cannot be easily codified or learnt” (Busch, 2008, p.54). Tacit knowledge is essentially garnered from direct encounter with surrounding events, and includes emotions, perceptions, opinions and cultural values. By way of sharing tacit knowledge it is possible to increase the level of knowledge creation thereby achieving an advantage in the competitive business atmosphere (Bratianu & Orzea, 2010, p.107). Tacit knowledge is referred to as the knowledge which a person gains by personal experience and therefore skills acquired remains within the mind of a person and that which individual fails to express. Thus, the information that faces problem of articulation is the tacit knowledge. Often background knowledge is regarded as the tacit knowledge. This background knowledge is applied by people for business activities to understand whatever is presented. Therefore, it could be implied that tacit knowledge imbibes within itself emotional and cultural knowledge (Jones & Leonard, 2009, p.29). Explicit knowledge is one that can be easily articulated, codified and can be stored in documents (Taylor, 2008, p.32; Krbalek & Vacek, 2012, p.362). The advantage of explicit knowledge is that it can be expressed in words and numbers hence it is easily cognizable. Tacit and explicit knowledge are “not totally separate but mutually complementary entities” (Nonaka & Takeuchi, 1995, p.61) since just like knowledge cannot be acquired without experience similarly knowledge is of no use unless properly expressed (Barrera, 2006, p.59). For an organization which depends mostly on explicit knowledge, the best approach is maintaining proper documents (Gottschalk, 2005, p.35). From a general point of view, an organization has a constant yet diverse information flow. This includes both input and output information. It has to be remembered that knowledge or information within an organization is basically exogenous in nature. In most cases this information or knowledge is generated on basis of external sources (Rahim & Golembiewski, 2005, p.46). Human beings are considered as the creators of organizational information. This establishes a contradictory view about the role of employees. While on one hand it is held that the people within an organization would only process knowledge, some views emphasize that people must only create knowledge (Baumard, 1999, pp.6-9). Nature of tacit knowledge: Tacit knowledge is essentially individualistic and is based on the organization. It is directly associated with skill and is context specific. Its nature is practical more than theoretical and can be obtained in low environmental support. Tacit knowledge is often confined in a specific time and place, but not always so. Moreover, it gets meaning according to interpretation by the receiver and not by the sender which means tacit knowledge gets its definition only if it is understood by the receiver. It is essentially defined as being able to transfer less than the actual content (Marsh, 1983, p.9). Therefore, at organizational level it is needed to see how the “actors” like employees and departments coordinate with each other through their dealings (Busch, 2008, p.151). Tacit knowledge is transferred by codification There are forms of tacit knowledge that are too complex to be articulated and can involve high costs. However, such knowledge is far in between as most tacit knowledge can be transformed into codified ones with the help of special knowledge (Awad & Ghaziri, 2004, p.216). The process of codification is a complex one in which codified and tacit knowledge complement each other instead of substituting. By codification, the tacit knowledge becomes functional and productive as the process changes the nature of both tacit and codified knowledge. By codification, new ideas can be evolved thus leading to creation of new knowledge (Amin & Cohendet, 2004, pp.23-24). Transfer of tacit knowledge is subjected to minimum barriers, and therefore the transfer process can be effective depending on the time and effort taken to help others understand it (Sun, 2009, p.98). Technology Research Inc. (TRI) publishes research reports of market and industry, and employs more than 300 analysts. The online storehouse of knowledge consists of “executive summaries, abstracts, main text, graphics, tables and charts” (Harward & Taylor, 2014, p.67) to make the research reports which are periodically updated. In first stage, analysis is done by gathering and interpreting market information for which the analysts’ tacit knowledge of the industry is required. In the second stage which is the publishing stage, the reports are organized by editors and divided into knowledge units, and links are created between the units by document identifiers and keywords. Then the online documents are transferred through web-enabled Lotus Notes (Zack, 1999, p.52). Knowledge transfer management within organizations The knowledge that an organization owns is based on information and knowledge that is transferred by present employees and past employees. While processing the collected information, organizations need to codify them. At this point, it is important to notice that while explicit knowledge can be codified easily unlike tacit knowledge. Thus, from a broader point of view, individual knowledge can be categorized into the known and unknown (Jones & Leonard, 2009, p.29). The unknown-unknown occurs due to ignorance of not only the individual but of the organization as well. This part of information could not be accessed either by the individual or the organization. One way through which this problem could be reduced is by increasing the sources of information. This information has to flow smoothly between the employees and the organization. Another way of reducing this problem is by increasing amount of interaction with external environment. This refers not only to the players of supply chain, but the competitors as well. Moreover organization of conferences, use of newer technologies, information about industries and time to time surveys for further update of knowledge base is helpful for collection of this type of tacit information (Jones & Leonard, 2009, pp.29-30). For error, puzzling situations often arise due to conflicts and contradictions. Under this situation, it is assumed by the organization that the individual employee is mistaken somehow. Direct communication is the best way to solve unfavourable conditions that arise from errors. If the employees are directed to review their work, the mistakes could be rectified easily and the errors could be corrected easily. If in case, the employee has limited knowledge about the respective thing, then the organization can take initiative to correct it. When it comes to false truths, the responsibility lies mostly with the employees. In this type of knowledge, the organization tries to get access to the knowledge which is unrecognized by the employee. Problems in codification might arise if the respective employee remains unaware of the procedure he is performing. Problems might also generate often during the codification process; the employee performs a certain task without being fully aware of it. This part of knowledge gets converted to tacit knowledge. Thus, tacit knowledge marks the difference between a perfect product and a flawed one. It is not possible for any individual to perform a function if the step remains unknown to him. Thus, through attentiveness and recognition tacit knowledge could be converted to organizational knowledge (Jones & Leonard, 2009, p.30). Social networking Other than the initiatives taken by the stakeholders and institutions to remove the barriers to efficient knowledge management, there is social networking that plays a big role in enhancing knowledge transfer. Today, every organization is utilizing social networking sites for promotions, discounts, offers and to expand their business activities. Focus is now more on social media for its ability to “coordinate widespread communication and strengthen information flows” (Cromity & de Stricker, 2011, p.168). In the business world, social networking is rapidly gaining prominence both from professional and personal perspectives. The way social media establishes interconnection between users through communication, organizations too utilize this tool to enhance the quantity and quality of knowledge transfers between different employees and between employees and the management (Showalter, 2012, p.7). Conclusion Knowledge transferring is important for any organization and it depends on a successful knowledge management process. To achieve an effective knowledge transfer process it is essential that potential barriers be identified which can exist at both organizational and individual levels. Transferring of knowledge between companies in different countries can create cross-cultural and distance-related barriers. After assessment of the barriers, management should assess the intensity of the challenges and accordingly implement appropriate steps to minimize their effects. References Amin, A. & Cohendet, P. (2004), Architectures of Knowledge: Firms, Capabilities, and Communities, Oxford Univ. Press Awad, E.M. & Ghaziri, H.M. (2004) Knowledge Management, Pearson Education Barrera, B.H. (2006) Managing Institutional and Personal Knowledge, pp.53-60, In Griffiths, P. (ed) Proceedings of the 3rd International Conference on Intellectual Capital and Knowledge Management, Academic Conferences Ltd. Baumard, P. (1999) Tacit knowledge in organizations, SAGE Bratianu, C & Orzea, I. (2010), Tacit knowledge sharing in organizational knowledge dynamics, pp.107-114, In Rodrigues, S. (ed) Proceedings of the 2nd European Conference on Intellectual Capital, Academic Conferences Ltd. Busch, P. (2008) Tacit knowledge in organizational learning, Idea Group Inc. Cromity, J. & de Stricker, U. (2011). 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