Knowledge Management Systems: Tools, Processes, and Challenges

Introduction to Knowledge Management Tools

A data warehouse encompasses and provides access to all of a company's information to whoever needs it. A warehouse literally means a storehouse, and the information within an organization may be distributed across one computer or many computers to form a single warehouse. Data warehouses may contain several databases and all types of information in a wide variety of formats. All such information and knowledge must be accessible through a server, and the user gains a transparent means of access to the data because he can use simple commands to retrieve, access, and analyze it as needed. A data warehouse will also generally contain certain details about itself, including where and how the information has been stored within it. (Definition of Data Warehouse on the web)

A typical data warehouse is usually housed on an enterprise mainframe server. In other words, all data from various online transaction processing (OTP) systems is gathered and organized into a database that is then placed in the data warehouse. This information can then be used for analytical applications and for queries from users of the data. Data warehousing generally stresses the capture of data from several different sources and makes that information accessible to those who need it. However, data warehousing does not begin from the viewpoint of the end user or the knowledge worker who may actually need access to specialized databases. (Database.com Definitions)

The intranet, on the other hand, is the internal or private internet used by a company, organization, college, or university. The prefix "intra" means "internal," which is precisely what the intranet represents — it is meant for those on the inside of the organization, not outside it. The prefix "inter" means "among" or "between," which indicates that the internet is used between large numbers of people. Until a few years ago, most companies used local networks for internal communications, relying on expensive proprietary software. Today, new intranet technology allows organizations to eliminate the extra cost of highly specialized software and instead use internet-based intranet technology that is simpler and more cost-effective. Most intranets use a TCP/IP connection, supporting web browsing in the same way that a normal internet connection allows users to access information. The major difference between the internet and the intranet, however, is that while the internet is available to anyone, the intranet is connected through a local network, and the web pages available within that network are controlled by the organization. (Intranet)

What is groupware? Any networked application that allows its users to access data contained within a network and share that data with others is called groupware. Robert Johansen, the author of Groupware: Computer Support for Business Teams, defines groupware as specialized computer aids designed for the use of collaborative working groups within an organization. This definition effectively excludes multi-user databases from the category of groupware, though electronic mailing systems clearly fall within it, as do certain other types of sharing software. (Definitions of Groupware)

In brief, groupware is a technology developed to facilitate the working together of groups, whether small or large. It is immensely useful and practical for any organization because it helps members communicate, cooperate, coordinate activities, negotiate, solve problems, and compete with one another or with outside competitors. While the telephone can be considered a primitive form of groupware, the term is most often used in connection with modern computer network technologies, including email, chat, newsgroups, and video communication. (Groupware, Introduction)

Understanding the Data–Information–Knowledge–Wisdom Continuum

All groupware technologies are generally divided into two categories. The first is based on whether the group is working together in a synchronized, or "real-time," manner — that is, all working at the same time — or in an "asynchronous" manner. The second category is based on whether group members are working in the same location, referred to as "face-to-face" or "collocated," or in different locations, referred to as "non-collocated" or "distant." (Groupware, Introduction)

It can be said that all the various resources described above must form part of the Knowledge Management System within any organization that hopes to operate efficiently and effectively using the best principles of knowledge management available today. But what actually is knowledge management? Knowledge management has become extremely important in today's working environment, and the concept can be explained through several interrelated components: the development of a context, the development of a continuum for that context, the extension of the context through examples, the concept of knowledge management itself, and finally the recognition of the innate value of knowledge management.

Today, more data is generated across all fields than at any other point in human history, and all of this data must be managed in a proper and practical manner to prevent confusion or loss. The data generated in today's working environment is often referred to as a virtual "sea" of information, and managing that sea is of utmost importance for those who hope to progress and derive benefit from such a wealth of information. When one prepares appropriately, one is able to tap into this reservoir so that its benefits can be identified and assessed. (Knowledge Management — Emerging Perspectives)

New methods and channels are therefore necessary to transform raw data into useful information that can serve as the foundation for the acquisition of knowledge and, ultimately, wisdom. One researcher and data management specialist, Neil Fleming, has stated that the mere collection of data is not information; in the same way, the mere collection of information cannot be referred to as knowledge; the collection of knowledge cannot be termed wisdom; and the collection of mere wisdom does not constitute truth. What Fleming actually means is that information, knowledge, and wisdom are not simply collections of data — they each represent a single entity, and the whole is infinitely greater than the sum of its parts, possessing a synergy uniquely its own.

Beginning with data: data is merely a meaningless string of words or a point without meaning if it is not placed in reference to the time and space where it exists. When there is no reference point for data, it becomes "out of context" with the world. Therefore, data without a reference point in time or space exists without a meaningful relation to anything else, and consequently will have no meaning when one attempts to decipher it. When an individual encounters a piece of data, he immediately attempts to find a reference point or context by associating it with other things, and it is only when he finds such a context that the data holds meaning for him. For example, if one sees the number five written somewhere, he immediately associates it as the number that comes after four and before six — and that is how he comprehends it. (Knowledge Management — Emerging Perspectives)

In the same way, an individual will find meaning in data only when he finds a reference point or association for it. Fleming also stated that a mere collection of data is not information, meaning that a collection of data without references cannot constitute good information; in fact, it holds no meaning at all without some coordinated relationship between the various pieces of data within the collection. Even if the pieces of data represent information, one may not be able to determine whether it is pertinent information without a relationship among all the pieces. However, if the individual who accesses the data is able to use his basic understanding skills to assimilate the information within the data, then he has gained knowledge from that information. Therefore, the value of information also depends on the perceiver: the more knowledge he already possesses, the better he will be able to understand the data.

The extent of knowledge that an individual gains from data depends on the various associations he is able to make within the data in relation to the knowledge he already possesses. The more knowledgeable the individual, the more associations he can make within the collection of data and assimilate them into a comprehensive structure that gives meaning to what he is viewing. Information, therefore, can be explained as the basic understanding of the relationships between the various pieces of data that make up a collection. However, although information necessitates an understanding of relationships between data, it still does not offer a basic foundation for what the data is, why it is the way it is, or whether it will change over time. This is because information is, by nature, generally static and linear — it is a relationship between data, it depends on context to gain meaning, and it has no implication for the future. (Knowledge Management — Emerging Perspectives)

Behind every relationship there is a set pattern, and a pattern means more than a mere relation between different relations. A pattern also implies completeness and a consistency of relations that end up creating their own context. Patterns generally function as archetypical designs in which both repetition and predictability coexist, functioning side by side. When a definite pattern exists among a collection of data and information, that pattern has the potential to represent knowledge, and it becomes knowledge when an individual is able to comprehend and decipher the patterns and their meaning within the collection. When a pattern represents knowledge, it becomes self-contextual, creating its own context rather than depending upon the surrounding information. A pattern representative of knowledge also provides a reliable and stable platform on which to base the assimilation of knowledge, and demonstrates the ways in which information will evolve over time.

The Importance of Knowledge Management Systems in Organizations

This is because a pattern is almost never static. A pattern that represents knowledge has a fullness and completeness that simple information would never contain. Therefore, when an individual wishes to acquire wisdom, he must first understand the principles that the patterns represent and glean knowledge from those patterns. One example that makes these statements clear is that of a bank savings account, in which data, information, knowledge, and wisdom are interrelated through the concepts of principal, interest rate, and interest. The numbers 5 and 100 appear to have no relation to each other. However, if a person opens a savings account, deposits $100 as the principal, and earns 5% interest per annum, then a meaningful relationship between the numbers 100 and 5 emerges. (Knowledge Management — Emerging Perspectives)

They form a veritable pattern, and one understands the information and gains wisdom from it only when the pattern is deciphered and meaning is understood, so that the unrelated bits and pieces of data become co-related. Therefore, the continuum of Data → Information → Knowledge → Wisdom is an entirely discrete entity, but the progression from one stage to another is not discrete. Progress is generally made when one understands the continuum and therefore advances along it. This is the basic line that constitutes knowledge management, and it is only when one understands this continuum that one can grasp the basics of knowledge management principles. Mike Davidson offers the opinion that knowledge management must answer the following questions: What is the mission of the process — what exactly are we trying to accomplish? How can we gain a competitive edge over others in the same field? How can we deliver the desired results? And, can we cope with change, and if so, how do we do it?

Is it in fact essential for an organization today to have a Knowledge Management System in place, and why? There is no single organization functioning in today's highly competitive environment that can claim it does not need a Knowledge Management System. All organizations today have an important need for a KMS that would help leverage and maintain human capital, sustain the organization's information and technology, and help members of the organization win recognition for their performance. Today, knowledge and its productivity have become very important topics for discussion among theorists and practitioners of management, and this importance drives market leadership. Many major international companies in technology, telecommunications, engineering, construction, manufacturing, pharmaceuticals, and software development have all come to believe in the principles and importance of Knowledge Management System theories and practice. (The Knowledge Enterprise)

This is because this type of knowledge enables companies to gain the competitive edge they need to succeed in today's market conditions. It also helps them be certain of what they know, how to acquire what they need to know, and how to use that knowledge in the pursuit of success. Equally important is the fact that knowledge management systems are not only used within business organizations but also by governmental agencies and non-profit organizations that both produce and use knowledge. Therefore, the basics of Knowledge Management Systems are useful to anyone who wishes to employ them advantageously. A large and growing body of literature is now available on this topic, and more and more people are showing keen interest in the idea of managing knowledge in a profitable manner.

Corporate leaders are increasingly convinced that there is a strong connection between organizational performance and knowledge productivity. The economic value of knowledge is growing daily, and when productivity and knowledge are linked, one must be able to cope with this reality in today's knowledge-intensive economies. Knowledge must be capable of creating sustained superior performance within the organization — including greater value for customers, greater value for investors, and greater career value for employees. Thus, knowledge contributes to winning innovations within the firm, to better execution, and to the ability to seize opportunities both in the present and in the future. (The Knowledge Enterprise)