Paper: Knowledge management versus Change management

abrupttarragonManagement

Nov 6, 2013 (4 years and 1 day ago)

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Paper: Knowledge management
versus Change management









Jurgen Oyaert

Xavier De Decker

Dries Boffin

Eline Destorme

Joris De Cock

Simon Marijsse



2


1.
Abstract


Knowledge management is the first subject in this paper.

“Knowledge
management is the
use of resources to create an environment in which
information is accessible to individuals and in which individuals acquire,
share and use that information to develop their own knowledge.”
1

Organizations are embracing knowledge management for several reas
ons.
One primary reason is to increase innovation within the firm. Knowledge
management connects people
to use and share the knowledge in order to
get better results in the organization.


Secondly, we will discuss change in an
organization
. C
hange managem
ent
is significant to the organization to achieve a successful implementation of
change. If you can’t deal with change in a structured way, then you are
bound to fail. Changing a part of the organization is more
than

just
executing the change itself. You h
ave to make the or
ganization and
your
personnel ready to change and let them see its necessity.

Managers have to use both knowledge management and change
management techniques. Knowledge is needed to make changes in your
organization, and most of all chang
es are needed to create new
knowledge.


2
.
I
ntroduction


It is widely acknowledged

that the society we live in has become a
“knowledge society”. The increasing importance of knowledge in
the
society calls for a shift in our thinking concerning innovation

in
organizations. Be it technical innovation, product innovation, or strategy
or organizational innovation. We can ask ourselves the questions how


1

Brelade, S.
& Harman, C. (2003), ‘A practical guide to knowledge management’,
[S.1.]:Thorogood


3

organiz
ations process knowledge or how do they actually create
knowledge.



In this paper we will try to ex
plain what knowledge management is and
how important it is these days. We will also discuss a government point of
view of knowledge management because for us,
Public Administration

students, it is relevant to our studies. Next, we will situate change
manag
ement and explain some
theories about change and why it is of
such importance for the organization
. In the last part of our paper, change
management and knowledge management will be put together and a
relation between them will be concluded.


3
. Knowledge

management


3
.1. What is knowledge management?


First of all it is good to know what we define as knowledge.

“Knowledge is information synthesized and contextualized to provide
value. It is information with the most value. Knowledge is a mix of
contextu
al information, values, experiences, and rules. It is richer and
deeper than information, and more valuable because someone has
thought deeply about that information and added his or her own unique
experience, judgment, and wisdom. Values and beliefs are a
lso a
component of knowledge, as they determine the interpretation and the
organization of knowledge. Knowledge also involves the synthesis of
multiple sources of information over time.

Knowledge is information whose
validity has been established through t
ests of proof.”
2




2

Pearlson and Saunders, 2004, ‘System research and behavioural science’


4

Now we know what the meaning of knowledge is, we can go the definition
of knowledge management.

“Knowledge management is the acquisition and use of resources to create
an environment in which information is accessible to individuals and
in
which individuals acquire, share and use that information to develop their
own knowledge and are encouraged and enabled to apply their knowledge
for the benefit of the organization.”

3

Knowledge Management draws solutions from and contributes to multipl
e
disciplines including management science, arti
ficial intelligence and
organizational behaviour.

Most large companies have resources dedicated
to Knowledge Management, often as a part of '
Information Technology
' or
'
Human Resource Management
' departments. When you want to manage
information effectively, knowle
dge management is a must in your
business. It is a multi
-
billion dollar
worldwide

market.

Organizations are embracing knowledge management for several reasons.
One primary reason is to increase innovation within the firm. Other major
factors for engaging
in knowledge management include knowledge
retention, people retention and return on vision.

Knowledge management connects people with the knowledge that they
need to take action, when they need it. In the corporate sector, managing
knowledge is considered

to be the
key to achieving breakthrough
competitive advantage.

(Liebowitz,J. 1957)
4


Information can be
travelled

in two ways: explicit and tacit. Explicit
information is packaged, perhaps even codified, transferable, and
communicable. Tacit knowledge, on

the other hand, is personal, context
-
specific, difficult to formalize, and difficult to communicate and transfer.
The combination of these two types of information, provide the perceived
value of knowledge management. The focus is on identifying individua
l
know
-
how and applying it to explicit processes so that the right knowledge


3

Brelade, S. & Harman, C. (2003), ‘A practical guide to knowledge management’
,
[S.1.]:Thorogood

4

L
iebowitz, J.

(1957)
, ‘Knowledge Management: Learning from Knowledge Engineering’



5

is available to the right people at the right time. Even now, organizations
of
all
sorts are generating databases, linkages on web sites, portals to
facilitate the integration of
explicit and tacit information,
and
attempting
to gain this advantage. Even government agencies which tend to include
all citizens
,

are

potentially the “right people”, their timing
is
only

limited
by the digital gap. So

the question we might address is whe
ther this
paradigm is applicable
to lower socio
-
economic classes

-
which are
c
urrently not all connected to the
immense

internet or other technological
sources of data.

Having said that
, we are not going to debate this

issue in
the

paper.
W
e will
rather
ex
amine the nature of knowledge and how it, or
the way we look at it, has evolved.


Academic libraries
have chosen
so far
to
focus

on collecting, organizing
and making explicit information available. The Web now adds a radically
new dimension. Explicit infor
mation is, arguably, much more difficult to
acquire because of the explosive, bottom
-
up nature of the Web. Tacit
information is equally or perhaps even more difficult

to obtain because it
is buried deep

within web
-
based links to other sites, databases,
pub
lications and the faculty who study it.


3
.2. How important is k
nowledge
today
?


In today’s information

age, knowledge is becoming the most
valuable
asset in any company. In other words, it becomes

the key to a company’s
success.
A continu
ously learning
organization will manage its knowledge
as a strategic asset, continually refreshing and investing in quality
improvements
to enhance it
s competitive position.

Knowledge management has emerged in recent times as a phenomenon
with wide
-
ranging implications f
or organizational innovation and
competitiveness. Supporters argue that as organizations understand the
value of knowledge management, they have the opportunity to establish

6

long
-
term internal strengths, which will lead to external competitive
advantage.


A fundamental task for the
organization

is how efficiently it can deal with
information and decisions in an uncertain environment. Any
organization

that deals with a changing

environment
should not only

process
information and knowledge,

but also create
t
hose two
.


Innovation

is a key form of
organization
al knowledge creation. It is a
process in which the
organization

creates and defines problems and then
actively
develops

new knowledge to solve them.


But there are also problems with knowledge managem
ent. Those
problems can range from companies
who don’t have the potential
resources,
to
companies who are
effectively
capable of using

and
implementing them. One of the biggest problems is a lack of resources to
process the information and knowledge genera
ted by harvesting projects.


3
.3.

Knowledge Management and the government.


Organizations have to deal with knowledge management as a brand new
concept; this includes governmental organizations which for a long time
have been able to keep up with the priva
te sector. However, the capacity
of the government is again under attack. Many doubt that, in most OECD
(
Organization
s for economic co
-
operation and development) countries,
there are in fact systematic organizational changes in public organizations.
This d
oe
s not only harm competitiveness,

it also decreases the chances of
job seekers wanting to work for these types of bureaucracies. They don't
want jobs that cause stagnating knowledge with no outlook towards the
future.

Governments do no longer have a monop
oly on knowledge in their own

7

field
of
information about policies. Service delivery has become more
directly available to citizens, lobby groups, users, etc. To keep the citizens
confident
, governments are also required to increase the knowledge basis
of t
heir activities and to keep track and integrate new knowledge as it is
increasingly rapidly produced. At the same time, citizens increasingly
require customised policies and service delivery. This has created new
demands on governments to acquire and integ
rate knowledge on and
from differentiated groups or individuals.


4
. Change management


4.1.
Introduction


Managing change or change management is a new phenomenon that
made an entrance the last couple of years. It’s a progressive point of view
and it can
be interpret as a way to implement new methods and systems
more effectively in an ongoing
organization
. But
organization
s itself need
to adapt to the complex environment. For example: legislation,
globalization, shifting economic tides and currents, etc. W
e are going to
focus on the first aspect of change management, the decision of an
organization

to make changes and take risks in order to improve their
system. Why is this system progressive? Because it starts from an “as is”
situation and moves to a “shou
ld be” situation. How to do this will be
discussed later on this paper (cfr. Kurt Lewin etc.). Furthermore, it’s
important not only to see this as a top
-
down system, but also as a bottom
up vision. In addition we are going to bring more insights in the lea
rning
culture of an organization.



8

4.2.
Definition

“Change management is a systematic approach to dealing with change,
both from the perspective of an organization and on the individual level. A
somewhat ambiguous term, change management has at least thre
e
different aspects, including: adapting to change, controlling change, and
effecting change. A proactive approach to dealing with change is at the
core of all three aspects. For an organization, change management means
defining and implementing procedures

and/or technologies to deal with
changes in the business environment and to profit from changing
opportunities.”
5



So change management is significant to the organization to achieve a
successful implementation of change. If you can’t deal with change in
a
structured way, then you are bound to fail. Changing a part of the
organization is more
than

just executing the change itself. You have to
make the

organization and
your personnel ready to change and let them
see its necessity.


4
.3
Phases



So it’s all
about change. But in what way can we visualize organizational
change? The most known tool for managers is Lewin’s force field analysis.
At first Lewin starts by defining change as a process. This process consists
out of the interaction between different ki
nds of forces within an
organization
. An organization without changes to make is completely
stable. After all making a change to the structure or whatever aspect of
the organization beholds a risk. Every time you destabilize the
organization you take a ris
k to improve something.



5

http://searchsmb.techtarget.com/sDefinition/0,,sid44_gci799426,00.html
,
07
-
10
-
02.



9

So to make a change you’ll have to get out of that state of balance either
by a strengthening of the driving forces or a weakening of the restraining
forces. In other words, there has to be a real need to change something.
People n
eed to see that that need is relevant to themselves in order to
defreeze the state of the organization. So Lewin’s
theory

describes three
phases: unfreezing, changing to the desired state and refreezing into a
new balance.

1.

Unfreezing
: Making the organizat
ion change
-
ready, make them see
the necessity for changing the organization to stay competitive and
profitable.

2.

Change
: Implementing the change itself

3.

Refreezing
: Restoring the stability in the organization.

Some theories give a more extended vision of the
se phases (see graph)
but in the end it all falls back to lewin’s phases.



Picture 4
.3.1
6











This graph shows seven phases of change.




6

http://www.themanager.org/strategy/Change_phases.htm



10

4
.4.


Change and culture


Nowadays many of the cultures of organizations aren’t adjusted to a
possible change. E
mployees and personnel don’t want any changes at all.
So at first we need to change the culture of an
organization

to make the
organization change
-
ready. We need a culture that supports change by
motivating personnel and employees to be creative and ready
to change.

It’s important to see when you manage an organization that you have to
complete management on different levels. You have to implement
something through top management but you’ll always have to know
what’s going on at the bottom level. If the em
ployees don’t want to
implement the change, or if they are afraid or just not ready; then the
whole process has already failed.


4.5
Change and learning


If we say change then learning can’ be missed. Change and learning go
hand
-
in
-
hand. The learning organ
ization by Peter Senge is based on being
creative with change. Change is a process to learn and likewise. To learn
something is a changing process.

Schein says that when we want to be ready for changes, then we have to
be open and tolerant to new beliefs
, learn new behaviours. We must first
‘unlearn’ previous beliefs. The
organization

has to cope with new dangers
in a complex environment due to the globalization. An organization is
conservative and wants to protect them from every change. But if they
don
’t change then failure will eventually be the only option.
7







7

Schön D., 2001, ‘Learning, reflection and change’


11

4
.6.
Other theories


A very interesting formula is the Gleicher’s formula that was constructed
by Richard Beckhard en David Gleicher

(1987)
. This consists of the
combination of:

-

Organizatio
nal dissatisfaction

-

A vision

-

The possibility of action and process to go towards a goal must be
stronger

then the
so called restraining forces.

Wilfried Krüger introduced an iceberg theory. His empirical perception was
that most managers only aim at i
ssue management which is the top of the
iceberg. When they introduce changes into an organization they will only
consider costs, quality and time relevant. Krüger thought that there are
two other dimensions which can’t be seen and thus reside below the
sur
face. The first is management of perception and belief, secondly power
and political management. As a matter of fact these types of management
are the keys of successfully changing an organization because values,
beliefs and cultural effects have a profoun
der impact on the system.


Picture 3.6.1.
8




8

http://www.12manage.com/methods_change_management_iceberg_nl.html


Michael A. Beitler


Strategic Organizational change

Linda Ackerman Anderson, Dean Anderson


The Change Leader’s Roadmap


12

What’s under the top of the iceberg, can be even more important for
successful change. This includes perceptions, be
lieves and (political)
power.


Finally we have the ADKAR model

(Awareness, Desire, Knowledge, Ability,
R
einforcement)

which summarizes a few characteristics that an
organization needs if it’s willing to change.


1.

Awareness



of why the change is needed

2.

Des
ire



to support and participate in the change

3.

Knowledge



of how to change

4.

Ability



to implement new skills and
behaviours


5.

Reinforcement



to sustain the change


4.7
Conclusion



As you can see, all these models are alike they all want to define how
to
strive best and most successful to the desired goal. So we can conclude
that there isn’t a vast theory in the case of change management. It hasn’t
yet become a homogeneous matter. We all know that there isn’t a one
best way to organize something. But th
ere are some points that always
return.








13

5
.
How change leads to knowledge


5
.1 Introduction


Now we know what knowledge management and change management
means, we want to know which of the two concepts will be used by the
managers of an organization.
Or will they use both. Is knowledge
management needed for change management? Or is change management
needed for knowledge management?

Previous in this paper we tried to give a definition of both knowledge and
change management. With these definitions we wi
ll try to see where
knowledge is used for change management and where change
management is used for knowledge management.


5
.2 Change
management in a knowledge environment


‘Knowledge management is the acquisition and use of recourses to create
an environ
ment in which information is accessible to individuals and in
which individuals acquire, share and use that information to develop their
own knowledge and are encouraged and enabled to apply their knowledge
in the benefit of the organization.’
9

In this pa
rt of the definition of knowledge management it is clear that the
organizational structure has to make it possible for individuals to
develop
knowledge and most important,
share
knowledge!

Change management
deals with changing environments by implementing
new procedures and
technologies. When the sharing and developing of knowledge fails it might
be helpful to make an organizational change by using change
management techniques.



9

Brelade, S. & Harman, C. (2003), ‘A practical guide to

knowledge management’
,
[S.1.]:Thorogood


14

The traditional structure of organizations is a top
-
down organization,
illustrat
ed by a pyramid. At the top of the pyramid you have the top
management. When you go down, you have the middle management and
the line management. The information at the top of the pyramid is not
available for the middle and line management. There will only

be
information sharing on the same level.

Now we can try to change the structure of the organization in a new
structure in which knowledge sharing is more possible. For example an
Hypertext
-
management. The top management has all the information of
the org
anization. The line managers have the most detailed information of
the task they’re working on. They have to give this information to the top
management.


Picture 5.2.1



When a line manager has a problem he can consult the top management,
who
then

gives

the right information. The top works as a database, it
make sharing information more easy.

By changing the organization to deal with a changing environment,
the
organization develops new knowledge, because it tries to get rid of the old
classic way of wor
king and tries to find new and improved ways. Of

15

course, risk is involved in

making changes. You can compare it with a trial
and error system. Some changes are improvements, others aren’t. But
still, in making these changes, you create new systems, new kno
wledge
which leads to a better organization.


5
.3
.

Knowledge management vs.

change management


In an attempt to define change management we said that ‘
for an
organization, change management means defining and implementing
procedures and/or technologies to

deal with changes in the business
environment and to profit from changing opportunities’
10
.
A changing
environment and changing situations ask for much information and
expertise. We’ve also seen that the third step in the ADKAR
-
model is
knowledge. Knowledg
e in the organization before the change, and
knowledge of how to change. Every worker in the organization has
its

own
individual knowledge
on
how thing
s

are currently done and
on

existing
routines in the organization. In changing situations
,

the existing
k
nowledge has to be fully known before
you can know if the change
meet
s

the goals of
the organization
.

Naturally, knowing everything is very
debatable, because what is everything? However, getting an overview of
the current knowledge is of essential importa
nce.
This means that when
an organization want
s

to change
,

the
re mu
st b
e a kind of knowledge
spiral
. In that way you can

make sure that the current knowledge
, which
is still being used and will be used in the future,

doesn’t get lost, and that
all the wor
kers have the knowledge to work in the new situation. There is
a great need for knowledge creation when your organization acts in a
constantly changing environment. In change management situations, i
t is
important to be able to
capture new knowledge.



10

http://searchsmb.techtarget.com/sDefinition/0,,sid44_gci799426,00.html
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07
-
10
-
02.


16


5.4.

Conclusion



Now i
t is clear that managers have to use both knowledge management
and change management techniques. Knowledge is needed to make
changes in y
our organization, and most of all
changes are needed to
create new knowledge.


6.

General c
onclusi
on



Changing environments need changing organizational structures.
For your
organization to stay ahead in the economic world, you need to change
method and systems constantly to create new knowledge and to have a
competitive advantage. Governments also ne
ed to gain new knowledge by
changing their systems (cfr. Beter Bestuurlijk Beleid, etc.) to keep the
people confident.

We discussed what knowledge management and change management are
and how it can lead to a better organization.
Change management can
hel
p with this to abstract new information and knowledge.

The
added value that knowledge management can bring to your
organization, is not to be underestimated. Not only does it improve your
working system, it will be a big benefit towards the future!










17

7
. Sources


7
.1. Books and papers


Brelade, S. & Harman, C. (2003), ‘A practical guide to knowledge
management’, [S.1.]:Thorogood

La Branche, Gary A. "Knowledge Management: The Killer App for the 21st
Century." American Society of Association Executives,


Liebowitz, J., ‘Knowledge Management: Learning from Knowledge
Engineering’


Linda Ackerman Anderson, Dean Anderson


The Change Leader’s
Roadmap


Michael A. Beitler


Strategic Organizational change


Nonaka, I., ‘A Dynamic Theory of Organizational
Knowledge Creation


Pearlson and Saunders, 2004, ‘System research and behavioural science’


Schön D., 2001, ‘Learning, reflection and change’


7
.2. The net

http://confere
nces.alia.org.au/alia2000/proceedings/brian.hawkins.html


http://en.wikipedia.org/wiki/Knowledge_management

http://www.asaenet.org/sections/membership/article/1,2261,50864,00.ht
ml?headername=Membership+Developments&searchstring

http://
www.oecd.org/dataoecd/9/47/2667241.pdf




https://archive.ugent.be/retrieve/1163/19973247.pdf


htt
p://searchsmb.techtarget.com/sDefinition/0,,sid44_gci799426,00.html
-


http://qshc.bmj.com/supplement/8
-
15.dtl



18

http://en.wikipedia.org/
wiki/Change_management


http://books.google.be/books?hl=nl&lr=&id=vJZ9GUlCdCkC&oi=fnd&pg
=P
P8&dq=%22change+management%22&ots=ZAs7JeTtoy&sig=Pb5G74mck
O5O9swi7S5NBZPIHjo#PPA5,M1


http://www.managementhelp.org/mgmnt/orgchnge.htm
-


http://www.themanager.org/Strategy/Change_Phases.htm


http://www.well.com/user/bbear/change2.html


http://en.wi
kipedia.org/wiki/Change_management


http://www.well.com/user/bbear/change4.html



http://docstore.ingenta.com/cgiin/ds_deliver/1/u/d/ISIS/41035200.1/pal/
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http://www.12manage.com/methods_change_management_iceberg_nl.ht
ml


http://en.wikipedia.org/wiki/Change_management
-


http://www.defenselink.mil/comptroller/icenter/learn/changemanconcep
t.
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http://home.att.net/~nickols/change.htm



http://www.12manage.com/images/picture_kruger_iceberg.gif