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Summary book Knowledge Management in Organisations
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Summary of book Knowledge Management in Organisations Chapter 1 through 14
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Knowledge management in organizations: a critical introductionChapter 1: The contemporary Importance of Knowledge and Knowledge
Management
Introduction
The book on knowledge management is important to put the subject in context, as this helps
explain the interest in it among academics, policy makers, consultants, and businesspeople.
Key assumptions in the knowledge management literature
The central idea uniting and underpinning the vast majority of the knowledge management
literature, that is important for organizations to manage their workforce’s knowledge, flows
from a number of key assumptions embodied in the three quotations. The end of the twentieth
century witnessed an enormous social and economic transformation which resulted in
knowledge becoming a key asset for organizations to manage. A second key assumption is
that the nature of work has also changed significantly, with the importance of intellectual
work increasing significantly. The third assumption is that the effective management by an
organization of its knowledge base is likely to provide a source of competitive advantage.
While the growth of interest in knowledge management only took off during the mid 1990s
the theoretical foundation for the assumptions, it makes resonate with, and to some extent
flow from Bell’s post-industrial society concept.
The knowledge society concepts and its links to Bell’s post-industrial society concept
The knowledge management literature is typically based on an analysis which suggest that
since approximately the mid 1970s, economies and society in general have become more
information and knowledge intensive, with information/knowledge-intensive industries
replacing manufacturing industry as they key wealth generators. Bell’s analysis is based on a
typology of societies characterized by their predominant mode of employment. Thus, an
industrial society is characterized by an emphasis on manufacturing and fabrication: the
building of things. In a post-industrial society, the service sector has replaced the
manufacturing sector as the biggest source of employment. Knowledge and information play a
much more significant role in economic and social life than during industrial society, as work
in the service sector is argued to be significantly more information and knowledge intensive
than industrial work. Finally, there has been a quantitative increase in the role and importance
of knowledge and information, but there has also been a qualitative change int het type of
knowledge that is most important. In a post-industrial society, theoretical knowledge has
become the most important type of knowledge. Theoretical knowledge represents abstract
knowledge and principles, which can be codified, or at least embedded in systems of rules and
frameworks.
An important element of Bell’s analysis is that post-industrial societies represent an
advancement on industrial society, as in general more wealth will be generated, and workers
individually will have better more fulfilling jobs. Vogt argues the following:
- Unpleasant, repetitive jobs will decline in number significantly
- Social inequality will reduce
- All individuals will have increased amounts of disposable income to spend on
personal services
- Society will be able to better plan for itself
- Social relations will become less individualistic and provide greater scope for
community development and collective support.
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