Why is it important for knowledge management systems to capture tacit knowledge?
This research paper intends to explore and determine if organizations have strategies for tacit knowledge management which is expected to influence their organizational performance both tangibly and intangibly. The tacit knowledge management is derived from the fundamental knowledge creation dimensions namely socialization, externalization, combination and internalization (SECI model). A quantitative empirical research via survey questionnaires was conducted to fulfil the purpose of this research. The feedback from the respondents were statistically analyzed for demographic profile of respondents, goodness of data measured, reliability of the instrument used and hypotheses testing in determining the correlation between organizational performance and tacit knowledge. The outcome of the statistical analysis showed that tacit knowledge management has significant influence on organizational performance. However, among the four dimensions namely socialization, internalization, externalization and combination, only socialization and internalization contribute towards the significant influences of tacit knowledge management on organization performance. This research findings confirm the importance of knowledge creation and management, especially those of tacit knowledge, to both academics and practitioners. This is particularly important for those from top management of any organization, who are seeking to prosper and enhance their organizational performance for a better business function operations and return on investment. Show
KeywordsTacit knowledge management SECI model (socialization Externalization Combination and internalization) Organizational performance Explicit knowledge Competitive edge Recommended articles
Peer review under responsibility of College of Management, National Cheng Kung University. © 2017 College of Management, National Cheng Kung University. Production and hosting by Elsevier Taiwan LLC. This chapter incorporates the relevance of tacit knowledge and highlights some major barriers to knowledge sharing. Knowledge transfer is action through which; information, skills, expertise and experience is exchanged among people in an organization and it is a valuable and tangible asset for creating sustainability, performance and competitive advantage. From what is currently known, knowledge sharing activities occur generally with the support of knowledge systems designed by the board and knowledge managers. It is suggested that technology is one of the tools that support knowledge sharing, though other factors exist, such as organizational culture, trust, leadership and management philosophy, incentives and internal control systems. In this study, the researchers explore possible knowledge sharing opportunities and associated barriers, starting from top management to employees. The main purpose of this chapter is to look at how tacit knowledge affects organizational success. The chapter also covers ways to promote knowledge transfer in order to improve organizational performance and innovation. The discussion elaborated on the significance of tacit knowledge in a way that previous literature does not. It is emphasized that, from a resource-based view, businesses gain competitive advantage when they value and retain their existing tacit knowledge, as explicit knowledge is already known to everyone. According to the study, important variables such as corporate culture, individual employees, technology, and organizational internal factors are potential hurdles that must be examined to minimize the impact on organizational learning. Florian shared that one of the major targets behind Dräger’s knowledge management strategy was to improve tacit knowledge sharing. He told us, “We wanted to provide our [employees] with faster and easier access to informal tacit knowledge.” If you’re wondering whether tacit knowledge is important to your business, let’s take a look at the different types of knowledge your teams hold and how capturing tacit knowledge can help you to boost productivity and increase employee engagement. How Does Tacit Knowledge Compare to Explicit and Implicit Knowledge?
What is Explicit Knowledge?Explicit knowledge is accessible and easy to pass along to others. It’s the most basic form of knowledge and is obtained when data is processed, organized and structured. Accessing, storing and distributing explicit knowledge is often a straightforward, simple process. Explicit knowledge within an organization is typically stored in databases or similar document management systems and includes items like research reports, handbooks, process maps, whitepapers and internal documentation2. What is Implicit Knowledge?Implicit knowledge is gained by applying explicit knowledge in a practical way. Once someone has learned how to perform a specific task, gathering the explicit knowledge on how to do that task either by referring to documentation or asking a coworker, implicit knowledge creation happens when they perform that task. By transferring explicit knowledge into implicit knowledge, employees can develop new skills and discover the best way to approach different tasks. These skills are transferable from job to job. What is Tacit Knowledge?Tacit knowledge encompasses everything a person knows how to do but does not necessarily know how to explain or has taken the time to try to document. It can be defined as skills, ideas and experiences that people have but are not written down and may not be captured easily. With tacit knowledge, people are often unaware of their knowledge or how it can be valuable to others. At times this knowledge is simply not shared as it may not be applicable to their current role. Within an organization, tacit knowledge encompasses the habits and behaviors gained by time and experience. Why Tacit Knowledge is Important to Your OrganizationToday, tacit knowledge is the greatest untapped resource within businesses. It accounts for up to 80% of all knowledge within an organization3 compared to just 67% in 19954. In the workplace, tacit knowledge is applied know-how that is business-specific. It can include the skills needed to close a sales deal or how to navigate customer requirements smoothly. These qualities grow through specific experience within an organization and aren’t always easy to transfer to other team members.
Examples of Tacit KnowledgeIn a business environment, common examples of tacit knowledge include:
How to Capture Tacit KnowledgeBusinesses often attempt to tackle the challenge of accessing and utilizing this wealth of knowledge with systems like intranets that can only leverage documented knowledge. The Benefits of Capturing and Sharing Tacit KnowledgeWhen you effectively free up the tacit knowledge your employees hold, you can help your teams to:
Learn how Dräger captures tacit knowledge with Starmind and the positive business impact Why Businesses Are Turning To Knowledge Sharing SystemsIf you want to seize the benefits of tacit knowledge sharing, the recommended approach is to have a system designed to capture, store and transfer tacit knowledge within enterprises that is easy to use and enhances employee engagement. The Future of Knowledge Management SystemsTo maintain a long-term competitive edge, businesses must unlock their intangible resources. Research has shown that 75% of employees believe their organization would benefit from accessing more of their expertise. By enabling your workforce to easily acquire tacit knowledge, you can create a productive workforce while transforming your employees’ experience. Watch our on-demand webinar with Dräger to find out how capturing tacit knowledge helped them to improve customer satisfaction - and discover how your business could benefit, too. How is tacit knowledge capture in knowledge management system?One of the easiest ways tacit knowledge is shared is through social interaction—especially by observing others perform a task. Encourage your employees to interact and collaborate on work and non-work related projects.
What is tacit knowledge knowledge?Tacit knowledge is the knowledge that we possess that is garnered from personal experience and context. It's the information that, if asked, would be the most difficult to write down, articulate, or present in a tangible form.
What impact does tacit knowledge have on an organization?Therefore, in order to achieve superior organization performance, organizations need to focus on employee knowledge management. Specifically, tacit knowledge management is crucial in executing day-to-day job functions effectively and efficiently. This in return, will enhance the performance of organizations.
Why is tacit knowledge critical for obtaining and maintaining a competitive advantage?Why Is Tacit Knowledge Important? Because its more valuable. It's easy to send a person to a training course to obtain explicit knowledge, and lots of organizations do (like your competitors). It's the development of that knowledge into personal experience that sets companies apart and creates competitive advantage.
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