Business Knowledge Management

In the last few years a lot has been written about Business Process Management, and about technologies supporting it such as BPMS, SOAP and Web Services. Most of these theories, tools and techniques refer to processes of a highly structured nature.

Typically, BPM theorists and practitioners have focused on highly structured processes, like back-office processes of industrial or administrative nature. These processes are highly standardized and repeatable, produce a consistent output and are likely to be automated in part or end-to-end (STP). All process instances are executed in a very similar way and it is easy to draw a flowchart detailing the sequence in which tasks are executed. It is also possible to formalize the business rules that guide decisions, normally based on the evaluation of some process variables.

But recently other kinds of processes have caught the attention of process management specialists. They are known as knowledge processes, or knowledge-based processes. Knowledge processes can be defined as "high added value processes in which the achievement of goals is highly dependent on the skills, knowledge and experience of the people carrying them out". Some examples could be management, R&D, or new product development processes.

Knowledge workers carry out these processes by taking into account multiple inputs (generally a wide set of unstructured data and information) to perform difficult tasks and make complex decisions among multiple possible ways of doing the work, each one implying different levels of risk and possible benefits. They are dependent on individuals and it is not possible to automate them.

One example of a knowledge process is "Marketing a new product". The same steps are followed each time a new product is launched (benchmarking competitors, deciding pricing strategy, planning promotion, etc...), but it is the experience, knowledge and intuition of the people that drive the process to success.

* Multiple inputs to the process exist

Some of them would be competition, lifecycle stage of the market, brand image, budget, etc...

* Complex decisions are made

There are many possible ways to achieve the process objectives (reach planned sales, leverage brand image, etc...)

* Each decision implies different levels of risk and potential benefits

It is the responsibility of the worker to choose the best one (low price strategy, aggressive advertising campaign, etc...)

There are three main characteristics that make knowledge processes different from highly structured processes:

Focus is on communication instead of automation

The key to process improvement is to clearly communicate process definitions (the way in which the company wants the processes to be carried out) to the people in charge of their execution (through training, process descriptions publication, etc...). The better process participants understand the process definition, the higher the probability that the process is carried out according to it.

They are better implemented through obtaining buy-in than through imposing directives

They are more difficult to implement through discipline than administrative human-centric processes (although some discipline is needed). It is better to focus on obtaining buy-in from the people affected by the processes through early involvement, communication and expectations management. It is a known fact that knowledge workers are reluctant to change their habits. Some say knowledge workers don't like following procedures because they feel it limits their creativity; but most of the time they will be happy to follow a procedure as long as they see value in it, perceiving that it helps them work better and produce a better process output.

Process definitions are high level descriptions instead of rigid workflows

Processes can only be defined up to a certain level of detail, and it is difficult to provide low level work instructions or to automate decisions. Because they cannot be formalised in detail, process simulation is rarely possible. Decisions are highly subjective and too complex to be expressed in a formal language, as they are taken based on intuition and not on rigid business rules.

It is extremely important to continuously improve knowledge processes, by creating an environment through which they can evolve. This can only be achieved through coordination of diverse disciplines such as knowledge management, change management, expectations management, etc... It is crucial to establish an adequate process context (the combination of technologies, procedures, people, etc... that support the processes). The process context must incorporate feedback mechanisms, change evaluation procedures, process improvement methods and techniques and must be flexible, in order to be able to incorporate enhancements in an agile but controlled way.

If the process is instantiated frequently and the instances are homegeneous, it is possible to create great process models that dramatically increase the efficiency of the process. The best way to ensure process improvement is to generate an environment in which people are motivated, enthusiastic and passionate about process management.

Most of the time, knowledge processes are collaborative. By performing a process collaboratively it is possible that each task is carried out by the most specialised, experienced and knowledgeable worker in that specific area. Having a net of relations within the organization is a very important asset for people executing knowledge processes.

In the last years some organizations have emerged with the aim of creating professional communities around specific disciplines such as Software Development (SEI, ESI, etc...), Project Management (PMI), Business Process Management (BPMI), IT Service Management (ITSMF), etc... One of the objectives of these groups is to develop a body of knowledge that compiles the discipline's best practices in the form of reference frameworks, methodologies and maturity models. These assets should be considered by any organization interested in knowledge process management.

It is usual that knowledge processes take the form of projects to manage their execution. If the output of the process is a unique product, managing work as a project will result in obvious advantages.

There are certain guidelines that can help an organization willing to improve their knowledge processes:

* Provide process description on how to approach work

Try to figure out the best way to carry out a knowledge process, by making the best practices existing in your organization (or in your industry) explicit. Publish process definitions in a format that is easy to consult and understand.

* Provide tools that facilitate and standardize work

Decide which tools are best to help knowledge workers carry out their work. Involving all affected knowledge workers in the process of deciding which tools will be used is very convenient, in order to obtain user buy in. It is a good idea to choose a champion for each tool who will master its use.

* Assign owners to processes

Choose a person with leadership skills and the appropriate level of responsibility and influence and make him/her accountable for continuous improvement of the process. Give him/her a clear objective to achieve and an incentive to reach the goal.

* Encourage feedback for process improvement

To ensure that the flow of information between executors and the process owner is fluid, encourage people to contribute to process enhancement through incentives. Use your imagination to reward contributors (consider not only monetary incentives).

Lucas Rodríguez Cervera is founder of Nevant ? Process documentation software, a company specialized in delivering process solutions to knowledge based companies. They pioneered this concept with metoCube.


AddThis Social Bookmark Button

In The News:


USA Today

Wild Horses
New York Times, United States - 5 hours ago
To control the herds and keep land open for cattle grazing, the federal Bureau of Land Management has rounded up many more horses and tried to put them out ...
Retirement Ranch Planned for Wild Horses Washington Post
GAO releases wild horse study Drovers
Breeder Offers to Establish Wild Horse Preserve TheHorse.com
KJCT8.com - New York Timesall 578 news articles

Local Matters Announces Robust Search Traffic Management Application
MarketWatch - 12 hours ago
"Publishers like directories and newspapers are in the business of providing leads to local businesses," said Kris Skavish, VP of Product Management. ...
Traffic Engine High Performance Search Technology Earns Praise at ... MarketWatch
all 18 news articles

VR Charlotte Completes Sale of Association Management Solutions
MarketWatch - 19 hours ago
A provider of property management services and support to homeowners associations, ASA is conveniently located in the greater Charlotte area. ...
ADS Financial Services Solutions Appoints Stephen T. Higgins Vice ... MarketWatch
all 16 news articles

Dividend.com

Pershing Square Capital Management Announces Teleconference and ...
MarketWatch - Nov 18, 2008
Pershing Square Capital Management, LP, based in New York City, is a SEC registered investment advisor to private investment funds. ...
Pershing's revised Target proposal out Wednesday Reuters
Pershing revises Target land spin-off proposal Bizjournals.com
Target shareholder revises real estate proposal The Associated Press
guardian.co.uk - Forbesall 131 news articles

InnoPath Continues Mobile Device Management Leadership by ...
MarketWatch - 13 hours ago
The other newly ratified standards supported by InnoPath include the Device Capabilities Management Object, or DCMO. "Mobile Device Management is evolving ...

New York Times

Source: Orszag tapped for Office of Management and Budget
CNN - Nov 18, 2008
... picked Peter Orszag, the head of the Congressional Budget Office, to head his Office of Management and Budget, a top Democratic source told CNN Tuesday. ...
Diversity: Obama Names the First Blogger to be in the Cabinet ABC News
Obama Is Said to Have Chosen a Budget Director New York Times
Obama Wants Orszag At OMB Atlantic Online
The Associated Press - AHNall 195 news articles

The Savannah Bancorp Reaches $1 Billion in Assets and Promotes ...
MarketWatch - 13 hours ago
Harden is a certified public accountant and is active in the Institute of Management Accountants, the CFO Council and Coastal Cathedral Church of God. ...

United BioSource Scientists, FDA, and Other Industry Leaders ...
MarketWatch - 15 hours ago
Dr. Faich, Senior Vice President, Epidemiology and Risk Management, UBC, co-moderated a session called "How Does the FDA Intend to Evaluate REMS (Risk ...

International Business Times

Grubb & Ellis Company Forms Financial Services Asset Management ...
MarketWatch - 15 hours ago
a leading real estate services and investment firm, today announced that it has formed the Financial Services Asset Management Practice designed to provide ...
Zachery Brice Joins Breakthrough Management Group International as ... PR Web (press release)
all 13 news articles

BetaNews

Microsoft, Novell eye Moonlight beta, system management
InfoWorld, CA - 15 hours ago
Advanced Management Pack for Suse Linux Enterprise for Microsoft System Center Operations Manager 2007 R2 is due the first half of 2009. ...
Novell, Microsoft ready management pack for SUSE Linux SearchWinIT.com
Microsoft and Novell Mark Two Years of Interoperability Progress FOXBusiness
Microsoft, Novell toast anniversary with tools, support coupons NetworkWorld.com
CNET News - Virtualization Reviewall 67 news articles
management - Google News
Your Ad Here

Games at Buy.com

Holiday Home Store at Buy.com

Rules for Running a Meeting

As an experienced manager, I can announce without a doubt that the primary reason for lack of effectiveness in the contemporary business world is that people don't... Read More

How To Jump Start Your Profits and Keep Your Profits Rolling

There are so many ways to jump start your prifits and keep your profit rolling. These top 20 ways are essential if you want to run a... Read More

What We Have Here Is A Failure To Communicate

Today's successful organizations are the ones which carry on open and honest communications with their employees. If employees know and understand the mission, they will help communicate... Read More

Turbo Charge Your Career With The Most Powerful Leadership Tool Of All: The Leadership Talk: Part 2

In Part One, I described the Leadership Talk and how it is a much more effective leadership tool than presentations or speeches.I also described two fundamental premises... Read More

Organizational Techniques - Tickler and Chron File

One of the biggest problems we encounter in our consulting with businesses, and our students is time management and organizational techniques. This article will concentrate on some... Read More

Culture Management and Creativity

Many concepts in the fields of managing creativity are very much applicable to culture management in general. The same concepts that foster creativity and innovation also maximise... Read More

Innovation Management ? Six Crucial Steps

Creativity can be defined as problem identification and idea generation whilst innovation can be defined as idea selection, development and commercialisation.There are other useful definitions in this... Read More

Manufacturing Capacity as a Commodity

Excess capacity in an automobile plant at Ford, Chrysler, Toyota, GM, and Honda is a commodity and those who study finite capacity scheduling modules can readily see... Read More

A Journey of a Thousand Miles

You can't build a reputation on what you are "going" to do. Henry Ford Everyone procrastinates in their own way. For some, procrastination results from the belief... Read More

Oasis in a Cash Flow Desert - Four Resources That Increase Small Business Capital Streams

For small business owners, an enthusiastic vision for smooth, steady growth can become nothing more than a mirage once company cash flow problems begin to heat up.... Read More

On The Job Training is Something You Canâ??t Afford to Skip

Trained employees are more productive employees; thereâ??s no doubt about that. Whether youâ??re your only employee or whether youâ??ve got a growing staff, put OJT (on the... Read More

Is Your Business Healthy?

Most business owners I work with want to grow their businesses. I guess this probably applies to most businesses in general. But growth for the sake of... Read More

The Compliance Officers Killer Application

It used to be that only the largest multi-nationals needed a Compliance Officer. Today most practices, regardless of size, would be wise to charge someone within their... Read More

Eight Skills of Highly Successful Consultants

With deference to Dr. Covey and his very popular Seven Habits of Highly Effective People (all habits that will make us better consultants!), here are eight skills... Read More

What is the Most Difficult Part of an Improvement Program?

Answer: Starting one.Most of us realize that there is probably a better way to perform certain functions or tasks, but improvement programs seem to take second seat... Read More

Structure Your Payment Offers to Sell More Products

The way you structure your payment offers can increase your sales. I'm not talking about the way people pay like credit cards, digital payments, checks, and cash... Read More

7 Steps To Hire The Best

You can use this step-by-step method to hire applicants who are likely to be "superstar" employees:- highly productive- low-turnoverImportant: Focus on hiring applicants you rate positively on... Read More

Managing Workplace Conflicts

Kinds of Workplace ConflictsLet's start by identifying where conflicts happen. Think about the kinds of conflicts that happen around your workplace.? Disagreements over turf (who should do... Read More

Managing Yo-Yo Style

Does being managed by others smack more of "Survivor" than Stephen Covey for you? Could there BE any more management styles out there-have you gotten to experience... Read More

10 Ways To Work Through A Business Slowdown

In running any kind of business, it's inevitable that sometimes business will slow down. This might occur due to an upcoming holiday, seasonal variations, or uncontrollable circumstances.... Read More

Its All About The Customers, Baby

If you want to ensure a steady stream of customers in your business, you must always remember why you're in business in the first place.Sure you want... Read More

Communicating In Chaotic Environments

How do you, or would you, communicate in a chaotic environment?That question was put to me by a reader who works in big, frantically-paced telecommunications company. Many... Read More

Stopping The Brain Drain: How To Capture Key Business Knowledge Before It Walks Out The Door

The verdict is in: More and more baby boomers will be leaving the workplace sooner, rather than later. Many industries are predicting that between 25 and 45%... Read More

Making a Decision to Outsource: Driving Factors

Most executives view offshore outsourcing most of all as a source of cost reducing. The greatest savings are expected to come from lower labor cost and reduced... Read More

Are You At The Mercy Of Computer Geeks?

Many business owners are sabotaging their business without even realizing it. They are completely out of the loop when it comes to all technology aspects of their... Read More

Teamwork Training: Learning to Build a Successful Team

Teamwork is a process that can be experienced outdoors and well as in the workplace. A lesson learned in one environment can be applied equally well in... Read More