The Return on Knowledge
Knowledge management has been a buzzword amongst modern day companies for a few years now. However, many companies are still skeptical about investing significant sums of money in a knowledge management system. This is because the return on knowledge management can be difficult to measure. When companies undertake other cost-cutting or business improvement activities, the returns are often immediate and tangible. The problem with knowledge management is that the returns take some time and cannot be easily measured. Most managers seem to agree that knowledge management initiatives seem to have softer impacts on the performance of the firm. For instance, the flow of information becomes more streamlined as well as employees and customers are more satisfied. However, these same managers cannot really attribute a number to the returns they generated thanks to knowledge management. This is the reason why even in the information age, the emphasis on knowledge is minimal.
In this article, we will have a closer look at the nitty-gritty of knowledge management.
Advantages of Knowledge Management Systems
Disadvantages of Knowledge Management Systems
The above points illustrate the benefits of knowledge management systems. However, there are clearly some drawbacks to the system as well. They have also been listed down.
The bottom line is that investments in knowledge management are imperative. Also, companies know that about half their investments in this area are wasted. The problem is that they do not know which half. This is the reason that a robust mechanism to measure the return on knowledge needs to be developed. This will help further the cause of knowledge management by leaps and bounds.
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Authorship/Referencing - About the Author(s)
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