1. KNOWLEDGE AUDIT Jay Liebowitz R.W. Deutsch Distinguished
Professor of Information Systems, UMBC;

2. What Do You Hope to Learn?
Further background on KM processes and the role of the CKO in the organization
Knowledge management methodology
Knowledge audit process
Practical advice about knowledge audits

3. Knowledge Management Process
Developing new knowledge
Securing new and existing knowledge
Distributing knowledge
Combining available knowledge
Important element -- Connectivity

4. “What is a CKO?” (Earl and Scott, Sloan Mgt. Review, Winter 1999)
Studied 20 CKOs in North America and Europe
Usually appointed by the CEO (gut feeling)
Primary task is to articulate a KM program
CKOs spend a lot of time “walking around the organization”
CKOs are conceptual designers
Concentrate on tapping tacit knowledge
Self-starter; not single career-track people
Highly motivated (driven)
Most have small staffs (3-12 persons)
High level sponsorship

5. A SMART Methodology for Knowledge Management (Liebowitz et al., UMBC)
S=Strategize
M=Model
A=Act
R=Revise
T=Transfer

6. Operational/Implementation Steps for the Knowledge Leveraging Model
Conceptualize and Strategize:
Define Problem (why are we doing this; what should be the end result?)
Assess Cultural Readiness, Technology Needs & Resources
Conduct a Knowledge Audit (Knowledge Gap Analysis)
Analyze and Develop an Overall KM Strategic Plan (Should Relate to the Center’s Strategic Plan; Define Leadership Role, KM Implementation Infrastructure, and Technology Needs)
Knowledge Acquisition:
Identify and Apply Methods to Capture Expertise (e.g., structured/unstructured interviews, verbal walkthroughs, observation, simulation, questionnaires, etc.)

9. Knowledge Audit (ONLINX Research Inc.)
A knowledge audit is a review of the firm’s knowledge assets and associated knowledge management systems
A systematic and dispassionate review of the adequacy and integrity of important organizational assets and systems

10. Knowledge Audit (Dataware, Liebowitz)
In order to solve the targeted problem, what knowledge do we have, what knowledge is missing, who needs this knowledge, and how will we use the knowledge?

11. Knowledge Audit (Seeley, Warner-Lambert)
What information exists in my organization, and where is it located?
What expertise resides in my organization--who knows what?
What relevant expertise resides outside my organization, where does this expertise exist, and how do I gain access to it?
What are the best sources of relevant internal and external information and knowledge?

12. Value of a Knowledge Audit (Peter Smith, ONLINX Research Inc.)
Demonstrates exactly where value is being created through human and structural capital
Highlights where leverage can best be applied through improved knowledge sharing and organizational learning
Helps prioritize projects for improving knowledge management practice
Demonstrates firm capabilities to shareholders and other stakeholders
Is a key component to strategic planning for any knowledge-based enterprise
Is a key adjunct to due diligence and business planning in mergers, acquisitions, strategic alliances, venture capital, and new company formation

13. Why Audit? Looking for knowledge-based opportunities in the markets?
Is your focus knowledge flows, stores, and sinks in the organization?
Is the audit to check compliance with SOPs?
Are you searching for ways to leverage internal processes using knowledge?
Will you focus on knowledge objects or are you interested in cultural barriers?

14. Why Audit? (cont.)
Is the audit strictly for gathering baseline data (descriptive) or is there a prescriptive element?
Is the audit part of a larger BPR project?
Does the mandate include all stakeholders, suppliers, customers, stockholders, etc.?
Where does the learning take place that generates the knowledge?
How fast is the learning?
What are the key leverage points in the learning process?

15. Top 5 Reasons for Implementing a KM Solution (Delphi Group)
Organizing corporate K (63%)
New ways to share tacit K (39%)
Support for research and K generation (31%)
New ways to share explicit K (29%)
“Smart” tools to aid DM (26%)

16. Knowledge Reuse
Provides for the capture and reapplication of knowledge artifacts (episodes in memory, stories, relationships, experiences, rules of thumb, and other forms of knowledge acquired by individuals or groups)
Relies as much on the use of negative experiences, flawed reasoning, or wrong answers as on correct results
Failure and Lessons Learned in Information Technology Management: An International Journal (Jay Liebowitz, Editor-in-Chief; Publisher: Cognizant Communications Corp., NY;

17. Information Audits (TFPL)
Identify the information needs of the organization, the business units, and individuals
Identify the information created and assess its value
Identify the expertise and knowledge assets
Identify the information gaps
Review the current use of external and internal information sources

18. Information Audits (TFPL) (cont.)
Map information flows and bottlenecks within those flows
Develop a knowledge map of the organization indicating appropriate connections and collections
These tasks will enable the design of content
maps for intranets, knowledge management
strategies, and information strategies

19. Knowledge Management at Monsanto Co.
Developed a Knowledge Management Architecture (KMA) -- Director of Knowledge Management
Includes a learning map that identifies questions answered and resulting decisions made
Information map that specifies the kind of information that users need
Knowledge map that explains what users do with specific information (conversion of information to insight or knowledge)

20. Audit (TFPL) Independent team
Mix of interviews, questionnaires, discussion groups, and focus groups
Number of people in “central” positions are interviewed
Detailed questionnaire to all staff
Do post-audits periodically

21. Perform a “knowledge audit” first
Perform a “knowledge audit” first! If you’re a manufacturer, you inventory your physical assets before you change your manufacturing plans and processes. Should we do less with knowledge resources? Consider such factors as:
What information do people need to do their jobs?
What is the function of the information?
Who holds that knowledge now? Who needs it? When?
How can that information be made substantially more effective?
What connection should you make between documents and “work flow”?
Do you really want “document management” tied to work flow, processes, and “business process reengineering”?
What precisely, is the nature of knowledge resources?

22. Teltech’s Audit Process
Begins at the top, identifying the client’s key decision making areas and tasks, and drills down to evaluate the types, level, and location of info and K required to support those decisions
Gap analysis identifies information/K weak areas

23. Teltech’s (cont.)
Teltech’s knowledge audit takes 3-4 weeks at one location with employees
Assesses knowledge-related behavior (e.g., how receptive is a client’s culture to accessing information electronically?)

24. Knowledge Audits & Related Projects (Liebowitz et al., UMBC)
BRI/PAC core competency process at the Social Security Administration (2 surveys, follow-up interviews)
Knowledge management strategy for the FCC
Knowledge mapping for ASID
Web-based expert system for HCFA
Agent-based system for the Navy
Other work at our Lab for KM

25. Knowledge Organization
Invest in education and training of the firm’s human capital
Develop knowledge repositories for preserving, sharing, and distributing K
Provide incentives to encourage employees and management to contribute to the organization’s knowledge repositories and use this knowledge
Consider evaluating annually each member of the firm on the quality and quantity of knowledge contributed to the firm’s knowledge bases as well as the organizational knowledge used by that firm member

26. Knowledge Organization (cont.)
Develop methodologies for managing and structuring the knowledge in the knowledge repositories
Provide an infrastructure of individuals whose main job is to manage the creation, development, and maintenance of knowledge repositories
Place the Chief Knowledge Officer (CKO) in either a staff position directly under the CEO or in a line position equivalent to a VP
Adapt to the changing competitive environment by forming project teams based on the employee knowledge profiles

27. CGIAR KM Survey Results
Most Centers don’t measure the value of the IC
People are the most important knowledge carriers
Most of the Centers’ strategic goals don’t include KM explicitly
KM objective: facilitate the re-use & consolidation of K
Sharing of K: intranets, documentation--Center level
Unit-level: intranets, cross-functional teams, training
Creation of K: lessons learned analysis
Storing K: manuals and handbooks
“Some” understanding and support for KM
Mixed reaction on motivating and rewarding for KM
No formal Webmaster function in most Centers
& videoconferencing: intranet to support KM
No tracking of new K generation