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Similarly, (1998; pp.21) have defined knowledge as deriving from minds at work: "Knowledge is a fluid mix of framed experience, values, contextual information, and expert insight that provides a framework for evaluating and incorporating new experiences and information. In organizations, it often becomes embedded not only in documents or repositories but also in organizational routines, processes, practices, and norms." Knowledge is at the heart of knowledge management.In literature, a lot of studies have been suggested covering the role of knowledge in improving the performance of management.Simultaneously, conceiving multiple future trajectories of the information technology and human inputs embedded in the KMS can diminish the risk of rapid obsolescence of such systems.
Of course knowledge and knowledge management both are important for an organization, but are all knowledge management efforts in the organizations successful?
If knowledge management efforts fail in an organization, what are the main failure factors of this phenomenon?
Second, the efficacy of inputs and how they are strategically deployed are important issues often left unquestioned as 'expected' performance outcomes are achieved, but the value of such performance outcomes may be eroded by the dynamic shifts in the business and competitive environments…starting with a low-profile project, not changing the compensation scheme to reward teamwork, building the grand database in the sky to house all your company's knowledge, and assuming someone else will lead the change are the other common errors during knowledge management implementation in the organization that cause failure in KM efforts.
(2004) also notes that design of KM system should ensure that adaptation and innovation of business performance outcomes occurs in alignment with changing dynamics of the business environment.
But Daniel Morehead, director of organizational research at British Telecommunications PLC in says the rate is closer to 70%.
"Most knowledge management projects simply don't hit their stated goals and objectives," Morehead says.
First, knowledge management systems are often defined in terms of inputs such as data, information technology, best practices, etc., that by themselves may be inadequate for effective business performance.
For these inputs to result in business performance, the influence of intervening and moderating variables such as attention, motivation, commitment, creativity, and innovation, has to be better understood and accounted for in design of business models.
Even access to more "official" company resources, such as clinical trial information and the main customer information database, was difficult due to poor awareness of its availability and poor indexing.
To date, senior management had shown little interest in knowledge management.