KNOWLEDGE MANAGEMENT (KM) Session # 25

Nonaka SECI Model* For Organizational K. Creation / Innovation Socialization Externalization TACIT EXPLICIT Collaboration - Share K Capture - Write Report From Internalization Combination Integrate K in Report Transfer K To TACIT EXPLICIT * The Knowledge Creating Company, 1995.

Knowledge Creation/Generation in Organizations! SECI Process

Tacit Knowledge Explicit Knowledge TO Tacit Knowledge FROM Explicit Knowledge

Tacit Knowledge Explicit Knowledge TO Tacit Knowledge FROM 1. SOCIALIZATION Observe, Practice, Experience 2. EXTERNALIZATION Explicit Knowledge 4. INTERNALIZATION 3. COMBINATION

Socialization Process of creative dialogue to achieve shared experience Example: - ABC’s brain storming team - XYZ ’s software engineers experiencing intelligent bread making BAKERY - Product Development Team - Critical success factor: Mutual Trust

Tacit Knowledge Explicit Knowledge TO Tacit Knowledge FROM 1. SOCIALIZATION 2. EXTERNALIZATION Articulate, Express, Convert (mental images into metaphors, analogies, concepts, hypothesis, models, codes etc.) Explicit Knowledge 4. INTERNALIZATION 3. COMBINATION

Externalization Process of articulation “Metaphors create novel interpretation of experience by asking the listener to see one thing in terms of something else.” - “Automobile Evolution” is used by the product development team. The team viewed automobile as an organism and sought its ultimate form. Analogy helps us understand the unknown through the known - Analogy of a bear can and a copier drum led to development of a low cost disposable cartridge (Mini-Copier concept) - Analogy of a concept called “man-maximum, machine-minimum” and a sphere led to the concept of a tall and short car, Fridge vs E-Learning

Tacit Knowledge Explicit Knowledge Tacit Knowledge FROM TO Tacit Knowledge FROM 1. SOCIALIZATION 2. EXTERNALIZATION Explicit Knowledge 4. INTERNALIZATION 3. COMBINATION Systemize, Link, Synthesize, Reconfigure (explicit knowledge in different media and sources such as documents, telephone conversation, computerized communication networks etc.)

Combination Process of reconfiguring through sorting, adding, categorizing, synthesizing Various analyzing approaches - ABC company analyzes its POS data to find new knowledge about its customer via Data-mining and other techniques Synthesis between grand concepts and mid-range concepts - Grand concept “Live Drink for Live People” combined with a midrange product concept of “Richness and Sharpness” led to the development of the Energy Drink - “Creation of an excellent company by transcending the camera business” combined with mid-range product concept “easy maintenance” led to Mini-Copier Cameras to Printers

Tacit Knowledge Explicit Knowledge Tacit Knowledge FROM TO Tacit Knowledge FROM 1. SOCIALIZATION 2. EXTERNALIZATION Explicit Knowledge 4. INTERNALIZATION Re-experience, Embody (the explicit by reading documents, report, by listening to stories, experimenting to increase the scope of knowledge) 3. COMBINATION

Internalization Process of embodying XYZ ’s Product Development Team read explicit transcripts of customers complaints to re-experience the experience of company’s telephone operators Listening to ‘story’ telling - Listing to success stories to simple chat with telephone operators, field people etc. - Expanding bodily experience by extending and experimenting with the scope of explicit knowledge ● working in teams of people with different experiences ● using a prototype

Tacit Knowledge Explicit Knowledge Tacit Knowledge FROM TO Tacit Knowledge FROM 1. SOCIALIZATION Observe, Practice, Experience 2. EXTERNALIZATION Articulate, Express, Convert (mental images into metaphors, analogies, concepts, hypothesis, models, codes etc.) Explicit Knowledge 4. INTERNALIZATION Re-experience, Embody (the explicit by reading documents, report, by listening to stories, experimenting to increase the scope of knowledge) 3. COMBINATION Systemize, Link, Synthesize, Reconfigure (explicit knowledge in different media and sources such as documents, telephone conversation, computerized communication networks etc.)

Explicit Knowledge Tacit Knowledge “Ba” Externalization

The Four Characteristics of Ba Socialization Externalization Face-to-face Peer-to-peer Originating Ba Interacting Ba Existential Reflective On-the-site Group-to-group Exercising Ba Cyber Ba Synthetic Systemic Internalization Combination