1. Where is the “Knowledge” for the Knowledge Worker?
Carl Ascenzo
CEO & Consultant

2. Introduction
Companies go through great effort and expense to recruit, train and retain employees for operational jobs such as customer service and back office operations. Unfortunately important interpersonal skills such as  professionalism, attitude, empathy and communication are often sacrificed for technical skills. Why? Because the challenge with technical competence often lies with the ability to memorize vasts amounts of information, complexity,  multiple information sources and systems, and is further hindered by change, incomplete documentation, and flawed policies and procedures.
Technology has helped with the “work” component. Technologies such as automated call routing, interactive voice response, business process management and customer relationship management are a few examples. Companies should now focus on the “knowledge” part of the equation by proactively driving context-sensitive information to employees when, where and how they need it. Unfortunately most content and knowledge management systems don’t have this capability. Methodology and systems are now being introduced to compliment the work technologies, by providing real time knowledge deployment. 2

3. … and why is this important?1
DEMAND
…for improved business operations performance is unrelenting and constant.

4. OBSTACLES why is this important? 2
…limited qualified labor, more products/policies/procedures, new systems, increasing regulations, heightened risk management, accelerating change and complexity.

5. Which means… Can’t Absorb… Overwhelmed Can’t Find… Frustrated
Can’t Execute…
Confused

6. Resulting in underperformance….
Wasted Time
More Errors
Stress & Turnover
….and a direct impact on profits

7. Components of S&P 500 Market Capitalization 1973 – 2007 (OCEAN TOMO)
Market Premium: No Book Value
Intangible Asset Book Value
Tangible Asset Book Value
…. intangible capital with no book value dominates value creation 7

8. “Structural Capital”, particularly knowledge and business practices, is a largely untapped corporate asset.
Intangible Capital with No Book Value
Relationship Capital
(Customers, Vendors, Partners)
Human Capital
(Competencies, Experience, Skills)
Structural Capital
(Processes, Information, Knowledge, Practices)
I-Capital Advisors

9. Challenges to optimizing structural capital
Many enterprises do not think about structural capital and its impact on customers or costs
Eliminating all complexity is not practical, yet not dealing with it isn’t an option
Organizations assume knowledge management includes knowledge delivery
Traditional training emphases memorization, versus ongoing support and can’t keep pace with change
Adults learn best by doing; at that moment they have a high interest in the task, situation and related concepts

10. average 10+ windows running simultaneously
These are all to blame for making it difficult from them to effectively serve the customer. In fact, a full 25% of the workday is spent simply searching for information and determining if it is up-to-date and viable. And when pointing and clicking their way to get this information, agents are running over 10 windows on their computers.

11. Page: 13 of 145
Words: 34,768
↑ complexity
= indigestible

12. Technology Dilemma
BPM and CRM are architected for moving a transaction (data) on a path of tasks through a process
Document Mgmt and Content Mgmt are architected to store information in a catalogued way
Knowledge Mgmt and Collaboration are architected to facilitate team creation of work artifacts
Search is unpredictable in accuracy, granularity, speed
As transaction processing differs from data warehousing, knowledge delivery has to differ from Knowledge Mgmt 12

13. evolution of systems p a s s i v e v e r s u s a c t i v e
Business Process Management
Business Practice Guidance
Collaboration
Intranet
Electronic Document Management
CRM
Speed to Information
Knowledge Management
Search
Enterprise Portals
Workflow Management
eLearning
Studies show that in the last three years, 90% of frontline customer service representatives perceive their workload as becoming more, not less, complex
HELP
Content Management
Paper Files
Imaging
< >
p a s s i v e v e r s u s a c t i v e

14. Solution: Business Practice Guidance (BPG)
To navigate through complexity faster and accurately without disrupting underlying business and technology systems.
Business Practice Guidance is the capability to proactively drive real-time, accurate, context-relevant knowledge and information to employees when, where, and how they need it. 14

15. BPG improvement – operations
Improves quality
Reduces errors
Improves consistency
Increases productivity
Reduces risk
Improves overall customer, employee experience
Simplifies complex processes
Turbo charges existing IT
Incorrect handling
60 – 90% reduction
Average handle time
10 – 30% reduction
First call resolution
20 – 40% improvement
Escalation to expert
40 – 70% reduction
Studies show that in the last three years, 90% of frontline customer service representatives perceive their workload as becoming more, not less, complex

16. BPG improvement – compliance
Enables “active” adherence to policies, regulations, procedures
Enforces appropriate controls at all business levels
Enhances risk management
Provides audit capability
Immediate availability of additions & revisions
Studies show that in the last three years, 90% of frontline customer service representatives perceive their workload as becoming more, not less, complex

17. BPG improvement – knowledge deployment
Delivers knowledge and information that is not operational
Captures knowledge in a structured way
Makes knowledge useful
Effectively maintains knowledge
Timely distributes knowledge
Studies show that in the last three years, 90% of frontline customer service representatives perceive their workload as becoming more, not less, complex

18. BPG improvement – learning & development
Formal classroom training
> 50% reduction
Initial & ongoing time to competency
50 – 80% reduction
Effective on job training and support
Improved staffing flexibility
Improved attrition
Reduced complexity & burnout
Faster adoption of business and systems change
Improved employee satisfaction & engagement
Transforming without pain
Studies show that in the last three years, 90% of frontline customer service representatives perceive their workload as becoming more, not less, complex

19. case study: banking Financial Services
Significant increase in productivity (table on next slide)
91% reduction in non-lending losses
40% to 60% increase in employee engagement
99% on-time service score
99.9% transaction accuracy score
Faster implementation and ROI in rollout of 4 major systems
Studies show that in the last three years, 90% of frontline customer service representatives perceive their workload as becoming more, not less, complex

20. case study: banking (continued) BEFORE AFTER
Studies show that in the last three years, 90% of frontline customer service representatives perceive their workload as becoming more, not less, complex

21. case study: health insurance
Search times reduced 94% (from 120 to 7 seconds)
10% reduction in customer hold time
20 second reduction in average handle time
Significant decrease in Help Line calls
80% CSR engagement in continuous improvement
New hire attrition rate reduced 26%
Studies show that in the last three years, 90% of frontline customer service representatives perceive their workload as becoming more, not less, complex

22. Early Adopters British Telecom – order management
National Australia Bank – call center & back office
Blue Cross NE Pennsylvania – member service
Caterpillar – dealership operations
Hewlett Packard – sales & service
Stellar – call center & BPO outsourcing
Celgene – risk management 22

23. Summary
“Structural Capital”, particularly knowledge and business practices, is a largely untapped corporate asset.
For many enterprises…they do not think about complexity, its impact on customers or costs.” – Mark McDonald, Gartner.
Adults learn best by doing things, so providing learning at the moment of need is a highly leveraged technique. – Gloria Gery
Eliminating all complexity is not practical; dealing with it is not an option and needs to be a core competency for every organization. – Delphi Group
Business Practice Guidance, proactively drives accurate, context relevant knowledge and information to employees when, where and how they need it.
BPG is not Help, Search, BPM, CRM, CM or KM - BPG leverages these capabilities to increase operational performance. 23

24. Carl Ascenzo CEO & Consultant O: 978.283.0408 M: 860.716.5893 24