Knowledge-Based Working CHANDOS KNOWLEDGE MANAGEMENT SERIES SeriesEditor: Melinda Taylor (email:[email protected]) Chandos’newseriesofbooksareaimedatallthoseindividualsinterestedinknowledge management. They have been specially commissioned to provide the reader with an authoritative view of current thinking. If you would like a full listing of current and forthcomingtitles,pleasevisitourwebsitewww.chandospublishing.com or contact Hannah Grace-Williams on email [email protected] or telephone number +44 (0) 1865 884447. Newauthors:wearealwayspleasedtoreceiveideasfornewtitles;ifyouwouldliketowrite abookforChandos,[email protected] ortelephonenumber+44(0)1865884447. Bulk orders: some organisations buy a number of copies of our books. If you are interested in doing this, we would be pleased to discuss a discount. Please contact Hannah Grace-Williams on email [email protected] or telephone number +44(0)1865884447. Knowledge-Based Working Intelligent operating for the knowledge age S E TEVE LLIS CP Chandos Publishing Oxford•England ChandosPublishing(Oxford)Limited ChandosHouse 5&6SteadysLane StantonHarcourt OxfordOX295RL UK Tel:+44(0)1865884447Fax:+44(0)1865884448 Email:[email protected] www.chandospublishing.com FirstpublishedinGreatBritainin2005 ISBN: 1843341204(paperback) 1843341212(hardback) (cid:1)SteveEllis,2005 BritishLibraryCataloguing-in-PublicationData. AcataloguerecordforthisbookisavailablefromtheBritishLibrary. Allrightsreserved.Nopartofthispublicationmaybereproduced,storedinorintroducedintoa retrieval system, or transmitted, in any form, or by any means (electronic, mechanical, photocopying, recording or otherwise) without the prior written permission of the Publishers. Thispublicationmaynotbelent,resold,hiredoutorotherwisedisposedofbywayoftradeinany formofbindingorcoverotherthanthatinwhichitispublishedwithoutthepriorconsentofthe Publishers. Any person who does any unauthorised act in relation to this publication may be liabletocriminalprosecutionandcivilclaimsfordamages. The Publishersmakenorepresentation,expressor implied,withregardtotheaccuracyofthe informationcontainedinthispublicationandcannotacceptanylegalresponsibilityorliability foranyerrorsoromissions. The material contained in this publication constitutes general guidelines only and does not representtobeadviceonanyparticularmatter.Noreaderorpurchasershouldactonthebasisof materialcontainedinthispublicationwithoutfirsttakingprofessionaladviceappropriatetotheir particularcircumstances. TypesetbySPSLtd.PrintedintheUKandUSA. Printed in the UK by 4edge Limited - www.4edge.co.uk Acknowledgements Manypeoplehaveshapedthecontentofthisbook.InparticularIwould like to thank the following: JimFrancis,MartinMaylin,PeterBalafas,DariusBaria,DavidGurteen, Sandy Keilloh, Robert Taylor, Debbie Lawley, Lucia Dore, Leif Edvin- son and Dawn Cooper for sharing their views on knowledge management with me. ix Foreword I am delighted to be writing this foreword for Steve’s new book. I have known Steve for several years, having met him originally at the Henley Knowledge Management Forum. In that time, I had worked with Steve on a number of occasions and shared the platform with him at KM conferences where he has passionately presented his views and experi- ences of working in the field of ‘knowledge-based working’. Steve,likemyself,believesthatknowledge-basedworkingisnotabout technology or processes or systems, nor is it about theory. It is practical andpragmatic.Itisabouthowindividualsworkingaloneandtogetherin teams and networks get their work done to achieve their planned busi- ness or organisational outcomes. Thechallengeofknowledge-basedworkingisforindividualstorealise the need for new ways of working in this increasingly knowledge-based world for themselves. And in this, I include senior managers and execu- tives, as clearly they too are individuals. New ways of working cannot be imposed on knowledge workers. Peopleneedtorecognisetheneedforchangeinthemselves,thewaythey relatetootherpeopleandthewaythattheyworkandtakeresponsibility for that change. Change cannot be forced on them. It can’t be sold to themanditdoesn’tneedtheirbuy-in.Theyneedtoseeitforthemselves andwithothersdriveit forthemselves. Inthissense,managers can only create an environment where people are free to do this. This book largely sets the agenda for such knowledge workers. Steve has pinpointed the various challenges, barriers and rewards that suc- cessful knowledge-based work will bring to individuals, managers and their organisations. More than this, the book explains to you as experts orbeginnersalikethe kind ofthingsyouneedtothink aboutand todo, no matter who or where you are on your journey. In our numerous conversations over recent years, it has become clear to me that Steve has learnt, the hard way, many valuable lessons in xi Knowledge-Based Working promoting and championing knowledge-based working in the tough financial services sector. This has been a difficult time for Steve but the good news is that you can learn from his experiences in this book. I believe anyone – workers, senior managers, executives or students – whoislookingtounderstandandacteffectivelyintheknowledge-based world will find this book an essential manual. David Gurteen Gurteen Knowledge xii Introduction Welcome to this book on Knowledge-Based Working. I really hope you find the ideas within it stimulating and useful in addressing where the whole phenomenon of ‘Knowledge-Based Working’ is taking us. My reasons for writing this book are threefold: n Firstly, ‘Knowledge Management’ as an organisational development idea has been around, mostly informally but occasionally formally, in most organisations for long enough to enable an informed critique of some of the initial results. More importantly, some suggestions astohowtheseresultsmightbesignificantlyimprovedarelongover- due. n Secondly, every time I talk to managers, give a presentation or run a seminaronthistypeofsubjectIamfacingsimilarquestions/issuesand challenges – such as ‘an intangible thing like knowledge can never truly be managed’ or ‘there is nothing new about this knowledge work, it is just like any other sort of work’, both statements I funda- mentally disagree with. n Thirdly,Ibelievethatmyexperienceisquiteunusualinthatalongside spendingthelastsixyearsasaknowledgeworkpractitionerinablue- chip,globalcorporation,Ihavealsoresearchedthefieldwidelyalong thewaytoobtainingmyterminalqualification,whichIthinkgivesme a justifiable platform to offer guidance from a practical, theoretical and observational perspective. Inaddition,thepublishersChandosweresmartenoughtosupportwhat I saw as the need for this text by spotting a gap in the already over- crowded market of books on organisational development. Inpickingupthisbook,youmustalreadybeinterestedinknowledge- based working. The reasons you should go on to read this book are: n Knowledge-based working is already here – you and I can see it and experience it every day. xiii Knowledge-Based Working n Ifyouunderstandmoreaboutitandhowitisgoingtoaffectyourlife, you can make some tough decisions about your contribution to the knowledge economy from a position of strength not confusion. n The hype of knowledge management has already significantly over- promised and under-delivered. It would be good to know why this happened and what can be done about ensuring that knowledge- based working in general does not go the same way. n There exists a dangerous but nicely opportune ‘competency vacuum’ in the field of knowledge-based working because no one has fully cracked the code of how to do it well yet. n Thisbookwillhelpyoufindawaythroughthecurrentfogsurround- ingtheknowledgerevolutiontoguideyourownthoughtandactions. Attheendofeachchapteryouwillfindasetofself-assessmentquestions tocheckyourunderstandingagainsttheobjectivessetatthestartofeach chapter.Interspersedthroughouteachchapterareanumberof‘reflection points’,whicharedesignedtopromptyoutoputdownthebook,justfor a while, and think further about the issue raised. At the end of each chapteryou will find further guidanceon each of the reflection points. Before we get much further I will nail my own colours to the mast. I am an unashamed believer in the positive benefits of knowledge-based working. I am willing to admit here and now that I cling to the fol- lowing principles, even in the light of sometimes heavily contradictory evidence: n Highlyeffectiveknowledgesharingisnowthebestwaytocompetein what is after all the knowledge age. n Most people have a natural tendency to want to share knowledge, althoughorganisationshaveinadvertentlydevelopedamasteryofpre- venting them from doing it well. n Customers increasingly expect organisations to be able to use know- ledge well and rebel when organisations do not. n Organisations have just begun to scratch the surface of the improve- mentsinawholerangeofareasthateffectiveknowledge-basedwork- ing can offer. n Mostemployeesknowintheirheartsthattheknowledgetheyhaveis painfully underutilised; unless and until they decide they want to use it, the untapped potential is immense. xiv Introduction n Knowledge-basedworkingofferstremendousopportunitiesandscope for people to contribute more fully to the workplace, and society in general,alongthewaychangingthetediumofemployeecaptivityinto the excitement of creative involvement. This book will provide you with underlying reasons for these beliefs, backed by the evidence found in both my research and professional activity.Youdonothavetoagreewiththemall,butIdohopeyouwill. Chapter1is,asyoumightexpect,anintroductiontowhatismeantby knowledge-based working, how it is being experienced and what it is likely to mean to you and those around you. Chapter 2 of this book looks at how knowledge-based working and knowledge workers themselves should be organised and ‘managed’, which I think is fundamentally different to what we have traditionally seen managers do. Chapter 3 presents four new rules of organisational behaviour that, from my experiences, now reflect the impact that the knowledge revo- lution is having. This chapter also presents a simple, new consultancy model to help you if you want to complete further analysis of know- ledge-based working – the 4Cs model. Finally, Chapter 4 of the book looks at the immediate and future consequences of knowledge-based working from three distinct perspec- tives – individuals, managers and organisations. Sometimesinlifethingscometogetherwithaforcethatisirresistible. The emergence over the last decade or so of changes driven by infor- mationcommunicationtechnology(ICT)andthedigitisationofsomuch of what we now call ‘knowledge work’ is one of these occasions. If you ask (as I have done) any group of senior executives in reasonably large size organisations the following questions, the answers you will get pretty consistently confirm why I think this is the case: 1. Are you expecting your employees to use more of their own and others’ knowledge than ever before to make decisions? 2. Are you asking your IT function to facilitate greater organisational connectivity? 3. Are you facing a changing and unpredictable business environment where knowledge is a real competitive weapon? 4. Areyouconsistentlybeingsurprisedbymovesfromcompetitors,cus- tomersandevenemployeesdoingthingsthatyoujustdidnotexpect? xv