Knowledge is distilled information in summary. Knowledge is information that can be confirmed to be ready and worthy sharing with other persons in deficit of such knowledge. Knowledge has been identified as among the vital resources that an organization could have as a considerable advantage over competitors (Bogorad, 2010). The social organizational issues related to developing, implementing and usage of knowledge technology have called for the management of this vital resource. Knowledge management is no longer the brand-new and revolutionary idea that it was 20 years ago, but it is still an extremely useful approach and one that emphasizes that knowledge technology alone is not the solution to organizational problems but merely a set of tools that enables an organization to deal with its fundamental issues of purpose, resources, and outcomes. Since this aspect of knowledge management has been a concern for researchers.
However, various conducted researches have made conclusions that leadership and management have a technical role in effective assimilation of practicing knowledge management. Organizations have identified knowledge management as a way of leveraging their knowledge resources. This can be proved by the current quests of businesses to employ electronic knowledge repositories (EKRs). Organizations have utilized the EKRs in storing codified knowledge of the organization (Li, 2009). It is therefore clear that knowledge is of vital importance in an organization because various organizations have chosen to invest in storing knowledge.
Knowledge management serves to ensure that organizations achieve their purpose of business. For instance the Titan portal helps them to communicate over 600 stores located in India. This is facilitated by the fact knowledge is disseminated from one location but communicated back from different locations. Knowledge management practices including the use of portals are employed by the Titan in achieving its vision of sharing knowledge (Rao, 2010).
Profit making is the main purpose of businesses. Organizations achieve these by using knowledge management strategies to trace their revenues and expenses. Revenues knowledge can be traced from the manufacturing of the product up to its selling. Knowledge management will also trace expenses from their occurrences to accounting.
An organization could use knowledge management in accounting for its resources. A knowledge management system in place has the capability of identifying, recording and analyzing important knowledge on products, personnel, processes, performance, partners and policies in addition to the dynamism that may occur between organization structure and its preliminaries. This will involve the coordination of the various resources of an organization in a systematic order with an aim of achieving the purpose of an organization (Fathi, 2013). This is usually based on the strategy of sharing knowledge on personal workers knowledge and tips about products and tactics of facilitating organizational strategies and goals in an effective manner. For instance, in the Titan enterprise all this knowledge can be retrieved from the portal by logging into the portal and browsing for knowledge of interest.
However, having all this knowledge does not determine the success or failure of an organization. Knowledge need to be integrated and coordinated by successful personnel (Rao, 2010). Knowledge acquisition and analysis will serve only to have knowledge at hand. The task about knowledge importance is utilization of such knowledge in achieving organizational purpose. This thus calls for a good management system that is effective in analyzing knowledge and able to apply it effectively.
Knowledge management is very important in the current economy as it solves very many economic problems. When knowledge management is incorporated in the current economic sectors such as commerce, science and technology .It these sectors in making useful decisions affecting the society. It helps government sectors, profit and non –profit organization to make decisions. The knowledge management assists both the strategic and middle level managers in making decisions useful in the organization. The knowledge management has been used in financial institutions to make work easier (Maier2007). The long queues which were experienced in banks sometime back have been reduced nowadays and the service y has been made easier, faster and efficient. Banks now use automated machines which work 24-hours a day. By the use of queuing method which embraces the rule first come first serve makes the service more efficient.
In the engineering sector knowledge management has been integrated to solve different al issues such as water and environmental (Maier, 2007). The use knowledge management in engineering is useful and at the same time disadvantages as it can is seen by the Titans products which pollute the environment. Integration of knowledge systems is the result of engineering and this has led to the production of useful products. If these products are not taken care of, it will lead to the pollution of environment.
In medicine the use of knowledge management has brought impacts such introduction of types of medicine which have led to reduction mortality rates. The use of knowledge has also led to negative impacts for extras lead to emergency of diseases such as cancer. The use of knowledge management in technology such as computer introduction as made work efficient. On the other hand knowledge management has also brought in negative impacts such as environmental.
References
Bogorad, I. (2010). An executive's primer on knowledge management. Tech Republic.
Fathi, M. (2013). Integration of practice-oriented knowledge technology: Trends and prospectives. Berlin: Springer.
Li, B. & W. Song. (2009). A discussion on the relationship and mutual effects of knowledge management and information Management. Asian Social Science.
Maier, R. (2007). Knowledge management systems: Information and communication technologies for knowledge management. Berlin: Springer.
Rao, M. (2010) Case Study: Knowledge Management at Titan Industries. KM India.
