The Importance Of Knowledge Management

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Based on the study, it is clear to see that the recording client data is significant to the organisation because it helps remind personnel of information that they may have forgotten, or as in the case of new clients such as Damon, understand about previous transactions. Client data should be stored securely because it entrusted to the organisation. A clients will usually provide information such as their name (company name), date of birth (registration), identity card (copies of certificates), foundation document, written reference, bank account[s], contact information (physical postal address, telephone, mobile and email), and verification of the data provided from another party (Hendriks & Fruytier 2014). All client data should be codified, …show more content…

Social capital, as a concept, has gained much interest especially in relation to knowledge management within the organisations. According to Henndriks and Fruytier, social capital was developed using three underpinnings cognitive, structural and relational while knowledge management was developed under the framework of knowledge sharing, refinement, utilization, storage and distribution (2014). Social capital underpinning dictates how knowledge is managed in a firm. For instance, relational aspect within an organisation influences how individuals perceive one another and whether they are willing to form relationships so that they can network and share information. The structure of an organisation also dictates how people relate with one another when one considers factors like bureaucracy and hierarchies (Geiger & Jordan 2010). Top management and subordinates may have little or no relationship because they do not deal with each directly. Therefore, it is difficult for a subordinate to contact a CEO or board members to seek information or clarification. However, there are situations whereby top management and subordinate form relationships because of open vertical communication and servant leadership style. The cognitive factor of social capital relates to an individual’s cultures, beliefs, skills and knowledge, which form the embrained …show more content…

However, having a knowledge environment that does not function is detrimental because it will lower the levels of productivity and performance. A knowledge environment comprises of key components namely people, technology, content, organisational structure and organisational culture, all of which have to function in order to gain results. If one of these components is not performing efficiently, then it may affect the overall performance of the organisation negatively. For instance, existence of faulty and inadequate technology – one that lacks proper approaches to retrieval of information – within an organisation is similar to having not technology at all. In addition, the organisation should be able to collaborate when it come to acquiring new information and sharing the information with other people within the organisation. This can only be done if the organisation has a culture of inclusivity and diversity where everyone is accorded respect and given equal opportunities. One way of facilitating this is my inculcating a mentorship program within the organisation where experts offer mentorship and coaching to inexperienced staff members. In any case, mentors provide the needed help that can steer the worker in the right direction. Therefore, what you know is not enough, it is about the people you know and how you can work together. This is a core principle in an organisation that boast of having

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