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I mention this basic exercise to suggest what probably motivated O'Dell and Grayson to write this book. They focus on what they call "beds of knowledge" which are "hidden resources of intelligence that exist in almost every organization, relatively untapped and unmined." They suggest all manner of effective strategies to "tap into "this hidden asset, capturing it, organizing it, transferring it, and using it to create customer value, operational excellence, and product innovation -- all the while increasing profits and effectiveness."
Almost all organizations claim that their "most valuable assets walk out the door at the end of each business day." That is correct. Almost all intellectual "capital" is stored between two ears and much (too much) of it is, for whatever reasons, inaccessible to others except in "small change." O'Dell and Grayson organize their material as follows:
Part One: A Framework for Internal Knowledge Transfer
Part Two: The Three Value Propositions [ie Customer Intimacy, Product-to-Product Excellence, and Achieving Operational Excellence]
NOTE: Part Two will be even more valuable when read in combination with Treacy & Wiersema's The Discipline of Market Leaders.
Part Three: The Four Enablers of Transfer
Part Four: Reports From the Front Lines: Pioneer Case Studies
Part Five: The Four Phase Process: Or, "What I Do on Monday Morning"
In the Conclusion, the authors assert that "there is no conclusion to managing knowledge and transferring best practices. It is a race without a finishing line." They are right, now and especially in years to come. In the concluding chapter, the authors share ten "Enduring Principles" which should inform and direct the formulation of any plan by which to manage knowledge and transfer best practices. During implementation of the plan, everyone involved must be willing and able to make whatever adjustments may be necessary. Perhaps the authors would agree with me that an 11th "enduring principle" affirms that change is the only constant. Those who share my high regard for this book are urged to check out Senge's The Fifth Discipline and The Dance of Change as well as Isaac's Dialogue.
With regard to the exercise briefly explained in the first paragraph, one of its many value-added benefits occurs following the completion of the exercise when most (if not) of the participants begin to offer unsolicited suggestions as to how they can do even more to assist their associates. Four of the most powerful words in any organization are "I need your help." But first you have to ask for it.
In this context, Carla O'Dell and C.Jackson Grayson,Jr., in Chapter 4, write that "the internal transfer of knowledge is about finding out what you know, and using it to improve performance. It is about leveraging the value of knowledge you've already got. Whereas different companies adopt different approaches to finding and sharing internal know-how, they all seem to pursue one single strategy with great vigor: the transfer of internal best pactices", and then lay out a model that will guide the rest of the book. It has three major components:
1. The three value propositions- Companies must transfer knowledge and best practices to create value, and value is created by translating knowledge into action. But exactly what 'value' are we talking about? Thus, the first step toward profitable management of your company's knowledge asset is choosing the right value proposition.
* Customer intimacy- Increase revenue, reduce cost of selling, and increase customer satisfaction and retention.
* Product-to-market excellence- By reducing time-to-market, and designing and commercializing new products more quickly and successfully, we will increase revenue, retain market lead, and grow our profit margins.
* Operational excellence- Boost revenue by reducing the cost of production and increasing productivity, and raise performance to new highs.
2. The four enablers- The second step is creating the most supportive environment for transfer, by designing and aligning the enablers of transfer: culture, technology, infrastructure, and measurement.
3. The four-phase change process- The third step is change process would likely follow the following four phases: plan, design, implement, and scale-up.
Finally, they write that "Sure, companies have embarked on change efforts before. This one is diffrent. It's different because the improvement work is anchored in real-life practical knowledge-the know-how and intelligence other people within your own company have developed and used. It has worked for others. It can work for you. The key for making this work is threefold:
1. You've got to have a clearly defined purpose: the value proposition.
2. You've got to understand and leverage various organizational enablers, from infrastructure to technology, from measurement to culture.
3. You've got to have an organized way for achieving it: the four-phase process.
The reminder of this book is about these three components and the companies that illustrate their effective use."
Highly recommended.
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