This week I selected
an article by Steven Walczak called “Organizational knowledge management
structure.” This
fascinating article
discussed the world transformation of “an industrial manufacturing/product
oriented economy to one based on knowledge and services” (Walczak, 2005, p.
330). In the article, the author discusses
organizational structure and the importance of “managing and creating a
corporate culture that facilitates and encourages the sharing, appropriate
utilization, and creation of knowledge that enables a corporate strategic
competitive advantage” (Walczak, 2005, pp. 330-331). The concepts in Walczak (2005) concerning effective communication were well suited
for this week’s reading in Draft (2007).
In “Fundamentals of Organization
Structure,” the author puts forth various organizational structures discussing
the benefits and challenges each structure faces (Draft, 2007). For example, in a Functional Structure the
benefit may be efficiency, while a drawback may be delayed response time
(Draft, 2007). Here, in Walczak (2005),
the author also discusses the issue of efficiency and productivity by
emphasizing what he calls a “knowledge culture” (Walczak, 2005, p. 331). An example he gives is a “customer
relationship management (CRM), with large customer and product or service
databases centered on content management that includes sharing, distribution,
and utilization of knowledge” (Walczak, 2005, p. 331). I was able to relate well to this example as
a previous law firm that I worked for employed a CRM system. The CRM system was excellent in that it
tracked client data, including client name, status of case, notes, deadlines, etc. The benefits of such a system were readily
apparent, particularly when I could use the CRM system to access a case, review
it, and be able to respond quickly to an issue that would arise. The last thing you want to do is run around
the office looking for a physical file when you could use a CRM system to
search by client name and access the scanned file instantly.
All in all, Walczak’s article addressed the issues surrounding organizational structure.
Draft (2007) discussed how “[o]rganizational structure includes the
design of systems to ensure effective communication, coordination, and
integration of efforts across departments” (p. 90). In turn, Walczak (2005) discussion on
creating a “knowledge culture” addresses and helps to facilitate communication
within an organization (p. 331).
Certainly, the discussion on a CRM system works appropriately in
achieving this objective (Walczak, 2005).
Hopefully, as technology continues to improve, companies will utilize
these advancements within the organizational structure in order to promote a
more knowledgeable and productive workforce.
References:
Draft, R.
(2007). “Fundamentals of Organizational Structure.” Organization
Theory and Design (9th ed.) pp. 88-125.
Walczak, S.
(2005). Organizational knowledge
management structure. The Learning Organization, 12(4), 330-339.
Joshua, the Walczak article sounds very interesting - in particular the idea of a knowledge culture. You cite the example of a CRM system as a tool for promoting such a culture. How do you think a CRM helps to accomplish this? Applegate (1995) notes that IT tools "cannot define the organizational structures, processes, culture and roles required to enable people to use the information to make decisions and take actions" (p.5) What do you think an organization needs to do in order to implement a technological system in such a way that it can promote a knowledge culture?
ReplyDeleteWe'll be talking about organizational culture later in the semester, so we'll be exploring some of these ideas in greater depth.
Dr. Gould,
ReplyDeleteWhile Applegate may not fully subscribe to concept of a "knowledge culture" (Walczak, 2005, 331), she does acknowledge that an "IT infrastructure provides important tools to help managers deal with the rapidly changing, uncertain, and complex nature of today's business environment"(Applegate, 1995, p. 5). And even according to Walszak (2005), "[a]chieving a 'knowledge culture' requires managerial focus" in certain areas (p. 331). In other words, management still plays a vital role in implementing and disseminating technology throughout the organization.
An emphasis on technology that provides workers with information must have at least some effect on culture. Just as the printing press brought about a literate underclass able to challenge the ruling organizations, a knowledgeable workforce provides workers with the ability and ultimately the tools to make decisions. In the industrial age, companies would put workers in assembly lines where they had little influence and performed routine tasks. Today, in an information age society, workers intellect is the most valued capital. Workers at companies like Apple are innovating and bringing about new ideas that influence and shape the way people live their lives.
The sharing and disseminating of technology is only going to continue and become a vital part of an organizational structure. Tools such as CRM systems are only one aspect of data and information sharing within an organization. Today's companies are using internal information platforms to allow employees the ability to communicate with persons in various departments within the organization. These types of internal platforms should foster better communication between departments and promote a knowledge culture.
Reference:
Applegate, L. (1995)."Managing in an Information Age." Harvard Business School.
Walczak, S. (2005). Organizational knowledge management structure. The Learning Organization, 12(4), 330-339.