Integrated Assessment of Organization's Knowledge Potential/ Integruotas Organizacijos Ziniu Potencialo Vertinimas

By Bivainis, Juozas; Morkvenas, Renatas | Journal of Business Economics and Management, February 2012 | Go to article overview

Integrated Assessment of Organization's Knowledge Potential/ Integruotas Organizacijos Ziniu Potencialo Vertinimas


Bivainis, Juozas, Morkvenas, Renatas, Journal of Business Economics and Management


1. Introduction

States and organizations invest large sums of money into the creation of mind power platforms. While these processes carry on, the society has stepped into a new stage of development where networks of complicate structures and different depths of knowledge form (Adekola et al. 2008; Tvaronaviciene, Kalasinskaite 2010). In this society there is a need to conceptualize the knowledge potential of human that was acknowledged by scientists in the 20th century as the most important resource that conditions both personal and organizational success, effectiveness of investments, economy expansion as well as the power of states. Employees, organizations and even states are compared in the aspect of knowledge (Brauers, Ginevicius 2009; Ginevicius, Gineviciene 2009).

It is important to stress that purposeful and well-grounded management of knowledge potential relies on knowing how to measure, assess or calculate it (Kaklauskas et al. 2009). Although there are quite a lot of scientific studies as well as more popular publications on various aspects of knowledge management, but professional and scientific material on organization's knowledge potential assessment is very scarce. While suitable instrumentalities' which let to assess knowledge potential of organization is not created, the managing of this resource can't be effective. This situation encouraged us to carry out a research on knowledge potential assessment by summarizing other scientists' research results on this topic and preparing a quantitative model for integrated assessing the potential of knowledge in organization.

2. Building a new concept model for organization's knowledge potential assessment

The exact quantitative adaptation of models for assessment of organization's knowledge potential has not been developed. According to D. Bell (1973), A. Toffler (1980), J. Bivainis (1991), P. Drucker (1993), I. Nonaka and H. Takeuchi (1995), W. C. Kim and R. Mauborgne (1999), A. Armstrong and P. Foley (2003), N. Paliulis and J. Raudeli?nien? (2006) the need for such investigations is caused by changing social structure. The analysis of scientific papers identifies numerous works which assess the competency and knowledge of organizations and employees, as well as analyze the knowledge management and application by organizations. The following works can be considered as more distinct in the area of knowledge management: Wissepsmanagement Forum Organization's knowledge management process assessment guide (2003); assessment methods of jobs and office positions by A. Sileika et al. (2004); "Knowledge measurement and interviewer bias" by K. Fink (2005); "Organizational competency management" by T. Ley (2006); organization's knowledge culture creation and development model by O. Stan and K. R. Kandadi (2006); organization's knowledge assessment model by E. Jonhson (2007); and organization's knowledge management model created by The Knowledge Company, Inc. (2009). Comparison of models analyzed in Table 1 summarizes models used to assess knowledge in the organization.

After examining the results of model comparison (Table 1) it becomes clear that models analysed do not meet modern requirements and must be improved in many ways. Only two models provide the assessment result in quantitative expression, only one model is entirely orientated towards an individual, none of the models analyse synergy in the context of knowledge, and assessment factors in all models provoke doubt on the expedience of application when knowledge contents are concerned, and application of all models is complicated.

Therefore, assessing knowledge potential becomes vital in modern managing of an organization. The outcome of our multiyear research is a model (Fig. 1) essentially based on an original concept, and consisting of the following parts: 1) employee's knowledge potential assessment; 2) knowledge potential synergy assessment; 3) organization's external medium assessment. …

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