Towards a framework for strategic knowledge management practice. Integrating soft and hard systems for competitive advantage

DOIhttps://doi.org/10.1108/VJIKMS-08-2015-0049
Pages492-507
Published date14 November 2016
Date14 November 2016
AuthorFang Huang,Scott Gardner,Sanaz Moayer
Subject MatterInformation & knowledge management,Knowledge management,Knowledge management systems
Towards a framework for
strategic knowledge
management practice
Integrating soft and hard systems for
competitive advantage
Fang Huang, Scott Gardner and Sanaz Moayer
School of Business and Governance, Murdoch University, Perth, Australia
Abstract
Purpose – This paper aims to address the limitations of current knowledge management (KM) models
by presenting a strategic knowledge management (SKM) framework based on a unique conguration of
literature concerned with optimising learning and knowledge creation at the interface between human
(soft) and information and communication technology (hard) networks.
Design/methodology/approach This paper revisits the key tenets and most frequently cited
models in the existing literature, summarises their common elements, claries the interrelationships
between the hard and soft KM processes and practices and systemically incorporates these previously
separate and independent elements into a new integrated conceptual framework. Then, it identies key
organisational factors which could facilitate this integration and leverage the value generated from
different systems embedded in this model.
Findings – The paper highlights the key elements and applications of a new SKM conceptual model
for actively and purposefully integrating explicit and tacit knowledge embedded within organisation
systems and broader social and business intelligence networks.
Practical implications – The application of the thinking, organising principles and management
practices derived from the SKM framework with its unique characteristics that are hard to substitute or
imitate may support improvement and/or innovation of processes, products, services and brands
contributing to sustainable competitive advantage of the rm.
Originality/value – While both hard and soft KM systems have been individually identied by
previous studies as integral to KM, the research is amongst the rst attempts to explore how to integrate
both systems within a strategic KM framework with supporting organisational design principles for
creating rm competitive advantage.
Keywords Competitive advantage, Conceptual model, Hard knowledge management systems,
Soft knowledge management systems, Strategic knowledge management
Paper type Conceptual paper
Introduction
With the declining competitive signicance of tangible assets such as nancial capital
or inventories in today’s disrupted and globally interconnected market, there is an
increased focus on the strategic deployment of intangible assets such as expert
knowledge as a new driver of company performance (Grant, 1996;Shih et al., 2010;
Waldman, 2010). Tacit knowledge embodied in human networks, unique knowledge
portfolios, stocks and ows, corporate memory and organisational learning as intellectual
capital (IC), has become a basis for core competence for today’s organisations (Halawi et al.,
The current issue and full text archive of this journal is available on Emerald Insight at:
www.emeraldinsight.com/2059-5891.htm
VJIKMS
46,4
492
Received 20 August 2015
Revised 7 July 2016
Accepted 4 September 2016
VINEJournal of Information and
KnowledgeManagement Systems
Vol.46 No. 4, 2016
pp.492-507
©Emerald Group Publishing Limited
2059-5891
DOI 10.1108/VJIKMS-08-2015-0049
2005;Jashapara, 2011;Nonaka et al., 2001). With this in view, effective management of
intangible assets or IC practices is of great interest to researchers and practitioners (Haslinda
and Sarinah, 2009). As such knowledge management (KM) has become one of the key
strategies that help organisations survive and succeed in the highly competitive
environment (Haslinda and Sarinah, 2009).
Despite the growing research interest in KM models and systems since the 1990s
(Nonaka and Takeuchi, 1995;Pentland, 1995), the strategic nature of KM practices
remains unclear. Some KM studies in the literature are largely information
systems-oriented, while others only explore the human resource dimension (Jashapara,
2011). This leads to the fact that most KM models in the existing literature represent
systems of isolated knowledge-creation and -transfer activities/processes, without the
systematic consideration of their interaction with other organisational functions and
elements. Furthermore, there has been little discussion in the literature of how KM
processes can be integrated into the dynamic business strategies supported by
organising principles, management routines, structures and conducive organisational
cultures. Failing to integrate KM practices and measures of intangible value addition
and performance into the broader organisational environment would signicantly
weaken the impact of KM strategies.
To address this limitation relating to current KM models, we will revisit the key
tenets and most frequently cited models in the existing literature, summarise their
common elements, clarify the interrelationships among the key components of KM
processes and practices and systemically incorporate these previously separate and
independent elements into a new integrated conceptual framework. We will then
identify key organisational factors which could facilitate this integration and leverage
the value generated from different systems embedded in this model. We believe the
adoption of such an effective KM model supports unique congurations of knowledge
assets and IC portfolios which are rare and costly to imitate. As such, our conceptual
framework contains the elements of strategic tool for organisations attempting to
capture value from KM practices and sustain their competitive advantage in the
knowledge economy.
A brief review of existing KM models
Knowledge is structured and organised information that has developed inside of a
cognitive system or is part of the cognitive heritage of an individual (Zins, 2007, p. 480).
KM thus involves maximising the value of such information by converting it into
knowledge (Bastos et al., 2013). It can be observed that some parts of the knowledge
generated by the internal cognitive human mechanism are more explicit, which can be
easily captured and communicated, while others are more implicit, which cannot be
easily expressed or externalised by individuals.
The notions of implicit (tacit) and explicit knowledge as major types of knowledge
are important concepts in KM literature. Knowledge exists along a continuum between
tacit knowledge and explicit knowledge (Nonaka, 1994). Explicit knowledge can be
shared in various forms of data, expressed and transmitted in formal and systematic
language, can also be easily captured, codied and stored (Dyer and Nobeoka, 2000;
Nonaka et al. 2001;Nonaka, 1994). Therefore, explicit knowledge is characterised as
verbalised and articulated knowledge. On the other hand, tacit knowledge has a
personal quality, which makes it hard to formalise and communicate. Tacit knowledge
493
Strategic
knowledge
management
practice

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