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Organizational Innovations for Modern Enterprise

6    Knowledge Economics


COMPARE The Myth The Truth

Knowledge is power.

The ability to capture knowledge and share it rapidly is power.

Objective For individuals to develop their personal power by developing their personal knowledge. For people in companies to develop organizational power by creating or capturing knowledge, and then sharing it rapidly with colleagues.  
Perspective Individuals can use knowledge to enhance their power. People can collectively enhance their power when they share their knowledge.  
Method Knowledge is highly regulated, on a need to know basis, as determined by the structure of the hierarchy. Knowledge is shared widely within the company (and with trusted outsiders), on an informal basis as determined by the project or process at hand.  
Beneficiary Powerful individuals with knowledge. The collective enterprise.  
Internal Systems Formally determined by the structure of the hierarchy. Informally developed through projects and processes focussed on the needs and desires of customers.  
Employee Outcome The restriction of knowledge lends credibility to gossip and rumor. Both knowledge and power are used in the personal warfare of corporate survival. The free flow of knowledge empowers people in companies to make meaningful contributions in service of collective interests. Both knowledge and power are shared in the quest for corporate success.  
Customer Outcome Customers experience delays and complications when their "out of the ordinary" needs must be met by uncoordinated, inflexible and unresponsive hierarchies. Speedy service and a myriad of innovations delight customers when their special needs are served with expertise, courtesy and urgency.  

 

 
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