The Organizational Structure And Knowledge Management Business Essay

2666 words (11 pages) Essay in Business

5/12/16 Business Reference this

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Knowledge management is determined as an important aspect to gain insights over the competitive edge in the framework of the economy. Due to the dissemination of the knowledge within the framework of the organization proves to be beneficial for them to gain an advantage over the other competitors. The effective and efficient concept to manage knowledge tends to be an important aspect for the organization. The essay will focus on different theories and models of the knowledge management and their implication on the organizational structure. When knowledge is managed thus, it opens new ways for the opportunities as well decreases the trial and do error for which it, ultimately act as a cost-cutting edge for an organization O’Del, C., Grayson, C., J., (1998). The application of the theories is there with proper examination of examples from different organization. The conclusion consists of proper evaluation of the applied theories and hence, an exploratory view providing relationship between the organizational structure and knowledge management is analyzed. Though, there are certain limitations also regarding the core competencies of the structure of organization.

The business world tends to change more rapidly now days’ however, all the organization insights fall under the non-linear or unpredictable environment comprises of competitiveness. In order to sustain or holds a competitive place working in a dynamic environment therefore, the growth and expansion of an organization depends upon the flexibility and ability to perform under those circumstances Ghaziri.H.M., Awad.E.M 2004. The advanced technology & development gave rise to possible gaps thereafter, acting as barriers towards the access in terms of getting knowledge and information. The environment under which the organization operates possesses a challenge against the organizations although, it helps in eradicating the barriers and bridging the gaps applying the effective and efficient management operations using application of knowledge. The main focus of the knowledge lies under the structure of the organization. It comprises of people, organization operations and the technology taking over one another help to attain a competitive advantage over the other players in the market.


Source: Ghaziri.H.M., Awad.E.M 2004, “Knowledge management”, Pearson Education, pp 27.

The main focus of the knowledge lies under the structure of the organization. It comprises of people as workforce to perform the operations, organizational process in order to keep a check over the operations and interlinking the knowledge within the framework of the organization lastly, the technology is there for example Information ascertained while mapping over the people and the organizational process coinciding towards managing knowledge Ghaziri.H.M., 2004. This will proves to be beneficial for the organization as they try to bridge the gaps to attain a competitive advantage over the other players present in the marketplace. Ewest.T, 2010 explains that the approach or mechanism which helps in identification, evaluation and sharing the important information within the framework of the organization. The information collected may be deemed as database, documents, rules and procedures taking advice from the experts and many more. The term knowledge management is determined as a method in order to provide expertise knowledge within the organizational structure. Accordingly, the terms KM (knowledge management) is determined as highpoint of tendency and therefore, try to cope up with the organization under dynamic environment. On contrary to knowledge placed as the matter of fact that Ghaziri.H.M.,2004, to get hold over the important information and delivering the expert knowledge on almost all the aspects of the business. KM determines the different forms of existing knowledge to make sure that each employee can attain some degree of knowledge. This in turns helps the organization to expand the operations while linking them internally and external economy. The business operations using the important documentation and dealing with different databases are regarded as explicit knowledge however, on the other hand when the knowledge is there present on the minds of the people or employees (professional/experts are termed as tacit knowledge.

Knowledge management framework

Knowledge management framework determined as an important aspect for all the organizations that are willing to adopt an knowledge management within their structural framework. These tends to be the desired set of rules and disciplines for an organization in order to overcome the errors which ultimately leads to undercut the approach and hence, saves lots of time and efforts so, that they can use them wisely. There are many frameworks explained and analysed by various researchers so, a framework introduced by van der Spek and Spijkervet, 1997, leads to classification of the framework of knowledge management into four stages: Conceptualize, reflect, act and retrospect. The diagrammatical representation of the framework is regarded as:

A frame work of knowledge management by van der Spek & Spijkervet, 1997

Source: Holsapple,C.W., Joshi, K.D., 1999

The four stages of the framework manages and controls over the smooth flow of the appropriate information and the knowledge related to it. The very first stage of the framework is termed as the conceptualize stage the main emphasis lies on the fact of understanding the knowledge assets doing proper research, classification and demonstration of the knowledge already existing among the organization. The second stage of the framework is reflection stage as proper evaluation of conceptualize knowledge is done while taking into consideration about the different standards and the norms in order to know the main area of the improvement and its planning. The third stage is determined as the action stage as in order to improve the knowledge and information therefore, involves new knowledge development, distribution, and combination and try to hold the developed knowledge. The last aspect under the knowledge management framework lies the retrospect stage while comparing the old and new situation combined together. There stage is made up to act and thereafter resulted posing a comparative state among the old and new process of KM management Holsapple,C., W., Joshi, K., D., 1999.

Although, the proper training and the development of the employee leads to generation of more than apart from that team of the individuals comprises of the knowledge workers and the cross-functional aspect deemed as a good transfer of knowledge working on the vertical and the horizontal under the framework of management. The different practices and procedures help the structure of the organization to the knowledge working having similar knowledge in terms of interests or on the other hand people have same core competencies. So, employees can interact forming a link between the knowledge sharing and the performance of the organization. Walczak.S, 2005 explains that the adoption of the KM is the journey to adopt, accept and try to utilize the new process. To prepare an organization leads to adaption of organizational structure to provide a back support and try to encourage the proper utilization and creation of Knowledge economies. The main inferences were made regarding the competitive edge.

Organizational structure

In order to attain the organizational goals and the objectives structure of the organization helps while accomplishing those goals effectively and efficiently. The grouping of different activities and sub-division of work indicting the control mechanism and the proper authority must be there. The authority and relationship will help in co-ordinate with each other towards the establishment of the vertical and the horizontal structure. The line of authority and the reporting channel present from the higher level authority level and on the other hand with subordinates among the horizontal structure counts on the specialization and division of work Koontz, M., and O’Donnel, C., 1980. The organization now days’ leads to the competitive advantage as the market scenario is no more stable and there are major fluctuations due to change in market, innovations and structures while performing its operations in the dynamic environment. There are many models which help to add more adequate information towards securing the future aspects of the organization. Now day’s in order to perceive an effective structure one should review and modify significantly. There are two aspects thinking and actions both of them simply coincide with each other to formulating a healthy relationship. Oliveira.A.C., Francisco.A.C., Purcidonio.P.M, 2006 to gain a competitive and dynamic environment reorganization is there among the organizations therefore, the flexibility in this context defining the actual concepts of the Knowledge management placed in relationship with the structure of the organization. The analyses states that the companies when implies a model of KM which in turns helps to reinforce team management, control mechanism find more ways to present themselves while adjusting the organization instead of changing a market.

Form of Organizational Structure

Source: Kondalkar.V.G, 2007, Organizational structure, Organizational Behaviour: New age international (P) limited, publisher. pp 255-272.

There is vast difference between the operating and the formal structure within an organization having a power block and social services. Human behaviour, attitudes and beliefs are there to play a vital role while implementing the tasks and formal structures. The mechanistic structure tends to be the constant and don’t get any affected by the technological change it seems to the study that it’s bureaucratic as far as organisational structure is concerned. As the organization structure tends to be flexible according to market. Max weber deemed bureaucracy as an most important part of the structure based on the decision making, formulation of the policies following proper rules and regulations. the above diagram above explaining the mechanistic form of organizational structure.

Organizational structure and Knowledge Management

Knowledge management tools, techniques and models provide a traditional view towards managing operation under the organizational structure in effective and efficient manner. Providing up to date knowledge and taking into account all the important facts regarding the flow of the information and the knowledge. Their main focus is to provide adequate knowledge and information so that the organization can accelerate at fast pace achieving a competitive edge amongst the other players in the market scenario. Thus, all the organization coincides with appropriate knowledge management practice work smoothly gaining insights into adequate knowledge and information’s. Shin.M. 2004 explains that the knowledge and the innovation when placed in relationship with each other leads to effective management under the organizational structure. The relationship between the positive/negative abilities are been criticized however, creating knowledge and consistent flow of the information and knowledge proves to be beneficial for the organization. Shukla.A.2009 explains the point of view of the company’s by generating data and information adding towards growth potentials. To obtain the corporate sustainability in the global market the organization structure been flexible enough to mould and mend them whenever they find it needful Kim.S.,Park.Y.2006.

SWOT Analysis.

The acronym of the term SWOT defined as S- strength, W-weakness, O- Opportunities, T- threat, thereafter, organizations have to follow extensive strategies and proper structure to analyse the internal as well as external scenario thoroughly. The internal factors are determined as strengths and weaknesses on the other hand the external scenario deals with the possible opportunities and the strengths of the business under a particular organization structure. It helps in making proper plan for the present and future as now days’ it is very difficult for company to resist a place in the dynamic environment unless and until they focus on proper plan and work on advance strategies Zeltser.L. 2008.

There are few examples from the companies- relationship between knowledge management and organizational structures.

Example of Infosys- SWOT analysis

The strength of the company lies with the effective security feature with profound strategies, the expansion can be ascertained working over the strengths. The weaknesses are there due to the acquisitions of the knowledge processing outsourcing and Information technogies placing their systems in risk. They can work over as it falls under the internal scenario. The opportunities and the threats in the external scenarios depends on the diversification and transferability to other industries on the other hand the other global companies proves to be threat against the Infosys Case study.


Nonaka Model







Source: Sarinah.A., Haslinda.A., 2009

Socialization is regarded as transferring the tacit knowledge into tacit knowledge from one person to another person. Therefore, it is regarded as an experiential based knowledge which can be earned by walking around or through direct interaction inside and outside of the organization .It is also regarded as a development among individuals.

Externalization- process of delivering the knowledge including the ideas or image in words. Regarded as a mode of transferring tacit knowledge into explicit knowledge for example: speeches.

Combination comprises of the importance of information technology which can be seen as explicit knowledge thereafter, conveyed by different means like a databases and e-mails. Both the internal and external knowledge is collected and after collecting the knowledge further editing and processing performed in order to make it feasible. Once knowledge is explicit it can be easily transferred to others so, this allows transfer of knowledge among different people and group across the organization.

Internalization deemed as transferring explicit knowledge into tacit knowledge by an individual. Tacit knowledge we do by actions by owner and the process is ought to be empirical based for example: doing work with inspiration. Under this the organizational knowledge having explicit nature further transferred to the individual Spencer, B., 1997.

Nonaka Model as an Example of Accenture

Source: Heigl.T.A., 2004, Workshop on managing nuclear knowledge, “what is Knowledge Management”, November 8-12, Trieste, ITALY.


Insufficiency of available data or problem in acquiring data.

Limitation due to organizational system such as bureaucracy.

Technologies keep on changing and everyday new innovation is made this make hard to get information which is actually required.

In an organization many times due to oral communication the real massage changes to some other.

Due to the highly technological some time data is not within the reach of people like use of super computers in NASA.

In an organization transfer of horizontal knowledge to vertical knowledge is not possible in all cases.

A huge amount of fund investment is made on KM which brings extensive knowledge but not the knowledge on which strategy can be based.

It is important to ensure that the knowledge is correctly understood

User should be capable to understand the model and explicitly representing knowledge.

If existing knowledge is shared than only it creates the possibility for further transfer of knowledge.

There should be a culture within an organization which supports knowledge sharing.

The tool which supports the knowledge capturing doesn’t always support managing knowledge at all level in an organization.


There is increase in technology in order to improve among the collaboration and transferability of knowledge for the business and keep on expanding with a rapid pace. There are many advantages due to proper management of the knowledge within the structure of the organization by implying appropriate knowledge management practices which in return proves to be beneficial while managing time and efforts; providing appropriate and adequate information and knowledge. Therefore, it helps in achieving better results for an organization and saves valuable time and resources. Organizations like Infosys and Accenture are having well planned and managed knowledge assets. It has emerged as a huge challenge for an organization and due to the extreme pressure of the global economy where the knowledge has become a weapon for an organization. However, there are certain factors which affect knowledge management in organizational structure which intends to motivate the staff, ignite the skill and knowledge for maintaining inter-personal relationship at the workplace.

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