With every major software firm having achieved the SEI CMM Level 5 stage
today, this once sought-after label is no longer a competitive differentiator,
but the basic price of entry into the global software marketplace. In the quest
for the elusive differentiator, each of the majors has now been striking out on
some new path or the other–PCMM, CMMI, coverage of the whole enterprise within
the ambit of certification, ISO 9000: 2000 standards, Six Sigma etc etc. But the
truly dedicated ones should and are taking on a different agenda, one that is
worth examining in some details for the readers of this column, the agenda of
becoming true Knowledge Corporations.
How does a true Knowledge Corporation work and what are the characteristics
it exhibits? A detailed study of the Customer facing functions in various IT
organizations was undertaken as part of a study at the IIT Mumbai’s School of
Management, which showed that there are four distinct types of Knowledge
Corporations…
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n Organizations whose successes in getting
business have been largely due to either being first in the market with a great
product or idea and who have not really established any processes for Knowledge
Capture or dissemination even amongst current practitioners. The ability to
respond knowledgeably to customers or acquire new customers with knowledge is
lacking, and so is the ability to impart knowledge born out of experience to new
employees–Early stage or pioneering organizations exhibit such
characteristics.
n Organizations where there is some amount
of predictability in Knowledge Sharing at the service delivery level, but there
is little or no sharing of Knowledge within the sales community and also between
sales and service delivery. This results in generally satisfied customers but
poor replicability of success because of lack of Knowledge Inputs to the sales
force–These are characteristics of early stage organizations that have started
gaining customer traction but have not instituted formal processes of knowledge
management.
n Organizations which have
established through a combination of discipline and maturity, an Information
Sharing mechanism by which regular reporting, sales force automation and
updating ensure that at least the explicit information capture occurs on a
regular basis and is tapped for all customer related transactions–These are
characteristics of organizations that have begun the journey to becoming
Knowledge Corporations
n Organizations, which
reach a level where both explicit and tacit knowledge is shared between
employees of a specific function, and across geographies, functions and
hierarchies. These are the true Knowledge Corporations, where excellent
processes for capturing, storing, disseminating and using knowledge as a
competitive weapon in business are demonstrated at all levels.
Compare this to the SEI CMM Five Level model and some
interesting parallels become visible. How can an organization successfully make
this transition to Knowledge Corporations status as an add-on and complementary
initiative to the beaten track of SEI CMM Process Maturity? Clearly, just
process maturity is not enough as a key Factor. Building a Knowledge Corporation
will call for significant leadership maturity, use of technology for managing
knowledge and people empowerment and training as key factors for attaining and
sustaining success. Each of these factors will be analyzed in subsequent
articles in this column.
Ganesh Natarajan
The author is the global CEO of Zensar Technologies