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Tacit Knowledge in Organizations: 

Tacit Knowledge in Organizations Anne Heinrichs, Saskia Bercht & Silvia Grimmsmann

Agenda: 

Agenda I. What is Tacit Knowledge? II. Types of Knowledge III. History of Tacit Knowledge A) Francis Bacon – Novum Organum B) Michael Polanyi – The Tacit Dimension IV. Making Tacit Knowledge Explicit A) Knowledge Management B) Nonaka; Takeuchi – The Knowledge Creating Company A. Tacit Knowledge: An Introduction

Slide3: 

I. What is Tacit Knowledge?

Slide4: 

Have you ever noticed how easily you speak your mother tongue? Have you ever noticed how easily you recognize faces? Why is that so?  Because of your tacit knowledge! I. What is Tacit Knowledge?

What does "tacit" mean?: 

What does "tacit" mean? According to the Oxford Advanced Learner`s Dictionary: tacit – understood without words; implied I. What is Tacit Knowledge?

What is knowledge?: 

What is knowledge? According to Webster`s Dictionary: The fact or condition of knowing something with familiarity gained through experience or association. […] K. may be recorded in an individual brain or stored in organizational processes, products, facilities, systems and documents. But there is more to it… I. What is Tacit Knowledge?

Slide7: 

II. Types of Knowledge

Slide8: 

Tacit Knowledge II. Types of Knowledge "Automatic" knowledge "Subconscious knowledge" of an individual e.g. intuitions, unarticulated mental models, embodied technical skills

II. Types of Knowledge: 

II. Types of Knowledge K. that is encoded or even recorded in documents or information systems or embodied in values, methods and procedures Meaningful set of information articulated in clear language Explicit Knowledge

Slide10: 

III. History of Tacit Knowledge

III. History of Tacit Knowledge A) Francis Bacon : Novum Organum: 

III. History of Tacit Knowledge A) Francis Bacon : Novum Organum English lawyer, statesman, essayist, historian, intellectual reformer, philosopher and champion of modern science 1620 Novum Organum new method to replace that of Aristotle 1623 De Augmentis Scientiarum "For why should a few received authors stand up like Hercules columns, beyond which there should be no sailing or discovering…" Francis Bacon (1561-1626)

Francis Bacon (1561-1626): "Knowledge is Power": 

"a light that would eventually disclose and bring into sight all that is most hidden and secret in the universe" method involved the collection of data, their judicious interpretation, the carrying out of experiments  laid ground for modern science and the triumph of technology Francis Bacon (1561-1626): "Knowledge is Power" III. History of Tacit Knowledge A) Francis Bacon : Novum Organum

Michael Polanyi (1891-1976): 

Michael Polanyi (1891-1976) Hungarian scientist turned philosopher Father of Tacit Knowledge 1966 The Tacit Dimension Account of what tacit knowledge actually means Main thesis: "we can know more than we can tell" III. History of Tacit Knowledge B) Michael Polanyi

III. History of Tacit Knowledge B) Michael Polanyi 1) Characteristics of Tacit Knowledge: 

III. History of Tacit Knowledge B) Michael Polanyi 1) Characteristics of Tacit Knowledge There are actions and judgments, which we spontaneously know how to carry out without having to think prior to or during their performance. We often find ourselves doing these things without being aware of having learned them. The knowledge revealed by our actions can usually not be described, and we may never have been really aware of it.

III. History of Tacit Knowledge B) Michael Polanyi 2) Properties of Tacit Knowledge: 

III. History of Tacit Knowledge B) Michael Polanyi 2) Properties of Tacit Knowledge The proximal term - part that is closer to us The distal term - part that is further away Tacit knowledge is the understanding of the unity of this proximal/distal pair. (Polanyi 1966: 10)

III. History of Tacit Knowledge B) Michael Polanyi 3) Tacit Knowledge in Action: 

III. History of Tacit Knowledge B) Michael Polanyi 3) Tacit Knowledge in Action In an act of tacit knowing we attend from the proximal term to the distal term. (Polanyi 1966: 11)

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Playing a complicated musical piece by heart, a musician concentrates on the melody without concentrating on where to put his hands.  He attends from the melody in his head to where to put his hands. Stock market  A stock broker attends from ? to when to buy or sell shares. III. History of Tacit Knowledge B) Michael Polanyi 3) Tacit Knowledge in Action

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IV. Making Tacit Knowledge Explicit

IV. Making Tacit Knowledge Explicit A) Knowledge Management or : 

IV. Making Tacit Knowledge Explicit A) Knowledge Management or Creating Securing Capturing Coordinating Combining Retrieving Distributing Idea: "Sharing knowledge is power" vs. "Knowledge is power" Knowledge (Liebowitz 2000: 1) "If we only knew what we know"

IV. Making Tacit Knowledge Explicit B) Nonaka; Takeuchi (1995) : 

IV. Making Tacit Knowledge Explicit B) Nonaka; Takeuchi (1995) Nonaka and Takeuchi, 1995: 62) The Knowledge Creating Company

Socialization: 

Socialization Process of transforming individual tacit knowledge into group tacit knowledge through shared experiences IV. Making Tacit Knowledge Explicit B) Nonaka; Takeuchi (1995) The Knowledge Creating Company

Externalization/Articulation: 

Externalization/Articulation Process of articulating tacit knowledge into explicit knowledge through the use metaphors, analogies, concepts, hypotheses or models IV. Making Tacit Knowledge Explicit B) Nonaka; Takeuchi (1995) The Knowledge Creating Company

Slide23: 

Process of assembling new and existing explicit knowledge into systemic explicit knowledge in order to create a new archetype e.g. A new business procedure is introduced along with the prototype for a new product and justification has to be promoted throughout the company. Combination IV. Making Tacit Knowledge Explicit B) Nonaka; Takeuchi (1995) The Knowledge Creating Company

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Process of converting explicit knowledge into tacit operational knowledge such as know-how e.g. Engineering case studies help novice engineers to internalize the explicit knowledge that has been externalized from veteran- based tacit knowledge. Internalization IV. Making Tacit Knowledge Explicit B) Nonaka; Takeuchi (1995) The Knowledge Creating Company

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Bacon: new learning method, that lay ground for modern science Polanyi: father of tacit knowledge Nonaka: The Knowledge Creating Company How can tacit knowledge be made explicit? Socialization, Externalization, Combination, Internalization Summary

Agenda: 

Agenda Matsushita Electric Industrial Co.: home bakery Contrasting Eastern and Western cultures The Q of sapphire Crouching Tiger, Hidden Dragon B. Tacit Knowledge in Different Cultures

Agenda: 

Agenda Matsushita Electric Industrial Co.

I. Matsushita Electric Industrial Co. : 

I. Matsushita Electric Industrial Co. Home Bakery

Conclusion: 

Conclusion Socialization: learn tacit knowledge from baker Articulation: tacit knowledge into explicit knowledge Combination: Tanaka and team Internalization: team knowledge bases enriched I. Matsushita Electric Industrial Co.

Agenda: 

Agenda Contrasting Eastern and Western Cultures

Key points about Japanese management: 

Key points about Japanese management Mentorship and network creation Life-time employment Seniority-based promotion Consensus decision-making (collectivism) Asiatic, but westernised (in a Japanese way!) Education: patriotic duty and learning by repetition Contrasting Eastern and Western Cultures

Ba: 

Ba Ba: roughly means "place" or "interaction field" Industrial history of Japan Concept of ba Contrasting Eastern and Western Cultures

West: 

West Explicit knowledge Measuring & managing existing knowledge Few people carry out knowledge management initiatives Organization: machine for information processing Contrasting Eastern and Western Cultures

Japan: 

Japan Tacit knowledge Knowledge involves emotions, values, and hunches Companies "manage" & "create" knowledge Everyone involved in creating organizational knowledge (middle managers = key knowledge engineers) Contrasting Eastern and Western Cultures

History: 

History West Cartesian Split: separation of the body and mind (Descartes) Japan "iemoto": school run by masters of a craft Zen Buddhism: "the oneness of body and mind" Contrasting Eastern and Western Cultures

USA: 

USA Future-oriented Adventure Unlimited progress Pragmatism Individualism Short-term planning Community not so important Contrasting Eastern and Western Cultures

Europe: 

Europe Individualism, priority on the human being Intern negotiations International diversity Management between extremes Strong product-orientation Contrasting Eastern and Western Cultures

Zen and the Art of Innovation: 

Zen and the Art of Innovation Innovation management techniques Are there any lessons the West can learn from Japan? Contrasting Eastern and Western cultures

Agenda: 

Agenda The Q of sapphire

IV. The Q of sapphire: 

IV. The Q of sapphire Sapphire used for laser-building Russian measurements better than Scottish ones Problems: lack of tacit knowledge and trust

Agenda: 

Agenda Crouching Tiger, Hidden Dragon

V. Crouching Tiger, Hidden Dragon: 

V. Crouching Tiger, Hidden Dragon USA / China: different responses to the film Tacit expectation shapes the audiences‘ attitudes

Slide43: 

TK as an important element in Taoism Influence of Taoist TK on Chinese culture, mentality V. Crouching Tiger, Hidden Dragon www.dance-centre.com/ workshops.htm Taoism

The Culture Compass: 

The Culture Compass Kalthoff, Otto; Nonaka, Ikujiro; Nueno, Pedro (1999) Summary

Slide45: 

Why is Tacit Knowledge Important Today? Mobilizing Knowledge in Organizations a) General Concepts b) Enabling Knowledge Agenda C. Making it Happen: Tacit Knowledge in Organizations

Slide46: 

I. Why is Tacit Knowledge Important Today? Agenda

Slide47: 

Why is Tacit Knowledge Important Today? A) General Concepts Fragmentation Adapted from Kalthoff and Nonaka (1999)

Slide48: 

Why is Tacit Knowledge Important Today? A) General Concepts Information Technology versus a New Sense of Emotional Knowledge Von Krogh, Ichijo, Nonaka (2000) Emphasis on: -How people treat each other -Facilitate relationships Emphasis taken away from: "Cutthroat attitude"

Slide49: 

Why is Tacit Knowledge Important Today? a) General Concepts The Western philosophy Plato Knowledge is unchanging Knowledge is context specific It is dynamically created It has a subjective nature Von Krogh, Ichijo, Nonaka 2000 Different Concepts of Knowledge: West and East

Slide50: 

II. Mobilizing Knowledge in Organizations A) General Concepts B) Enabling Knowledge Agenda

Slide51: 

II. Mobilizing Knowledge in Organizations A) General Ideas B) Enabling Knowledge "Knowledge cannot be managed, only enabled." Von Krogh, Ichijo, Nonaka 2000 Management implies something can be controlled.

Slide52: 

What do you think?

Slide53: 

II. Enabling Knowledge in Organizations A) General Concepts Tacit Knowledge is Dynamic A constant state of becoming Groups create knowledge until they are disbanded  Articulation and Documentation

Slide54: 

II. Mobilizing Tacit Knowledge in Organizations B) Enabling Knowledge Opportunities for interactions A Caring Management Dismantling Barriers A Company`s Atmosphere

Slide55: 

II. Mobilizing Tacit Knowledge in Organizations B) Enabling Knowledge Manage Conversations Mobilize Knowledge Activists Von Krogh, Ichijo, Nonaka 2000 The Knowledge Enablers

Slide56: 

II. Mobilizing Tacit Knowledge in Organizations B) Enabling Knowledge "Good conversations are the cradle of social knowledge in any organization." Four guiding principles for good conversation Von Krogh, Ichijo, Nonaka 2000 Manage Conversations

Slide57: 

II. Mobilizing Tacit Knowledge in Organizations B) Enabling Knowledge Mobilizing Knowledge Activists Von Krogh, Ichijo, Nonaka 2000 Emerge in situations of conflict Reduce time and cost for solution finding "Spread the word"

Slide58: 

We are the best knowledge activists a company could ask for!