Performance Measurement Essay
The lack of such knowledge results in the inability to adapt and therefore grow. When an organization lacks feedback, it wastes away into routines and develops the kind of hardness that keeps fresh ideas out. Consequently, this makes an organization have the inability to survive for a long time. It is presumed that a majority of organization managers need quality work, reliability, focus, commitment, learning and teamwork from their employees (Russ, Jones and Jones 2008). These managers need their employees to focus on the things that result in organizational performance. Most organizations that apply knowledge management strategies to their businesses realize that knowledge serves as a foundation for competitiveness and as the major pathway to organizational success. Most academic experts believe that knowledge management plays an essential role in the collection, organization, and processing of information into a form that is deemed useful by an organization’s employees (Lyu, Zhou & Zhang 2016).
The major role of knowledge management is exerted by useful presentations that are available in the organization such as the internet. Those applications are used to record transactions as well as customer data values which can be used later in the process of making decisions. Other applications create information regarding transactions as well as customer information although from outside of the organization. The other strategy organizations use through innovation (Russ, Jones and Jones, 2008). This involves the development of new ideas and then transforming them into valuable goods and services which is at times termed as knowledge innovation. But, this strategy requires proper innovation, the transformation of knowledge and commercialization procedure. The efficient commercialization of knowledge has transformed companies such as Formula One into multi-million dollar companies within a few years (Tocan 2012).
When an organization understands the value, it aims at providing and to where, it can manage to combine its knowledge resources in a manner that brings a difference (Russ, Jones and Jones 2008). Like for instance, an organization might use an online discussion board to encourage hobbyist quilters across the globe. Hence, here technology appears to be promoting the process of communication among the quilters, yet seemingly fails to promote the quilting itself (Hoadley 2012). Alternatively, if the quilters utilize software that would enable them to structure a quilt design earlier, it would serve as an example of technology enhancing the practice. It is easy to imagine that this kind of software would enable quilters in various places to cooperate when designing a quilt.
Thus, it would be an instance of technology playing the role of support to the process of communication as well as the practice. Knowledge communities may take up different forms including, knowledge developing communities, communities of interest and Delphi groups among others, typically, communities of practice may have a level of informality as well as a high level of connected social associations among the community members. As well, communities of practice may possess a relatively high level of identification with the members of its group (Hoadley 2012). This type of a community depends on a set-theoretical knowledge. This is the idea that information is a property that is ratified by a group of individuals throughout time in shared practices different from the idea that information is a cognitive reside found within the mind of an individual learner.
Instructional designers and educators may focus on the model of the communities of practice by attempting to offer support to communities that have the desired practices as well as by permitting learners to be involved through a genuine process of collaboration (Lesser and Storck 2001). Moreover, persistent communication and the visibility of information through a company helps the management to make its appropriate contributions. Performance measurement has received a strong recognition of its contribution to the process of management within an organization more so at the functional and organizational level. But, in spite of all that, performance management has failed to receive the right kind attention from top managers. The lack of recognition may arise from the idea that managers have characteristically placed their dependence on their experience and knowledge in decision-making processes (Metawie and Gilman 2005).
Consequently, their experiences tend to outshine the relevance of performance information. Since the preparation and the allocation of the budget depend on the resources that are needed for the work to be done, the knowledge of performance measurement cannot be used across the various functional units. For example, in public universities, in spite of their great focus on research, the allocation of the budget is initially based on the enrollment of the students (Phusavat et al. Thus, it hinders their chance of becoming the best research institution in the world when the sharing of resources is vital. This misuse of measurement to allow for the allocation of the budget to the expansion of resources can be referred to as sub-optimization. This when the function of production increases the rate of yield by failing to alter the product setups, yet it is having a negative effect on the record turnover as well as the rate of on-time delivery by the workshop and the distribution units.
Intellectual Capital and Social Networks Capital theorists categorize intellectual capital into three major constituents namely; relational capital, human capital as well as organizational capital. Relational capital is the relationships formed with the customers, distributors, and suppliers among other parties. Human capital comprises of employee know-how, brain power, and competency (Hamzah and Ismail 2008). Organizational capital represents the organizational culture, its systems, processes, and practices. According to Edvinsson (1997, p. Many organizations structure their initiatives as a way of ensuring that certain forms of value seem relevant to the business strategy of the organization and are regularly mined from the intellectual capital of the company. Alternatively, organizations that are based on knowledge develop their alertness of the significance of knowledge and information concerning their organizational performance.
Such organizations can achieve the efficacy through the consistent search for channels and networks which they could utilize when creating, sharing, and storing information to avail it when need be (Hamzah and Ismail 2008). Social networks offer increased opportunities for organizations to obtain strategic positions of importance, something that also promotes the benefits from the use of information technology that has been developed in the past (Roblek et al. Thus, social networks have a key impact on the growth of the business as well as in caring for two powerful business associations such as those between the business and the customer and those that are between two businesses. Once organizations understand what they are measuring, they will use measurement to offer them the quality and type of feedback that encourages and welcomes people to steer forward with their desires to share, learn and achieve.
Bibliography Cox, A 2005, What are communities of practice? A comparative review of four seminal works. Journal of information science, 31(6), pp. Edvinsson, L 1997, Developing intellectual capital at Skandia. Long range planning, 30(3), pp. Lyu, H, Zhou, Z, & Zhang, Z 2016, Measuring Knowledge Management Performance in Organizations: An Integrative Framework of Balanced Scorecard and Fuzzy Evaluation. Information, 7(2), 29. Metawie, M and Gilman, M, 2005, September. Problems with the implementation of performance measurement systems in the public sector where performance is linked to pay: a literature review drawn from the UK. In 3rd Conference on Performance Measurements and Management Control. Tocan, MC 2012, Knowledge Based Strategies for Knowledge Based Organizations. Journal of Knowledge Management, Economics and Information Technology, 2(6), pp. van den Berg, HA 2013, Three shapes of organisational knowledge. Journal of Knowledge Management, 17(2), pp.
From $10 to earn access
Only on Studyloop