Knowledge Management 2.0 Handbook for companies Version 2 This project has been funded with support from the European Commission under the Lifelong Learning Programme. This publication reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. This handbook has been prepared as part of the “Knowledge Management 2.0 for SMEs” project, co-financed by the Leonardo da Vinci – Lifelong Learning Programme. The consortium implementing this project consists of: Management Observatory Foundation (FOZ) Faculty of organization and informatics Varaždin as a part of the University of Zagreb (FOI) MFG Baden-Württemberg mbH, Public Innovation Agency for Media and Creative Industries (MFG) Nowoczesna Firma S.A. (NF) Instituto Tecnológico de Aragón (ITAINNOVA) Authors: Marta Mazur (FOZ) Darko Grabar (FOI) Petra Grd (FOI) Aleksandra Sobodić (FOI) Amir Spahić (FOI) Lana Škvorc (FOI) Sandra Benz (MFG) Georg Sedlbauer (MFG) Karolina Sikorska (NF) Justyna Dobaj (NF) Elena Pallarés Beamonte (ITAINNOVA) Knowledge Management 2.0 for SMEs km20.eu 2015 TABLE OF CONTENTS INTRODUCTION 3 About the Knowledge Management 2.0 Handbook 4 Aim of the KM2.0 Handbook 4 Handbook structure 4 Target group 5 About the Knowledge Management 2.0 5 What is Knowledge Management 2.0 5 Benefits of using knowledge management for SMEs 7 Indicators for measuring knowledge management effects 9 Main success factors of Knowledge Management 2.0 12 How to motivate employees to participate in knowledge management 12 Legal issues regarding knowledge management 14 KNOWLEDGE PROCESSES 18 KNOWLEDGE MANAGEMENT TOOLS 21 Knowledge Management 2.0 MATRIX 22 Social media tools 23 Video tools 29 Collaborative tools 38 Other tools 45 STRATEGY OF KNOWLEDGE MANAGEMENT 2.0 54 Applied knowledge management strategies 55 Elements of the Knowledge Management strategy 59 How to implement the strategy of Knowledge Management 2.0 in SMEs 68 How to evaluate Knowledge Management 2.0 in the organization 71 Measurement of knowledge resources 71 Measurement of the knowledge management process 72 Measuring the training effectiveness 74 CASE STUDIES 76 Croatia 77 Spain 79 Poland 81 Germany 85 PROJECT AND PARTNERS 87 GLOSSARY 89 BIBLIOGRAPHY 91 01 INTRODUCTION ABOUT THE KNOWLEDGE MANAGEMENT 2.0 HANDBOOK AIM OF THE KM2.0 HANDBOOK Knowledge management is especially important in SMEs and can substantially improve business performance and business’ capacity for innovation. Nevertheless, traditional knowledge management methodologies are often too formal, complicated, time-con- suming and expensive for SMEs. Web 2.0 solutions, like social networking used for communication, collaboration and knowledge sharing within or between companies offer enormous competitive advantages in the form of increased innovation, productivity, agility and cost cuts to companies which embrace this new approach. Many companies are already using some technologies proposed by this methodology and with a bit of additional effort they can upgrade it to an actual knowledge management strategy. Knowledge Management 2.0 Handbook ver. 2 provides an effective framework forKnowledge Management 2.0 with the aim to guide companies wanting to professionally manage multimedia knowledge inside the company through the implementation of Knowledge Management 2.0. The publication has been expanded with recommendations and research data collected during the pilot phase (in the form of case studies) carried out in Poland, Germany, Spain and Croatia in the first half of 2015. HANDBOOK STRUCTURE 4 The handbook shows and explains how to manage multimedia content and how to adopt traditional knowledge management techniques in a multimedia context. It is divided into 9 chapters. In the first chapter, readers will find general information about the handbook and will learn about Knowledge Management 2.0. In the second chapter, processes are described which show the possibility of using different tools for knowledge management, which are then presented in chapter three. Issues related to the strategy of knowledge management are described in the fourth chapter of the handbook, where readers will find information on applied knowledge management strategies, elements of knowledge management strategy and will learn how to create, implement and evaluate the Knowledge Management 2.0 in their organi- sations. The fifth chapter includes case studies from the companies in which Knowledge Management 2.0 had been implemented during the pilot phase of the project. In the following chapter readers will find some interesting facts about the project and the part- Knowledge Management 2.0 nership. A Knowledge Management 2.0 Map is available in chapter seven. In the last two chapters readers will find a glossary and a bibliography. TARGET GROUP This handbook seeks to support companies and organisations interested in adopting a knowledge management system based on multimedia, user-created content and Web 2.0 communication and collaboration tools. It is addressed primarily to small and medium-sized companies and will help them to benefit more effectively from new technologies. Knowledge Management 2.0 can help companies to take advantage of knowledge sharing opportunities within and outside their organisations and foster collaboration and inno- vation, and informal, social learning. It will allow any company to create an organizational knowledge centre by integrating efficient content storage, organization and classification, sharing and retrieving with communication and networking tools, including possibilities to share knowledge with persons outside the organisation. ABOUT THE KNOWLEDGE MANAGEMENT 2.0 WHAT IS KNOWLEDGE MANAGEMENT 2.0 The first step to understanding knowledge management is to differentiate it from data and information. Knowledge is neither data nor information. However, knowledge can- not exist without them (Saaristo, 2012). New knowledge is created by taking a person’s Introduction existing beliefs and combining it with information created on the basis of data. Koskinen and Pihlanto define data as raw facts such as numbers and letters which are then given context to create information. Combining information with an individual’s existing beliefs, 5 skills and perception create knowledge. Thus, data, information and knowledge are all distinct entities (Koskinen and Pihlanto, 2008; Saaristo, 2012). There exist many different definitions of knowledge management. Seiner defines knowl- edge management as “a concept in which an enterprise gathers, organizes, shares and analyzes the knowledge of individuals and groups across the organisation in ways that directly affect performance“(Seiner, 2001). According to Levinson, knowledge manage- ment is “the process through which organisations generate value from their intellectual and knowledge-based assets“ (Levinson, 2007). Another definition of knowledge man- agement is presented by Sveiby, who says that “knowledge management involves the identification and analysis of available and required knowledge assets and processes… so as to fulfill organisational objectives“ (Sveiby, 1996). Villegas defines knowledge man- agement as “simply the transfer of knowledge from one person to another, the result of which enables the recipient to benefit from the collected wisdom of the more experi- enced members of an organisation or group” (Villegas, 2000). Knowledge management is “a cyclical system that enables an organisation to efficiently achieve its objectives by having the ability to transform tacit and explicit learnings into habits, better planning and execution” (Estacio, 2006). Figure 1. Knowledge Types Knowledge Types Increasing difficulty of managing knowledge Explicit to Tacit Mechanistic Dynamic Chaotic knowledge knowledge knowledge Complexity Source: “Notes from Master in Leadership Experience” Team Academy in Euskadi. The development of the internet and its maturity over the last decade, the large num- ber of people with access to the internet through desktop and mobile devices and the evolution of the software sector have resulted in the Web 2.0 phenomenon (Levy, 2009). Web 2.0 focuses on people and is bringing a new trend that should be adopted in knowl- edge management (Levy, 2009), (Alvarez et al.). Levy has analyzed Web 2.0 principles from a knowledge management perspective and has concluded that they are very close 6 to those in knowledge management (Levy, 2009), (Alvarez et al.). Figure 2. The process of Knowledge Management Network capital Knowledge flow Understanding Knowledge Giving birth creation to knowledge environments Applying knowledge into practice and Documentic finding new knowledge knowledge Knowledge Management 2.0 Source: “Notes from Master in Leadership Experience” Team Academy in Euskadi. Knowledge management 2.0 is a set of activities and processes designed to identify, capture, create, use and share explicit and tacit knowledge within the organisation using web 2.0 tools and other tools related to the new information and communication technologies. Knowledge Management 2.0 is social, i.e. individuals create the knowledge together with others (shift from the individual to the collective) and share what they know with others with the use of new technologies. The goal of Knowledge Management 2.0 is to improve the efficiency and effectiveness of employees, achieve organisational objectives and improve the competitive position of the organisation on the market. Figure 3. Knowledge Transfer Network level Organization