Moreover, Kase and Zupan [35] commented that the performance of HRM should be linked with learning, innovation and intellectual capital. Similarly, personalization strategy and differentiation center on new capabilities, innovation and new ways of working. Both are essential for knowledge creation and sharing. Moreover, employee retention increases knowledge retention and organizational knowledge base. Smith [36] also added that developing a breadth of knowledge helps to create a strong general ability within employees, whilst developing a depth of knowledge produces employees with specialist knowledge. The department where knowledge originated receives the sales fees. The HRM of the organization has an important role to play in the overall improvement of the employee’s knowledge. As suggested by Bontis and Serenko [26], employees’ capabilities depend on their training and development as well as job satisfaction levels. Although this argument may sound theoretical in nature, its empirical consequences are, nonetheless, important. In highly sensitive organizations, it is not uncommon to find counterintelligence activities. This seems to have caused knowledge sharing to be stronger within the company departments but weakened from department to department. The “interpretive flexibility” symptom is one of these factors and is a symptom that reveals itself when an employee is contributing or interpreting information. OSHA May Issue COVID-19 Standards Under Biden Administration, CDC Says Reduced COVID-19 Quarantine Periods May Be Acceptable, Agencies Preview Form 5500 for Reporting in 2021, Income-Based Premiums Help Make Health Care Affordable. To date our community has made over 100 million downloads. Employees have multiple means of communication. Many argue that using a combination of the two is the most favored method for companies, as the short-term rewards act as a direct motivator encouraging individual and group contributions, whilst long-term rewards are important for the retention of employees by rewarding them for long-term organizational performance [47]. There is, of course, a probability that undiscovered gaps between theory and practice do indeed exist. Both can be considered important; however, for the knowledge workers group, communication loyalty seems to act as a stronger retention factor. Application of training is important to develop employees’ learning capabilities and provide a common language and shared vision. However, many scholars argue that such freedom offered to workers should be infrequent and training direction should be disseminated from the top of an organizational hierarchy downwards. if(currentUrl.indexOf("/about-shrm/pages/shrm-china.aspx") > -1) { Varying forms of internal training such as internal seminars and “on-the-job” training are seen to be of greater help in nurturing more company-specific knowledge. Knowledge maps, if successfully updated in a timely fashion, might help an organization provide the right training to the right employees. That said, they found that this is not true for low-skill workers; where recruiting them will not have a significant effect on increasing the human capital. *Address all correspondence to: hadi.elfarr@rutgers.edu. Applicants now have the option to test from home. For example, Teece (2000), cited in Svetlik and Stavrou-Costea [10], argues that KM is more multifaceted than HRM because it involves managing intellectual property rights and the development and transfer of individual and organizational know-how. Knowledge is the theoretical or practical understanding of a subject. These six HR practices are: recruitment and selection, compensation management, training and development, performance management, retention management and career management. Horwitz et al. At the opposite end of the scale, a company with a personalization-based approach is concerned with the breadth and depth of an employee’s skills and competencies. Reviewing existent various KM definitions and categorizing them based on defining the nature of knowledge, reflects the basic assumption of two paradigms that have been labeled differently. That said, Kianto et al. Our readership spans scientists, professors, researchers, librarians, and students, as well as business professionals. Despite the ever-increasing rate of change in the corporate world, the HRM role is not likely to change in a significant way. Moreover, unless knowledge contribution incentives are in place, people may hoard such knowledge and use it as a source of power within or against the organization. Gope et al. From an organizational perspective, communities of practice could help drive the strategy, start new lines of business, solve problems quickly and transfer best practices. The chapter is structured as follows, a background to conceptualization, approaches and strategies of KM, and then the role of HRM in supporting various KM strategies. However, personalization-based firms tend to emphasize knowledge creation and innovation, which often require both external and internal input. Moreover, they need not only happen when an employee leaves an organization; they could occur on a routine basis to capture the unstated insights of employees. that have taken place in the role of HR in the company, also reflected in the development of HRIS. It is widely accepted that HRM is not KM [27]. The strategic role of HR … Knowledge workers have higher turnover rates that result in them costing 2.5 times more than other workers due to re-employment costs [42]. Narasimha [49] also stressed demonstrated depth and breadth of knowledge as being important. A change towards a project-oriented society is observable (Gareis and Huemann, 2001), with projects becoming more widely used (Lundin and Söderholm, 1998). How? Conclusion: Transformation into knowledge driven organization HR has a key role to play in nurturing and strengthening knowledge management through "learning initiatives" and "culture change initiatives.“ HR is best placed to play the role of an effective facilitator, and give positive reinforcements for Knowledge Management . Knowledge Management Roles and Organisation. Please purchase a SHRM membership before saving bookmarks. Human Resource Management becomes significant for business organization due to the following reasons. Mainly, knowledge cannot be managed in the void—without people—and vice versa [10]. One must ensure that employees are bound by non-disclosure agreements and background checks, and that they are trained appropriately. Planned depletion includes the loss of knowledge from personnel downsizing, mergers and acquisitions, and voluntary movement of personnel. Barnett’ s (www.barnettinternational.com) Knowledge Management Group has conducted a number of employee focus groups across a variety of industries. Others emphasized the need to select individuals capable of adapting to different cultures rather than fitting an existing culture [47]. Most experts cannot articulate well how they perform their tasks. Suzana and Kasim [4] studied the significant role of Knowledge management practices in improving the performance of organizations. Such mechanisms will go a long way in helping newcomers learn by protecting such knowledge in its true form. $("span.current-site").html("SHRM China "); Olomolaiye and Egbu [39] also argued that performance appraisal should stress intrinsic needs, teamwork and collaboration. The Knowledge Management Process Model by Botha et al (2008) 18Puja Shrivastav 19. Moreover, Arunprasad [25] found that staffing is a significant factor contributing to the learning dynamics and innovation within firms—both at the individual and group levels. HR practices should focus mainly on enhancing employees’ ability and motivation for them to contribute individually to KM activities. Yet, such adjustments, especially when it comes to lateral movements that are needed to form such teams, are somewhat risky in nature, as there is a risk that some individuals may leave their organizations due to this situation [53]. KM processes directly improve organizational processes, such as innovation, … The main training subjects focus on gaining procedural knowledge and enabling employees’ to effectively utilize IT. Thus, the chapter focuses on the personalization and codification strategies while assigning the contextual HR practices under each strategy. Personalization refers to the development of tacit knowledge that is based on employee insights, intuition and personal skills for solving complex problems. In this regard, Gloet [4] illustrated a revitalization of the HRM function to respond to the demands of the knowledge economy, looking both within and outside the organization. It is often a debatable question if KM should be a separate department by itself handling the various aspects of KM or should it be integrated with an already established department. This is a limited and ultimately hazardous perception [4]. These redesigns will help move such systems out of the realm of being just passive support to becoming active aids to organizational members. In fact, human capital advantage stems from having more capable people than the competition [29]. [42] stated that HRM practices should be aligned with HRM, KM and organizational strategies but also noted that other organizational factors could also be considered to influence the development of HRM practices. Employees should be trusted with their choices and consequently make it their own personal responsibility to integrate training activities into their schedule without interfering with their workload and productivity. Investing in a knowledge management initiative without a clear sense of purpose is like investing in an expensive camera that has far more capabilities than you need to take good pictures of family and friends. Are HRM practices customized within organizations to support various strategies or are they standardized based on the holistic KM orientation at the organizational level. These two paradigms can be illustrated in a continuum with a range from IT-based/Hard/Calculative/Mechanistic/Scientific paradigm to a Social/Organic/Soft/Humanistic one. Objective :-Human Resource Management helps a company to achieve its objective from time to time by creating a positive attitude among workers. Training should be suggested as a means of focusing on growing the exploratory knowledge of employees instead of simply concentrating on developing traditional exploitative knowledge [36]. [21], the chapter indicates complications and inconsistencies when both a personalization strategy and a codification strategy are stressed. Experts review and publish these documents. This “cultural fit” perspective was criticized due to the potential risk of duplicating employee skills, which in turn could limit the ability of newly recruited employees to contribute their new skills to the knowledge base of the company [47]. The policies, programs and practices of human resource management that served companies well in the industrial era will not be adequate for the challenges of the new, knowledge … They proposed an integrative approach between KM and HRM, so that if we compare the KM cycle with HRM processes, we will find that various activities are shared between both. Smith [36] claimed that knowledge workers value nonfinancial incentives more than financial ones. Initially the concept of HRM developed from U.S.A in the 1960s. The content validity of the model was determined according to Lawshe’s technique, © 2019 The Author(s). Alternatively, Edwards et al. The knowledge fa- The HR department plays a crucial role in employee retention and management. [33] stressed that performance appraisal should focus on development and feedback, rather than taken as an evaluative tool only. An advantage of using HRM is that it is built through the maintenance and development of human capital and organizational processes. 3) What is the role of HRM in retaining employees? Hansen et al. Hence, the constant evaluation of one’s stock and replenishment through training programs and/or hiring new personnel will be an important part of knowledge management. [34] divided HRM practices into several categories such as heterogeneous workgroups and brainstorming commitment-based HR practices (e.g., employee empowerment and career development) and knowledge-based (e.g., recruiting, professional development, and employee retention). Lee and Ahn [58], in addition to this, argued that intrinsic rewards tend to support the vision of a company that holds a personalization-based approach, whilst formal extrinsic rewards tend to support the vision of a company that holds a codification-based approach. Although each will be discussed separately, the alignment of each practice with others under each KM strategy is highlighted in Table 1. [21], Haesli and Boxall [19] highlighted that the organizations that adopt the codification strategy to KM suffer from a relatively higher labor turnover than those that follow the personalization strategy. Login to your personal dashboard for more detailed statistics on your publications. In reality, juncture and co-proximity orientations of each paradigm stem from ontological and epistemological assumptions on KM’s nature [17]. In this fashion, group incentives then seem to serve companies that adopt personalization strategies the best; however, individual incentives are not wholly excluded: rather they are relegated to playing a secondary role. This is a potential problem because the knowledge possessed by knowledge workers is typically highly tacit [18]. For this circumstance, it seems that the characteristics of personnel described in knowledge worker-based literature are in alignment with those described in the literature published about the personalization strategy. There is no limit on the number of processes. HRM practices in an organization are adjusted in line with which approach is adopted. Horwitz et al. Built by scientists, for scientists. Additionally, Brelade and Harman [47] emphasized the importance of the psychological contract with an employee and the addressing of personal aspirations and lifestyle issues in relation to retaining knowledge workers. The knowledge market discussed earlier incorporates a price mechanism that is suitable for knowledge evaluation. This codification step is believed to minimize the risk of knowledge loss and maximize knowledge sharing, protection and utilization. [21] highlighted that the two strategies differ in addressing the competitive strategy, economic models, IT and HR. Hannula et al. Also, the adoption of the combination strategy would raise issues, one being equality and fairness based on whether employees are treated differently within one firm. Just as humans must create knowledge, they also consume it. The decision makers are then likely to support an HR-based approach to KM with an underpinning personalization strategy. The first is institutional loyalty, which is formed through the working culture, the social norms and supporting practices within a particular group or company. They found that if employees are “outcome-linked” then individual incentives were found to work best; however, if the employees are reliant on helping each other (or “help-linked”) within the group to complete the goal, then group incentives produce an optimal result. Another common labeling is concerned with where knowledge is situated. Knowledge Management focuses on the organization-specific body of knowledge and skills that result from the organizational learning processes and is concerned with both flow of knowledge and the making of profits.
2020 role of knowledge management in hrm