Enabling Operational Excellence
Enabling Operational Excellence
Enabling Operational Excellence
Enabling Operational Excellence

TURNING OPERATIONAL KNOWLEDGE & COMPLIANCE INTO A COMPETITIVE EDGE

We systemize tacit knowledge into explicit knowledge

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Posts Tagged ‘knowledge management’

Fundamental Challenges Facing Your Business: #3 – Managing Operational Business Knowledge

Many or most IT methodologies remain essentially in the Dark Ages with respect to knowledge management. They seem to focus blindly on pumping out code faster and faster. We may be living in a knowledge economy, but we’re sure not acting like it. When I say knowledge management I don’t mean what probably comes to mind. I’m not talking about fuzzy text in vast e-mail archives or tacit knowledge in people’s heads. I’m talking about explicit business rules. Business rules (done correctly) represent knowledge – core operational knowledge. Many companies today are in peril of losing or outsourcing that knowledge. Who’s to blame? Business managers for not ‘getting it’ of course. But that’s just where the buck stops. Ultimately practitioners are to blame. They’re not making core operational knowledge tangible to their managers. How you make that kind of knowledge ‘real’? True business-side rulebook management[1] (which is not the kind BRMS offer).[2] That’s no longer optional either. In a knowledge economy your company simply can’t afford to lose its business rules! ~~~~~~~~~~~~~~~~~~~~~~~~~ www.BRSolutions.com


[1] Ronald G. Ross, “What You Need to Know About Rulebook Management,” Business Rules Journal, Vol. 10, No. 9 (Sep. 2009), URL:  http://www.BRCommunity.com/a2009/b500.html
[2] For best-of-class example, see RuleXpress from www.RuleArts.com.

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Managing Know-How in the Knowledge Economy: What Role Do Business Rules Play?

I’ve been writing a lot recently about the knowledge economy and what makes a business smart. Let me dig a little deeper. The kind of knowledge I’m talking about might be better described as know-how.

know-how:  accumulated practical skill or expertness …  especially:  technical knowledge, ability, skill, or expertness of this sort[1]

Know-how that you can encode and retain is represented by business rules and the structured business vocabularies (concept models) on which the business rules are based.  Know-how is a subset, a small one probably, of knowledge.  Briefly, knowledge can range from practical to theoretical, from certain to probabilistic, and from frequently applicable to infrequently applicable.  At the risk of saying the obvious, you can’t run the day-to-day operations of a business on knowledge that is theoretical, probabilistic, or infrequently applicable.  In short, business rules are about know-how management, a strictly limited subset of knowledge management. Like knowledge, know-how can be either tacit (in people’s heads) or explicit.  The classic test for when knowledge is tacit is ‘lose the person, lose the knowledge’.  Obviously you want to retain know-how. As a senior manager recently put it, “No organization should depend on absent brains.”

know-how retention:  expressing know-how explicitly in a form understandable by business people and business analysts, and managing the know-how, such that it is always available for future reference or use (by those capable and authorized)

The over-time infrastructure needed to retain know-how is provided by a general rulebook system (GRBS).  It’s what rule management should really be all about. ~~~~~~~~~~~~~~~~~~~~~~~ from Building Business Solutions: Business Analysis with Business Rules, by Ronald G. Ross with Gladys S.W. Lam, An IIBA® Sponsored Handbook, Business Rule Solutions, LLC, 2011, 304 pp,http://www.brsolutions.com/bbs

[1] Merriam-Webster Unabridged Dictionary

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Why Doesn’t the ‘Knowledge Management’ Community Get it?

I’m kicking off 2012 with a couple of things I just don’t get. Here’s the first one: Why is it that people discussing ‘knowledge management’ seem to have so little understanding of the core know-how actually needed to run (and change) day-to-day business activity? Core operational know-how consists of business vocabulary, business policies, and business rules. That ‘knowledge’ is currently locked away in IT applications and platforms (or in people’s heads) where it is virtually immune to change. That’s a boon to service providers and IT departments, but a bane to business agility. What business really needs today is agile governance … but few seem to be talking about that. P.S. Social media won’t help much here. You simply have to ‘do’ business rules.

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