Annotated Bibilography
The Role of Human Resources in Creating Knowledge Organization – A Study of SCCL (Singareni Colleries Company Ltd.) Dr B Sridevi Dr V Maheshwar
Abstract
The 21st Century, however, presupposes an organizational systemic preparedness for gaining and retaining competitiveness in a global and native business scenario. Knowledge organizations bring in challenges significantly different from what has been so far experienced. The early 20th Century predominantly focused on the manufacturing or the production priorities of the firm. Knowledge Management has become a major competitive tool for the present day organizations. Knowledge management is the acquisition and use of resources to create an environment in which information is accessible to individuals and in which individuals acquire, share and use that information to develop their own knowledge. Further, employees are encouraged and enabled to apply their knowledge for the benefit of the organization. “Only a Positive Attitude changes our life, but it will change the world around us”. Know-how in the organization is built around four areas of action: Responsiveness, Innovation, Competency and Efficiency. These four areas, which is called as “RICE model”, cover all of the different ways in which can use knowledge to help the company succeed. Responsiveness
Journal of Commerce & Management Thought
Vol. 5-2, 2014, pp.201-216
DOI : 10.5958/j.0976-478X.5.2.015
201
concerns how the company takes in vital information from its surroundings; its customers, competitors, suppliers, and others who affect – and are affected by-the company’s performance. Innovation concerns how the company uses ideas and information to change what it does and how it does it. Competency concerns to the skills that the people and teams need to deliver products and services. Efficiency concerns with how well processes for product and service delivered.
Keywords : Knowledge Organization, RICE model
Introduction
Firms today are beginning to realize that they attract and hire top
intellectual talent only for them to manage and supervise yet another team of
knowledge workers through the organization structure. This imposes upon
senior management time and talent to focus on making such knowledge
workers to work hand in hand with colleagues to experiment and innovate, to
work in teams that have goals that cut across functions and job competencies.
The wide use of teams and their consequent effectiveness has proven beyond
doubt the success of making people work in structured as well as
unstructured environments with only their goals in perspective.
The work force in turn having realized this potential are willing to take
additional responsibilities, willing to be empowered and consequently
operate with enhanced command over with their knowledge and its
application in untested areas.
The Primary challenge of an entrepreneur is to motivate top talent; to
seize opportunities by utilizing their human resources effectively.
The 21st Century, however, presupposes an organizational systemic
preparedness for gaining and retaining competitiveness in a global and native
business scenario. Knowledge organizations bring in challenges significantly
different from what has been so far experienced. The early 20th Century
predominantly focused on the manufacturing or the production priorities of
the firm.
The firm was treated as a mechanical outfit created to maximize
products with labour as an important factor in the process.
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Thereafter, the sciences exposed manufacturing excellence with speed,
automation of the human systems, socio-technical variables for efficiencies,
scientific management, mass production, assembly line advantages, single
product dominance and workers productivity.
The consumer era followed with the corporations prioritizing its
energies towards creating and sustaining brands, products and life style
interventions for the consumer. Sales and distribution networks were
expanded to ensure reach, effective market penetration, identifying the
consumer in the common person and ensuring product availability at their
point of purchase. Supply chain efficiencies were dealt with as a single
largest independent variable for ensuring customer satisfaction. The last two
decades and the last quarter of the century realized the potential of the
computer Systems, electronic data processing, information management
tools and technicians for corporate use and effectiveness.
Objectives of the Study
The main objective of the present study is to examine the role of Human
Resource in creating knowledge organization. The -Objectives of the present
study is as follows.
• To examine the responsiveness of employees of SCCL in creating knowledge organization.
• To study the Innovation of employees of SCCL. • To evaluate the competency level skills employees of SCCL. • To analyze the efficiency of employees of SCCL towards knowledge
organization.
• To offer suggestion to improve the intellectual capacity of SCCL in creating knowledge organization.
Database Methodology
The present study is based on both primary and secondary data; the
primary data was collected through questionnaire and personal interviews
conducted with selected sample. The secondary data was collected from the
books, journals and various websites.
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Sample Design
In order to evaluate the Role of Human Resources in creating
Knowledge Organization – A study of SCCL. Kothagudem Region has been
chosen, SCCL is leading coal Mine Company as state owned sector. The
sample of 200 employees has been chosen on random basis which includes
all levels.
About the SCCL
The Singareni Colleries Company Ltd with a history of over 117 years is moving ahead to retain leadership by being proactive in order to meet the
mark challenges even while promoting better client relationships.
The Singareni Colleries Company Ltd is the only Coal mining
organization in south India cater the needs of Power, Cement and Other Coal
base industries in South India, Maharashtra, and Gujarat and its registered
Office is located at Kothagudem in Khammam District, Andhra Pradesh.
As India is the 3rd largest coal producer nearly 80% of this outputs
dispatched to the consumers in the power sector. Public sector coal
companies contribute 95% of India’s coal production of which coal India
Ltd., account for 85% and Singareni Colleries Company Ltd for 10%. The
developing countries like India use coal as the primary source energy supply.
Almost 75% of the electricity generated in the country is through the coal.
The world’s third largest hard coal reserves of 233 billion tones serve as
a source energy supplies to meet the requirement of a growing economy,
expanding population and rapid urbanization.
Period of Study
The present study covers a period of five years, from 2008-2013.
Tools of Analysis
While analyzing the collected Data various statistical techniques like
chi-square have been computed.
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Concept of Knowledge Management
Knowledge Management is a fairly modern concept. It refers to an
enterprise that consciously and comprehensively gathers, organizes, shares
and analyses its knowledge to achieve its goals. Therefore, a company needs
to identify areas where sharing of knowledge and best practices can help
improve performance. Knowledge Management has gained in importance
because companies have discovered that people, their skills and knowledge
are essential to gain competitive advantages.
Knowledge Management has become a major competitive tool for the
present day organizations. Knowledge management is the acquisition and use
of resources to create an environment in which information is accessible to
individuals and in which individuals acquire, share and use that information
to develop their own knowledge. Further, employees are encouraged and
enabled to apply their knowledge for the benefit of the organization.
Companies that are knowledge-friendly know that knowledge is one of
the important asset and a core competency for moving ahead. Knowledge
Management has identified with three characteristics that differentiate a
knowledge organization from others. Knowledge organizations invest in
developing knowledge in the key areas of core competency such as the
process of product development or improving customer satisfaction
Knowledge organizations emphasize on continuous learning. British
Petroleum (BP), has a worldwide reputation for commitment of knowledge
management. BP’s knowledge management has a simple framework, which
describes a learning cycle – before, during and after any event – supported by
simple process tools. Lessons from that learning loop are distilled by a
community of practice that can include peers across the organization who
have a stake in agreeing and defining BP’s best practice. Finally, both
specific and generic reasons are incorporated into “Knowledge Assets” on the
corporate intranet. Wal-Mart is another example of a company that believes
in continuous learning of its employees. It effectively leveraged knowledge
between suppliers and stores. Another factor that distinguishers a Knowledge
Management company from other companies is its ability to adapt to the
change. One example is that of Barnes & Noble, which started terms as co-
The Role of Human Resources... 205
operation and sharing of information brings in benefits for the whole
organization.
Knowledge Management has profound implications for organizational
culture, because it is the culture that helps to bridge the gap between the
provision of technology and information and the effective use for the benefit
of the organization by individual knowledge workers. Some organizations are
caught in inter-departmental power battles where knowledge is seen as
power, and not something to be shared, which is why they have not managed
to shift to a culture which is fundamentally based on trust and sharing.
Similarly, the level, or handling, of change is some organizations have
created an environment where many employees feel insecure, and so trust is
lost.
Building a culture for Knowledge Management on these values will
require changes in systems and process, and a way of doing thing which both
transmits the organizational culture to new employees are reinforces it to old
employees. As with any change situation, conflicts can arise. This is where
HR can contribute to the development of the Knowledge Management
culture by handling such conflicts.
In a knowledge-based economy, managers become more of facilitators
rather than controllers. They will have the support of HR in making this
transition. HR will assume a more flexible role as a result of changing roles
of business. Having a work culture where the majority of the employees are
knowledge workers is not enough and the culture must be right to enable their
full contribution. In addition to the full utilization of the technical skills and
knowledge of employees, a team approach is essential for the effective
acquisition of knowledge and skills. The reason of this is that team skills are
inextricably linked with effective HR learning both in the workplace and in
formal education and training.
It is the team approach that forms the mainspring of quality, innovation,
service needed for competitiveness and success. Within the new team culture
employees therefore will be required to develop not just the knowledge and
technical skills relating to the particular area of work but also a broad set of
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interaction skills or thinking skills relating to problem solving and decision
making. The skills of collaborative team work are linked with effective HR
learning and training. The word collaborative is used to distinguish genuine
teamwork from what might pass teamwork in some organizations.
Positive Attitude Towards Knowledge Organization:
“Only a Positive Attitude changes our life, but it will change the world
around us”. Know-how in the organization is built around four areas of
action: Responsiveness, Innovation, Competency and Efficiency. These four
areas, which is called as “RICE model”, cover all of the different ways in
which can use knowledge to help the company succeed. Responsiveness
concerns how the company takes in vital information from its surroundings;
its customers, competitors, suppliers, and others who affect – and are affected
by-the company’s performance. Innovation concerns how the company uses
ideas and information to change what it does and how it does it. Competency
concerns to the skills that the people and teams need to deliver products and
services. Efficiency concerns with how well processes for product and
service delivered.
The “Rice” Model for Knowledge Management
On the other hand, if the company is in a business in which developing
and delivering new products and services that reshape markets or create
entirely new ones that lead to success, then we are likely to focus on
generating knowledge by hearing what the marketplace – and enabling
employees to communicate with each other – and using that knowledge to
innovate.
Most companies of course, must do both kinds of knowledge
management to thrive. They have current products and services to maintain
in the marketplace, and they are developing the next generation of offerings
to build a position in tomorrow’s marketplace. The purpose of the RICE
model is not to assign a particular approach, but to help in provide define the
key pieces of a knowledge strategy, assess the strengths or weakness, and
focus on what will help to the company the most. The Rice model is
presented in the figure 1.
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Figure 1 : Rice Model
Competency and Efficiency
From Individual Competency to Organizational Efficiency:
Organizational learning builds organizational knowledge. But all learning, all
knowledge, all know-how, starts in and resides with individuals. People in
organizations often act collectively, but they learn based on their own
interests, aptitudes, and motivators and based on what they believe will
protect or improve their standing in the organization. Ideally, they are also
motivated to learn the competencies that help the organization most. But we
can’t always count on that to happen automatically.
Starting with Competency: The first stage in building the knowledge of
the organization is to hire people who already have the needed skills. The
hiring process begins with identifying the needed knowledge and skills and
then builds a recruiting marketing, and retention program that identifies and
attracts the right people with the right skills.
The second stage in building individual competency is managing “time
to talent”. How quickly can an organization take novices or new employees
and turn their talent into activity that adds value to the firm? There are two
approaches to improving time to talent. Formal training program
Communities of practice
Formal training programs focus on giving people the tools they need to
learn what they need just then (just-in-time learning)or what they might need
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sometime (Just–in–case learning). School like training – in a group, with a
leader, at a specific time and place – still plays a large role in training. More
and more, however, companies are using on-line, on demand forms of
training that can be tailored much more precisely to individual needs. Beyond
that, through distance learning or e-learning capabilities, faculty members
and other experts become available as on-line consultants to help
practitioners solve real problems. The problems and their solutions can then
be integrated into the company’s knowledge base to share the learning more
broadly and help employees bring the best approaches to bear on real issues.
Moving to efficiency, Knowledge circulates in a company in a very dynamic
way-moving, often erratically and unpredictably, to individuals to teams, to
communities, and to knowledge bases – and changing along the way.
Codifying knowledge is a key way of circulating it more broadly and making
it usable throughout the organization.
Codification, where possible, becomes very important in the cycle. By
codifying individual, team, and community know-how and making it
reusable, companies can improve the overall efficiency of the organization.
Efficiency, in other words, reflects a company’s ability to turn individual
learning, knowledge and ability about getting things done into repeatable
processes, many people can follow with good results.
The process of building organizational efficiency and competency is
also the process of building organizational memory. Memory allows us to
“know what we know” and supports the efficient use of processes and
practices that have already been used successfully. Taking new learning and
codifying it into organizational memory is an ongoing process. Rapid pace of
change requires that new processes and practices be invented to respond to
market and environmental demands. By intentionally linking the learning
that takes place as work gets done into a codified process, organizations can
increase the chances that everyone in an organization will learn from a
particular experience and that organizational processes are being redefined to
meet current needs the new process. The senior executive thought the ideas
was promising and described it at the meeting he was traveling to, which
happened to be about finding new business opportunities. Based on a report
The Role of Human Resources... 209
he wrote on the idea, the firm sent a delegation to the Asian firm to look at
the process more closely. They liked what they saw. The manufacturer
eventually licensed the process and used it to develop a profitable new
product line.
Innovation and Responsiveness
From Enhanced Responsiveness to Sustainable Innovation: Innovations
are responses to challenging problems or even desperate situations.
Creativity emerges when the existing solutions no longer serve their purpose
and new responses are called for. For example, the digital revolution that is
turning the business world inside out traces some of its technological roots to
the struggle to prevail in World War II and the Cold War. As scientists and
mathematicians on both sides searched for ways to automate the massive
calculations required to break enemy ciphers and determine ballistic missile
trajectories, they developed new technologies that became the seedbed for
today’s advances. In a period of crises, a century’s worth of abstruse
theoretical work in mathematics was integrated into the foundations of a
technological revolution that just keeps getting bigger.
Analysis of the Role of Human Resource in Creating Knowledge
Organization In SCCL
The role of Human Resource in creating knowledge organization in
SCCL in analyzed with “Rice Model” for this purpose four variables are used
which are:
• Responsiveness • Innovation • Competency • Efficiency Responsiveness concern to improve knowledge management
To examine the relationship between the executive and non-executive
towards responsiveness concern, the distribution of responses in rating of
strongly agree to strongly disagree were presented in the Table 1.
Journal of Commerce and Management Thought 5 - 2210
Table 1 : Responsiveness concern to improve knowledge Management
(Source: Compiled from Questionnaire Data) NOTE: Figures in parenthesis indicate percentage.
From the Table 1 it is observed that majority of respondents i.e., 46
percent perceived that Responsiveness concern vital information regards,
customers, competitor, suppliers and others. In that 24 percent of respondents
are non-executives agreed and 22 percent of executives are agreed regarding
responsiveness.
The 23 percent respondents are strongly agreed about responsiveness
concern improves in knowledge management of executives and non-
executives in that 13 percent are belongs Non-Executives and 10 percent of
executives are responds to responsiveness. The 18 percent of respondents felt
neither agree nor disagree towards responsive concern in that 11 percent of
executives and 7 percent of non-executives express their behaviour the
opinion about disagree has 9 percent expressed by executives and non-
executives and 6 percent of respondent like executives, and non-executives
strongly disagree.
In result of chi-square test obtained from the data revealed that the
observed value is less than at 5% and 1% levels significance therefore, the
hypothesis is accepted. It means that the responsiveness concern to improve
knowledge of executives and non-executives.
Innovation is interactive to knowledge management
An analysis of the relationship of innovation to knowledge
management, the distribution of responses in rating of strongly agree to
strongly disagree is presented in the Table 2.
The Role of Human Resources... 211
Table 2: Innovation is interactive knowledge management
(Source: Compiled from Questionnaire Data. NOTE: Figures in parenthesis indicate percentage)
From the table -2 it is revealed that in Executive category 27.50 percent
majority of respondents agrees innovation of ideas are interactive the
knowledge management. 12 percent of respondent expressed neither agree
nor disagree. 5 percent respondent expressed strongly agree the innovation is
more interactive tool for knowledge management, 3.5 percent respondent
expressed disagreed and only 2 percent respondents strongly disagreed that
the innovation is interactive to knowledge management.
In non-executive category a majority of respondents i.e., 21 percent
agrees that the innovation is interactive to knowledge management, 15
percent of respondent express neither agree nor disagree 8.5 percent
respondents express strongly agrees innovation is more interactive to
knowledge management. 4.5 percent respondents disagree and only 1 percent
respondent believes that the innovation is not interactive to knowledge
management. To test statistically applied in chi-square test, that the
calculated value of X2 (6.24) is less than table values of 5% and 1% of chi
square. Hence, the hypothesis is accepted that it can be concluded that the
innovation is more interactive to knowledge management.
Competency Concern Improves Skills of Employees
To examine the relationship between the level of employee’s skills and
competency, the distribution of respondent’s executives and non-executives
category is presented in the Table
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Table 3: Competency improves skills of employees
(Source: Compiled from Questionnaire Data)NOTE: Figures in parenthesis indicate percentage)
An observation of Table 3 indicates that, there is a maximum difference
between percentages of respondents who perceived competency program of
organization improves skills of employees. Among these executives and non-
executives. 34 percent of majority of respondents perceived to agree towards
competency to improve in skills (knowledge) in the category of executives
and 30 percent of non-executives. The opinion about skill improvement
strongly agreed by non-executive with 11 percent and 9 percent executives
express same opinion.
By observing of these two ratings 46 percent expressed skill
improvement 41 percent non-executives are expressed same above.
The expression of neither agree nor disagree has a percent in that 5
percent executives and 4 percent non-executives. In the non-executives 4
percent respondents, expressed and no one expressed strongly disagrees. In
the executives category, no respondents expressed their opinion towards
disagree and strongly disagree.
In this regard the chi-square test revealed that the observed value (7.14)
is less than the expected value at both level (1% and 5%) of significance.
Hence, there is reason to accept the hypothesis. Thus it can be concluded that
there is a relationship between improve competency as well as skill of
employees to knowledge management.
The Role of Human Resources... 213
Efficiency Concern to Work of Employees
To examine the relationship between executives and non-executives, the
efficiency contribution towards, work process of qualities of product or
service the distribution of respondent’s executives and non-executive
category is shown in the table 4.
Table 4 : Impact efficiency towards process of product/service of work
(Source: Compiled from Questionnaire Data NOTE: Figures in parenthesis indicate percentage)
By observing of these two ratings 46 percent from executive category
and 41 percent from non- executive category expressed that the competency
concern improves skills of employees towards that the organization becomes
as knowledge organization
The Table 4 reveals that majority of respondents 51 percent agree by
efficiency of employees in that 27 percent are belongs to non-executives and
24 percent executives express their opinion towards efficiency of work
process at product/service with quality. The 49 percent of respondents
strongly agreed that the efficiency of work process is played a vital role in
creating knowledge organization. Among these 26 present represent with
executive category and remaining 23 percent respondents from non-
executive category.
In this regard the chi-square test revealed that the expected value in
(8.24) less than the Table value at both levels (5% and 1%) of significance.
Hence the hypothesis is accepted then it can be concluded that there is a
relationship of efficiency of employees towards contribution of final product
of service attained quality.
Journal of Commerce and Management Thought 5 - 2214
Conclusion and Suggestions:
The major findings of the study are presented followed by a few
suggestions in the light of major finding.
The importance of knowledge for a clause competitive success has been
recognized.
Knowledge management is having the greatest impact on rapidly
changing environment.
The competency development is important area of knowledge
management. It involves analyzing the HR skills an organization needs to
meet the strategic objectives. Implementing to deliver these skills, evaluating
the extent to concern the end-results.
The role of knowledge management is to help SCCL determine what
their resources are, further investment should be placed to maximized the
value of intangible assets, and learn how best to manage the resources for the
future, to practices to assess the value and potential improvement in
efficiency.
In light of above finding the following suggestion have been offer to
make as meaningful tool. The competency and efficiency based an
improvement through
• Formal Training Programme. • Communication process • Codifying – circulating team
The SCCL may concentrate to improve knowledge organization
specification.
The strategy assets where the weakness and focus the weakness to build
the strengthen through
References
1. Davenport.T.H. & Short. J.E. (1990 summer)” The Industrial Engineering. Information
and Business process Rode Sign” Sloan Management Review PP 11-27
2. King, W.R. (1995, Winta) “Creating a strategic capabilities Architecture,” – Information
The Role of Human Resources... 215
systems management 11 (3), PP 67-69
3. Prahalad C.K. and G. Hamel (1990),” The core competence of the corporation” Harvard
Business Review (May-July 79-91)
4. Dr. B.Rathan Reddy, “Knowledge Management” Himalaya Publishing House (2007)
5. Voci, Elaine, Knowledge Management and E- learning, tools for the organisational
evaluation.
6. Argyrise “Organizational learning and management
7. Badet 2 E.B. “Making Brain Waves,” C/o. 9(7), PP 23-29
8. Bennis, W & Nannes B. Lerader, the Strategies for taking charge New York, NY Harpee
& Rao 1985.
The Authors
Dr. B.Sridevi is a Lecturer in the Department of Commerce, Govt. Degree College
for Women, Khammam, Andhra Pradesh.
Dr. V.Maheshwar is Grade – II Officer (Assistant) in Andhra Pradesh Civil Supply
Corporation Ltd, District Manager Office, Khammam, Andhra Pradesh.
Email: vasukula_maheshwar@yahoo.com • Received on: 14, Dec.2013
Journal of Commerce and Management Thought 5 - 2216
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