Most companies apply Knowledge Management nowadays. The bottom line in the practiced is to reduce cost for an organization. It may be costly at the initial stage but the result will surely lead to higher savings.
Knowledge Management is software that aids in the compiling of information. However, Knowledge Management should not be viewed only as information technology; Knowledge Management is more of what people store in that software. It involves collecting and sharing of information. This shared information is used to inform readers and some used it to create new ideas. This information serves also as collaboration among work groups.
Benefits of Knowledge Management to an organization are as follows:
1. It fosters innovation as it tries to encourage people to create new ideas with the free flow of information. 2. It improves the customer service management as accurate information and immediate response are provided. The Knowledge Management database search provides answers to their questions without having to contact the customer service. 3. It boosts the revenue as products and services are marketed faster. 4. It enhances employee retention rates as the organization recognizes the value of employee knowledge. Organizations create incentive programs to motivate employees to share their knowledge. 5. It streamlines the operations and organization costs are reduced as the system eliminates the redundant or unnecessary processes.
Knowledge Management may be a big move for organizations considering the cost it would entail at start, but it will reap benefits in the end.