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Management Information Systems

Notes come to be known as knowledge management: the practice of capturing and organizing
information to make it more accessible and valuable to those who need it.
With the impact of globalization, the Internet, and the rapid evolution of technology, managing
knowledge for competitive advantage has become more important than ever. Knowledge
management is therefore an “essential ingredient of success” for all organizations.

Did u know? What is knowledge?

Knowledge is information extracted, filtered or formatted in some way.

Task Discuss why business intelligence is necessary for organization in today scenario.

Self Assessment

Fill in the blanks:
1. .................................... is information, extracted, filtered or formatted in some way.
2. Knowledge .................................... are the knowledge that an organization owns or needs to
own, to achieve its goals.
3. .................................... is the practice of capturing and organizing information to make it
more accessible and valuable to those who need it.

4. Knowledge management technologies capture the .................................... element in an
organization and make it universally available.

11.2 Types of Knowledge

Knowledge can be divided into two types – Tacit knowledge and Explicit knowledge. Tacit
knowledge is implicit, whereas Explicit knowledge is rule-based knowledge that is used to
match actions to situations by invoking appropriate rules. An organization promotes the learning
of Tacit knowledge to increase the skills and creative capacities of its employees and takes
advantage of Explicit knowledge to maximize efficiency.

11.2.1 Explicit Knowledge

Knowledge that can be more easily attained and is often expressed or documented in a formal,
systematic manner - frequently in words and numbers.

Example: Include Management Directives, Executive Orders, policy manuals, and
reference guides.

 Explicit knowledge is used in the design of routines, standard operation procedures, and
the structure of data records. These forms of knowledge can be found in any organization.
 It allows an organization to enjoy a certain level of operational efficiency and control.

 Explicit knowledge promotes equable, consistent organizational responses.

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