Have you got a chance to pose a question to yourself, how companies are creating wealth? It is purely based on intellectual assets of the employees. Knowledge is the fundamental base for wealth creation, productivity and innovation.”Knowledge” is emerging as a most important resource compared to land, capital, and labour. Knowledge Management is one of the ways companies create, disseminate and leverage their intellectual assets. Physical assets will have the limited period of life with tear and wear where as K assets may last forever “Core Knowledge Assets” are required to understand/play the game or process.”Advanced Knowledge Assets” are required to be ahead in the competition/for building expertise on the game or process.”Innovative Knowledge Assets” are required to lead/dominate the industry which will clearly make difference from the market. It can change the rules of the game/process… filing patents for example!
Human Capital can be at customers, suppliers/vendors, employees-SMEs, policy makers etc depending upon their competencies, knowhow’s, experiences, embedded intelligence, trust and K culture. Proprietary software products, social and business networks, stakeholder relationships can constitute Structural/Organizational Capital Find a case study in the following link on calculating Knowledge capital Following table helps us to identify potential Knowledge Assets. Knowledge assets can be generated in three phases of the Knowledge cycle. The cycle of what you have learned, what you experience and then what you create in terms of Knowledge. Intranets and Knowledge management portals will act as repositories for knowledge assets of the company. They often gets stored in Digital or electronic format. Measurement of Knowledge assets at any level of the organization can actively recognize the strategy gaps [What your company must do Vs what your company/practice can do] and knowledge gaps [What your company/practice must know Vs what your practice knows] Intellectual Property Rights [IPR] plays a key role on protecting the Knowledge Assets created in the form of copy rights, trademarks, patents, etc.
Praveen Kumar Veeramalla is a Knowledge Management Consultant within Capgemini.You can follow and connect with him via Twitter.Currently, he is also doing a part time doctoral research on Knowledge Management