The Strategy Framework Of Knowledge Management Commerce Essay Example For Students

The Strategy Framework Of Knowledge Management Commerce Essay Knowledge Management is a scheme, model or system designed to assist organisations make, gaining control, analyze, use, and recycle knowledgeA to accomplish competitory advantage. ( ) A cardinal facet of Knowledge Management is that cognition within an organisation is treated as a cardinal plus. A simple phrase that encapsulates a nucleus facet of Knowledge Management isA acquiring the right cognition to the right people at the right clip in the right format . ( ) KMS systems trade with information ( although Knowledge Management as a subject may widen beyond the information centric facet of any system ) so they are a category of information system and may construct on, or use other information beginnings. Bharti Airtel was the first one to supply nomadic services in the private sector. It besides provided cyberspace and telephone services in 92 metropoliss. Bharti Airtel won the award for Best Knowledge Management at the MIS Asia IT acme 2006, which reflects the company s robust efficiency in retaining, alining and using the information engineering. ( Indian telecasting intelligence ) In India the Telecom Industry is really complex. It requires a big figure of Service Providers, plenty trained Manpower, Local, Regional and Global changing fluctuations and of all time altering environment. ( ) This brings many challenges to the company for the consumers which they have to carry through. KM is non specified to any specific job and it s an umbrella which covers all the sections of an organisation. ( ) Airtel was one of those company s which realised the importance of cognition direction at an early phase, which helped it turn and value its most of import plus. The following provides a survey about Airtel and its cognition direction. Outline1 Question no.1: BUSINESS OBJECTIVES AND STRATEGIES2 Airtel Business Aims3 PORTER S GENERIC COMPETITIVE STRATEGIES4 Cost Leadership Strategy5 Focus Strategy6 Differentiation Scheme7 Hyper-Competition8 Co-opetition9 Question no. 2: Current Knowledge Management Strategies10 APQC STRATEGY ( AMERICAN PRODUCTIVITY AND QUALITY CENTER )11 Customer Focused Knowledge Strategy-12 Knowledge Transfer Strategy-13 Personal Knowledge Asset Responsibility Strategy-14 Knowledge Strategy as Business Strategy-15 Knowledge Creation Strategy-16 Intellectual Asset Management Strategy-17 How make these schemes help achieve concern aims18 Question no. 3: Challenges Faced by Bharti Airtel19 Business CHALLENGES20 Rivals21 Pricing22 Staff keeping23 Adaptation24 Customer trueness25 KNOWLEDGE MANAGEMENT CHALLENGES26 Aligning KM with Organizational Goals:27 Application of KM Models in existent pattern:28 3. Non Awareness of the construct Knowledge Management29 4. Competition within the organisation leads t o failure of KM schemes30 Question no. 4: Recommendations for utilizing KM to run into these challenges31 Rivals32 Pricing33 Staff Retention34 4. Associating Knowledge Management to Business Aims35 Aggressive Ad36 6. More Impetus on Research and Development37 7. Cohesive and Coordinated Approach to Decentralization38 Decision39 Appendixs Question no.1: BUSINESS OBJECTIVES AND STRATEGIES Airtel Business Aims The company is formed of four strategic concern units Mobile, Digital Television, Enterprise and Telemedia. The former concern provides services in India, Sri Lanka and Bangladesh. The Telemedia concern offers broadband, IPTV and telephone services in 89 Indian metropoliss. The Digital Television concern provides DTH Television services across India ( Airtel, 2010 ) . The aim of Airtel is to supply end-to-end telecom solutions to its corporate clients nationally every bit good as internationally long distance services to Telco s. Airtel has achieved specialisation in offering customized solutions to turn to alone demands and demands of different industry ; IT, instruction, media, Manufacturing and distribution, telecom, Government and retails etc. ( Airtel, 2010 ) . Due to Airtel s co-opetion with taking engineering companies all around the universe and substructure, it presents full scope of telecom solutions. These solutions enable corporate to web their offices nationally and worldwide, give them substructure to run of import concern applications and offer them ways to bond with their consumers and employees ( Airtel, 2010 ) . PORTER S GENERIC COMPETITIVE STRATEGIES Cost Leadership Strategy Many clients have high outlooks for buying at lower monetary value, goods and services. A Number of houses engage themselves in activities which allow them to prosecute low cost of production than its rivals and consequences in cost leading in an industry ( Hitt et al. , 2009 ) . Airtel has addition cost leading by pull offing its procedures and resources expeditiously and efficaciously. It has successfully offered its merchandises and services at lower monetary values by conveying down its operational costs. Due to the net income borders being greater or the addition in gross revenues volume, Airtel has besides earned higher net incomes. The Cost Leadership Strategies for Airtel works great during a monetary value war in the industry. Due to it s Low Price Strategy, the house has acquired net incomes compared to the rivals ( MTNL, Idea, Tata, RCOM ) , which are bound to do losingss ( Rediff Moneywiz, 2010 ) . Focus Strategy Firm chooses Focus Strategy when they intend to utilize their nucleus competences to function demands of a peculiar section of the industry instead than the full market. This peculiar section can be either a peculiar purchaser group, or different section of a merchandise line, or a different geographic market. This consequences to client s trueness to the house and hence new rival is resisted to come in in that country ( Hitt et al. , 2009 ) . Airtel s focal point scheme is to concentrate on the clients with the monthly charge of land line more than Rs 10000 ( gt ; S $ 285 ) . Airtel can besides offer its service to a specific geographic country. Differentiation Scheme A company which adopts Differentiation Strategy needs to hold sufficient ability and accomplishments, so that they can distinguish their merchandise from the rivals and influences the clients to pay a premium monetary value. These properties can be superior merchandise quality, merchandise itself, the bringing system or the market attack. Aim is to make trade name trueness towards clients ( Eldring, 2009 ) . Due to this Strategy, many houses have successfully accessed advanced scientific research, a high degree of skilled labor force, and effectual client communicating schemes, etc. Airtel offers free digital EPABX with free leased lines ( no connectivity charges ) . Therefore the house provides newest EPABX to the client which costs approx Rs 50,000 ( ~S $ 1430 ) . ( APPENDIX 1 ) Hyper-Competition Bharti Airtel has been able to accomplish dominant leading place in the market with an RMS of 33 % which is good in front of the closest operator, chiefly due to concentrating on development of its planetary portfolio of services and webs. If any rival wants to be on the top of conference, it has to confront some of the of import factors like increase their international range, right investings in the planetary overseas telegram systems every bit good as enlargement of international points of presence ( PoPs ) and interconnects with the international bearers. Airtel merely did that ( Voice A ; Data, 2010 ) . Apart from this, Airtel emphasised on making direct interconnects and relationships with international operators. It has signed over 400 interconnect understandings boulder clay day of the month for these direct interconnects. Milan Rao, CEO, planetary voice, Bharti Airtel says, Despite the hyper-competition in the Indian sweeping market in the last two old ages, Airtel has emerged as a dominant leader in both NLD and ILD infinite. With our investings in domestic and international webs, planetary PoPs, strategic interconnects and state-of-the-art service bringing platforms, we are now poised to widen this leading to the planetary market ( Voice A ; Data, 2010 ) . The authorities of India has taken major enterprises to liberalise the NLD and ILD licences to increase the growing of the IT and BPO services in the state which will take to more competition and force operators to concentrate on the QoS. This will do non merely Bharti Airtel, but all the operators to increase their investing to guarantee 100 % QoS to retain clients ( Voice A ; Data, 2010 ) . Co-opetition Co-opetition is the impression of at the same time winning in competition and cooperation within your market. This can efficaciously increase the broader market for everyone. Small houses can more readily profit from co-opetition since the understandings can be easy, and little spouses can turn faster than the big 1s due to laziness and bureaucratism created by size. ( APPENDIX 2 ) Bharti Airtel has been a regular follower of co-opetition. Few of the many stakeholders of Bharti Airtel are Sony-Ericsson, Nokia and Sing Tel, keeping a strategic confederation. This means that Airtel has the entree to knowledge and engineering from different parts of the telecommunications universe. The co-opetition with Google develops the trade name, and besides gives Promotioning chances in India for Google. Now, iPhone will be introduced in India via distributorship of Airtel. Another illustration of Co-opetition is partnership held with BlackBerry Wireless Solutions. Bharti Airtel is broadening with another partnership with Vodafone Essar and Idea Cellular to do a trade name new crowned head tower house called Indus Towers ( Wireless Federation, 2010 ) . This new venture will take over more than 60 % of India s web towers. Bharti Airtel has besides reportedly entered into strategic concern confederation with Cisco to help the growing of Indian endeavors ( Airtel, 2010 ) . In June 2010, the company teamed up with Taiwan-based Smartphone maker HTC Corporation to establish India s first Android powered nomadic phone the HTC Magic ( Airtel, 2010 ) . Bharti Airtel Ltd. will spouse with Ericsson and Huawei to spread out and pull off its nomadic web in Bangladesh ( Comm, 2010 ) . People in general consider traveling as their pers EssayThe KM directors at Airtel must guarantee that the issue of associating KM to concern consequences is addressed by finding the intent of KM. They should mensurate the public presentation by all agencies so as to do certain that the KM schemes implemented are functioning the intent and taking the concern towards a coveted way. Application of KM Models in existent pattern: Despite of the fact, that bharti Airtel has separate platforms like Bharti larning systems and Centum larning systems for seting cognition direction construct into pattern, it is clearly seeable that there is a batch of spread between the purpose and the existent pattern. The employees find it hard to set the acquired cognition direction tacts into usage. It creates a confusion between the concern and cognition direction schemes and therefore, the whole intent of KM is lost. The company should do certain that each person in the company can distinguish between a concern and a KM scheme, for this, the company should include presentation of the application of KM schemes, may be through on the Job preparation methods. E.g. Airtel has besides confronting a new challenge from its rivals and has deficiency of pull offing the cognition and engineering can be seen when its rivals have launched 3G, Airtel has failed to use its resources efficaciously. 3. Non Awareness of the construct Knowledge Management Carrying cognition workers to make, portion and use cognition is a really ambitious undertaking in airtel. This construct is really new to the employees in the organisation so it will take some clip for the employees to acquire used to it. Mere deployment of engineerings at appropriate topographic points is non plenty, a good country of research so, is to redesign the cognition work processes or modify them so that they channel the flow of cognition in the right way. Airtel should hold some experts in the field of cognition direction so that they can excite people in organisation to make, portion or use cognition. 4. Competition within the organisation leads to failure of KM schemes Internal Competition within the employees of the organisation leads to failure of cognition direction schemes such as cognition transportation, the employees do non desire to portion information or accomplishments with each other in order to hold an border over one another. Sometimes, they do nt portion information because of deficiency of trust or clip excessively. This leads to stagnant cognition which finally is of no usage since the company runs as a squad and non by an person. ( APPENDIX 3 ) Question no. 4: Recommendations for utilizing KM to run into these challenges Rivals Airtel in order to travel in front of its Rivals must get down Owning its Towers, so that they can non merely supply Wide Coverage Nationally but besides bring down their Costss and have advantage over their Rivals. The KM Team needs to Survey and happen out the Markets where their Customer Base is Strong and urge to the Management to hold their Own Towers in those Locations to give Customer the Best Service to remain in front of Competition. ( Airtel one-year study 2009 ) Pricing Airtel in Order to go a Global Leader must hold a Competitive Pricing Policy in topographic point to travel in front of Competition. They need to be abreast with the Plans / Offers offered by Competition. They should non wait for Competition to denote their Offer and Slash Prices based on their Offers. Through usage of Knowledge Management, they should follow the Module of Earning per Minute alternatively of Net incomes per Customer and by which they can get at their Costss and consequently Price their Merchandises lower than their Rivals. ( www.airtel.com ) Staff Retention Airtel were one of the Pioneers in Mobile Telephony. When they started they had no Dearth of Talent, as they were one of the first market participants. They could model their Employees the the Airtel manner. As more participants started emerging in the Market the Demand for their Staff increased. All new participants wanted to understand the Airtel Mantra and started poaching Airtel Employees. Inorder to keep a Higher Retention Rate, the Knowledge Management Team should hold Strong Work Ethics inculcated in their Employees, Good Soft Skills Training to the Key Personnel. The Best manner to hold Higher Staff Retention was by holding the HIGHEST SALARY in the Industry, so that Competition can non afford them anymore. ( World Wide Web. knowldege business.com ) 4. Associating Knowledge Management to Business Aims Airtel needs to increase Customer Satisfaction and supply a consistent Good Customer Experience. The Number of Customers which Airtel is providing is really high so, they besides need to hold the Infrastructure to Cater to their Large Base Of Customers. The KM squad at Airtel should carry on a elaborate treatment with their functional caputs on their Vision of Customer Satisfaction and Customer Experience s. These elaborate treatments will take them to set up a few critical parametric quantities, which can be derived from Critical Customer-Impacting Business Processes. The purpose should be a decrease in public presentation fluctuation across parts, we should trust to accomplish by rapidly retroflexing best patterns. Reproduction of proven good patterns from within or outside the organisation is ever faster than get downing from abrasion. Capturing, Sharing and Replicating will besides guarantee the Institutionalization of best patterns: Individual Knowledge can be converted into Organizational Knowledge, which can be re-used at subsequently phase. Naturally, this will besides cut down the Organization depending on peculiar Individual Employee. Aggressive Ad Airtel should concentrate on their advertizement in a specific manner through KM, while aiming the consumer they should be really specific which section of the consumer they want to aim, the current market mark of Airtel is Generic in nature, which does non clearly speak whom are they aiming. They should be specific to Gender and most of import Age. Their rival Vodaphone have done really good in last few old ages because they have targeted the immature crowd in the market which has given them fantastic consequences. When aiming a Younger Audience their Ad should be Young in Nature so that the Particular Age Group is able to associate themselves to the Advertisement. 6. More Impetus on Research and Development Airtel is good celebrated Telecommunication Company in India, and should invariably endeavor to make more Market Research to Update their Technologies, Promotion, Targeting consumer in the market. Airtel is passing comparatively low in R A ; D when compared to its rivals which itself is a large reverse for them, even though Airtel is the Market Leader in most of the Circles they are present in. 7. Cohesive and Coordinated Approach to Decentralization Execution of Billing and Order Management Systems and High-Quality Customer Service was a comparatively straightforward component of the solution. While the Comverse Kenan systems were in topographic point to run Airtel s full concern utilizing a Two-Instances Charge and order Management platform for Postpaid and Wireline Business, De-Centralization made the Operations and Optimization of these System more Challenging. Under India ordinance, each circle was basically a separate Business Entity with Distinct Business Owners, therefore opening the door for Competing, and/or Redundant Processes. To back up this De-Centralized Organization, Airtel needs to deploy a Cohesive and Coordinated attack to Operating its Systems. Another challenge is to guarantee the Operator s Longer-Term Autonomy by constructing a theoretical account that would non trust on Third Parties for Support. ( Comverse-making web stronger ) Decision Information cognition Management System is the Backbone of an Organization. It must be integrated with all the Departments, so that the cognition can be transferred between the employees and from External Beginnings like Third Party and Rest of the World. More investings can be made in the Research and Development to develop New Technology and merchandises as per the demands of the clients. New engineering can be implemented in the bing merchandises to efficiently cut cost than developing new products.The Billing Software needs to be improved from clip to clip to do it Consumer Friendly and besides at the minute Each Circle is a Different Entity and when Government of India decides to unify all the Circles as one, the Software should be available to implement the same. New Software should besides turn to to understate the Number of Billing Cycles for the Consumer within assorted Circles. The proposed Information Knowledge Management tools can profit the organisation. Trust can be developed from the Customers and Employees if they satisfy the demands of the Customers. Consumers are concentrating more on Customer delight so merely Customer Service in the Present Day and Age. Its really of import to do them experience particular, when it comes to Telecommunication Industry. It is the right clip for Airtel to do a move and do their CRM stronger. The Professional Services Team must run into all the Challenges and Goals by flexibly turn toing Unique Operator needs. The enforced services facilitate Revenue Growth and construct trueness by supplying users with Choice, Convenience and Control. The Gross saless and Marketing Teams need to Develop Schemes to significantly better Airtel s competitory advantage at small to no extra cost by utilizing tools such as Rate Plans, Discounts, Payments, and Revenue. All this will make Loyalty among Consumers for Airtel with Choice, Convinience and Control. Appendixs APENDIX 1 APPENDIX 2 APPENDIX 3 ( Beginning: Managing cognition in project-based organisations: A cultural perspectiveA By Mian M. Ajmal )