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Implementing Innovation Management Under the CICM Model

BACKGROUND

The goal of the knowledge management (KM) stage under the Comprehensive Intellectual Capital Management (CICM) model is to manage the knowledge resources of the organization, whether explicit or tacit, and whether generated by human or customer capital, for value creation. The main goal is to ensure the organization has the requisite resources to enable its production, innovation, or effective decision making. Implementing KM under CICM is based on the defini­tion of KM as the process of managing knowledge raw resources for production. This achieves the following purposes:

•   Recognizes KM as one stage of a comprehensive or total model of ICM where the organ­ization deploys its resources to make new products (manufacturing businesses), new services (for service industries and customer service businesses), and for effective deci­sion making (for public services, e.g., defense).

•   Includes KM as part of the management objectives in the overall business plan of an organization, namely preserving, maintaining, and growing the knowledge resources required to sustain the operations of the organization.

•   Provides managers with a methodology and a business case for KM that is easy to explain and justify for top management to secure funding. It drives home a familiar understandable message - who would argue with the need to manage tangible raw resources? Similarly, to sustain the main production process of a knowledge organiza­tion, the raw knowledge resources should be managed and renewed. Like tangible raw resources, it is important at all times to know the knowledge resources an organization has, maintain an inventory in a way that preserves and improves its value, ensure avail­ability and quality of future supply, and develop strategies that enable the deployment of resources to respond quickly to market needs.

Taking this stage to the practical level, the rest of this chapter will first define management objec­tives that should be set for a KM program, the main processes to implement at the KM stage, and a step-by-step implementation guide.

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