importance of tacit knowledge for an orgnaisation in a resource perspective
categories of workforce:
transformational workers: who extract or convert raw material
transactional workers: whose jobs involve interaction
tacit workers: They are workers who require high skills of judgement,their role is not based on a set of rules." At the turn of the century they made up 41% of the jobs, but had been growing 2.5 times faster than the transactional jobs and 3 times faster than employment in in the entire national economy".
This is something i found in my random reading. I felt it provoked a lot of thought. If you think about it many organisations underestimate the value of the tacit knowledge available in their employees. The employee sometimes feels unattached to the process and looks for greener pastures and join another company instead. The other company sees this employee as an invaluable resource and offers a much higher salary.
How did the value of the employee increase and why didn't the former company realise it? Every firm pays an experienced employee at joining stages according to the experience he has. But do they update it as per the knowledge gained within the company? They generally choose to ignore that and recruit for fresh talent instead hoping to pay the graduate much lesser and get fresher ideas. But is it really a good deal or are we missing out?Will the company be better off concentrating on employee rentention
the following is something else which provoked thought. Its a table from the quest of resilence by Gary Hamle, visiting professor at LBS, Oct '04
values side effect
focus on subject SPECIALISATION limited cross boundary learning
Conformance STANDARDISATION limits innovation
Discipline HIERARCHY overvalues experience and undervalues new thinking
incentive & encourages EXTRENSIC REWARDS discounts self organisation & volunteerism
What i found interesting here was that these points among our discussions in our seminars. But This table shows that there is a trade off. Both the values and side effect shows different needs for the organisation. Similar to how the comapany needs experienced people and new people , but fails to retain their own experienced people.
What i understood is that its a trade off you have to make. The only thing that decides what direction you want to go is your company's strategy, goals and culture. There cant be a fixed pattern to whats right and whats wrong. Obviously Knowldege sharing is important but there might be situations where priorities can be different.