ࡱ> `bjbj 8V%8$ Ӷ:>"```;;;$h'$iD;;DD$`` D`` D  0` pr>P$0ӶtlޝH^>;0k" ;;;$$;;;ӶDDDD  $ t6J 2nd Special Focus Symposium on ICESKS: Information, Communication and Economic Sciences in the Knowledge Society Zadar, November 13th to 14th, 2008 HRM practices in managing knowledge workers Ing. Martin `ikY, Department of Personnel Management, Faculty of Business Administration, University of Economics, Prague, Winston Churchill Sg. 4, 130 67 Prague 3, Czech Republic,sikyrm@vse.cz Prof.dr.sc. Damir Boras, Faculty of Philosophy, University of Zagreb, Croatia Ljubica Baki-Tomi, Ph.D. Faculty for Teachers, University of Zagreb, Croatia,  HYPERLINK "mailto:lj.bakic-tomic@ufzg.hr" lj.bakic-tomic@ufzg.hr Abstract What resources are the most important for an organization? That is knowledge and its owners so-called knowledge workers. If an organization wants to be successful, i.e.prosperous, competitive and flexible, its managers must find out an efficient and effective way tomanage knowledge workers whose knowledge helps the organization to achieve expected objectives. Knowledge workers may be managed successfully through common and proven Human Resource Management (HRM) practices in job design, recruitment, selection andorientation, performance management, compensation, training and development. These andothers HRM practices help the organization and its managers to create conditions forefficient and effective management of workers and their knowledge, including voluntary andmutual creation, sharing and use of knowledge inthe organization. Theaim ofthispaper is to apply the theory and practice of Human Resource Management tothe theory and practice ofKnowledge Management and propose a possible way of using HRM practices in managing knowledge workers and their knowledge in the organization. Thepaper is written onthe basis ofavailable literature and authors opinions and experience. Key words: Human Resource Management practices, Knowledge Management, knowledge workers. 1. What is knowledge? What is knowledge? The answer to this question is not so simple and unambiguous. Theword knowledge is commonly used in many different meanings (awareness, familiarity, understanding, comprehension, experience, etc.). To define knowledge, wecan use the fact that knowledge is always knowledge of something, has its object, andknowledge of someone, has its subject (Tondl, 2002). The object ofknowledge is a certain sequence ofsymbols that describe elements and matters of the real world. We usually call this sequence of symbols data. The subject of knowledge is a source of knowledge (he/she/it creates, disseminates and mediates knowledge) or a receiver ofknowledge (he/she/it acquires and uses knowledge). The subject of knowledge is able todemonstrate his/her/its knowledge in some way. One ofthe possible ways of demonstrating ones own knowledge is to create and use purpose-built stores of data that we usually call databases. A typical subject ofknowledge is a human being that creates and uses various databeses in various forms suchas documents, periodicals, books, paintings, pictures, multimedia presentations, computer systems andalso (and maybe above all) in one's own memory. We create and use databeses to collect, transfer, store, transform and present data inorder to satisfy our actual information need. The information need means our demand tolearn something new and is satisfied at the moment of use of information content ofdata. Weuse data, interpret data and ascribe some meaning to data. In this moment data changes intoinformation that satisfies our actual information need and brings us profit. We can use information in the process of decision making (information reduces uncertainty orignorance), in the process of communication (information makes possible to share itsmeaning) and in the process of learning (information supports generation anddevelopment of new knowledge). But if we want to use information, we must be able tointerpret available data, ascribe some meaning to data and use the information content ofdata. And just this ability we have thanks to our knowledge. In view of above-mentioned facts wecan define knowledge as our ability to use available resources of data or (if you like) information and our others skills, abilities and experience to solve problems intheprocess ofdecision making, communication and learning. From the organization's point of view, knowledge is the ability to achieve expected objectives. It is the ability to implement answers to questions Why? How? What? Where? When? Who? How much? etc. Iftheorganization has answers to mentioned questions, it has information. If the organization has the ability tochange answers to mentioned questions (it means information) into efficient and effective action that will lead to achieving expected objectives, it has knowledge. Information andknowledge together determines the success of the organization. To have information means to know. To have knowledge means to be able. For example, ifweknow what product customers want, but we are not able to produce it efficiently andeffectively, we can not be successful as well as if we are able to produce ourproduct efficiently and effectively, but we do not know what product customers really want. To gain access to needed information, the organization usually uses quality information systems (IS). To gain access to needed knowledge, the organization usually employs qualified workers. Information stored in databases of information systems and knowledge stored inthememory of workers arestrategic resources of the organization. If the organization wants tobe successful, it must find out an efficient and effective way tomanage both itsinformation resources (i.e. information systems and their information) and its human resources (i.e. workers and their knowledge). Available knowledge of the organization may be divided into explicit knowledge and tacit knowledge (Mldkov, 2005). Explicit (expressible) knowledge is stored indatabases ofinformation systems. It is relatively easy created, shared and used. It can be managed through management of information systems andinformation and communication technologies (IS/ICT). Tacit (hidden) knowledge isstored in memory of workers. Itdevelops frominteraction of explicit knowledge and other knowledge, skills, abilities andexperience of workers. It is not easy created, shared and used. It can be managed only through management of individual workers. So that Knowledge Management (process ofmanaging knowledge) requires both efficient and effective Information Management andefficient andeffective Human Resource Management. 2. What is Knowledge Management? Knowledge Management is the process of managing knowledge (both explicit knowledge andtacit knowledge) intheorganization. Theobjective is to improve storing, creation, sharing and use ofknowledge in the organization and so improve performance ofindividual workers and the organization as a whole. Knowledge Management is concerned with the state ofknowledge and with the flow ofknowledge (Trune ek, 2004). The state of knowledge isrelated to storing andaccessibility ofknowledge in the organization. Explicit knowledge isusually stored indatabases ofinformation systems and is relatively easy accessible. Tacit knowledge isstored only inthe memory of workers and is not easy accessible. The flow ofknowledge isrelated tocreation, sharing and use ofknowledge in the organization. Explicit knowledge iscreated, shared and used through information systems and information andcommunication technologies (IS/ICT). Tacit knowledge is created, shared and used through interaction andcommunication among workers. The application of Knowledge Management in the organization results from the business strategy whose objectives and practices are specified in the information strategy andinthehuman resource strategy. The information strategy defines objectives andpractices formanaging information resources (i.e. information systems and their information). Itdetermines the way of managing explicit knowledge in the organization. The human resource strategy defines objectives and practices formanaging human resources (i.e.workers andtheir knowledge). It determines the way of managing tacit knowledge intheorganization. The application of Knowledge Management in the organization leads toefficient andeffective management of information and human resources andsoleads toefficient andeffective management of explicit and tacit knowledge. 3. Who is a knowledge worker? A knowledge worker is a worker that has some specific knowledge. This specific knowledge isfundamental to successful operation of the organization. The organization must employ asuitable knowledge worker to gain access to the specific knowledge (Mldkov, 2005). Aknowledge worker is able to use his/her specific knowledge in practice. The specific knowledge may be partly subconscious and a knowledge worker does not need to be aware ofthe importance of his/her specific knowledge to the organization. The access of others tothe specific knowledge may be limited. Others do not need to be able to learn the specific knowledge because of lack of their own skills, abilities, experience, interest, time, money, etc. or their access to the specific knowledge may be restricted by certain rules. If we want to decide who is a knowledge worker, we must take into consideration not only one's own knowledge and his/her willingness to create, share and use the knowledge, but also one's job (role) in the organization. In other words, theparticularity andimportance of one's own knowledge tosuccessful operation oftheorganization must be always viewed inthecontext ofone's job (role) in the organization. Every worker who has required knowledge andiscompetent andwilling to create, share anduse the knowledge to perform successfully inhis/her job (role) in the organization must be taken as a knowledge worker. Forexample, aknowledge worker may be a charwoman as well as a Chief Executive Officer (CEO) ifthey have the required and specific knowledge to perform successfully in their jobs (roles) inthe organization. If the CEO has lack of required and specific knowledge to perform his/her work, he/she is useless and redundant. However, the same is not true inthecase ofthecompetent and willing charwoman that works excellently and what is more, shebrings up ideas that improve her performance. Such workers are required and theorganization does its best to find, employ and keep them. 4. How to manage knowledge workers? Following above mentioned facts, it is quite clear that if an organization wants to be successful, i.e.prosperous, competitive andflexible, its managers must find out an efficient and effective way tomanage knowledge workers (below only workers). The workers own specific knowledge that helps the organization to achieve expected objectives. Theknowledge, that is fundamental to successful operation of the organization, is mainly tacit (hidden) knowledge that is stored only in the memory of workers, is not easy accessible andiscreated, shared and used only through interaction and communication among workers. To gain access to the knowledge, the organization must find out an efficient and effective way tofind, employ and keep qualified workers that will be competent and willing to create, share and use their knowledge to perform successfully in their jobs (roles) in the organization. Inthis case, the organization needs efficient and effective Human Resource Management (HRM) andproven HRM practices especially in: job design, recruitment, selection andorientation, performance management, compensation, training and development. These HRM practices help the organization and its managers to create conditions forefficient andeffective management of workers and their knowledge, including voluntary and mutual creation, sharing and use of knowledge intheorganization. 4.1 Job design Job design is the process of defining tasks and grouping them together to form particular jobs in theorganization. In view of efficient and effective management of workers and their knowledge intheorganization, it is important to design jobs that will meet needs both the organization andworkers. Jobs in the organization must be motivating complex, various, significant, autonomous and using regular feedback (DvoYkov et al., 2007). Acomplex job isintegrated and meaningful, with visible output. A various job makes possible to do various activities and use various practices and so use and develop one s own knowledge, skills, abilities and experience. Asignificant job gives certain influence on the internal and external surroundings oftheorganization. A autonomous job makes possible to control ones own work and act relatively independently. Using regular feedback about actual performance andworking conditions from managers to workers andfrom workers to managers enables managers and workers to improve performance and working conditions ofindividual workers and the organization as a whole. Motivating jobs evoke the sensation of usefulness, importance, responsibility, fellowship andmake possible to use and develop ones own knowledge, skills, abilities andexperience. They create conditions for voluntary and mutual creation, sharing and use of knowledge intheorganization. 4.2 Recruitment, selection and orientation Recruitment is the process of seeking suitable applicants for potential employment intheorganization. Selection is the process of identifying the probably best applicant who has required knowledge, skills, abilities andexperience and will be competent and willing toperform successfully in the job. Orientation is the process ofadaptation of the new worker to conditions and requirements of the job and theorganization. In view of efficient and effective management of workers and their knowledge intheorganization, it is important during recruitment, selection and orientation of workers topay attention to workers personal characteristics. Workers must be able and willing tocooperate and communicate and accept the way of sharing their knowledge (skills, abilities andexperience) based on reciprocity, reputation and altruism (Mldkov, 2005). Reciprocity means thepractice of voluntary and mutual sharing ones ownknowledge in return forknowledge received if necessary. Reputation means the practice ofvoluntary and mutual sharing ones ownknowledge in return for making a good reputation asaqualified worker. Altruism means the practice of voluntary and mutual sharing ones ownknowledge in return for the sensation of doing something important and useful. To assess required personal characteristics of applicants and workers we can use interview, psychological tests or assessment centers. The ability and willingness of workers to cooperate and communicate and accept the way ofsharing thein knowledge (skills, abilities andexperience) based on reciprocity, reputation andaltruism create and improve conditions for voluntary andmutual creation, sharing and use of knowledge intheorganization. 4.3 Performance management Performance management is the process of permanent improving performance (abilities, activities andoutputs) of individual workers and the organization as a whole. The process ofperformance management has usually three repeating stages performance agreement, performance management, performance appraisal through which managers ensure thatworkers abilities, activities and outputs are consistent with expected objectives oftheorganization. The first stage performance agreement includes a written or verbal agreement between amanager and a worker about particular aspects of performance (abilities, activities andoutputs) that are relevant to requirements and objectives of the job and the organization. Theagreement is always for a certain period (usually for one year). Inview of efficient andeffective management of workers and their knowledge intheorganization, it is important to agree with the worker also ontraining and development of his/her knowledge, skills, abilities andexperience necessary for successful performance in the job. The second stage performance management means everyday management of the worker to meet given requirements andachieve expected objectives of the job and the organization. Inview ofefficient andeffective management of workers and their knowledge intheorganization, itis important to lead the worker to voluntary and mutual creation, sharing and use of his/her knowledge. Thethird stage performance appraisal provides feedback from the manager totheworker and from the worker to the manager through the appraisal interview at the end of the agreed period. The purpose is to appraise the workers performance (abilities, activities andoutputs), find way to solve eventual problems and agree on performance requirements and objectives for the next period. Inview ofefficient andeffective management of workers and their knowledge intheorganization, itis important to evaluate actual level of workers knowledge, skills, abilities andexperience necessary for successful performance in the job aswell as the workers ability and willingness to cooperate, communicate and accept thevoluntary and mutual creation, sharing and use of knowledge intheorganization. The process ofperformance management is essential for efficient andeffective management ofworkers and their knowledge intheorganization. 4.5 Compensation Compensation is the process of offering compensation to workers for work done. Amodern compensation system includes both monetary compensations (wages andsalaries) and non-monetary compensations (appreciation and benefits like cars, notebooks, mobile phones, flexible hours, homeworking, housing, insurance, sick leave, medical anddental care, vacation, holidays, leisure activities, training, etc.). In view of efficient and effective management of workers and their knowledge intheorganization, the applied compensation system would have been fair and stimulating tofind, employ and keep qualified workers and motivate them to create, share and use their knowledge in the organization voluntarily and mutually. The offering monetary and non-monetary compensations should also motivate workers to permanent and systematic improvement of their performance, knowledge, skills, abilities andexperience. 4.6 Training and development Training is the process of learning knowledge, skills, abilities andexperience that enable workers to perform successfully in their jobs. Development is the process of learning knowledge, skills, abilities andexperience that enable workers to meet changes in conditions and requirements of their jobs. The process of workers training and development must be permanent and systematic. In view of efficient and effective management of workers and their knowledge intheorganization, it is important to motivate workers to permanent and systematic training and development of their knowledge, skills, abilities and experience. Workers who have some specific knowledge, skills, abilities or experience should be involved in the proces of workers training and development as lectors. It increases motivation of the workers as well as improves conditions forvoluntary and mutual creation, sharing and use of knowledge intheorganization. Conclusion The efficient and effective Human Resource Management (HRM) and the use of proven HRM practices in job design, recruitment, selection and orientation, performance management, compensation, training and development can help the organization and its managers to create conditions for efficient and effective management of workers and their knowledge inthe organization. In view of voluntary and mutual creation, sharing and use ofknowledge inthe organization, it is important: to design motivating jobs (complex, various, significant, autonomous and using regular feedback) that will meet needs both the organization and workers, to recruit, select and orientate workers paying attention to their personal characteristics, especially to their ability and willingness to cooperate and communicate and accept theway of sharing of knowledge, skills, abilities and experience based on reciprocity, reputation and altruism, to apply the process of performance management based on three repeating stages performance agreement, performance management, performance appraisal and leading topermanent improvement of performance (abilities, activities and outputs) of individual workers and the organization as a whole, to apply the fair and stimulating monetary and non-monetary compensation system thatenables to find, employ and keep qualified workers and motivate them to permanent and systematic improvement of their performance as well as training and development oftheir knowledge, skills, abilities and experience, to involve workers with some specific knowledge, skills, abilities or experience intheproces of workers training and development as lectors. 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