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Knowledge Management @ Accenture

Knowledge Management @ Accenture. Team 3 Katia Arrus Jonathan Hayes Cristian Orellana Jay Bashucky Suresh Jayaraman. Agenda. Case Introduction Theoretical Background of KM Company’s Background Knowledge Management @ Accenture Strategy and SWOT Analysis

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Knowledge Management @ Accenture

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  1. Knowledge Management @ Accenture Team 3 Katia Arrus Jonathan Hayes Cristian Orellana Jay Bashucky Suresh Jayaraman

  2. Agenda • Case Introduction • Theoretical Background of KM • Company’s Background • Knowledge Management @ Accenture • Strategy and SWOT Analysis • Knowledge Management Technology • Main issues • Analysis and Recommendations • Actual Implementation

  3. Case Introduction • Accenture had a long history of focusing on Knowledge Management (KM) • Accenture faced budget cutting and headcount reductions • More demand for KM • Preparing the launch of the Knowledge Exchange • T. Barfield (KM lead) needed to provide recommendations for future direction

  4. What is Knowledge Management? • KM comprises a range of practices used by organizations to identify, create and distribute knowledge. • Knowledge consists of: • personal knowledge and experience • published material • specific material

  5. Knowledge Management • “A form of expertise management which draws out tacit knowledge making it accessible for specific purposes to improve the performance of organizations” (Broadbent, 1997) • It must involve capturing the internal knowledge generated by a firm – its best thinking on products, customers, competitors, and processes – and sharing it.” (DiMattia et. al, 1997)

  6. Why is KM important? • Retention of knowledge • Helps organizations repeat success and prevent mistakes • In an environment in which the information is widely available, the successful players are the ones that properly leverage that asset

  7. KM - IT tools • E-Mail, Internet • Intranet • Document Management • Workflow/Groupware • Imaging • Information retrieval systems • Electronic publishing systems • Data Warehousing and Data Mining

  8. Company Background • Originated as a feasibility study for General Electric in 1953 • Arthur Andersen implemented automating payroll processing at GE • Formed as Anderson Consulting in 1989 • Accenture went public in 2001

  9. Company Background • Won 2006 MAKE Award • Other winners included: Apple, Google, Microsoft, PWC • Employees 100,000 (2005), 178,000 (2008) • Consolidated in 47 countries with headquarters location • In 2004 ROI was ranked first on the S&P 500 • Accenture’s clients include 91 of the Fortune Global 100 and more than two thirds of the Fortune Global 500

  10. Company Background-Core Values • Stewardship • Best People • Client Value Creation • One Global Network • Respect for the Individual • Integrity

  11. Economic Conditions • In 2002, the economy was in a downturn • Resulted in significant budget pressure on KM group • Many senior managers left; 30% of all KM managers left or were laid off • Pressure to offshore to reduce costs (India and Philippines) • Focus on short term as opposed to long term

  12. Knowledge Management @ Accenture • Strong focus on Knowledge Management • Formal KM strategy adopted in 1990 • By mid 90’s, thousands of knowledge repositories had been built using Lotus Notes • KM system becoming inefficient

  13. Strategy Session • A strategy session was held in 2004 • Goal was to determine the future of KM at Accenture • Knowledge Management Strategy: • “Drive value from knowledge to enhance revenue, reduce cost, and foster innovation” • Knowledge Management Vision: • “To create a world class knowledge-sharing culture and environment that contributes to Accenture’s success”

  14. Knowledge Management Framework

  15. SWOT – Strengths • Successful company with a global presence • Existing enablers: Knowledge Exchange, myLearning, Accenture methodology • Inherent belief in relevancy of KM • Corporate support for KM from CEO to upper and mid level management • Historical success of KM at Accenture

  16. SWOT - Weaknesses • Unorganized tools and technologies in the KM infrastructure • Difficult to share and access information • Lack of ownership in KM area • Failing to capture knowledge as employees leave the company

  17. SWOT - Opportunities • Increased employee retention and job satisfaction • Decreased knowledge drain • Great tool for new employees • Further industry leadership position on KM • Turn knowledge into Intellectual Capital • Business Opportunities

  18. SWOT - Threats • Tough economic environment • Need to demonstrate ROI • Ineffectively applied capital • Short project life cycles

  19. KM Current Technology • Implemented Lotus Notes across the organization • Every Business unit has their own database • Each unit was responsible for managing and updating their content • Late 90’s Web-based access was enabled

  20. Issues with Lotus Notes – Current KM • Lack of usability – Less User friendly • Lack of awareness of system capabilities and content • Inefficient search process – Lead to duplication of documents • Lack of consistency in document templates • Lack of clear governance structure: responsibility for the documents was not clearly defined

  21. Issues with Lotus Notes – Current KM • Procedures were not in place for managing the system (content / documents. No records retention: archival process inconsistent and very manual) • Every business unit created their own portals, and by the end of 2003, several disparate systems / databases were created • Cost of maintenance was increasing

  22. New KM Technology • New system will provide consistency across organization and will save time and money for managing the system. • New Architecture will eliminate the decentralized Lotus notes environment. • The new architecture is based on MS – Sharepoint technology.

  23. New Architecture

  24. New KM Technology • Will Address specific business goals • Simple End-User experience • Improve Search and Browse Features – Concept of Metadata • Centralize development and operations of the Accenture Knowledge and Simplify content management • Single point of entry - A Web Portal

  25. Expected outcomes of the new KE system • Major enhancements • Enhanced search results • Elimination of content duplication (caused by decentralized applications) • Improved visibility to innovations across all groups • Increased usability (because of a consistent user experience) • Consistent archival process (that is no longer manual intensive)

  26. Challenges in implementing this system • A strategy need to be developed to address change management • Need to address cultural barriers – Converting tacit knowledge into explicit knowledge • Design a system to match what user’s want. • Make them part of the implementation team

  27. Alternatives and Considerations • Continue with improved Lotus Notes • Adopt the new Knowledge Exchange • Do Nothing

  28. Alternatives and Considerations • Continue with improved Lotus Notes • Decentralized portals for different groups within the organization • Works well, but could have room for improvement • Can be confusing and may potentially lead to miscommunication and duplication of work

  29. Alternatives and Considerations • Adopt the new Knowledge Exchange • Needed to centralize information • Important to have clear governance structure for new KM • End- user strategy is key • Better organization of knowledge leads to higher job satisfaction and less time spent training

  30. Alternatives and Considerations • Do Nothing • Lose knowledge • System may become unmanageable • No investment required

  31. Alternatives and Considerations • Continue with improved Lotus Notes • Adopt the new Knowledge Exchange • Do Nothing • Other? What would you do?

  32. Team Three Recommendation • Go to new KM structure

  33. Implementation – Big Picture • Ensure upper management is on board with KM goals • Create a team with stakeholders from key areas • Implement to specific pockets of organization first on a trial basis, then apply to organization

  34. Implementation - Specifics • Edit existing content to ensure a proper base • Ensure template usage for content • Ensure proper labelling (typology) is followed: want general descriptions not jargon • Support entire cycle, from proposal to delivery

  35. What happened • Re-architecture of system using MS and Avanade (MS supplier) products and processes • Created a team to handle the project • Submit using a standardized template • Easy access to KM from company portal • Created a “download cart”; once done ‘shopping’, files are zipped and downloaded

  36. What happened • Manually updated files: from 200k to 80k • Went from 40 servers to 10 • Piloted to 1000 users before entire company • Kept legacy system for 90 days, then decommissioned • Search function improved to include source categories and improved ‘deep searches’

  37. Questions

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