A Comparative Case Study of Knowledge Resource Utilization 247Copyright © 2005, Idea Group Inc. Copying or distributing in print or electronic forms without writtenillustrates the value of consolidating data resources. The practice allowed the firm to
eliminate unneeded jobs and equipment, thus saving the company time and money.
In Xerox, the organization experienced difficulties in gathering and disseminating
ideas and tips to other field technicians. This case illustrates problems generated due to
“space-based amnesia.” This form of forgetfulness occurs when an organization fails to
move or disseminate lessons learned at one point in the company to other points in the
same firm. Xerox displayed this behavior with regard to its technicians having to find
answers to problems that technicians in other areas had already solved. There was no
medium for the technicians to communicate and share their experiences with one another.
The net effect was technicians continuously “reinventing the wheel.” Xerox addressed
its knowledge needs by implementing the Eureka database to share process knowledge
and tips among its employees across time and space.
ChevronTexaco presented a different perspective for measuring success knowl-
edge. The corporation’s ERMS has been in for less than a year. It is too early for the
company to gather enough information to give a monetary figure (i.e., ROI) on the new
system’s success or failure. However, the view that a project has to be justified with a
solid business case that includes an estimated ROI may not be the right way to think about
measuring the project’s payoffs (Sawhney, 2002).
In this instance, CT uses metrics such as time saved by inspectors in checking
measurements for accuracy and ensuring that correct information is continually being
entered and recorded. The company sees value in being able to create better forecasts
for declining refining piping. Such forecasts allow the corporation to avoid unnecessary
replacement of piping that had no need to be replaced.
Success is ultimately measured by what the project accomplishes (Worthen, 2002).
In the four cases presented in this chapter, the ends met the expectations each firm
desired. This could include a high ROI or it could just be the benefit of creating a system
that helps a corporation’s employees do their job better. However, for those companies
that do look at monetary benefits, a Meta Group study of 63 companies found that the
average annual savings from a new consolidated system, in this case an ERP system, was
$1.6 million (Koch, 2002).
CONCLUSIONS
This chapter investigates the practice of consolidating data and information to
establish knowledge repositories necessary for organizational learning. The discussion
argues the importance of existing knowledge resources in relation to the organization’s
ability to be competitive. The practices for three learning organizations are reviewed and
compared. Additionally, knowledge sharing and common practices at CT refineries are
described.
A review of all four cases is used to offer insight into the value of consolidating and
centralizing knowledge resources. A comparison of the organizations provides evidence
to show that corporations of different sizes and across different industries can become
a learning organization by maximizing opportunities to utilize knowledge resources,
thereby creating more efficiency within their companies. While each company followed
different paths to get to their end, each share the strategy of consolidation of company
data and resources.