Effective Knowledge Management Strategies for ASDA: A Report

This report provides an in-depth analysis of knowledge management strategies within ASDA, a major UK retailer and Walmart subsidiary. It begins by defining and differentiating between tacit and explicit knowledge, crucial elements for effective knowledge management. The report then explores Nonaka's SECI model, outlining the processes of socialization, externalization, combination, and internalization. The core of the report examines Cameron and Quinn's organizational culture framework, including clan, adhocracy, hierarchical, and market cultures, and assesses the most suitable culture for ASDA. It further investigates the benefits and drawbacks of communities of practice, highlighting their role in knowledge sharing and organizational development. Finally, the report concludes by addressing ethical and professional issues related to knowledge management, offering insights into how ASDA can enhance its knowledge management practices for improved performance.

Managing Knowledge
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Executive Summary:
This report has shown different types of knowledge and the ways y which effective use
can benefit an organization. It has been described creation of knowledge management and its all
main types which shows different types of linkage between tacit and explicit knowledge.
Further, it has also been shown importance of different types of organizational cultures as it
helped the company in making all processes and functions in an easy manner. Community of
practices also played an important role because they share common goals and values which
improve their relationship and an effective knowledge management.
Knowledge management is a process that shows the way of sharing knowledge and
influences of corporate culture. It can also be said that it is a system that allows employees of the
company to share information’s, communicate and update business knowledge. This present
study is based on ASDA which is the second largest retailer in the United Kingdom. It is also the
largest subsidiary of Wal-Mart. It has approximate 165,000 employees and 633 areas or
locations in which it provides its services. It has approximate 321 stores across the UK and
Northern Ireland. This study showed the main concept and two type of knowledge that are
important at both personal and professional level. It also showed some importance of managing
knowledge for both people and the company along with 4 types of knowledge creation processes
and covers ion modes. Further, this report of knowledge management described different types
of cultures such as hierarchical, adhocracy, clan and market that have several advantages,
disadvantages and purposes. Different types of organizational cultures help an organization in
managing knowledge within its workplace. Lastly, it showed ethical and professional issues
related to knowledge management and community of practices that try to solve all these
problems and make the company able to accomplish its goals.
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Table of Contents
Executive Summary: ...................................................................................................................................2
SECTION 1....................................................................................................................................................5
1.1 Tacit or Implicit:.................................................................................................................................5
1.2 Explicit knowledge:............................................................................................................................5
1.3 Nonaka's SECI model.........................................................................................................................6
1.4 Criticism of SECI Model......................................................................................................................7
SECTION 2....................................................................................................................................................8
2.1 Cameron and Quinn's core dimensions.............................................................................................8
2.1.1 Individuality and flexibility..............................................................................................................9
2.1.2 Internal maintenance or external positioning..............................................................................10
2.2 Cameron and Quinn's four cultural types........................................................................................11
2.3 Appropriate culture for ASDA..........................................................................................................12
SECTION 3..................................................................................................................................................13
3.1 Organizational benefits of communities of practice........................................................................13
3.2 Team benefits of community of practice.........................................................................................15
3.3 Individual's benefits of community of practices
..............................................................................................................................................................16
3.4 Drawbacks of communities of practice............................................................................................17
Development of knowledge management programs in businesses......................................................18
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CONCLUSION.............................................................................................................................................19
SECTION 1
Concept of knowledge
Knowledge can be defined as a concept and skills that are being acquired by experience,
education as well as practical understanding of a particular subject (Webb, 2017). Getting
knowledge is not tough but managing that knowledge and skills in an effective manner at both
professional and personal life is quite tough (Kotabe, Casper and Upadhyay, 2017). Effective
knowledge management can make an individual able to accomplish their goals and getting
whatever they want to achieve. So, it is important for people and the manager of ASDA to have
ability to manage knowledge in an efficient manner at all level of its workplace. For more
understanding knowledge it can be understood by its 2 types. There are mainly 23 types of
knowledge which is the key and central of knowledge management such as Tacit and explicit.
1.1 Tacit or Implicit:
Tacit or implicit knowledge refers experimental, subjective and cognitive learning. It is
being gained by experiences and jobs (Garrick and Chan, 2017). Some examples of this type of
knowledge is intuitions and insight that are important to have at workplace. It is personal and
sensitive context. People have to face difficulties in sharing as well as capturing this type of
knowledge. After having difficulties it can also be said that it has high value and a lot of human
interpretation and this is the reason it is hard to document and transfer.
1.2 Explicit knowledge:
This type of knowledge is digitized in documents, books, reports etc. It is a type of
knowledge which can easily be articulated, codified and accessed. This type of knowledge can
also be stored in certain media (Rogers, Revesz and Rebuschat, 2016). It is just opposite of
implicit knowledge because people do not find difficulties in sharing, transferring and
identifying knowledge as it is a type of documented information’s which can be achieved by
anyone. It is easy to share, documented and codify as it is fixed content and structured. It is
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objective, rational and technical. It is written down and accessible so, people find easy to
communicate and store in the context of knowledge management.
So, from the above discussed types of knowledge, it can be understood that knowledge
plays an important role at different level. Both type of knowledge plays a vital role.
1.3 Nonaka's SECI model
It refers a continuous combination, transfer as well as conversion of different kinds of
knowledge. In other words it can also be said that it is a creation and development of new
concepts that occur through making an effective interaction between two type of knowledge such
as tacit and explicit in the mind of people. There are mainly 4 types of knowledge creation
process by which is known as SECI model. It represents and stands for socialization,
externalization, combination and internalization. All these types of knowledge creation are
discussed in detail as below:
Figure 1: SECI model
Socialization: This type of process mainly focuses on making linkage between tacit to
tacit knowledge. New knowledge as per this process can be created by using the process of
interactions, discussing and spending time together while living in the same environment. It is
also a process of making and converting new knowledge via shared experiences (Li, Liu and
Zhou, 2018). In the context of ASDA, it can be said that it gains this type of knowledge by
interacting with its people such as: customers, stakeholders, suppliers etc.
Externalization: It is other and important type of knowledge creation process in which,
company focuses on making link between tacit to explicit knowledge. It is known that tacit
knowledge is achieved by its boundaries and experience so, new knowledge can be created in an
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efficient manner. The process of externalization is often driven by metaphor analogy and
models. Employees of ASDA make a linkage between their learning and experienced for making
a new knowledge and making working environment more innovative. It helps them out in
solving critical problems which they were trying to solve for providing better services to
customers.
Combination: It is other process in which company and people focuses on making a new
knowledge by making an effective link between explicit to explicit knowledge. In this type,
financial department of ASDA collect all necessary financial reports and information’s from
each department of the company and publics a consolidated annual financial performance
report . For getting business report, there is a requirement to make a creative use and
combination of some element and functions such as: adding, sorting and categorizing (Nonaka
and Toyama, 2015).
Internalization: In this type, company focuses on creating explicit knowledge by
making an effective use of tacit knowledge as well as sharing it to all departments and areas of
the company. It is stated that when employees read this tacit knowledge then it spread an area of
learning spiral of knowledge creation (Knowledge management System, 2019). When this type
of knowledge is socialization then ASDA tries to innovate and learn this knowledge. For
internalizing this tacit knowledge by employees of the company, ASDA provides effective
training to them. It makes all employees more able to internalize tacit knowledge after the
process of internalization.
So, from the above it can be said that the best process of knowledge creation is
externalization because in this type, knowledge become permanent as well as easier to share with
others.
1.4 Criticism of SECI Model
There are some limitations and criticism of Nonaka's SECI model of organizational
knowledge creation that has recently been described as a highly respected theory.
 It is stated about this theory that it cannot explain the ways how mind produce ideas.
 There is no description and detail about the way which can tell that how it can be
managed.
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 It is also stated that workers or employees of an organization can only learn within
parameters set by their managers and there is a limitation of self-learning.
 In the context of interpersonal barriers, it can be said that this theory is professionally
aimless.
 It is inexpressive because its documenting is not in the self-reflective manner.
 There is no description and lack of habit of sharing knowledge with different colleagues.
SECTION 2
2.1 Cameron and Quinn's core dimensions
Cameron and Quinn has made 4 dimensions and quadrant that correspond with 4
organizational cultures that differ on these dimension such as internal focus and integration
focus.
Some categories of organization cultures are:
Clan: This type of culture is being characterized by loyalty, team working and
commitment that are beneficial for all type of companies.
Ad Hocracy: These types of cultures are being characterized by innovation as well as
freedom that are required to implement for making employees more comfortable.
Hierarchical: It is characterized by stability as well as formalism.
Market: These types of culture have both advantages anf disadvantages as they focus on
goals and results. Relationship is ignored at some levels. So, it can be said that it is goal oriented
approach.
Control: In this type of culture control as well as certainty set the framework for
knowledge.
Collaboration: In this type of culture, all stakeholders are engaged in knowledge
acquisition as well as their use.
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Cultivation: In this type cultural enrichment is sought through the attainment of
knowledge-based goals.
In addition, it can also be said that organizational culture behavior and roles of the leader
of the company, ability to select the technology and outcomes. Having a Ad Hocracy type of
culture in which have supportive features, collaboration, team working, trust and learning are
more expected to engage in effective knowledge creation. So, it can be said that collaborative
culture are more effective that makes an organization able to innovate their working environment
and knowledge management.
2.1.1 Individuality and flexibility
In the context of Cameron and Quinn's core dimensions it can be said that there are 2
values of all dimensions and cultures which is known as flexibility and individuality. Flexibility
can be defined as adaptability. There are different types of changes occur in an organization and
the best culture is the one who has ability to adapt changes and make themselves according to
the changes. The ability to organize, reduce variants and errors is the best type of culture who
shows more flexibility.
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In all types of dimension individuality and flexibility defines different charactristics. In
the clan type of culture people are more co-operative, encouraged, valued and developed. On the
other hand, in the type of adhocracy ideas and people want to fun, creative, innovative and big
thinker. In the next type of dimension of hierarchy Came Cameron and Quinn's work is being
done according to rules, procedures, systems and methodologies. Im the market type of culture
and dimension, results can be measured and performance can be improved.
2.1.2 Internal maintenance or external positioning
Internal process and maintenance shows the ability to minimize errors and organize
activities. It can be said that if all these are maintained an efficient manner then competitive
external positioning relative to clients. There is a strong relationship between internal
maintenance and external; positioning. If an organization and members of the company has
ability to reduce mistakes, managing all activities than it can make its position in the market. It
can take competitive advantages and can also become the market leader as well. So, it is
important for the company to includes all these features and internal maintenance in its culture
type for making a strong external position.
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2.2 Cameron and Quinn's four cultural types
According to Cameron and Quinn al types of culture are being described in detailed
manner such as:
Clan: It is called friendly culture and working environment in which people shares a lot
of common views, things and goals and treat each others as like a family member. Leaders are
positioned and viewed as a father’s position. There is a high level of collaboration, engagement
and loyalty. By caring for the people and openness to the needs of customers’ success can be
achieved (Lee, Raschke and Louis, 2016). This type of culture and organization has great value
of team working and participations.
Hierarchical: It is more structured and formalized type in which process of performing
tasks decides that what employees do. Leaders are more organized and efficiency oriented. The
main key of the success of this type of culture is formal rules and policy. There is a requirement
of smooth planning, reliable delivery and smooth execution of tasks for making it successful.
Market: It is being adopted and developed by those organizations that are more result
oriented rather relationship oriented. Leaders play different roles and act as a competitors and
drivers at the same time. The main focus on this type of culture is brand image and reputation of
the company and results. Employees in this type focus on competitive activities. Market share
and market penetration are the key of the success of this type of organizational culture.
Adhocracy: It is a more dynamic and creative working environment. People in this type
are always ready to take risks and leaders are also risks takers that make them able to help the
company in accomplishing their goals. The main key which helps in making it successful is
commitment to innovation as well as experiments. By developing new ad services, company can
become the pioneer and make itself innovative and successful (Bercea, Lakatos and Bacali,
2017).
2.3 Appropriate culture for ASDA
It is stated that Organizational culture of ASDA and corporate culture is the heart and key
of its success. It defines the way of behaving by employees and the way of performing all
functions (Corporate culture of ASDA, 2019). It also shows the behaviours and ways in which
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its colleagues treat with its customers and stakeholders. Its culture give priorities to employees
rather tasks and some of the benefits and core values are described as follows:
 Providing excellent services to customers.
 To show respect for each individual who is directly and indirectly involved with it.
 To strive for excellent.
 To act with integrity.
For knowing effectiveness of its culture it conducted a survey in which different
employees share their views. Most of the employees and customers said that its culture gives
equality and fairness at work, opportunities for all members, respect for each other and pride in
ASDA.
It follows hierarchical culture because it is beneficial as per its size and nature of the company.
It is beneficial because in this type of structure, different levels and departments are well
structured.
In the context of culture, it can be said that organizational culture of the company plays
an important role in knowledge management. Organizational culture refers some social elements
of knowledge such as beliefs, values. It also includes a shared perception of reality that it shows
the difference between the form in which things are and it should be. Organizational culture can
be divided into some levels such as;
Artifacts: It refers tangible as well as visible elements such as structure goals, climate,
furniture etc. All these things can be seen by viewers and people but may not understand that
why things are the way things are.
Espoused values: It refers those values that are espoused by leader of the company.
They most often are grounded in shared assumptions of how the company should be run. It
shows the effectiveness of the company and if there is a difference between leadership espoused
values and perceptions that it can put the company in the danger.
Assumptions: It refers the actual values of the company’s culture. It also refers views of
the world itself. For making an effective knowledge management and also making the company
successful then there is a requirement for ASDA to correlate these assumptions to a certain
extent to the espoused leadership values. So, it can be said that all these values and levels of
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organizational culture can help the company in running their functions more smoothly
(Namenwirth and Weber, 2016).
For building knowledge management framework there are some steps which need to be
followed by ASDA such as: identification of needs to manage knowledge, identification of
appropriate knowledge resources, and creation of all knowledge resources and storage of
knowledge. It can also be said that these processes and steps should be followed in a systematic
manner as all these are dependent to each other’s and are affected by several factors. Knowledge
management of ASDA is closely related as well as dependent to strategies, information
management of the company. So, making knowledge management more effective, there is a
requirement to focus on other elements and strategies as well. In the context of retail sector and
ASDA, it can be said that innovation is the main key of the success of the business which makes
an individual and company able to take competitive advantages which is the main purpose of
knowledge management.
Innovation is made up of 5 elements such as: learning, strategies, process, building
organizations and linkage that all are dependent with knowledge management as well. Digital
media, advanced technology and other human resources plays an important role in managing
knowledge and skills at different levels of the company in a very efficient manner. Skilled and
experienced workforce has tacit knowledge that is essential for the company to have for
managing knowledge.
SECTION 3
3.1 Organizational benefits of communities of practice
Knowledge management refers a system and skills to manage knowledge of employees
and the company at different levels of workplace which allows people in the company to share,
update as well as access business information’s. There are several tools and strategies that can
help the company in managing knowledge. Some tools which are being used by ASDA for
sharing business information’s and knowledge includes.
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