Bachelor of IT: Knowledge Management Systems Report - UPS Evaluation

This report provides a comprehensive analysis of the knowledge management system (KMS) employed by United Parcel Service (UPS). It begins by outlining UPS's goals and the KMS-related problems it faces, particularly concerning data capture and usage. The report distinguishes between tacit and explicit knowledge within UPS, providing examples and justifications for each type, and evaluates the company's current approaches to managing both. The analysis incorporates the BTOPP framework to assess the benefits, tools, organizational structure, people, and processes involved in the KMS. The report recommends the implementation of GPS to enhance communication and data flow. The report also evaluates specific KMS initiatives, such as the use of the Nonaka and Takechi model for knowledge creation and conversion and offers key recommendations for knowledge sharing, acquisition, and creation. Finally, it addresses the ethical and legal considerations related to data capture within the KMS, emphasizing security, consent, and compliance with data protection regulations. Overall, the report highlights the importance of KMS for UPS's operational efficiency and competitive advantage.

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Knowledge Management System
Student’s Name
Course
Professor’s Name
Institution’s Name
Institution’s Location
Date

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TABLE OF CONTENTS
Knowledge Management System........................................................................................3
Introduction..........................................................................................................................3
Part A: Research and analysis of findings.....................................................................3
The BTOPP Framework..............................................................................................5
Part B: Evaluation of the knowledge management system..........................................6
KM initiative.................................................................................................................6
Key recommendations for the use of the KM system...............................................8
Ethical and legal issues in capturing of data.................................................................9
Summary...........................................................................................................................9
References...........................................................................................................................10

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Knowledge Management System
Introduction
The knowledge management system is depicted as any form an Information Technology
system whose central purpose is collaboration improvement, using knowledge, locating the
sources, storing and retrieving knowledge (McInerney and Koenig, 2011, pp.1-96). Companies
and business managers can adopt any of kind of the knowledge management system that is
centred on technology to boost the level of awareness of critical factors that determine the
performance of a firm through sufficient data capturing, data management, and data usage while
upholding the ethical and legal considerations associated with data collection. Therefore, the
report seeks to examine the mentioned aspects by considering the case study of United Parcel
Service (UPS) concerning knowledge management system through research and analysis of the
organisation’s performance as illustrated in the sections below.
Part A: Research and analysis of findings
The goals of the United Service Parcel Organization is to grow its businesses by serving
the logistics needs of its clients while offering excellence and value in all its operations. The
company also aims to inspire stakeholders to do their best by creating opportunities for personal
development and success. However, the company is encountering the problems of developing
and growing information and technology systems to progress its competitive advantage in the
market. The problem is directly related to knowledge management due to the shortfall in data
capturing and usage. Additionally, the company experienced strategic difficulty in the means to
grow their air service business calling for concerns about whether to continue with astringent air
services from other suppliers or to obtain a different firm.

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On the other hand, the types of knowledge central to KM are the tacit and explicit
knowledge (Laal, 2011, pp.544-549). The tacit knowledge is embedded in the human mind
through the experience and the jobs such as personal wisdom and insights among others. Another
type of knowledge is the explicit knowledge digitized and codified in reports, documents, books,
and memos, which is easily identified, articulated, shared, and employed. The following is an
example of the UPS Company.
Tacit knowledge Explicit knowledge
Example Good communication skills and customer
service by the drivers making deliveries
and parcel pick-ups.
Multiple wireless connectivity
services in DIAD IV (Delivery
Information Acquisition Device)
Justification The knowledge is personal and
internalised
The knowledge is structured and
externalised.
Table 1: Example of tacit and explicit knowledge
The UPS Company is performing well in addressing the tacit knowledge using On Demand
Service (ODS) system on DIAD, which enables communication with driver thus facilitating
faster dispatch and pickup of parcels. The company is also addressing explicit information
through the powerful features of the DIAD such as the wireless Bluetooth personal area network
and an infrared (IrDA) port, which communicates with customer PCs/ printers and peripheral
devices. To capture and manage data precisely, the company should create a platform where the
customers can build their accounts entitled to the company upon which they can log in and make
orders for parcel pickups and deliveries with powerful security features for protecting the clients’
information as a provision for business ethics.

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The BTOPP Framework
Benefits: The new information technology is expected to align with customer demands to
secure market opportunities through meeting internal needs for information sharing thus
strengthening the value chain that reflects customer satisfaction (Venkatraman and Venkatraman,
2018, p.36).
Tool: This revolves around the hardware and the working software, in essence, the
technology that is configured and networked with other business systems to facilitate the
exchange of information to the right people at the right time.
Organisation: The Company should be structured and restructured to obtain the most out
of the information technology bases.
People: The business partners, customers, and employees must learn how to use the
system of information to get the job done timely and satisfactory.
Process: The business processes must be tailored towards focusing towards the end of
service delivery and continually reflecting on the changing conditions.
In my opinion, the company could be heading in the right direction if it implements the
use of Global Position Satellite to boost its technology infrastructure to replace the ODS that is
relied upon on the DIAD which would also be a sufficient incentive for knowledge sharing
among other services. However, measuring of benefits having a KM system in place would be
based on the time taken for service deliveries, the rate of new customers in comparison to the
past, which jointly reflect the performance in the market. Therefore, l would recommend that
UPS should implement the use of GPS that would enhance communication between the data
centres with the drivers, between the drivers and the customers and between the customers and

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the data centres since it is the basis of operations at the company. This can be facilitated through
the deployment of an integrated KM cycle as shown in the figure below.
Figure 1: Integrated KM cycle
The system would be most useful as it is entirely centred on knowledge capture, knowledge
creation, and conceptualisation.
Part B: Evaluation of the knowledge management system
KM initiative
One of the KM initiatives for the UPS is to develop a competitive advantage by securing
of more customers and delivering services that are more satisfactory to the customers through the
transfer of knowledge across the industry, which would improve the image and reputation of the
company. Moreover, this initiative would be anchored on the Nonaka and Takechi model of KM,
which is central to knowledge creation, and the management of coincidence (Foote and Halawi,

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2018, pp.89-97). The model entails four different models that facilitate knowledge conversion
which is the socialization or the tacit to tacit model (indirect way), the externalization or the
implicit to explicit (indirect to direct method), combination or explicit to explicit (direct way),
and the internalization model or the explicit to tacit (direct to indirect way)
Figure 2: The Nonaka and Takechi model of KM
From the figure, socialisation is a method that enables tacit knowledge to be shared by
formal and informal participation in groups and communities, practice, initiation, and
observation. The process is coupled with virtual and physical creation of space where the
community can interact on a social platform. On the other side, an externalisation is an approach
that enables expressing of tacit knowledge into concepts of explicit knowledge. Since tacit
knowledge is majorly internalised, the process is essential for the creation and sharing of
knowledge. Concisely, the combination is a method that facilitates the integration of concepts
into a knowledge management system. Examples from the UPS include trend analysis of the

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number of deliveries made within a given period, the DIAD’s ability to integrate the ODS and
the IrDA that facilitates communication between the databases and the peripheral devices
whereas internalization is an approach of embodying explicit knowledge into tacit knowledge
(Sasgratella and Polzonetti, 2018, pp.211-222).
Key recommendations for the use of the KM system
The primary recommendations for the use of the KM system are centred on the three
tactical KM practices, which are knowledge sharing, knowledge creation, and knowledge
acquisition.
Knowledge sharing: The UPS Company should articulate on the needs, guidance,
access, awareness, and the completeness of the sources of knowledge concerning explicit
knowledge (Barley, Treem, and Kuhn, 2018, 278-317). The tacit knowledge should be
effectively codified to avoid losing its essence that makes valuable aspects of supporting the
work relationships. The company should also utilise knowledge reuse that would enable the
sharing of information among the work producers, work practitioners, expert seeking novices as
well as the miners of secondary knowledge.
Knowledge creation: UPS should enable the creation of knowledge, which is reliant in
collaboration and access to pertinent data and information through implementing suitable work-
related environments. This would entail the provision of access to IT systems such as groupware
that facilitate data mining.
Knowledge acquisition: The Company should device means that increase the range of
data acquired externally from the mergers, partners, competitors, suppliers, and customers such
as platforms for reviews and user accounts for the mentioned stakeholders. The tools that would

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enable that include interaction and socialisation, setting up right incentive systems, and cultural
alignment for joint ventures or mergers.
Ethical and legal issues in capturing of data
The process of capturing data in the KM system should have security features and
measures that protect the data obtained from the suppliers, customers, and any other relevant
stakeholders’ integrity. Disclosure of the information could lead to heavy implications such as
legal actions since disclosing information can lead to mental or physical harm as well as
deformation. Concisely, capturing data should consent to the responded where they are informed
on the purpose of obtaining the data, and the usage of the data. Additionally, before obtaining the
data, the company should be authorised whereby the relevant agencies or authorities evaluate
their data protection measures before they are permitted to collect and store data as a required of
the legal and ethical code of data capturing (O'Keefe & Brien, 2018).
Summary
Knowledge management systems are essential in ensuring knowledge creation, sharing
and creation. The flow of knowledge in a company is a primary practice that ensures the
coordination of different operations among the clients and the services providers. Through the
use of IT systems, knowledge management can aid in the integration of various frameworks such
as BBTOP that are critical in the evaluation and synthesising of business performance in terms
expanding of the market shares through the fulfilment of customer needs. Achieving such
objectives requires knowledge management system for storing, retrieving, improving
collaboration, locating the knowledge sources, mining repositories for hidden knowledge,
capture, and use of knowledge.

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References
Barley, W. C., Treem, J. W., and Kuhn, T., 2018. Valuing multiple trajectories of knowledge: A
critical review and agenda for knowledge management research. Academy of Management
Annals, 12(1), 278-317.
Foote, A. and Halawi, L.A., 2018. Knowledge management models within information
technology projects. Journal of Computer Information Systems, 58(1), pp.89-97.
Laal, M., 2011. Knowledge management in higher education. Procedia Computer Science, 3,
pp.544-549.
McInerney, C.R. and Koenig, M.E., 2011. Knowledge management (KM) processes in
organizations: Theoretical foundations and practice. Synthesis Lectures on Information
Concepts, Retrieval, and Services, 3(1), pp.1-96.
O'Keefe, K. and Brien, D. O., 2018. Ethical data and information management: concepts, tools
and methods. Kogan Page Publishers.
Sasgratella, M. and Polzonetti, A., 2018, January. Best Practice in Advanced Enterprise
Knowledge Engineering. In International Conference on Information Theoretic Security (pp.
211-223). Springer, Cham.
Venkatraman, S. and Venkatraman, R., 2018. Communities of Practice Approach for Knowledge
Management Systems. Systems, 6(4), p.36.