**14. Conclusions**

212 New Research on Knowledge Management Models and Methods

**Enterprise knowledge management system**

> Knowledge base management functions (F2)

uses

**Enterprise Management Experts**

**BP managers**

*RBKTM* )()()()( (5)

);;;;( *Mlrbktm* (6)

BP knowledge management functions (F4)

Fig. 27. The major interfaces of Enterprise knowledge management system

enterprise knowledge model *M* item *m* is identified by a set of identifiers:

Cartesian product in the following way (Gudas, 2008):

resources.

business resources.

where *l ( Ll )* is time period index.

uses

Enterprise knowledge management functions (F3)

uses

BP management functions (F4)

uses

The formal description of the Enterprise Knowledge Model *M* can be expressed as the

where *T* = information technology, *K* = knowledge, *B* = business process, *R* = business

For the completeness of the model, *resources* (*R*) component was introduced into the model, as we consider knowledge as separate, but integrated enterprise aspect in contrary to the classical enterprise modelling methods which analyze knowledge alongside with other

This means, that each enterprise knowledge item *m* ( *Mm* ) in Enterprise Knowledge Model *M* is related to the appropriate business process *b* ( *Bb* ), knowledge *k* ( *Kk* ), resources *r* (*r R* ) and information technology *t* ( *Tt* ). To put it in other terms, the

Strategic knowledge management functions (F1)

**Top Manager (Executive)**

**Knowledge base administrator**

> The existing contemporary development methods of information systems that are based on enterprise modelling do not suit for the transformation of business into knowledge-based business, based on information technology.

> From the knowledge management point of view, the conception of the Knowledge-Based Enterprise embodies the vision of the more mature and more advanced enterprise and is the step towards intelligent enterprise systems. Advancement is seen here as the high formalisation degree of the knowledge management activities which results in the more efficient management and automation of business process and knowledge processes in the enterprise (Gudas, 2009).

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The Knowledge-Based Enterprise Model (KBEM) is presented by modifying Porter's Value Chain Model (VCM). The peculiarity of this KBEM is the identification of Knowledge management layer next to Business process management layer.

Interactions among layers of the KBEM are formally described as semantically different information feedback (control loops): the Process Management Cycle (*EMCp)* and the Knowledge Management Cycle (*EMCz*). The Knowledge-Based Enterprise model is represented as a modified value chain model featuring the knowledge management component.

The concepts of the *enterprise knowledge component* and *Enterprise Knowledge Space* delineates the boundaries and granularity of enterprise knowledge layers. The framework of the Enterprise Knowledge Space is based on the analysis of Enterprise domains and aspects of the various enterprise knowledge modelling approaches generalized by the following concept: the Enterprise Knowledge Component (*B*, *T*, *K*). The Enterprise Knowledge Space supports analysis and integration of knowledge about different domains and aspects of Enterprise management activities. The described Enterprise Knowledge Modelling framework is aimed to develop the method of enterprise knowledge modelling.

The developed Knowledge-Based Enterprise (KBE) framework more formally refines knowledge management activity in the enterprise and is the basis for the development of the Enterprise knowledge base, which is concerned as the main component of the KBE. Interactions among the levels of knowledge management are based on the concept of Elementary Management Cycle (EMC). The EMC concept is derived (Gudas et al., 2005) from the classical concept of control loop as the formal background for description of management information processing in the hierarchical organizational systems (Gudas, 1991).

The presented framework of the Knowledge-Based Enterprise Management System's architecture is aimed to the development of the practical methods for the Knowledge-Based Enterprise modelling and implementation.

The peculiarity of the KBE model is that it reveals another - knowledge management level and defines interactions between those two management levels of the enterprise, using the same EMC concept. The knowledge management layer of the KBE model contains a hierarchy of the knowledge management activities, defined as the particular types of the EMC. All defined types of the EMC have their own semantics (Gudas, Brundzaite, 2007).

Another important feature of the developed model is that the interactions (defined as interfaces S) between knowledge management domain and information technology domain (Enterprise Knowledge base) are defined formally too.

The presented framework of the Knowledge-Based Enterprise is the basis for the development of the practical methods for the Knowledge-Based Enterprise Modelling and implementation.
