**4. A constructivist paradigm of KM**

### **4.1 Three fundamental postulates**

Our observations and experiments within the industry, led us to set forth three postulates: (i) Knowledge is not an object; (ii) Knowledge is linked to the action, and (iii) Company's knowledge includes two main categories of knowledge. We define these postulates below.

#### **4.1.1 Postulate 1: Knowledge is not an object**

Knowledge exists in the interaction between an interpretative Framework (incorporated within the head of an individual, or embedded into an artifact), and data. This postulate comes from the assumption emphasized by Tsuchiya (1993) concerning tacit knowledge creation ability.

#### **4.1.2 Postulate 2: Knowledge is linked to the action**

From an organization perspective, knowledge is created through action. Knowledge is essential for the functioning of support, and value-adding processes (Porter, 1985). Activities contributing to these processes utilize and create knowledge. Thus, the actions finalize the organization's knowledge. This viewpoint takes into account the context and the situation, which allow utilizing and creating knowledge. In particular, we must analyze the role and intentions of the actors - decision-makers - involved with these activities in order to achieve

Three Postulates that Change Knowledge Management Paradigm 9

since 2001, our group of research has adopted the following definition of KM (Grundstein

"KM is the management of the activities and the processes that enhance the utilization and the creation of knowledge within an organization, according to two strongly interlinked goals, and their underlying economic and strategic dimensions, organizational dimensions, socio-cultural dimensions, and technological dimensions: (i) a patrimony goal, and (ii) a

The patrimony goal has to do with the preservation of knowledge, their reuse and their actualization; it is a static goal. The sustainable innovation goal is more dynamic. It is concerned with organizational learning that is creation and integration of knowledge at the

This definition of KM induces a specific KM governance, and leads towards a technological, managerial, and socio-technical well-balanced KM initiatives within organizations referring to general model for knowledge management within organization so called MGKME (Grundstein, 2005a, 2007, 2008), which integrates managerial guiding principles*, ad hoc* infrastructures, socio-technical environment, support and value adding processes, organizational learning processes, generic KM processes, and relevant methods and supporting tools. MGKME is described section 6. Furthermore, distinguishing information from knowledge leads to conceive what we call Enterprise's Information and Knowledge

After having considered the Corporate Governance and the Information Technology Governance concepts, we attempt to tackle with a Knowledge Management Governance

OECD (Organization for Economic Co-operation and Development) corporate governance principles were originally issued in 1999. They have since become the international benchmark for corporate governance. OECD governments in April 2004 agreed the new Principles, and define Corporate Governance as shown on figure 4 (OECD, 2004, p.11).

Control Objectives for Information and related Technology (COBIT®, 2000, 2002, 2005) was initially published by the Information Systems Audit and Control Foundation, Inc. in 1996. Guldentops (2004) states that "COBIT® presents an international and generally accepted IT control framework enabling organizations to implement an IT Governance structure throughout the enterprise" (p. 277). A fourth edition has been edited in 2005. In the Executive Summary IT Governance is defined as shown on figure 4 (COBIT®, 2005, p.6). IT governance provides the structure that links IT process, IT resources and information to enterprise strategies and objectives. To achieve success, corporate governance and IT governance can no longer be considered separate and distinct disciplines. The COBIT® Management Guidelines helps to support these needs. They have identified specific Critical Success Factors, Key Goal Indicators, Key Performance Indicators and an associated

perspective drawing a link with the Corporate and IT Governance principles.

and Rosenthal-Sabroux, 2003):

organizational level.

Systems (EIKS).

**5.2 The COBIT®**

sustainable innovation goal" (p.980).

**5. Knowledge management governance** 

 **IT Governance** 

**5.1 The OECD corporate governance** 

Maturity Model for IT Governance.

the organization's missions. Therefore, knowledge is linked to their decisions, their actions, and their relations with the surrounding systems (people and artifacts).
