The Impact Of Knowledge Management: Toyota Motor Corporation

1006 Words5 Pages
INTRODUCTION
In 1597, Sir Francis Bacon wrote, “Knowledge is Power”. Hundreds of years later, this quote still implies today, especially for the success of any business. Today, businesses are flooded with constant data and information. Yet, managing all this information on a daily basis has definitely been a challenge for many companies to overcome. Today, managing knowledge is power; hence, the growing interest in knowledge management systems. The term knowledge management refers to the “discipline that promotes an integrated approach to identifying, capturing, evaluating, retrieving, and sharing all of an enterprise's information assets. These assets may include databases, documents, policies, procedures, and previously un-captured expertise
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• The second aspect of the paper will discuss the successful knowledge management system implemented at the Indian IT giant, Infosys Limited. The paper will review how Infosys implemented their KMS along with presenting several early challenges the firm confronted, and the measures it took to combat these challenges.
• The third aspect of this paper will examine the significant impact of social media in regards to KMS through the example of a top, Dutch, auditing firm, KPMG.
TOYOTA’S KMS
Toyota Motor Corporation is the largest automobile manufacturer in the world. The company’s success revolves around its high quality automobiles that are sold at competitive prices. In addition to quality and price, Toyota is well acknowledged for its knowledge sharing culture as a crucial reason for its success. In the article “The Toyota way of global knowledge creation the ‘learn local, act global’ strategy” we are introduced to several different approaches of knowledge management practices that Toyota has developed over the years. Through these practices they were able create and share knowledge for further growth and success internally and externally—subsidiaries and a joint venture
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In order to create knowledge a frim must enable five knowledge creation practices throughout the entire organization. The first enabler is the clear knowledge vision of its ‘learn local, act global’ strategy which delivers a specific goal or direction that employees must push towards. The second enabler, allows for further enrichment of the vision, as Toyota facilitates communication among employees to inhibit a strong sharing culture. The third enabler pin points on knowledge activists, or Japanese employees that are sent from the headquarters to overlook operations happening overseas directly. The fourth enabler allows for the strengthening of relationships among the stakeholders, which they believe will also facilitate knowledge sharing especially with suppliers. The final enabler considers the issue of knowledge distribution on the global scale. But as Toyota’s vision states, the company expects to use the best local knowledge and distribute it globally. Together, the enablers work together and play an important role for the knowledge creation and growth of Toyota Motor Corporation as a
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