The explanations of change the powershift triangle from resources and wealth to the knowledge bring about a restructuring and irrevocable alteration in the strategic every business organization. This new business model can be used no matter what the market upheavel, where this idea sets forth all the crucial strategies and explain how business can solve the problems arise and apply it to rapidly changing situations.
Working the powershift of knowledge era economies means understanding controversies, dealing with conflicting goals and technologies, and getting favorable with new rules and new business method. Those who know how to do it will reap great rewards, those who ignore it will come across their business in stagnation and obsolescence. Change is running through the corporate world, whether we want it or not, and the future will belong only to those who have the tools and the vision to overcome it.
Knowledge era economies has key features that will give added value to the community of consumers and producers. Utilizing the infrastructure network efficiently and applying it on business information system will enable us to speed up the growth of business activities, where the company could easily retrieve information on market demand. The conventional factors of production, land, labour, raw materials and capital ‘have to be accelerated’ by data, information, images, symbols, culture, ideology and values as the key resource of knowledge. Knowledge will reduce costs, labour requirements, enrgy costs, inventory and creates wealth where knowledge itself is inexhaustible.
The next feature of knowledge era economies is the intangible values. The real value of companies depends more on the ideas, the insights and information in the minds of employees, data banks, patents and not just hard assets like buildings and machines. The market requirements could only be fulfilled by the organization which its management based on the information technology where their handling information and data is easier and cheaper; the internet multimedia has created multi-features connections everywhere. The increasing job mobility in network system needs for re-skilling capabilities of all managers and employees.
The value of ‘Company’s Knowledge’ is often described as "Intellectual Capital"; it is generally regarded as the difference between ‘Company organization's book price’ (how accountants value the organization) and ‘its market value’ (how the market values the organization).
Innovative and smart leadership, the third required feature.Company should aware that knowledge era economies can facilitate development of structuring the data and information, processing capacity of information technologies and continuously improving and leveraging knowledge of the innovative capacity of human beings. It requires initiatives toward the interactive of participants to produce the dimension of knowledge sharing to ensure the abilities of controlling the business of information product service. In this concept smart leadership will lead to an unprecedented breakthroughs in organizational performance, business and social value.
The possibilityof reaching the target:World Class Human Resource Development mostly depends on the availibility of Employee Empowerment, Creativity and Entrepreunership, Total Quality Management, Quality of Worklife, Learning Technology and Environmental Scanning.
Building World Class Telco’s HRD Program.
( Example of Exercise)
V i s i o n :
To become one of the biggest, excellence service and prudent Telco in Asia – Pacific with IT Network over the world.
M i s s i o n :
1. Customer satisfaction through service and quality.
2. Continuous management development through people and IT technology.
3. Anticipate the technology progress in telecom, computer and multimedia.
A s s e s s m e n t :
Strength :
- Experience with networks over decades.
- Sufficient networks, hardware and software.
- Available professionals, R & D Center, Training Center and Assessment Center.
- Highly committed of management.
Weakness :
- Too many alliances/subsidiaries and outsourcing.
- Inefficiency of software, programs and hi-tech information system.
- Language and self-confidence barrier in global communication.
- Low occupancy-rate of Training Center.
O b j e c t i v e and T a r g e t :
- Change mindset of all employees to the best quality of service to be a winner in global
competition, within 3 years.
- Set up more understanding and coordination among telecom industry, within 1 year.
- Application of new paradigm management as Knowledge Management, Learning – Organization and Infotech Leadership, within 2 years.
K e y S t e p s and S t r a t e g i e s :
- Develop Customer Relationship Management and Customer Life Cycle.
- Optimize the implementation of IT and network system.
- Set up Team Work Based Program for World Class HRD.
- Better coordination among telecom industry, especially in HRD program.
E v a l u a t i o n :
- Review and evaluate the customers complaints, especially related to HRD program.
- Monitor and evaluate the progress of ‘new culture’ resulted by new paradigm management.
- Establish follow up action to review the changes parameter and HRD program results.
As in the convenional business system, management culture in which top management created the strategy of the organization and then translated it into action plans for the rest of the people in the organization to carry out the program will not able to guide the organization achieves its objective anymore.
Management need to adapt a new infotech leadership culture that allows for the emergence of an organizational environment, in which all managers and front liners are encouraged to create and leverage knowledge to empower the achievement of the Powershift of Knowledge Era Economies advantages. The effective utilization of training centre will easier the transfer and sharing of knowledge as an integrated programs of the implementation knowledge management in Company’s business activities.
The fourth feature is network infrastructure. The Company considers the adoption of intranet-internet technology as a vehicle for encouraging organization-wide knowledge sharing within a large, global bank. The outcome of intranet adoption was that, integrate individuals across this particular organization, the intranet actually helped to reinforce the existing functional and national boundaries. Moreover, it is argued that to develop an intranet for knowledge-sharing requires a focus on information technology facets of development.
These different facets may require related, sometimes independent, sets of strategies for blending the technology and the organization, thus making it possible for a project team to work effectively on all facets simultaneously. This was evidenced by the fact that the independent intranet-implementation projects considered actually managed to encourage knowledge-sharing as intended, within the relatively homogeneous group, or even across the border into internet, for which it was designed. Broader knowledge-sharing across the wider organizational context occur even among those who were working on what were defined as ‘knowledge era economies’ projects. The idea is that knowledge-sharing via intranet-internet technologies may be most possible to achieve in contexts where knowledge management is the key objective.
Economies of speed becomes the fifth feature replace economies of scale. And concept the meaning of time changing in business, includes JIT (Just In Time Deliveries), DIP (Decisions In Process) reductions, Simultaneous Engineering and Time Based Competition, meanwhile business process getting closer and loser toward real time.
The characteristic of knowledge business follows the more you use knowledge-based offerings, the smarter they get, meanwhile knowledge-based products and services adjust to changing circumstances. In this situation they can customize their offerings, even products and services have relatively short life cycles, more over knowledge-based business enables customers to act in real time.
The focus is directed on the pace of change and meanwhile build new powershift capacity and learn to jump be fast and flexible. Go on to serve the new customer with its unique characteristic and having commitment to build a diverse management team. All managers and front liner should eager to interactive one to another, and maintain the coordination and control by utilizing provided network of information. It is a compulsory for new leadership to mastering the information technology as a necessity to control the system of organization and the changing of market business. Due to the shifting of customer’s behaviors, the treatment requires better understanding from goods and service orientation to service and knowledge orientation.
The modification or restructuring organization directs to have responsive alertness of smarter customers, and faster exchange of information, external or serve internal needs.
An Empirical Study of ‘Incremental Target Improvement’ by H Rubijanto.
Alternative I : Prudential Improvement (less cost, low risk, proper result ).
Alternative II : Exponential Improvement (more cost, more risk, more result).
Alternative III: Accelerated / More Exponential Improvement (high cost, high risk, substantial result).
