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The Organization's Situation Variable: Do Not Start from Scratch

Two major considerations apply under this variable. First, the organization should build on its own successes. Second, it should not implement any stage robustly unless the right culture for that stage is created first.

As discussed in previous chapters, every successful organization in the knowledge economy has in some way or another managed part or some forms of its IC. To start from scratch and design a totally new model is not only disruptive of business operations but may also create dis­orientation problems. The best way to proceed on the journey of implementing the right CICM model for the organization's unique needs is through assessing the organization's present situa­tion by reference to the desired state—an "is" versus "should" analysis. To enable such assess­ment, use the CICM grid, Exhibit 14.3, to plot in the various work processes, structures, values, and tools that your business unit already has in place. This should reveal the practices or pro­grams implemented under each of the stages, and hence indicate how far the unit is on the road to effecting all the required changes under that stage. Instead of starting from scratch, the unit can build on programs already in place.

To use the CICM grid to guide the change initiative, start with the ICM stage where there are more items (minimal change) required and then proceed to areas where major change will be needed. The CICM grid should be used to devise a phase-out plan, to guide the allocation of lim­ited resources. This plan should be followed unless there is an immediate business need that should be given priority (e.g., a block in the flow of knowledge that warrants starting with the KM stage despite the fact that fewer changes are required under other stages).

The second consideration that should be taken into account under this variable is the "culture imperative." This entails halting implementation until the cultural values required for that stage are put in place. This will avoid the major pitfall wherein an adverse culture defeats the change initiative. As outlined in the CICM model, implementing any of the management stages involves undergoing a number of changes at both the strategic and operational levels. Of the operational changes involved (structural, cultural, supporting tools), structural requires the highest level of expenditure and resource allocation, while cultural changes require the longest time and are the hardest to effect. This is because culture affects the behavioral routines and modes of decision making in a covert way that defies detection. A culture that gives rise to patterns and modes con­tradictory to those required under any of the ICM stages will disable the effect of any change introduced under that ICM stage. Therefore it is essential, before embarking on full implementa­tion of any of the ICM stages, to ensure that the required culture is in place. Only then would the changes introduced under ICM be activated.

Each of the CICM stages, as explained in the previous chapters, needs a set of cultural values or a certain culture to be successful. In customizing the CICM model, the unit should implement the stage that best fits with its existing culture or start with the required cultural changes before implementing any stage robustly. Exhibit 14.4 presents a summary of the cultural values required for each of the CICM stages.

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