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Value in the real world is created by the transformation of knowledge into action, not merely by the possession of knowledge. It’s not what the people in an organization know that counts the most – it’s what they do. In other words, knowledge is great, but action is everything. Therefore, smart companies are constantly coming up with better ways to increase the amount of in-house knowledge that actually gets applied in the marketplace. The following are eight suggestions to help bridge the knowing-doing gap in your organization.

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Schooley Mitchell Telecom Consultants

THE KNOWING-DOING GAP

How Smart Companies Turn Knowledge Into Action
by Jeffrey Pfeffer & Robert Sutton


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Many of the business ideas proclaimed as new each year can be found in similar books printed decades earlier. Yet these books find a ready market because the ideas, although often widely known and proven to be useful and valid, remain unimplemented. So, authors try, in part through repackaging and updating, to somehow get managers to not only know but to do something with what they know.  And managers continue to buy the books filled with ideas they already know because they intuitively understand that knowing isn’t enough. They hope that by somehow buying and reading one more book they will finally be able to translate this performance knowledge into organizational action.”

- Jeffrey Pfeffer & Robert Sutton


Publisher: Harvard Business School Press
ISBN
1578511240

THE KNOWING-DOING GAP
How Smart Companies Turn Knowledge Into Action
Book Review

Bridge #1: Understanding the “why” of anything is always more important than the “how”.

Knowing what to do is far less important than knowing why something should be done. In other words, before getting down to details, spend more time understanding the philosophy of why that task is important.

Smart organizations always lay a foundation of their basic principles with employees before they start training on specific techniques or practices. In doing so, they create the conditions within which a learning organization can flourish.

For example, many organizations teach about:

§         Their general business model – how the business generates a revenue stream and profits.

§         Their theories on operational performance – how the business is organized, and how to obtain help when needed.

§         The core values which guide the firm.

Armed with that philosophical base, the organization can then move on to develop specific skill sets which are relevant and important to the execution of that philosophy. Since everyone understands the underlying philosophy, they then become empowered to try new things and to blaze new paths. In other words, precedent does not substitute for thinking or the trying of original ideas. The practical benefit of the philosophy-first approach is specific practices won’t become enshrined as sacred and unvarying. The basic philosophy will be constant, but new practices will be welcomed and encouraged. In that way, these organizations will be able to adapt to new and previously unexploited business opportunities.
 

Bridge # 2: Avoid the “smart talk” trap – actions count more than plans, presentations or history.

When talk becomes a substitute for action, problems develop and the knowing-doing gap widens. Sounding smart will never be an effective substitute for doing something smart.

When Tom Peters and Robert Waterman studied the performance records of great companies, they ended up articulating their basic approach to business planning as being:

“Ready, fire, aim.” In other words, these companies succeeded even though not all the facts were yet available, and they were perfectly willing to go back and refine things at a later stage if necessary.

Acting without a vast amount of planning has two advantages:

1. It creates genuine opportunities for the organization to learn by doing.

2. It shows that action with best intent is valued and favored over endless analysis.
 

Bridge #3: Knowing comes best from doing – and by teaching others how to do the same.

Actual firsthand experience is the best possible teacher. People who learn by doing rather than by hearing or reading have a deeper level of knowledge, understand the subject in greater detail and have little or no gap between what they know and what they do.

It really comes down to the issue of effective knowledge management. Knowledge exists in two forms:

§         Cognitive knowledge (from which everyday working knowledge is derived) is the essential facts and figures which people use in their day-to-day jobs. This type of knowledge can be passed on by formal and informal systems. It can also be captured, stored and transferred using communications technology – computers, CD-ROMs, etc.

§         Tacit knowledge can’t easily be described, stored or passed on to other people, yet it is also essential to performing well. Tacit knowledge can only be built up by actual experience, by learning what does and doesn’t work. Tacit knowledge includes the skills that can only be gained by having an inexperienced person work alongside an experienced person who coaches and corrects.  


Bridge #4: Mistakes are an inevitable part of knowing. There must be a high tolerance for new mistakes.

To build a company culture which lauds and encourages action, things will frequently go wrong. How these mistakes are treated will have a major impact on whether the knowing-doing gap becomes narrower or wider over time.

Business organizations that encourage people to actively try new things have to reinforce that with an exceptionally high tolerance for well intentioned failures. In other words, if failure is treated harshly within the organization, nobody will be prepared to try anything new. But at the same time, there also needs to be a little balance, so people are actively encouraged to act responsibly and reasonably.
 

Bridge #5: Fear widens the gap between knowing and doing. Therefore, eliminate fear and you close the gap.

Attempting to manage an organization through fear is always counter productive. You might be able to generate some short-term results, but over the longer-term, an environment of distrust is bad business.

Fear-based management means individuals within the organization are afraid to do things or even voice their true opinions because they could end up losing the jobs. Therefore, they do whatever they think their boss wants, rather than whatever their experience and know-how suggests should be done.

Clearly, fear widens the gap between knowing and doing.
 

Bridge #6: Internal competition is destructive. Get everyone fighting competitors, not each other.

Turning knowledge into action is always easier in an organization where everyone works together rather than competes against each other. Instead of focusing on internal contests, get everyone united in beating the marketplace competitors.

There is a general perception that since capitalism triumphed over communism in the marketplace, competition within an organization is a superior way to manage. However, while internal competition may, at first glance, be an effective way to manage an organization, it has too many potential problems attached. Therefore, it should be avoided.  
 

Bridge #7: Measure only what matters – whatever translates knowledge into action.

Any organization focusing on increasing the amount of knowledge turned into action must develop measures that reflect the knowing-doing gap and the impact of actions taken on the size of that gap.

Most people in business believe that whatever is measured is what gets done. Therefore, they conclude, to do more, measure more. Unfortunately, the only result of that approach is a lack of focus and increased confusion about what really counts.

At their best, responsive and well developed performance measures are a tool leaders can use to translate knowledge of how to enhance performance into action at every level of the organization.
 

Bridge #8: Leaders always set the pace in closing the gap between knowledge and doing.

Everything a leader does is symbolic to the entire organization. Good leaders spend the bulk of their time and the majority of their resources acting on what they know.

Organizations that succeed in turning knowledge into action aren’t necessarily staffed by smarter people. They just have systems and management practices in place which narrow that
gap. And they’re lead by people who epitomize and exemplify acting on knowledge.

Leaders who are dedicated to closing the knowing-doing gap are generally self-reliant, hands on, and decisive. They set expectations but consistently encourage experimentation. In essence, a good leader is an ideal role model for an attitude of being in motion. He or she is naturally and incurably predisposed towards doing something beneficial rather than simply talking a good game.

 

“There are no simple analyses or easy answers for the knowing-doing problem. The problem is not just costs, or leadership, or some single organizational practice that can be changed to remedy the problem. The knowing-doing gap arises from a constellation of factors and it is essential that organizational leaders understand them all and how they interrelate.”

– Jeffrey Pfeffer and Robert Sutton

 

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