CREATING COMPETITIVE ADVANTAGE FROM KNOWLEDGE MANAGEMENT AND INFORMATION SHARING

Abstract

Petroleum companies are being challenged to exploit complex reservoirs, operate in remote regions and employ advanced technology to meet stock market demands for increased shareholder value.

However, many companies face these challenges with a diminished pool of experienced staff due to organisation downsizing, outsourcing of activities and the retirement of older employees.

To combat this erosion of experience, knowledge management programs that aim to formalise the generation and leverage of expertise and skills are becoming an important means of creating and sustaining competitive advantage.

To be effective, these knowledge management programs must be driven by the business needs and bring together people, processes, and technology to focus on how knowledge creates value for the organisation.

An important consideration for many organisations is bringing about a cultural change which encourages knowledge management and promotes information sharing. Successful change requires leadership, resources, and appropriate rewards.

The case studies presented describe how an Australian production company is planning systems to manage the capture, organisation, and sharing of knowledge, and how a multinational exploration company is implementing technology to facilitate information sharing initiatives to access, analyse, and apply knowledge around the world.