Progress Report Performa for the Group

7/31/2019 Progress Report Performa for the Group

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Acknowledgement

I would like to extend my heartfelt gratitude to Dr. Shikha N. Khera for being a wonderful mentor to

me, guiding and inspiring me wholeheartedly and taking keen interest in my work throughout the

period. I would like to thank her for her invaluable time, support, encouragement, for being a

facilitator and helping me throughout my project work. I thank her for her patience for helping me

solve my problems and putting me through to the right channel during the course of the study.

I have gained immensely from my paper in terms of experience and expertise and take this

opportunity to extend the warm thanks to all those people who have devoted their valuable time and

extended support as and when called for.

Karishma Gulati

2K11/PhD/DSM/04

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Hsu and Shen (2005), tacit knowledge should not be seen as independent of explicit knowledge, as the

sharing of explicit knowledge must rely on the tacit knowledge of the receiver for explicit knowledge to

be understood and facilitate new knowledge creation. Knowledge sharing is defined as the dissemination

of information and knowledge through the whole department and/or organization (Yang, 2004).

Knowledge sharing should be encouraged for firms to enjoy the synergistic effect of collective wisdom

through the exchange of ideas and information. Consequently, the capability to generate better ideas will

enable the firm to create and maintain long-run sustainable competitive advantage (Lin, 2007) of the

firms as it facilitates the generation of new and better ideas, processes, products and services. Hence,

knowledge sharing acts as a mechanism that drives the formation of new knowledge and refinement of

old knowledge, as well as synthesis of more knowledge in the future. Knowledge sharing is confirmed

leading to improvement in innovation capability (Lin, 2007), better performance in business process

enhancement and better product and service offering to customers.

1.3 Link of HRM practices with Knowledge Management

Wong Choy Har et al. (2010) in their study provides a framework that focuses on the well-established

HRM practices namely; selective hiring (recruiting right people), recognition and reward (motivating

employee), performance appraisal (job evaluation), self-managed team (active cooperation culture) and

extensive training (continuous education and development) to enhance the level of knowledge

management.

As knowledge is residing in the human resource and organizations are using this knowledge for

competitive advantage, a well positioned HRM is essential to the success of KM activities due to the

systematic process of knowledge cycle (Soliman and Spooner, 2000). HRM and KM are interlinked as

employees knowledge can be shared by motivating him and can be made available to others through

Knowledge sharing tools (Lengnick-Hall and Lengnick-Hall, 2003). HRM practices can become the

facilitators or constraints for knowledge sharing among employees (Soliman and Spooner, 2000).


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Work Done

A. Paper entitled Knock on effect of HRM practices on tacit knowledge sharing behavior of

employees: Evidence from insurance companies has to be communicated to MDI, 12th

IHRM conference, till 15th July 2012.

Abstract for the same is: There is so much euphoria about the HRM practices that it almost seemstoo good to be true. New customers land in India every day, new insurance companies are opened

every month, and existing ones are growing at an unbelievable pace. And one of the reason for the

growth of these companies are the HRM practices implemented in these to motivate their employees

to increase their customer base and to share their tacit knowledge.

To search the best fish from the water is the main task of the companies as more talented will be the

fish, more the number of customers can be attracted. And therefore, recruitment process is one of the

most crucial processes in this industry today , and the onus of attracting and selecting the best talent

from the country rests on the recruitment team. Not only do they have to ensure quality, they have to

constantly innovate ways to strength , full proof , and better their procedures ,thus introducing the

best practices in the industry today. Just recruitment is not enough as after recruitment is is imperative

to retain the talent in the company and therefore other HRM practices like performance appraisal,

reward system etc are the benchmarks. Also, Subhash C. Kundu and DivyaMalhan (2009) proved that

both multinational and Indian insurance companies have to significantly improve their practices

regarding performance appraisal, training and financial benefits, and hr planning and recruitment.

Although the Indian companies scored better but still there are many things that have to be more

emphasized. The organizations may feel complacent regarding these practices due to the labor surplus

economy of India. Organizations must enrich the HR practices, such as performance appraisal in

terms of service delivery, service oriented training programs, and service performance based financial

and other benefits. Service organizations should plan to attract employees having a service attitude

and orientation. The authors have tried to search out the HRM practices that are practiced the most in

the insurance companies and their effect on the tacit knowledge sharing of the employees.


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B. Paper entitled Role of HRM practices and KM tools in transfer of tacit knowledge of internal

customers: Evidence from banking industry will be communicated to some international journal

(yet to find) for publications. Abstract for the same is:

Tacit knowledge transfer remains one of the most allusive aspects of knowledge management (KM)

efforts today (Brenda C. Ledford, 2008).According to Mohammad Safari Kahreh, Heidar Ahmadi and

Asgar Hashemi (2011) employees empowerment facilitates the creation of an integrated quality

environment, where superior products and services become practical. In order to increase

effectiveness in the banking industry, management must become active in empowering their

employees. This is done by sharing information, creating autonomy, and establishing self-directed

teams. It is already analyzed by Wanjun Deng, Wei Shan and Fajie Wei (2010) that tacit knowledge

transfer more happens to the employees with chose friendship, similar working age, different

education levels and high position. Position has a positive function on knowledge provider's

importance. Staff with an extroverted disposition and a short working age learns from more persons.

The challenging aspect of knowledge management which is addressed in this research paper is the

overarching question of the role of various HRM practices and KM tools in transfer of tacit

knowledge of internal customers of various banks. The authors have further fuelled the more HR

practices other than the practices of the existing literature review that create conducive environment

for employees for the transfer of their knowledge.

C. Literature Review : Following literature review is done for the research papers

1. Chee-Yang Fong et al. (2011), emphasizes on the association between human resource

management (HRM) practices and knowledge sharing behavior. The results indicated that

recruitment and selection, teamwork, training and development, and performance appraisal,

showed a positive relationship with knowledge sharing, as perceived by the managers in the

Malaysian manufacturing and service organizations.

2. Silva et al. (2008) investigates that mentoring is becoming ever more effective as a means to

facilitate knowledge creation and sharing and build intellectual capital. It is suggested that

informal mentoring is highly correlated with KM; whereby the more employees practice

mentoring willingly the more knowledge will be shared, preserved, and used within the

organization. However, formal mentoring is supported less. The results also indicated that

management should be highly supportive of informal mentoring as a means to capture and retain

organizational knowledge.


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3. Carla Curado (2008) analyzes the link between the perceptions of knowledge management and

intellectual capital in the banking industry. The final aim of the paper is to identify the relevancy

and perceived value of knowledge management strategies (exploitation and exploration) and

intellectual capital components (human capital, internal structures and external structures) in the

banks.

4. Ahmed et al. (2006) reported that KMS could be of most significance for enhancing the

organizations performance and led them to better position in todays competitive environment.

These benefits are fundamental issues related to different encouragements in KMS

implementation such as better decision-making, improving the customer relationship and

management, create new value through new services (innovations), and creating additional

businesses.

5. Geoffrey Chivers (2011) contended that HRM practices are important tools in harnessing corecompetencies, and performance of organizations. It is proved by evidence that experienced traders

in investment banks based in London learned by informal methods and this informal learning was

ad hoc, poorly recorded, and limited in scope. HRD professionals were almost entirely concerned

with organizing formal training courses, and had little knowledge of, or involvement with,

informal learning by traders.

6. A.S. Seleim and Omar E.M. Khalil (2011) analyzed that the knowledge management (KM) and

intellectual capital (IC) are believed to influence each other, and the relationship between the two

constructs is of vital importance to organizational effectiveness. The analysis revealed three

patterns of relationships between KM and IC: one-way influence from KM to IC (e.g. knowledge

application influences each of human capital, organizational capital, and relational capital; one-

way influence from IC to KM (e.g. human capital influences knowledge acquisition and

knowledge transfer); and two-way influence between KM and IC (e.g. between knowledge

documentation and organizational capital, between knowledge transfer and relational capital).

7. Knowledge is conceptualized as codified information including insight, interpretation, context,

experience, wisdom, and so forth (Thomas Davenport and Volpel, 2001), which enhances a firms

value and the achievement of its objectives, mission and vision. In an organization, job-related

knowledge is an essential element determining the career success of an employee, together with

her/his skills and ability.

8. Boxall and Purcell (2000) conclude that most firm HR strategies are created to suit environmental

contingencies, favoring HRM practices and knowledge sharing the best-fit model. However it

does not invalidate all best practice thinking.

9. In general, the HRM practices deployed by organizations are staffing i.e. HR planning,

recruitment and selection; HR development i.e. training, development and career planning and


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development; compensation i.e. direct and indirect financial compensation and nonfinancial

compensation; safety and health; and employee and labor relations (Mondy, 2010).

10. The work of Wright et al. (2001) suggested that HRM practices enable the shaping of employees

skills, abilities, values, belief, attitudes and behaviors through hiring, socializing and developing a

firms pool of human. HRM practices formed the basis of dynamic capability, knowledge

management and intellectual capital, leading to the achievement of core competencies.

11. Knowledge is generated and resides in the mind of employees (Alavi and Leidner, 1999), and will

contribute little to the firm if it is not widely shared among the organizational members. It is even

more detrimental to the firm if knowledgeable employees leave the firm, following better

opportunities offered by other firms. This results in a brain drain, with the employees taking

their knowledge with them.

12. According to Hsu and Shen (2005), tacit knowledge should not be seen as independent of explicitknowledge, as the sharing of explicit knowledge must rely on the tacit knowledge of the receiver

for explicit knowledge to be understood and facilitate new knowledge creation.

13. Knowledge sharing is defined as the dissemination of information and knowledge through the

whole department and/or organization (Yang, 2004). Knowledge sharing should be encouraged

for firms to enjoy the synergistic effect of collective wisdom through the exchange of ideas and

information. Consequently, the capability to generate better ideas will enable the firm to create

and maintain long-run sustainable competitive advantage (Lin, 2007a) of the firms as it facilitates

the generation of new and better ideas, processes, products and services. Hence, knowledge

sharing acts as a mechanism that drives the formation of new knowledge and refinement of old

knowledge, as well as synthesis of more knowledge in the future. Knowledge sharing is

confirmed leading to improvement in innovation capability (Lin, 2007a), better performance in

business process enhancement and better product and service offering to customers.

D. Data Collection :data is collected for the research paper from 84 respondents from 13 banks

using questionnaire method


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Conclusion

There are various HRM practices but not all HRM practices enhance knowledge sharing; wrong HRM

practices can be harmful to knowledge sharing behavior (Currie and Kerrin, 2003). Therefore it is

imperative to know the HRM practice best suited for the organization and employees and implement it

in proper way to motivate knowledge sharing. As concluded, recruitment and creativity of employees

are those HRM practices that are not much taken care in the banks, it is suggested that banks shouldfocus on these practices as recruiting right candidate at right time may benefits the organization in a

large extent. It is also revealed that respondents are clear in their mind for the importance of selective

hiring, training, work environment, performance appraisal, reward system and pay system in knowledge

sharing. This also underscored by Cabrera and Cabrera (2005) that there are certain HRM practices that

are found to be effective in encouraging knowledge sharing behavior, e.g. staffing, training and

development, performance appraisal and compensation in line with the motivation theory by Robbins

and DeCenzo (2008) emphasizing that compensation and reward reinforce the motivation for improved

individual performance by employees. The authors also suggested that along with formal and informal

mentoring, job rotation should be designed and rewarded within the organization. This will help the

employees to be more effective and efficient in their work. Murray and Owen (1991) and Ehrich (1999)

also identify several benefits of mentoring including increased productivity, increased commitment,

improved recruitment efforts, improved communication (that will help in tacit knowledge sharing), cost

effectiveness, improvement in strategic and succession planning and the development of skill and

knowledge of mentees necessary for carrying out the role. The results of this study strongly support that

database, web base and e-portals are the best tools for sharing knowledge in banks; although after

action reports also contribute in this. But artificial Intelligence and expert system are the least used tools

although Aastha Dogra (2011) asserted that banks rely on intelligent software for data validation


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Appendix1. Questionnaire for paper entitled Role of HRM practices and KM tools in transfer of tacit

knowledge of internal customers: Evidence from banking industry

Progress Report Performa for the Group

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