The perceived value of developing cultural competency and sharing knowledge within and across
federal, state, and local agencies as well as in public and private organizations is increasing. The
growing economic challenges our Nation is facing, exacerbated by the increasing frequency and
costs of natural disasters is an example of the critical need for recognizing and reconciling the
similarities and differences in organizational cultures to facilitate inter-agency and intra-organizational
information and knowledge-sharing. The capacity for organizations to adapt and respond to changes
in their environment is directly linked to their capacity for cultural competency and knowledge
management.
A number of experts and researchers argue that knowledge is based on two primary forms: tacit and
explicit. Tacit knowledge transfer in the form of ideas or images directly equates to sharing personal
knowledge and the creation of a common space or ‘ba’. Explicit or tangible knowledge can be
captured or codified and expressed in words, numbers, shared as data, specifications, and manuals
(DavenPort & Prusak, 1998 Bagshaw, 2002 Nonaka & Konno, 1998). Explicit knowledge can also
be transferred relatively easily between individuals in a formal and systematic way, and tends to be
more readily adopted and reflected in Western cultures (Nonaka & Konno, 1998). The authors’ also
described knowledge as embedded in ‘ba’ or physical, virtual, or mental shared spaces where
knowledge can be acquired through personal experience or by reflecting on the experience of others
(Nonaka & Konno, 1998).
Stewart, (2001) defined the major opportunity and challenge of twenty-first century organizations as
learning how to realize the value of knowledge in the economy as opposed to understanding the
technology available to use and exploit knowledge. This challenge is due, in part, to the decreasing
costs and difficulty of sharing information and knowledge across physical and organizational
boundaries via the web utilizing information technologies. The rapid pace of technological innovation
and shortening business cycles has also increased the relative value of intangible assets in general and
of knowledge in particular. Knowledge will thus continue to be a principal source of value, and
organizations driven by knowledge will be more likely to succeed (Bagshaw, 2002). Navigating the
current economic landscape and rapid pace of technological innovation will require organizational
change and adaptation. Indeed, success in the knowledge economy will depend upon effective
management of IT, knowledge, and leadership.
Marwick (2001) argued that knowledge management requires a balance of organizational, social, and
managerial initiatives combined with the deployment of appropriate technology. However,
organizations seeking to transfer or acquire knowledge from within or outside of their organizations
may not have organizational cultures that are compatible with, or conducive to sharing knowledge.
Malhotra (2002) similarly related that individuals may not willingly share information or knowledge
with peers, supervisors or other departments, believing that they may lose advantage in bargaining or
negotiation, which “may often result in sharing of partial, inaccurate, or ambiguous information”(p.
12). Indeed, that motivating employees, organizations, customers and suppliers to share accurate
information is founded on relationships and trust therefore, effective information and knowledge
transfer are dependent on effective leadership, technologies and organizational structures that
develop, adapt, promote and successfully utilize information and knowledge sharing cultures
(Malhotra, 2002).
According to Davis (2000), every organization must meet the challenge of ensuring that its people
learn, create, and share knowledge to stay on pace with or ahead of their competition. Learning
organizations represent a strategy for how to meet this challenge through fostering a culture of active
learning where knowledge acquisition and knowledge sharing is enabled and supported (Davis, 2000).
Communities of practice are defined as informal peer-based networks of knowledge workers that are
linked through common group needs and goals. Supporting communities of practice is critical to
knowledge creation and innovation, and are established by cultivating a culture based on trust where
learning is socialized and tacit and explicit knowledge are exchanged. Local or indigenous knowledge
describes the conservation, exchange, and harnessing of the personal, tacit knowledge of a local
environment or culture (Davis, 2000).
Pfeffer and Sutton (2000) argued that knowledge including technical knowledge is often transferred,
not through electronic mediums, but between people in the form of stories, and by watching each
other work. Knowledge transfer can be viewed as both a technical and informal social process where
interpersonal interaction is crucial (Pfieffer & Sutton, 2000). Indeed, “When even modest levels of
learning are required and some interdependence exists, individual incentives and internal competition
discourage needed knowledge sharing, cooperation, and mutual assistance”(Pfieffer & Sutton, 2000,
p.198). The capacity to leverage knowledge as intellectual capital requires a knowledge sharing
culture. Thus, organizations need to be aware of their culture and what they know and do not know,
which entails setting up effective knowledge management systems to succeed.