Clearing the fog

Without a doubt, the area of measuring know-how is undergoing fundamental change. For some the pace of reform is too slow, while for others it is a very scary proposition. This has led to an intense debate on the perceived and actual value of specific measures.

I recently attended a talk on this topic and the conversation became very heated. One area of contention was how to place a value on the notion of a corporate or business culture. The presenter, who was an accountant , argued that business culture was not an asset, it cannot be controlled and owned, so placing a value on its perceived worth was meaningless. Others in the audience took another view. They argued that the attitudes of staff and how they feel towards the business and its customers must be reported on. They argued that a so-called bad culture has a debilitating effect on knowledge and innovation in any business or team. In that situation everything in a business becomes difficult. Not surprising they felt efforts must be taken to measure the culture of a business.

Similarly, clearing the fog of measure does not stop there. For example, what is the benefit of putting a dollar value on a patent if the person who was primarily involved in its development leaves the organization, especially if a business has not captured their insights and knowledge before they left?

As you can see, clearing the fog on measuring know-how is not an easy task and it can raise more questions than answers. However, it is time for managers to search and trial different measures. As long as this is done in an accurate and truthful way, we will benefit. Particularly if accountability is high and the business looks to generate a more enlightened approach.

Sit back and watch as the debate on placing a better value on knowledge and innovation is explored in the decade ahead. This topic will be firmly on the agenda for many years to come. However, managers cannot afford to wait and need to deploy a range of measures that go beyond just reporting. We need to mine out what knowledge is vital and why, then stimulate methods , tools and systems to make it easier to succeed. We may not be able to totally clear the fog on how to measure know-how but we can improve the level of awareness and inquiry on how know-how adds value.