KM 2002, London, 17.04.2002 Version 25.4.02 / 1 The Essence of Knowledge Management: A More Appropriate Understanding of Knowledge 1 Marco C. Bettoni 2 and Sibylle Schneider 3 Basel University of Applied Sciences (FHBB) St.Jakobs-Str. 84, CH - 4132 Muttenz Abstract: We contend in this presentation that more sustainable and successful Knowledge Management (KM) solutions can be built by using the principles of Knowledge Engineering (KE) to understand knowledge in a more appropriate way. We will basically explore five aspects of practical knowledge relevant for promoting the essential Human Factors (HF) involved in KM tasks: 1. the value and function of knowledge 2. the motor and mechanism of knowledge 3. the two states and 3 conversions of individual knowledge 4. the logic of networking (natural organisation of knowledge) 5. the handling of knowledge (wheel of knowledge) and then explain their consequences under the form of five principles that we suggest could be used as leading criteria for designing and evaluating KM solutions and systems in a way more appropriate for implementing the recognition of the essential role of people. Website: http://www.weknow/vico 1. Introduction Thank you very much Ron for your introduction and for inviting us here at KM2002. It is a great honour for us to have the opportunity to contribute to this Conference together with such famous speakers like Etienne Wenger, David Snowden, Ron Young and others. What do we mean by essence of KM (it would be interesting to hear from you in an interactive session)? In the KM literature you can find expressions like „knowledge sharing is (CoP are) the essence of KM“, with the meaning of "essential solution" or "essential method". But in our use it means something different, something like the DNA ...  it is present in each project step or solution component  and determines them. This DNA of KM is the answer to the question "What do we mean by knowledge?" („What is knowledge?“). Everyone involved in KM answers it tacitly but nobody deals explicitly with it. In fact KM people tend to delegate this job to professional philosophers. We claim that KM people should become aware of how they look at knowledge (we should not delegate this job) and we have made the first step! Our presentation of this first step is articulated in four parts: 1. Sibylle will begin by telling the story of her experiences with practical, commercial KM and sketch how she discovered that it is necessary to deal explicitely with this "DNA of KM"; 2. Based on my experiences with Knowledge Engineering I will then present why our established way of looking at knowledge is not appropriate for KM purposes 3. and propose an alternative view that we call the „constructive“ view of knowledge; 4. and finally Sibylle again will explain 5 practical criteria - deduced from this view - that you could use for designing or evaluating sustainable KM solutions. 1 Presented at "Knowledge Management 2002", London, 17. April 2002, http://www.knowledge-management.co.uk/ 2 Professor for Artificial Intelligence and Knowledge Management, m.bettoni@fhbb.ch 3 Consultant for the design and use of interactive teamwork in business and education, schneider@luftlinie.ch