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Knowledge Creation in Organizations

There is no time in the history of our country that there has been the demand for knowledge workers. We are in the industrial age where there is more competition than before and what gives companies and organizations an edge is the information at their disposal. Therefore, companies need highly skilled and innovative employees whose skills add to the innovative force and marketing edge of the company (Drucker, 1973).

Although knowledge workers are highly skilled workers and specialists in their discipline which makes them highly paid more than other employees in the company, their impact is felt in the overall output of the company or organization. This is because when knowledge workers come to the picture, they bring with them innovations and ideas that drive the company forward, thereby giving the company a competitive advantage in the market.

According to a research conducted, it was discovered that the “new knowledge impacts directly on firm innovative output, which, in turn, is a positive influence on financial performance” (Soo, Devinney & Midgley, 1999). However, an issue to deal with is when a company employs highly educated professionals is that of controlling and setting a direction for the employees. Knowledge workers need an atmosphere where they are free and given the opportunity to be able to come up with innovative ideas.

In order to achieve this, the structure and policy of the company has to be flexible so that these workers can be motivated to do what they know how to do best (Soo, Devinney & Midgley, 1999). However, a structure like this could bring more of division and lack of focus in the company. In conclusion, as the idea of recruiting a substantial number of knowledge workers seems a good one, managers must be careful in structuring a way to handle them.

No doubt, knowledge workers have a lot to offer but filling a substantive percentage of your company with them might as well come round to affect the productivity of the company as a result of lack of a single voice.


• Drucker, Peter F, (1973) Management: Tasks, Responsibilities, Practices. Harper & Row, New York. 839 p. • Soo, Devinney & Midgley, D. (1999) The Process of Knowledge Creation in Organizations. Centre for Corporate Change • Sheridan, William. 2008. How to Think Like a Knowledge Worker, United Nations Public Administration Network, New York.

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