Knowledge On The Role Of Factors Of Production And Management

With the arrival of knowledge economy, the knowledge is becoming the most important and the critical factor in all the factors of production, and this will profoundly change the advantages for competition, also the management of enterprise. Knowledge management (KM) is the new method of management, which is suitable for the knowledge economy, and is the strategy to meet the challenges of the new era.Beginning with analyzing of the properties of knowledge, this paper views the knowledge as the special resource and process, the usage of knowledge will involve all factors of production and go through all processes of enterprise. Therefore, the knowledge cannot be regarded as the same as other factors of production, and also the KM cannot be the same as other processes, such as quality management. And KM is not managing only the knowledge resource so cannot be viewed as the advanced information management.The paper regards the KM with a fresh view from the systematic management that is the KM should put into the context of all factors of production on the level of integrating all resources. The KM should analyze the function and process of interplay of knowledge with all other factors, in order to make excellent performance on all factors.With all involved methods and means, KM is scientifically managing the knowledge resource itself, interplay of knowledge with other factors, and process of innovation, to meet the goal of enterprise. Thus, KM has three aspects: the knowledge resource management, the management of interplay with other factors, and the management of innovation.At last, regarding the dynamic property of knowledge, the collection and usage of knowledge must be linked to the workflow, so KM should be combined with the workflows. At the same time, knowledge resource should be integrated with other resources in the ERP, and BPR should be based on the knowledge.To some extent, the paper presents a summary of all researches on KM, and brings up a new view, and makes a progress on the three aspects. The systematic view of KM is formulated primarily.