The rich say knowledge is money

All businesses have access to an extensive pool of knowledge – whether this is their understanding of customers’ needs and the business environment or the skills and experience of staff. The way a business gathers, shares, and exploits this knowledge can be central to its ability to develop successfully. This doesn’t just apply to huge multinational companies. Knowledge management can benefit everyone from a start-up to a manufacturing firm.

Using knowledge in your business isn’t necessarily about thinking up clever new products and services, or devising ingenious new ways of selling them. It’s much more straightforward.

1. The experience of your employees
2. The designs and processes for your goods and services
3. Your files of documents (whether held digitally, on paper or both)
4. Your plans for future activities, such as ideas for new products or services

Using this knowledge in the right way can help you run your business more efficiently, decrease business risks, and exploit opportunities to the full. You should also identify the value of knowledge to your business. Think of ways you could exploit your knowledge for financial gain – perhaps by gaining a larger market share, developing new products, or selling or licensing your protected intellectual property to others. Ensure this fits in with your overall business plan.

Information technology offers powerful tools to help you gain and make the best use of knowledge. Some of the systems can be complex to set up and time-consuming to maintain. You need to choose systems that fit with your business and that will improve it without becoming a burden. You may find it useful to consult an IT specialist.