Abstract:
Recent significant changes in the business environment, e.g. the globalization
of markets, ever faster technological developments and the increased importance of
Knowledge-based assets has brought about new managerial challenges. As markets
have become larger and there are more global operations, many companies face more
competition. In order to survive, companies and other organizations are in need of
the competitive advantage of being better informed. As the nature of organizations
has become more knowledge-intensive, the importance of competencies, i.e.
knowledge and skills, is emphasized. Continuous improvement is important; thus for
an organization to be successful, it is essential that an organization manages its
competencies. In order to lead an organization, the management needs information
on the organization’s current stage and the direction it is heading for. This has
resulted in the emergence of new management concepts and tools, such as
Knowledge Management (KM). There are many motives for using KM in a company
but perhaps the most crucial one is that they will help to improve productivity when
used properly. Productivity is of vital importance to a company’s ability to compete
and make profits over time. Productivity is a well-established concept in economic
policy, but it is most easily applied to industrial work. A company that is not able to
efficiently utilize its resources in creating value for its customers will not survive in
the competitive business environment of today. The purpose of this research is to
discuss the basic meaning of productivity as we as its relation with to other similar
terms. Then apply KM technologies to improvement productivity. Thus, the finding
is based on a review of the KM and the productivity literature from the last decades.
