ABSTRACT

This chapter focuses on metrics of the knowledge management system (KMS) and address the mechanisms by which knowledge is transacted in organizations and the instruments that are used in the sharing, diffusion, and transfer of knowledge. The chapter concentrates on the evaluation of KMS and how enterprises can measure the outcomes and value derived from the use of these systems, for the enterprise itself and for all the stakeholders of the enterprise. The expected value perceived by stakeholders, will be the combined computation of the sum of the probabilities that recipients will absorb outputs, and that these outputs will then generate benefits to the recipients, and that recipients will perceive these as providing value to them to the evaluation of the KMS. The expected value from the KMS depends on both the actual diffusion and transformation of outputs from the KMS, the preferences that stakeholders have for different types or categories of value they hope to gain from the KMS.