Knowledge Management Architecture Empirical

European Journal of Economics, Finance and Administrative Sciences ISSN 1450-2275 Issue 20 (2010) © EuroJournals, Inc. 2010 http://www.eurojournals.com

Knowledge Management Architecture Empirical Study on the Jordanian Universities Majed Radi Alzoubi Administrative & Finance Department, Al-Balqa Applied University Alsalt, Jordan, P.O. Box: (7171), Postal code # (19117), Alsalt E-mail: [email protected] Tel: +00962 5 3532519, Ext. 3500, Mobile (00962-777406117), Fax: +00962 5 (35555735) Fayez Jomah Alnajjar Management Information Systems Department, Jadara University Irbid, Jordan, P.O. Box: (733), Postal code # (21110), Irbid E-mail: [email protected] Tel: +00962 2 (7201222), Ext. 318, Mobile (00962-777406117), Fax: +00962 2 (7201210) Abstract The research aimed to detect empirically the presence of knowledge management in the Jordanian universities. The research tested a set of variables related to Knowledge management; to reach out the main factors constructing Knowledge management Architecture, aiming to establish a proposed model representing the architecture pillars in higher education institutions. The population of the study represented all staff members in the Jordanian universities, while the sample of the study was (355) random Academics, teaching in the Jordanian universities, holding different academic titles, with varied years of experiences and ages as well; only (310) complete questionnaires were returned and analyzed by using Factor Analysis Test. It was revealed based on the results of the study that the pillars of knowledge management architecture in higher education in the Jordanian universities are: Strategy and commitment, Information systems, Culture, and. Communications. Keywords: Knowledge, Knowledge management, Knowledge Pillars, Information Systems, Jordanian Universities.

1. Introduction Knowledge management is considering a vital part of today's organizations to use the wealth of expertise, latent insights, and bright ideas to equip itself with a vision to foresee the future. Intellectual capital is the key stone for educational organizations to gain a sustainable competitive edge and differentiations; these realizations reflect the real picture of knowledge in the business process as a corporate asset, which could make the difference in the market place. Empowering, capitalizing, and developing critical success factors in the educational organizations will lead towards ways of building knowledge environment base, which leads for exploiting the opportunities in the field. As with many physical assets, the value of knowledge can erode over time; though constant review the implementation's areas and processes within the educational system is very essential.

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These realizations reflect the real picture of knowledge in the business process as a corporate asset, which could make the difference in the Universities. Therefore, Organizations should initiate forgoing practices towards progressively survive in today's knowledge-based competition. Unfortunately, very few studies have been conduct on the Jordanian Universities to investigate the Architecture of knowledge management in Higher Education field. Riley (2003, 4) points out that "the challenge now for organizations is to determine and deliver principles and guidelines on how knowledge can be created, harvested, shared and distributed. This context has encouraged the researchers of this paper to investigate empirically the Critical Successful Factors Affecting knowledge Management Architecture in Higher Education in Jordan.

2. Research Importance and Objectives The importance of the study derives from the ability of determining the critical success factors affecting knowledge Management Architecture in the Jordanian Universities. This understanding and empirical analysis would help decision makers to work on weak factors to cope with and strength others for more improvements. Furthermore, as a result of quality assurance concerns from the Jordanian government to overcome the barriers blocking the development process. However, The Study Aims to: 2.1 Detect empirically the presence or absence of knowledge management in the Jordanian universities. 2.2 Testing numbers of factors, which assumed to affect the architecture of knowledge management system in the Jordanian Universities? 2.3 To explore empirically the readiness of the Jordanian Universities, to implement Knowledge management successfully. 2.4 Enhance the understanding of knowledge management and its importance in high education.

3. Statement of the Problem It became apparent from what was presenting that there is an acknowledged problem concerning the subject of building knowledge management system in the educational institutions in general. Also, the degree of importance, strength and weaknesses in term of implementations are not clear. the failure of identifying the weights of implementations and the degree of significance would lead to many deficiencies and inefficiencies in reaching competencies for universities, if such factors overlooked. The major question that arises here and need to be answered is: To what extend knowledge Management Architecture factors exist in the Jordanian Universities?

4. Theoretical Framework 4.1. Theoretical Background Knowledge is the full utilization of information and data, coupled with the potential of people's skills, competencies, ideas, intuitions, commitments and motivations (Warier, 2003, 87; Newman, 1991). It constitutes the most basic economic resource today (Rastogi, 1997). Knowledge and information are increasingly being described as resource, power assets, competitive advantage, strategic weapons and so on (Shukla, 1997). According to Grant (1996) knowledge is the most strategically important of the firm's resources. Knowledge management defines as "collection of process that govern the creation, dissemination and utilization of knowledge". It is a concept that has emerged explosively in the business community and has been the subject of much discussion over the past decade by various

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researchers and authors (Allee, 1997; Bhatt, 2002; Davenport and Prusak, 1998; Probst, Raub and Romhardt, 2000). Knowledge management is ‘to identify, manage, and value items that the organization knows or could know: skills and experience of people, archives, documents, relations with clients, suppliers and other persons and materials often contained in electronic databases’ (Davenport and Prusak, 1998). According to Gartner Group, Knowledge management promotes an integrated approach for identifying, capturing, retrieving, sharing and evaluating an enterprise's information assets. The old truism 'knowledge is power' has never been more true than it is today; knowledge is new currency of power (Chaudhary, 2005, 9). Therefore, organizational success in today's competitive marketplace depends on the quality of knowledge each educational organization can learn, build, modify, improve, and apply on one side, and how knowledge could be managed efficiently on the other side of the equation. The equation is human and technical in this system process. Rangnekar (2001) state that "Motivating employees to search, accept and adopt best practices through identifying and developing model leaders, who support learning at the individual, team and organizational levels " is a very essential to hit the target. While Pentland ( 2003, 534) believes that Information systems can affect the critical process of knowledge construction and organization by changing the epistemic criteria used in knowledge construction and by changing the content of the material that emerges from the creation process. Although many studies have integrated knowledge management with certain factors assumed to be a successful force for implementations. Lueg (2001) argued that knowledge not only depend on information processing, but also on shared interpretation of the information and the filtering of the knowledge into degrees of importance. Carnerio (2000) found that knowledge management system is a key component in innovation and competitiveness. As a result of that, mechanism and new insights should be considered carefully by leaders and decision makers in the organizations to build up successfully knowledge organizations, who can apply knowledge learned and accumulated experiences to make a breakthrough in the educational process. 4.2. Challenges Faces Universities The Educational organizations can be considered as a knowledge creating organizations. They are developing and sharing successful practices across colleges and departments as well as evaluating and upgrading best practices to reach a set up of knowledge domains (Shermon, 2002, 74). Educational organizations need knowledge strategies, polices, and tools to manage their knowledge assets as corporate assets (Chaudhary, 2005). To meet the increasing challenges facing educational institutions, knowledge management highlights the critical success issues of organizational Competence and survival in the face of increasingly environmental changes and demands in the market. Essentially, it embodies organizational processes that seek synergistic combination of data and information processing capacity of information technologies and the creative and innovative capacity of human beings" (Malhotra, 1997). Each factor is expected to have in-depth effect on the performance of the educational institution as a whole; the educational system will be the main field to make the best out of implementing factors to reach the set goals, yet staff is considered the key players to carry the organization to reach the objectives successfully. In the education sector, it is reported that US educational institutions are being forced to operate in a much more business-like competitive environment, characterized by tighter education funding, increased interest in information-sharing practices, greater accountability, and increased information needs of teachers, faculty, staff, and administrators (Petrides and Nodine, 2003). Therefore, it is very essential to analyze factors related to Knowledge management in a broader sense that requires strategic vision. Organizations create and maximize value whenever they can make sense of the environmental opportunities in which they operate, exploit and embodied knowledge at work to meet their strategic

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goals. It is thus important for any given educational system is to readdress its strategy content and the KM agenda at the highest strategic levels of an organization (Lelic and Stewart, 2002). According to (Agrawal, 2003), a key challenge for the educational administrator in the future will be cultivating “commitment” from knowledge workers to the institutional vision; Self-leadership and self-regulation will have to be practiced so that dynamic change in the environment can be tackled, also the future success of any institution will depend ultimately on self-imposed controls. Quintas (2002, 9) also adds that for the majority of firms in the west, the priorities are the ‘capture’ of employees’ knowledge, exploitation of existing knowledge resources or assets, and improved access to expertise So, knowledge management is very complex issue for top management as a key decision to take, it should addressed deeply from several dimensions such as culture, technical, and human so that Knowledge, experience and practices can be formalized and applied to make the expected difference to make the educational system innovative, responsive, proactive and knowledge oriented.

5. Previous Research Basu and Sengupta (2008), conducted a study in India to Assess Success Factors for Learning in a Business schools. it examines the current state of Knowledge management awareness of a business school and provides a direction for enhancing Knowledge management activities to create a learning environment in the business school. The study found that many Successful Knowledge management initiatives were taken by a business schools, which could give them a considerable edge over their rivals in the education market, also it found that Knowledge management initiatives are both expensive and risky propositions. Stefanescus and Stefanescus (2008), focus on understanding the factors that motivate in sharing knowledge before implementing any Knowledge management strategy to sustain the successful implementation of reengineering projects. The study found that achieving success with reengineering projects, organizations must possess and share knowledge about many different facets of this process; also many reengineering projects have resulted in improvement of performance by coupling IT capabilities with Knowledge management strategy. Ababneh (2008) study, examined the impact of knowledge management and organization learning on organizational innovation. The study shows that knowledge management and organizational learning has a strong positive correlation with organizational innovation. Further, the findings reveal that variable of (job title, age, training course, nature of job) have a significance impact also on practicing each dimension. But, it found that educational level and department size factors have no significant impact on all variables in the study. Sireteanu and Grigoruta (2007), study the perspectives of knowledge management in universities. The study resulted that universities can accomplish their mission as learning organizations, and provide curriculum that support models and solutions exploited through knowledge management, aiming to acquire knowledge used to improve organizational performance, with an accent on improving efficiency, effectiveness, and innovation. Sujatha (2007), explore the Critical Success Factors for Implementation of Knowledge Management. The study highlights the barriers and challenges that come up while managing knowledge. It found that Organizations have knowledge distributed across people, technologies, and organizational practices. They need to manage effectively the knowledge they have and acquire new knowledge that will enable them to stay competitive in the market place. Murthy (2005) study, argues that the University system is under great pressure from industry (society) to deliver such finished products (graduates) from its system so as to be directly absorbed into industry and that too at a mass scale and in a short period of time. For achieving this, three strand of process re-engineering are needed. E learning; distance open learning; and an outcomes approach to pedagogy.

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Pillania's research (2005), was conducted on leading firms in three sectors economy; namely software, pharmaceutical and petroleum marketing, covering both the private and public sectors. The results indicated that Indian firms have implemented many IT tools. The internet is the most widely used tool, whereas Knowledge management software is the least used. In addition, Indian firms lack an IT strategy for Knowledge management. Smith and Mor (2004) study, outlines an approach to determine the effectiveness of knowledge management in knowledge intensive organizations. They introduce the Knowledge Governance Framework that includes knowledge resources, knowledge development, three types of Knowledge management, and organizational objectives. It was found that Knowledge management objectives can be qualitative, implicit, and emergent. Maponya (2004) study, highlights on Knowledge management practices in academic libraries in south Africa, since Academic libraries are changing to provide the competitive advantage for the parent universities, and they are part of the university and its organizational culture. As a result, the role of academic libraries is changing to provide the competitive advantage for the parent universities, also they found that the success of academic libraries depends on their ability to utilize information and knowledge of its staff to better serve the needs of the academic community. In sum, the literature review seems to indicate that most studies tend to view some factors, such as knowledge strategy, leadership commitment, communications, culture, and information systems, as a major force for building up knowledge management organization. Therefore, universities should take place at the juncture by equipping and developing the students with highly skills that enable them to be creative, initiatives, and self-learners in their fields.

6. Research Method 6.1. Scope of the Research The research tested a set of variables related to Knowledge management; to reach out the main factors constructing Knowledge management Architecture, aiming to establish a proposed model representing the architecture's pillars in higher education institutions. 6.2. Population and Sample The population of the study represented all staff members in the Jordanian universities, while the sample of the study was (355) random Academics, teaching in the Jordanian universities, holding different academic titles, with varied years of experiences and ages as well. It represents a broad crosssection of professors and lecturers in the Jordanian universities, and (310) complete questionnaires were returned and analyzed. 6.3. Source of Data Secondary data and primary data collection were engaged. Secondary data was collected based on the findings of prior studies, papers, articles, books and the World Wide Web. The primary data collection was carried out using a self-designed questionnaire to serve the aim of the study. 6.4. Instrument The study used a questionnaire, which developed by the researchers based upon the literature review to get the most important issues tackling the knowledge management Architecture issues. it consisted of two parts employed by the researchers: the first included (4) items regarding age, academic title, years of experience and university classification "weather the university public or private". The second part included (20) items represented the pillars of Knowledge management architecture. The items in the second part were measured with 5-points Likert scale. The value of Cronbach alpha of these constructs was (0.8895), indicating a good internal consistency. According to (Sekran, 2003) the minimum

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acceptability level of the reliability value is (0.60). The face validity of the questionnaire was ensured through a pilot study by presenting the questionnaire to (20) academics, the format of the questionnaire was modified according to their comments and suggestions.

7. Statistical Analysis 7.1. Personal Characteristics Table 1. Shows the personal characteristics of the various respondents Table 1:

Personal characteristics

Age

Academic

Experience

University Classification

Percent 5.5% 31.6% 44.5% 18.4% 17.4% 61.3% 16.1% 5.2% 39.4% 35.5% 17.1% 8.1% 51.9% 48.1%

Frequency 17 98 138 57 54 190 50 16 122 110 53 25 161 149

Less than 30 30 - Less than 40 40 - Less than 50 50 Years and over Instructor Assistant Prof. Associate Prof. Professor Less than 5 years 5- Less than 10 years 10- Less than 15 years 15 Years and over Public Private

7.2. Factors Analysis The following tables show the results of factors analysis Table 2:

KMO and Bartlett's Test KMO and Bartlett's Test Kaiser-Meyer-Olkin Measure of Sampling Adequacy. Bartlett's Test of Sphericity

Approx. Chi-Square df Sig.

.855 3539.811 190 .000

Table 2. Shows that KMO statistic value is (0.855) which falls in to the range of greet, so we should be confident that factor analysis is appropriate for these data. Moreover, Bartlett's Test is highly significant (P≤0.01) and therefore factor analysis is appropriate.

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Table 3:

Total variance explained Total Variance Explained

Initial Eigenvalues xtraction Sums of Squared Loading Rotation Sums of Squared Loadings Componen Total % of Variance Cumulative % Total % of Variance Cumulative % Total % of Variance Cumulative % 1 7.214 36.068 36.068 7.214 36.068 36.068 5.385 26.923 26.923 2 2.410 12.049 48.117 2.410 12.049 48.117 2.753 13.766 40.689 3 2.081 10.406 58.523 2.081 10.406 58.523 2.431 12.157 52.847 4 1.242 6.209 64.732 1.242 6.209 64.732 2.377 11.886 64.732 5 .965 4.823 69.555 6 .825 4.127 73.683 7 .760 3.800 77.482 8 .666 3.332 80.814 9 .540 2.699 83.514 10 .481 2.405 85.919 11 .441 2.207 88.126 12 .410 2.048 90.174 13 .339 1.694 91.869 14 .333 1.665 93.534 15 .296 1.480 95.014 16 .254 1.269 96.283 17 .236 1.180 97.464 18 .198 .991 98.455 19 .172 .858 99.313 20 .137 .687 100.000 Extraction Method: Principal Component Analysis.

Table 3 Listed the eigenvalues associated with each linear component (factor) before extraction, after extraction and after rotation. Before extraction, SPSS has identified 20 linear components within the data set. The eigenvalues associated with each factor represent the variance explained by that particular linear component. SPSS display the eigenvalue in terms of the percentage of variance explained; therefore, factor 1 explains 36.068% of total variance, whereas subsequent factors explain only small amounts of variance. SPSS extracts all factors with eigenvalues greater than 1, which leaves us with four factors. The eigenvalues associated with these factors again displayed, and the percentage of variance explained in the columns labeled Extraction Sums of Squared Loadings. The values in this part of the table are the same as the values before extraction, and the table is blank after the fourth factor. In the final part of the table labeled Rotation Sums of Squared Loadings, the eigenvalues of the factors after rotation are displayed. Rotation has the effect of optimizing the factor structure and one consequence for these data is that the relative importance of the four factors are equalized, however after extraction, Factor 1 accounts for only 26.923% of variance compared to 13.766, 12.157, and 11.886% respectively.

108 Table 4:

European Journal of Economics, Finance And Administrative Sciences - Issue 21(2010) Communalities Communalities Q1 Q2 Q3 Q4 Q5 Q6 Q7 Q8 Q9 Q10 Q11 Q12 Q13 Q14 Q15 Q16 Q17 Q18 Q19 Q20

Initial 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000

Extraction .695 .668 .712 .584 .719 .696 .734 .592 .632 .643 .629 .731 .709 .274 .637 .625 .622 .652 .711 .682

Extraction Method: Principal Component Analysis.

Table 5:

Component matrixa Component Matrixa

Q6 Q5 Q2 Q3 Q7 Q1 Q4 Q8 Q19 Q18 Q12 Q20 Q17 Q13 Q16 Q15 Q14 Q11 Q9 Q10

1 .796 .793 .791 .789 .789 .746 .704 .702 .661 .622 .613 .590 .561

Component 2 3

4

.470 .494 .505 .756 .734 .721 .494

.535

.645 .615 .576

Extraction Method: Principal Component Analysis. a. 4 components extracted.

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Table 4 and 5 shows the component matrix before rotation. This matrix contains the loading of each variable onto each factor. By default, SPSS display all loading; however, it was requested that all loading less than 0.4 be suppressed in the output and so there are blank spaces for many of the loading. Communalities table shows the proportion of each variable's variance that can be explained by the factors. The initial values on the diagonal of the correlation matrix are determined by the squared multiple correlation of the variable with the other variables. However, the values in extraction columns indicate the proportion of each variable's variance that can be explained by the retained factors. At this stage, SPSS has extracted four factors. Graph 1: Scree plot

Scree Plot 8

6

Eigenvalue

4

2

0 1

2

3

4

5

6

7

8

9 10 11 12 13 14 15 16 17 18 19 20

Component Number

The scree plot graphs shown with a thunderbolt indicating the point of inflexion on the curve, the curve shown four factors and from the fourth factor on, you can see that the line is almost flat, meaning that each successive factor is accounting for smaller and smaller amounts of the total variance. Table 6:

Rotated component matrixa

Rotated Component Matrixa No.

Questions

Q1 Q5

The organization is aware of the strategic power vested in knowledge Top management is committed to articulate knowledge culture within the organization. There are a clear polices and procedures to implement knowledge management smoothly There is a commitment to establish a formal knowledge management culture. Top management provides full support to build and improve knowledge management that would make difference.

Q3 Q6 Q7

1 .818 .796 .790 .786 .765

Component 2 3

4

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Q2

.763 The organization has a clear mission of its key knowledge assets to implement knowledge strategy. Q4 .744 We have a Strategic training programs designed to improve and embodied knowledge at work. Q8 .736 The organization is capable of identifying issues and success factors elements to build knowledge management architecture within the organization. Q19 We have an available Database to facilitate Surveillance, scanning, saving, .758 and upgrading of knowledge in our library. Q18 Extranet and Intranet do exist to improve Knowledge sharing between and .745 within the organization and external partners. Q17 Instructors use IT tolls such as Internet (e- mail communications) to spread .733 Knowledge within the organization. Q20 Organization concerns to offer proper IT tolls to increase productivity in the .717 workplace by using electronics' collections and learning materials. Q13 The basic values and purposes emphasize on knowledge sharing. Q16 We recognize the importance cooperation of finding, creating, retrieving and managing Knowledge. Q15 We think knowledge management is each and everybody's job and so every body has the best of knowledge. Q14 We have an open doors, encouraging and supportive culture. Q11 Instructors review lessons and researches learned periodically. Q9 The spread of Knowledge exchanging and sharing between Instructors is smooth. Q12 The Organization encourages the exchanges of knowledge and learning from targeted activities and projects. Q10 Organization regularly updating database of good work practices, lessons or listings of experts to enhance knowledge creations. Extraction Method: Principal Component Analysis. Rotation Method: Varimax with Kaiser Normalization. a. Rotation converged in 6 iterations.

.825 .784 .762 .522 .776 .746 .742 .674

Table 6. Contains the rotated factor loadings. The columns under this heading are the rotated factors that have been extracted, we look at the content of questions that loud onto the same factor identify common themes, the questions that load highly on factor 1. Seems to all related, therefore we might label this factor "strategy and commitment" because items like "organization has a clear mission, polices, and procedures" and "programs designed to improve and embodied knowledge at work "load highly on it. The questions that load highly on factor 2 all seem to relate to different aspects of statistic; therefore we might label this factor "Information systems" because items like "organization have an available Database" and " Instructors use IT tolls" and "Organization concerns to offer proper IT tolls" load highly on it. The four questions that load highly on factor 3. all seem to relate to mathematics; therefore we might label this factor "culture" because items like "The basic values and purposes emphasize on knowledge sharing". "We recognize the importance cooperation of finding, creating, retrieving and managing Knowledge" also "We think knowledge management is each and everybody's job" and "We have an open doors, encouraging and supportive culture" load highly on it. Finally, the fourth factor might called "communications" because items like "instructors review lessons and researches learned periodically" and "the spread of knowledge exchanging and sharing between instructors is smooth. "The organization encourages the exchanges of knowledge and learning", also organization regularly updating database of good work practices, lessons or listings of experts to enhance knowledge creations" load highly on it. This analysis seems to reveal that the initial questionnaire, in reality, is composed of four sub-scales

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7.3. Descriptive statistics of knowledge management architecture pillars Table 7:

The results of statistical analysis of knowledge management architecture pillars Descriptive Statistics N Strategy and commitment Information systems Culture Communications Valid N (listwise)

310 310 310 310 310

Mean Std. Deviation 3.0460 .86120 3.0218 .86423 3.5597 .76195 3.1315 .66636

Table 7 results show that the mean of the first factor "strategy and commitment" is (3.0460) with standard deviation of (0.86120). While the mean of the second factor "information systems" is (3.0218) with standard deviation of (0.86423). Meanwhile, the mean of the third factor "culture" is (3.5597) with standard deviation of (0.76195). In addition, the mean of the fourth factor, "communication" is (3.1315) with standard deviation of (0.66636). These results demonstrate that the study sample had given a moderate degree of approval given to the various factors that constituted the four pillars of knowledge management architecture in higher education in the Jordanian universities, and acceptable standard deviation which demonstrates Nondispersion of data form the mean

8. Conclusions Based on the results of the factor analysis, and the results of statistical analysis of pillars, the following knowledge management architecture model was reached out. Figure 1.: Framework of knowledge management architecture

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It was revealed based on the results of the study as illustrated in figure 1.; that the pillars of knowledge management architecture in higher education in the Jordanian universities are the following: 8.1 Strategy and commitment as a power vested in knowledge 8.2 Information systems are expected to improve knowledge sharing smoothly to increase productivity in the workplace. 8.3 Culture is an important factor as a considerable edge within the organization. 8.4 Communications are physical IT tools, such as extranet and internet.

9. Suggestions and Recommendations 9.1 9.2 9.3 9.4

The study suggests that Jordan universities should enhance the strength and applications of knowledge management pillars at the Jordanian universities. Clear Knowledge Management strategy must be adapted, and committed by top management. Knowledge and skills should been integrated within knowledge management pillar's framework into the teaching personal practices. Future research is encouraged to incorporate additional variables to establish more findings that are conclusive.

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