Knowledge is one of the core resources of organisations. However, managing knowledge can be complicated; knowledge is not simple or objective, and is often very difficult, even impossible, to codify or generalise (Desouza and Awazu 2004). In Information Systems the essential issue is, naturally, information, which can be seen as the raw material of knowledge; hence, in an organisation information is used for the knowledge to initiate and improve the functioning of the organisation. Desouza and Awazi (2004: 4) define the relationship of information and knowledge as follows:
Knowledge is information combined with experience, context, interpretation, and reflection.
Harris (2002: 103) emphasises the importance of knowledge in organisational development:
At all stages of organisational development, knowledge has played a key role...knowledge is the use of information to initiate and improve the organization’s functioning.
Nonaka (1994: 15), on the other hand, sees the relation of knowledge and information as
a flow of messages, while knowledge is created and organized by the very flow of information, anchored on the commitment and beliefs of its holder.
Additionally, it is also embedded in social and political issues, and it is a matter of hierarchy and power: the more knowledge you have, the more power you may have. And on the other hand, the more power one has, the easier it is to gain access to information and knowledge. Sharing knowledge can even have spiritual value:
knowledge can be valuable and a symbol of power – if you share your knowledge you give away your power (Okynoye 2003). Knowledge is the core of an information system. Who has the knowledge, who shares it and how, why, and when? It is the “ammo” of an information system as a power system. Furthermore, knowledge is needed to reach information, to gain access to it, to evaluate it, and use it, as Heeks (1999: 7) argues:
It is knowledge that helps us to access information, by knowing where to find and how to use information sources. It is knowledge that helps us to assess information, by assessing whether it is truth or lies, of value or not. It is knowledge that helps us to apply information, by adapting it to our particular needs and circumstance.
When talking about knowledge, one cannot avoid a division into tacit (implicit, quiet, automatic) and formal (explicit, codified, conscious) knowledge, and in information systems these appear as formal and informal information systems. The line between these two may be vague, but on the edges the differences can easily be seen.
Access to the formal information system can be defined easily, while access to the informal information system is somehow gained inside the organisation. The informal information system is about who you know and how, it is about trusteeship and the chemistry between people, and it is also being in the right place in the right time. In an informal information system access to information is often limited to certain societal levels and groups. Informal information systems are very dependent on the context: the moment it is shared, the history and culture of each individual participating in the moment, and the surrounding environmental and organisational culture. Informal information systems are often ignored in information system
development projects, probably because they are “invisible”; they are almost impossible to codify in numeral or even in verbal form.
However, an informal information system can even dictate – as a means of organisational culture and tacit social knowledge – how the formal information system is used, so it should be recognised on some level, or at least the existence of an informal information system should be accepted as a fact. The informal information system is, for instance, the social relations, often established for other purposes, which constitute information channels which work “outside” the formal information system. Information flow through the informal information system may often be more effective, as the personal contacts provide information sooner than it becomes available to people without such contacts (Nahapiet and Ghoshal 1998). As a part of the informal information system it is very important to be a part of the informal social construction of the organisation, to be allowed to hear all the gossip and other “information” which are an essential part of the information system and constitute data (Walsh and Ungson 1991).
Although the line between the formal and informal information systems can be vague, some differences can be found. Some of these different features are collected in Table 1.
Table 1 Features of Formal and Informal Information Systems (cf. Desousa and Awazu 2004, Puri 2007)
FORMAL IS INFORMAL IS
“Tools” technical, concrete software, hardware
human, social, feelings, and senses, non-material
social relations, social affairs, friendships being in the right place at the right moment
Archives codified, recorded cannot be codified, “off the record”
Changes can be changed
(organisational change), ISD
very hard, if not impossible, to change or control
tied to the context
changes “happen” as the working environment and employees change
Recruiting formal education, training
usually on a certain societal level and groups, i.e. the information is shared between “us”
Training more or less formal training
Outlines org. structure outlines intertwined with both environmental and organisational culture
Status knowledge sharing
organisational hierarchy trust, reputation, social relations, reliability
Feedback formal, only straight if anonymous
informal, straight
In an informal information system, the core lies in individuals and tacit knowledge, and on some level the informal IS is very personal.
Tacit knowledge cannot be taught or learned in a formal way, as Kacmar et al. (2006: 135) assert:
Tacit knowledge is not easily articulated and it is acquired through practice.
Desouza and Awazu (2004: 4) explain the nature of tacit and formal (here explicit) knowledge as follows:
Explicit knowledge can be expressed in words and numbers and shared in the form of data, scientific formulae, product specifications, manuals, universal principles etc... Tacit knowledge, on the other hand, is highly personal, problematical to formalize and difficult to easily communicate or share with others.
Informal information system is invisible and unconscious, although it may appear as gossip and stories, it still contains data (Walsh and Ungson 1991). Nonaka (2004: 16) describes the features of tacit knowledge as deeply rooted in action, commitment, and involvement of specific context which involves both cognitive and technical elements, and Puri (2007), emphasises local customs, experience, technology, and wisdom as a means of transferring technology.