Much is spoken about return on investment when considering how to improve and evolve your digital knowledge management solutions. How about looking at this purely in terms of increased revenue?
The challenge for many organizations is to grow while maintaining profit margins, particularly during changeable economic times. Making access to and the sharing and contribution of digital knowledge content and knowledge effortless will directly contribute to the increase of revenue. This blog will set out examples of how this can be achieved.
As a digital innovator in your organisation, it is important to continually engage with all parts of your business.
Taking time to explain the importance of collating operational staff feedback is vital; getting contributions from subject matter experts will improve working practices. Hosting design thinking sessions to harness the creativity of employees and explore challenges they face will lead to improved user experiences. Having operational staff observe the evolution of a solution as it takes shape and improves over time will drive employee engagement and adoption rates.
Demonstrate to the wider business how operational staff have influenced the solution and how solutions will continue to evolve as business objectives and technology changes. Commit yourself to an ethos of continuous improvements. Market leading knowledge platforms are evergreen, technologies evolve and organisations must evolve too, to stay competitive.
Delivering efficiencies for operational and billable staff will have a direct impact on profits. We know that the finding and collating of content can take up hours of the information workers’ time. There are always efficiencies to be gained, delivering improvements like advanced search, automation of manual tasks and content sharing, these need to be undertaken under the full gaze of staff to gain the maximum benefit.
Staff still need to be directed as to how to self-serve and made aware of how to make the best use of the digital tools available to them. At ClearPeople we consistently see operational staff and end user communities discovering the ease of finding content by using our platform’s search and navigation, when previously they had to ask a co-worker. This frees up valuable time – not just for the person searching for content, but also the co-worker.
Knowledge Management solutions optimize internal operations, reducing downtime and increasing productivity. By automating routine tasks, employees can focus on higher-value activities that contribute to revenue generation. Moreover, facilitating collaboration among employees ensures that best practices are shared and implemented across the organization, further driving operational efficiency.
Knowledge management and information management technologies have not traditionally been at the forefront of technological innovation. This trend is shifting now with the emergence of Artificial Intelligence tools like Generative AI, Microsoft’s Topics and SharePoint Premium. There is also a demand for platforms to have engaging user interfaces and visually pleasing methods to present content to end users. Legacy knowledge management platforms often have poor user interfaces.
Organizations have reported revenue increases and stronger economic performance from the adoption of AI across the majority of businesses functions, and successful AI initiatives have engaged business leaders and knowledge champions within the organization.
As mentioned above, AI is elevating KM systems from passive repositories to active, intelligent engines. By automating the organization, categorization, and retrieval of data, AI enables companies to harness the full spectrum of their collective knowledge.
AI-powered KM solutions can process vast amounts of data at unprecedented speeds. This efficiency means less time spent on data entry and more time on analysis and decision-making. By streamlining access to information, organizations can respond more quickly to market changes, capitalize on emerging trends, and mitigate risks more effectively—each of which can directly enhance revenue streams.
AI enhances decision-making by providing predictive insights. Machine learning algorithms analyze historical data to forecast future trends, enabling companies to make proactive, informed business decisions. By anticipating customer needs and market shifts, organizations can develop targeted strategies that improve customer satisfaction and retention, leading to increased sales and revenue.
AI's ability to analyze customer data and predict preferences is a game-changer for Knowledge management. Personalized content and recommendations based on AI's understanding of customer behavior can significantly improve the customer experience, leading to higher conversion rates and customer loyalty. This personalization extends to customer support, where AI-driven KM systems provide tailored assistance, reducing resolution times and improving customer satisfaction.
Calculating ROI can be complex and does not always give a clear picture even when applying value models. Understanding what areas of the business are the most profitable and why is key.
Being able to see resource utilisation for particular projects or tasks and how utilisation rates are impacted by the availability of knowledge will help give clarity. A recent survey for a professional service industry report showed billable staff spent only 2.5 hours a day on billable work and the rest on non-fee earning work.
Analytical tooling can show managers how improvements to the knowledge platform can get client-based project work concluded quickly, driving increased profitability. For example, consider the efficiencies created when the service engineer is able to instantly access the most updated guide for repairs, or the professional service consultant has immediate access to all relevant documents and expertise when completing a task.
Knowledge management isn't just about managing existing knowledge—it's also about creating new knowledge. With AI's ability to identify patterns and generate insights, organizations can accelerate their research and development processes. This acceleration allows for quicker product innovations and improvements, keeping companies ahead of the competition and opening up new revenue opportunities.
Organizations have greater productivity and are more likely to increase revenues when their employees are engaged and valued. Reducing staff attrition is critical for organisations to stay competitive and continue to grow. This can be achieved by giving employees access to knowledge systems that make their working experience interesting and meaningful. Investing in employees and the systems they work in will enhance employee engagement.
Creating a culture of learning and giving employees access to training and learning materials with the ability to learn at their own pace, will also increase employee engagement, fill skills gap in your organisation and drive profitability. Flexible working can be enriched by encouraging working practices that are autonomous, giving employees freedom and responsibility. Empower employees with the tools and systems they need to carry out their work efficiently and implement timesaving practices.
Many organizations are prudently investing in AI and Generative AI solutions: the possibilities seem to be without boundaries and the benefits amazing. But are these emerging technologies and advancements curtailing current revenue leakage within your organization?
Application Programming Interfaces(APIs) are the data highways of today. In real time they can transfer data from one system or database to another. Connecting operational staff to client centric content from finance systems, CRMs, external content, project management systems, knowledge and document management systems all through the same digital lens is still a game changer. APIs can not only drive efficiencies, but also ensure the quality of an engagement with a client is maximized.
The ability to present content from disparate systems alongside curated content goes far beyond what traditional enterprise search engines deliver. These end user experiences can be tailored to meet the extensive requirements across many different industry types. Knowledge must flow seamlessly and be delivered to the end user at the right time and in the right place.
The impact of digital solutions on KM is profound and far-reaching. As organizations become more adept at leveraging these solutions within their KM practices, they will unlock new levels of efficiency, innovation, and customer engagement. The result is a powerful boost to the bottom line. Embracing knowledge management solutions is not just about staying competitive—it's about leading the charge in a rapidly evolving business landscape where knowledge truly translates to growth. Don't just manage your knowledge—maximize it and watch your organization's revenue grow.
Resources
1 2022 Gartner Service and Support Knowledge Management Governance Survey.