The Knowing Organization: How Organizations Use Information to Construct Meaning, Create Knowledge, and Make Decisions

TLDR: In this paper, the authors present a holistic approach to manage the sensemaking, knowledge building, and decision-making processes of an organization, by holistically managing its sensemaking and knowledge building processes.

Abstract: An organization uses information strategically in three areas: to make sense of change in its environment; to create new knowledge for innovation; and to make decisions about courses of action. These apparently distinct processes are in fact complementary pieces of a larger canvas, and the information behaviors analyzed in each approach interweave into a richer explanation of information use in organizations. Through sensemaking, people in an organization give meaning to the events and actions of the organization. Through knowledge creation, the insights of individuals are converted into knowledge that can be used to design new products or improve performance. Finally, in decision making, understanding and knowledge are focused on the selection of and commitment to an appropriate course of action. By holistically managing its sensemaking, knowledge building and decision-making processes, the Knowing Organization will have the necessary understanding and knowledge to act wisely and decisively.