Title
Reward systems for intra-organizational knowledge sharing
Abstract
Knowledge sharing is one of the most critical steps in knowledge management activities. To achieve effective knowledge sharing, it is important to encourage workers to share their knowledge for the best interests of the firm. However, successfully exerting this encouragement is very challenging. In this paper, we develop a formal model and analyze reward systems for intra-organizational knowledge sharing. Specifically, two common forms of reward systems are considered; individual-based reward which is based on the individual contribution of valuable knowledge, and group-based reward which is based on the contribution of the whole group through knowledge sharing to the firm performance. Through the analysis, we derive a simple optimal individual-based reward system which depends on the amount and the productivity of shared knowledge. The system balances the benefit from knowledge sharing of each worker with the costs related with it. Next, it is found that group-based reward is not only less efficient than individual-based reward, but it also subject to a potential productivity problem, in which workers with more productive knowledge do not participate in knowledge sharing. Finally, it is shown that several organizational factors can complement reward systems in increasing the performance of KM and can mitigate the productivity problem. Insights from our analysis could help managers to understand important considerations in rewarding knowledge sharing, and could provide them with guides to implement reward systems.
Year
DOI
Venue
2007
10.1016/j.ejor.2006.03.052
European Journal of Operational Research
Keywords
Field
DocType
Economics,Cost benefit analysis,Intra-organizational knowledge sharing,Knowledge management,Reward system design
Knowledge sharing,Personal knowledge management,Knowledge management,Best interests,Formal specification,Knowledge value chain,Organizational learning,Knowledge base,Reward system,Operations management,Mathematics
Journal
Volume
Issue
ISSN
180
2
0377-2217
Citations 
PageRank 
References 
27
1.28
23
Authors
2
Name
Order
Citations
PageRank
Dongjoo Lee118212.87
Jae-Hyeon Ahn219816.47