doi:10.1016/S0957-4174(03)00045-9
Copyright © 2003 Elsevier Science Ltd. All rights reserved.
The construct and application of knowledge diffusion model
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Victor B. Kreng
,
, a and Chih Ming Tsai
, b
a Department of Industrial Management Science, National Cheng-Kung University, No. 1 University Road, Tainan 701, Taiwan, ROC
b Graduate School of Industrial Management Science, National Cheng-Kung University, No. 1 University Road, Tainan 701, Taiwan, ROC
Available online 29 March 2003.
Abstract
How to measure knowledge value has become an extremely important issue for enterprise. Only through understanding the change of knowledge value, the performance of knowledge management can be fully investigated. Although activity based costing (ABC) model can evaluate the corresponding knowledge value from the standpoint of enterprise benefits, it cannot predict the future change of knowledge value. Therefore, enterprises have to construct a dynamic model to evaluate and further forecast knowledge value. Since knowledge possesses characteristics of diffusion, depreciation, and growth with time, this study is, therefore, based on diffusion model to construct knowledge diffusion process for single knowledge. In addition, UPEC (Uni-President Enterprise Corporation) of Taiwan promoting quality control circle (QCC) system will be utilized as a case study to illustrate the proposed model. Furthermore, this study will also analyze parameters in the model to help develop a set of effective knowledge management strategies.
Author Keywords: Knowledge diffusion model; Knowledge value; Enterprise benefits
Fig. 2. The relationship among enterprise benefits, knowledge value, and knowledge investment.
Fig. 3. The actual and predicted values of
V(
t).
Fig. 4. The actual and predicted values of
S(
t).
Fig. 5. The
S(
t) and
V(
t) resulted from the knowledge diffusion model.
Table 1. The history of the QCC system promoted by the UPEC (Lee, 1998)

Table 2. The costs and benefits of the QCC system (Wu, 2000)

Table 3. The data of S(t), SK→X(t), SI→K→X(t) and V(t) from 1980 to 1991 in UPEC

Table 4. The regression results of V(t)

Table 5. The regression results of S(t)

Table 6. The data of S(t) SK→X(t) SI→K→X(t) and V(t) from 1997 to 1999 in UPEC

Table 7. The solutions of all the parameters

Table 8. The S(t) and V(t) resulted from the knowledge diffusion model

Table 9. The parameters of UPEC promoting the QCC system from 1980 to 1991 and from 1997 to 2004

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