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Star Series

Preparing for Conversation with Doug Madgic
Metrics, Metrics, Metrics

Doug Madgic
KM Program Lead, Cisco Systems
San Jose, California, US

  Introduction

Doug Madgic is featured in the current (May 2006) issue of Inside Knowledge magazine because he was my source for the story. He is the program lead and he deserves every bit of the credit he is given for putting the people in the process at Cisco where KM is making the transition from an informal process to a planned, strategic one.

Just the same, there are-and have been-many others who have played key roles in the evolution of KM at Cisco over the past 20 years, including its founders (who developed a way to connect two computers between two buildings at Stanford University; its two successive CEOs; and, those who preceded Doug with the responsibility of developing a formal KM program: Jim Keyes, program director, Cisco Knowledge Connection (CKC); Bob Lavin, who worked with Doug while Lavin was senior director, Technology and Operations in HR; and Gary Borella, solutions architect for CKC. As always, KM is a collaborative process and it would be great if we could have some of these guys involved in this discussion. I'll send some 'free passes' just in case!

I am pleased to be able to include a PDF of the IK report as part of Doug's page. See the link below. Incidentally, I'm not the only writer at IK and I highly recommend you subscribe. It does carry a substantial price tag, but it is an advertising-free professional journal and well worth the price. It ought to be in your corporate library!

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  Biography

Doug Madgic is currently the program lead for knowledge management within the Consulting Services organization at Cisco Systems. His work includes cDoug Madgicreating a framework and structure for managing organizational intellectual capital to enable employees to more effectively find what they need to do their jobs. He has designed and implemented a series of culture initiatives including aligning knowledge behaviors into performance assessment processes, recognizing enthusiastic adopters of knowledge reuse, surveying employees on knowledge strategies, and embedding the capture, share and reuse of intellectual capital into existing work flow. He is currently implementing a balanced scorecard of measures for the purpose of maximizing performance and results.

His prior work at Cisco includes organizational design, change management, talent acquisition and leadership development as a human resources leader within the technology and services organizations at Cisco. He has worked at Cisco for 10+ years and in over 20 countries. Prior to Cisco, Doug worked at AMD and Management Associates in the areas of HR consulting, project management and technical recruitment. He is also involved in academia and has also worked as an Adjunct Professor of International Management in the business school at Golden Gate University in San Francisco.

He holds a B.A. in Economics from Occidental College and an MBA in international business from Thunderbird, the Garvin School of International Management.

Doug spends his free time with his family including two daughters, ages 5 and 4.

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  Pre-Dialogue Remarks

Metrics, metrics and metrics: Or for those like me who are fatigued with those terms: Storytelling with Data.

I'm guessing that I'm not the only one who frequently hears vocabulary in our organizations that includes words or phrases such as "metrics," "measures," "success factors," "benchmarks," "key performance indicators" and other similar expressions. We're probably all guilty to some extent of using these terms loosely. They are language that through such recurrent and habitual use generates less understanding and meaning rather than more.

My goal for this dialogue is an enhanced understanding of the processes, language and mechanisms associated with delivering business value and importance. We can benefit from having a lucid sense of how value and importance are created and how one appraises them, and of course how they become clear to those stakeholders who sponsor and fund our efforts. Those of us in the field of managing knowledge should be concerned about value - that is demonstrating tangible relevant impact - to our internal organizations, external customers, partners or other constituents. We hear the term "shareholder value" frequently, but are we in tune daily with how our actions, activities, programs and initiatives are creating this kind of impact? Operating with business significance of course can mean influencing the obvious indicators - those lagging indicators such as economic returns, reduced costs, or perhaps customer loyalty. But are there other, more subtle, expressions of value? And how can we more credibly correlate our daily tasks - those leading indicators perhaps - to concerns deemed important and of value to our organizations?

I have more questions than answers to the questions above, but I suspect that part of the answer resides in another word we also hear and read about frequently-data.

But it's not just any kind of data that is important. It's the right kind of data. It's business relevant data that is provided in context to what's important for an organization. The information age, as we've heard, has us drowning in information but starving for knowledge. I couldn't agree more. Companies need more than ever to link the information and data 'trees' to the strategy 'forest'. We need to see how all those dots we're consumed by connect to the big picture. Can this be done directly? In many cases the answer is no.

For example, tying your efforts at managing knowledge directly to increased revenue in your organization might be difficult under the best circumstances and impossible in the others. But creating linkages, bonds and relationships between organizational activities (the day to day heavy lifting of a knowledge worker such as content creation, intellectual capital reuse, etc.) and organizational imperatives such as economic returns, customer loyalty and time to market can provide an easier route to getting the executive sponsors to stand up and take notice. Telling stories with credible data is critical and that is where a solid metrics and measurement strategy fits in.

Of course, there isn't one way to demonstrate importance to organizations. All organizations have their specific culture, values and approaches to assigning value. And given that knowledge as a company resource and asset tends towards intangibility, the assigning of value gets even more interesting. Knowledge doesn't lend itself towards industrial, mechanistic and six sigma-like defined processes. But some organizations employ outstanding narratives to ascribe importance to activities and their impact on organizational imperatives.

One that I'm particularly interested in hearing more about is the 'balanced scorecard' of measures. It's a concept that has been around awhile, but it seems to capture the idea that value can be realized through a variety of means, and that it's not only through traditional financial measures that one creates importance. Using this approach, there are other measures - Employee learning, Customer experiences, etc. - that get captured in a report card that is both quantitative as well as qualitative. How are you demonstrating your program's impact or the value of your consulting work? Are any of you using a balanced scorecard to showcase performance and results? There are other related ideas out there of course such as the Triple Value proposition (the concept that companies create shareholder value by balancing the interest of all shareholders) among others -that I'm curious to see to what level they have been implemented and/or successfully institutionalized as well.

I'm sure that you have fresh thinking and an interesting perspective to add here, and I look forward to a fruitful exploration of how best to connect our work to value and meaning in our organizations.

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  IK Feature -- Catching Up
Cisco Adds Knowledge Management to Knowledge Business

Copyright: Inside Knowledge, The ARK Group

In the fall of 2004, Jim Keyes, program director of Cisco Knowledge
Connection (CKC) in Cisco's Customer Advocacy division, was concerned. Feedback suggested that creating a culture where knowledge is created, codified and transferred was not going to come easily. Keyes' early ventures into KM involved content management and the sponsorship of forums in which people could collaborate. A sense of the business imperative and strategic importance of KM led Keyes to take on the KM effort. With all the emphasis on the tool, however, Keyes realized previous KM solutions were unstructured and undisciplined with not a lot of knowledge sharing occurring outside of immediate peers. Nothing short of business productivity, profitability and value creation for Cisco's customers were at stake, and Keyes needed fresh ideas.

For the complete story, download the PDF.

Subscribe now to Inside Knowledge magazine.
http://www.kmmagazine.com/subscribe.asp

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