The Importance of Knowledge Management Audit on Uber

Knowledge management audit is an integral step in the process of knowledge management. In modern management, knowledge audit is particularly important as it provides a detailed analysis of the state of knowledge in an organization (Liebowitz et al., 2000). Data obtained from the audit is then used for knowledge processing. By incorporating both qualitative and quantitative aspects of knowledge, knowledge audit provides an opportunity for organizations to dissect the nature and structure of knowledge they have and how the same can be used to improve performance and profitability (Mertins, 2010).

Uber Technologies Knowledge Audit Report

Uber Technologies is an American company that specializes in offering transport services in over 50 countries across the world. Customers place their trip request through a mobile application and the information sent to Uber drivers who in turn use their own vehicles to offer this service (Frisman & Connecticut, 2014). In its operations, Uber relies mainly on two types of knowledge: explicit and tacit. Explicit knowledge refers to formalized and codified knowledge that the company holds in its knowledge management system (Stricker, 2014). Since Uber has a competitive advantage over most of its competitors, the company mostly uses explicit knowledge to promote its brand. For instance, the company publishes on its website a list of leading business partners that use its transportation services as a marketing strategy (Uber Technologies, 2015). Similar to the case in most organizations, however, explicit knowledge does not provide Uber with the experience to create competitive advantage.

Tacit knowledge, on the other hand, is clearly the most valuable type of knowledge at Uber Technologies. Over the years, the company has used this knowledge to maintain a high level of innovation and competitiveness. Through use of this knowledge, Uber has introduced successful operational strategies such as surge pricing which ensures the company has enough drivers to meet current rider demand. In addition to this, Uber’s mobile application allows users and drivers to rate each other and this enhances the conduct of both parties. In this regard, the availability of a driver may depend on the customer’s rating. Equally, the driver’s rating may influence the willingness of a customer to use their service (Uber Technologies, 2015). Due to this high level of innovation, Uber’s transportation network remains one of the most dominant across the world.

In relation to tacit knowledge, there are several aspects of the company’s knowledge management that need to be addressed. One of these aspects is how the company protects the privacy of its mobile application. Although Uber’s user policy comprehensively safeguards the privacy of users, cases of the company using customer’s data for unethical purposes have been reported in the past. Uber might also consider improving how it protects its innovative ideas. Although the company applied for patent on its surge pricing innovation, the request was declined since it did not meet requirements. This was largely blamed on the company’s failure to follow the required procedure when implementing the idea.

Knowledge Management SWOT Analysis

Uber Technologies’ knowledge management has several notable strengths key among them being its information sharing policy. Unlike many modern organizations, the company treats as confidential most of its information and this allows it retain a competitive advantage over rivals (Frisman & Connecticut, 2014). Under the leadership of David Plouffe, Uber has enjoyed a relatively better access to political and government information that affects its operation. This has placed the company at an advantage over its competitors.

Uber’s most significant weakness is the apparent lack of adequate communication between its drivers and the senior management. Currently, there are no established communication channels across the organization that would ensure drivers and junior employees constantly communicate with senior management. This limits the company’s ability to obtain crucial information on how to improve its operation (Wang & Xiao, 2009). Lack of adequate communication equally hinders the efficiency of the company’s knowledge management system since it does not promote knowledge sharing.

Going forward, Uber can exploit its popularity and position as an industry leader to gain further influence on market knowledge. One way through which the company could achieve this is by using its current leadership to gain political influence on issues that undermine capacity to obtain and share classified information by businesses within a state. The company should also consider using its financial capability to improve how collects, manages, and stores information on new market opportunities (Grant, 2011). When exploiting these opportunities, however, it is critical for the company to remain aware of potential threats to its knowledge management. With competitors easily replicating its innovative ideas for instance, there is need for Uber to consider adopting new strategies for introducing new ideas in its operations (PAKM & Yamaguchi, 2008).

Conclusion

In conclusion, Uber Technologies is an American company that specializes in offering transport services in over 50 countries across the world (Frisman & Connecticut, 2014). In its operations, Uber relies mainly on two types of knowledge: explicit and tacit. Explicit knowledge refers to formalized and codified knowledge that the company holds in its knowledge management system (Stricker, 2014). Tacit knowledge, on the other hand, is clearly the most valuable type of knowledge at Uber Technologies.