Proceedings of the 3rd European Conference on Intellectual Capital

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Paul Lumbantobing et al. In <strong>the</strong> academic and practical discourses, <strong>of</strong>ten appears <strong>the</strong> polar extremes <strong>of</strong> <strong>the</strong> KM strategy, such as tacit versus explicit orientation (Jordan & Jones, Choi and Lee, 2003), personalization versus codification (Hansen et al. in Choi and Lee, 2003), aggressive versus conservative styles (Zack, 1999), cognitive vs. community styles (Swan et al. in Choi and Lee, 2003), which is similar to cognitivism versus connectionist (Dalkir, 2005) and exploitation versus exploration. This architecture has <strong>the</strong> potential to moderate and to combine <strong>the</strong> various extreme <strong>of</strong> KM strategies. And organizations that are able to place <strong>the</strong> various poles <strong>of</strong> strategy dynamically, will be more successful in improving corporate performance (Choi and Lee, 2003), 7. Conclusion The architecture is emphasized again that business strategy is a key element that directs <strong>the</strong> implementation <strong>of</strong> KM. The ability to build strong links between knowledge and strategy is <strong>the</strong> key success factor <strong>of</strong> KM implementation, especially in supporting <strong>the</strong> implementation <strong>of</strong> business strategy. KM should serve <strong>the</strong> workers in meeting <strong>the</strong>ir daily knowledge needs. Consequently, <strong>the</strong> operation model is designed by describing and defining <strong>the</strong> mechanism and system used in realizing <strong>the</strong> KM value-added. This architecture can arrange KM, corporate strategy and enterprise systems with more appropriate and in an integrated framework. This architecture has <strong>the</strong> potential to moderate and to combine <strong>the</strong> various extreme <strong>of</strong> KM strategies. And organizations that are able to place <strong>the</strong> various poles <strong>of</strong> strategy dynamically will be more successful in improving corporate performance. Cultural factors potentially inhibit or accelerate KM strategy execution. As a foundation <strong>of</strong> all elements, it is found that <strong>the</strong> organization shall build a specific and supportive knowledge culture. References Accenture (2004). Integrated Business Architecture: PT.Telekomunikasi Indonesia, Tbk. Anantatmula, V. (2005). Knowledge Management Criteria. Chapter 11 in Stankosky, M., (ed.) Creating <strong>the</strong> Discipline <strong>of</strong> Knowledge Management, Elsevier Inc. Barney, Jay B. (2001). Is <strong>the</strong> Resource Based-View a Usefull Perspective for Strategic Management Reasearch?Yes, Journal Academy <strong>of</strong> Management Review, vol 28 pp 43-45. Chan, J.O. (2009). A Conceptual Framework for an Integrated Knowledge-Driven Enterprise Model, Journal <strong>of</strong> International Technology and Information Management, vol 18 No 2, pp 161-185. Dalkir, Kimiz (2005). Knowledge Management in Theory and Practice, Elsevier Butterworth-Heinemann. Davenport, T.H., and Prusak, L. (1998). Working Knowledge, Harvard Business School Press. Fonseca, A.F., (2003), The effect <strong>of</strong> an integrated knowledge management architecture on organizational performance and impact: <strong>the</strong> case <strong>of</strong> <strong>the</strong> World Bank, University <strong>of</strong> Maryland (dissertation) Garvin, D.A. (1998). Building a Learning Organization, Harvard Business Review On Knowledge Management, p 47-80. Giraldo, J.P. (2005). Relationship between Knowledge Management Technologies and Learning Actions <strong>of</strong> Global Organizations, Chapter 7 in Stankosky, M., (ed.) Creating <strong>the</strong> Discipline <strong>of</strong> Knowledge Management, Elsevier Inc. IBM (2008). Knowledge Management: The Transformation to Web 2.0 – Beyond <strong>the</strong> Hype and Making It Real. Mahoney, J.T. and Pandian, R., (1992) The Resource Based View Within The Conversation Of Strategic Management, Strategic Management Journal,Vol 13, pp.363-380 McDonough III, E.F., Zack, M.H., Lin, Hsing-Er, and Irish Berdrow (2008) Integrating Innovation Style and Knowledge Into Strategy, MIT Sloan Management Review, Fall 2008. Nonaka, I., and Takeuchi, H. (1995). The Knowledge-Creating Company: How Japanese Companies Create <strong>the</strong> Dynamics <strong>of</strong> Innovation, New York: Oxford University Press. Tobing, Paul L. (2007). Knowledge Management: Konsep, Arsitektur dan Implementasi, Graha Ilmu. Turban, E., McLean, E., and We<strong>the</strong>rbe, J. (2004). Information Technology for Management: Transforming Organizations in <strong>the</strong> Digital Economy, 4 th edition, MA: John Wiley & Sons. Weill, P., and Broadbent, M. (1998). Leveraging The New Infrastructure, Harvard Business School Press. Zack, Michael H. (1999). Developing a Knowledge Strategy, California Management Review, 41, No. 3, Spring, pp.125-145. 576
Harmonization Process Between Individual Performance Appraisal and Business Unit Performance Appraisal Without Decreasing Employee Engagement Yuli Purwanti, Nelson Rikardo Pasaribu and Paul Lumbantobing PT. Telekomunikasi Indonesia, Tbk, Bandung, Indonesia yuli_purwanti@telkom.co.id Abstract: This paper is a case study <strong>of</strong> how <strong>the</strong> process to synchronize Individual Performance Appraisal and Business Unit Performance Appraisal while maintaining Employee Engagement in PT. Telekomunikasi Indonesia, Tbk., which is <strong>the</strong> largest telecommunications operator in Indonesia. In 2004, TELKOM improved its human resource management by implementing competence-based human resource management (CBHRM). Performance Management is one <strong>of</strong> CBHRM processes, which is important to motivate employee to perform his or her best to <strong>the</strong> company so company goals can be achieved. Telkom Performance Management was designed with <strong>the</strong> principle <strong>of</strong> maintaining <strong>the</strong> sustainability growth <strong>of</strong> corporate performance through employee performance management. Therefore, appraisal <strong>of</strong> employee performance must always associate with achievement <strong>of</strong> company performance. It means that employee performance should reflect corporate performance or business unit performance in this case. As a stimulant, <strong>the</strong> company provides a budget as an excellent achiever rewards given to <strong>the</strong> business units, which managed to reach its target, to be distributed to all employees in <strong>the</strong> unit based on <strong>the</strong> contribution <strong>of</strong> each employee. The Problem is although <strong>the</strong> business unit did not reach its, Individual performance appraisal data from 2004 to 2006 showed that appraisal value <strong>of</strong> individual performance always above-average business unit performance. So, Employees still got excellent achiever rewards (incentives) periodically. As a result, employees became less attention on business unit performance. They have already got what <strong>the</strong>y needed. The condition became a major concern and management tried to find <strong>the</strong> solution. At <strong>the</strong> end <strong>of</strong> 2007, TELKOM implemented a new performance management policy that includes regulations governing <strong>the</strong> process <strong>of</strong> harmonization <strong>of</strong> <strong>the</strong> appraisal value <strong>of</strong> employee performance with <strong>the</strong> achievement <strong>of</strong> business unit performance. This process aims to harmonize <strong>the</strong> appraisal value <strong>of</strong> <strong>the</strong> individual performance with business unit performance as well as to get <strong>the</strong> composition <strong>of</strong> individual performance value which distributed normally, meaning that <strong>the</strong>re will be an outstanding, average and underperformed employee classifications. These classifications will affect directly or indirectly to <strong>the</strong> employee remuneration, career development, and employee development. The process has been going every year since 2007 until now and it is a learning organization process. It said that be a learning organization process because in its implementation has been occurred many problems that appears to be solved and demanded to modify <strong>the</strong> scoring system for <strong>the</strong> company's expectations achieved yet employee engagement maintained. The role <strong>of</strong> a leader is needed in this harmonization process because <strong>the</strong> problem that <strong>of</strong>ten arises is a leader not expressly dares to provide different appraisal <strong>of</strong> employees so that after <strong>the</strong> harmonization <strong>of</strong> <strong>the</strong> result continued to show <strong>the</strong> average rating score. It will reduce employee engagement, which performs nicely but getting <strong>the</strong> average value. To overcome <strong>the</strong> above problems, this paper provides some proposed solutions, which addresses to <strong>the</strong> company and employee and also be given as a contributions <strong>of</strong> practitioners to <strong>the</strong> enrichment <strong>of</strong> human resource management science in <strong>the</strong> academic world. Keywords: performance appraisal, harmonization process, employee engagement, excellent achiever incentive, learning organization 1. Introduction Telkom has been implementing Competency-Based Performance Appraisal to measure employee performance since 2004. Employee is demanded to prepare individual work program at <strong>the</strong> beginning <strong>of</strong> <strong>the</strong> year, which is called “Sasaran Kinerja Individu (SKI)”. It will be assessed based on <strong>the</strong> achievement at <strong>the</strong> end <strong>of</strong> <strong>the</strong> year and <strong>the</strong> result is called “Nilai Kinerja Individu (NKI)” or Individual Performance Score. Individual work program is prepared based on business unit work program, which is followed Annual Corporate Program that already agreed by Board <strong>of</strong> Directors. Therefore, Unit Leader Work Program must exactly <strong>the</strong> same as business unit work program. Performance Appraisal System will provide scoring in <strong>the</strong> form <strong>of</strong> P1 for x > 110%, P2 for 103% ≤ x < 110%, P3 for 96% ≤ x < 103%, P4 for 90% ≤ x < 96%, and P5 for < 90%. P1 means <strong>the</strong> highest score in Telkom Performance Appraisal System. Business Unit Performance is ideally a manifestation <strong>of</strong> all employees work programs in one unit. So, if <strong>the</strong> member <strong>of</strong> unit do not perform maximum, it will definitely affect business unit performance. 577
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Proceedings <stron
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Contents Paper Title Author(s) Page
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Paper Title Author(s) Page No. Hier
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Preface These proceedings represent
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educating through ‘hands on’ co
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Ibrahim Elbeltagi is a Senior lectu
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Theodora Ngosi has a PhD in Compute
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José Vale is an invited assistant
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Social Knowledge: Are you Ready? 1
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John Girard don’t know.” (Benne
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John Girard The real question becom
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John Girard our belief that many le
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John Girard organizations to gain k
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Intellectual Capital Accounting - H
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Academic Research Papers 15
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Khodayar Abili and Mahyar Abili The
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Khodayar Abili and Mahyar Abili Nah
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Khodayar Abili and Mahyar Abili Tim
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Knowledge Transfer in Romanian Univ
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Simona Agoston et al. Table 1: Know
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Simona Agoston et al. homoscedastic
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Simona Agoston et al. included in <
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A Modeling Approach to Intellectual
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Eckhard Ammann (referring to <stron
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Eckhard Ammann Figure 2: The IC spa
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Eckhard Ammann section 2. They are
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Eckhard Ammann From an overall pers
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Sorin Anagnoste and Gabriela Dumitr
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Gabriela Atanasiu and Florin Leon T
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Gabriela Atanasiu and Florin Leon
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Gabriela Atanasiu and Florin Leon B
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Gabriela Atanasiu and Florin Leon a
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Developing and Implementing Strateg
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2. Technology, faculty, and staff B
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Learning programs Individual poten
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Bob Barrett facts with the<
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Intellectual Capital Dynamics withi
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Ruxandra Bejinaru and Stefan Iordac
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Education and Training Practice Str
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Andrea Bencsik et al. We wanted to
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Andrea Bencsik et al. In this sampl
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Table 4: Types of
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References Andrea Bencsik et al. An
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Ayşen Berberoğlu and Emine Ünar
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Ayşen Berberoğlu and Emine Ünar
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Table 7: Descriptive statistics Ay
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Knowledge Dynamics Modeling Using A
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Constantin Bratianu et al. will hav
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Constantin Bratianu et al. 5. a) Gi
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Constantin Bratianu et al. 5. Data
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Constantin Bratianu et al. Nissen,
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2. Technology and infrastructure Sh
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Sheryl Buckley and Apostolos Gianna
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Donley Carrington and Mike Tayles t
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Donley Carrington and Mike Tayles f
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Donley Carrington and Mike Tayles i
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Donley Carrington and Mike Tayles G
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John Dumay and Jim Rooney on a more
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John Dumay and Jim Rooney Taking <s
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John Dumay and Jim Rooney “For ex
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John Dumay and Jim Rooney Mouritsen
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Marziye Ehrami et al. 1. Creation
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Marziye Ehrami et al. Note: In 2005
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Earnings Quality and Othe</
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Magdi El-Bannany resource-based per
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Magdi El-Bannany Based on this argu
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Magdi El-Bannany Table 2: Descripti
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Magdi El-Bannany variable equal to
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Magdi El-Bannany Edvinsson, L. & Ma
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Ahmed Elsetouhi and Ibrahim Elbelta
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Albrecht Fritzsche and Rebecca Geig
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Table 4: Applicability of</
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S&P 500 Market Cap ($ billions) 14,
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Tatiana Garanina and Yana Pavlova T
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Tatiana Garanina and Yana Pavlova I
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Impact of Investme
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Lidia García-Zambrano et al. 2003;
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Lidia García-Zambrano et al. 4.2 P
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Table 7: Goodness of</stron
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Lidia García-Zambrano et al. reaso
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Lidia García-Zambrano et al. Rodri
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Víctor Raúl López Ruiz et al. co
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Víctor Raúl López Ruiz et al. NI
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EI c k i 1 w PC i ic Víctor Raúl
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Víctor Raúl López Ruiz et al. Ta
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Víctor Raúl López Ruiz et al. Co
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Víctor Raúl López Ruiz et al. At
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Maria de Lourdes Machado and Odíli
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Intellectual Capital and Corporate
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Agnes Maciocha when objects in a da
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Agnes Maciocha 4. Presentation <str
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Agnes Maciocha while in the
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Agnes Maciocha Choong K., “Intell
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The Influence of H
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Anca Mândruleanu From the<
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Anca Mândruleanu In Table 2, <stro
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Eliciting Tacit Knowledge From a Do
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Peter Marshall and Damian Gordon MM
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Peter Marshall and Damian Gordon re
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Peter Marshall and Damian Gordon ar
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Peter Marshall and Damian Gordon Th
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Maurizio Massaro et al. crucial fac
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Maurizio Massaro et al. exclusive (
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Maurizio Massaro et al. autonomy <s
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Maurizio Massaro et al. Chennal (20
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Intellectual Capital Management: Ca
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Florinda Matos et al. These models
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Complaints System dos clients New
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Florinda Matos et al. Finally, <str
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Florinda Matos et al. The training
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Florinda Matos et al. 47. Opinion
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Florinda Matos et al. In th
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Florinda Matos et al. The Quadrant
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Florinda Matos et al. Integrated te
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Florinda Matos et al. The networks
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Knowledge Management for Knowledge
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3. Our research Ludmila Mládková
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Ludmila Mládková organizational s
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Ludmila Mládková mentioned only b
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Applying the VAIC
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Maria Molodchik and Anna Bykova pro
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Maria Molodchik and Anna Bykova 2.
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Maria Molodchik and Anna Bykova Let
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Maria Molodchik and Anna Bykova The
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Perspectives on the</strong
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Maria Cristina Morariu as we consid
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Maria Cristina Morariu Tobin’s q
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Maria Cristina Morariu for determin
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The Structural Model of</st
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Fattah Nazem Ackerley (2006) reveal
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Fattah Nazem The research instrumen
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Fattah Nazem intellectual capital m
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Fattah Nazem Johnson, M.J. (1986) T
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Andrei Stefan Nestian organization.
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Andrei Stefan Nestian Chaordic syst
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Andrei Stefan Nestian environment,
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Increasing Knowledge Management Mat
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Theodora Ngosi et al. 2.2 Dominatin
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Theodora Ngosi et al. Figure 1: Del
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Theodora Ngosi et al. IT systems, a
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5. Discussion and summary Theodora
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Theodora Ngosi et al. Weill, P., an
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Bongani Ngwenya late adopters respo
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Bongani Ngwenya This paper extends
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Bongani Ngwenya argument, t
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Bongani Ngwenya DiMaggio, P. J., an
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The Quality of Kno
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5.2 5 4.8 4.6 4.4 4.2 4 3.8 Compete
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Corina Pelau et al. In order to imp
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Hierarchy and Tacit Knowledge in <s
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Ulrica Pettersson and James Nyce in
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Ulrica Pettersson and James Nyce mi
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Katja Pook and Campbell Warden time
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Katja Pook and Campbell Warden futu
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5. Commonalities of</strong
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Katja Pook and Campbell Warden <str
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Katja Pook and Campbell Warden Lazl
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Nicolae Al. Pop et al. satisfaction
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Nicolae Al. Pop et al. the<
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Nicolae Al. Pop et al. satisfaction
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Knowledge Cities: A Portuguese Case
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Katia Rodrigues and Eduardo Tomé
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3. The empirical study 3.1 Methodol
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Table 3: Smart cities - application
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4.3 Suggestions to future work Kati
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Anna Romiti and Daria Sarti 2. Orga
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Anna Romiti and Daria Sarti based o
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Anna Romiti and Daria Sarti Governa
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Anna Romiti and Daria Sarti Therefo
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Anna Romiti and Daria Sarti Valkoka
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Kent Rondeau and Terry Wagar planne
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2.1 Study measures Kent Rondeau and
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Kent Rondeau and Terry Wagar contri
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Kent Rondeau and Terry Wagar Our re
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Intellectual Capital and a Firm’s
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Figure 1: Hypothes
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Helena Santos-Rodrigues et al. Norm
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Helena Santos-Rodrigues et al. To s
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Helena Santos-Rodrigues et al. Our
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Factors Influencing the</st
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Thanaletchumi Sathasivam et al. gro
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Thanaletchumi Sathasivam et al. 11.
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Enhancing IC Formation by Evoking H
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Klaus Bruno Schebesch to portray <s
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Klaus Bruno Schebesch 4. Leaning an
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Klaus Bruno Schebesch We argue in f
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Klaus Bruno Schebesch come
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In Search of key F
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Karen Smits et al. contribution, wi
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Marta-Christina Suciu et al. This p
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Marta-Christina Suciu et al. The qu
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Information and Communication Techn
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Jukka Surakka et al. The participan
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Jukka Surakka et al. people. Commun
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Personal Knowledge Management (PKM)
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Marzena Świgoń provide th
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Marzena Świgoń (number and type <
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Marzena Świgoń measure self-perce
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Eduardo Tomé what we consider to b
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Eduardo Tomé IC. The intervention
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Eduardo Tomé In the</stro
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Eduardo Tomé to stress that <stron
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José María Viedma Marti products
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Sustainable competitive advantage T
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José María Viedma Marti knowledge
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José María Viedma Marti pr<strong
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José María Viedma Marti All <stro
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ICBS I CBS José María Viedma Mart
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José María Viedma Marti Sullivan,
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2. Balanced scorecard framework Ang
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Angelos Vouldis and Angelica Kokkin
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Unclear benefits of</strong
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Angelos Vouldis and Angelica Kokkin
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9. Discussion and conclusions Angel
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The Global Position of</str
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Piotr Wisniewski safeguarding IC vi
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Piotr Wisniewski Figure 2: Ten larg
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Piotr Wisniewski suspected
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Piotr Wisniewski US 3.8 3.8 3.9 4.3
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2. Hypothesis deve
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3.2 Control variables Deborah Brans
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Deborah Branswijck and Patricia Eve
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Korosh Gholami et al. Durkheim beli
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Measure the Unmeas
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Knowledge Capital 5. Efforts for de
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Exclusive use of L
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Emmanouil Gkinoglou from th
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Project Assets Need for synergies Q
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