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    A framework for theimprovement ofknowledge intensebusiness processesPeter Dalmaris

    6/9/2006DSTO, Adelaide

    Digitally signed by Peter DalmarisDN: cn=Peter Dalmaris, c=AU, o=FutureshockResearch, [email protected]: I am the author of this documentLocation: Sydney

    Date: 2006.09.07 11:57:51 +10'00'

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    What is the KBPI framework?

    Knowledge-Based Process Improvement

    Ontology

    Methodology

    Conclusions

    Questions

    Introduction

    Epistemology

    The KBPI framework is a tool for the improvement ofknowledge-intense business processes.

    It is based on Karl Poppers evolutionary epistemology;this provides the theoretical foundations.

    It uses a business process ontology; this provides alanguage for describing business processes.

    It applies an improvement methodology; this provides

    the practical steps of improvement.

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    What is the KBPI framework?Knowledge-Based Process Improvement

    Ontology

    Methodology

    Conclusions

    Questions

    Introduction

    Epistemology

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    How does it work? Targets knowledge-intense business

    processes I.e. Loan approvement or R&D

    processes

    Analyses its current knowledge-relatedattributes

    Identifies areas of possible improvement

    Proposes a plan for improvingperformance by improving themanagement of process knowledge

    Ontology

    Methodology

    Conclusions

    Questions

    Introduction

    Epistemology

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    What is a knowledge-intensebusiness process?

    Ontology

    Methodology

    Conclusions

    Questions

    Introduction

    Epistemol

    ogy

    Eppler, DMJ, Seifried, PM & Ropnack, A 1999, 'Improving Knowledge Intensive Processes through an Enterprise Knowledge Medium',

    SIGCPR'99, ACM, New Orleans, USA, pp. 222-30

    Process complexity:

    High in process steps,involved agents,

    interdependency,process dynamic.

    Process intensity:

    Strong in contingency,

    decision scope, agentinnovation, half-life,agent impact, learning

    time.

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    Agenda: Discuss thecomponents of the KBPI

    1.EPISTEMOLOGY

    2.ONTOLOGY

    3.METHODOLOGY

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    Why involve epistemology?

    What is knowledge? Where is knowledge?

    How is knowledge created? What about data and information?

    1: EPISTEMOLOGY

    Ontology

    Methodology

    Conclusions

    Questions

    Introduction

    Epistemology

    One needs to understand knowledge before speaking about

    knowledge.Epistemology is the branch of philosophy that studies

    knowledge. It answers the basic questions:

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    Understanding knowledge:what is it?

    Justified true belief. (Goldman, Nonaka and Takeuchi)

    Understanding based on experience. (James 1907)

    Knowledge can be thought of as the body of

    understandings, generalizations, and abstractions that wecarry with us on a permanent or semi-permanent basis andapply to interpret and manage the world around us ... wewill consider knowledge to be the collection of mental units

    of all kinds that provides us with understanding and

    insights. (Wiig 1998)

    TOO ABSTRACT

    TOO GENERAL

    1: EPISTEMOLOGY

    Ontology

    Method

    ology

    Conclusions

    Questions

    Introduction

    Epistemology

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    Understanding knowledge.What is it?

    Knowledge is solutions to problems. Therefore:1. Enable POP in your Gmail account.2. Open Netscape Mail 7.x.3. Click 'Edit,' and select 'Mail &Newsgroups Account Settings...'4. Click 'Add Account...,' and click 'OK.'

    Knowledge

    Humidity:57%

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    Information

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    121 tgggcaatgt gttagtgacg catacatgta aaatagcctt caccttattt cctttctaat181 tggttggctc gtcaaagaac aattttaacc aatcaaattg cgcctttcac aattctaccg241 atgactataa ctagcttctt attcctccat cgagcccatt ctttttcttt attcagtgga301 ttgttagttc ttctgctgtt aggaagccac tatgtctgga cgtggaaagc aaggcggcaa

    Data

    1: EPISTEMOLOGY

    Ontology

    Method

    ology

    Conclusions

    Questions

    Introduction

    Epistemology

    in all cases, knowledge, information and

    data must be considered in context.

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    Understanding knowledge.Where is it?

    Popper proposed 3 ontological worlds of human experience:

    1: EPISTEMOLOGY

    Ontology

    Method

    ology

    Conclusions

    Questions

    Introduction

    Epistemology

    WORLD 1: The world of materialobjects. Trees, chairs, our bodies belong

    here.

    WORLD 2: The world of mental states.Beliefs, dispositions, pleasure and

    dislikes belong here.

    WORLD 3: The world of books, words,statements and other such immaterial

    human creations. Theories, arguments,symphonies and paintings belong here.

    Immaterialbut

    objective

    Immaterialbut

    subjective

    Material

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    Understanding knowledge.Where is it?

    Diagram used with permission from Dr Joe Firestone, 2004 KMCI

    Poppers 3ontological

    worlds

    1: EPISTEMOLOGY

    Ontology

    Method

    ology

    Conclusions

    Questions

    Introduction

    Epistemology

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    Understanding knowledge.How is it created?

    Poppers tetradic schema

    P: a problem propositionTT: a tentative theory (solution)

    EE: error elimination (finding problemswith the P and the TT)

    1: EPISTEMOLOGY

    Ontology

    Method

    ology

    Conclusions

    Questions

    Introduction

    Epistemology

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    Understanding knowledge. Noknowledge is perfectPoppers tetradic schema is based on the tradition of fallibilism.

    Fallibilism: The idea that while universal knowledge claimscannot be confirmed or verified by empirical testing, they canbe falsified, but also not with certainty.Firestone, J., McElroy, M., 2003, Key Issues in the New Knowledge Management, page 228

    Socrates: All I know is that I know nothing

    Popper: There are no

    authoritative sources

    of knowledge, and nosource is particularly

    reliable.

    1: EPISTEMOLOGY

    Ontology

    Method

    ology

    Conclusions

    Questions

    Introduction

    Epistemology

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    Understanding knowledge.Data and information.

    Data

    Information

    KnowledgeTOO ABSTRACT

    TOO GENERAL

    1: EPISTEMOLOGY

    Ontology

    Method

    ology

    Conclusions

    Questions

    Introduction

    Epistemology

    Mentalaction

    Physicalaction

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    What is knowledgemanagement?Knowledge management is the managerial activity charged with

    the responsibility of managing the organisational knowledge life-cycle in support of the organisations objectives and businessprocesses.

    1: EPISTEMOLOGY

    creates

    supp

    orts

    triggers

    Ontology

    Method

    ology

    Conclusions

    Questions

    Introduction

    Epistemology

    Epistemol

    ogy

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    Epistemological assumptions

    LEVEL 1: EPISTEMOLOGY

    Most knowledge useful

    to business processescan be objectified

    Knowledge can

    become separatedfrom its creator

    Knowledge must be

    challengedrelentlessly

    Fallibilism

    There is no perfectknowledge

    Less emphasis onthe knower

    More emphasis on the

    knowledge objects (world 3)Of course, personal(world 2) knowledge arestill very important

    Ontology

    Method

    ology

    Conclusions

    Questions

    Introduction

    Epistemo

    logy

    Epistemolog

    y

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    Discuss the components ofthe KBPI

    1.EPISTEMOLOGY

    2.ONTOLOGY

    3.METHODOLOGY

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    The business processontology. What is ontology?

    2: ONTOLOGY

    Introduction

    Epistemo

    logy

    Epistemology

    Method

    ology

    Conclusions

    Questions

    Ontology

    Tom Gruber, http://www-ksl.stanford.edu/kst/what-is-an-ontology.html

    An ontology defines the vocabulary with which queries andassertions are exchanged among agents.

    Ontological commitments are agreements to use the

    shared vocabulary in a coherent and consistent manner.

    A commitment to a common ontology is a guarantee ofconsistency, but not completeness, with respect to queriesand assertions using the vocabulary defined in the ontology.

    In Information Science, an ontology is the product of anattempt to formulate an exhaustive and rigorous conceptualschema about a domain.

    http://en.wikipedia.org/wiki/Ontology_(computer_science)

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    Difference betweentaxonomy and ontology.

    2: ONTOLOGY

    Introduction

    Epistemo

    logy

    Epistemology

    Method

    ology

    Conclusions

    Questions

    Ontology

    Taxonomy is the science ofclassification or a classification

    In Information Science, an ontology

    is the product of an attempt toformulate an exhaustive and rigorous

    conceptual schema about a domain.

    http://en.wikipedia.org/wiki/Ontology_(computer_science)

    http://en.wikipedia.org/wiki/Taxonomy

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    The business processontology. Why ontology?

    2: ONTOLOGY

    1. An ontology provides a formal conceptual

    schema/model of a given domain.2. We need a formal description of a business

    process before we can do any work

    3. We need a vocabulary and syntax before we cancommunicate.

    Introduction

    Epistemo

    logy

    Epistemology

    Method

    ology

    Conclusions

    Questions

    Ontology

    I needed a way to formally describe knowledge-intensebusiness processes.

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    Business process ontology.Current revision.

    2: ONTOLOGY

    Introduction

    Method

    ology

    Conclusions

    Questions

    Epistemo

    logy

    Epistemology

    Ontology

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    Definitions (partial)Knowledge object: A knowledge object is knowledge that has been

    objectified and exists in world three. In organisations, such knowledgeobjects are strategic plans, product specifications, marketing ideas etc.

    Knowledge Path: A Knowledge Path is concerned with the set of

    functions and their sequence of execution that perform some

    desired knowledge processing on a knowledge object. Thisknowledge processing may be an intermediate or a final deliverableof a knowledge-intensive business process.

    Knowledge Transaction: Knowledge transactions refer to the

    exchange of knowledge objects between actors within a businessprocess. The word 'actor' is used here in its broad sense to mean

    humans or machines that can be receivers or transmitters of theknowledge objects. When a knowledge object is transferred fromone actor to another, a transaction occurs.

    2: ONTOLOGY

    Introduction

    Method

    ology

    Conclusions

    Questions

    Epistemo

    logy

    Epistemology

    Ontology

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    Abstract classesUsed in support of the normal classes.

    2: ONTOLOGY

    Introduction

    Epistemo

    logy

    Method

    ology

    Conclusions

    Questions

    Epistemo

    logy

    Epistemology

    Ontology

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    Discuss the components ofthe KBPI

    1.EPISTEMOLOGY

    2.ONTOLOGY

    3.METHODOLOGY

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    Why methodology?

    3: METHODOLOGY

    Introduction

    Epistemo

    logy

    Ontology

    Conclusions

    Questions

    Epistemo

    logy

    Epistemo

    logy

    Epistemology

    Ontology

    Methodology

    I need a recipe of how to improve a business process.

    This recipe should tell me how to:

    1. Collect the data that describes the process2. Analyse the data

    3. Produce the results

    all in a systematic and disciplined way.

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    The KBPI method

    3: METHODOLOGY

    Introduction

    Epistemo

    logy

    Ontology

    Conclusions

    Questions

    Epistemo

    logy

    Epistemo

    logy

    Epistemology

    Ontology

    Methodology

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    Audit procedure

    3: METHODOLOGY

    Introduction

    Epistemo

    logy

    Ontology

    Conclusions

    Questions

    Epistemo

    logy

    Ontology

    Epistemo

    logy

    Ontology

    Epistemo

    logy

    Epistemo

    logy

    Epistemology

    Ontology

    Methodology

    Audit

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    Analysis: two levels

    3: METHODOLOGY

    Introduction

    Epistemo

    logy

    Ontology

    Conclusions

    Questions

    Epistemo

    logy

    Ontology

    Epistemo

    logy

    Epistemo

    logy

    Epistemolo

    gy

    Ontology

    Methodology

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    Function level procedureF1

    F4

    F3

    F2

    PM KO

    KT

    KX

    E

    KX

    F1: Find all knowledge intensive functions

    F2: Designate performance descriptors.

    F3: Determine current performance.F4: Determine desired performance.

    For each Function class instance:

    For each of Process member, Knowledge

    Object, Knowledge Transformation andKnowledge Tool class instances :

    KT: Define the Knowledge Tool instance.

    KO: Define the Knowledge Object instance.

    KX: Define the Knowledge Transformation instance.

    PM: Define the Process Member instance. Determinetheir Critical Knowledge Success Factors.

    For each of KT, KO, KX, PM, evaluate theircurrent status and the impact of theirperformance on the Function performance.

    For each non-alignment:

    E: Find the likely causes.

    S: Design a possible solution.

    3: METHODOLOGY

    Epistemo

    logy

    Ontology

    Conclusions

    Questions

    Epistemo

    logy

    Ontology

    Epistemo

    logy

    Epistemo

    logy

    Epistemolo

    gy

    Ontology

    Methodology

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    Process level procedure

    3: METHODOLOGY

    Epistemo

    logy

    Ontology

    Conclusions

    Questions

    Epistemo

    logy

    Ontology

    Epistemo

    logy

    Epistemo

    logy

    Epistemolo

    gy

    Ontology

    Methodology

    KP1

    KP

    2

    KT TR

    E

    KX

    KP1: Find all Knowledge Paths

    KP2: Designate performance descriptors.

    KP3: Determine current performance.KP4: Determine desired performance.

    For each Function class instance:

    For each of Knowledge Transaction andKnowledge Tool class instances :

    For each of KT, TR, evaluate their current statusand the impact of their performance on theKnowledge Path performance.

    For each non-alignment:

    KP3

    KP4

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    Tools used

    3: METHODOLOGY

    Epistemo

    logy

    Ontology

    Conclusions

    Questions

    Epistemo

    logy

    Ontology

    Epistemo

    logy

    Epistemo

    logy

    Epistemolo

    gy

    Ontology

    Methodology

    1. Protg, an open-source ontology editor

    For capturing and organising theprocess audit data.

    For enforcing the process ontology

    2. MS Visio For visualising the process model

    Uses standard BPML notationdeveloped by BPMI.org

    For visualising some of the instancesof the business ontology

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    Tools: Protg ontology editor

    3: METHODOLOGY

    Introduction

    Epistemo

    logy

    Ontology

    Conclusions

    Questions

    Epistemo

    logy

    Ontology

    Epistemo

    logy

    Ontology

    Epistemo

    logy

    Ontology

    Epistemo

    logy

    Epistemo

    logy

    Epistemolo

    gy

    Ontology

    Methodology

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    Tools: Graphic modeller

    3: METHODOLOGY

    Introduction

    Epistemology

    Ontology

    Conclusions

    Questions

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Epistemology

    Epistemolo

    gy

    Ontology

    Methodology

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    Concluding remark 1:Innovation

    Innovation is in the application of anevolutionary epistemology.

    I now have a better idea of what knowledgeis.

    Innovation is in the use of an ontology inbusiness processes.

    I can now describe knowledge-intensebusiness processes using a formal language

    Introduction

    Epistemology

    Ontology

    Metho

    dology

    Conclusions

    Questions

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Epistemology

    Epistemolo

    gy

    Ontology

    Methodology

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    Concluding remark 2:Business ontology

    The business ontology will beimproved with time.

    An improved business ontology will

    allow for a more precise definition ofthe business processThis will allow for more accurate

    analysis and tentative solutions(improvement recommendations)

    Introduction

    Epistemology

    Ontology

    Metho

    dology

    Questions

    Epistemology

    Ontology

    Metho

    dology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Epistemology

    Epistemolo

    gy

    Ontology

    Conclusions

    Meth

    odology

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    Concluding remark 3: Tools

    Much of the methodology can beautomated/facilitated with appropriate use oftools.

    The KBPI based on the use of Protg is a firststep towards a knowledge engineering software

    suite. The second (small) step is the extension of

    Protg to automate part of the analysisprocedures. I am working on this now (in myspare time).

    The third step is a secret.

    Introduction

    Epistemology

    Ontology

    Metho

    dology

    Questions

    Epistemology

    Ontology

    Metho

    dology

    Epistemology

    Ontology

    Metho

    dology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Epistemology

    Epistemolo

    gy

    Ontology

    Conclusions

    Metho

    dology

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    Thanks to:

    Socrates of Athens, andSir Karl R. Popper for their clarity and wisdom

    Dr Eric Tsui for his advice over the years andinvitation to PolyU

    Dr Ken Dovey (University of Technology, Syndey),Dr Bill Hall (Tenix Defence, Melbourne),Dr Bob Smith (Tall Tree Labs)

    My dissertation examiners for their valuable

    critique towards eliminating my errors.

    Introduction

    Epistemology

    Ontology

    Metho

    dology

    Questions

    Epistemology

    Ontology

    Metho

    dology

    Epistemology

    Ontology

    Metho

    dology

    Epistemology

    Ontology

    Metho

    dology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Epistemology

    Epistemolo

    gy

    Ontology

    Conclusions

    Metho

    dology

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    Questions

    Contact me:

    [email protected]

    +61 4 1468 5581

    Fax: +61 2 8212 5938

    Introduction

    Epistemology

    Ontology

    Metho

    dology

    Epistemology

    Ontology

    Metho

    dology

    Epistemology

    Ontology

    Metho

    dology

    Epistemology

    Ontology

    Metho

    dology

    Epistemology

    Ontology

    Metho

    dology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Ontology

    Epistemology

    Epistemology

    Epistemolo

    gy

    Ontology

    Conclusions

    Questions

    Metho

    dology