A firm's ability to extract and leverage explicit knowledge from its employees by formalizing it in systems and procedures directly contributes to its:
A) bottom line.
B) financial health.
C) information management.
D) structural capital.
E) Both B and C

Question

Quizplus · Accepted Answer

The ability to extract and leverage explicit knowledge from employees through formalization in systems and procedures is a component of structural capital. Structural capital refers to the resources that remain with a company after the employees go home, such as databases, patents, and procedures, and can contribute to the firm's overall success.

A Firm's Ability to Extract and Leverage Explicit Knowledge from Its