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The Knowledge Management Cycle 43

Knowledge processing environment

Organizational
Knowledge production Knowledge integration
knowledge

Beliefs and claims

Double loop learning

Distributed
organizational
knowledge
Single loop learning
Business processing environment base
Beliefs and claims

Figure 2.5
High-level processes in the McElroy KM Cycle

expectations or fail to do so. Matches reinforce existing knowledge, leading to its reuse,
whereas mismatches lead to adjustments in business processing behavior via single
loop learning ( Argyris and Schon 1978 ). Successive failures from mismatches will lead
to doubt and ultimately rejection of existing knowledge, which will in turn trigger
knowledge processing to produce and integrate new knowledge, this time via double-
loop learning ( Argyris and Schon 1978 ).
The term problem claim formulation represents an attempt to learn and state the
specifi c nature of the detected knowledge gap. The term knowledge claim formulation fol-
lows as a response to validated problem claims via information acquisition and indi-
vidual and group learning. New knowledge claims are tested and evaluated via
knowledge claim evaluation processes. Evaluation of knowledge claims lead to surviv-
ing knowledge claims which will be integrated as new organizational knowledge or
falsifi ed/undecided knowledge claims. The record of all such outcomes becomes part
of the distributed organizational knowledge base via knowledge integration. Once
integrated, they are used in business processing. Experience gained from the use of
knowledge in the organizational knowledge base gives rise to new claims and resulting
beliefs, triggering the cycle to begin all over again.