Combining Knowledge & Experience offers Benefits for Our Clients

Several months ago I shared the results on work that a group of us did on the concept of Knowledge Navigation, an area of inquiry that included the idea of tacit and explicit knowledge. The latter is what is available in books, the internet or other forms of publically accessible depositories. The former, tacit knowledge, is what we have in our minds, the information that is gathered, processed and shaped by us on an ongoing basis. Lawyers, doctors, salesmen, nurses and, yes, financial advisors, are good examples of those professions that require the ability to synthesize information, see the patterns in the abstract, and form conclusions for the next course of action. Up until now the link between such "knowledge workers" and the growth of a company has been difficult to quantify.

A new study by McKinsey & Company of 8,000 companies has formed the basis for a better understanding of how the tacit knowledge worker may contribute more to the profitability of a company than has been known. James Manyika, a McKinsey Partner, discusses the results of the research on his article "The Coming Imperative for the World's Knowledge Economy" on page 13 of today's copy of the Financial Times (US edition). As Mr. Manyika writes: "Management must shift its focus from efficiency to effectiveness, which requires changing from measurement of output to measures of output, fostering organizational change, learning, collaboration and innovation". We at ASC take this advice to heart In fact, we have been pushing the envelope on finding ways to share ideas through innovative ways with our clients for the last 15 years. In the end, most financial advisors can access the same information. It is how our firm's collective experience and approach to selecting and sharing information that may be most appropriate for our clients that sets us apart.