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  <front>
    <journal-meta />
    <article-meta>
      <title-group>
        <article-title>An ontology of organizational knowledge</article-title>
      </title-group>
      <contrib-group>
        <contrib contrib-type="author">
          <string-name>Anderson Beraldo de Ara u´jo</string-name>
          <xref ref-type="aff" rid="aff0">0</xref>
        </contrib>
        <contrib contrib-type="author">
          <string-name>Mateus Zitelli</string-name>
          <xref ref-type="aff" rid="aff0">0</xref>
        </contrib>
        <contrib contrib-type="author">
          <string-name>Vitor Gabriel de Arau´ jo</string-name>
          <xref ref-type="aff" rid="aff0">0</xref>
        </contrib>
        <aff id="aff0">
          <label>0</label>
          <institution>Federal University of ABC (UFABC) Santo Andre ́</institution>
          ,
          <addr-line>Sa ̃o Paulo -</addr-line>
          <country country="BR">Brazil</country>
        </aff>
      </contrib-group>
      <pub-date>
        <year>2007</year>
      </pub-date>
      <abstract>
        <p>One of the main open problems in knowledge engineering is to understand the nature of organizational knowledge. By using a representation of directed graphs in terms of first-order logical structures, we defined organizational knowledge as integrated relevant information about relational structures. We provide an algorithm to measure the amount of organizational knowledge obtained via a research and exhibit empirical results about simulations of this algorithm. This preliminary analysis shows that the definition proposed is a fruitful ontological analysis of knowledge management.</p>
      </abstract>
    </article-meta>
  </front>
  <body>
    <sec id="sec-1">
      <title>1. Introduction</title>
      <p>
        In this paper we provide an logical method to quantify knowledge that can be used
in all the four views of organizational knowledge and present computational results about
them all. Quantitative indicators of knowledge can create benefits such as decreasing
operational cost, product cycle time and production time while increasing productivity,
market share, shareholder equity and patent income. They can drive decisions to invest on
employees skills, quality strategies, and define better core business processes. Moreover,
if applied to the customers, quantitative indicators can create an innovative
communication platform, where the information of the clients can be quickly collected and processed
into relevant decision indicators in specific terms such as abandoning one line of product,
on the one hand, and investing, on the other [
        <xref ref-type="bibr" rid="ref6 ref7">6, 7</xref>
        ].
      </p>
      <p>
        One way to unify this different approaches to KM is to outline a minimal ontology
of business processes, in a Quinean sense. According to Quine, as it is well known, “to
be is to be the value of a variable” [
        <xref ref-type="bibr" rid="ref8">8</xref>
        ]. In other words, ontology is the collection of
entities admitted by a theory that is committed to their existence. In the present context,
we call minimal ontology the ontology shared by every theory that successfully describes
a processes as a organizational one. Our fundamental idea is to define organizational
structures, using the general concept of first-order logical structure (Section 2). Thus, we
propose a mathematical definition of information about organizational structures, based
on the abstract notion of information introduced here for the first time (Section 3). The
next step is to conceive organizational knowledge as justified relevant information about
organizational structures (Section 4). From this approach we formulate an algorithm and
simulate them (Section 5).
      </p>
    </sec>
    <sec id="sec-2">
      <title>2. Organizational structures</title>
      <sec id="sec-2-1">
        <title>We begin by some usual definitions in logic - more details can be found in [9]. The first one is associated to the syntax of organizational structures.</title>
        <p>Definition 2.1. A signature is a set of symbols S = C [ P [ R such that C = fc1; : : : ; ckg
is a set of constants, P = fP1; : : : ; Pmg is a set of property symbols, R = fR1; : : : ; Rng
is a set of relation symbols. A formula over S is recursively defined in the following way:
1. If ; 2 C, 2 P ,</p>
        <p>formulas;</p>
        <sec id="sec-2-1-1">
          <title>2. If and are formulas, then : ,</title>
          <p>called propositional formulas.</p>
        </sec>
        <sec id="sec-2-1-2">
          <title>2 R, then</title>
          <p>A theory over S is just a set of formulas.
and</p>
          <p>are formulas, called predicative
^ , _ ,
!
and
$
are formulas,</p>
        </sec>
      </sec>
      <sec id="sec-2-2">
        <title>Now we recall the general notion of first-order structure.</title>
        <p>Definition 2.2. Given a signature S, a structure A over S is compounded of:
1. A non-empty set dom(A), called the domain of A;
2. For each constant in S, an element A in dom(A);
3. For each property symbol in S, a subset A of dom(A).
4. For each relation symbol in S, a binary relation A on dom(A).</p>
        <p>We write A( ) = 1 and A( ) = 0 to indicate, respectively, that the formula
is true, false, in the structure A. Besides, we have the usual definitions of the logical
operators : , ^ , _ , ! and $ on a structure A. In particular, we say that
a theory T is correct about A if A( ) = 1 for all 2 T .
Definition 2.3. Given a signature S, an organizational structure AT over S is
compounded of a structure A over S, a theory T over S which is correct about A and
expresses facts about a business process.</p>
      </sec>
      <sec id="sec-2-3">
        <title>The idea inside the definition of organizational structures is that they are just logical structures with a fundamental theory about how the processes works. In the proposition 2.1, we show that business processes are indeed special cases of organizational structures.</title>
        <p>Proposition 2.1. Business processes are organizational structures.</p>
      </sec>
      <sec id="sec-2-4">
        <title>Proof. According to [10], a business processes is a tuple (N; E; ; ), in which:</title>
      </sec>
      <sec id="sec-2-5">
        <title>1. N is the set of nodes;</title>
      </sec>
      <sec id="sec-2-6">
        <title>2. E N N is the set of edges;</title>
        <p>3. : N ! T is a function that maps nodes to types T ;
4. : N ! L is a function that maps nodes to labels L.</p>
        <p>Let L = fl1; : : : ; lkg be the set of labels and T = fT1; : : : ; Tng be the set of types.
Thus, we can define the organization structure A with domain dom(A) = fli : 1 i
kg, subsets T1; : : : ; Tn of L and the relation E.</p>
        <p>In what follows, we write “ ” = to mean that the symbol is a formal
representation of the expression . Besides, X is the interpretation of in the structure A,
where X is a set over the domain of A. The elements of the domain dom(A) of a structure</p>
      </sec>
      <sec id="sec-2-7">
        <title>A are indicated by bars above letters.</title>
        <p>Example 2.1. Let S = C [ P [ R be the signature such that C = fi; f; o; r; s; vg,
P = fE; Ag and R = fLg, in which “initial” = i, “final” = f , “order” = o,
“receive goods” = r, “store goods” = s, “verify invoice” = v, “is event” = E,
“is activity” = A and “is linked to” = L. In this case, we can define the organizational
structure AT over S below, where T = :
1. dom(A) = fi; f ; o; r; s; vg;
2. iA = i, f A = f , oA = o, rA = r, sA = s, vA = v;
3. EA = fi; f g and AA = fo; r; s; vg;
4. LA = f(i; o); (o; r); (r; s); (r; v); (s; f ); (v; f )g.</p>
        <p>The organizational structure AT defined above represents the bussiness process in
Figure 1.</p>
      </sec>
    </sec>
    <sec id="sec-3">
      <title>3. Structural information</title>
      <sec id="sec-3-1">
        <title>We turn now to the fundamental notion associated to knowledge, namely, information.</title>
      </sec>
      <sec id="sec-3-2">
        <title>The concept of information is polysemantic [11]. In this work we think of information</title>
        <p>in semantic terms. Since we are going to define a notion of information about
organizational structures, we will call it structural information. Roughly speaking, the structural
information of an organizational structure is the set of insertions and extractions that we
need to perform in order to create this structure.</p>
        <p>Definition 3.1. Let AT be an organizational structure over S. An insertion of the symbol !
into AT is an organizational structure AiT such that AiT is an structure over S0 = S [ f!g
with the following properties:
1. AiT ( ) = A( ) for all 6= ! such that 2 S;
2. If ! is a constant in S, then dom(AiT ) = dom(A) and AiT (!) 6= A(!), but if ! is
a constant not in S, then dom(AiT ) = dom(A) [ fag and AiT (!) = a;
3. If ! is a property symbol, then dom(AiT ) = dom(A) [ fag and AiT (!) = A(!) [
a ;
f g
4. If ! is a relation symbol, then dom(AiT ) = dom(A) [ fa1; a2g and AiT (!) =</p>
        <p>A(!) [ f(a1; a2)g.</p>
        <p>Example 3.1. Consider the organizational structure AT over S from example 2.1. Define
the signature S0 = C0 [ P 0 [ R0 equals to S except by the fact that C0 = C [ ftg, where
“transfer goods” = t. Thus, the organizational structure AiT defined below is an insertion
of t into AT :
1. dom(Ai) = dom(A) [ ftg;
2. tA = t and Ai = A for 2 C;
3. EAi = EA and AAi = AA [ ftg;
4. LAi = LA f(o; r)g [ f(o; t); (t; r)g.</p>
        <sec id="sec-3-2-1">
          <title>The organizational structure AiT represents the business process in Figure 2.</title>
        </sec>
        <sec id="sec-3-2-2">
          <title>Definition 3.2. Let A be an S-structure. An element a 2 dom(A) is called free for the symbol ! 2 S if there is no constant 2 S with A( ) = A(!) neither a property symbol such that a 2 A( ) and a = A(!) nor a relation symbol such that (a1; a2) 2 A( ) and ai = A(!) for i 2 f1; 2g.</title>
          <p>If is a relation symbol, we write A( )i to denote element ai of (a1; a2) 2 A( ).
Definition 3.3. Let AT be an organization structure over S. An extraction of the symbol
! from AT is a database AeT such that AeT is an structure over S0 = S f!g with the
following properties:
1. AeT ( ) = A( ) for all 6= ! such that
2. If ! is a constant not in S, then dom(AeT ) = dom(A), but if ! is a constant in S,
dom(AeT ) = dom(A) fA(!)g in the case of A(!) being free for !, otherwise,
dom(AeT ) = dom(A);
3. If ! is a property symbol not in S, then dom(AeT ) = dom(A), but if ! is a property
symbol in S, then dom(AeT ) = dom(A) fA(!)g, where A(!) is an element free
for !, and AeT (!) = A(!) fA(!)g;
4. If ! is a relational symbol not in S, then dom(AeT ) = dom(A), but if ! is a
relational symbol in S, then dom(AeT ) = dom(A) fA(!)1; A(!)2g, where A(!)i
is an element free for !, and AeT (!) = A(!) f(A(!)1; A(!)2)g.</p>
          <p>Example 3.2. Consider the organizational structure AT over S from example 2.1. Define
the signature S00 = C00 [ P 00 [ R00 equals to S except by the fact that C0 = C frg. Thus,
the organizational structure AeT defined below is an extraction of r from AT :
1. dom(Ae) = dom(A)
2. Ae = A for 2 C00;
3. EAe = EA and AAe = AA
4. LAe = LA</p>
          <p>r ;
f g</p>
          <p>r ;
f g
f(o; r)g [ f(o; s); (o; v)g.</p>
        </sec>
        <sec id="sec-3-2-3">
          <title>The organizational structure AeT represents the business process in Figure 3.</title>
          <p>Strictly speaking, the organizational structure AeT in example 3.2 is not an
extraction from AT . For example, LAe = LA f(o; r)g [ f(o; s); (o; v)g, which means that LAe
was made of insertions in AT as well. Since we are interested here in practical
applications, we will not enter in such a subtle detail - we delegate that to a future mathematically
oriented article. This point is important because it shows that to build new organizational
structures from a given one is, in general, a process that use many steps. We explore this
idea to define a notion of structural information.</p>
          <p>Definition 3.4. An update U A of an organizational structure AT over S is a finite
sequence U A = (AjT : 0 j n) such that A0T = AT and each AjT+1 is an insertion into or
an extraction from AjT . An update U A = (AjT : 0 j n) is satisfactory for a formula
if, and only if, either An( ) = 1 or An( ) = 0. In the case of a satisfactory update
U A for , we write U A( ) = 1 to denote that An( ) = 1 and U A( ) = 0 to designate
that An( ) = 0. A recipient over in organizational structure AT for a formula is a
non-empty collection of updates U of AT satisfactory for .</p>
        </sec>
        <sec id="sec-3-2-4">
          <title>Example 3.3. Given the organizational structures AT , AiT and AeT from the previous</title>
          <p>examples. The sequences (AT ; AiT ) and (AT ; AeT ) are updates of AT that generates,
respectively, the business processes in Figures 2 and 3.</p>
          <p>Definition 3.5. Given a recipient U over a fixed organizational structure AT , the
(structural) information of a sentence is the set</p>
          <p>IU ( ) = fU A 2 U : U A( ) = 1g:</p>
          <p>Besides that, for a finite set of sentences
information of is the set
= f 0; 1; : : : ; ng, the (structural)
n
IU ( ) = [ IU ( i):</p>
          <p>i=0
Example 3.4. Consider the recipient U = f(AT ; AiT ); (AT ; A2T )g. In this case, we have
the following:
1. IU (Lrs _ Lrv) = f(AT ; AiT )g;
2. IU (Lio) = U .</p>
        </sec>
      </sec>
    </sec>
    <sec id="sec-4">
      <title>4. Organizational knowledge</title>
      <sec id="sec-4-1">
        <title>Since we have a precise definition of information about organizational structures, we</title>
        <p>
          can now define mathematically what is organizational knowledge. The intuition behind
our formal definition is that knowledge is information plus something else [
          <xref ref-type="bibr" rid="ref11">12</xref>
          ]. To be
specific, we defined organizational knowledge as justified relevant information about
organizational structures.
        </p>
        <p>Definition 4.1. Given an organizational structure AT over S = C [ P [ R such that
C = fc1; : : : ; ckg, P = fP1; : : : ; Pmg, and R = fR1; : : : ; Rng, the organizational graph
associated to AT is the multi-graph GA = (V; fElgl&lt;n) such that:
1. V = f(a; PjA) 2 dom(A) }(dom(A)) : A(Pj(a)) = 1g for 1 j m;
2. El = f(b; d) 2 V 2 : b = (a; PjA)) 2 V; d = (c; PkA)) 2 V; A(Rl(a; c)) = 1g for
1 l n.</p>
        <p>Example 4.1. Let AT be the organizational structure from example 2.1. The
organizational graph associated to AT is graph GA = (V; E) such that:
Definition 4.2. Let R+ be set of non-negative real numbers. Given an organizational
graph G = (V; fEigi&lt;n) associated to an organizational structure AT over S, an
objectual relevancy is a function d : V ! R+ and a relational relevance is a function
D : fEigi&lt;n ! R+ such that
d(a)
[d]
and</p>
        <p>D(Ei)</p>
        <p>[D];
for all a 2 V and i &lt; n.</p>
      </sec>
      <sec id="sec-4-2">
        <title>The functions d and D represent the relevancy associated, respectively, to the</title>
        <p>nodes and types of edges between nodes. Given that, we provide some axioms for
functions that every measure of organizational knowledge must satisfy.</p>
        <p>Definition 4.3. We write UA(G) to indicate an update U A = (AjT : 0 j n) such that
A0T = A and ATn = G. In special, UA(G) denotes the set of all updates UA(G). In this
way, we define that K : U (Gb) U (Gr) ! R+ is an knowledge function if, and only if:
1. K(U (Gb); U (Gr)) = K(U (Gr); U (Gb));
2. If Gb = Gr then K(U (Gb); U (Gr)) = 0;
3. If Gb \ Gr = then K(U (Gb); U (Gr)) = 1;
4. If Gb G then K(U (Gb); U (Gr)) K(U (G); U (Gr));
5. If Gr G then K(U (Gb); U (Gr)) K(U (Gb); U (G)).</p>
      </sec>
      <sec id="sec-4-3">
        <title>The first axiom expresses the symmetry between the knowledge base and the re</title>
        <p>search base. This is a consequence of the fact that insertions and extractions are dual
operations and so it does not matter whether we consider the order of the structures. The
second and third axioms are immediate and the forth and fifth represent the monotonicity
of the structural information.</p>
        <p>Definition 4.4. Let AT be an organizational structure and K a knowledge function over
an organizational graph Gb = (Vb; fEigi&lt;n) associated to AT , called knowledge base,
and an organizational graph Gr = (Vr; fEjgj&lt;n) associated to an organizational
structure BT , called research base. Thus, the organizational knowledge of BT with respect to
AT and K is the number k such that</p>
        <p>K = minfK(UGb\Gr (Gb); UGb\Gr (Gr)) :</p>
        <p>UGb\Gr 2 U (Gb) [ U (Gr)g:</p>
      </sec>
    </sec>
    <sec id="sec-5">
      <title>5. Computational results</title>
      <sec id="sec-5-1">
        <title>Our approach permits us to define the algorithm Organizational knowledge that calculates</title>
        <p>organizational knowledge. We could provide a mathematical proof that this algorithm
computes an knowledge function, but we prefer to present empirical data about its
execution - in a mathematical oriented article we will give all the details. The simulations
provided in this section were implemented in a program wrote in Python.</p>
        <p>The figure Fig. 4 is a graphic K jV j, where jV j is the number of nodes of a
graph G = (V; fEjgj&lt;n), generated with a number of nodes from 1 to 100 with step of
5 nodes, 5 types of edges with 10 possible values, i.e., with n = 5 and D : fEjgj&lt;n !
R+ with 10 possibles values. Each knowledge measure is a result of the mean of 10
trials. This graph shows that the variation in an research base with respect to nodes are
irrelevant to knowledge. This is in accordance with axiom 3. As we randomly choose new
organizational graphs bigger and bigger, the probability of finding completely different
graphs increase, and so knowledge approaches to 1.</p>
        <p>
          The figure Fig. 5 is a graphic K jEj, where jEj is the number of edges of a
graph G = (V; fEigi&lt;n), generated with a number of nodes from 1 to 100 with step of 5
nodes, 5 types of edges with 10 possible values. Each knowledge measure is a result of
the mean of 10 trials. This graph shows that the variation in an research base with respect
to edges is relevant to knowledge. This is a sigmoid function, a special case of learning
curve [
          <xref ref-type="bibr" rid="ref12">13</xref>
          ]. Indeed, we have obtained the following function
        </p>
        <p>K(x) = 1=(1 + 0:001010e 0:385636px)1=0:000098:</p>
        <p>The square root px is just due to the factor of redundancy 2:19721208941247
generated by the fact that we have chosen the graphs randomly. This redundancy implies</p>
      </sec>
      <sec id="sec-5-2">
        <title>Algorithm 1 Organizational Knowledge</title>
        <p>
          a decreasing in the growing of knowledge. This is a very important result because, first, it
shows a clear connection between our definition of knowledge and the usual empirical
approaches to learning and, besides that, it is evidence that knowledge is indeed a relational
property of organizational structures, as it have been sustained, for example, [
          <xref ref-type="bibr" rid="ref5">5</xref>
          ].
        </p>
      </sec>
    </sec>
    <sec id="sec-6">
      <title>6. Conclusion</title>
      <p>
        The main focus of the quantitative measure discussed in this paper is to use dynamic
data taken from research methods about knowledge management. Our results shows that
knowledge is a relational property of organizational structures. Nonetheless, much more
should be done in order to understand the consequences of these results. At first, the
organizational knowledge management techniques comprehend aspects of how to
understand knowledge, using the right attitudes to the right environments. Once the knowledge
meaning is defined, the knowledge sharing behaviour should be identified in order to
apply quantitative measures and then driving the KM process toward a more certain path
[
        <xref ref-type="bibr" rid="ref13">14</xref>
        ]. We also need to analyse how the measurement of knowledge given here can be used
for these purposes. We relegate that to future works.
      </p>
    </sec>
    <sec id="sec-7">
      <title>Acknowledgment</title>
      <sec id="sec-7-1">
        <title>Omitted for the sake of double-blind evaluation.</title>
      </sec>
      <sec id="sec-7-2">
        <title>Wellesley</title>
        <p>Concepts, Languages, Architectures.</p>
      </sec>
    </sec>
  </body>
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