Both knowledge and knowledge management (KM) are difficult to define. Academics in the field of KM typically define knowledge as a derivative of information, which is derived from data. Knowledge is information or data, organised in a way that is useful to the organisation. The central idea is that KM efforts work to create, codify and share knowledge valuable to the organisation. Another idea is that KM shifts the focus from process to practice. It is using communication and collaboration to improve how people do their practice (their job within an overall process). KM is essentially defined by the need to manage knowledge in an organisation like an asset. The impetus for managing knowledge in organisations is the realisation that the new economy is based on knowledge. The most basic idea driving KM is that knowledge is a strategic asset that must be managed. It should be managed as an asset or resource, just like land, capital, and labour. This is a shift away from how to simply obtain knowledge to how to use it productively. Knowledge is to be seen as an activity as well as an object; it is a product and a process. It is something that must be created and shared. KM is essentially about tacit knowledge (TK). It is aimed at making TK explicit and then sharing that for reuse across an organisationSome are concerned with the first part: knowledge creation, innovation or organisational learning. Others are concerned with capturing TK for codification. This means recording videos or feeding data into a database. Knowledge transfer is sharing knowledge. This means a database of information with access methods. It can mean fostering networks of people for sharing knowledge or creating knowledge maps showing who has what expertise. There are different tools for the KM. It can be divided into two parts: Information technologies tools and Web-based (IT) tools. Web, in coming years, will present a set of new tools for managing knowledge by providing an extremely rich common language for representing knowledge.