Knowledge risk management (KRM) is an emerging field of academic enquiry. It intersects
two previously separate fields: risk management (RM) and knowledge management (KM).
Researchers argue that knowledge is necessary to comprehend and manage the risk.
Previous KRM research has two main themes. First, researchers evaluate how knowledge
can reduce risk leading to better risk management. Examples of this research include De
Zoysa and Russell (2003) who examined how knowledge can assist risk identification, risk
quantification, and risk response; and Verhaegen (2005) and Otterson (2005) who consider
how knowledge informs decision makers. Second, researchers examine how the process of
knowledge management can improve risk management. Examples of this research include
Marshall
et al.
(1996) who identifies a series of KM ‘‘levers’’, such as transferring knowledge
to decision makers, improving accessibility of knowledge, embedding knowledge in
controls and systems, as a way of avoiding the financial catastrophes caused by poor RM.
Some researchers try to explain the similarities between RM and KM; such as the need for
employee insight, the importance of action, the value of lessons learned, and conclude that
risk management is knowledge management (cited in Neef, 2005). These researchers
propose common KM techniques such as knowledge mapping, communities of practice,
‘‘hard tagging’’ experts as the basis of a new KRM approach