What is "Knowledge Management" in Theory and Practice?: A summary of the essence of state of the art research on knowledge management. Paper for the Baltic-Net Conference on Knowledge Management in Networks and Innovation System in Regions In Transition, June 15, 2001, Agerskov, Denmark www.baltic-IT.net(Report 6, 2001-09-10)

The shift from the industrial era to the knowledge era is decribed by naming changes in economic processes and by explaining the increasing importance of knowledge in business activities. The aim is to show the needs of appropriate systems for knowledge management and to give advice to SME's concerning the use of their existing knowledge-based economy. By giving some definitions and further explanations, one goal is to lay out how important it is for SME's to follow certain rules when implementing a knowledge network. The steps of knowledge production presented in the end are useful for the organisation and development of a knowledge management system a knowledge network in organisations.