Developing Organizational Renewal Capability in the Municipal (City) Organization

The objective of this chapter is to increase understanding and management of knowledge management in public sector organizations. In this chapter the knowledge management-based assessment and development process of organizational renewal capability is presented, and it is demonstrated in one large municipal (city) organization. The chapter thereby contributes to the discussion of the importance of organizational renewal capability and knowledge management for public organization renewal and for the performance excellence of public sector organizations in general. The development process of organizational renewal capability provides an approach and methods on how organizations can identify the current state of their renewal enabling factors and the related knowledge processes in order to initiate sustained renewal. Thereby, they can learn to utilize and manage their key knowledge processes by viewing their organization as a developing knowledge system.