1898 & Co. Blog

Building the Knowledge-Enabled Operating Model for Utilities

Written by Chuck Tooman | July 21, 2026 at 5:58 PM

As organizations deploy new technologies, operational context often struggles to keep pace. This creates an automation-context gap: the growing disconnect between technology-enabled decisions and the knowledge required to make those decisions effectively. This challenge becomes more visible as utilities accelerate automation and digital transformation.

The question for utility leaders is how to build an organization capable of continuously generating, maintaining and applying knowledge in an environment characterized by constant change. The answer is not a new software platform, a better document repository or a larger training program. While each of those may play an important role, they are only components of a broader organizational capability.

What utilities increasingly need is a knowledge-enabled operating model.

That model recognizes that knowledge is an operational asset that must flow through the business much like work, data and decisions. Rather than simply preserving knowledge, the objective is for operational knowledge to remain visible, current, actionable and embedded in the flow of work as conditions change.

To accomplish this, utilities must focus on three interconnected layers:

  • Knowledge assets — The organization's tacit and explicit knowledge that collectively represents what the organization knows.
  • Knowledge infrastructure — The processes, governance, workflows, systems, roles and feedback mechanisms that enable knowledge to be captured, maintained, shared, embedded and continuously improved upon.
  • Knowledge readiness — The organization's ability to consistently apply the right knowledge at the right time to support effective operational and strategic performance.

Together, these three layers represent a progression from resource to capability to outcome. Knowledge assets comprise the organization's intellectual resources. Knowledge infrastructure transforms those resources into an organizational capability. Knowledge readiness is the organization's demonstrated ability to apply knowledge effectively under real operating conditions.

Knowledge Assets: Building the Resources

Knowledge assets are the resources themselves: experience, data, procedures, lessons learned and judgment. Utilities possess a wide range of knowledge assets that support operational and strategic performance. Some are deeply institutional and experiential, residing within the judgment and knowledge of field crews, operators, engineers and supervisors. Others are generated through systems, analytics, performance monitoring, planning activities and operational intelligence platforms. These assets represent the collective knowledge of the organization.

The challenge for utilities is rarely an absence of knowledge. More often, organizations struggle to identify what knowledge is most critical, where it resides, how it is developed and how it can be accessed when needed. As utilities become more complex, understanding and managing these knowledge assets becomes increasingly important.

Knowledge Infrastructure: Refining the Capabilities

Knowledge infrastructure consists of all the processes, systems, governance mechanisms, workflows, decision rules, roles and feedback loops that enable knowledge to be captured, maintained, distributed and applied throughout the organization. This is the layer that many organizations overlook.

Utilities often focus on creating additional documentation, training materials and information repositories. While those efforts increase the volume of available content, they do not necessarily improve organizational capability. Knowledge adds value only when it is integrated into how work is performed and how decisions are made. Some examples:

  • Lessons learned from field activities must be incorporated into work management processes.
  • Operational insights should inform planning decisions.
  • Asset performance knowledge should be accessible within maintenance workflows.
  • Governance routines should identify emerging knowledge gaps before they become operational risks.
  • Feedback from employees should continuously refine processes, systems and decision-making frameworks.

In this sense, knowledge infrastructure serves as the connective tissue between what the organization knows and how the organization operates.

Knowledge Readiness: Improving the Outcomes

Knowledge readiness encompasses the outcomes produced by effective knowledge infrastructure. It represents the organization's ability to consistently apply the right knowledge at the right time to support operational and strategic decisions. If assets are what the organization knows, and infrastructure is how knowledge moves, readiness is whether the organization can actually use that knowledge under operating conditions. In practical terms, knowledge readiness is what determines whether a utility can sustain performance through workforce turnover, technology adoption, regulatory change and operating complexity.

If knowledge risk represents the possibility that critical knowledge is unavailable, inaccessible or insufficient, knowledge readiness represents the opposite condition. Organizations with high levels of knowledge readiness can absorb change more effectively, adapt to new technologies more quickly, onboard employees more efficiently, and make decisions with greater confidence and consistency.

That readiness is not measured by how much information exists within the organization, but by how effectively knowledge supports performance. An organization might possess extensive documentation, training materials and institutional knowledge assets, yet struggle to apply that knowledge consistently in daily operations. The true measure of readiness is the degree to which knowledge enables employees to make timely, effective decisions when work is performed.

Successful utilities are increasingly defined by the ability to adapt. Technologies evolve, regulatory requirements change, customer expectations rise and new operating models emerge. Having the most advanced technology or the largest capital programs does not guarantee success. Rather, success will come to those that can consistently translate experience into organizational capability and from there into operational performance.

Effective organizations recognize that knowledge readiness is primarily a design challenge, not a training challenge. Knowledge must be embedded into workflows, systems, decision processes, governance routines and operating practices so employees can consistently make effective decisions in dynamic environments. Building this capability requires designing work in a way that makes knowledge actionable.

Leveraging Knowledge for Sustainable Performance

Utilities have long viewed infrastructure as the foundation of reliable service. Knowledge should be viewed in the same way.

Just as physical infrastructure enables the movement of power and water, knowledge infrastructure enables the movement of decisions, experience-based wisdom and organizational learning. Both require investment and maintenance, and both are essential to sustain performance in an increasingly complex environment.

For utility leaders, this changes how major initiatives should be governed. On the next technology implementation, process redesign, capital program improvement or workforce transition, leaders should ask whether the project team has identified the knowledge required to perform the work, where that knowledge resides, how it will be embedded into the future operating model and who will keep it current after implementation.

On the next major initiative, utility leaders can begin applying a knowledge-enabled operating model by asking five questions:

  • What critical knowledge must be preserved, transferred or created for this initiative to succeed? This moves knowledge from an afterthought to an explicit project asset.
  • Where does that knowledge currently live, and who depends on it? This helps identify reliance on informal specialists, workarounds, legacy practices or undocumented judgment.
  • How will that knowledge be embedded into future work? This shifts the focus from training and documentation to workflows, roles, systems, decision points and governance routines.
  • How will we know employees can apply the knowledge under operating conditions? This reframes readiness as demonstrated capability, not completion of a training event.
  • Who will own keeping the knowledge current after the project ends? This prevents knowledge from degrading after application.

Ultimately, successful utilities will design operating models that make knowledge a visible, governed and scalable component of how the organization works. 

 

This post is part of a series sharing perspectives about successfully navigating utility transformation. Learn more: