The Use of Knowledge in Society by Frederick Hayek

According to Raman, (1999) defines a knowledge worker's knowledge work including "information-based, knowledge intensive and knowledge generation" activity (page 2). The theme of this paper is "The major organization of competition recognizes that knowledge and information workers are the key to success in today's environment where knowledge and information become products" (Raman, 1999, p It is .1). The topic of this article is to track knowledge management and the historical development of knowledge workers, to distinguish between knowledge workers and non-knowledge workers, and to explain the knowledge worker's experience in the author organization.

In September 1945, "American Economic Review" (Frederick Hayek) published a paper titled "Use of Social Knowledge". In that paper, Hayek opposed the idea of ​​planned economy in the center. He insists on using a decentralized economic plan to divide decision-making power into many people. If he could read in some way and understand and apply the lessons of the Hayek article, Napoleon would have benefited so much, it might make the bodys fight more definitive and faster .

I would like to start with the concept of F. A. Hayek's essence of social knowledge (see Hayek 1945). Hayek said the knowledge of value creation is radically dispersed throughout society. Social coordination does not occur because the responsible person has a view of God about the knowledge necessary to upload different programs. Social coordination occurs because we have a decentralized mechanism like the market price system. Through it we will share relevant information and cooperate with each other.

Faith - Our society is full of what Hayek calls decentralized knowledge. Because of this decentralized knowledge, individuals have different expectations for the possibility of future results. Predictive markets are good at identifying such distributed knowledge; they are mechanisms that emphasize market participants' estimates based on information owned by individuals. By forcing market participants to bear the economic consequences of their predictions, individuals who continue to lose money by making mispredictions will cease participating in the market. However, those who make good predictions are motivated to continue to participate in the market as compensation is given. Through economic incentives, individuals will remain loyal to what they believe and are more likely to show the degree of trust.