Knowledge management just means hiring smart people. While it is true that people are the main sources of knowledge, it's what people do, not just what they know, that adds value to firms. Knowledge management means implementing expensive technology. Technology certainly plays a key role, especially in distributing knowledge. But technology alone won't improve a company's knowledge management or make it more competitive.
Knowledge management means creating huge, unwieldy databases.
But these aren't the firms that get business value from their knowledge. In the movie of the same name, a mystical voice tells the main character that if he builds a baseball field in his backyard, the legends of baseball will appear. That voice won't help you with knowledge management. Building a new technology or process for creating and applying knowledge isn't enough to inspire participation in knowledge management or yield business results. Good knowledge management is driven by a good chief knowledge officer or chief learning officer.