I don't have a great answer unfortunately. My best attempt would involve walking back my use of "knowledge" as both an asset and liability, and instead I'd try to add some distinction, i.e: maybe describe "knowledge" as the asset and "documentation" as the liability.
Knowledge is something you consume, digest and then use to inform thinking. New knowledge is built on old, and business outputs can be traced back through the knowledge that shaped them. Documentation, on the other hand, is a statement of fact(s) that are applicable only in a specific context (often temporal) that do not contribute to the evolution of a business.
Liabilities aren't inherently negative, they're a valuable tool in the right circumstance: a piece of documentation written for a customer support agent describing "how to issue a refund" has value but it can't be leveraged to grow the business, it can't be built upon, and it must be maintained. The business then must make a tradeoff between investing in knowledge or taking on liabilities.
If we were to represent this visually, knowledge would be the branches of a tree that other branches grow from, and documentation is a dead end.
Most of the documentation I've encountered in my professional life has been written to meet an arbitrary requirement for there to be "documentation" about an output, and so it's a rushed recital of the bare-minimum facts about a thing that exists. Nothing can grow from it. Whereas, when I've encountered it, the knowledge used along the way has been very valuable. A business can create an asset by capturing everything learned, and leverage that asset to inform the next decision, and so on and so forth. After all, that's what individual employees are doing already, it's just happening siloed in their heads.
Returning to the customer support example: years of knowledge collected about our business might teach us that our product's sizing is unique in the marketplace and many customers end up refunding their first purchase to order a different size. If issuing a refund takes 5 minutes per customer, and if all we have is documentation describing the 10 step process, a request from stakeholders to improve customer support efficiency might manifest itself as software development work to reduce issuing a refund to a 5 step process... but knowledge about the business would inform us that what customers really want is to ability to find the right size that fits. Rather than make a documented process easier, we might implement a purchase option where we charge for 1 item, send out 2 sizes, and the customer returns the one they don't want to keep. If all our business knowledge is captured, and not siloed, then a new employee should be able to theorise that, not only an employee who has been around from the start.
I'm not sure how confident I am in the way I've framed this, and using the word "documentation" seems like a risk because "documentation" means "everything written down" to most people, but I appreciate your question because it was interesting to think about: maybe someday I'll have more clarity in my thinking on this.