In 17.1, when the role is set to Knowledge Manager, upon creation of a new Knowledge Category, the Knowledge Manager cannot assign permissions by Role. This can be remedied by modifying the Security Function Access granted to the Knowledge Manager Role.
1. Navigate to the 'Knowledge Manager' role, via the Administration tab. Select Security and Role Management>Role Management>Role List, and it will be listed there.
2. On the Additional Information>Function Access tab, navigate to page 2, where the 'Security' function exists.
3. Select 'Edit in List', and change the Security Function Access to 'View'.