A Review Study on the Influence and Effect of Knowledge Management in Small and Medium Enterprises

A well-developed and aligned knowledge management (KM) strategy and active top management participation are two of the key strategic issues in KM. The studies on KM strategy and the role of top management have mainly focused on big firms. The basic requirements and resources of small and medium enterprises (SMEs) are different from big firms. Consequently, KM practices are different in SMEs as compared to big firms, and a thorough study of various aspects of KM for SMEs is needed. This research work is an attempt to study strategic issues in KM in SMEs in India, with particular reference to the automotive component sector. Customer-focused knowledge is the most common KM strategy among Indian automotive component manufacturers. Top management is more active and supportive in KM initiatives in international auto component manufacturers. Indian SMEs need to focus more on the strategic issues in KM for reaping the benefits of KM for sustainable competitiveness.

In the present era of knowledge economy, knowledge embedded within an organization is a great source of sustainable competitiveness. Growing importance of knowledge-intensive industries makes KM a strategic tool in the growth and success of all businesses. Hence, Knowledge Management (KM) is considered as a critical input in the growth of any organization and more so in the case of Small and Medium Enterprises (SMEs). KM is considered as indispensable for competitive and sustainable growth of SMEs. Hence, an incisive approach for KM in SMEs is a requisite in the recent situation. SMEs should be conversant with and insightful of the issues that will impact the achievement of a Knowledge Management (KM) activities. The successful execution of KM in SMEs is managed and invigorated by certain originating issues. Hence in order for KM initiative to be successfully implemented, all these issues must be taken into consideration and be systematically and thoroughly investigated. Thus, taking a holistic view, we investigate KM issues in automotive component manufacturing SMEs in India and focusing on the impact of each issue in an SME on KM implementation.

Today, success and worth of a business depend more on intellectual capital than physical capital. Hence, knowledge that exists within an organization is a sustainable source of competitive advantage, which makes Knowledge Management (KM) a critical input in the growth of any organization and more so in the case of Small and Medium Enterprises (SMEs). Even though much has been researched and written on the subject of knowledge management in large and multinational organizations, very little focus and research has been done on KM in SMEs. Globalization of supply chains, rapid technological advances, superior returns on intellectual capital, and the growing importance of knowledge-intensive industries make KM a strategic tool in the growth and success of all businesses. Access and integration of SMEs with regional, national, and international supply chains require bridging the gaps between the requirements of supply chains and efficiency of SMEs' KM systems. KM-enabled SMEs are essential for competitive and sustainable growth. Hence, a judicious approach for KM in SMEs is a must in the current scenario. The overall mission of this chapter is to aid researchers in recognizing and understanding the knowledge management spectrum for small and medium enterprises in a globalized world. This would be indispensable for successful goal attainment and sustainable business in a contemporary complex economy.

Purpose: The aim of the study was to assess the impact of knowledge management strategies on innovation performance in small and medium enterprises (SMEs) in Rwanda. Methodology: This study adopted a desk methodology. A desk study research design is commonly known as secondary data collection. This is basically collecting data from existing resources preferably because of its low cost advantage as compared to a field research. Our current study looked into already published studies and reports as the data was easily accessed through online journals and libraries. Findings: The study indicate that effective knowledge management practices within SMEs positively influence innovation performance, leading to enhanced competitiveness and sustainable growth. Implementing knowledge management strategies such as knowledge sharing, creation, and utilization facilitates idea generation, problem-solving, and product/service development. Furthermore, fostering a knowledge-sharing culture among employees promotes collaboration, learning, and creativity, thus fueling innovation within SMEs. Additionally, leveraging technology platforms and tools for knowledge management facilitates seamless information exchange, retrieval, and utilization, further enhancing innovation capabilities. Implications to Theory, Practice and Policy: Resource-based view, social capital theory and dynamic capabilities theory may be used to anchor future studies on assessing the impact of knowledge management strategies on innovation performance in small and medium enterprises (SMEs) in Rwanda. SMEs should prioritize investments in knowledge management initiatives aimed at fostering a culture of innovation, collaboration, and continuous learning within the organization. Policymakers should develop supportive frameworks and incentives to encourage SMEs to invest in knowledge management initiatives.

There is established evidence to suggest that small- and medium-sized enterprises (SMEs) face different knowledge management (KM) challenges to larger firms. There is emerging theory and practice concerning KM in SMEs as a whole. SMEs may not, however, be an homogeneous group when addressing KM. The study's objective was to investigate whether there are different approaches towards KM development within SMEs. The responses of 33 SMEs to a 60-item structured analysis of KM practices were analysed using hierarchical cluster analysis, ANOVA and post hoc multiple comparisons of means. Four distinct configurations of practices were identified. These were the KM practices of ‘unengaged’ businesses, ‘comprehensive KM practice’ businesses, ‘knowledge-ownership oriented’ businesses and ‘learning and co-production oriented’ businesses. These different groups of SMEs appear to approach KM in fundamentally different ways. The categorisation provides a useful framework for addressing the take-up of KM initiatives in SMEs.

PurposeThis study aims to evaluate the knowledge structure of knowledge management (KM) applications within small and medium enterprises (SMEs). In pursuit of excellence, SMEs must adopt KM like large corporations, even with limited resources.Design/methodology/approachThrough a bibliometric approach, this study evaluates current themes based on bibliographic coupling analysis and predicts future trends based on coword analysis. A total of 726 documents and 2,658 keywords were derived from the Web of Science database.FindingsFindings show four clusters in bibliographic coupling and three in coword analysis. A common theme discovered converged on digital technology to ensure SMEs follow current market trends.Research limitations/implicationsAdvanced application of Industry 4.0 requires digital transformation for SMEs’ pursuit of excellence. Implications include sustaining SMEs through a considerable KM system integrated with digital technology for sustainable business activities.Originality/valueTo the best of the authors’ knowledge, this study is among the first to provide a science mapping analysis on KM in SMEs by applying a bibliometric analysis.

PurposeThis study aims to examine and discuss the importance and benefits of Open Innovation (OI), Transformational Leadership (TL), Innovation Strategy (IS), Creative Climate (CC), Radical Innovation (RI) and Sustainable Competitive Advantage (SCA) for small and medium-sized enterprises (SMEs) in Dubai. This work also examines the mediating impact of future foresight drivers (FFD) on SMEs' SCA. The study provides a theoretical framework for enhancing SMEs' organizational performance and highlights the need for future empirical research.Design/methodology/approachThe study uses a systematic literature review (SLR) approach and a bibliometric analysis approach to collect, examine and analyze data from previous research on OI, TL, IS, CC, RI and SCA. This work evaluated 110 publications from separate scholarly databases, Scopus and Web of Science (WoS).FindingsThe study finds a positive relationship between OI, TL, IS, CC, RI and SCA and that future empirical research is needed. While there is limited information on the impact of these concepts on SMEs in the Middle East and especially in Dubai, the study presents new concepts to be debated. The study provides a vital tool for businesses to improve their performance by adopting OI, TL and IS and analyzing their present competitive status to develop new strategies and build competitiveness.Originality/valueThe originality of this study lies in its contribution to understanding the relationships among OI, TL, IS, CC and RI and their impact on SMEs' SCA in Dubai. By emphasizing the importance of OI, TL and IS in improving SMEs' performance and competitiveness, this study provides valuable insights for SME managers seeking to enhance their organizations' sustainability and long-term success. The review also identifies a gap in the literature regarding the impact of these concepts on SMEs in the Middle East, emphasizing the need for further research in this area.

Purpose: The study aims to investigate how knowledge management (KM) practices impact JS among Moroccan employees, while also exploring the mediating role of organizational commitment (OC) in this relationship. Theoretical framework: The study draws upon established theories in KM, job satisfaction (JS), and OC. It suggests that effective KM practices can enhance JS and that OC acts as a mediator in this relationship. Design/Methodology/Approach: This study employs a deductive approach and quantitative research design to explore the relationship between KM practices and JS in Moroccan SMEs. Data from 175 respondents were analyzed using linear regression with the assistance of the SPSS statistical software. Findings: Effective KM practices positively impact job satisfaction (JS) in Moroccan SMEs. Additionally, organizational commitment (OC) acts as a mediator between KM practices and JS. Implementing successful KM strategies and fostering employee commitment can enhance JS in Moroccan SMEs. Research, practical & social implications: The study's implications highlight that implementing effective KM practices in Moroccan SMEs can have far-reaching benefits, including increased JS, enhanced productivity, improved talent attraction, and positive contributions to socio-economic development, emphasizing the significance of KM for organizational success and broader societal advancement. Originality/Value: The originality of this study lie in its examination of KM practices specifically within Moroccan SMEs. By focusing on this context, the study provides unique insights into the challenges and opportunities faced by these organizations, offering practical implications and recommendations that can contribute to the development of tailored KM strategies for similar SMEs in Morocco and beyond.

Purpose– The purpose of this study is to figure out the factors for sustainable growth of small- and medium-sized enterprises (SMEs).Design/methodology/approach– In all, 27 SMEs in the area of IT (Information Technology) in Korea were analysed through interview method basically.Findings– It is found that sustainable development of SMEs requires two kinds of open innovation which are knowledge strategy and business model. According to developing process, SMEs change their open innovation strategy in knowledge strategy and business model. The highest growth limit of SMEs depends on open innovation in knowledge strategy and business model in sequence from closed innovation in both, through open innovation in both, to open innovation in knowledge strategy and closed innovation in business model and to closed innovation in knowledge strategy and open innovation in business model.Research limitations/implications– First, the present study was conducted with IT sector SMEs in Korea. It is true that the IT sector is one of the most rapidly changing industrial sectors and is one of representative business types of SMEs in which manufacturing and service industries coexist and diverse sizes of SMEs exist (Malerba, 2002). Second, the present study relies on case study methods. It is true that case study is a method that gives excellent qualitative analysis in firm studies (Yin, 2008).Practical implications– SMEs cannot survive if they do not accept open innovation in knowledge strategy and business model. SMEs that show absolute limitations in resources and manpower should absolutely implement open innovation strategies to secure more diverse resources from markets and external knowledge bases rather than preparing all resources and capabilities by themselves (Van de Vrandeet al., 2009; Yun and Mohan, 2012a, 2012b).Social implications– SMEs should bear in mind the two different levels of open innovation, such as knowledge strategies and business models (Chesbrough, 2007; Chesbrough and Appleyard, 2007).Originality/value– SMEs should not confuse between temporally sustainable development and infinite sustainable development. Firms that take closed innovation strategies in both knowledge strategies and business models can also grow for some time. However, because of the deepening of knowledge-based economy, not only the amount of knowledge existing in the world and the speed of knowledge distribution increased but also the customers’ demands and expectations have been observed to increase in the market immediately through social networking sites (SNS), etc. (Yun and Ryu, 2012).

Purpose– The aim of this paper is to research the practice of knowledge management (KM) in not-for-profit (NFP), small and medium enterprises (SMEs) to identify gaps in the current body of knowledge. Previous work has been conducted in small, medium and large enterprises; however, NFP SMEs have been underexamined. Given the prevalence of NFP, SMEs’ further research is warranted.Design/methodology/approach– Using a case study methodology, this research advances previous KM work (Hume and Hume, 2008). Based on previous work in SMEs, KM and the application to NFP organizations, this work offers a set of propositions related to strategic development of KM in NFP organizations with multiple data sources across hierarchical levels sought and analyzed within each of the case studies. This process provided data variation. Collection continued until theoretical saturation was achieved. The paper supports analysis with the use of Leximancer 3.0 and offers a unique approach to qualitative research using textual and narrative analysis.Findings– This paper explores the definition of knowledge, the importance of knowledge planning, capture and diffusion and offers development in NFP SMEs. The paper concludes by introducing the link between KM and internal marketing to address the importance of cultural and social issues of “me” which are central to knowledge capture, renewal and sustainable KM in NFP organizations. The paper introduces socialization strategies and informal knowledge capture specific to the transient, volunteer and permanent employee mix in NFP organizations and introduces the notion of understanding the significance of social mission to employees and volunteers in the embodiment of KM.Research limitations/implications– This study has aimed to access all empirical articles in the field of KM in SMEs. To ensure the consideration of the advancement in wireless, mobile computing technology and smartphones as KM support, articles from 2005 onwards were primarily sought. This search restriction has limited the role of earlier works in the research. It is arguable that the sample cases may not offer a comprehensive coverage of all NFP firms, with the qualitative approach further limiting the generalization of the findings.Originality/value– To the best of the authors’ knowledge, KM has been applied specifically in very few NFP SME firms, with scant exploration of the constructs of socialization, social mission and informal knowledge structure in NFP considered or previously published in academic journals.

This paper provides a systematic review of the literature on knowledge management (KM) in small and medium enterprises (SMEs) and SME networks. The main objective is to highlight the state-of-the-art of KM from the management point of view in order to identify relevant research gaps. The review highlights that in recent years the trend of papers on the topic is growing and involves a variety of approaches, methodologies and models from different research areas. The vast majority of papers analysed focus on the topic of KM in the SME while there are only few papers analysing KM in networks populated by SMEs. The content analysis of the papers highlights six areas of investigation from which were derived ten research questions concerning three perspectives: the factors affecting KM; the impact of KM on firm’s performance; the knowledge management systems.

Purpose This paper aims to review and critique the knowledge management (KM) literature within small and medium enterprises (SMEs), offers an overview of the state of research and outline a future research agenda. Design/methodology/approach Papers published in KM journals are analysed using a structured literature review methodology. The paper analyses 89 papers published in ten journals specialising in the field of KM. Findings KM within SMEs is a research area of growing importance. Findings show that literature on KM in SMEs is fragmented and dominated by unrelated research, with few comparative studies between countries and several countries receiving little attention. Additionally, different definitions of SMEs are used and different kinds of SMEs (e.g. micro, small and medium) are often treated as equivalent, making comparison almost impossible. The results show a failure to address the implications of findings for practitioners and policymakers, which risks relegating the KM research on SMEs to irrelevance. Originality/value The paper presents a comprehensive structured literature review of the articles published in KM journals. The paper’s findings can offer insights into future research avenues.

In the present day, success and worth of businesses depend more on intellectual capital. So, knowledge is a critical resource, for any organizational growth and sustainability. For small and medium enterprises (SMEs) the latent knowledge seen as the principal component for success often tends to be over guarded. That itself is sometimes detrimental to the SMEs growth. This outlook towards knowledge by SMEs has to undergo a change as there is vast room for knowledge management (KM). Abundant studies and research exist on KM, but the focus on SMEs is limited. Current scenario of globalization, technological advances, higher returns on intellectual capital, growing significance of knowledge-intensive industries makes KM a strategic and competitive tool for SME growth, sustainability, and development. KM is indispensable for successful and sustainable business in this contemporary complex economy. Thus, the overall aim of this study done by in-depth literature review and contextual analysis is to enhance the understanding of the role and room for KM in SMEs in this globalized world.

Purpose The purpose of this study is to advance the understanding of innovation offshoring by integrating knowledge management (KM) practices. It aims to identify how KM contributes to strategic offshoring, sourcing decisions for innovation and the utilization of knowledge-intensive business services. By doing so, it seeks to provide a framework that enhances both theoretical insights and practical applications in the field of innovation offshoring. Design/methodology/approach This study uses a tri-method approach – bibliometric analysis, co-citation analysis and text mining – to examine the intersection of innovation offshoring and KM. Data from Web of Science (WoS), analyzed using Leximancer and Bibexcel, reveal key KM practices, such as absorptive capacity and knowledge-sharing, that enhance offshoring-driven innovation. Integrating KM with global sourcing strategies is shown to manage complexities, lower transaction costs and boost innovation performance. Addressing the limitations of prior single-method studies, this research presents a structured KM-offshoring integration framework, mapping the thematic interconnections between KM practices and global sourcing strategies to enhance innovation performance and cross-border knowledge transfer. Findings This study finds that effective KM practices are crucial for optimizing innovation offshoring strategies. Key KM elements such as internal knowledge creation, absorptive capacity and knowledge-sharing routines significantly enhance innovation outcomes. The integration of KM practices with global sourcing strategies helps firms manage complexities, reduce transaction costs and improve innovation performance by leveraging global talent and resources. Research limitations/implications The study’s reliance on data from the WoS and the Association of Business Schools journal ranking may introduce selection bias, limiting the generalizability of findings. Future research should incorporate additional databases such as Scopus to validate the results. Moreover, the study predominantly uses bibliometric methods, which could benefit from being complemented by qualitative analyses to provide deeper insights into KM practices in innovation offshoring. Practical implications For practitioners, this study underscores the critical role of KM in optimizing innovation offshoring strategies. Effective KM practices enable firms to capture, share and use knowledge efficiently across global operations, mitigating the risks associated with geographical and cognitive distances in offshoring arrangements. Social implications The integration of KM in innovation offshoring has significant social implications. By effectively managing knowledge, firms can contribute to the development of global knowledge economies, promote cross-border collaborations and support the growth of local talent pools. This can lead to increased innovation, economic development and the creation of high-value jobs in emerging markets. Originality/value This study is original in its comprehensive approach to examining the intersection of innovation offshoring and KM. It provides valuable insights into how KM practices can enhance innovation performance in global sourcing contexts. The findings contribute to both academic literature and practical applications, offering a nuanced understanding of the strategic role of KM in innovation offshoring.

Little is known about how small and medium sized enterprises (SMEs) utilize their information technology (IT) to support their Knowledge Management (KM) strategy. Some research has been conducted in this field but from a western cultural perspective, and mainly in the large organizations context. Research on the relationships between KM strategy and IT in SMEs in developing countries, such as Saudi Arabia, is limited. The research reported in this paper addressed this relationship. KM strategy, in this research has been classified into two main strategies: aggressive KM strategy and conservative KM strategy, based on the organizations' orientation towards eight dimensions: external knowledge, internal knowledge, tacit knowledge, explicit knowledge, exploration, exploitation, broad knowledge-base and narrow knowledge-base. A total of 143 SMEs, participated in the survey. The results indicate that the proposed classifications of KM strategies were valid; the IT applications can be classified into: Internet-based IT, IT for codification and IT for collaboration; and the association between KM strategy and IT was confirmed.