Abstract

The development of human capital skills and expertise is needed to transform the nation's manufacturing industry into one that is smart, innovative, and resilient. Developing a human capital strategy (soft TQM practices) that places a premium on knowledge sharing (KS) and organisational innovation (OI) is crucial for the manufacturing sector's digital transformation. The purpose of this study is to provide a comprehensive understanding of the significance and connections between soft TQM practices, KS, and OI among manufacturers. Two hundred twenty two valid responses from manufacturing firms were analysed, the study discovered a significant and positive relationship between these three-dimensional variables using partial least squares-structural equation modelling (PLS-SEM). Meanwhile, KS acts as a mediator between soft TQM practices and OI. By advancing theories of knowledge-based dynamic capabilities (KBDC), this research demonstrates the great influence of soft TQM practices on both KS and OI, which is important for manufacturing firms redesigned pivotal management strategy.

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