Linking operations performance to knowledge management capability: the mediating role of innovation performance

Abstract

The ability of an organisation to efficiently and effectively operate in a competitive environment hinges to a large extent on its knowledge capability and innovation performance. Thus, the main goal of our study is to examine this link by means of regression analysis in a sample of 124 firms. The results indicate that knowledge management capability is positively related to innovation performance which, in turn, has a positive effect on operations performance. The findings provide evidence that innovation performance plays a mediating role between knowledge management capability and operations performance. Therefore, managers need to facilitate dynamics of knowledge acquisition, sharing and application, and then utilise it to cultivate a better level of technical and administrative innovation performance, which in turn will result in favourable operations performance. The article concludes with implications and directions for future research.