Organizational Learning and Collective Human Capital Relationship With Firm Performance Among MNEs in the Northern Region of Malaysia

Abstract

The main objective in this chapter is to understand the organizational learning challenges of multinational enterprises and their performance in Malaysia. At the same time, it also explores how organizational learning and collective human capital with competitive advantage as a mediating factor affect MNEs' performance in Malaysia through employee movement. This research concluded knowledge acquisition, knowledge distribution, and organizational memory is positively significant towards competitive advantage. Only knowledge acquisition and organizational memory are positively significant when competitive advantage mediates organizational learning towards firm performance. Collective human capital is positively significant towards competitive advantage as well as towards firm performance when competitive advantage mediates. Through this research it was found that MNEs in Malaysia are weak in knowledge interpretation and knowledge distribution due to employee movement in the northern region of Malaysia.