The moderating role of entrepreneurial orientation on the effect of knowledge management capabilities on organisational performance

Purpose– The current conventional strategic management model is incapable of dealing with various questions on organizational management in a dynamically discontinuous environment. Hence, how an enterprise can effectively apply its knowledge management (KM) capability and develop a uniquely dynamic capability in order to provide quick response to a dynamic environment has become an urgent need. The purpose of this paper is to discuss the above-mentioned issues.Design/methodology/approach– In order to gain best exploration on KM capability, dynamic capability, and organizational performance, the questionnaire and statistical analytical techniques were used.Findings– The results indicate that dynamic capability is an important intermediate organizational mechanism through which the benefits of KM capability are converted into performance effects at the corporate level. That is, KM capability enhances the dynamic capability of organizations. While dynamic capability, in turn, increases organizational performance and provides competitive advantages.Research limitations/implications– This research applied a purposive sampling method and obtained a slightly inadequate number of respondents. Therefore, it is suggested that future research should apply a random sampling method to collect more responses and increase the generalizability.Practical implications– This research aims to investigate KM capability, dynamic capability, and organizational performance, as well as establish and verify the patterns of the aforementioned relationships based on how enterprises implement their KM capabilities and dynamic capabilities to enhance organizational performance.Originality/value– There is still little related literature investigating the relationships among KM capability, dynamic capability, and organizational performance. Hence, this study applies questionnaire methods as the main research tools in order to conduct an in-depth investigation into the influence of KM capability and dynamic capability on organizational performance. Furthermore, this research is expected to provide enterprises with valuable suggestions for management practices.

The main purpose of the current study is to validate the framework of knowledge management (KM) capabilities created by Gold (Towards a theory of organizational knowledge management capabilities. Doctoral dissertation, University of North Carolina, Chapel Hill) 2001) in a study of South Korean companies. However, the original framework did not provide a thorough explanation of the effect of incentives, which motivate and encourage the knowledge management process. In this study, the modified framework that includes incentives in the knowledge infrastructure capability was tested. Moreover, since there is a weak linkage between KM and organizational performance, this study used empirical evidence to identify the relationship between KM capabilities (KMC) and four perspectives of organizational performance. Since structural equation modeling (SEM) is mostly used to describe causal relationships among unobserved (latent) and observed variables, this study used SEM procedures to determine whether there were any structural relationships between knowledge management capabilities and four perspectives of organizational performance. Moreover, the SEM procedure is “a statistical test to find whether a model fits a set of data, whether it matches a theoretical expectation” (Vogt, Dictionary of statistics & methodology. Sage Publications Inc., Thousand Oaks, CA, p 135, 2005). Therefore, this study also used SEM procedures to test a hypothesized model that had a good fit indicates that the model adequately describes the sample data. This study assumed that knowledge management capabilities could be divided into two types: knowledge infrastructure and process capabilities. The original hypothesized model showed that there was a positive relationship between knowledge management capabilities and organizational performance, but the overall model fit was insufficient to be accepted, because knowledge infrastructure and process capabilities were highly correlated. This study proposed two alternative models to find the best fit and found that knowledge infrastructure and process capabilities should be combined under the higher-order latent variable as subordinate latent variables. Lastly, there was a positive relationship between KMC and organizational performance. This study might not be free from common method bias to some degrees. It would be better to divide participants into two groups to respond to either the knowledge management capabilities survey or the organizational performance survey and to investigate the correlation between them. There are two main contributions for the field of knowledge management. First, this study attempted to integrate the fragmented literature of knowledge management into a holistic view and develop a framework for knowledge management. Moreover, this study found that there is a strong and positive relationship between KM infrastructure and process, which could refer that, to improve organizational performance, an organization should support KM processes, as well as build decent KM infrastructure. The results of this study would help KM practitioners to advocate the importance of KM to top managements.

Aim/Purpose: The objective of this study was to assess the interrelationships among knowledge management infrastructure, knowledge management process, intellectual capital, and organization performance. Background: Although knowledge management capability is extensively used by organizations, reaching their maximum financial and non-financial performances has not been fully researched. Therefore, organizations need to optimize their performance by exploiting knowledge management capability through the accumulation of intellectual capital, where the new competitiveness is shifting from tangible to intangible resources. Methodology: This study adopted a positivist philosophy and deductive approach to accomplish the main goal of this research. Moreover, this research employed a quantitative approach since this study is concerned with causal relationship between variables. A questionnaire-based survey was designed to evaluate the research model using a convenience sample of 134 employees from the food industry sector in Jordan. Surveyed data was examined following the structural equation modeling procedures. Contribution: This study highlighted the potential benefits of applying the knowledge management capabilities, intellectual capital, and organizational performance to the food industrial sector in Jordan. Future research suggestions are also provided. Findings: Results indicated that knowledge management infrastructure had a positive effect on knowledge management process. In addition, knowledge management process impacted positively intellectual capital and organization performance and mediated the relationship between knowledge management infrastructure and intellectual capital. However, knowledge management infrastructure did not positively associate to organization performance. Recommendations for Practitioners: The current model is designed to help managers and decision makers to improve their management capabilities as well as their organization financial and non-financial performance through exploiting the organizational knowledge management infrastructure and intellectual capital approaches. Recommendation for Researchers: Our findings can be used as a base of knowledge to conduct further studies about knowledge management capabilities, intellectual capital, and organization performance following different criteria and research procedures. Impact on Society: The designed model highlights a significant organizational performance approach that can influence Jordanian food industrial sector positively. Future Research: The current designed research model can be applied and assessed further in other sectors including banking and industrial sectors across developed and developing countries. Also, we suggest that in addition to focusing on knowledge management process and intellectual capital as mediating variables, future research could test our findings in a longitudinal study and examine how to affect financial and non-financial performance.

Supply chain management practices (SCMP) have huge potential to improve organizational performance (OP) in various organizational settings. However, many studies have found that the relationship between SCMP and OP is not direct and is greatly influenced by some other capabilities such as knowledge management (KM) and innovation capabilities of organizations. Prior research mainly focused on developed countries and suggested numerous models and frameworks to adopt and implement SCMP in various industries. However, the mediating role of KM and innovation capabilities in the linkage between SCMP and OP has not been fully grabbed in fast moving consumer goods (FMCG) organizations and especially, Pakistan remained unexplored. This study filled this gap and investigated the mediating role of KM and innovation capabilities in the linkage between SCMP and OP in FMCG organizations of Pakistan. This was carried-out by developing an explanatory model, formulating hypotheses, and testing the hypotheses after gathering sample data from the 194 FMCG organizations of Pakistan and applying PLS based SEM for data analysis. The study revealed many interesting results based on the data from Pakistani FMCG organizations. First, the study exhibited that SCMP positively influences OP in FMCG organizations of Pakistan. Second, the study showed that SCMP positively influences KM and innovation capacities. Third, the study indicated that KM positively affects OP but innovation does not affect OP. Lastly, the study disclosed that KM partially mediates the linkage between SCMP and OP in this context. However, innovation demonstrates no mediating effect in the association between SCMP and OP. The results are vital for theory and practice. Theoretically, the results can be used to develop new and/or update existing theories and frameworks related to SCMP, KM, innovation, and OP. Managers and practitioners can also utilize their scarce resources in limited areas where they should invest their resources, time, and effort for ultimate improvement of OP. Other organizations and even countries can also use the results to improve OP in their contexts.

PurposeThe purpose of this paper is to examine the role of knowledge management (KM) capabilities on small to medium‐sized enterprises' (SMEs') organizational performance.Design/methodology/approachIn this study, Data were collected from 30 SMEs in Iran. The present study employs a questionnaire survey approach to collect data for testing the research hypotheses. The response rate was 60 percent. Relevant statistical analytical techniques, including regression for analysis, were then used.FindingsThe results indicate that all three factors of KM capabilities (knowledge acquisition, knowledge sharing, and knowledge application) have positive and significant effects on SMEs' organizational performance.Practical implicationsThe practical implication of the results is that managers need to actively manage their firm's human capital to stimulate its capability in managing knowledge acquisition, sharing, and application. Furthermore, research suggests appropriate investments in KM initiatives can enhance organizational performance.Originality/valueThe main contribution of the paper is to provide empirical evidence about the impact of KM capabilities on SMEs' organizational performance. Also the findings of the study are important for both practitioners and academics.

PurposeDrawing on dynamic capability view, this study aims to offer a conceptual framework to clarify the nature of the effects of firm’s information technology (IT) capability, knowledge management (KM) capability and human resource management (HRM) capability on organizational business performance. IT is the driver that changes all aspects of doing business in the digital era, while both knowledge and human resources (HR) are being increasingly regarded as key levers of competitive advantage in today’s global, dynamic and complex business environment.Design/methodology/approachThe survey methodology was used to collect data. To clarify the relationships between IT capability, KM capability and organizational business performance, the qualitative literature review has been conducted. This review has revealed the three structural models presenting possible interactions between observed constructs. Confirmatory factor analysis has been used for the evaluation of proposed measurement models while structural equation modeling has been used for structural models’ assessments and hypotheses testing.FindingsIT capability enhances HRM capability which enhances KM capability. As a result, KM capability together with IT capability enhances organizational business performance. In addition, there is an interaction effect of KM capability and HRM capability on business performance.Research limitations/implicationsFirst, the sample is based on the emerging economy firms. Second, the use of a self-rating performance measure may be a limitation of the study. Third, the data are not completely normally distributed. Fourth, specificities of different industries were not the subject of analysis in this paper. This should be considered in the interpretation and understanding of the results.Practical implicationsFrom managerial point of view, the paper indicates what managers can do to master their dynamic capabilities, especially those relevant to the business in the digital era. Firms are urged to develop and improve their capabilities to face dynamic environment and intense competition, as well as business globalization. However, to improve certain capability, firms should develop others as well because of their interconnectedness.Originality/valueThe main academic contribution of this study is reflected through the development of the integrative model which is aimed at identifying the interrelationships among IT, KM, HRM and business performance. The results indicate the importance of observing interconnections between the firms’ various capabilities to verify the premise of the dynamic capability view. This paper identified relationships between most prominent firm’s resources for the digital era: knowledge, HR and IT. The results show causes and effects of relationships between capabilities related to these resources.

PurposeThe purpose of this study is to analyze the relationships between Entrepreneurial Orientation, Organizational Learning Capability, Service Innovation and Organizational Performance. To this end, it was sought to analyze the mediating role of organizational learning capability and service innovation within entrepreneurial orientation and organizational performance relationship in knowledge-intensive organizations.Design/methodology/approachThe sample consisted of 159 architecture and urbanism companies from Santa Catarina, Brazil. The study opted to use managers as key informants since they are the ones that have general information about the organization and are a valuable source for assessing the different variables of the organization. For data analysis, the PLS-PM algorithm (Partial Least Squares Path Modeling) was used.FindingsResults showed that entrepreneurial orientation is a strong driver of service innovation and organizational performance. Organizational learning capability acts as a facilitator of innovation and has a positive influence on organizational performance. Another theoretical contribution of this study to organizational learning capability is the confirmation of its mediation in service innovation and organizational performance. Management needs to make its organization more proactive and creative, continually promoting new ideas. Architecture and urbanism organizations should pay more attention to maintaining and promoting entrepreneurial orientation permanently. The trend toward both proactivity and risk-taking can be an inherent advantage of these knowledge-intensive business services.Originality/valueFew studies have explored the mediating role of organizational learning capability and service innovations in organizational performance. In particular, the combined effects of entrepreneurial orientation and organizational learning capability have been neglected by the knowledge-intensive organizations literature. The study is justified by providing a more complete view of the relationship between entrepreneurial orientation and the performance of knowledge-intensive organizations, highlighting the role of organizational learning capability and performance in service innovation.

Purpose– This study aims to identify if an integration between knowledge strategy and knowledge management (KM) processes leads to organizational creativity and performance.Design/methodology/approach– Quantitative strategy and cross-sectional survey method were used to collect data. In all, 219 randomly selected respondents from 173 listed companies provided feedback through self-administered questionnaire. Factor analysis and multiple regression techniques were used to test multiple hypotheses.Findings– Results revealed the significant positive impact of system-oriented KM systems strategy on KM process capabilities, creativity and organizational performance. No significant impact has been found of human-oriented KM strategy on different KM processes and organizational performance. However, it interestingly has a significant negative relationship with organizational creativity. KM processes have significant impact on organizational creativity and performance. Organizational creativity has also been identified as having a strong significant impact on organizational performance.Originality/value– This paper fills the knowledge gap by undertaking a study which has not been conducted before.

Nowadays, organizations with international dimensions are surrounded by fierce competition and extreme, unstable environments. With these hostile conditions, only those organizations that demonstrate better performances in comparison to their rivals can survive. They can outperform their rivals regarding financial, procedural, and internal operations. To this aim, two variables, organizational culture, and knowledge management, play crucial roles. On the one hand, organizational performance hinges on the in-depth storage of experience, creation, and classification of knowledge. On the other hand, they are under the impression of social and cultural variables of the organization. Among these items, knowledge management is also under the influence of organizational culture and is capable of taking a mediatory role in organizational culture performance. Thus, this research is aimed at exploring the mediatory role of knowledge management in the relationship between organizational culture and performance. Simultaneously exploring these two factors can give new insight into organizational performance under the social and knowledge variables and extend the literature in this area. To this end, each of the three factors was investigated through library study and defined as factorial constructs. Afterward, their relationship was modeled, and the model was under effect in Etehad Rah Engineering Advisory Company as the research’s Statistical Society. A simple random method was used; 28 persons constitute the research’s participants. A questionnaire and PLS software were used to collect and analyze the data. The results reveal a positive and significant relationship between organizational performance and culture directly and through knowledge management. Moreover, a positive and significant correlation exists between organizational performance and knowledge management and organizational culture and knowledge management.

This chapter introduces the framework and the practical concepts of Human Resource Management (HRM), organizational learning, Knowledge Management Capability (KMC), and organizational performance. This chapter also explains the role of HRM, organizational learning, and KMC on organizational performance. The developed framework presents the relationship among the constructs (i.e., HRM, organizational learning, KMC, and organizational performance) and contributes toward a better understanding of the specific mechanisms through which HRM, organizational learning, and KMC positively influence organizational performance. HRM effectively acts as a trigger toward effective organizational learning and KMC processes, thus creating a valuable organizational performance. Organizational performance that can usually help to perform a task in an integrated manner is a source of sustainable competitive advantage. Understanding the role of HRM, organizational learning, KMC, and organizational performance through the framework will significantly enhance the organizational performance and achieve business goals in the modern business world.

This chapter introduces the framework and the practical concepts of Human Resource Management (HRM), organizational learning, Knowledge Management Capability (KMC), and organizational performance. This chapter also explains the role of HRM, organizational learning, and KMC on organizational performance. The developed framework presents the relationship among the constructs (i.e., HRM, organizational learning, KMC, and organizational performance) and contributes toward a better understanding of the specific mechanisms through which HRM, organizational learning, and KMC positively influence organizational performance. HRM effectively acts as a trigger toward effective organizational learning and KMC processes, thus creating a valuable organizational performance. Organizational performance that can usually help to perform a task in an integrated manner is a source of sustainable competitive advantage. Understanding the role of HRM, organizational learning, KMC, and organizational performance through the framework will significantly enhance the organizational performance and achieve business goals in the modern business world.

There have been extensive explorations of organisational climate (OC) and performance in large organisational contexts but predominantly in western economies. Despite the rich and growing body of literature on the topic, there is considerable lacuna in the understanding of how the composites of organisational climate factors coalesce into business enablement and performance outcomes especially in economically resurgent African economies of which Nigeria is one. More fundamentally, the dimension of High Growth Small and Medium Enterprises (HGSMEs) exemplify the dearth of knowledge of the intricate role of OC in reconfiguring strategic positioning and performance of organisations, especially the genre of SMEs attributed as the main driver of economic growth. Against this backcloth, this study explores the dynamic interaction between OC and HGSME performance in Nigeria with a view to providing situated understandings of how organisational performance is moderated by variabilities of OC. This relationship is investigated empirically using as conceptual prisms four principal constructs distilled from the extant literature; leadership, organisational strategy, HRM practices and entrepreneurial orientation. Methodologically, a triangulation procedure was applied in order to afford both rich-context and scaled datasets. From a sample of HGSME drawn from the national database maintained by Small Medium Enterprises Development Agency of Nigeria (SMEDAN), the mixed method approach used encompassed data gathered through (a) in-depth interviews conducted with senior executives of sample organisations and (b) survey questionnaires administered to 300 employees within two Nigerian HGSMEs. Qualitative data was analysed through thematic analysis. The quantitative data treatment rigour was achieved through descriptive statistics; correlation and multivariate regression analysis. OC was measured at the firm level using the validated instrument (Organisational Climate Measurement instrument, OCM, Patterson et al., 2005), while the organisational performance was measured subjectively using efficiency and quality as performance proxies. Results show direct effects of organisational factors (leadership, strategy, HR practices and entrepreneurial orientation) on organisational climate configuration. The relationship between organisational climate and performance is significantly positive while the direct effect of some HR practices on organisational outcomes such as efficiency (training vs. efficiency, employee involvement vs. efficiency) was negative. The results are robust in indentifying the nature of internal organisational systems and networks that triggers growth and sustainability of HGSMEs.

PT Indonesia Asahan Aluminium (Persero) or Inalum is a State-Owned Enterprise (BUMN) which is a pioneer company and the only one in Indonesia engaged in the production of Primary Aluminium (ingots, billets and alloys). Currently, Inalum is faced with problems with 42.39% of employees having period of employment less than 5 years in 2018. Conditions of productivity performance also declined from 2014 which was 135.35 tons of aluminium per employee per year to 117.67 tons of aluminium per employee per year in 2018. This becomes basic policy to implement knowledge management and learning organizations within the company. The purpose of this research is to find out and analyze the effect of knowledge management with the focus of tacit knowledge on organizational performance through learning organizations. The independent variable in this study is tacit knowledge management, the dependent variable is organizational performance, and the intervening variable is the learning organization. Data collection using a questionnaire with a total sample of 100 respondents. This research uses SEM analysis method which has previously been tested for validity and reliability. The results of this study indicate that tacit knowledge management has a positive and significant effect on organizational performance, tacit knowledge management has a positive and significant effect on learning organizations, learning organization has a positive and significant effect on organizational performance and tacit knowledge management has a positive and significant effect on organizational performance through learning organizations. Keywords: Knowledge Management, Tacit Knowledge Management, Learning Organization, and Organizational Performance.

The performance of the Technical Implementation Unit and Office Branches of the East Java Province is an indicator of the success of the implementation of development and governance, especially in public services. The purpose of this research is to describe knowledge management capabilities, information technology capabilities, organizational agility and organizational performance, to analyze the effect of knowledge management capabilities, information technology capabilities and organizational agility, to analyze the effect of knowledge management capabilities and information technology capabilities on organizational performance, to analyze the effect of organizational agility on organizational performance and analyze the effect of knowledge management capabilities, information technology capabilities on organizational performance through organizational agility. The data analysis technique used is Descriptive Analysis and SEM (Structural Equation Modeling). The results of the study show that knowledge management capabilities have the greatest contribution to knowledge application. Information technology capabilities have the greatest contribution to IT proactive stance. Organizational agility has the biggest contribution to Quickness. Organizational performance has the greatest contribution to the learning and growth process perspective. Knowledge management capabilities, information technology capabilities affect organizational agility. Knowledge management capabilities, information technology capabilities can affect organizational performance. Organizational agility is needed in organizations that have knowledge management capabilities and information technology capabilities in order to improve organizational performance.

This study aims to 1) assess the significance of factors such as organizational culture, strategic planning, knowledge management, transformational leadership, and performance; 2) investigate the influence of organizational culture, strategic planning, knowledge management, and transformational leadership on organizational performance; and 3) examine the interrelationships among organizational culture, strategic planning, knowledge management, and transformational leadership that impact the performance of private higher education institutions in Chengdu City, Sichuan Province, People’s Republic of China. The research employed a mixed-methodological approach, integrating both quantitative and qualitative paradigms. The sample consisted of 870 administrators, faculty members, and staff from private higher education institutions in Chengdu City, Sichuan Province, People’s Republic of China. The primary informants were department heads, program directors, or unit leaders, and university staff, totaling 30 participants. The findings of the study revealed that organizational culture, strategic planning, knowledge management, transformational leadership, and performance were all rated at a high level; Organizational culture, strategic planning, knowledge management, and transformational leadership exerted a significant influence on organizational performance; and a statistically significant relationship was identified between organizational culture, strategic planning, knowledge management, transformational leadership, and performance within private higher education institutions in Chengdu City, Sichuan Province, People’s Republic of China.