Abstract

The amount of data has exploded over the last ten years. Data is captured and shared from personal devices, transactional operations, sensors, social media and other sources. Firms should, thus, be able to explore the new opportunities and rapidly seize them by developing the corresponding capabilities. In our work, we focus on two emerging dynamic capabilities: Absorptive capacity and organizational agility. We propose a new theoretical Framework based on the previous literature linking the use of knowledge management systems and organizational agility by highlighting the mediating role of absorptive capacity. In addition, we carried out an empirical study based on a survey to support and validate the proposed Framework. The main findings of this study are presented.

Highlights

  • In the recent years, the global economy has evolved to an economy of knowledge

  • We provide a review of the two dynamic capabilities: absorptive capacity and organizational agility

  • We conducted a survey across different economy sectors and size organizations (SMEs and large businesses) through a questionnaire which tackles the use of knowledge management systems and firm’s capabilities

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Summary

Introduction

The immaterial capital of a firm is becoming crucial for its development. The post industrial society is characterized by an increasing importance of knowledge rather than infrastructure or capital [1]. The 21st century is marked by the important place of knowledge workers in the society instead of manual workers in manufacturing during the 20th century. These manual workers are considered as a cost for the company. Knowledge workers are an essential capital asset for the growth of the firm [2], as knowledge is becoming increasingly important for enhancing firm’s performance ([3], [4])

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