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The effect of knowledge management capability and dynamic capability on organizational performance

Shu-Mei Tseng (Department of Information Management, I-Shou University, Kaohsiung, Taiwan)
Pei-Shan Lee (Department of Information Management, I-Shou University, Kaohsiung, Taiwan)

Journal of Enterprise Information Management

ISSN: 1741-0398

Article publication date: 4 February 2014

7450

Abstract

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.

Keywords

Citation

Tseng, S.-M. and Lee, P.-S. (2014), "The effect of knowledge management capability and dynamic capability on organizational performance", Journal of Enterprise Information Management, Vol. 27 No. 2, pp. 158-179. https://doi.org/10.1108/JEIM-05-2012-0025

Publisher

:

Emerald Group Publishing Limited

Copyright © 2014, Emerald Group Publishing Limited

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