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Impact of Knowledge Management Capabilities on Knowledge Management Effectiveness in Indian Organizations

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  • Sangeeta Shah Bharadwaj
  • Sumedha Chauhan
  • Aparna Raman

Abstract

Executive Summary Since the existence of organization, organizational knowledge has been managed more informally than in formal ways. This was done through a knowledge supporting culture, by trusting and managing the employees. This was possible due to the small size of the organizations and co-location of employees. However, increasing global competition and growth of marketplaces have created a competitive incentive among many companies to consolidate and reconcile their knowledge assets as a means of creating value that is sustainable over time. In such a scenario, a need was felt to formally manage knowledge by developing capabilities. The objective of this research article is to explore the knowledge management (KM) capabilities in large Indian organizations and their impact on knowledge effectiveness. It is based on the premise that together the perspectives of KM infrastructure and KM processes provide a useful theoretical foundation for defining important aspects of knowledge effectiveness in organizations. Knowledge management capabilities are explored with respect to infrastructure, structure, and culture. Knowledge management processes comprise creation/acquisition, storage, dissemination, and application. This research has found evidence that large Indian organizations have started realizing the importance of managing knowledge as a strategic asset. However, the approach is different in different organizations. Some organizations rely more on creating knowledge infrastructure capabilities through culture and structure while others equally emphasize the need of process approach to manage both tacit and explicit knowledge within the organization. KM effectiveness is defined in terms of improved communication, enhanced collaboration, improved employee skills, better decision-making, and improved productivity. Data collected from 156 organizations was subject to structural equation modelling. The results established that both infrastructure capabilities and process capabilities play an important role in improving KM effectiveness.

Suggested Citation

  • Sangeeta Shah Bharadwaj & Sumedha Chauhan & Aparna Raman, 2015. "Impact of Knowledge Management Capabilities on Knowledge Management Effectiveness in Indian Organizations," Vikalpa: The Journal for Decision Makers, , vol. 40(4), pages 421-434, December.
    • Handle: RePEc:sae:vikjou:v:40:y:2015:i:4:p:421-434
    DOI: 10.1177/0256090915613572
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    1. M. Shakaib Akram & M. Awais Shakir Goraya & Aneela Malik & Amer M. Aljarallah, 2018. "Organizational Performance and Sustainability: Exploring the Roles of IT Capabilities and Knowledge Management Capabilities," Sustainability, MDPI, vol. 10(10), pages 1-20, October.
    2. Astadi Pangarso, 2020. "A New Theoretical Framework of Organizational Effectiveness from Knowledge and Ambidexterity Perspectives," GATR Journals jmmr257, Global Academy of Training and Research (GATR) Enterprise.
    3. Abdullatef Alkandari & Dr. Ra’ed Masa’deh & Prof. Musa Al-Lozi, 2017. "Knowledge Management and its Role on Organizational Crisis Management: A Literature Review," Journal of Social Sciences (COES&RJ-JSS), , vol. 6(4), pages 833-850, October.
    4. Khurram Shahzad & Yasir Javed & Shakeel Ahmad Khan & Abid Iqbal & Imran Hussain & M. Vaseem Jaweed, 2022. "Relationship between IT Self-Efficacy and Personal Knowledge and Information Management for Sustainable Lifelong Learning and Organizational Performance: A Systematic Review from 2000 to 2022," Sustainability, MDPI, vol. 15(1), pages 1-23, December.
    5. Mahmoud Saleh Malkawi & As'ad H. Abu Rumman, 2016. "Knowledge Management Capabilities and Its Impact on Product Innovation in SME’s," International Business Research, Canadian Center of Science and Education, vol. 9(5), pages 76-85, May.

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