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The relationship between knowledge management, innovation and firm performance: evidence from Dutch SMEs

Author

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  • André van Stel
  • Mickey Folkeringa
  • Joris Meijaard
  • Lorraine Uhlaner

Abstract

This article investigates the relationship between knowledge management (KM), innovation and firm performance of smaller firms (less than 100 employees), based on a panel of more than 400 Dutch firms. Regression analyses explain the variations in sales turnover growth from various measures of KM strategies. We distinguish between KM input, throughput and output (or innovation) strategies. We find that KM input strategies related to knowledge acquisition are positively related to sales turnover growth. In contrast, we do not find a relation between KM throughput and KM output (innovation) measures and firm performance. The results emphasize the importance of both knowledge absorption and knowledge creation to the success of innovative efforts in small firms. This is an updated version of Scales-paper N200322.

Suggested Citation

  • André van Stel & Mickey Folkeringa & Joris Meijaard & Lorraine Uhlaner, 2007. "The relationship between knowledge management, innovation and firm performance: evidence from Dutch SMEs," Scales Research Reports H200704, EIM Business and Policy Research.
    • Handle: RePEc:eim:papers:h200704
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    Cited by:

    1. Schimke, Antje & Brenner, Thomas, 2011. "Long-run factors of firm growth - a study of German firms," Working Paper Series in Economics 21, Karlsruhe Institute of Technology (KIT), Department of Economics and Management.
    2. Zeyad Alkhazali & Rosni Bakar & Mohd Ab. Halim, 2017. "The Role of Knowledge Management and Entrepreneurial Orientation on Organizational Performance among Commercial Banks in Jordan," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 7(11), pages 928-936, November.
    3. Thuc Uyen Nguyen-Thi & Caroline Danièle Mothe, 2010. "The Link Between Non Technological Innovations And Technological Innovation," Post-Print hal-00920069, HAL.
    4. Syyedhamzeh Nejadhussein & M. A. Hamid Rahimian & Seyed Muhammed Hussein Mousavinasab, 2014. "The Relationship Between Knowledge Management and R&D Performance: A Case Study in Auto Industry," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 11(05), pages 1-18.
    5. Yu-Hsien Lin & Yu-Shan Chen, 2017. "Determinants of green competitive advantage: the roles of green knowledge sharing, green dynamic capabilities, and green service innovation," Quality & Quantity: International Journal of Methodology, Springer, vol. 51(4), pages 1663-1685, July.

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