Knowledge Management and Organizational Performance: Theoretical Study
Knowledge is an asset that needs to be effectively managed. Interest in knowledge management (KM) has grown dramatically in the recent years, as more researchers and practitioners have become aware of the knowledge potential to drive innovation and improve performance. For an organization to remain competitive, it must effectively practice the activities of creating, acquiring, documenting, transferring, and applying knowledge in solving problems and exploiting opportunities.
Many researchers argue what the organization comes to know explains its performance. The ultimate test of any business concept, such as KM, is whether it improves business …show more content…
2. Knowledge management
Knowledge is recognized as a key economic resource, and obviously, organizations must possess the right knowledge in the desired form and context under all circumstances in order to successful. specifically, knowledge sharing and resultant knowledge creation are critical in order for organizations to gain competitiveness and to remain competitive. Knowledge is considered important for sustaining competitive advantage.
The continuous progression of civilization is a testimony to its ability to develop, learn, and share knowledge. recent advances in information an communication technologies have made it easy to develop, store, and transfer knowledge, globalization, increasing international competition, and a free market philosophy are driving forces for these advances in technology, and many organizations have realized that the creation, transfer, and management of knowledge are critical for success today.
Several organizations are attempting to use knowledge management to improve organizational