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Review of empirical research on knowledge management practices and firm performance

Henri Inkinen (School of Business and Management, Lappeenranta University of Technology, Lappeenranta, Finland.)

Journal of Knowledge Management

ISSN: 1367-3270

Article publication date: 4 April 2016

6825

Abstract

Purpose

Knowledge management (KM) has emerged as one of the most discussed new management methods. Among the most debated areas in KM has been the association between knowledge and firm performance, but a lack of understanding and consensus still remains as a major issue. This paper aims to address the research gap by reviewing the empirical literature and determining how KM-based managerial and organizational practices are related with firm performance.

Design/methodology/approach

This study followed a systematic review procedure.

Findings

The findings demonstrate that utilization of KM practices is significant driver for innovation. Also, specific leadership characteristics and organizational arrangements are likely to support firm performance through more efficient and effective management of knowledge resources.

Research limitations/implications

This study adds to the discussion on knowledge-based view of the firm by pointing out the key organizational and managerial practices that are associated with firm performance. The results of this study also add structure to the previously scattered discussion on KM practices by synthesizing the relevant literature

Practical implications

Measuring KM performance is characterized by organizational complexity; this study demonstrated that innovation is a likely outcome of utilization of KM practices, but there are numerous other factors that influence the financial performance figures. Also, this study points out that organizations should pay attention to specific KM leadership attributes and organizational arrangements in order to achieve firm performance through KM.

Originality/value

This is the first systematic literature review on KM practices and firm performance. The results increase understanding of efficient and effective management of knowledge resources for organizational benefit.

Keywords

Citation

Inkinen, H. (2016), "Review of empirical research on knowledge management practices and firm performance", Journal of Knowledge Management, Vol. 20 No. 2, pp. 230-257. https://doi.org/10.1108/JKM-09-2015-0336

Publisher

:

Emerald Group Publishing Limited

Copyright © 2016, Emerald Group Publishing Limited

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