The Effect of Knowledge Management on Organizational Performance: Moderating Role of Organizational Trust and Support
Purpose: Knowledge management is a function of organizational performance. However, knowledge management studies in developing countries has not been investigated adequately in literature. The purpose of this paper to explore the effects of knowledge management process and knowledge management infrastructure on organizational performance. The study also explore the moderating effect of organizational trust and support.
Design/methodology/approach: Partial least squares path modelling and data collected from a total of 323 employees working in the private and public companies at UAE were used to test the research hypothesis.
Findings: this study revealed the significant effect positive effect of knowledge management capability towards KM process and KM infrastructure on organizational performance. Organizational trust and organizational support were also found to successfully moderate the effect of KM process and KM infrastructure on organizational performance.
Practical implications: This study provides a valid and applicable model for organizations to enable the implementation of KM supported with trust and support by organization to improve organizational performance among executives in the company especially the local workers. Practical contribution indicates that creating sustainable performance through better understanding of the role of knowledge management capability of employees in improving the organizational performance. An important implication of this study to the government of UAE is enhancing the creation of organizational environment which supports the sharing, acquiring, applying and protecting of knowledge for the betterment of organizations.
Value: To the best of author knowledge, this is one of the few early attempts to address issues in light of the knowledge management capability among employee in a Gulf region.