Knowledge management: a key determinant in advancing technological innovation?

Purpose - This paper purports to analyze the relationship between knowledge management (KM) and technological innovation in the Malaysian manufacturing sector. Furthermore, the interrelationships between the KM dimensions will also be investigated. Design/methodology/approach - Survey data from 162 manufacturing firms were obtained. Multiple linear regression and neural network analysis were performed in this study to examine the relationships between KM and technological innovation; as well as the interrelationships between KM practices themselves. Findings - This research study provides empirical evidence and confirms the results of past researchers that KM practices (i.e. knowledge sharing, knowledge application and knowledge storage) are positively and significantly related to technological innovation (Le. product and process innovation). Moreover, it is also discovered that the interrelationships between the KM dimensions are positive and significant. Research limitations/implications - This research implies that when firms understand the significance of KM dimensions, there is a great possibility that the firm will succeed in harvesting the full value of technological innovation. Meanwhile, the result may also serve as a guide to the manufacturing managers to understand the importance of KM in their managerial actions, so that the level of technological innovation in their firms can be greatly enhanced. Originality/value - Extensive research has not been done in the past to examine the relationship between the KM and technological innovation. Meanwhile, the investigation on the interrelationships between the KM dimensions has also been scarce. Hence, such a research is to be called for. This paper provides the manufacturing practitioners with useful guidelines on the appropriate KM practices to be implemented to ensure the improvement in technological innovation.