Relationship between knowledge management processes and performance: critical role of knowledge utilization in organizations

This study examines the relationship between knowledge management processes and its impact on knowledge management performance. A structural model of knowledge management processes showing the relationship of knowledge generation, knowledge sharing, knowledge storage, and knowledge utilization and its subsequent impact on organizational KM performance is proposed. The model is tested using data collected from 1068 individuals working in primarily service based organizations in Turkey. A split-sample methodology is used to validate our measurement model and to further test the structural model. The results indicate that knowledge utilization mediates the relationship between rest of the knowledge management processes and organizational knowledge management performance. Knowledge generation is found to directly impact knowledge management performance, in addition to having a mediated impact through knowledge utilization. The results also provide support for the hypothesized relationship that suggests that the impact of knowledge generation and knowledge sharing on knowledge utilization is mediated by knowledge capture.