Knowledge Management Capabilities and Organization Performance in Milling Companies: A Case of Unga Group Limited
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Date
2021
Authors
Kamau, Teresia
Journal Title
Journal ISSN
Volume Title
Publisher
Kenyatta University
Abstract
Knowledge management is crucial for dynamic modern organizations that are striving to achieve their goals and objectives as well as build competitive edge over their rivals. Some studies have been done on knowledge management capabilities in universities, non-governmental organizations, public sector and manufacturing industries. Some have studied the manner in which the private and public sectors carry out knowledge management practices. However, there is limited literature and empirical evidence that exist on the impact of Knowledge Management Capabilities on performance of an organizational in milling industries. The goal of the study was to investigate the impact of knowledge management processes (knowledge acquisition, application, transfer, and protection), knowledge management infrastructure (technology, structure, and culture) and top level management commitment to knowledge management practices (strategic planning, training, and compensation and rewards) on performance of Unga Group Limited. The study focused on milling industry with key reference to Unga Group Limited, a company quoted in the Nairobi Stock Exchange. Deming’s theory, resource-based view, organizational learning theory, and organizational capability theory provided the theoretical bases for the study. The target population was made up of 140 top and middle level managers. Descriptive research design was used, with primary data being collected via questionnaires from 81 respondents and analyzed using SPSS version 21. The sample was determined using stratified random sampling to get a sample of 104 top and middle level managers. The response rate was 81 translating to 77.9%. Study results indicate strong positive correlation linking knowledge management processes and organizational performance, positive correlation between knowledge management infrastructure and performance, and positive correlation linking top management commitment to knowledge management practices and organizational performance. In multiple regression results, the value of adjusted R2 was 0.272 at a confidence level of 95% implying that 27.2% of the variations in performance at Unga Limited were attributable to KM processes, KM infrastructure, and top management commitment to KM practices. Therefore, the study recommends that policy makers in knowledge-intensive organizations to formulate knowledge management policies and practices highlighting how implementing knowledge resources can affect organizational performance and build a competitive edge. Given that the study focused in Unga Group Limited only, the findings may not apply to all milling companies. The researcher advocates that a study be pursued to incorporate other milling companies to allow for broader generalization of the results.
Description
A Project Submitted to the School of Business in Partial Fulfilment of the Requirement for the Award of Degree of Master of Business Administration (Human Rresource Management) of Kenyatta University, May, 2021
Keywords
Knowledge Management, Capabilities, Organization Performance, Milling Companies, Unga Group Limited