MEASURING STRATEGIES FOR KNOWLEDGE MANAGEMENT AND ORGANIZATIONAL PERFORMANCE IN LIBYAN TRANSPORTATION INDUSTRY: STRUCTURAL EQUATION MODELLING

Ahmad Mohamad Omar Omran, S. M. Ferdous Azam

Abstract


The purpose of this research is to measure the strategies for knowledge management and organisational performance in Libya using an approach to structural equation modelling (SEM). The research method of this analysis is a quantitative method only, where the total sample size is assumed to be 453 using simple random sampling. The structural model for this analysis showed the relationships between the variables. The results show that the framework of knowledge management is significantly related to the strategy of knowledge management, while knowledge management practise is significantly related to the strategy of knowledge management. However, the framework of knowledge management was found not to be very positively linked to organisational performance. Unexpectedly, in terms of significantly related to organisational performance, knowledge management activity has also not been considered relevant. Knowledge management approach, on the other hand, is positively linked to organisational performance and to the reciprocal relationship between the system of knowledge management and the practise of knowledge management. By offering an empirically validated model that could be used to forecast organisational performance as a whole, this study has added to established knowledge.

JEL: L10; L25; L91

Article visualizations:

Hit counter


Keywords


strategies, knowledge management, organizational performance, transportation industry, Libya, structural equation modelling

Full Text:

PDF

References


Allee, V. (1997). The Knowledge Evolution: Expanding Organizational Intelligence. Boston: Butterworth-Heinemann.

Azam, S. M. F., Mohd Shukri, S., & A. Yajid, M. S. (2020). The impact of dynamic factors on the successful implementation of SAP. International Journal of Psychosocial Rehabilitation, 24(7), 5366–5376. https://doi.org/10.37200/IJPR/V24I7/PR270497.

Azam, S. M. F. and Moha Asri A. (2015). Differential Roles between Owner and Manager in Financial Practice That Contributes to Business Success: An Analysis on Malaysian Small Business, Academic Journal of Interdisciplinary Studies, 4 (1 S2): 123-134.

Azam, S. M. F., & Yusoff, S. K. M. (2020). Investment and financing analysis of automotive industry of China. International Journal of Psychosocial Rehabilitation, 24(7), 4848–4857. https://doi.org/10.37200/IJPR/V24I7/PR270464.

Azam, S. M. F., Haque, A., Sarwar, A. and Anwar, N. (2014). Training Program Effectiveness of Service Initiators: Measuring Perception of Female Employees of Bank Using Logistic Approach, Asian Research Journal of Business Management, 1 (2): 98-108.

Beckman, T. (1997). A methodology for knowledge management. International Association of Science and Technology for Development, AI and Soft Computing Conference, Banff.

Bhagat, R. S., Kedia, B. L., Harveston, P. D., & Triandis, H. C. (2002). Cultural variations in the cross-border transfer of organizational knowledge. The Academy of Management Review, 27(2), 204-221.

Bhatt, G. (2000). Organizing knowledge in the knowledge development cycle. Journal of Knowledge Management, 4(1), 15-26.

Bhattacherjee, A. (2012). Social Science Research: Principles, Methods, and Practices 2nd Edition.

Byrne, B. M. (2010). Structural Equation Modelling with AMOS: Basic Concepts, Applications, and Programming (2nd ed.). New York: Routledge.

Camerer, C. & Vepsalainen, A., (1988). The economic performance of corporate culture. Strategic Management Journal, 9, 115-126.

Cavaleri, S. & Reed, F. (2000). Designing Knowledge Generating Process, Knowledge and Innovation, Journal of the KMCI, 1(1), 109-131.

Chuang, S. H. (2004). A resource-based perspective on knowledge management capability and competitive advantage: an empirical investigation. Expert Systems with Applications, 27, 459-465.

Chun, L., Tham, J. and Azam S. M. F. (2019). Corporate Competence Determining Factors in China Telecom Industry in Achieving Customer Satisfaction, European Journal of Management and Marketing Studies, 4 (3), pp.75-101.

Conner, K. R., & Prahalad, C. K. (1996). A resource-Based theory of the firm: knowledge versus opportunism. Organization Science. 7(5), 477-501.

Davenport, T. H. & Prusak, L. (1998). Working Knowledge: How Organizations Manage What They Know. Boston: Harvard Business School Press.

Davenport, T., De Long, D., & Beers, M. (1998). Successful knowledge management projects. Sloan Management Review, 39(2), 43-57.

De Silva, A. D. A., Khatibi, A. and Azam, S. M. F. (2017). Do the Demographic Differences Manifest in Motivation to Learn Science and Impact on Science Performance? Evidence from Sri Lanka, International Journal of Science and Mathematics Education, 16(S1), 47–67.

Dewi, N, Azam, S. M. F. and Yusoff, S. K. M. (2019). Factors influencing the information quality of local government financial statement and financial accountability, Management Science Letters, 9 (9): 1373-1384.

Drucker, P. F. (1993). The Post Capitalist Society. Oxford: Butterworth-Heinemann.

Grover, V., & Davenport, T. H. (2001). General perspective on knowledge management: fostering a research agenda. Journal of Management Knowledge Systems, 18(1), 5-21.

Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2010). Multivariate Data Analysis: A Global Perspective (7th Global ed.). Upper Saddle River: Pearson Prentice-Hall.

Handic, Lagumdzija and Eljo, 2008, Auditing knowledge management process: model and application. Knowledge Management Research & Practice 6(1), 90–99

Haur, C. H., Khatibi, A. and Azam, S. M. F. (2017). Antecedents of Consumers’ Perception towards Online Advertising in Malaysia: The Structure Equation Modeling Approach, European Journal of Management and Marketing Studies, 2 (3): 15-30

Hofstede, G. (2001). Culture’s consequences: Comparing values, behaviors, institutions, and organizations across nations. Beverly Hills, CA: Sage Publications.

Hung, Y., Huang, S., Lin, Q., & Tsai, M. (2005). Critical factors in adopting a knowledge management system for the pharmaceuticals industry. Industrial Management and Data Systems, 105(2), 164-183.

Jackson, S. E., Hitt, M. A., & DeNisi, A. S. (2003). Managing knowledge for sustained competitive advantage: designing strategies for effective human resource management, Jossey-Bass, San Francisco.

Katukurunda, K. G. W. K., Yajid, S. M. A, Khatibi, A. and Azam, S. M. F. (2019). Students’ Satisfaction towards Biosystems Technology; Does Programme Quality Matters? (Evidence from Sri Lankan Perspectives), European Journal of Open Education and E-learning Studies, 3 (2): 174-190

Kline, R. B. (2011). Principles and Practice of Structural Equation Modelling (3rded.). New York: The Guilford Press.

Kuruwitaarachchi, N., Yajid, S. M. A, Khatibi, A. and Azam, S. M. F. (2019). Enhance the use of Internet Based Advanced Communication Technologies in Small and Medium Scale Enterprises in Sri Lanka, European Journal of Social Sciences Studies, 3 (2): 44-57

Lee, H. & Choi, B. (2003). Knowledge management enablers, processes, and organisational performance: an integrative view and empirical examination. Journal of Management Knowledge Systems, 20(1), 179-228.

Leonard, D. & Sensiper, S. (1998). The role of tacit knowledge in group innovation. California Management Review, 40(3), 112-132.

Liebeskind, J. P. (1996). Knowledge, strategy, and the theory of the firm, Strategic Management Journal (17:Winter), pp. 93-107.

Maghfuriyah, A., Azam, S. M. F. and Shukri, S. (2019). Market Structure and Islamic Banking Performance in Indonesia: An Error Correction Model, Management Science Letters, 9 (9): 1407-1418

McAulay, L., Russell, G., & Sims, J. (1997). Tacit knowledge for competitive advantage. Management Accounting, 75(11), 36-37.

McGill, M. E., Slocum, J. W., & Lei, D. (1992). Management practices in learning organizations. Organizational Dynamics, 21(1), 4-17.

Nahm, A. Y., Vonderembse, M. A., & Koufteros, X. A. (2004). The impact of organizational culture on time-based manufacturing and performance. Decision Sciences, 35(4), 579-607.

Nguyen, H. N., Tham, J3, Khatibi, A. and Azam, S. M. F. (2019). Enhancing the Capacity of Tax Authorities and its Impact on Transfer Pricing Activities of FDI Enterprises in Ha Noi, Ho Chi Minh, Dong Nai, and Binh Duong Province of Vietnam, Management Science Letters, 9 (8): 1299-1310.

Nonaka, I., & Takeuchi, H. (1995). The Knowledge-Creating Company. Oxford: Oxford University Press.

Pambreni, Y., Khatibi, A., Azam, S. M. F. and Tham, J. (2019). The Influence of Total Quality Management toward Organization Performance, Management Science Letters, 9 (9): 1397-1406.

Prahalad, C. K., and Hamel, G. (1990). The Core Competence of the Corporation. Harvard Business Review, 68(3), 79-91.

Rachmawati, D., Shukri, S., Azam, S. M. F. and Khatibi, A. (2019). Factors Influencing Customers’ Purchase Decision of Residential Property in Selangor, Malaysia, Management Science Letters, 9 (9): 1341-1348.

Sankaran, G. (2006). Knowledge diffusion from DBA research. actKM Online Journal of Knowledge Management, 3(1), 26-34.

Schermerhorn, J. R. Jr. (1999). Management. New York, NY: Wiley.

See, R. T. K. (2002). Learning Organisation Practices and Organisational Effectiveness – the Impact of Type of Company, M.B.A. Thesis, Universiti Sains Malaysia, Penang.

Sekaran, U., & Bougie, R. (2010). Research methods for business: a skill-building approach (5th ed.). Haddington: John Wiley & Sons.

Sharkie, R. (2003). Knowledge creation and its place in the development of sustainable competitive advantage. Journal of Knowledge Management, 7(1), 20-31.

Simonin, B. L. (1997). The importance of collaborative know-how: An empirical test of the learning organisation. Academy of Management Journal, 40(5), 1150-1174.

Tham, J., Yazid, M. S. A, Khatibi, A. A. and Azam, S. M. F. (2017). Internet and Data Security – Understanding Customer Perception on Trusting Virtual Banking Security in Malaysia, European Journal of Social Sciences Studies, 2 (7): 186-207

Tsai, M. T., & Lee, K. W. (2006). A study of knowledge internalization: from the perspective of learning cycle theory. Journal of Knowledge Management, 10(3), 57-71.

Tsoukas, H., & Vladimirou, E. (2001). What is organizational knowledge? Journal of Management Studies, 38(7), 973-993.

Udriyah, U., Tham, J. and Azam, S. M. F. (2019). The Effects of Market Orientation and Innovation on Competitive Advantage and Business Performance of Textile SMEs, Management Science Letters, 9 (9): 1419-1428.

van Zolingen, S. J., Streumer, J. N., & Stooker, M. (2001). Problems in knowledge management: A case study of a knowledge-intensive company. International Journal of Training and Development, 5(3), 168-184.

Walczak, S. (2005). Organizational knowledge management structure. The Learning Organization, 12(4), 330-339.

Wernerfelt, B. (1984). A Resource-Based View of the Firm. Strategic Management Journal, 5, 171-180.

Yang, Z. Z., Tham, J. and Azam S. M. F. (2019). Negative Psychological Factors and Online Shopping Behaviour: A Review Among College Students’ at Tongren City in China, European Journal of Management and Marketing Studies, 4 (4), pp.40-58

Zainudin, A. (2012). A Handbook on SEM: Structural Equation Modelling Using Amos Graphics (4th ed.). Kelantan: University Technology MARA Press.

Zander, U., and Kogut, B. (1995). Knowledge and the speed of the transfer and imitation of organizational capabilities: An empirical test, Organization Science (6:1), pp. 76-92.




DOI: http://dx.doi.org/10.46827/ejsss.v5i6.755

Copyright (c) 2020 Ahmad Mohamad Omar Omran, S. M. Ferdous Azam

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

The research works published in this journal are free to be accessed. They can be shared (copied and redistributed in any medium or format) and\or adapted (remixed, transformed, and built upon the material for any purpose, commercially and\or not commercially) under the following terms: attribution (appropriate credit must be given indicating original authors, research work name and publication name mentioning if changes were made) and without adding additional restrictions (without restricting others from doing anything the actual license permits). Authors retain the full copyright of their published research works and cannot revoke these freedoms as long as the license terms are followed.

Copyright © 2015 - 2018. European Journal Of Social Sciences Studies (ISSN 2501-8590) is a registered trademark of Open Access Publishing Group. All rights reserved.

This journal is a serial publication uniquely identified by an International Standard Serial Number (ISSN) serial number certificate issued by Romanian National Library. All the research works are uniquely identified by a CrossRef DOI digital object identifier supplied by indexing and repository platforms. All the research works published on this journal are meeting the Open Access Publishing requirements and standards formulated by Budapest Open Access Initiative (2002), the Bethesda Statement on Open Access Publishing (2003) and  Berlin Declaration on Open Access to Knowledge in the Sciences and Humanities (2003) and can be freely accessed, shared, modified, distributed and used in educational, commercial and non-commercial purposes under a Creative Commons Attribution 4.0 International License. Copyrights of the published research works are retained by authors.


 

Hit counter