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Journal ArticleDOI

Does Knowledge Mediate the Effect of Context on Performance? Some Initial Evidence

Cornelia Droge, +2 more
- 01 Aug 2003 - 
- Vol. 34, Iss: 3, pp 541-568
TLDR
Knowledge, in particular applied knowledge, completely mediated the impact of context on performance, finding a positive relationship between applied knowledge and financial performance, but none between knowledge creation and performance.
Abstract
This research examines the links among four firm context variables, knowledge, and financial performance. Adopting a knowledge-based, contingency view of the firm and assuming that strategy's locus is knowledge creation and application, we hypothesize that knowledge completely mediates the effects of context on performance. The results from analyzing 208 manufacturers found a positive relationship between applied knowledge and financial performance, but none between knowledge creation and performance. As for context, production technology routineness and low demand unpredictability were positively related only to greater applied knowledge; high technological turbulence was positively related to both knowledge creation and knowledge application; and firm size had no effect on either knowledge construct. No direct context-performance relationships were found (i.e., all effects were indirect): knowledge, in particular applied knowledge, completely mediated the impact of context on performance.

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Citations
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Journal ArticleDOI

Perspective---Tacit Knowledge and Knowledge Conversion: Controversy and Advancement in Organizational Knowledge Creation Theory

TL;DR: The purpose of this article is to introduce and comment on the debate about organizational knowledge creation theory, and aim to help scholars make sense of this debate by synthesizing six fundamental questions on organizational knowledgecreation theory.
Journal ArticleDOI

Organizational Knowledge Creation Theory: Evolutionary Paths and Future Advances:

TL;DR: Organizational knowledge creation is the process of making available and amplifying knowledge created by individuals as well as crystallizing and connecting it to an organization's knowledge system as discussed by the authors, in other words, what individuals come to know in their (work-)life benefits their colleagues and, eventually, the larger organization.
Journal ArticleDOI

How organizational climate and structure affect knowledge management-The social interaction perspective

TL;DR: Empirical evidences support the process-oriented view and indicate that social interaction plays the mediating role between organizational climate, organizational structure, and knowledge management.
Journal ArticleDOI

Entrepreneurial orientation and firm performance: The role of knowledge creation process

TL;DR: In this article, the authors examined the relationship among entrepreneurial orientation, knowledge creation process, and firm performance using survey data from 165 entrepreneurs and found that entrepreneurial orientation is positively related to firm performance.
Journal ArticleDOI

Knowledge management and organizational performance: a decomposed view

TL;DR: The study uses survey data from 189 managers and structural equation modeling to assess the links between specific knowledge management resources and organizational performance, showing that some knowledge resources are directly related to organizationalperformance, while others are not directly related.
References
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Book ChapterDOI

Firm Resources and Sustained Competitive Advantage

TL;DR: In this article, the authors examined the link between firm resources and sustained competitive advantage and analyzed the potential of several firm resources for generating sustained competitive advantages, including value, rareness, imitability, and substitutability.
Journal ArticleDOI

Absorptive capacity: a new perspective on learning and innovation

TL;DR: In this paper, the authors argue that the ability of a firm to recognize the value of new, external information, assimilate it, and apply it to commercial ends is critical to its innovative capabilities.
Journal ArticleDOI

Dynamic capabilities and strategic management

TL;DR: The dynamic capabilities framework as mentioned in this paper analyzes the sources and methods of wealth creation and capture by private enterprise firms operating in environments of rapid technological change, and suggests that private wealth creation in regimes of rapid technology change depends in large measure on honing intemal technological, organizational, and managerial processes inside the firm.
Journal ArticleDOI

A Resource-Based View of the Firm

TL;DR: In this paper, the authors explore the usefulness of analyzing firms from the resource side rather than from the product side, in analogy to entry barriers and growth-share matrices, the concepts of resource position barrier and resource-product matrices are suggested.
Journal ArticleDOI

A Dynamic Theory of Organizational Knowledge Creation

TL;DR: In this paper, the authors propose a paradigm for managing the dynamic aspects of organizational knowledge creating processes, arguing that organizational knowledge is created through a continuous dialogue between tacit and explicit knowledge.
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Trending Questions (1)
How does knowledge affect the performance?

Knowledge affects performance by mediating the effects of context variables on financial performance. Applied knowledge has a positive relationship with performance, while knowledge creation does not directly predict performance.