The Impact of Knowledge Management on Organizational Innovation: An Empirical Study

The character of organizational innovation is considered significant for developing and improving the related products, procedures and marketplaces, for adding value as well as effectiveness over administrations. The innovation procedure is necessary regarding the activity of an association as the capability for innovation is important for attaining and sustaining competitive advantage. The absence of empirical investigations about the consequence of knowledge management on organizational innovation by organizational learning particularly over the developing countries exists in the related literature. The key objective of the current investigation is to evaluate the consequence of knowledge management on innovation directly and over organizational learning in Iranian automotive industry namely Iran Khodro Company. A total of 272 managers were chosen from systems and methods as the participants of the current study. The data were analysed using the Structural Equation Modelling (SEM). Results of the study revealed that there is an influence of knowledge management on organizational innovation in Iranian automotive industry. Results of the investigation showed that organizational learning has an important character as a mediator on the association between knowledge management and organizational innovation.