Knowledge Management Enablers and Process Capabilities as Predictors of Organizational Performance: A Study of an Indian Public Sector (a Power Generation Company)

Knowledge management (KM) is the process of capturing, developing, sharing, and effectively using organizational knowledge. (Davenport, (1994). APQC defines organizational Knowledge as information in action,' with value being determined through the eyes of the organization and the recipient. If people don't have a context for the information or understand how to use it, the information is not valuable and therefore cannot be considered knowledge. Landmarks, or key components, that need to be addressed on the knowledge Management journey are as following:Value proposition: The business rationale, unique to the organisation, for embarking on an initiative or instituting a process.Culture: The pervasive, yet usually unwritten and unspoken, rules and expectations that guide the actions of an entire organisation.Structure and Roles /Responsibilities: The way an organisation is set up, as that set up relates to a process or an initiative, and the associated positions and tasks of its employees.Information Technology: The electronic tools that help an initiative or a process to occur.Approaches: The tactic(s) an organization takes when embarking on an initiative or beginning a process.Measurement: The process of gathering data and assigning value to the impact of a process or an initiative.In the current scenario of increasing global competition, there is no doubt about the value of knowledge and learning in improving organizational competence (Prieto & Revilla, 2004). Managers need to consider how knowledge can affect their company's competitive position. Managers are attempting to use knowledge to sustain organizational performance and to gain market share. Knowledge management can be used to create business value, generate competitive advantage, achieve business goals, and develop greater value from the core competencies of the business (Tiwana, 2001). An increasing number of firms realize that knowledge management is a key resource for competitiveness, and a resource they can create and use to achieve greater value from core competencies. In the 21st century, those who master knowledge will control their competitive future. However, failed programs far outnumber successful ones because most companies experience unexpected challenges in developing knowledge management strategies and processes. These challenges include measuring knowledge management and identifying its effect on organizational performance (Darroch & McNaughton, 2002). It is necessary to manage knowledge effectively in the new economy, because a sustained competitive advantage depends on a firm's capacity to develop and to deploy its knowledge-based resources effectively (Perez & Pablos, 2003). For many organizations achieving improved performance is not only dependent on the successful deployment of tangible assets and natural resources but also on the effective management of knowledge (Lee & Sukoco, 2007). Much of the overall spending by organization on knowledge management initiatives is driven by strategic imperatives that depend on the effective management of the knowledge resource (Lee & Sukoco, 2007). While this study's focus on is limited to a single industry, a public sector, Indian firm which is into power generation on a national level, examining knowledge management in a public sector should also yield insights for firms that are in other industries. The general purpose of this research is to develop an integrated framework that can explain and guide successful knowledge management eventually leading to organizational performance. Such a framework may benefit research in knowledge management, and also solve the dilemma of where an organization should direct its knowledge management efforts for sustained competitive advantage and effective performance.The aim of the present study is to investigate the relationship between organizational infrastructure to enhance efficiencies of knowledge management activities, such as codifying and sharing knowledge assets among individuals (knowledge management enablers) and Organization's ongoing, persistent, purposeful network of interactions among people aimed at managing other people, components, and activities participating in the basic knowledge processes (process capabilities) with benefits that can be reaped by appropriate knowledge management outcomes, such as productivity and profitability (organizational performance) in an Indian Public Sector ( APower Generation Company). …