Small and medium-sized enterprises (SMEs) have commonly been perceived as a main force for sustained economic growth, development and job creation in developing countries. From a social viewpoint, SMEs secure a large and expanding segment of the population. Various research is available in the knowledge management literature investigating the effect of knowledge management on the business process. In particular, little empirical research has been found to determine the implementation of knowledge management practices in the context of developing countries and small businesses. This dissertation aimed to fill the perceived gaps by investigating the relationship between knowledge management and organizational performance in the context of Egyptian SMEs. Knowledge management processes were conceptualized as three-dimensional constructs: knowledge acquisition, knowledge sharing and knowledge application. While organizational performance was divided into two dimensions namely, non-financial performance and financial performance. The researcher chose non-financial performance which was conceptualized as three-dimensional constructs: innovativeness, competitive advantage, customer satisfaction.
Cite this paper
Samir, M. (2020). The Impact of Knowledge Management on SMEs Performance in Egypt. Open Access Library Journal, 7, e6445. doi: http://dx.doi.org/10.4236/oalib.1106445.
Nonaka, I. and Konno, N. (1998) The Concept of “Ba”: Building a Foundation for Knowledge Creation. California Management Review, 40, 40-54.
https://doi.org/10.2307/41165942
Karada?, H. (2016) The Role of SMEs and Entrepreneurship on Economic Growth in Emerging Economies within the Post-Crisis era: An Analysis from Turkey. Journal of Small Business and Entrepreneurship Development, 4, 22-31.
https://doi.org/10.15640/jsbed.v4n1a3
Supyuenyong, V. and Swierczek, F.W. (2011) Knowledge Management Process and Organizational Performance in SMEs. International Journal of Knowledge Management (IJKM), 7, 1-21. https://doi.org/10.4018/jkm.2011040101
Gharakhani, D. and Mousakhani, M. (2012) Knowledge Management Capabilities and SMEs’ Organizational Performance. Journal of Chinese Entrepreneurship, 4, 35-49. https://doi.org/10.1108/17561391211200920
Alegre, J., Sengupta, K. and Lapiedra, R. (2013) Knowledge Management and Innovation Performance in a High-Tech SMEs Industry. International Small Business Journal, 31, 454-470. https://doi.org/10.1177/0266242611417472
Abdullahi, M.S., Abubakar, A., Aliyu, R.L., Umar, K., Umar, M.B., Sabiu, I.T., Naisa, F.U.K., Khalid, S.S. and Abubakar, L.S. (2015) The Nature of Small and Medium Scale Enterprises (SMEs): Government and Financial Institutions Support in Nigeria. International Journal of Academic Research in Business and Social Sciences, 5, 525-537.
Shehu, A.M. and Mahmood, R. (2014) A Pilot Study on the Relationship between Some Determinants of SME Performance in Nigeria. Journal of Asian Scientific Research, 4, 597-602.
Lee, C.S. and Wong, K.Y. (2015) Development and Validation of Knowledge Management Performance Measurement Constructs for Small and Medium Enterprises. Journal of Knowledge Management, 19, 711-734.
https://doi.org/10.1108/JKM-10-2014-0398
Ha, S.T., Lo, M.C. and Wang, Y.C. (2016) Relationship between Knowledge Management and Organizational Performance: A Test on SMEs in Malaysia. Procedia—Social and Behavioral Sciences, 224, 184-189.
https://doi.org/10.1016/j.sbspro.2016.05.438
Aliyu, M.S. (2016) Influence of Knowledge Management on Performance in Small Manufacturing Firms. International Journal of Business, Economics and Law, 8, 63-67.
Valdez-Juárez, L.E., García-Pérez de Lema, D. and Maldonado-Guzmán, G. (2016) Management of Knowledge, Innovation and Performance in SMEs. Interdisciplinary Journal of Information, Knowledge, and Management, 11, 141-176.
https://doi.org/10.28945/3455
Alaarj, S., Abidin-Mohamed, Z. and Bustamam, U.S.B.A. (2016) Mediating Role of Trust on the Effects of Knowledge Management Capabilities on Organizational Performance. Procedia—Social and Behavioral Sciences, 235, 729-738.
https://doi.org/10.1016/j.sbspro.2016.11.074
Saqib, M., Baluch, N.H. and Udin, Z.M. (2017) Moderating Role of Technology Orientation on the Relationship between Knowledge Management and SMEs’ Performance in Oman: A Conceptual Study. International Journal of Economic Perspectives, 11, 433-441.
Shrafat, F.D. (2018) Examining the Factors Influencing Knowledge Management System (KMS) Adoption in Small and Medium Enterprises SMEs. Business Process Management Journal, 24, 234-265. https://doi.org/10.1108/BPMJ-10-2016-0221
Ferraris, A., Mazzoleni, A., Devalle, A. and Couturier, J. (2019) Big Data Analytics Capabilities and Knowledge Management: Impact on Firm Performance. Management Decision, 57, 1923-1936. https://doi.org/10.1108/MD-07-2018-0825
Ruiz-Arroyo, M., del Mar Fuentes-Fuentes, M., Bojica, A.M. and Rodríguez-Ariza, L. (2012) Innovativeness and Performance in Women-Owned Small Firms: The Role of Knowledge Acquisition. Journal of Small Business & Entrepreneurship, 25, 307-326. https://doi.org/10.1080/08276331.2012.10593575
Wang, Z. and Wang, N. (2012) Knowledge Sharing, Innovation and Firm Performance. Expert Systems with Applications, 39, 8899-8908.
https://doi.org/10.1016/j.eswa.2012.02.017
Soto-Acosta, P., Popa, S. and Palacios-Marqués, D. (2017) Social Web Knowledge Sharing and Innovation Performance in Knowledge-Intensive Manufacturing SMEs. The Journal of Technology Transfer, 42, 425-440.
https://doi.org/10.1007/s10961-016-9498-z
Harris, R., McAdam, R., McCausland, I. and Reid, R. (2013) Knowledge Management as a Source of Innovation and Competitive Advantage for SMEs in Peripheral Regions. The International Journal of Entrepreneurship and Innovation, 14, 49-61.
https://doi.org/10.5367/ijei.2013.0105
Lee, V.H., Foo, A.T.L., Leong, L.Y. and Ooi, K.B. (2016) Can Competitive Advantage Be Achieved through Knowledge Management? A Case Study on SMEs. Expert Systems with Applications, 65, 136-151. https://doi.org/10.1016/j.eswa.2016.08.042
Kmieciak, R. and Michna, A. (2018) Knowledge Management Orientation, Innovativeness, and Competitive Intensity: Evidence from Polish SMEs. Knowledge Management Research & Practice, 16, 559-572.
https://doi.org/10.1080/14778238.2018.1514997
Michna, A. (2018) The Mediating Role of Firm Innovativeness in the Relationship between Knowledge Sharing and Customer Satisfaction in SMEs. Inzinerine Ekonomika—Engineering Economics, 29, 93-103.
https://doi.org/10.5755/j01.ee.29.1.19027
Kotrlik, J.W.K.J.W. and Higgins, C.C.H.C.C. (2001) Organizational Research: Determining Appropriate Sample Size in Survey Research Appropriate Sample Size in Survey Research. Information Technology, Learning, and Performance Journal, 19, 43.
Healy, M. and Perry, C. (2000) Comprehensive Criteria to Judge Validity and Reliability of Qualitative Research within the Realism Paradigm. Qualitative Market Research: An International Journal, 3, 118-126.
https://doi.org/10.1108/13522750010333861