Knowledge management and innovativeness: The role of organizational climate and structure

Abstract

Purpose

The purpose of this paper is to investigate the effects of organizational climate and structure on knowledge management and firm innovativeness from the social capital and social network perspectives.

Design/methodology/approach

The empirical study employed a questionnaire approach. The sample for this study was drawn from the population of the top 5,000 Taiwanese firms listed in the yearbook published by the China Credit Information Service Incorporation. Regression analysis was used to test the hypotheses in a sample of 146 Taiwanese firms.

Findings

The findings suggest that knowledge management is positively related to firm innovativeness. In addition, the effect of knowledge management on innovativeness is positively moderated by supportive climate and decentralized, integrated, and less formalized structure. The study also examines the effects of organizational climate and structure on knowledge management and the results indicate that innovative and supportive climate are positively related to knowledge management. When the organizational structure is less formalized, more decentralized and integrated, knowledge management is more enhanced.

Practical implications

Firms need to be aware of the critical role of organizational structure and climate in the transition process of knowledge management to innovative products or services.

Originality/value

This study contributes to the literature by investigating the relationships among organizational contexts of climate and structure, knowledge management, and firm innovativeness from the social capital and social network perspectives.

Citation

Chen, C., Huang, J. and Hsiao, Y. (2010), "Knowledge management and innovativeness: The role of organizational climate and structure", International Journal of Manpower, Vol. 31 No. 8, pp. 848-870. https://doi.org/10.1108/01437721011088548