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Unleashing corporate potential: the interplay of intellectual capital, knowledge management, and environmental compliance in enhancing innovation and performance

Binh Thi Thanh Truong (Center for Public Administration, International University, Vietnam National University-Ho Chi Minh City, Ho Chi Minh City, Vietnam and Board of Directors, Saigon 3 Garment Joint Stock Company, Ho Chi Minh City, Vietnam)
Phuong Van Nguyen (Center for Public Administration, International University, Vietnam National University-Ho Chi Minh City, Ho Chi Minh City, Vietnam)
Demetris Vrontis (Department of Marketing, University of Nicosia, Nicosia, Cyprus and S.P. Jain School of Global Management, Dubai Campus, Dubai, United Arab Emirates)
Zafar U. Ahmed (Department of Marketing, School of Business, International University, Vietnam National University-Ho Chi Minh City, Ho Chi Minh City, Vietnam)

Journal of Knowledge Management

ISSN: 1367-3270

Article publication date: 22 August 2023

Issue publication date: 29 April 2024

833

Abstract

Purpose

This paper aims to explore how the three components of intellectual capital (IC) (human, structural and relational) are related to corporate innovation and how effective knowledge management can improve business performance, innovation and environmental compliance. Additionally, the study investigates the influence of environmental compliance on overall business performance.

Design/methodology/approach

The organizational resource-based view was used to develop a theoretical model and accompanying hypotheses. A survey design approach was used to collect data and evaluate the model. The predicted relationships were tested by structural equation modeling using data acquired from members of management teams in the Vietnamese manufacturing sector.

Findings

The three components of IC have significant positive effects on business performance. In addition, corporate innovation, knowledge management success (KMS) and environmental compliance all significantly increase business performance. Moreover, KMS indirectly enhances business performance through innovation and environmental compliance.

Research limitations/implications

This study provides useful insights into knowledge management, innovation and environmental compliance for administrators, practitioners and scholars. The results support practical advice for how firms can integrate KMS strategies into their operations, improve environmental compliance and increase business success.

Originality/value

The links between IC, knowledge management, innovation and environmental compliance are of ongoing interest to organizational scholars. However, empirical research on the relationships of these factors with business performance has been limited. This study investigates these links and offers factual evidence for them.

Keywords

Acknowledgements

This research is funded by Vietnam National University Ho Chi Minh City (VNU-HCMC) under grant number B2023-28–05.

Citation

Truong, B.T.T., Nguyen, P.V., Vrontis, D. and Ahmed, Z.U. (2024), "Unleashing corporate potential: the interplay of intellectual capital, knowledge management, and environmental compliance in enhancing innovation and performance", Journal of Knowledge Management, Vol. 28 No. 4, pp. 1054-1073. https://doi.org/10.1108/JKM-05-2023-0389

Publisher

:

Emerald Publishing Limited

Copyright © 2023, Emerald Publishing Limited

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