Effect of knowledge management on growth performance in construction industry

Abstract

Purpose

The purpose of this paper is to examine the relationship between knowledge management and growth performance of construction companies.

Design/methodology/approach

In total, 600 questionnaires were sent to selected individuals in grade G7 construction companies. A total of 110 completed questionnaires were returned and deemed usable. The collected data were processed and analysed by partial least-squares (PLS) path modelling with SmartPLS 2.0 software. This technique was selected because it is appropriate for exploratory studies, such as the current one, where hypothesised relationships between variables have not been tested.

Findings

The findings show a positive relationship between knowledge management and growth performance in construction companies. The results of this study are valuable in establishing a valid and reliable survey instrument, especially for construction companies.

Practical implications

The results of this study can be can be utilised as a basis for strategic choices by top management, to enable a company to grow. Right decisions are crucial to enable construction companies to remain competitive, and develop in a challenging business environment.

Originality/value

The paper furthers understanding of how knowledge management influence growth performance in construction industry. This aspect has been little studied both in theoretical and empirical studies.

Citation

Abu Bakar, A.H., Yusof, M.N., Tufail, M.A. and Virgiyanti, W. (2016), "Effect of knowledge management on growth performance in construction industry", Management Decision, Vol. 54 No. 3, pp. 735-749. https://doi.org/10.1108/MD-01-2015-0006