Aligning Human Resource Management with Knowledge Management for Better Organizational Performance: How Human Resource Practices Support Knowledge Management Strategies?

Abstract

Contributing to the HR-approach to knowledge management (KM), this chapter aims at outlining the role of human resource management (HRM) in supporting KM through utilizing the theoretical and empirical literature. The article is divided into two sections. The first section presents various knowledge concepts, KM perspectives and KM strategies. This section ends up by linking these topics in a KM sequential model which helps us to track the philosophical underpinnings and perspectives of each KM strategy. The second section investigates various HR orientations and HR practices and situates their differing contextual characteristics under each KM strategy. It aligns various HR practices with different KM strategies; suggesting that HRM is most effective as a combination of practices that are consistent and sharpened in supporting each KM strategy, which is part of the organizational strategy. The debated practices are recruitment and selection, compensation management, training and development, performance management, retention management and career management. Each of those practices is speculated to alter based on the chosen KM strategy; presenting a framework that is useful for practitioners and academics alike. The review ends up by identifying some research gaps and opportunities to be carried out in future studies. Those research gaps, if addressed, will extend our understanding of KM and the supporting role HRM. Keywords: knowledge management, human resource management, organizational strategyCurrent Issues in Knowledge Management 2 in human assets. Managing knowledge effectively is as a significant factor in innovating faster and better than competitors [4][5][6]. Human resource management (HRM) practices-major contributor to organizations' competitive advantage-should be utilized to manage organizational human assets through facilitating the development of competencies that generate organizational knowledge [4,5,[7][8][9]. Ananthram et al. [3] suggested that a new paradigm of HRM is evolving towards "strategic human assets" theory in pursuit of firm global competitive advantage. This paradigm is built on two pillars: strategic agility and knowledge management (KM). However, much of the literature of KM continues to reflect a techno-centric focus, similar to that of information management, which in essence regards knowledge as an entity that can be captured, manipulated and leveraged. This is a limited and ultimately hazardous perception [4]. It is widely accepted that "it is not technology, but the art of humanand humane-management" that is the continuing challenge for executives [5]. In this regard, Gloet [4] illustrated a revitalization of the HRM function to respond to the demands of the knowledge economy, looking both within and outside the organization. The traditional focus on managing people has been broadened to managing organizational capabilities, relationships, learning and knowledge. Banerjee [6] also believes that we must look beyond human capital to a more sustainable and holistic view of ind...

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