Knowledge sharing, intellectual capital and firm performance

Abstract

Purpose-The aim of this paper is to investigate the impact of knowledge sharing (KS) on firm performance and the mediating role of intellectual capital (IC). Design/methodology/approach-A research model was developed based on prior KS and IC studies. A survey was administered to a sample of high technology firms in China and 228 usable responses were collected. Structural equation modeling (SEM) was employed to test the research model. Findings-Tacit KS significantly was found to contribute to all three components of IC, namely human, structural and relational capital, while explicit KS only has a significant influence on human and structural capital. Human, structural and relational capital, enhance both operational and financial performance of firms. The effect of KS on firm performance is mediated by IC. Explicit KS has a greater effect on financial performance than operational performance, whereas tacit KS has a greater impact on operational performance than financial performance. Research limitations/implications-The sample of high technology firms in China might limit the generalization of the findings. Nonetheless, this study takes its lead from and extends prior research, thus providing a deepened understanding of the role of KS in organizational settings. Practical implications-The paper suggests that managers can enhance firm performance by enhancing their KS and IC. Managers can develop corresponding strategies based on the findings to achieve their specific performance goals. Originality/value-This is one of the first papers to examine how KS contributes to firm performance through the mediation of IC. It will add significant value for organizations trying to enhance their performance though KS practices.

The Effect of Intellectual Capital on Organizational Performance: The Mediating Role of Knowledge Sharing

“…The premise of relational capital revolves around connecting internal intellectual resources with external stakeholders, hence influencing an organization's ability to create value [76]. According to ([84], p. 517), relational capital (RC) can be defined as "the knowledge that is embedded in the relationships with any stakeholder that affects the firm's life".…”

“…According to [80], structural capital (SC) refers to organizational capabilities that are used to meet internal and external challenges. Structural capital can also be defined as the non-human storehouses of knowledge such as organizational culture, routines, data bases, information systems, patents, copyrights, trademarks and so on (see [15] [75] [76]). [81] referred to structural capital as the knowledge that is created and owned by an organization.…”

“…Human Capital (HC) can be defined as "the sum of employees' competence, knowledge, skills, innovativeness, attitude, commitment, wisdom and experience" ( [76], p. 234). Human capital is consists of the values, attitudes, and habits of the people in the organization, in addition to the leadership that motivates people to display their potential in the organization [77].…”

The Effects of Managerial Ownership on the Relationship between Intellectual Capital Performance and Firm Value

“…The knowledge that is embedded in firm's employees, suppliers, and customers has been term as IC [1], [2]. Previous studies shown that firm's efforts to invest and manage its IC will lead to relatively higher business performance [3], [4]. According to Cahill (2000) [5], 50%-90% of a firm's value is contributed by the efficient management of IC.…”

Model Pengukuran Kinerja Intellectual Capital Dengan Ib-Vaic Di Perbankan Syariah

“…IC berpengaruh positif terhadap kinerja keuangan perusahaan -yang merupakan ukuran jangka pendek dan yang paling mudah dilihat, baik pada masa kini maupun di masa yang akan datang. Artinya, IC dapat pula digunakan dalam memprediksi kinerja keuangan perusahaan (lihat misalnya: Chen et al, 2005, Tan et al, 2007Ulum 2008a, Wang 2011, Kamal et al, 2011Ahmad & Mushraf, 2011;Salman et al, 2012;Latif et al, 2012).…”