Social capital, knowledge management, and sustained superior performance

Abstract

Purpose-This article attempts to begin the process of removing the cloak of causal ambiguity by examining the role that knowledge management has in the creation of the wide variety of competitive advantages found in some organizations. Specifically, this article aims to extend understanding in the field of knowledge management by examining how knowledge management can affect organizational performance, and by examining one possible determinant of an organization's capacity to manage knowledge. Design/methodology/approach-Reviews literature on resources-advantage theory of the firm, social capital and knowledge management to propose ways within the organization to improve their ability to manage knowledge and achieve sustained superior performance. The paper is structured around the following constructs: resource-advantage theory of the firm, social capital, and knowledge management. Findings-Describes the relationship between social capital and knowledge management and how both help organizations achieve a sustained superior performance within the market. Suggests that organizations with high levels of social capital have more knowledge-management capabilities than organizations with low levels of social capital. Research limitations/implications-This article extends prior research of knowledge management by proposing how social capital can positively impact the ability of organizations to manage knowledge. Practical implications-Since resources within all businesses are relatively limited, and particularly so when the business is small relative to its competitors, the revelation that social capital can lead to more effective knowledge management makes the decision to support and nurture social-capital development much more credible. Originality/value-Because there is no existing literature that has examined the relationship between social capital, knowledge management, and organizational performance, this paper provides a foundation for future studies that examine the relationship between social capital and knowledge management.

A Correlation Study between Social Capital and Knowledge Management with Emphasis on the Human Capital - The Case Study: Payame Noor University of Hormozgan (Bandarabbas)

“…This finding is in line with the results of the study done by Abili and Zarekhalili (2014), Hoffiman et al (2005), and Khanifar (2011).…”

“…Hoffiman et al (2005) have investigated the relationship between social capital and knowledge management and how knowledge management impacts organizational performance. The findings of their study shows that there is a significant relationship between social capital and knowledge management, and organizations with higher levels of social capital have more knowledge management compared with organizations with lower levels of social capital.…”

The Study of Knowledge Management Infrastructures in Islamic Azad University from Faculty Members’ Point of View (Case Study)

“…The results of this test showed that organizations have no great potential in knowledge management and are on a continuum from levels 1 to 5. Hoffman et al (2005) in their study entitled "social capital, knowledge management and continuous superior performance" showed that organizations with high levels of social capital have greater capabilities in knowledge management than organizations with low levels of social capital. Agbo (2004) argues that knowledge management and intellectual capital in organizations are the key factors for success and innovation and effective management of knowledge assets include a holistic approach and educational programs should reflect the nature of innovation and dimensions knowledge management as very complex social processes.…”

Clarifying the Link Between Social Capital and MSME Innovation Performance: The Role of Absorptive Capacity

“…It also emphasizes social norms or general internalized sets of accepted behavior for members of the social network that enable participants to communicate their ideas and make sense of common experiences. Hence SC increases efficiency of action and reduce external unknowns (Hoffman et al, 2005). A fundamental benefit of neighborhood connections is that opportunities in various forms are generated through social networks (Anderson & Miller, 2003).…”

“…This is very similar to the concept of informal social networks which refer to the relationships among social entities and the patterns and implications of these relationships . SC emphasizes information channels or social network that connect the organization to the outside world enabling it to maintain closure or the existence of sufficient ties to guarantee the observance of social norms (Hoffman, Hoelscher & Sherif, 2005). It also emphasizes social norms or general internalized sets of accepted behavior for members of the social network that enable participants to communicate their ideas and make sense of common experiences.…”